• Report: #175914

Complaint Review: DirectBuy scam review lawsuit complaints UCC TotalHome, United Consumers Club

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  • Submitted: Sunday, February 12, 2006
  • Last Posting: Thursday, August 04, 2011
  • Reported By:Caro Michigan
DirectBuy scam review lawsuit complaints UCC TotalHome, United Consumers Club
NATIONWIDE Saginaw, Michigan, Nationwide Nationwide United States of America

DirectBuy Scam Review | Complaints INVESTIGATION: DirectBuy makes a commitment to customer satisfaction. DirectBuy recognizes that complaints posted on Rip-off Report (true or not) are issues that need to be addressed and if handled correctly can be valuable learning opportunities. Merrillville Indiana
*UPDATE: DirectBuy recognized by Rip-off Report as a safe business service. DirectBuy pledges their commitment to Rip-off Report Corporate Advocacy Program. A program that benefits the consumer, assures them of complete satisfaction and confidence when doing business with a member business. DirectBuy found to be the largest consumer buying club of its kind. Rip-off Report Verified Safe


1Author 8Consumer 0Employee/Owner

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    Corporate Advocacy Program

SPECIAL UPDATE: August 4 2011: DirectBuy remains committed to increased customer satisfaction and has improved their business practices over the years to better serve their customers. DirectBuy is truly dedicated to making sure their customers are satisfied and that any complaints which do arise are addressed promptly and fairly.

To date, DirectBuy has made good faith efforts to resolve all complaints reported on Rip-off Report. Based on our experience, the member business has proven to be among the top members of the Rip-off Report Corporate Advocacy Business Remediation and Customer Satisfaction Program as a Verified Safe Business™.

Over time and since becoming a member, DirectBuy has remained actively engaged and improving the way they address customer service complaints. As an active and current member of the Rip-off Report Corporate Advocacy Business Remediation and Customer Satisfaction Program we are happy to report that now more than ever DirectBuy remains committed to improving customer satisfaction.

Remember, no company or individual can ever satisfy 100% of the people 100% of the time. There are no products or services that will always be perfect for everyone and even the best companies will receive complaints from time to time. However, by participating in the Corporate Advocacy Program, the member business has made a commitment to working with its customers to resolve complaints quickly and fairly whenever possible.

Please keep in mind that as a consumer you have some responsibilities as well. Success has many definitions that based on your past experiences, current situation and your perceived expectations. Success with any product or service is always based on the proper application and understanding. The fastest car will not run if you never turn the engine on. Look at how you used the product or service that was provided in relation with the instructions that you received. The Corporate Advocacy Business Remediation and Customer Satisfaction Program will help you get your voice heard but please be prepared with documentation and fair representation of your concern, also have an idea of how the company can fix your concern. Can they offer additional services, extend warranties, offer a fair refund or just get you talking with someone that can help. ..let them know and let us know!

*Any consumer not receiving satisfaction from a member of the Corporate Advocacy Program should email us at editor@ripoffreport.com
 DirectBuy is Rip-off Report Verified

Rip-off Report Investigation:

EDitor's UPDATE: Positive Rating and Recognition has been given to DirectBuy for its Commitment to Excellence in customer service.

Rip-off Report's investigation of DirectBuy uncovers an ongoing commitment to total client satisfaction. This means that clients can expect the company will always work towards finding a mutually satisfactory resolution to any complaints or concerns in the past, present or future. DirectBuy pledges to help members and guests realize their dreams through exceptional customer experiences and unparalleled savings, service, and selection.

The Rip-Off Report Investigation revealed a demonstrated commitment by DirectBuy to providing excellent customer service and resolving customer issues. They achieve this through several means, including a recent partnership with customer service experts to actively survey their members and guests and make changes that improve their processes and ensure a uniform exceptional experience for every customer. To address the most common concerns, DirectBuy recently started offering free trial memberships at participating club locations, as well as additional tiers and terms of membership to meet a broader range of household budgets.

The Investigation also showed that DirectBuy members are renewing their memberships at record rates, indicating members are still very satisfied with the value they receive through DirectBuy's home furnishings and home improvement products and services. DirectBuy is one of the largest consumer buying clubs of its kind, and we are convinced they are dedicated to using feedback from customers to continually improve their policies and procedures.

One DirectBuy executive explained about their many changes stating, “We have a team of service support specialists available specifically to address concerns from members and guests who visit Rip-Off Report. We want to ensure that their experiences with DirectBuy are positive, whether they join or not." Should you require this assistance, please contact them at DirectBuyHELP@directbuy.com Provide your name, the date of your issue, and the name of the location you visited. If you are a member, please include your member number if available.

