Know the failure rate of the product you're buying.
The best way to establish the actual value of an extended warranty is to know the failure rate of the product; then you can make a better guess about whether it's financially acceptable to you. For instance, the warranty website SquareTrade estimates failure rates for Wii consoles at 2.7% over 3 years, and they sell their Wii warranty for $30.

To a perfectly rational person, that insurance is worth exactly 2.7 percent of $200, or $5.40. But it can be worth more to someone who fears financial loss of the product or the inconvenience of repairs.

Finding failure rates can be difficult, though. Here's a list of generic failure rates from data released in 2006, or you can sometimes find info by Googling the name of the item + "failure rate." You might also want to find out beforehand how responsive the manufacturer is with defective products—Nintendo, for example, has a pretty good reputation when it comes to fixing devices that break through no fault of the owner.

If you're buying something that gives you pleasure, put off any decision about a warranty for a week or two.
The NYT article cites some research by psychologists that indicates consumers who are buying products that make them happier tend to buy more extended warranties. You might think this is because they tend to break down more, but you'd be wrong—with the exception of the Xbox 360, which I believe has a failure rate of somewhere around 11,000%, it's household appliances like washers and dryers that break down more frequently. And yet, fewer customers buy those extended warranties, and pay less for them when they do.

If you get a good deal on something, don't even consider an extended warranty at the time of purchase.
Because you'll be so high on the fact that you got a good deal, you'll fall right into the trap described above of being more risk-averse than normal, and hence more likely to throw away your savings at the register on an overpriced extended warranty.

"Don't Worry, Be Happy: The Warranty Psychology" [New York Times]
(Photo: shalf)

That's what a man in Illinois claims, and he's suing the manufacturer for selling him the $100 device without a warning that its video feed is somehow shareable to other devices:

"This gives rise to serious safety and privacy concerns for consumers who have unwittingly purchased and are using the monitors believing that in doing so, their children and household members are safe and in the privacy of their home when, in fact, by virtue of the monitors' capabilities, they are not."

The man says he tried to get a refund from the manufacturer, Summer Infant, but they refused and told him to buy a more expensive model if he wanted security.

"Baby Video Monitor Lets Neighbors Snoop On One Another, Class Claims" [Courthouse News Service]

Buddy says:

Good news!

I just got a call from Tracy at Lowes Executive Customer Service. They are overnighting me a check for replacement value which should be here by friday.

Yay! Thanks, Tracy. Now that Buddy is in the market for a new fridge, does anyone have any suggestions for him?

We can contribute this buying guide from our sister publication Consumer Reports. Do you have anything to add? Anyone got a fridge that HASN'T broken? We don't hear much about those here at Consumerist.

(Photo:Meg Marco)

I have recently been painfully reminded to read the fine print.

I purchased a used car, and heeding everyone's advice, I checked the CarFax report prior to making the purchase. It was all shiny good stuff, even "recommended maintenance" entries were listed, nothing negative.

Then, when I visited my local dealership for some potential warranty work, the informed me that the work MAY NOT BE COVERED under the manufacturer's warranty, as the car has a history of "abuse", and to my request they gave me a copy of the vehicle's service records - it was appalling. Engine replaced due to unauthorized modifications, several problems related to similar (warranty voiding) modifications, etc.

After I pointed out that none of these events were reported on CarFax, I was told that reporting to CarFax is completely voluntary.

So the conclusion is:

- positive CarFax report doesn't mean anything

- if you get a negative CarFax report, you can accept it (although there may be even more serious problems that were NOT reported).

I don't believe these facts are generally known, especially with the barrage of CarFax commercials that make it appear to be the "know it all" ultimate decision-making tool.

Gyorgy's plight is, unfortunately, consistent with the findings of a Consumer Reports investigation from earlier this year (see video and article linked below). Reporters from our sister publication ordered reports on dozens of damaged vehicles from CarFax and other similar services. Many returned clean reports from CarFax and the other services. According to CR:

We found that the reports were most likely to be incorrect for vehicles that had serious damage but for various reasons were not declared a total loss. ... "Salvage," or similar branding on the vehicle title, is required by many states for vehicles with extensive damage. Wrecks can maintain clean titles if the vehicle doesn't have collision insurance, is self-insured as with many rental and fleet vehicles, or has damage falling below the "total loss" threshold, which can vary by state.

CR's recommendations include getting the car inspected by an independent mechanic, ordering reports from more than one service, learn the rules of your state's Lemon Law program, and find out how to take advantage of CarFax's buyback program. Yes, CarFax will buy back a car that it said was clean if it turns out to have a bad history — but only under very limited circumstances outlined in the mouseprint.

Reality check: How useful are used-car history reports? [Consumer Reports]

This week, Michael Klurfeld wrote at Techgeist about his own experience. He discovered that while the external sensors of his phone indicated water damage, the more accurate one inside the phone did not. The problem for frustrated consumers is finding someone who will listen and open up their phones.

According to an Apple Inc. representative speaking on behalf of its general counsel's office, Apple's protocol when responding to a customer whose iPhone has a triggered external liquid indicator is to say that the warranty is now void and to turn the customer away. The warranty states that it does not apply "to damage caused by… liquid spill or submersion," (from Apple's Warranty) yet, again according to this representative, "Apple's standard protocol" is to not open iPhones and investigate for real signs of liquid damage, such as water damage to the motherboard or corrosion.

In my experience the only way to get Apple to check for water damage is to contact someone high up in the company who will then instruct Apple's in-store technicians to open up the phone. When I went to the store to have this done, the tech reported that he had found no signs of water damage, and the two internal moisture detectors had not been triggered – he even showed me a picture corroborating this. Unfortunately, however, it is Apple's policy that customers are not allowed to have copies of their picture, to be present while the device is opened, or to take their own pictures of the opened iPhone.

We've heard about this problem from a few readers. For example, here's Matt's story:

So I head to my local Apple store and make an appointment to have a Genius look at my phone. He takes one look at the dock connector on the bottom of the phone and immediately says it has water damage. He checks the water damage sensors and confirms that they have been tripped. Well, that's a problem, since no water or liquid of any kind has ever come in contact with my iPhone. He tells me that the dock connector has, "serious corrosion," "this is the most corroded I've seen an iPhone in quite some time," "serious water damage," "no way this could happen without being submerged in water." I asked him if the damage could be due to condensation or humidity and he said there was absolutely no way, the device at one point or another, "was submerged in water or had water poured onto it." I inform him that isn't the case and he tells me that once the water damage sensor is triggered that his hands are tied.

While Matt was eventually compensated for the replacement phone he purchased after hours of talking to Apple representatives, his experience is apparently quite common.

What should iPhone users do? Chat with Apple's executive customer service. Fight to have that internal sensor looked at, if you have to.

Apple iPhone Abuse Detection Sensors: Who Is Abusing Whom? [Techgeist]

He writes:

Here's the summary:

02/20/09: purchased Insignia 52 inch LCD from Best Buy for $1,398.99

08/15/09: TV died; went to repair hell

08/24/09: wrong part replaced then unreplaced for $407.07 by technicians that had to drive 120 miles each way for the wrong diagnosis from Best Buy.

08/25/09: placed in cost effectiveness committee

08/28/09: sent to parts research purgatory

09/04/09: still haven't said enough Hail Mary's to the right Best Buy Saints

What I thought was really disturbing was something the last CSR I spoke with told me: If the repair cost doesn't exceed the purchase price, they would rather send out a tech to repair it multiple times.

My response was that it would seem to have an extremely negative impact on your profit margin.

It should be noted that every CSR I have spoken with has been extremely professional and polite. I have mirrored this attitude as well and have had extraordinary patience as a result of my 10 plus years of experience as a former CSR and Quality Assurance Agent. I have never been abrasive to their customer service because I refuse to be that customer and it will usually have a negative impact on the problem being resolved. My blame goes to the policy and not the paid rep that is just doing their job.

Russ says Best Buy doesn't know where his part is or when he can get it replaced. He says he's shut off cable service and laments that his TV is a "giant paperweight in our living room." Have any of you experienced a similar TV repair runaround? Is this what you should expect when you buy Insignia?

(Photo: bmljenny)

His TV is about 5 years old, and earlier this year it stopped working. Although it was out of warranty, he called LG Electronics "on a whim" and to his surprise, they extended his warranty to cover the cost of repairs.

The repairs didn't take. Tim says the 3rd party repairman's last words to him were, "I just put in the parts. You'll have to call LG." So he did.

We called LG again thinking they would say that they've given their best effort and apologize and we'd be on our way. Not so. Again, rather than making us feel bad at all the next conversation shocked me... it was along the lines of this: "We're so sorry Mr. Heuer you've had this problems. We don't want to inconvenience you anymore. We'd like to replace your TV with a new one."

In case you didn't hear it, that was the sound of me picking my jaw up off the floor.

Not only did they offer to replace it, but they gave him 3 models to choose from.

Tim summed up the experience by writing, "This whole process has really just been simply amazing to me. I cannot believe how this company is really taking customer service seriously."

"Great customer service follow-up: LG Electronics" [Method of failed] (Thanks to bmccormack!)

Elijah complained, but says Dell won't make things right, and has pushed things to arbitration. He writes:

In summary:

I bought a Dell laptop.

I got it replaced under warranty.

The original model was discontinued.

The replacement model is 1600x900 where the original was 1920x1200.

