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ADT Security Systems Surprised me with a $450 cancellation fee when I moved! (and I never knew) ripoff Houston Texas
I called to cancel my service because of a move and they told me it was a $450 contract cancellation feel. I asked why they never told me at the beginning and he said it is in the contract. When I said, "Don't you think they should have told me that when I signed up?", he replied, "Well if a sale person was to say that he would risk loosing the sale and they are paid on commission"!!
I was absolutely mind boggled!!
Richard
Houston, Texas
U.S.A.
9 Updates & Rebuttals
Tammy
Sallisaw,Oklahoma,
U.S.A.
fighting suprise cancellation fees
#10Consumer Suggestion
Wed, May 16, 2007
I had a similar situation with ADT. was also charged the $450 mystery fee that was NOT listed on the contract. I hope the following helps you and others in some way. Sorry this is so lengthy:
I moved with one year left on my three year contract. To keep from being charged the cancellation fee that was listed on my contract, I had the service moved with the home. (The listed cancellation fee was between $100-$250 depending on time left in the contract, not the $450 they later charged me.)
Before the move, I asked if I would be able to cancel at the end of the next year. I was told that there would be no problem with that since the original contract was for three years.
However, at the end of the year when I called to cancel, the company twisted the terms of my contract to make it look like I still had two years left.
I contacted the Better Business Bureau along with filing a rip-off report on this site. After several months and countless headaches, ADT finally removed all of their fraudulent charges from my account. I even received a small refund for an amount I had overpaid.
Thankfully I had saved all the paperwork that had the terms of my original contract. I also saved all of the correspondence from ADT and the Better Business Bureau including several e-mails about the disputed amounts, notes from phone calls, and letters.
Suggestions - Check the fine print. Can you prove their wrong doing? If they charged you one amount but the contract said it would be something else, you may have a point to argue.
Also, what was the length of the contract, and what exactly did it say about a move if it took place during the contract time?
Christine
Tempe,Arizona,
U.S.A.
Take some responsibility for your actions.
#10UPDATE Employee
Thu, April 12, 2007
1st. You must have signed a contract. Did you read it? Even if you didn't you should know that a contract is legally binding and if you terminate before it runs it's course, you will be penalized. That's the whole basis of a "contract".
2nd. ADT has been in business for over 100 years and I doubt posting this will cause any harm to their reputation.
Larry
Lakewood,California,
U.S.A.
Things to consider when getting an alarm system
#10Consumer Suggestion
Tue, February 13, 2007
To the OP, I feel your pain. However there are a few things to keep in mind:
1. There is no such thing as a "free" or discounted alarm system. For years, alarm companies have had 2-3 year contracts and early termination fees. This is always spelled out in the contract.
2. When you make a purchase from a salesperson "in home", most states (and I can only speak for CA and TX) have a "3 day recision" rule in place.
3. HAve you ever heard of Clark Howard a consumer reporter/radio personality? He has warned about signing contracts for years.
4. The alarm company is in business to make money. You don't think the 1-2 technicians who came to install the system are working for free do you?
5. Of course the salesperson makes a commission. He/she isn't working for free either.
6. The "free system" when you move isn't all that free either. This is ADT's attempt to keep you arounf for another 2 years, and add upgrades to your new location. As a bonus, they will also contact the new resident of you old location to sign-up. A win-win for them.
My Story:
I recently moved to a home in the Houston Area. The home was built with a decent alarm system that was monitored by ADT-Ranger American. I called them and 2 other companies out for estimates to monitor the system. ADT's quote was the highest. They wanted a $100 activation fee, $34.95 a month, plus a 24-36 month contract. heck, you can start "fresh" with a new system for that deal. The sales person did not budge.
I contacted another local alarm company who was willing to accept a month to month or annual contract. They could not program the sytstem because ADT put a lock-out code on my owned system. Initially, they refused to provide the code for "my protection". I had to right a letter to the Owner of the company and Texas agency the licenses alarm companies. Within 7 days, I received a phone call and they unlocked MY system.
You see, this is the other thing to watch out for. Will the system EVER belong to you? In my case, the builder put the system in and it is part of the house.
End of story, there are several reutable companies on the internet you can buy your system from, they will install or help you DIY, and there are several monitoring companies that will give you many options.
A 3 year contract will run you $36 a month or $1,296. You can buy an alarm system for less than $300, and spend $50 on materials. You can get monitoring for $8.95-$11.95 a month when paid annually and have the right to cancel at any time.
The biggest secret of the industry is that monitoring doesn't cost much. All any monitoring comapany will do is monitor the signal, call you, THEN AND ONLY THEN summons help. If you are away from home, the alarm goes off, and you can't be reached, most police departments will "delay dispatch". meaning, lower priority than a confirmed alarm situation.
In closing, I believe the Op has learned a valuable lesson. Read the contract and do you research.
Honestly, this is no different than getting a new cellphone on a 2 year plan, and cancelling early.
