RackSpace.com, Rack Space Hosting, Web Hosting Deceptive sales practices - "Fanatical Support" is actually a Fanatical Rip Off! San Antonio Texas
If you are looking for web hosting services, DO NOT use RackSpace.com as a service provider. They are a rip off and will take advantage of anyone they can - especially a small business person under duress in need of professional technical support. RackSpace.com wants your money - that's all they want. They will say or do whatever they can with high pressure sales techniques to get you to sign a contract with them - even if it means misrepresenting their policies to do it.
I contacted RackSpace.com for hosting information when a bad web developer I was using threatened to stop our web hosting if we did not pay him more money for a website he never actually completed even after receiving thousands of dollars as agreed to do the work. (Another bad guy - Tony Peacock/ Peacock Productions) My online company was being held hostage by this guy as he threatened to close down a website I own and operate because "he could" to manipulate us into giving him more money that originally negotiated for his services.
My RackSpace.com sales person was a strong sales person and convinced me to sign an 18 month hosting contract to get a server "started" for us should I not be able to work it out with my existing host. (He knew I was trying to work something out while I investigated other options to avoid having me website down) It was explained to me that there was a 30 day free out option if I were to move ahead right away with RackSpace.com (this is also something that is documented on the web as an option they offer to other clients too)
The Rackspace.com sales person knew my company was a small company without an in-house tech person and that our business operated through a website that had to stay up at all times. The sales person knew that we did not have the know-how or skill to move our website ourselves so he suggested migration companies that would do this for a fee. RackSpace.com knew that I would be better off with an existing host if possible (that is what did happen after all) so I did not have to hire a migration company to transfer our website after all. By staying where we were we saved quite a bit of money. The problem is that my existing provider was not RackSpace.com.
Within 3 days of signing the RackSpace contract I notified RackSpace.com that I was not in need of their services and I would like to exercise my free 30 days out option. RackSpace.com went ahead and charged my credit card for a full month of services and set up fees, and then notified me they intended to hold me to an 18 month contract I was told I could get out of without any cost. I told them that I had contacted the existing host and worked out an opportunity to keep the website where it was without any transfer and without all of the additional expense of making a change that may jeapordize the operation of my website. (Something my sales person fully understood from the initial phone call)
RackSpace.com advertises "Fanatiacl Support" but it appears that the only thing they are "fanatical" about is taking money they did not earn from a customer that was told verbally that a free 30 days out was available. RackSpace still has a brand new server never used by me, and I have never used their services. The server is completely re-usable for another client and I have no proof it was even ever configured for our use. I agreed to let them keep my set up fee of $250 but did not feel that was even right after being offered a free 30 days out option. For days now a RackSpace empleyee has been emailing to "negotiate" my 18 month contract that I wanted out of 72 hours into and they will not let me talk to the sales person I worked with to iron out the details. RackSpace.com is the type of company that gives "tech companies" a bad name. For those of us who are just trying to run our business without unecessary expense or legal issues - stay away from RackSpace.com!! To date I have not received a refund on my credit card or any confirmation of where we stand.
Ripped off and angry
Owasso, Pennsylvania
U.S.A.
5 Updates & Rebuttals
Mark F
Colorado Springs,Colorado,
United States of America
Been very pleased with Rackspace
#6Consumer Comment
Fri, December 09, 2011
First off, I am not an employee of Rackspace, I am a customer who has been pleased with our experience. We have 5 dedicated servers at Rackspace, and I have nothing but good things to say about them. Honestly, I would guess the original poster misunderstood what the "30-day cancellation" actually meant. There wouldn't really be any benefit in Rackspace lying in this way, they have so many high-profile clients and large-volume customers, why would they waste trying to make an extra buck off of lying to someone about a 30-day cancellation policy like this?
Rackspace truly does have Fanatical support. Call them any time, 24/7/365 and an actual person will pick up the phone. They do have 100% guaranteed uptime, we've never been down for a moment in the 4 or 5 years we've been with them.
The thing is, you get what you pay for. They are not the cheapest, and if you're a very small company just looking for one small server, don't bother with them. They are really for companies who want their top-notch customer service & support, expertise, 100% dedicated uptime, and dedicated servers. We probably could find our same infrastructure for half the cost elsewhere, but the support and service is worth the extra cost for us. So, make sure it's a good fit for your needs before you sign up with them.
You're welcome to contact me for more information about Rackspace, I can explain to you that I am indeed a customer and not an employee.
Ripped off and angry
Langhorne,Pennsylvania,
U.S.A.
RackSpace.com finally comes to their senses
#6Author of original report
Tue, March 18, 2008
RackSpace.com did finally negotiate a settlement - not what fully what I was promised in the begining (100% out clause), but a partial refund (I am not allowed to disclose the details per their request) It took a few weeks of going around with them to get them to give in just to that point, but they did give up the full 18 months they were originally trying to claim right to when I was told I would have a 30 day full refund in the begining.
I am still offering caution in how you do busness with this company as I should not have had to go through weeks of torture and having my credit card charged for items I cancelled within the time period I was originaly told I would have, but they did finally conceed to a negotiated loss on my part. My advice - get everything in writting before you sign anything and do NOT give them a credit card or make quick decisions even if they make you feel as though it is a life and death situation to get a contract.
Quick decisions are what they are banking on - the sales peple can be very opportunistic. Web hosting is a very competitive business and there are a lot of options out there to shop around for the best price and service- the sales people know this. It is worth taking and extra 24-hours to get everything in writing to insure you get what they tell you they will give you and hold out for exactly what you want - do not trust they will make it right if it is not in writting. Get more than one quote and review the "out clause" in writting.
Destructo
Stuarts Draft,Virginia,
U.S.A.
Ripped Off And Angry
#6Consumer Comment
Thu, March 06, 2008
No, I've never worked with their company, nor did I know anything about them, until you mentioned them. As I've mentioned, I've been in the hosting business. I know how they work, and you can easily glance at their site, and see they specialize in dedicated servers.
I received the Terms of Service link from their customer care, which I easily contacted via their site. They were very helpful, actually.
Again, I have nothing to do with RackSpace whatsoever.
Not to mention, you stated you purchased a server in your original report.
"My RackSpace.com sales person was a strong sales person and convinced me to sign an 18 month hosting contract to get a server "started" for us should I not be able to work it out with my existing host."
Ripped Off And Angry
Langhorne,Pennsylvania,
U.S.A.
RackSpace.com trying to cover their tracks
#6Author of original report
Thu, March 06, 2008
The "rebuttle" written about "they doubt...Terms and Conditions...." was obvoisly written by a RackSpace employee...how else would this person have known it was a "dedicated server" or terms of a contract? It is likely rebuttle was written by the very person trying to hold me to a contract that I WAS given a 30 day out clause on.
This should further my suggestion that RackSpace.com is dishonest in representations. DO NOT use RackSpace.com....espcecially if you are a small company or a person with limited technical ability. They will take advantage of you. Unless you are certain you need their services do NOT sign anything no matter what the sales person tells you.
Destructo
Stuarts Draft,Virginia,
U.S.A.
Ripped off and angry
#6Consumer Comment
Thu, March 06, 2008
I'd actually be very surprised if they actually give you 30-days free on a dedicated server. I used to own and operate a hosting company, and it's really unheard of to get the first month free, along with no setup fees.
You can read their Terms of Service, and it'll explain the fees.