Perhaps Best Buy should rename thier stores - Best Buyer Beware! I've been a long time patron of Best Buy but all that has changed since this incident. I'll try and keep this as brief as possible.
In 2005 I purchased a Panasonic hdd dvr w/ hard drive for $499 plus tax and an extended warranty for 4 years. The warranty cost $49.99. In 2009 I renewed my warranty for 3 more years at a cost of $95 through Best Buy's affilliate N.E.W.
Last week the recorder crashed and I took it to B.Buys' Geek Squad and two days later they called and said the unit will have to be "junked out" because repair costs would be higher than units' worth and come to the store and they will help me find a replacement.
After an extended wait to talk to an associate my turn came and he began to search store inventory for a replacement, I knew this could be a bit of a problem as these hard drive dvrs are being phased out of retail stores by the cable and satelite companies. After 15 min. of searching for a comparable replacement the rep. said "this vcr/dvd unit is as close as I can come to finding a comparable replacement. That's when the "fun" began.
I explained to him that "that" unit had no built in hard drive and anyone who has owned one of these knows how great they are for editing etc. as opposed to the regular vcr/dvr combo unit without a hard drive. I told him this type of replacement was not acceptabe for me as it was not even close to the product I had under extended warranty. I asked to talk to the manager and he gave me the same story- "we're sorry but this is the best we can do and it is store policy, your unit has depreciated and the value of a comparable machine is estimated at $291, I will upgrade the unit to a $309 unit but that's the best we can do,, it's not our fault that we don't carry the hard drive type units anymore". They would not look "outside" at other stores for me to get me what I had and said take this unit, a gift card or a store credit, that's all we can do.
I asked about a cash refund but my answer to that, again, sorry we are not allowed to do that. I took the $309 dollar vcr/dvr combo home and put it into service and there is no comparison in features etc between the old and this new unit. I contacted Best Buy customer relations after sitting on hold for 35 min and got the same run-around and he transferred me to the warranty people themselves.
I talked to two different people there and the first lady was "half way intelligent" and understood my problem but said "this is above my paygrade, I'll let you speak to my supervisor". Well the supervisor lady was absolutely useless as a customer relations person, she simply said " I'm sorry, there's nothing more I can do, have you talked to the manager at the Best Buy store?" Another dead end....
Now here's the exact wording of my extended warranty contract- "At our discretion, your product may be replaced with a new or rebuilt compareble product that meets the manufacturer's specifications of the original product, or you will receive a reimbursement (in the form of a check, voucher, or gift card) in an amount equal to the original purchase price."
Notice, there's no mention of depreciation or "as close as we can come to the original product" I have since purchased ,two days later, a Magnavox hdd dvr from amazon .com. Best Buy has lost me and several future customers after I spread the message of how I was treated and the indifference by all those that should be interested in keeping customers. I have also filed a complaint with the B.B.B.
I hope this helps someone else decide where to do their shopping and be wary of extended warranty contracts. This company N.E.W. and Best buy make up the wording as they need to to to keep them from fufilling their contractual obligations and certainly are not interested in losing "just one more customer". Very short sighted and another example of "hooray for us and sorry Charlie", that's the best we can do.
Ronny g
North hollywood,#2Consumer Comment
Sun, September 05, 2010
As Best Buy stands to gain nothing by not honoring a service plan, unless the damage is not covered.
As far as what "Inthe know" last replied to me..
If you go to any of the terms and conditions BBY online links under any of the product protection plans, by clicking the orange "terms and conditions" link, you will open up to a 24 page .pdf - blktie.pdf. All the departments plans are in this. technically, the last 2 pages are blank and page 22 is a sign off acknowledgement. In the store, the plans are separated by dept.
I agree. But what is stated on that 22 page PDF in LARGE simple to understand writing, is EXACTLY what this poster stated in the report. Hence..Best Buy SHOULD have offered this customer a store credit...since regardless of "their discretion" or not..it was simply impossible to replace this item with one of similar or equal specifications.
It is CLEARLY stated in the "actual" terms and conditions one page ONE...
