- Report: #236362
Complaint Review: Direct Buy
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| Direct Buy 6832 Ashfield Dr
Cincinnati, Ohio United States of America |
|
Direct Buy scam, higher prices in the long run, toll booth scamming Cincinnati Ohio
*Consumer Comment: Not for everyone, but there are savings
*Consumer Comment: I think I was at the same presentation
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I visited Direct Buy Cincinnati on 2-17-07 for an open house presentation. It was your typical marketing open house where there are several greeters and salesmen hounding over you offering coffee and lemonade. The sales pitch is very straight forward with excellent examples. The prices that consumers pay are really high...and that is the truth. The saleman continues to provide very specific examples of what consumers pay and what customers of direct buy pay. There is no scam in the sales presentation at all... it's all very honest.
HOWEVER, our "tour guide" Rich Koshner tries to set us up and then tells us the price to be a member is $4,590 for three years and then $190 a year for the next 7 years... or about $592 a month for the next 10 years. I don't know about you, but $592 a month is rather steep for the next ten years. There are several payment plans available with various down payments. Rich became very irate and told us that, "now you're pissing me off" and gave several other examples of how Direct Buy has helped others.
After declining several times, he takes us back to the receiving area where there are saunas, hot tubs, and many other high end merchandise and explains to us the 8% markup fee and delivery charge. Again, he was being very honest throughout the entire ordeal, however, the math still did not add up right in my head.
I am looking for a plasma television at the moment... in the $3,000 range. Direct Buy had the model I am looking for for $1600. By the time it was delievered, taxed, and installed, it would be about $1750. That's a large savings... yes it is. Now add on the additional $592 monthly fee (10 years) and we are up to roughly $2,300... which is still a savings. But, when the next month's $592 fee comes and then next months... etc, etc, etc... is the savings that good?
You are not required to extend the contract beyond the three years. The original contract is for $4,590 or $1,530 annually. Granted, if I had a bunch of rooms to remodel and lots of furniture to buy, the savings would be astronomical to be a member of Direct Buy... but most households do not replace furniture on an annual basis.
Direct Buy does sell everything from many many manufacturers at wholesale prices...and below. I can see how this would help the real estate investor that is constantly updating homes and properties... and that's about it.
Rich finally stooped to such a low level and told us a trailer park story of how this family had nothing and then they met Direct Buy and changed their lives forever with new furniture. Whatever...not true. If the family was living like that, there was a reason why they were living in a trailer and now with the additional monthly charge of $136 a month (or $592 a month for 10 years), just another burden.
One word of wisdom... for those with active ebay accounts, I could see this as a gold mine because the gems are reasonably priced and a 100% markup would be great to sell on ebay. They tell you that you can't sell on ebay... but you can because I know two people that are Direct Buy members (they referred me to Direct Biu) and that is all they do is buy from Direct Buy and immediately resell on ebay.
The entire Direct Buy is "toll booth scamming" as once you pay the $4,590 membership fee for three years, you are entitled to enter the property and shop.
James cincinnati, Ohio
U.S.A.
HOWEVER, our "tour guide" Rich Koshner tries to set us up and then tells us the price to be a member is $4,590 for three years and then $190 a year for the next 7 years... or about $592 a month for the next 10 years. I don't know about you, but $592 a month is rather steep for the next ten years. There are several payment plans available with various down payments. Rich became very irate and told us that, "now you're pissing me off" and gave several other examples of how Direct Buy has helped others.
After declining several times, he takes us back to the receiving area where there are saunas, hot tubs, and many other high end merchandise and explains to us the 8% markup fee and delivery charge. Again, he was being very honest throughout the entire ordeal, however, the math still did not add up right in my head.
I am looking for a plasma television at the moment... in the $3,000 range. Direct Buy had the model I am looking for for $1600. By the time it was delievered, taxed, and installed, it would be about $1750. That's a large savings... yes it is. Now add on the additional $592 monthly fee (10 years) and we are up to roughly $2,300... which is still a savings. But, when the next month's $592 fee comes and then next months... etc, etc, etc... is the savings that good?
You are not required to extend the contract beyond the three years. The original contract is for $4,590 or $1,530 annually. Granted, if I had a bunch of rooms to remodel and lots of furniture to buy, the savings would be astronomical to be a member of Direct Buy... but most households do not replace furniture on an annual basis.