Sorry.
sorry, allowing you to give a competitors name would instigate others to just file against their competition, to only come back later to suggest their company your comments on this policy are welcome! CLICK here to see why Rip-off Report, as a matter of policy, deleted either a phone number, link or e-mail address from this Report.
Larry
Lakewood,California,
U.S.A.
Things to consider when getting an alarm system
#10Consumer Suggestion
Tue, February 13, 2007
To the OP, I feel your pain. However there are a few things to keep in mind:
1. There is no such thing as a "free" or discounted alarm system. For years, alarm companies have had 2-3 year contracts and early termination fees. This is always spelled out in the contract.
2. When you make a purchase from a salesperson "in home", most states (and I can only speak for CA and TX) have a "3 day recision" rule in place.
3. HAve you ever heard of Clark Howard a consumer reporter/radio personality? He has warned about signing contracts for years.
4. The alarm company is in business to make money. You don't think the 1-2 technicians who came to install the system are working for free do you?
5. Of course the salesperson makes a commission. He/she isn't working for free either.
6. The "free system" when you move isn't all that free either. This is ADT's attempt to keep you arounf for another 2 years, and add upgrades to your new location. As a bonus, they will also contact the new resident of you old location to sign-up. A win-win for them.
My Story:
I recently moved to a home in the Houston Area. The home was built with a decent alarm system that was monitored by ADT-Ranger American. I called them and 2 other companies out for estimates to monitor the system. ADT's quote was the highest. They wanted a $100 activation fee, $34.95 a month, plus a 24-36 month contract. heck, you can start "fresh" with a new system for that deal. The sales person did not budge.
I contacted another local alarm company who was willing to accept a month to month or annual contract. They could not program the sytstem because ADT put a lock-out code on my owned system. Initially, they refused to provide the code for "my protection". I had to right a letter to the Owner of the company and Texas agency the licenses alarm companies. Within 7 days, I received a phone call and they unlocked MY system.
You see, this is the other thing to watch out for. Will the system EVER belong to you? In my case, the builder put the system in and it is part of the house.
End of story, there are several reutable companies on the internet you can buy your system from, they will install or help you DIY, and there are several monitoring companies that will give you many options.
A 3 year contract will run you $36 a month or $1,296. You can buy an alarm system for less than $300, and spend $50 on materials. You can get monitoring for $8.95-$11.95 a month when paid annually and have the right to cancel at any time.
The biggest secret of the industry is that monitoring doesn't cost much. All any monitoring comapany will do is monitor the signal, call you, THEN AND ONLY THEN summons help. If you are away from home, the alarm goes off, and you can't be reached, most police departments will "delay dispatch". meaning, lower priority than a confirmed alarm situation.
In closing, I believe the Op has learned a valuable lesson. Read the contract and do you research.
Honestly, this is no different than getting a new cellphone on a 2 year plan, and cancelling early.
Sorry.
sorry, allowing you to give a competitors name would instigate others to just file against their competition, to only come back later to suggest their company your comments on this policy are welcome! CLICK here to see why Rip-off Report, as a matter of policy, deleted either a phone number, link or e-mail address from this Report.
Larry
Lakewood,California,
U.S.A.
Things to consider when getting an alarm system
#10Consumer Suggestion
Tue, February 13, 2007
To the OP, I feel your pain. However there are a few things to keep in mind:
1. There is no such thing as a "free" or discounted alarm system. For years, alarm companies have had 2-3 year contracts and early termination fees. This is always spelled out in the contract.
2. When you make a purchase from a salesperson "in home", most states (and I can only speak for CA and TX) have a "3 day recision" rule in place.
3. HAve you ever heard of Clark Howard a consumer reporter/radio personality? He has warned about signing contracts for years.
4. The alarm company is in business to make money. You don't think the 1-2 technicians who came to install the system are working for free do you?
5. Of course the salesperson makes a commission. He/she isn't working for free either.
6. The "free system" when you move isn't all that free either. This is ADT's attempt to keep you arounf for another 2 years, and add upgrades to your new location. As a bonus, they will also contact the new resident of you old location to sign-up. A win-win for them.
My Story:
I recently moved to a home in the Houston Area. The home was built with a decent alarm system that was monitored by ADT-Ranger American. I called them and 2 other companies out for estimates to monitor the system. ADT's quote was the highest. They wanted a $100 activation fee, $34.95 a month, plus a 24-36 month contract. heck, you can start "fresh" with a new system for that deal. The sales person did not budge.
I contacted another local alarm company who was willing to accept a month to month or annual contract. They could not program the sytstem because ADT put a lock-out code on my owned system. Initially, they refused to provide the code for "my protection". I had to right a letter to the Owner of the company and Texas agency the licenses alarm companies. Within 7 days, I received a phone call and they unlocked MY system.
You see, this is the other thing to watch out for. Will the system EVER belong to you? In my case, the builder put the system in and it is part of the house.
End of story, there are several reutable companies on the internet you can buy your system from, they will install or help you DIY, and there are several monitoring companies that will give you many options.