If we determine in our sole discretion that yourJerry
moline,#3Author of original report
Sat, September 04, 2010
I am happy to report that Best buy has agreed to honor their end of the contract on the HDD DVR as stated in my original complaint. I received an e-mail and a letter from the B.B.B. which forwarded to me the letter they received From Best Buy regarding the situation after B.B.B. contacted N.E.W.(AIG warranty guard) and N.E.W. referred B.B.B. back to Best Buy.
They have now agreed to reimburse me the difference between the original purchase price of my original unit and the VCR/DVR which they substituted as a replacement. At this time that is about as close as they can come to honoring my contract, as stated in my original statement. Supposedly the check is to arrive in 3-4 weeks, which it probably will, and the matter will be closed. I don't know about the other contracts wording. I just know what mine said when I renewed with N.E.W.
Sounds as though things have changed. Thank you all for your interest, perhaps others will gain from this. Should Best Buy not follow through with their check to me I will re-post.
IntheKnow
New Jersey,#4Consumer Suggestion
Sat, September 04, 2010
If you go to any of the terms and conditions BBY online links under any of the product protection plans, by clicking the orange "terms and conditions" link, you will open up to a 24 page .pdf - blktie.pdf. All the departments plans are in this. technically, the last 2 pages are blank and page 22 is a sign off acknowledgement. In the store, the plans are separated by dept.
"Fine Print" is just that - it's not intended to be read in a store or read at all as a matter of fact. that's how the materials are marketed. For instance, an item is replaced at "fair market value;" there are plans out there that replace at "purchase price." "Qualified" repairs under the "No Lemon Policy." These never include ones under the manufacturer warranty - which is deceiving as the plans begin from "date of purchase." on and on.
Remember, the whole basis of retailers selling esp's is that most are NOT used - which of course renders the T&C irrelevant.
Ronny g
North hollywood,#5Consumer Comment
Sat, September 04, 2010
I accidentally did not post the second link to the BTP terms and conditions specfically regarding home theater purchases...So I will post it here.
http://www.geeksquad.com/uploadedFiles/wwwgeeksquadcom/Services/Content/Black_Tie_Protection/1941-0227887_HomeTheater_3pan_NEW-2.pdf
Ronny g
North hollywood,#6Consumer Comment
Sat, September 04, 2010
Best Buy and others have had problems regarding honoring "extended warranties" even though Best Buy does not sell or offer "extended warranties" and the employees are instructed not to sell these as such.
The way it works now and has for quite some time..since true, employees have been known to misrepresent the service plans, or be accused of doing so since customers tend to have "selective" hearing..is at the point of sale if the customer decides to purchase the service plan, a window comes up on the register which will NOT allow the transaction to be completed, unless the customer accepts that they received the BTP brochure which lists the terms and conditions. The brochure is not 24 pages..but a small brochure that states EXACTLY what is covered.
Most of the other legal mumbo jumbo is liability related and forced government disclosures..but what the plan covers is not complicated..and what it does not cover is not complicated.
I will now go to the terms and conditions on the website as you suggest..and see for myself if anything in these "24 pages" of tiny writing is deceptive...
...I could not find 24 pages..sorry. I found this..which is the general info and the writing is quite large..
http://www.geeksquad.com/gslibrary/services/content/black_tie_protection/terms_and_conditions/20080914/20080914TC.pdf
And I found this...which is the ONE page brochure that the customer must acknowledge they received before the transaction is allowed to be completed. I left the link specifically to home theater which would apply in this report which is specifically regarding a DVD player.
As far as this N.E.W....I was able to find them online from the info you posted...but this is irrelevant. It was never any secret that service plans are nothing more then out sourced insurance. And this is what puts Best Buy in a tough spot at times. In other words, the company that covers these plans has requirements to be met. If Best Buy decides to ignore these because a customer did not understand the terms or read it..then Best Buy gets stuck with the damaged item.
I will agree this is not a perfect system, but I will say Best Buy has made it very difficult for a customer to say they were not informed what was and was not covered. The fact that they must verify they received the information before the transaction will be completed makes it impossible to dispute anymore, nor blaming what they "claim" the 8 dollar and hour high school kid told them, or anyone else for that matter..