Dell says they are required to give me product that has the same "functionality and performance" and they insist they have done that.

I cannot get anyone other than (redacted) to contact me. In fact even when I send emails to various members of the corporate elite that you listed on your site insisting that if anyone but the person who's name this email belongs to contacts me I will consider it a harassing contact, all messages get funneled back to this man who slowly and laboriously tells me that he will not do anything for me.

The last two months have been spent coping not only with the lack of a third of the pixels I'd gotten used to using, but also a keyboard that is missing 10key, has no Fkeys accessible without pressing the Fn key, and for some reason it seems to like pretending I've pressed CTRL a lot, which can make for some very interesting fast paced shortcut/window opening/lost all your data haha! While dealing with this I have been trying to get someone other than this (redacted) fellow to talk to me. This has proved impossible.

I have also over the last two months been trying to get as complete a set of information possible to fill out the arbitration paperwork so that I can get this resolved under dell's legal framework. If dell will not negotiate with me (it is my contention that giving me what I want is immediately cheaper than going to arbitration and could actually make them money), I need their contact information for purposes of listing them as a respondent to arbitration. [redacted] insists he has given me that info, but he has not. What he has given me is the information for contacting the arbitration people and his listening skills seem deficient any time I try to convey this to him. Lately I have taken to hanging up the phone and telling him not to call me unless it is to give me the info I need. He still calls and the calls still consist of him slowly and laboriously telling me I cant have a new laptop and then not giving me the information I need.

The legal department has been of little help too. Once I finally got the name and number of the person in charge of consumer issues in the legal department (it is not well advertised) I spent two weeks calling and emailing the man before I got a reply. The reply was by email, and the reply was the same screwup as [redacted] gave me. Rather than giving me dell's information as a respondent, the man gave me the contact information of two arbitration organizations NOT NAMED ON DELL'S TERMS OF SALE. By that standard I think his reply may have been even less useful than [redacted] since it includes no information even remotely related to dell's legal framework for dispute resolution.

What I want is a laptop replacement that has a 1920x1200 screen. (Redacted) told me that they can only give me a laptop sold through home and home office. When I told him there was one with such a screen in that department, he switched his tune immediately to "I've done the research and we can't give you anything." The sticker price of what they gave me was $1,100, the sticker price of what I want is $1,200. The arbitration will cost $2,500 and Dell must pay the bill. Even going with retail numbers most favorable to dell, they save $200 by just making me happy, and since the laptop I'm asking for his highly upgradeable, they stand to pick up another $500-$1,000 in revenue from upgrades. If they lose in arbitration I still get what I want AND they had to pay $2,500.

Please, I was told that you guys could help me out and you make such problems known to the public which prods these big corporations into acting intelligently. All I want is a laptop with a 1920x1200 screen like what I originally purchased, is it so much to ask that dell be held accountable to their own contracts?

Elijah says he's filled out his arbitration paperwork but hasn't received confirmation from Dell that it's received it. He'd like Dell to back off on the arbitration, cut its own losses and hand over a comparable laptop, but at this point there doesn't seem to be a great chance of that happening since he's already committed to the arbitration.

He could shrug his shoulders at the arbitration procedure and try to take Dell to small claims court of breach of warranty. That might, at least, get their attention. What would you do if you were Elijah?

UPDATE: Elijah says he's reached a resolution with Dell, but declined to elaborate.

(Photo: Sterlic)

Here's the letter Joe sent to Generac Power Systems concerning his backup generator's failure to work during a recent outage:

Dear Mr. Jagdfeld,

I am writing this to you to share my recent experience with one of your products.

I am the past owner of one of your standby generators (at a previous residence). While that unit was not trouble free, I recommended your products to family and friends, and installed one for my brother in 1999. When we built our new house in 2006, I decided to purchase your 13kw NG standby generator because of your reputation for quality and customer service. I liked the fact that it was made right here in Wisconsin.

Yesterday, however, when this like-new and meticulously maintained unit was called upon during a power outage, it failed to start. Upon investigation (in the rain) it became apparent that the starter had gone bad. I pulled the starter to examine it, and confirmed that this was in fact the problem. The 'nose' (countershaft support) casting had broken completely off, and the starter bearings were thoroughly worn so as to make even turning by hand difficult. In operation, the starter would chatter and get very warm.

In talking to one of your authorized dealers, I was told that this was a rare case, and that this did not normally happen. When I called your customer service department, both Andy and later Angie admitted that this should not have happened. On a unit that has been run only 10 hours on 2 occasions (besides its weekly exercise time), this was admittedly premature failure.

I have offered, both to Andy and Angie, to send pictures of the casting failure in order to let them judge whether or not this was something that merits their attention. Both declined, and said Generac would not help me in this situation.

So there you have it. The starter failed. Only two conclusions can be reached: either the customer is at fault, or the starter manufacturer is at fault. Since the expected life cycle of the starter is significantly greater than the 150 or so times it has been used (admitted by your two agents and your authorized dealer), that leaves only the manufacturer at fault.

The question, then, is: why won't Generac stand behind their product? I realize that I am beyond the warranty period (by less than a year), and that Generac needs to have a set warranty period in order to limit liability in cases of customer abuse, and even normal wear-and-tear. This, however, is neither of those.

Mr. Jagdfeld, I own older cars, and have a good understanding of mechanical failure. Your own agents and dealer admitted that this was premature, and should not have happened. What I would ask, then, is for Generac to provide me with a new starter (Generac Part # 0E9323) in order to make up for the defective one. I am happy to provide the old one for your examination, if you want to examine it. I will take care of the installation.

Even though we went without power for 10 hours overnight because of the failure of the unit, I would like to look at this as an unusual event, and confirm my faith in Generac products. I am hoping you will do the right thing here, so that I can continue to recommend Generac to friends and family, and rate them highly on the internet sites I visit.

Sincerely,
Joe

This is a great case study of how to write a level-headed, smart EECB that makes a sound argument in favor of the customer:

• He describes his past relationship with the company and illustrates the value he's brought to that relationship, both by being a repeat customer and by bringing in other customers.
• He also clearly explains the problem in a logical way that never resorts to emotional appeals. The unit shouldn't have failed, especially since he was a model owner who did everything by the book.
• He acknowledges that they have a sound business reason to enforce their warranty restrictions—but that this is an exceptional case and therefore an exception should be made.

We're not sure such a reasonable letter will work in every case, since you sort of need a level-headed person on the other end who can recognize your value as a customer, but here's at least one example where it worked.

You may not recognize the name Funai, but they sell electronics under the Emerson and Sylvania brands, and handle distribution for Philips/Magnavox TVs in the United States.

Tavie and Gina bought a Sylvania TV in March, which suddenly stopped working in July. "Good thing the TV has a one-year warranty," they said. Or it would be if the warranty department would answer their phones.

Tavie and Gina fired off this letter over a week ago, and have received no response:

Tetsuya Kawasaki, Funai Corporation
Senior Executive Director of Service

Dear Mr Kawasaki,

Re: Sylvania LC3321SS9

On March 3rd, I purchased a Sylvania 32-inch HDTV flatscreen television from BJ's price club in Jersey City, NJ. It cost $403. It's been treated very carefully and was working perfectly until two weeks ago, on July 22nd, when it suddenly just stopped. Wouldn't turn on, nothing. Dead as a doornail.

On Thursday, July 23rd, I called Sylvania Customer Service and they gave me a number and said I had to speak to the people in the warranty division. They told me that I would probably have to leave a message. I called the number all day on Thursday and kept getting a message that said "If you know your party's extension, press 1, or press 0 for more options." Every time I hit 0, it would repeat the message. I called customer service again after I got home and they told me that there had been problems with Warranty's phones and to try again Friday. On Friday, nothing. On Monday, nothing. I called Customer Service again and they told me that they really could do nothing and I had to keep trying that number, that it was fixed. I tried the number again yesterday and kept getting the message that the box was full. Called CS again today and once again told nothing they could do till I called that number and they were so sorry and could understand my anger and that I could talk to a supervisor but it would do me no good.

Sir, is there someone to whom we can escalate this problem? In today's economy it's very difficult to spend that much money on a product and not be able to use it. I am paying for cable that I can't see because the television set I purchased from your company does not work. I have taken time away from my working day in many attempts to contact someone at your company that can help me resolve this issue, to no avail.

To resolve the problem, I would appreciate a refund of my $403 or an exchange of my broken set for a new product that will not break after 5 months of use.

I look forward to your reply and a resolution to my problem, and will wait until Monday, August 8th before seeking help from a consumer protection agency or the Better Business Bureau. Please contact me at any of the email addresses or phone numbers listed below.

I tried the number for Funai USA's headquarters in New Jersey, and it's true that that all calls end up in a switchboardless, phone tree-less void. "I suspect this will go on for the next 7 months until the warranty expires," Tavie mused in an e-mail to Consumerist. Let's hope not.

With no response from Funai, they've taken to Twitter, using our "tweet to power" method to get the story out and urge people to boycott Funai products. Funai is trying to expand their business in North America, but cultivating a reputation for unresponsive service and not standing behind products isn't a good way to go about that.

On the other hand, they won a "Supplier of the Year" award in their field from Walmart for last year, which may tell you something.

Boycott Funai [Twitter]

PREVIOUSLY:
2 Hrs, 25 Min On Hold Just To Get A Busted DTV Converter

Martin writes:

I sent my Playstation 3 in for service for the a second time in 6 months, and this time they stole my Assassin's Creed game. Their compromise: they offered what is basically a trade for another game of their choosing- as long as I showed them a receipt!