A 3 year contract will run you $36 a month or $1,296. You can buy an alarm system for less than $300, and spend $50 on materials. You can get monitoring for $8.95-$11.95 a month when paid annually and have the right to cancel at any time.
The biggest secret of the industry is that monitoring doesn't cost much. All any monitoring comapany will do is monitor the signal, call you, THEN AND ONLY THEN summons help. If you are away from home, the alarm goes off, and you can't be reached, most police departments will "delay dispatch". meaning, lower priority than a confirmed alarm situation.
In closing, I believe the Op has learned a valuable lesson. Read the contract and do you research.
Honestly, this is no different than getting a new cellphone on a 2 year plan, and cancelling early.
Sorry.
sorry, allowing you to give a competitors name would instigate others to just file against their competition, to only come back later to suggest their company your comments on this policy are welcome! CLICK here to see why Rip-off Report, as a matter of policy, deleted either a phone number, link or e-mail address from this Report.
Larry
Lakewood,California,
U.S.A.
Things to consider when getting an alarm system
#10Consumer Suggestion
Tue, February 13, 2007
To the OP, I feel your pain. However there are a few things to keep in mind:
1. There is no such thing as a "free" or discounted alarm system. For years, alarm companies have had 2-3 year contracts and early termination fees. This is always spelled out in the contract.
2. When you make a purchase from a salesperson "in home", most states (and I can only speak for CA and TX) have a "3 day recision" rule in place.
3. HAve you ever heard of Clark Howard a consumer reporter/radio personality? He has warned about signing contracts for years.
4. The alarm company is in business to make money. You don't think the 1-2 technicians who came to install the system are working for free do you?
5. Of course the salesperson makes a commission. He/she isn't working for free either.
6. The "free system" when you move isn't all that free either. This is ADT's attempt to keep you arounf for another 2 years, and add upgrades to your new location. As a bonus, they will also contact the new resident of you old location to sign-up. A win-win for them.
My Story:
I recently moved to a home in the Houston Area. The home was built with a decent alarm system that was monitored by ADT-Ranger American. I called them and 2 other companies out for estimates to monitor the system. ADT's quote was the highest. They wanted a $100 activation fee, $34.95 a month, plus a 24-36 month contract. heck, you can start "fresh" with a new system for that deal. The sales person did not budge.
I contacted another local alarm company who was willing to accept a month to month or annual contract. They could not program the sytstem because ADT put a lock-out code on my owned system. Initially, they refused to provide the code for "my protection". I had to right a letter to the Owner of the company and Texas agency the licenses alarm companies. Within 7 days, I received a phone call and they unlocked MY system.
You see, this is the other thing to watch out for. Will the system EVER belong to you? In my case, the builder put the system in and it is part of the house.
End of story, there are several reutable companies on the internet you can buy your system from, they will install or help you DIY, and there are several monitoring companies that will give you many options.
A 3 year contract will run you $36 a month or $1,296. You can buy an alarm system for less than $300, and spend $50 on materials. You can get monitoring for $8.95-$11.95 a month when paid annually and have the right to cancel at any time.
The biggest secret of the industry is that monitoring doesn't cost much. All any monitoring comapany will do is monitor the signal, call you, THEN AND ONLY THEN summons help. If you are away from home, the alarm goes off, and you can't be reached, most police departments will "delay dispatch". meaning, lower priority than a confirmed alarm situation.
In closing, I believe the Op has learned a valuable lesson. Read the contract and do you research.
Honestly, this is no different than getting a new cellphone on a 2 year plan, and cancelling early.
Sorry.
sorry, allowing you to give a competitors name would instigate others to just file against their competition, to only come back later to suggest their company your comments on this policy are welcome! CLICK here to see why Rip-off Report, as a matter of policy, deleted either a phone number, link or e-mail address from this Report.
Heather
Buffalo,New York,
U.S.A.
Live and Learn
#10Consumer Comment
Mon, February 12, 2007
Richard-
This is an unfortunate situation that hopefully will not happen to you again. It IS your responsibility as a consumer to read and understand what you are signing up for.
Your salesman may or may not have told you about this cancellation fee - that can never be proven, since it would be your word against his. Maybe he said it and you didn't hear it. He may have left it out purposely to solidify the sale, which would be unethical, but it can happen.
What CAN be proven, however, is your signature on a a document that states that there is a cancellation fee. I feel for you, but this is exactly where the age-old advice of "read the fine print" comes from.
Richard
Carrollton,Texas,
U.S.A.
If you have a business and run it that way, then you won't be in business long..
#10Author of original report
Mon, February 12, 2007
Clearly if a sales rep doesn't share all the information with you to increase their chances of getting a commission it is unethical. Not sure what kind of a business you run.
Ryan
Rice Lake,Wisconsin,
U.S.A.
They did nothing wrong.
#10Consumer Suggestion
Mon, February 12, 2007
It is your responsibility as a consumer to understand all paperwork before you sign anything. They did nothing wrong.