The Vacation Is Over: Several RV Companies Recently Closed Their Doors


In the last few months, a number of major RV manufacturers have closed their doors for good.  These RV companies include: Travel Supreme, Alfa Leisure, and National RV.  The closure of these businesses is bad news for consumers who recently purchased an RV because they may have trouble obtaining repairs under the manufacturer’s warranty.  RV owners already experiencing warranty problems with one of these RVs may have little recourse in attempting to enforce the manufacturer’s warranty.  Also, buyers considering purchasing an RV made by a defunct RV manufacturer should beware.  Even if the RVs are being sold at a “significant discount” they may not be worth the money if costly repairs are needed. 

Buyers should also be careful about buying an extended warranty or service contract to compensate for the potential lack of a manufacturer’s warranty.  Extended warranties and service contracts sometimes have exclusions or limitations that render them nearly worthless.  Further, some extended warranty companies have gone out of business.  Hence, you might compound your losses by buying an extended warranty or service contract, and what is trumpeted as a safety net may prove to be illusive.   

Although many RV makers have not gone out of business, filed for bankruptcy, or sold their assets, they still may be facing economic difficulties.  Factors such as the current economic downturn, the high price of gas, and the limited availability of credit have greatly reduced RV sales.  There have been numerous reports of temporary plant closings by RV manufacturers.  Likewise, industry reports show that RV sales dropped in 2007, and sales are forecast to further decline in 2008.  Therefore, there may be more closures or consolidations on the horizon.


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