Warranty and Guarantee: The term ‘guarantee’ is usually used with a full refund or replacement of the product itself, whereas a warranty often points in the direction of repairs and maintenance to the same product. Quite predictably, therefore, a guarantee is generally considered better than a warranty in public opinion.
Warranties are not usually free; they resemble insurance policies in that you pay a premium to insure against problems with the product or service. Warranty means repair but no commitment to replacement of the product.
Warranty is defined as an assurance given by the manufacturer or seller to the buyer that the specified facts about the product are true. It is a collateral condition to the main objective of the contract.
warranty specifies that the particular product is up to the standard, i.e. quality, fitness, and performance. It applies to tangible objects like machines, electronic equipment, etc.
In case if the product does not satisfy the set standards, then the manufacturer will repair it or replace its defective part, or it will be completely replaced. There are two types of warranty i.e. express or implied.
The guarantee is defined as the promise for the after-sales performance of the product or service. It expresses that the manufacturer has given promise regarding the content, quality, or performance of the product.
The obligation is not fulfilled then the manufacturer will replace or repair the product or the money paid as consideration will be refunded. Although, it is valid up to a fixed time only. Guarantee adds to the rights of the consumer.
In the contract of guarantee, there are three parties, i.e. surety, the principal debtor, creditor where the manufacturer acts as a surety if the performance of the product is below average.
Notable Difference Between Warranty And Guarantee
1. Guarantee is mostly commitment on the part of the seller or service provider. Warranty is an assurance.
2. Guarantees can be oral or written, where oral guarantees are very hard to prove. As opposed to warranty, which is usually written and so, it can be easily proven.
3. The guarantee is free of cost. On the other hand, the customer should have to pay for the warranty to safeguard the interest.
4. The term of the guarantee varies from item to item. Conversely, the warranty is for long-term or any product or any part of the product.
5. In the case of a guarantee, money back is possible, if stated specifically, however, this is not possible in warranty.
6. A warranty is a subsidiary condition of sale, which may be expressed or implied. On the other hand, the guarantee may or may not be a condition of sale.