Given DirectBuy's commitment to excellent customer service, they were alarmed by some of the complaints lodged with Rip-off Report. Rip-off Report found that most complaints about DirectBuy were made by non-members who were critical of the cost of membership and the policy that a decision about membership must be made the same day of the open house visit. The policy is there to protect the manufacturers. It ensures their confidential pricing cannot be used by non-members to negotiate better deals with retail stores, thereby protecting the best possible pricing to members. The policy has not changed, but as stated above, new tiers and terms of membership are being offered at participating club locations

DIRECTBUY recognizes that complaints posted on Rip-off Report (true or not) are issues that need to be addressed and if handled correctly can be valuable learning opportunities. With the feedback generated by Rip-off Report's Investigation DirectBuy has made the necessary organizational changes to allow their members a more streamlined approach to problem resolution and a total overall commitment to customer experience. As one senior executive stated, “We have learned that even the most committed companies can make mistakes, but if you really pay attention, you can from them. We've adjusted policies to please both members and manufacturers, and we hope that anyone who has further suggestions on how we can improve our services will contact us with their ideas.”

In summary, after our investigation, which included discussions with DirectBuy Senior Management, Rip-off Report is convinced that the company has been and is committed to quality delivery of services resulting in total client satisfaction.

Read about DirectBuy .. see their websites and the services they have to offer.

Read more about DirectBuy's Commitment to Excellence and Total Consumer Satisfaction and why consumers should feel safe, confident and secure when doing business with a member of Rip-off Report's Corporate Advocacy Business Remediation & Customer Satisfaction Program. ..yes, a long name for a program that does a lot for both consumers and businesses alike.

Read about Rip-off Report Corporate Advocacy Business Remediation & Customer Satisfaction Program,..A program that benefits the consumer, assures them of complete satisfaction and confidence when doing business with a member business. this program works.

===================== NOW TO THE ORIGINAL REPORT THAT WAS FILED

===================== NOTE: this Report below was not filed by an actual customer. A customer that made an assumption because they did not fully understand the DirectBuy program.

DirectBuy, UCC TotalHome, United Consumers Club Direct Buy Scam Ripoff Saginaw Michigan Nationwide

The 2 lines that Direct Buy used to convince me were:

1. “If you purchase $3500 worth of goods (current price of membership), in a year, you will have paid for your membership”, and 2. “Most people pay for their membership fee if they do nothing more than just buy carpeting”.

NOT TRUE! I could have purchased $35,000, in a year and it would not have saved the cost of the membership fee. As for carpeting, I purchased mine elsewhere because I got a better price for the EXACT same brand and style offered by Direct Buy.

In response to those who say Direct Buy (aka UCC Total home) is well worth the membership, all I can say is, either those people have not done their homework, or they are affiliated with Direct Buy. Time after time, when comparing total costs, I have ALWAYS been able to find similar or better pricing elsewhere, shipped to my home in a few days, not to a warehouse in 6 weeks!

Some of the furniture seemed to have good pricing, but not close to what was promised. Since they couldn't estimate a freight charge, who knows what that could have amounted to? The biggest price savings I have found so far was an area rug that was 1% less with UCC than it would have been from RugsDirect.com. BUT, I would have to wait 6 weeks, drive to UCC warehouse during the work day, and pay a restocking fee if the item had to be returned – certainly not worth the $20 savings! Again, this is with the BEST deal I found when, as the UCC people like to say, I “compared apples to apples, brand to brand”.

There is no plus side to a UCC membership, except for the franchise investors! Save your money, do your homework, and use your $3500 to buy from a reputable source, not from Direct Buy!

Nancy Saginaw, Michigan
U.S.A.

This report was posted on Ripoff Report on 2/12/2006 10:46:25 AM and is a permanent record located here: http://www.ripoffreport.com/buying-clubs/directbuy-ucc-totalh/investigation-directbuy-makes-6yd73.htm.

Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report.

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REBUTTALS & REPLIES:
1Author 8Consumer 0Employee/Owner
Updates & Rebuttals

#1 Individual Responds

I did MY Homework and I'm a satisfied Member- Did YOU?

AUTHOR: Jessica - Northboro (U.S.A.)

First of all, My husband and I have been members of the Direct Buy in Boston Metro West for over 2 years now. We did our homework, we went into the tour with actual discounted prices with model numbers of specific items we were looking to purchase that we found from almost every local home improvment store- the fact that they allowed us to look at the exact items we found and we saw a significant different in price. If you USE the membership, there is definately savings. Maybe this person didn't do their homework. I have saved over 6,000 dollars using my membership with DirectBuy.
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#2 Consumer Comment

UCC Infomercial

AUTHOR: Holly - Chandler (U.S.A.)

