What is the difference between Warranty and Guarantee?

While buying things like household appliances or gadgets, we often come across these two terms- warranty and guarantee. It is common knowledge that both of these terms are some sort of assurance given to the buyer by the seller, but they differ from each other. 

In this article, we will cover how exactly the two differ from each other. But first, let us define warranty and guarantee, as well as what they cover. 

What is a warranty? 

A warranty is a written or implied promise made by a manufacturer or seller that a product or service will be free from defects in material or workmanship for a specified period of time. 

It is a legally binding commitment to repair or replace the product if it fails to meet the specified standards during the warranty period. 

A warranty typically covers defects in the materials or workmanship of a product or service. It provides assurance that the product or service will be repaired or replaced if it fails to meet the specified standards during the warranty period. 

However, it may have limitations and exclusions, such as normal wear and tear, misuse, or unauthorised repairs, which may void the warranty.

What is a guarantee?

A guarantee is a promise made by a manufacturer or seller that a product or service will perform a specific function or meet certain expectations. It focuses on the performance or functionality of the product or service.

It is the “guarantee” that a product will work as intended or that a service will achieve a certain result. However, it may also have limitations or exclusions, but they are usually related to the specific performance criteria or expectations outlined in the guarantee.

Difference between warranty and guarantee

• A warranty usually has a specific duration, which is often expressed in terms of months or years. It may have different timeframes for different components or aspects of the product or service. For example, a laptop may have a one-year warranty for the hardware. 
• On the other hand, a guarantee can have a specific duration, but it can also be open-ended or indefinite. It may be based on a certain condition or performance criteria that need to be met by the product or service, and once those criteria are met, the guarantee may be fulfilled.

• In many cases, manufacturers or sellers are legally required to provide warranties on certain products, especially high-value or consumer goods. Warranties are often governed by consumer protection laws and may provide specific rights and remedies to consumers.
• Guarantees, on the other hand, are not typically mandated by law, but rather are voluntarily offered by manufacturers or sellers as a form of assurance to consumers.
• A warranty is usually a written promise, however, a guarantee may be provided in either oral way of communication or written. 

While warranty and guarantee are similar in that they both provide assurance about the performance or quality of a product or service, they differ in terms of their focus, duration, coverage, and legal requirements. Warranties tend to focus on defects in materials or workmanship, have a specific duration, and may be legally required in some cases. Guarantees, on the other hand, focus on performance or functionality, may have an open-ended duration, and are usually voluntary commitments made by manufacturers or sellers.