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Report: #1093694

Complaint Review: Action Appliance Inc. - COLORADO SPRINGS Colorado

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  • Reported By: Robert — WOODLAND PARK Colorado
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  • Action Appliance Inc. 295 S. 21st Street COLORADO SPRINGS, Colorado USA

Action Appliance Inc. Denver, Kansas MO, Kansas City, KS, Colorado Springs, Greeley, Fort Collins, Loveland THIS IS NOT AN APPLIANCE REPAIR COMPANY. IT IS A CALL CENTER. LIARS AND SCAMMERS COLORADO SPRINGS Colorado

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Action Appliance quoted me $200 on a part for my washing machine that retails  directly from LG for $48.00. Here's how these guys operate: Action Appliance is not even an appliance repair company but rather simply a call center, that refers out technicians.   The technicians are independent contractors who set their own, pricing based on the commission they want to receive.  There is nothing standardized about what they charge customers

I contacted Action Appliance yesterday morning to address a problem with my broken drain pump on my washing machine.  I was told by the customer service person that I made the appointment with that there would be a standard service call fee of $54.95 which I felt was fair and agreed to.  I want to stress here that there was no disclosures of their companies polices expressed to me either verbally or in writing, nor did I sign any contracts, agreement or paperwork, relating  to cancellation of service calls.  The technician, “Mike” seemed to me to be both friendly and professional.  I even gladly filled out a hand written survey, giving him high marks on his customer service.  It was only after the fact that I had realized that I was being duped. 

After verifying that my drain pump was in fact defective, which I already knew before he arrived, he told me he would have to order the part and come back tomorrow to install the new pump.  He then gave me a quote on parts and labor.  Admittedly I was a taken back by the price.  I was quoted $325.94 and informed by the technician that since I was going have him do the work on the washing machine that the $54.95 service call charge would be removed.  I have since learned from talking with other appliance repair companies that this is a scam whereby they simply charge higher prices for parts and labor to make up for the cost of refunding the service call charges.

 The first question I asked “Mike” was how much of that quote is the price of the new pump?  He said, these pumps and I quote, “Are really expensive” and run over $200.00.  Trusting what he told me, I figured that since the pump was so expensive that adding in the $125.00 for labor, the overall price of$325.94 was fair.  Armed with this knowledge I handed Mike my Debit Card and paid the balance in full. 

Once he left, I began thinking that the price he quoted me on the new pump seemed much more than I thought it should have been, even taking into consideration a standard “mark up” on parts which is a common practice for not just for appliance repair companies but in other service/ repair industries such as auto mechanics as an example.

 I then contact the national headquarters for LG Appliances and asked their customer service representative what the retail price was for the drain pump on my model washing machine.  I was shocked to find out that the direct from manufacture price was a mere $48.05 for the pump, over $150.00 less then Mike had told me during the service call! I also was able to find the even cheaper prices from a myriad of other parts stores for as low as $36.00 retail.   I immediately called Action Appliance Inc, talked to a supervisor and told her that their practice of price gouging customers on parts and labor was unacceptable, dishonest and unscrupulous and that I am requesting that they cancel my services with them and refund my payment.  I told her, that I would still pay the $54.95 service call, since their technician had come to my house, but otherwise I wanted the difference of $270.99 refunded back to my debit card.  It was at this point, for the first time, I was told by the supervisor at Action Appliance Inc. that their “policy” was to charge an additional 25% of the total bill and that they would be charging me $136.43.  I told her that I refused to pay a 25% service call penalty on a trump upped bill and wanted a full refund minus the service call charge.  The supervisor refused my request.   I then informed her that I would be disputing the charges through the fraud department at my bank.  She said, “That’s fine and have a nice day.”

For the record I called up a certified LG Appliance Repairman, “The Appliance Guy” in Colorado Springs.  He came to my house to install a new pump on my washing machine this week.  The total charge is:  $165. 57 which is $160.00 less then what Action Appliance Inc. charged me for the same work and the same part.   I also received a quote from one additional LG certified appliance repair company, Brandsource Service, whose total charge would have been $250.00.

In short I was directly lied to by the technician as to the price of the part for my washing machine.  Their “menu/commission pricing"on labor and parts is excessive and is in no way in line with standard labor and parts  prices as compared to most other appliance repair companies and I was never informed about their 25% cancellation penalty until after I requested that my service be cancelled with them and that they refund the charges, minus the service call fee. DO NOT USE THIS SCAM ARTIST APPLIANCE CALL CENTER, YOU'LL TWICE AS MUCH FOR SAME REPAIR AS A TRUE LOCAL APPLIANCE REPAIR COMPANY

This report was posted on Ripoff Report on 10/22/2013 07:40 AM and is a permanent record located here: https://www.ripoffreport.com/reports/action-appliance-inc/colorado-springs-colorado-80904/action-appliance-inc-denver-kansas-mo-kansas-city-ks-colorado-springs-greeley-fort-1093694. 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. Ripoff Report has an exclusive license to this report. It may not be copied without the written permission of Ripoff Report. READ: Foreign websites steal our content

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