My PS3's Blu-ray drive failed within 4 months of my receiving it as a gift from my wife in December 2008. I sent it in for repair in April, and received it back in fairly short order. In June, my Blu-ray drive had a problem ejecting a disc completely. The next disc that went in, my Assassin's Creed game, stuck for good. Unfortunately, there was no way to get my game out of the drive, and there was no emergency disc eject procedure to be found in the manual or online.
I created a support ticket with Sony for this issue, clearly stating that my game was stuck in the drive, and that despite my efforts of using the button to eject and the system's software, it would not come out at all. The result was I had to send the unit to Sony again for another drive issue. I was having flashbacks of the "disc read error" days of the Sony Playstation 2.

The coffin/shipping box for the PS3 arrived once again, and on the form I clearly marked that a disc was stuck in the drive (it has a checkbox for it), and that was why I was sending it in for repair. I shipped it out, it arrived at Sony's repair center, and it was shipped back. When I received it, the disc drive worked, but Assassin's Creed was nowhere to be found.

I contacted Sony support number listed on Service Receipt (1-800-345-7669) and spoke with a support person named Michael. Within 5 minutes, he checked the technician's notes and stated there was no disc in the drive when received. I asked:

If the system's problem is that it doesn't eject discs, and the symptom is a disc doesn't come out, then how can there not be a disc in the system? And if there's no disc, that means there's no disc ejecting problem- which means there was nothing to repair in the first place!

Logic didn't get me very far.

After running into what amounted to a dead end, I asked for Michael's supervisor, who connected me to Rachel after a 10 minute or so wait. Rachel contacted the technician's supervisor Carl, who told Rachel that the technician's notes were correct and there was no disc in the system. I then asked for Rachel's supervisor, who stated there wasn't any more that could be done. I mentioned I would be happy to post this on the Consumerist and file a complaint with the Better Business Bureau, and she said she could connect me to Carl.

I explained the illogical scenario I was in to Carl. Carl said he would start a full investigation to see if there was any foul play involved, and would call me the next week on Tuesday. Carl contacted me Tuesday, August 11th, 2009, and told me that while there is no evidence that there was a disc in the drive, but he offered that if I sent him the receipt for Assassin's Creed, he would send me a "First title game". Needless to say I did not jump at the offer.

I don't want to trade out games with Sony, I want the disc that was stuck in their broken drive back. If there was no disc in the drive, then what was the problem with the system that needed repair at all? This is my fulfilling my promise to Sony last week and submitting this to Consumerist, and a BBB complaint will follow as well. Carl said I could post about this and submit it to where ever I want, so here we are.

What you mean you don't save all your game receipts in case the disc gets stuck in the drive and Sony loses it?

Filing a BBB complaint isn't a terrible idea, although at this point it's really a case of "he said, she said." The friendly thing to do would have been to just replace your game. Sony, particularly their warranty repair department, isn't really known for being friendly. Good luck.

Thought I'd relate a story to you about a neat customer service experience I had on twitter (I know, I'm sick of hearing about it too). In early July, my bluetooth Logitech MX Revolution mouse (part of the MX5500 set) stopped taking a charge. The charge indicator just flashed red every time I put it on the cradle. After searching around, it became evident that the mouse was going to need replacement.

I contacted support by email on July 8. Within the next day I was informed that my replacement request would be granted. I supplied the information (including a scan of the receipt) that they requested. Here's where things went off the rails. I didn't hear anything back. No shipping confirmation, no tracking numbers, nothing. I emailed once a few days later to make sure that everything was progressing. No response. On Monday the 13th I called the customer support line. They told me it was listed as in the warehouse and ready to ship. The fellow on the phone said he didn't know why it was held up, but it should go out soon.

A week passes, I call again, I get the same story. I was sort of concerned at this point. It shouldn't take almost 2 weeks for something to be shipped (I'd had a replacement once before and it only took a few days). I could live without it for a while, I just wanted to know that it would actually be shipped at some point. The people on the customer service line had no more information about it. So, dejected, I did what everyone is doing these days, I complained about it on Twitter. I made some sort of snarky comments about how Logitech's warranty exchange systems was a bit ridiculous. The next day I had a reply from @Logitech asking for my case number, which I immediately supplied.

The very next day @Logitech explained that the MX5500 was on back-order. No one in the actual customer service department knew this. Not only that, but they were going to pull one from their "stash" in California, and ship it to me overnight ( I assume retail stash?). So here I am today with my replacement mouse courtesy of @Logitech on Twitter. After waiting 2 weeks for Logitech Proper, it only took Logitech on Twitter 2 days to get me taken care of.

This whole situation doesn't show the neatness of Twitter as much as the flaws in the standard customer service system. Should it really require three different contact methods to get hold of an item that was supposed to be replaced under warranty.

Logitech comes through... eventually [Honestly Anomalous]

Almost exactly three hours after the article was published, I received a call from Skullcandy. I was told I would received my replacement plus one extra pair of the same model before I leave the country. The person I talked to told me his name was Brian, and they had 12 people working there (i.e., not just Joe). lol. Thanks, Wentao

RELATED
"Skullcandy Lifetime Warranty Means You'll Wait Your Lifetime For A Replacement"

Here's Wentao's story.

I purchased a set of Skullcandy iPhone earbuds on Amazon last September. It was not cheap at $69.95 before tax. In late October to early November (less than two months after purchase), one earphone was suddenly dead. I checked Skullcandy's website, and their "lifetime warranty" looked pretty cool. So I submitted a claim online, and received an email on November 13, giving me an RMA number and asking me to send back the broken earbuds.

I sent it back. On December 3, they sent me an email confirming they had received it. The email also said: "We have authorized it to be replaced under our lifetime warranty. We will notify our warehouse to ship your replacement. This process takes about 1-2 weeks depending upon availability of product. You will receive another email from FedEx when it ships with a tracking number."

So I waited. In the mean time, I moved to a different address in the same city. Since the post office would forward my mail so I didn't worry about it. When I still hadn't received the replacement by January 15, 2009, I sent an email to their customer service email address, telling them I hadn't received my replacement six weeks after their last confirmation email. I also told them my new shipping address.

On January 24, they emailed me back: "Your RMA request #xxxxx has successfully been processed. Please allow several days for the item to ship."

Another month passed and nothing arrived. On February 24, I sent another email to customer service: "Will I ever get my replacement? It's been over three months since I sent the headphone back, and it's been over one month since I received the SECOND RMA confirmation."

Three days later (February 27), I received an email from someone with a real name (Joe): "I will look into this.Please give us a
week to get in contact with the warehouse and see what happened." At this point I was a little relieved. I thanked Joe and reminded him my shipping address had changed.

But dear Joe didn't write back in a week. Or a month. On March 26, I emailed Joe again: "Another month has passed. Still no replacement or any update. Please help."

On April 1, Joe wrote back: "I have emailed the warehouse. For the longest time we have been out of the iphone fmj's they are just barely coming back into stock. We will get you your headphones as soon as we can. Sorry about the delay"

I was annoyed by the "not in stock" explanation. I wrote a harsher email on April 13: "Thanks for the information. However, I want to point out that I paid for the headphone seven months ago, and was in possession of the product for only two months. Do you think this is acceptable whatever your stocking situation is? It is in stock on Amazon.com as of today, and your warehouse was not able to ship me a replacement five months after the original RMA was issued. This is clearly a priority issue. I am very disappointed."

Maybe because of my angry email, Joe started ignoring me. So on May 21, I wrote again: "I just want to let you know that I am still waiting. Sorry for bothering you again, but please let me know if there is a better channel than writing to you."

No response again. Big surprise!

Then it was June. iPhone OS 3.0 arrived. Now I could use stereo headsets. I didn't really want that wired Skullcandy headphone any more. But I did pay $70 for it. I went to their website again, and found a customer service number. I called. There was no pre-recorded message. No extension. No waiting. An actual person picked up, and his name was Joe! I told him about the situation. He asked which model it was. I said the chrome iPhone model. He said the chrome color was not in stock. I said I didn't care about the color. Any color was fine. He sent the request to the warehouse.

After about a week, I received a package from Skullcandy. I opened it and it was the wrong model. Apparently when I said "iPhone" on the phone, Joe thought it was "icon". But the icon headset was less than half the price of my original iPhone FMJ model. Besides, I submitted the warranty claim several times, and they clearly had the record. Joe shouldn't have asked me which model it was in the first place.

I wanted to give up already, but didn't feel it was right. In late June, I went to their website again, and found another way to reach customer service—live chat. I started up the chat window, and the person on the other end? Joe!!! Now I was convinced that he was probably the only person in this company who handled warranty. I told him I was shipped the wrong model. He said he would resend the correct model, and it would arrive in a week. Also, the "icon" model that was mistakenly shipped to me would be mine for free.

At the time of this writing (July 30), I still haven't received my replacement Joe last promised a month ago. I am sick of it and don't want to contact them ever again. I am also moving out of the country in 10 days, so I will probably never see the headphones I paid for ever again.

Papenfus, a self-employed mechanic from Ohio, made the threats to an extended auto warranty telemarketer based in St. Louis on May 18. On June 27th, he was "was lured to a Fostoria, Ohio, police station with a false story about being suspected in a tavern fight there," according to the St. Louis Post-Dispatch. He went into the station to clear his name, and has been held in jail ever since.