Direct Buy does sell everything from many many manufacturers at wholesale prices...and below. I can see how this would help the real estate investor that is constantly updating homes and properties... and that's about it.
Rich finally stooped to such a low level and told us a trailer park story of how this family had nothing and then they met Direct Buy and changed their lives forever with new furniture. Whatever...not true. If the family was living like that, there was a reason why they were living in a trailer and now with the additional monthly charge of $136 a month (or $592 a month for 10 years), just another burden.
One word of wisdom... for those with active ebay accounts, I could see this as a gold mine because the gems are reasonably priced and a 100% markup would be great to sell on ebay. They tell you that you can't sell on ebay... but you can because I know two people that are Direct Buy members (they referred me to Direct Biu) and that is all they do is buy from Direct Buy and immediately resell on ebay.
The entire Direct Buy is "toll booth scamming" as once you pay the $4,590 membership fee for three years, you are entitled to enter the property and shop.
James cincinnati, Ohio
U.S.A.
This report was posted on Ripoff Report on 02/18/2007 03:16 PM and is a permanent record located here: http://www.ripoffreport.com/r/Direct-Buy/Cincinnati-Ohio-45242/Direct-Buy-scam-higher-prices-in-the-long-run-toll-booth-scamming-Cincinnati-Ohio-236362. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.
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Search Tips#1 Consumer Comment
Not for everyone, but there are savings
AUTHOR: Dmodela - (U.S.A.)
SUBMITTED: Friday, July 31, 2009
My wife and I have already saved more than our 3 year membership fee within our first year of membership. No, this may not be the best idea for someone who just wants to buy a television or smaller appliances, but for those who are remodeling or renovating, DirectBuy is a great option.
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What's this? #2 Consumer Comment
I think I was at the same presentation
AUTHOR: Jill - (U.S.A.)
SUBMITTED: Wednesday, February 28, 2007
I too had Rich Koshner as a guide.
During the video presentation in the room I was taken aback by the total vagueness of the video. The information they gave was almost the same as the information in the TV spots. but no REAL information on the items that you can purchase through them.
there was just alot of Direct Buy is So great because we save money! Save Money! Save Money!
And a lot of emphasis on consumer goods like TVs and Electronics. Trying to convince you to "get the most" out of you $4500 membership fee by buying as much as possible. The thing is you don't SAVE by SPENDING. You save by NOT Spending. So no matter how many wholesale wide-screen TVs you buy, you're not going to save anything if you're spending money.
And I don't buy consumer goods like that. And I don't buy high-end electronics, jewelry, sporting goods or other things as gifts. So, again, no savings there. I do have an old house and could probably save on building materials but, when you factor in the fees, not so much.
Anyway, iI said no and walked away. I'm glad I did. Luckily Rich did not start in with the trailer park story because, if he had, I probably would have laughed in his face. Again, you don't save by spending. And if you're struggling in a trailer park, nice furniture isn't going to make your life better.
Direct Buy is banking on rampant consumerism. The idea that you NEED to buy all this "high-end" stuff and that you need to buy it often. keeping up with the Joneses. Those are the people the prey on. I'm glad I don't fit the profile.
During the video presentation in the room I was taken aback by the total vagueness of the video. The information they gave was almost the same as the information in the TV spots. but no REAL information on the items that you can purchase through them.
there was just alot of Direct Buy is So great because we save money! Save Money! Save Money!
And a lot of emphasis on consumer goods like TVs and Electronics. Trying to convince you to "get the most" out of you $4500 membership fee by buying as much as possible. The thing is you don't SAVE by SPENDING. You save by NOT Spending. So no matter how many wholesale wide-screen TVs you buy, you're not going to save anything if you're spending money.
And I don't buy consumer goods like that. And I don't buy high-end electronics, jewelry, sporting goods or other things as gifts. So, again, no savings there. I do have an old house and could probably save on building materials but, when you factor in the fees, not so much.
Anyway, iI said no and walked away. I'm glad I did. Luckily Rich did not start in with the trailer park story because, if he had, I probably would have laughed in his face. Again, you don't save by spending. And if you're struggling in a trailer park, nice furniture isn't going to make your life better.
Direct Buy is banking on rampant consumerism. The idea that you NEED to buy all this "high-end" stuff and that you need to buy it often. keeping up with the Joneses. Those are the people the prey on. I'm glad I don't fit the profile.
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