IntheKnow
New Jersey,#7Consumer Suggestion
Sat, September 04, 2010
to Ronny G:
the Black Tie Protection terms and conditions is available on their website. check it out - rarely would a consumer peruse all this while making a purchase. most of the time, as i'm sure you know, the sales person will state things that are just not what actually happens either with the way a claim is handled or against what is printed in the (tiny) terms and conditions. a total of 24 pages of customer service??????
NEW is the service administrator for Best Buy. AIG underwrites the plans. NEW takes all the phone calls from customers and tracks all the sales, financial, actuarial and operational performance.
You can check some info on NEW Customer Service Companies, headquartered in the greater D.C. area on the national BBB website.
Ronny g
North hollywood,#8Consumer Comment
Tue, August 31, 2010
Never heard of this, and an internet or google search produces zero results.
They no longer sell "PSP's" or service plans...but what they call "BTP" or "Black Tie Protection" which is basically the same as some "PSP's" but there are also differences.
I can not find any "affiliate" of Best Buy called "N.E.W." or was aware they offer any other service plans currently other then BTP.
As far as what these plans cover, it is up to the consumer to read the terms and conditions. Normally I take the consumers side when it comes to any 'fine print" or deceptive policies...but I have to say on average...90%-95% of the complaints that claim Best Buy is not honoring warranties or service plans, is more of a scam then anything in the service plans terms and conditions.
Is it really that difficult to read what is covered when you purchase a service plan?
Now with that said, I do know the service plans do allow for a replacement of equal specifications. This does not matter if the original item cost $100,000 and a replacement of similar specs is available 3 years later for $5.00.
Where I side with this customer. is that a unit without a hard drive is certainly not "similar specs". So in this case, I think you should contact corporate again if you have not already and request a credit if they can not replace your original unit with a new one of equal or similar specifications.
You do not need a team of lawyers to understand that..it is clear as day.
IntheKnow
New Jersey,#9Consumer Suggestion
Thu, August 26, 2010
The BBY terms and conditions are posted on their website. Suggest to download it to your documents for future reference. 24 pages! Sadly, between the printed selling points and the T&C = only made for a trained eye or lawyer. Most consumers (can you blame them) don't read all this garbage till something happens.
Hope this helps.
Jerry
moline,#10Author of original report
Thu, August 19, 2010
thankyou for the suggestions.. I wonder why my terms and conditions read differently than the ones you quoted? Same warranty co.? Rewritten since 1/09? BB.s' and N.E.W.s' different? Mine read as shown in original complaint. I would have been more than happy to let them order an actual comparable unit from Amazon or anywhere else. I appreciate your help.
Jerry
moline,#11Author of original report
Thu, August 19, 2010
Thankyou for your response and suggestion. I don't know where the contract wording is that you mentioned but it's not on my terms and conditions. I can see their point of less cost and I would have accepted a check for that amount or less so I could outside of BB. and get an actual comparable unit since they had none to offer. My terms and conditions reads exactly as previously stated. Perhaps that's how N.E.W. worded it back in 1/09 or BB.s' reads differently than the warranty provider? Now I'm confused, maybe the contact you provided can clear up this dilema. Again, thankyou for taking the time to assist. Now, only if BB. would have shown a bit of interest in the matter, they should know that without satisfied customers they would have no contracts to satisfy. Jerry.
IntheKnow
New Jersey,#12Consumer Suggestion
Thu, August 19, 2010
Did OP find a product in the store that was comparable?
Look at their terms and conditions below. Note "sole discretion" and "fair market value," "technological advances....."
"If we determine in our sole discretion that your product cannot be repaired, we will replace it with a product of like kind and quality that is of comparable performance or reimburse you for replacement of the product with a voucher or gift card, at our discretion, equal to the fair market value of the product, as determined by us, not to exceed the original purchase price of your product, including taxes.
Technological advances may result in a replacement product with a lower selling price than the original product."
Legally, they're feeling good about giving you "something" of value. Unfortunately, satisfying the customer is not the goal as opposed to satisfying the contract.
You're right, the call centers are just a bunch of work-at-home employees with scripts.
Try this route:
Terry Westerman
Senior Representative
612-292-0074
Corporate Customer Care
PO Box 9312
Minneapolis, MN 55440
612-291-1000
Toll free: 1-888-237-8289
Good luck.