[His wife] Tracie Papenfus said she still can't understand why her husband is held 450 miles from home at the St. Louis workhouse on a $45,000 bond she can't afford to pay. (That amount could be lowered at bond-reduction hearing scheduled for Monday.)

"He shouldn't have mouthed off on the phone, but this is overkill," Tracie Papenfus said. "He just can't handle it in there. He's not a criminal. ... They make it sound like he's a terrorist, and he's far from it."

Although the St. Louis Post-Dispatch says the name of the warranty company isn't given in the court papers, the address is:

...the business is located at 300 North Tucker Boulevard. The only firm in that building that sells service contracts - popularly known as "extended warranties" - is TXEN Partners, which does business as Service Protection Direct. The firm did not respond to requests for comment.

The Better Business Bureau recently accused the firm of sending mailers to consumers that incorrectly state factory warranties on their vehicles either have expired or will run out soon. Last year, then-Attorney General Jay Nixon sued the firm for misleading consumers, and a condition of that suit's settlement was that TXEN Partners would refer to consumers' expiring warranties only if the company believes "in good faith" that those claims are true.

Papenfus received a fake warranty expiration notice from them—lawsuit settlements are for chumps, apparently—and he snapped, which is when he called to give them a piece of his mind. Things escalated from there.

Our favorite part of the article is this bit of stupidity from chief warrant officer Ed Postawko. "I think all sorts of people get frustrated with all sorts of businesses," he told the paper. "The solution is to don't patronize that business, it's not to break the law. ... Two wrongs don't make a right."

How exactly you "don't patronize" a borderline-scam warranty company that spams you and tries to trick you into giving them your money is a mystery we'll leave to the hive mind to figure out.

"Phone rage leads to arrest here for Ohio man" [STLtoday.com]
(Photo: KB35)

Jpodbuild first called his local Sears, and was referred to another number. At the second number he was told to go to the website www.managemyhome.com. There, he searched for an answer to his problem but found nothing, so he called the number on the site. They referred him back to the second number he'd called. Someone at that number had him call a third number, where a person verified his account information and had him call the second number again.

That's when he took the sander with him to his local Sears and asked the employee there to do something about it. He doesn't say how much time passed, but eventually the employee came back, grabbed a new sander off the shelf, and traded for it.

When I asked why I was receiving a new sander instead of some tech help, [the employee] told me that the manager of my local Sears had just made the same convoluted sequence of phone calls. Sears seems to have an internal problem. Eventually she shouted out a colorful metaphor into the phone at the last person she was talking with and then told Baby-face to just give me a new sander and tell me to go home. So… I went home and sanded into the night.

Thanks, Sears?

"Craftsman but not Techmen" [jpodbuild] (Thanks to Dan and Loy!)

I spilled a bit of Snapple on the keyboard of my early 2009 Macbook Pro. The unibody design requires the entire top assembly to be replaced, $320. So I pay that, but they tell me the logic board needs replacing because one of the fans isn't working. They say [I] voided my warranty because of the liquid damage to the logic board. So I open up the bottom and see what the problem is and it's just a little jumper wire that wasn't seated all the way in.

I press it down and click it back into place and the 2nd fan starts spinning back up, CPU temp goes from 80C idle to 45C idle.

I call them up and they tell me that the only way they can reinstate my warranty is by sending in the laptop because I opened it and tampered with the laptop. What a crock, it was the technician's fault for not seating the cable into the board properly at the time of the repair and now I'm being held responsible. Smithhaven Mall Apple store in NY. Can we get some justice on this? I even had ProCare and they brushed me off, including the manager - falling back on the Terms and Conditions of my warranty.

(Photo: Christoph*B)

Then he paid $200 in labor for a repair, but shortly after the warranty expired, so did his TV once more. Now he's stuck with a hunk of junk that's as busted as the Phoenix Suns' front office. Poor Mark's story:

We bought a Hitachi TV - 51' HDTV (Model 51F59) from UEC Web (order placed December 15, 2008 and received a couple of weeks later).

A month or so ago, my daughter heard a 'pop' from it. Then it had no picture and no sound, but the power light went on. We contacted the seller – UEC Web, and they answered us – here is their response, in its entirety (dated June 2, the same day I wrote to them, so it was a very prompt response):

Dear Mark:

We have asked Hitachi Customer Service to contact you and provide assistance.

The warranty for refurbished products is 30 days. You can obtain the name of a Hitachi Authorized Servicer by calling 1.800.HITACHI.

Best regards,

Customer Service Manager

Within the next couple of days, Hitachi Customer service contacted my wife, and offered to cover the cost of the part to be replaced, and they gave us the name of a local repair place (Leader TV). We had them repair the TV at a cost to us (of the labor) of over $200. We were able to use the TV a few times, and the same problem happened again! A "popping" noise, then no picture and no sound. (That story is considerably abbreviated – Leader had to come to the house multiple times and wanted to charge us separately for each visit…)

So, Phil, and Consumerist, I'm asking you for advice on how to proceed. UEC is obviously a clearinghouse for refurbs, and has no pretense to be anything else. The warranty policy was clear when we bought the TV. So, legally, we're probably SOL, and we know it. Do you have any thoughts as how to minimize the financial damage here, and maybe get Hitachi to really stand behind their product? The repair guy said that the TV is close to new, even though it's a refurb, so it seems to be pretty shoddy workmanship (imagine!).

Since advising readers to "punch Hitachi in the back of the head" isn't allowed on Consumerist, I'd say Mark should just cut his losses and buy from a reputable company that's willing to stand behind its products for more than a month. It's probably worth scaling the customer service escalations ladder to appeal for a free repair, but another lemon HDTV isn't much of a reward. What else can Mark try, folks?

Prof. Chen divides products into two categories: "hedonic" products that are associated with fun (flatscreen TVs, Wiis, stereos) and "utilitarian" products (computers, telephones). The iPhone is arguably both: functional as a communication device and as a mini light saber. Consumers are more likely to buy extended warranties for products that they value more. But more interestingly, consumers were more willing to buy warranties when they splurged on a product to alleviate their guilt about the purchase. "If you feel guilty," Prof. Chen says, "you're more likely to be risk averse."

The terms of a warranty can also impact a consumer's perception of a product's quality. Just like an insurance policy, a consumer needs to gauge how likely the event of a breakdown is. (Which leads us to wonder why someone would buy something thought to be crummy in the first place.) Those who receive discounts on the initial price of a good are more likely to spend money for an extended-service contract.

Your credit cards may also offer some form of extended warranty protection, but you'll have to call and ask your issuer for coverage details.

Why People Buy Extended Warranties [The Wallet]
Why Do Consumers Buy Extended Service Contracts? (pdf) [Journal of Consumer Research]
(Photo: andrew_cosand)

Saturn says:

Meet Christopher, James, Damian, and Maureen. They are allegedly behind the three companies responsible for 3 billion robocalls.

From Fox News:

Meet the main players behind the alleged scheme:

- Christopher D. Cowart, 47, of Fort Lauderdale, Fla., owns Transcontinental Warranty, a Delaware company based in Fort Lauderdale. A graduate of Southeastern Louisiana University, Cowart likes to read, travel and play golf in his spare time. He also maintains a Facebook page and uses a LinkedIn profile to advertise his latest business ventures.

- James A. Dunne, 36, of Daytona Beach, Fla., owns Florida-based Voice Touch with his wife, Maureen. Dunne has a checkered legal past, including charges of filing a false report of a bomb that landed him six months in jail in 1991. He was most recently arrested in 2001 for indecent exposure, but those charges were later dismissed.

- Maureen E. Dunne, nee Maureen Geisen, is James Dunne's wife. Little information can be found pertaining to her.

- Damian P. Kohlfeld, 35, of Valparaiso, Ind., is the owner of Network Foundations, which is based in Chicago. Kohlfeld allegedly supplied the technical know-how for the alleged telemarketing scheme employed by all three companies. The Arizona State University graduate has more than a decade of experience writing software and building computer networks. His latest hit, according to the FTC, was a "spoofing" device that tricked caller ID systems.

They've all denied wrongdoing, but the FTC seems fairly certain that they've got the right people. FTC Chairman Jon Leibowitz says consumers have already started to notice that the calls have stopped.

"I have never seen an issue that resonated so much," Leibowitz told FOXNews.com. "When I was at my daughter's soccer game, people came up to me and said, 'Thank you so much for stopping these guys.' It resonates because this is all about protecting Americans' privacy."

Have you gotten any car warranty robocalls lately?

Behind a Massive Robocall Scam, Four Human Faces [Fox News] (Thanks, Justin!)
(Photo:betaart.com)

Several readers also contacted us to point out that HP extended the warranties on a number of models recently due to motherboard failures, so John or other readers may have more options than they initially thought.

First, to satisfy everyone's curiosity, here are the motherboard prices John found. As some of you speculated, the $150 he originally mentioned was for one on eBay, not from HP:

Here you go. Actually, if I return the broken board they will sell me a refurb for $133 and a new board for $228.95. The $150 boards were on eBay. And you know they'd send HP the defective board for the "core credit". AND you know that Best Buy would NOT pay near what I'd have to pay for the board being that they are the only licensed HP reseller in my area.

http://h20141.www2.hp.com/hpparts/Search_Results.asp?mscssid=BB31E5F3F21343B380DA714B5C2DCD3A&SearchInc=PartNumber

A reader named Mark read the post and wrote in to tell us he recently had his own problems with an HP laptop, and discovered the extended warranty news:

My HP laptop just went down as well and after a tech support rep at HP told me it would cost $50 for ANY phone support, as my laptop is out of warranty, I did some searching online.