UCC is now running an infomercial to promote their stores. How many products sold through infomercials are of good quality? Why do customers have to pay for shipping? Shouldn't they have a contract with a freight company and a warehouse to store the products? The fact that they use an infomercial to promote their stores tells me a lot about their company.
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#3 Consumer Comment

It's just another business model- It's not evil

AUTHOR: Gary - Santa Cruz (U.S.A.)

With UCC or Direct buy, the consumer buys at wholesale- just like a retailer. Like a retailer, the consumer must pay for shipping and taxes. In some cases, this includes importing fees, again, just like a retailer.

Does this make UCC or DirectBuy a bad deal?

Well, when you buy from a retailer, you pay a markup for services. In a high end shop, you pay a steeper markup than you would at a warehouse retailer because the cost of sales is higher. The retailers EARN that markup by providing a facility, investing in inventory and providing services.

At UCC or Directbuy, you get access to catalogues. You have to do more work yourself. If you know what you want to buy and you don't need the retailers services, facility or access to stocked inventory, you CAN save a lot of money.

I buy at a retailer when I need help or I need a part today. In these cases, the retailer earned the markup. When my home inspector reccomended I get a new water heater, I choose DirectBuy because in this situation, I can save a lot of money. Yes, I have to pay for shipping and handling. The stuff get's shipped and handled so someone has to pay the nice folks who ship and handle :) Happy to do it and I still save.

DirectBuy isn't for conspiracy theorists. Probably not a good fit for college students or welfare mothers either- the membership fee is too high to be offset by the potential savings unless you are a home owner with modest remodel ambitions. If you decide to investigate, I'd reccomend shopping for five or six items before you go to the showroom for the sales pitch. They'll let you test the savings opportunity- once. Be prepared to get confident the model, or you are wasting everyones time.

Regarding the infomercials- they made me nervous too. But given the model, there is only so much they can say on TV without creating problems with retailers.

It works for me!
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#4 Consumer Suggestion

Ex employee

AUTHOR: Lisa - Woodridge (U.S.A.)

Direct Buy isn't for everyone. The memberships are expensive A lot of the savings is fabricated, everyone there is looking to make a commission off of your membership from the person who calls you to get you in there to the owner.So yes the 5600.00 membership fee is high. On top of that there is a 8% handeling fee added to every order. They do not make money off the freight.

However, if you do your research you will find that Direct buy is selling brand name stuff, they are not selling the crap you find at a wickes or some other retail store. There is savings to be had you just have to know what you are buying and weigh it out.
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#5 Consumer Comment

Direct Buy is a good deal for the right person

AUTHOR: Earle - Springfield (U.S.A.)

My wife and I have been satisfied Direct Buy members (Edison, NJ) for about 5 years and we recently renewed our membership. I'm sorry that Nancy had a bad experience, but I think her comments underscore the importance of doing your research before you invest. And that's the point - you are investing $3500 or perhaps more (I believe the fee is up to the local franchise) for the ability to buy home goods at a hefty discount. But before you join, you need to evaluate the membership cost against the potential savings based on the amount of stuff you're planning to buy.

We bought a membership because we were doing a major remodel on an old home - two bathrooms, new kitchen and new family room starting with bare stud walls. We bought plumbing fixtures, kitchen cabinets, granite countertops, carpet & tile. I'd estimate that we saved at least $12,000-$15,000. We saved $5000-$7000 on the kitchen cabinets alone. We found the people at our local Direct Buy to be courteous, knowledgable, helpful and never deceptive.

When a toilet came in cracked, they worked with the manufacturer to expedite a replacement at no charge. I went in yesterday after a 3 year lapse to find tile for another bathroom and they arranged a private appointment with a manufacturers tile showroom - normally only accessable by trade people - that had the best selection that I have found anywhere.

I have found that my savings on home renovation goods to be typically in the range of 35%-50% (less an approximate 5% administrative charge per order). The manufacturers that they deal with seem to be mostly mid to upper grade. For example, all of the plumbing fixture manufactures that you will find at Home Depot are represented plus some higher grade ones as well.

I think my experience differs from Nancy's primarily for two reasons - I was able to quickly recoup my investment in the membership because I was buying a lot of stuff that typically has high markups (don't plan to use them for consumer electronics unless you already have a membership). Also, because Direct Buy is a franchise, the local management will make a big difference in how you are treated, so investigate before you join and don't paint them all with the same brush. I'm not affiliated with any Direct Buy organization except by membership.

