Extended Warranty Tactics
Got a warranty or extended service contract on your TV from a dealer ? Think all is covered for that time period ? Well, consider this that is going on in that business; many Servicers are running into delayed payments for their efforts and some are not being paid at all.
Some have the reimbursements under below the Servicers cot of doing business. He must make more than that to stay in business. The smart ones say “NO” and won’t do the repairs. Then the providers - Warranty or Extended Contract outfits - (TPS’a) have to scramble for anyone that will go out to your home or business. Quality of repairs may suffer. Delays may result.
Worse still , even if they agreed to pay that price , some of the TPA’s will cut that price to a lower figure after the job was done. Then parts that were obtained for warranty service from these 2nd party providers is not credited for a long period of time (if at all) while the service sompany has to pay the parts bill right now. These parts are very expensive!
What to do if the Parts sent is defective and the TPA, often the seller of the parts do not want to pay for the repeat efforts? Another way is “Administrative Costs” of following up on more paperwork wanted which is a delaying tactic in the reimbursement. Maybe even going to a House Call to find out that the TPA’s had sent someone else out there and who is going to pay for that 50 Mile round trip ? Look at what a Taxicab will charge !
Do not be surprised if you are asked to sign an assurance that the servicer will be paid by you instead of the TPA. You might even get a bill later on for the service done which you would have to pay unless you can get the TPA to hold up his end that he was supposed to do! It is like the Hospitals - they come after you for the money if the insurance doesn’t pay and for any shortfalls too! You may end up contacting the Attorney General of your State for resolution.
Added to my RSS, Thanks!
There was writing on the wall a few years back. The attitude I find is that most servicers suck up to the bad policies. The more they accepted the bad policy, complain about it, and get nothing for your efforts, the more and more they will take this to the bank.
Now they, the TPA and Manufacturers, don’t care about the service they provide. It will be lousy, incompetent and unreliable service. Eventually, this will give cause to no repair in the near future, thus the elimination of the independent service network.
You must say NO. Mean it and stick with it. We are losing because we have become hungry to any tidbit they want to throw our way. JUST SAY NO!
Servicers are wondering why they are being abused? What a joke. It’s simple. You’ve allowed it for years.
There are Service organizations and associations out there that also fell into bed with the TPA’s and the manufacturers. They smelled money, like a panting dog. They smelled support…….they had no idea where that would lead this industry.
There were many who had foresight and guts that knew the honeymoon could not last, but closed a blind eye and chose to live day-to-day with no real heed to where this would lead.
Off the box.
Do the right thing.
I want to personally thank all you servicers that took the bait and now are complaining. This is partly the reason we are losing today.
Wake up, it is not too late.
We are all feeling the economic pinch, but financial decisions MUST be tempered with logic and respect. If the TPA’s and the manufacturers continue to disrespect the professional servicer, they ultimately disrespect the customer. How? With inept, inferior service.
As far as the manufacturer’s position noted above… sure, competition is tough and margins have gotten tighter. So instead of making inferior junk, or near impossible to service sets (remember some of the first RCA digital sets, the 201 chassis was it, with the sandwich boards you had to pull apart to replace a part, then have to piece it back together to test?) why not make a better product and scale back on your warranty coverage? Shorter warranty terms, carry-in service of smaller sets, etc.
Oh wait, dumb me. If the sets are better quality, they will need less service and that will reduce costs. How’s that for a novel idea, dear manufacturers?
Massachusetts is looking into fraud against service companies. The news media is beginnning to hear a good many of their complaints.
If you worked as the manufacturer, trying to make a profit, you would think very differently! We are trying our hardest to make a profit, but the consumer is SO tight with spending money, we have to make a cheap product they will agree to buy!!! If they want quality, then they WILL have to PAY for it! Otherwise, they will recieve our quality product.
RCA
Couldn’t agree with you more and a huge reason I left the industry. They still call, looking for a sucker to fulfill the obligation. Too bad, the industry didn’t listen when they had a chance to avoid this mess, before it cost their business the proverbial, “arm and leg”?
Better yet you may have to pay up front for the service and get reimbursed from your insurance company that has the contract on your television. Servicers are tried of losing money and supplementing these large corporation that can spend millions on bonuses for thier executives. Stealing from the americans small businesses only hurts america and the economy.
I agree with the Report above