Please check out:
http://h20000.www2.hp.com/bizsupport/TechSupport/Document.jsp?&objectID=c01087277

It details a trend of motherboard failures and a two year warranty extension for this specific problem.

(Thanks to IT Insider, Erick, and everyone else who also sent in this info!)

Finally, we got some interesting inside info from John, a former CompUSA repair tech who offered an explanation to why Geek Squad's quote was so high:

I just wanted to let you know how it is from the service side of things. I worked on the repair side at CompUSA. Generally this is how it worked, we would order our parts from a third party. They would refurbish the parts and put a limited 30 day warranty on the part. When we order parts from them, Motherboards would generally cost between 500-1000 for laptops. I don't know how Best Buy has it set up, but I would venture it is similar. This takes the cost of doing the business of finding a part and knowing that it will work off of the retailer. And if the part was bad we could send it back and get another part at no additional cost to us. So if we were to go on ebay we would probably have to pay shipping for a part that we have no clue if it worked. It makes sense to me that this is how Best Buy does it too.

Check out their post on the subject. (Warning: video clip starts right away.)

Saturn owners should contact customer service to find out where they can get their vehicles serviced, according to General Motors. But they are also allowed to take their cars to dealerships servicing other GM brands for warranty service. However, a Chevrolet dealer in the Hartford area said they are not servicing Saturn vehicles under warranty, and the CBS Early Show found only four non-Saturn GM dealers out of 20 that they contacted in New York and New Jersey would accept a Saturn car for warranty service.

Who will perform warranty service my GM car? [Consumer Reports Cars Blog]

(Photo: winteridge2)

According to the Los Angeles Times, Senators Chuck Schumer (D-NY) and Mark Warner (D-VA) have asked the Federal Trade Commission to investigate the scammers, and they expect that charges will be filed in a few days. The FTC also added an auto warranty scam alert on its website, with a link to report the caller.

After a Reddit user got the phone number for the company and posted it online for all to see, we figured that the car warranty scammers would be subjected to all the fun things we read about on Encyclopedia Dramatica. That apparently wasn't enough, though, and the robocalls continued, eventually interrupting Senator Chuck Schumer during a meeting. We're hopeful that with the FTC taking it seriously, these robots will finally be defeated.

(Photo: Jeff Sandquist)

"It's the biggest scam I ever got involved with," she told Today. She eventually got her warranty refunded after threatening to report US Fidelis to her state's Attorney General; this may have something to do with the fact that 40 state Attorneys General are currently investigating the company for misleading consumers.

The Today show goes on to point out that the company has 1100 complaints with the St. Louis Better Business Bureau. The St. Louis BBB president told Today, "In my 35 years of experience I've never seen this kind of activity on a company, where so many people have told us that this company is using deceptive practices and misleading advertising."

One hilarious detail pointed out by Today is that US Fidelis calls itself a "faith based" company and incorporates a halo in its logo. A halo! They must be trustworthy, then. On a related note, they point out that founder and president Darain Atkinson served time in prison in his 20s.

Still not convinced the company is crooked? (We know, you probably don't need any more convincing, but it's fun to talk about this stuff.) Here are a couple of interviews with former US Fidelis employees from the exposé:

Here's the capper: ex-con Atkinson is currently building a $17 million dollar mansion in Missouri. The only things missing from it are bats flying out of the uppermost tower.

Watch the full story here:

"Do extended car warranties protect you?" [Today Show]

We're not sure why the TiVo CSR couldn't explain that to Sam over the phone, but now you know what to expect if your TiVo DVR goes all red-ring in its first year of operation.

"TiVo® DVR limited warranty" [TiVo]

Chris says:

Do you know that Home Depot sells G.E. Hot Water Tanks? Do you know that those tanks come with a 6 year warranty? And did you know that if you get a defective tank from Home Depot there is a sticker on the tank with a 1-800 number to call for warranty service rather than taking the tank back out and returning it to the store? And when you call the number they help diagnose your problem and set up a service call with a G.E. repair tech that covers your area?

This all happened over Easter Weekend at my parents' house. They are elderly and my dad is handicapped. The people at the 1-800 number were wonderful….until Monday afternoon. That's when my parents got a phone call telling them that while GE would happily overnight them a replacement thermostat to replace the defective one on the tank they had no G.E. service techs in the Western Massachusetts area. Instead they suggested that my parents find a plumber and have it fixed themselves. They said that if the plumber submitted the proper paperwork to G.E. that he would be reimbursed "up to $100" for his efforts. What plumber is going to come and do repairs to a tank that he didn't install for "up to $100" if he submits the proper paperwork to G.E. after the fact?

In other words, Home Depot sells hot water tanks from G.E. with a warranty that G.E. is unable to fulfill in the Western Massachusetts area. But consumers don't find that out until it is too late. Needless to say I am following The Consumerist's advice on how to escalate this as well as filing complaints with the appropriate Better Business Bureau office and the Massachusetts State Attorney General's office for warranty fraud.

We asked Chris to keep us informed, and a day later we got this:

Yesterday afternoon I received an arrogant, obnoxious call from someone in Alabama that makes the hot water tanks and also provides the service on the warranty for G.E. He insisted that by offering to reimburse my parents or a hired plumber (up to $100) that they were still offering warranty service. When I explained that it says nothing like that on the written warranty he had no response. He offered to call and speak with my parents. When he did so he told my mother that if she made multiple calls to multiple plumbers he was sure that she could find someone to do the job for under $100!! Needless to say we all found that unacceptable for something that was broken out-of-the-box.

About 30 minutes after that I was involved in a conference call with someone representing Frank Blake, CEO of Home Depot, the manager of the store in West Springfield, MA where the tank was purchased and also the person responsible for handling contracts between Home Depot and G.E. All three seemed genuinely shocked that G.E. would not honor their warranty in Western Massachusetts. None of them had ever heard of this happening. I was the first to bring this to anyone's attention at Home Depot and they were more than happy to help my parents resolve the issue. In other words, Home Depot was backing the warranty that G.E. wouldn't! From a business and legal perspective they weren't at all obligated and they could have told me that but didn't. As of this email, a plumber from Home Depot is scheduled to be at my parent's house today to fix or entirely replace the defective tank. They said that they would be dealing with G.E. when this was all taken care of.

I can honestly say that I was totally shocked by the positive customer service commitment from Home Depot. I never expected this response in a million years. Frank Blake and his people, especially Chris, the manager in West Springfield, have gone way above and beyond what was expected. As for G.E., I got exactly the response I expected; arrogance, ignorance and completely ignored by the higher-ups I emailed on par with Frank Blake.

Good job, Home Depot!

(Photo:mroach)

My dad and I were at the airport and went to Brookstone's to browse and we ended up buying a massager thingy and some batteries to go with it. While at the register, the saleswoman kindly informed us that it comes with a two year warranty. We were pleased but didn't think much of it.

After she passed the items through and gave us the receipt, my dad looked at the price, saw the math didn't compute and asked if the tax was really that high (this was after just glancing at the final price and not looking at the whole list).

The saleswoman tried to tell us that we forgot to add the batteries to our calculations but my dad maintained it didn't make sense. Than the saleswoman mentioned that the warranty was $3. We were pissed. She definitely had us thinking it came with it for free. After taking a much closer look at the receipt to make sure there weren't any other problems, we found another "mistake". It was $4 and not $3 and certainly not free.

Seeing how she wasn't remorseful and didn't at all seem embarrassed, I asked her straight up, "Were those your mistakes or did they tell you to do that?" She answered surprisingly honestly, "They tell us to come up with schemes to sell the warranty."

After being pretty pissed I told my dad we shouldn't get the warranty after all this. We both kinda wanted it but we didn't get it out of principal. We left warrantless and unsatisfied.

Later, after examining the product, we realized we still had the receipt that said we got the warranty- and therefore could use it anyway since all you needed was the receipt. Sweet revenge.

Maybe she actually read the company's Code of Conduct and Ethics (pdf) and was having trouble reconciling her own behavior to Brookstone's stated commitment to "ethical dealings with customers." All we know is, she would never make it in certain big box retailers, not with that attitude.

(Photo: The Talented Mr. Nimo)

Microsoft says:

While the majority of Xbox 360 owners continue to have a great experience with their console, we are aware that a very small percentage of our customers have reported receiving an error that displays "E74" on their screen. After investigating the issue, we have determined that the E74 error message can indicate the general hardware failure that is associated with three flashing red lights error on the console. As a result, we have decided to cover repairs related to the E74 error message under our three-year warranty program for certain general hardware failures that was announced in July 2007. We have already made improvements to the console that will reduce the likelihood of an occurrence of this issue.

Further, Microsoft says they will refund he amount their customers paid for an out of warranty repair due to the e74 error message, and that no action by consumers is necessary. If you paid for this issue to be repaired you should automatically get a refund within 4-12 weeks.

If you don't get your refund by July 1, 2009, Microsoft says that you should contact them to file a claim.