Hope this helps.
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#6 Consumer Comment

Sounds like Direct Buy is padding responses on these boards

AUTHOR: Livermorebrian - Naperville (U.S.A.)

The two "positive" responses to this report reeks of phoney corporate employees spinning a complaint. The bottom line is that Direct Buy will do just about anything to sell you a membership, including the use of aggressive salespeople who will lie and cheat in order to pry that $5000 membership fee from your wallet.
Any discounted prices received from DB can easily be found on the web, and are often no longer a discount when steep non-negotiable "handling charges" are added to your order. Yes, DB will add 8% to your order as their handling or processing charges. So, what the heck was that $5000 dollars for?

They claim DB's buying power gets you great deals because they can order in volume. Believe me when I say there are far bigger retailers with FAR greater "buying power" than DB.

So, use your brain people. If a company like Direct Buy can set-up brick and mortor stores and offer these products at such "unbelievable discounts", why couldn't any other retailer do the same? The fact of the matter is they can't, DB is just another middle man taking their cut of the profits just like any other store. The only difference is at DB you have to pay $5000 US Dollars for the honor.
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#7 Consumer Comment

There's no pleasing some people

AUTHOR: Marc - Toronto (Canada)

I just purchased a membership to DB in Canada after doing extensive research. I think the suggestions by the other members should be taken to heart. Go there with several items in mind complete with model numbers. I just bought a house and I need to furnish it from top to bottom. I have already saved more than my membership fee ($4600) in my purchase of a bedroom set (7 pieces), dining room set (7 pieces), kitchen island, bar stools, sectional sofa and HE Front load washer and dryer.

You will save the most on furniture. In my experience I've enjoyed discounts of over 50% retail! With savings like this I don't mind paying a microcharge for freight. I've STILL come out on top.

I will eventually remodel the kitchen and bathroom of this house as well as replace the furnace and upgrade the windows. I believe there are much greater savings to be enjoyed.

The bottom line is you need to do the right type of research. Get a list of about 10 -15 items ranging from Appliances, furniture, electronics - hey whatever gets you going and have them pull up the lists. If you don't like what you hear, you've only invested 30 min. No big deal.
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#8 Consumer Comment

So far, I've found DirectBuy to be a GREAT deal

AUTHOR: Fakename - Metrowest (U.S.A.)

My wife and I joined short while ago. And I will tell you, the club is not for everyone. If you are planning to make large purchases (TV, furniture, kitchen, patio, etc.) and can afford to lay out a healthy membership fee, this is a deal you can NOT afford to walk away from. If you can't afford a hefty fee, or really have no real purchases coming up (they don't sell food or gas), then they are definitely not going to be a good deal.

In our case, we laid out $4500 to join. We targetted a new TV, sound system, living room furniture, kitchen cabinetry and countertop, and some outdoor goods as our purchases within the next year. We already saved $1000 on the TV over a major big box store specializing in electronics, and about $500 on the receiver compared to the same store. That's already 1/3 of the membership. Our kitchen alone will save us about $5k, so within 1 year, we will have saved approximately $2000 from going with these guys.

On top of this, the service so far has been great. They are prompt with calls or emails to help with orders or questions. So far, the only thing I think that is a drawback is the initial membership fee (which we'll have saved with our first 3 purchases). Caveat Emptor, but it's a good deal for most.
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#9 Consumer Comment

Member for over 10 years.......

AUTHOR: Dundertaker - Chicago (U.S.A.)

Joined in 1998, when it was still UCC. Basic value is if you are purchasing a large quantity of furniture, flooring, etc....! Electronics are not a always are available at a huge savings. E.G. one TV purchased direct may not be as good a value when BestBuy purchases a "box car" full. But high markup items like furniture are available at huge savings.

Recently purchased over 1000 sq. ft. of Hardwood floor that retailed for over $13 a sq. ft. + tax, etc.... Paid $7.15 tax, fees and deliveryinc.. We saved about $ 8,000 on that purchase alone. Purchased an "inversion table" that retailed for $ 299, sold at Costco for $199 and purchased through DirectBuy for $ 130. Obviously you would not get your membership investment back on small purchases, but we saved our initial fee on our first order 10 years ago on lamps alone.

We joined when we owned our own business and have saved about $50,000.00 over 10 years. If you are not going to make major purchases for a business or plan to substantially upgrade your home, etc....it is not for you. This is a simple business decision that needs to be considered prior to forking over the large up front fee. Not a rip off in the least. As in anything else you do, you have to weight the decision against your needs to establish the value you will recieve. If you just want a cheap TV, this is not the way to go!
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