Volkswagen Repair: VW New Beetle Transmission, vw new beetle, extended warranty

Question
My 2003 (99,000 miles) new beetle needs a new transmission. The shop wants to use a rebuilt one but the extended warranty will only pay for a used one (53,000 miles). The price difference is $1200 and the shop is suggesting I dont keep the car if I pick the used one. Does anybody have experience with this and can suggest which one I should go with?
Thanks!

Answer
Ines,
 If the shop is offering a used one essentially for free, I don't see what you have to lose.  Even if it only lasts a week, you are simply back where you started, and only out your time and use of the car while it goes back to the shop.  
 Of course a true rebuilt should last for many years and be guaranteed for at least 12 months/12,000 miles.  Also $1200 is reasonable price, add labor.  See this example:

http://cgi.ebay.com/ebaymotors/Rebuilt-02j-O2j-TDI-5-Speed-Transmission-Mrk-IV-9...


Rick