Description of the E74 error message warranty extension [Microsoft]

Andrew writes:

Recently I had my Audi A8 serviced under warranty at Audi of Downtown LA (ADLA) for overheating and minor warranty work. There has been problem after problem directly related to repairs and service performed there. I had to return a second time so they could finish the original repairs and fix their mistakes from the first visit. One of the repairs was to my trunk. The adjustment made to the trunk mechanism of my A8 has caused the trunk to leak and fill with water when it rains. This has damaged my personal property that was within my trunk and has caused my vehicle to now smell of mildew. I returned to ADLA for them to rectify the problem only to be informed that ADLA did not want take responsibility for the damage done to my vehicle due to their work. I was also charged $300 to my credit card for the "provided" rental car. As well the other work completed on the car during the two weeks they had it did not rectify the problems diagnosed.

I have tried resolving this through the dealership as well as contacting Audi USA, to no avail. My insurance company is not covering it due to the damage being done under contract.

I have been treated with the utmost disrespect by the service manager of ADLA and I have no other recourse then legal action against the dealership.

Below is the email I sent to Dwayne at AudiAdvocate on Monday. He said he was going to get back to me by today regarding this. As of now, 5:22PM, he has not.

After first bringing my Audi A8 to Audi of Downtown LA (ADLA) for overheating and minor warranty work, not all the work was completed and the rear brake rotors were installed incorrectly (directional cross drilled rear brake rotors were installed backwards). So after first being without my car I had to reschedule another visit to complete the repairs as well fix the incorrectly installed rear brakes . After a few weeks I got a call from ADLA saying all my parts were in-stock and scheduled me to come in. To repeat, they called me to tell me my parts were in-stock. That the repairs were only to take a day.

So I bring the vehicle in and two week go by and I have heard nothing to the status of my vehicle. So I called and asked and was told then that my vehicle is ready. I ask them to please have my car ready for pickup at 5:30 PM. I arrive at the dealership and see my car sitting filthy and unwashed (the day previous to bringing the car in I had a $200 detail done). So immediately I am upset. I then approach the service counter and nothing has been printed or made ready for me to leave. So I now have to wait nearly an hour for them to do what should of been done at 5:30. Then the service advisor Juan who had replaced my previous advisor Susan, who now is no longer with the dealership. He informs me that some of the previously promised work was not done to my car. They did replace my arm rest, navigation unit, and adjusted the automatic trunk. The body molding that i was called and told was painted was now on international backorder. The MMI control short would not be repaired due to the fault being deemed not covered under warranty. This of corse is after having my car for two weeks in addition to the two weeks previous. Never once giving me the option of fixing it or not.

In the end, the repairs made to the Navigation unit did not rectify the problem, I am still without a functional navigation unit. I was billed $300 by Enterprise for the rental that I was supposed to be provided during the time ADLA had my vehicle. The adjustment made to my trunk mechanism has caused the trunk to leak and fill with water when it rains. This has damaged my personal property that was within my trunk and has caused my vehicle to now smell of mildew. I returned to ADLA for them to rectify the problem only to be met by Vicki, the Porsche Service advisor. Derek, was out of the office for a seminar and was not there. She informed me that ADLA did not want take responsibility for the damage done to my vehicle due to their work. She also informed me that ADLA did not want my business. I have no faith in the skills or competence of the entire service department of Audi of Downtown LA. I would not choose to return there in spite of the dealership being down the street from my office.

The first time I had the car in the previous service advisor, Susan had kept in constant contact with me. When I returned she was no longer with the company and I was introduced to Juan, who would be my new advisor. I had to restart from the beginning and I Juan was telling me a different story then Susan about my parts. I left expecting some form of communication from Juan. Two weeks go by and I hear nothing about my vehicle. Juan has records in his computer of messages left. But I have no such messages and the phone records that prove that. The level of customer service at Audi of Downtown LA does not reflect the Audi name and image. Being treated second tier is not something I have been accustomed to with audi and am very sorry to say that I am extremely disappointed with the level of service and the utmost disrespect from Derek Uerling, service manager.

I also received mail correspondence from ADLA regarding the reviews for the service department and that anything besides a positive review would result in a fail for Derek and ADLA. Tactics like that are not received well. Especially when I tried to send in the review and the website link goes no where. As I most definitely wanted to voice my opinion on my experience.

So now I still need to rectify the problems I initially had with the vehicle as well as the new issues that have presented themselves. I spoke with Dwayne, one of the A8 advocates earlier today. He gave me this email.

Please advise as to how I should proceed as soon as possible.

Look forward to hearing back from you.

High staff turnover? Multiple failed repairs? Sounds like something strange is going on down at Audi of Downtown L.A. Reach out to Audi corporate. Hopefully they'll recommend a new dealership, one that can drain your trunk and fix your car.

(Photo: span)

Melody writes:

Apple is supposed to have the best customer service, but my experience with them has been nothing short of frustrating. I was hoping you could help out.

I had ordered Applecare along with my Macbook Aluminum on October 14, 2008 through the Applestore. I later called to upgrade it to a 2.4ghz Macbook instead, and the CSR ended up making a mistake and inputting a purchase for AppleCare international instead of the US Applecare. When I took my laptop to get repaired on January 30, 2009, I was told I did not have AppleCare. I made numerous phone calls to AppleCare (case number 116149917) and even went to an Applestore and showed them my AppleCare agreement paper I went sent in the mail. They insisted that they had no record, but on my apple account, there is an order on October 14, 2008 that shows I purchased AppleCare with my computer purchase. I already went through a lot of difficulty with the original purchase because when the CSR upgraded my laptop from the 2.0 to the 2.4, she put a return on my printer, which I wanted to keep, and thus prevented me from obtaining a rebate. That took numerous phone calls to resolve. The situation with my AppleCare warranty was even more of a nightmare.

After several phone calls and getting transferred to separate departments, I finally was able to spoke to CSR Julia at (512) 674-2500, ex 41224. My case number is #116149917. After speaking to her, she figured out that the Apple customer service representative had make a mistake and sold me AppleCare International, so that's why it wasnt working. She wasnt able to switch that to regular US AppleCare, so she said that she would arrange a refund of the cost of the AppleCare to my credit card I used for my purchase and I should repurchase AppleCare again. She said it would be processed by the end of that week. That was on February 3, 2009. So I bought AppleCare again online, anticipating my refund from Apple. By February 18th, I still had not received credit back to my credit card for my AppleCare. I called Julia, and she told me that she never told me it would be done by a week, that it would take 10 business days, and that it would be 2 cycles to be credited to my card.

Today, I called Apple once again because the credit has not showed up on my credit card and it has been two billing cycles already (my billing cycle ends on the 18th). After talking to the CSR for an hour, they figured out that they had refunded back my purchase on my American Express back in February. They gave me two transaction numbers (******3703 and ******2091) to check on with American Express. I called American Express, and guess what, those numbers don't exist and there is no refund from Apple. I called back customer service, and was told they would "escalate" the refund. The new CSR I talked to said that a refund was never processed. What?? He said he would escalate it, and they would take a few days to ten days to process, and another 2 billing cycles to credit to my account. He said to call back again in 48 hours to check on the process, and gave me a new case number of 120786610.

So now, I'm just really really pissed off. Something that wasn't my mistake to begin with has already cost me 10 hours of talking to CSRs and getting put on hold, and re-explaining everything. And now, potentially it will be another 2 months until I get my refund. I emailed sjobs@apple.com on February 19th, and had no reply. I don't know what else to do to speed up the process. Calling customer service gets me nowhere…apparently I get made-up American Express refund transaction numbers and get lied to. Who else can I call? I'm a big fan of the Consumerist, so I was hoping maybe you could publish my story and some Apple higher-up or something might see it. I love my Macbook Aluminum (except for the problems w/ its keyboard), and I've been a Apple customer for years (iBook, iPod touch, iPods, Macbook). But, I've never been so frustrated with Apple in my life. I've spent way too much time trying to explain and get this problem solved.

I'm going to check on the status of the case again in 2 days, but as of right now, I have no faith…and I cant believe I have to wait another 2 months for the money for a product I never received. I bought this in October…and its going to be possibly May/June until I get my money back. I'm a student, so the $183 + tax ($195) is a lot of money to me.

Apple, care to fix this one for Melody? Sending her the $195 you owe is a good start, and if you really feel bad for the unnecessary bauble, nothing says "Sorry We Lost Your Refund" like a new iPod shuffle.

(Photo: robotpolisher)

Who is eligible for restitution under the Dell multi-state settlement?

Anyone who bought Dell goods or services between April 1, 2005 and April 13, 2009

AND experienced one or more of the following may be eligible for restitution:

• A problem with a Dell financing offer
• A problem with a Dell rebate
• A problem with Dell financing
• A problem with a Dell repair, warranty or servicing

Residents of the following 34 states are eligible for refunds:

Arizona, Arkansas, California, Connecticut, Delaware, Florida, Illinois, Iowa, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Mississippi, Missouri, Montana, Nebraska, Nevada, New Mexico, North Carolina, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Utah, Washington, West Virginia, Vermont, and Wisconsin.

Filing a claim form does take a little bit of actual work in that you have to go to your state Attorney General's page and fill out a form, but this is a rare chance to make Dell pay for their shoddy service. Spend five minutes finding the form and submit it before the April 13 deadline.

