'Tis the season for holiday shopping, and as the salesperson rings up your electronics purchase, he or she is sure to ask, "Can I offer you our extended warranty coverage?"

Right then and there, you have to decide... People in line behind you are waiting.

You are buying a brand-new product.  But the salesperson is telling you it could break down.  And unless you pay for the warranty, you'll have expensive repairs.

Well, is that true?  Is an extended warranty worth the money?

"NO!" is the resounding answer from Consumer Reports magazine.

Their research indicates extended warranties are just like throwing your hard-earned cash out the window.  They're a big-time waste of money.  Most people never use them.

Consumer Reports is trying to get the message out with full-page newspaper ads telling consumers NOT to fall for the extended warranty sales pitch.

But you know lots of people will anyway.  Extended warranties and service plans are a cash cow for retailers.  They bring in an estimated $1.6 billion dollars a year. 

It's money we could put to better use, if more of us would "just say no" to the extended warranty.

Let me know if you agree...