Dude, don't wait on that Dell refund! [All Consuming]
PREVIOUSLY: Dell Settles With 34 States Over Anti-Consumer Practices
(Photo: DM Rosner)

I work at Sears Holdings to develop and promote Craftsman tools. I am sorry to hear that we did not get it right the first time Brian visited his Sears store for a Warranty exchange on Craftsman tools. Unfortunately, we do not always get 100% execution from all our associates on our warranty exchanges, although we are always striving towards it.

In response to your column, I have worked internally to be explicit on the issues pointed out to make sure we do not disappoint again. Craftsman tools have a heritage of performance and trust. I want to assure you and your readers we stand behind the warranty – complete satisfaction – period. Though disappointed with Brian's experience, I'm grateful that I could learn of it and take steps to prevent a similar mistake in our stores for the next customer. An excerpt from the internal communication to our store associates is below.

Subject: Craftsman Hand Tool Lifetime Warranty

There have been several news articles and emails regarding customers being denied Craftsman Hand Tool exchanges for reasons that are not part of the warranty. We've had specific complaints of denied exchanges based on:

- Tools having rust on them

- A 3 Piece per day limit on exchanges

These are NOT valid reasons for denying our customers their right to exchange their Craftsman Tools under the Lifetime Warranty.

The warranty states: "If for any reason your Craftsman hand tool ever fails to provide complete satisfaction, return it to any Sears store or other Craftsman outlet in the United States for free repair or replacement. This warranty gives you specific legal rights and you may also have other rights which vary from state to state."

Our Craftsman Hand Tool Lifetime Warranty is one of the most important competitive advantages we have in the market. It is crucial that we ensure all of our sales associates are trained to understand all the hand tools that are covered under this warranty.

What we'll do is that I'll go to the copy and print center, get into Photoshop, take one price tag that was $599 from another item in the store, cut out that area of $599 and position it exactly where the $499 price is in the current tag and then run that price through some card stock and cut the paper out in the same exact size as what's called a ‘fact tag' in our stores. And now that's the price. It's legit.

The magazine spoke with an FTC official who confirmed that lying about inventory is illegal:

"When you're selling a product, it's illegal to lie," said Lois C. Greisman, associate director of the FTC's Division of Marketing Practices. "It's illegal to make false claims about a product, such as ‘It's out of stock' when it's not or that a clearance product has a certain markup. You can't lie when you're selling a product."

So what about Office Depot's internal memo last week that clearly stated the company doesn't condone such practices—was that enough to protect Office Depot from responsibility? Maybe not:

Greisman also said that, even if a large retail chain has an official corporate policy which bans a sales practice, it can still be held responsible for employees who violate the written policy.

"Management is responsible and a corporate entity is responsible. If a company were under order and if it were to violate that order, it could be held in contempt," she said. "Our experience is that a company that wants to adequately police its stores is able to do so."

The employee who confessed to LAPTOP said the easiest way to confirm that the price you're seeing on the tag is the real price is to look up the SKU on an in-store kiosk, but he also notes that his manager removes all signage around the kiosk that indicates it's for customer use. If you're in an Office Depot where the kiosk isn't clearly indicated, or where an employee tells you it's not for customer use, get out! It's a trap!

So is any Office Depot safe? Sure—the employee who confesses this seems to have come up with the Photoshopping trick on his own, but he says his manager approved of it and told other managers with similarly stunted ethics. If you buy computers and other high-end electronics from Office Depot, you should read the full LAPTOP article for more details on their pricing tricks.

"More Office Depot Employees Report Lying to Customers, Changing Price Tags" [LAPTOP Mag]
"FTC: Lying About Notebook Inventory Violates Federal Law" [LAPTOP Mag]

RELATED
"Office Depot Employees Claim They're Told To Lie About Stock If You're Not Buying Extras"
"Office Depot To Employees: 'Don't Lie About Inventory'"
(Photo: 摩根)

While Brian was looking for warranty information online, he came across this email from a Sears rep in 2005 who states that "The guarantee is not limited to the original owner." This is not what Judy, the woman he spoke with last week, told him.

One of the many times I was on the phone with Sears, I was told the reasoning behind their policy on rust. They said that customers were buying Craftsman tools at flea markets and returning them for new ones, which isn't allowed. They told me that the warranty was not transferable (this was Judy).

So now we have conflicting information on two different topics: whether or not rust invalidates the warranty, and whether or not the warranty extends beyond the original owner. In both cases, the more consumer-friendly version is from the past, which may indicate that Sears has decided to retroactively change the terms of its "lifetime warranty" without announcing it officially.

On Saturday, Brian says he received an email from Sears that told him "to clean the rust off of the sockets, and then they will be acceptable under the warranty." He did that, and brought them back to Sears later that day, and it worked:

There are a lot of factors to consider: I was dressed nicer, I got a different associate named Bill, I had cleaned off some rust, they were busy, or it could have been a corporate memo defining "Lifetime," but regardless, today I successfully exchanged 5 of the 9 sockets for new replacements. Bill didn't even bat an eye, even considering there was still rust on the inside of the sockets. No mention of the three per day limit either. Could it be I just got the Sears version of Adolf the first time around? Either way, I still think I'll stick with another brand next time I need a tool.

RELATED
"Sears Can't Get Its Story Straight Regarding Rust And Craftsman Tools"
"Craftsman's 'Lifetime Warranty' Depends On Tool Associate's Mood"

Brian's first email to Sears (we reprinted it earlier today) triggered a meaningless auto-response, so he tried calling. Here's what happened, according to a second email he sent to Sears and copied to us:

I doubt this will do any good, considering the last detailed email I sent was replied to with what looks like an auto-reply message, but here goes. I called the number you provided, and spoke to a charming girl in India or Pakistan or somewhere, who did not understand my concern. I was then transfered to another girl from the same country who once again didn't understand. She just kept repeating that they would not replace a tool with rust on it. She even went on to tell me that I should just throw away the sockets in question. I have a problem throwing away anything that came with a lifetime warranty, so I'm pretty sure I won't be doing that. She finally gave me a number to a different customer service line (800-549-4505) and told me to try them. I called and spoke to Judy who was very friendly and knowledgeable. She reiterated that Craftsman excludes all tools that have rust on them. Alright, fine. I give up. What about my Craftsman tool box which leaked causing my tools to rust? She stated that it wouldn't be covered under the lifetime warranty either. It appears Craftsman just won't budge on this issue.

I averaged out my tool purchases and came to the conclusion that I have spent about about $300 on Sears tools, per year, since I was 15. That means that thus far I have spent $3,000 on Craftsman products int he last 10 years. If you figure that I will live until I'm 80, that would mean future purchases of approximately $16,500. A new car in other words. Now with the economy the way it is, customer loyalty is very important to companies, but by treating your loyal customers this way, you won't make it through the next 5 years. I'm just one voice and I know that the decision makers and CEO of Sears will probably never hear my story, but I have to try. I was a customer who was buying Craftsman partly because of tradition, and partly because of a lifetime warranty. Little did I know that "unlimited lifetime warranty" had exceptions. It is sad that I am now one of the exceptions. This process has left me with a feeling of alienation by a company and brand I trusted. By replacing 9 sockets that would probably cost you $5 to make, you would have kept a lifetime customer. Now I'm afraid that the warranty on my lawnmower won't be good because it has grass clippings on it.

My next emails will be going to every other tool company that offers a lifetime warranty. Perhaps one of them will value their customers more.

Thank you for the last 10 years, and good luck surviving in this economy.

Now here's our problem: in March 2007, our own Ben Popken contacted Sears about this exact issue, and he received the following response:

Craftsman hand tools come with a life-time warranty against product defects. If a Craftsman hand tool ever fail due to a defect in the product, simply return the item to the nearest Sears store. Some exclusions does apply which would void or do not apply to the life-time warranty, which include but is not limited to:

• The item being altered in any way.
• Lost, stolen or damaged by an act of God (such as fire, flood, etc.)
• If the item is used for any other reason than its intended purpose, including neglect.
• Rust that does not prohibits the performance of the item (most rust is strictly cosmetic and does not justify being classified as broken)
• Precision hand tools that includes a mechanism (such as calipers, micrometers, most torque wrenches, etc).

Clearly, then, Sears means that you cannot simply trade in an otherwise functional tool with rust on it and receive a rust-free one. Rust is not grounds for replacement.

Again, just so we're all clear (please let some Sears C-level type be reading this): Brian, a lifelong Craftsman customer, tried to replace sockets that were no longer functional. The rust is a non issue. He is not trying to return sockets because they are rusty.

So when did you change your policy, Sears? We're having a hell of a time tracking down the official lifetime guarantee wording anywhere on the Craftsman or Sears site, but we'd love to get a look at the official language, and find out from Sears exactly when the policy changed for the worse.

What's sad (for Sears/Craftsman) is that once again an overzealous employee has ruined the brand experience for a good customer—someone who actually connects Craftsman to his family history. Check out the letter he sent to Sears after being turned away:

Hello. My name is Brian and I have been an avid proponent of Craftsman tools since my teenage years. My grandfather was a mill worker who used only Craftsman. My father was an electrical engineer who swore by Craftsman. I am an IT professional who prefers Craftsman over any other tool brand. When my grandfather passed away, the one thing I wanted was his Craftsman tools. I have a vast collection of your tools, from sockets to Allen wrenches. Ratchets and wrenches. Screwdrivers and power tools. All said, I own more than 1000 individual Craftsman pieces. There are three reasons for this:

• It is a family tradition to use Craftsman tools. It was instilled into me at an early age.
• Craftsman (for the most part) is made in the USA.
• Craftsman has a lifetime warranty on their hand tools, or so I thought.

My dilemma begins a few months ago when I relocated to San Antonio Texas from Huntsville Alabama. When I moved, I took all of my Craftsman tools, placed them into my Craftsman tool box, and loaded them into my U-Haul. I drove 16 hours straight to San Antonio, and unloaded my U-Haul the day after arriving. During my trip, it rained and the U-Haul leaked. Fast forward to last week. I had a problem with my Jeep Wrangler and decided to take an afternoon and repair it. I found my Craftsman Tool box, pulled it out, opened it up, and found that my tools, mainly the sockets, had rusted. No problem. I simply brought out some rust remover and a wire brush, and set about cleaning my tools.

Through the last 10 years of using Craftsman, I have always had a special box for damaged Craftsman tools. If a socket slips or is rounded, I place it in the box. If a ratchet breaks, I place it in the box. So on and so forth. Now, I kept that box in the Craftsman tool box that I kept my other products in. So when my Craftsman tool box leaked, the damaged tools rusted right along with all the others.

Today I was organizing my tools in preparation for a new project on the Jeep, and ran across my box of damaged Craftsman products. I decided that today was the day I would take them to my closest Sears store and get them replaced. I searched Google and found the closest store, and then also searched to find a copy of the warranty. I couldn't find a copy of the warranty, but I ran across an article on Consumerist.com about rust and Craftsman tools. I am an avid reader of The Consumerist, and put a lot of credence into what they say. They advised that rust was considered a cosmetic defect, and therefore rust was not grounds to have a tool replaced. Fair enough, as long as the tool works, who cares what it looks like. With that in mind, I went through the entire batch of damaged tools, and pulled out the ones I felt didn't meet this criteria. I was left with about 9 12pt sockets that were rounded, a screwdriver with a broken tip, and a pair of vice grips that wouldn't stay gripped. I placed those items into a bag and drove to Sears.

When I approached the counter, I explained to the girl that I had some Craftsman products I needed replaced. She took a look and paged a Tool Associate to the counter. She went and got my replacement screwdriver and we waited for the Tool Associate to show up. When he did, he took a look at my damaged tools and told me that they did not replace sockets because of rust. [This is true. -Ed.] I explained to him that this was fine, as that there were mechanical defects with the sockets. They were rounded and therefore were not usable. He then proceeded to tell me that they could only replace 3 tools per day per customer. That seemed a little odd to me, but once again, I understood. Next he told me that he wouldn't replace the sockets because it was "obvious" that I "didn't take care of them". I felt that came off as borderline offensive. I explained to him that the sockets were in a Craftsman tool box that leaked. He again reiterated that he couldn't replace the sockets because of rust. Tired of arguing, I said that was fine and asked if I could just get the screwdriver and vice grips replaced. He said yes and went and got the vice grips, rang me out, and sent me on my way.

When I left the store, I noticed that above the entrance, in large letters, was written "Satisfaction Guaranteed or your Money Back!" I had myself a snickering laugh and headed home to write this email. I am writing you to ask what I should do? Does my toolbox qualify for replacement under the lifetime warranty because it leaks? What should I do with the 9 sockets which are rounded and of no use to me?

I am a reasonable man. I've worked in retail and I understand the reasons you have your "Rust" policy. But I find it a bit misleading to offer a "Full Unlimited Warranty" or to say "If any Craftsman Hand Tool ever fails to provide complete satisfaction, return it to any Sears store," if doing just what your package says, only results in a denial and an insult. Is there anyway you can help me with my dilemma? Or if not, can you recommend a company for me to buy my tools from in the future?

We like Brian's approach: if Sears doesn't want to treat its customers like, you know, customers, then just tell us where to shop and we'll go there instead. That way everyone is happy, especially the Gollum-like Tool Associate ("Mine! MINE!") and his horde of Craftsman products.

Update: Brian was able to speak to three CSRs at Sears and has been told something quite different than what Sears told us regarding Craftsman warranties.

(Photo: Diego Cupolo)

They spoke with Rich, a current Office Depot associate, who said it happens all the time at his store:

Rich said that he was always honest with customers but had been instructed to lie about notebook stock both by one of his four store managers and by a district manager.

"I have witnessed lying about the availability of a notebook, and have been told to do so myself," Rich told us. "Once I was talking to the customer and, while I am actually speaking, my manager comes on the radio and tells me to say it is out of stock if they aren't getting anything with it.

The company also determines commission based on overall store performance, not individual sales, providing further pressure to game the system as necessary. "One [Product Protection Plan, or PPP] could make or break how the entire store gets paid for commission that week," says Rich.

According to Rich, the district manager once visited his store and told all the associates to lie.

"We did get told by the district manager one time to talk to the customer, figure out what they want, do your normal sales routine, and figure out what they're going to get," he said. "Offer them the PPP. Offer them the TDS and then, if they're going to get it, go check to see if we have it in stock and, if we do, bring it out to them. If they're not going to get anything with it, just go check to see if we have it and then come back and say ‘oh, we're out of stock on it.'"

LAPTOP makes a few suggestions on how you should go about buying a laptop from Office Depot now that you know about the inventory trick, but we think the best approach is a combination of two of them: first use the in-store kiosk to determine for yourself whether or not the laptop you want is in stock, then lie to the associate and say you want a PPP, and change your mind once the laptop is where you can see it. Or just buy your laptop somewhere else.

Read the full article, which has lots more dirt on Office Depot sales practices, along with a "we take this very seriously" non-comment from Office Depot, at LAPTOP magazine.

"Source: Office Depot Associates Routinely Lie about Notebook Stock" [LAPTOP Magazine]
(Photo: 摩根)

tking says:

My problems started when my Dell Vostro 1510 laptop wouldn't keep the power cord plugged in without extra effort. The first tech support person was more interested in replacing the power supply, I was told not to worry about the plug. The second request got more attention after I also uploaded a picture of the power jack now missing the center plastic part to let them see first hand. They sent a guy to repair it (who didn't seem to know what kind of computer he was fixing when he came). I wasn't home at the time and when he was done told my wife he left it in sleep mode. After he left she went to wake it up and start using it to update the budget and do a little online shopping.

That's when she started to realize that something was wrong. She couldn't get it to boot up… sometimes the screen would flicker, sometimes nothing at all. I picked up the laptop during my lunch break and took it back to work to look at it. I managed to use a Windows system restore to get booted, but required another service request to figure out all the fun new warning messages I was receiving. That support person was able to get that part straightened out (somewhat, it still seemed a bit off) so I shut the laptop down and took it home with me at the end of the day.

After that, the next fun time started when I wanted to use the laptop to work on some emails… it wouldn't go more than a few minutes at a time without rebooting, sometimes it would just go black and freeze. So the second support request of the day (and 4th overall) I ended up running diagnostic test after diagnostic test. The next new fun problem came up when during the tests I started getting yellow vertical lines down the display . Now they say I need another new motherboard and now a new video card.

To sum up… 4 tech support requests and 1 on-site visit (so far, plus 1 tomorrow).

The math looks like this:

1 bad motherboard + 1 Dell repair = 1 more bad motherboard + 1 newly created bad video card + 1 more Dell repair

I'm a little afraid the next repair will result in missing the display or keyboard or something altogether.

Oh dear. Well, it seems that you've got the situation in hand, despite the tragic results.

We've all got our fingers crossed for you. Right guys? Cross your fingers for poor Mr. tking, damn it.

Good luck.

I am getting a new cooktop, paid for by my home warranty. I received a message on Monday that it would be delivered on Tuesday, and I called back to see if I could change the time. I first spoke to the warranty service person ("Warranty"), and she "transferred" me to the delivery person ("Delivery"), which is when things get fun.

Delivery and I speak for a few minutes - she confirmed my address, etc. At some point, I ask, "Is this just a delivery or is it an installation? I have time to stay home for a dropoff, but I don't have time to spend with an installation person." Delivery hesitates, clearly not sure about the answer to the question.

Suddenly, Warranty chimes in, "This is just dropoff. Install will happen at another time."

I am a bit surprised, since I did not realize that Warranty was still on the line. My surprise is nothing, however, compared to Delivery. Delivery FREAKS OUT, asking questions like "Who is this? Why are you on the line? If you work for Sears, why didn't you tell me you were on the line?"

After they debate this for a while, Warranty gets back to helping me. I acknowledge that install will happen at another time and agree to be home for the delivery on Tuesday. Delivery is mostly silent, with occasional outbursts of "I wish someone would tell me what is going on." and similar phrases.

As we prepare to end the call, I ask, "So, delivery will occur tomorrow (Tuesday). Is that correct?" This is met with silence. After a few seconds, I say, "Hello? Is anyone there?" Warranty says, "Where did she go?" Delivery says something like, "I am still here, but I don't know what is going on. Yes, your delivery is coming tomorrow, but what is with the listening in? This is not the White House. We don't need Secret Service." Warranty attempts to clarify that she was just listening to make sure that I had all of my questions answered, but this is to no avail. I say thank you and we all hang up (I assume).

Quotes are used liberally above - I unfortunately don't have a recording. I would honestly like to thank Sears for outstanding customer service - they have been very efficient. I just hope that their warranty and delivery departments aren't in the same building or there may have been a fight!

(Photo: justj0000lie)