Should You Buy The Optional Extended Warranty or Service Protection Plan?
(...not if you're buying a digital camera... and it's from Sears!)
You hear it all the time. Whenever you buy something of value at the department store, they ask:
"Would you like to purchase an extended warranty on that?"
or...
"We've got an optional service protection plan that will fully cover the product beyond the standard manufacturer's warranty. Are you interested?"
As a rule, we never buy into such "protection plans", "insurance", or "extended warranties" -- believing that the odds of something going wrong that the standard manufacturer's warranty wouldn't already cover are quite slim. Not to mention the fact that such protection plans are quite expensive, relatively speaking.
A CBC Report on Extended Warranties
Smart Money: Extended Warranty Rip-Offs
When Service Contracts Make Sense
Consumer Reports: Extended Warranties Aren't Worth The Cost
However, there have been two occasions in my lifetime when I've purchased an extended warranty. Both were at Sears. One experience (on a bicycle) was good. The other (on a digital camera) was not so good.
Here's what you need to know...
I (Heart) Sears
Let me just start by saying this: I love Sears -- mostly for their low prices, but also for their brand-loyalty and customer service.I've always felt that I've received personal attention from people knowledgeable about the product, no matter what department I happened to be in.
And you can't beat the tried & true brand-name products that have stood the test of time, like Craftsman, Kenmore appliances, Diehard batteries, and now Lands' End.
HOWEVER, I do have one piece of advice...
In the event that you're considering purchasing an optional Master Protection Agreement (MPA) from Sears -- particularly if the product you're aiming to "protect" is a camera -- you may want to think again!
The Sears Master Protection Agreement
At Sears they call their extended warranty a "Master Protection Agreement". It's supposed to be better than most, because it goes beyond the typical repair or replacement of the product should it become un-usable for some reason. The Sears MPA also includes one free "preventive maintenance check" (i.e. cleaning) each year for the life of your MPA.This free preventive maintenance check is the primary reason that we purchased the 2-year MPA (for $129.99) on our Canon Digital Rebel camera.
Since the camera cost nearly $1,000 (we bought it July, 2003), and we knew we'd be using it a lot, we figured we would get our money's worth from the MPA simply by taking advantage of the free preventive maintenance check each year!
We had done our homework and learned that similar cleanings cost $100+ a pop from a camera cleaning & repair shop, so $129.99 didn't seem unreasonable for the option of getting 2 cleanings.
However, we were shocked to witness how Sears handles the "preventive maintenance checks" on the cameras they sell!
What?... Sears Cleans & Services Cameras?
First and foremost, I wanted to know how the process of getting your camera cleaned and/or repaired through Sears actually worked. So, the day we bought the camera, we asked. We were told by the sales clerk something along the lines of: "We (Sears) send it out to have it professionally cleaned by our camera experts."I went through the whole line of thought -- some of it out loud with the sales clerk -- some of it I just kept to myself: "Sears has camera experts? Hmmm... didn't know that." I can't really picture that. I didn't fully buy into that. But, it wasn't a deal-breaker on purchasing the MPA.
The Process of Getting Your Camera Serviced At Sears
Here it is now, a year and a half later... and we decide it's time to take advantage of the free preventive maintenance check. So I call the Sears where I bought the camera to ask how they "send out" cameras to be cleaned.You will notice on their website where they describe their MPA's, they don't even have an option for servicing or repairing digital cameras!! For some reason, cameras are handled quite differently.
After being routed to 3 different people, the last one seemed familiar with the process. He said they "box it up and ship it via UPS to a camera repair place in Texas." (He actually mentioned the city, but I don't recall it now.)
I immediately Googled "sears (city) texas" to see if I could find anything that would allay my fears of sending my expensive camera across the country and back. I could find nothing. (Which is partly the reason for this post... I figure, if I have questions about the process, others are likely to as well.)
So I waited a few days, then I called again. When I asked how to "start the process" of getting the "preventive maintenance check" on my camera, he said to just take the camera into the store where you bought it -- then go to the Repairs department.
A few weeks later, Jim and I went to the Sears store where we bought the camera. We went directly to the Repairs department. The guy there was clueless about the process, so he said to take the camera back to the camera department itself and see if they could help.
Then, another guy came in to work at the Repairs department. We asked him about the process of sending cameras out for the "preventive maintenance check" per the MPA. He didn't know anything about "preventive maintenance checks", but he said for "repairs", he could handle it for me. He was ready to take my camera from me and send it out somewhere.
When I mentioned that I'd been told that Sears "ships cameras via UPS to a different repair & cleaning location somehwere in Texas", he seemed to vaguely recall hearing something like that before. He said, to be sure, I'd better just go back to the camera department and see if they could help.
Agreed. At the camera department, the sales clerk says, "Yep, we can send it out for you." When I ask about where they ship it to. She didn't know. She said, "I'll take you back there, and we can ask them." ...as she starts to walk me back to the Repairs department where we'd started!
At this point, I'm extremely nervous to put my camera in the hands of any of these people, since no one knew exactly where it would end up! So I asked for a manager.
Does Anyone At Sears Know How To Get A Camera Serviced?
Fortunately, the store's Customer Service Manager (CSM) was working. However, he admitted that he was new to this particular store and he had never handled an MPA on a camera, but he would try to find the answer to our question.He phoned one of his bosses. They gave me a phone number to call to schedule the cleaning with Canon directly, at which point Canon would (supposedly) send me a box to ship my camera to them. The CSM also gave us his direct number, in the event that I had any other questions (...if only he'd have known!)
The next morning, I phoned Canon. They were very nice. Very understanding. Very willing to help. But they simply said they do not honor store agreements like this MPA from Sears. Never have. Period. I asked for a supervisor. (Also very nice.) I got the same story. He made a note in their company computer system and said that note was being broadcast to all Canon managers alerting them to the fact that Sears was selling such MPA's and giving out their phone number as the contact... just so their people would a) be informed and b) possibly confront Sears if they got enough phone calls on the matter.
The next morning, I phoned the CSM back at my local Sears store. He was embarrassed that he'd sent me on a wild goose chase. (I must say, he was an admirable representative for the company, and I applaud his work ethic -- for this and for how he managed to resolve all this in the end.)
The CSM promised that he'd call me back with a solution to this problem before the day's end. (He never called back.) I called him back the next morning, eager to hear his solution. While I was on the phone, he was speaking with his store manager (who didn't have an answer either) and they phoned someone else -- who said to call this toll-free number. Guess what?... It was the SAME number for Canon that I'd been given days earlier! Another wild goose chase.
This was becoming completely ridiculous now. It was clear that NO ONE at Sears knew how to handle the MPA on a camera that had been purchased at Sears.
I decided to ask for my money back on the MPA.
The Difficulty of Getting Your Money Back On An MPA
Still on the phone with the CSM (who was still fishing around for something else to try)... I stopped him mid-sentence, and I told him that we just didn't feel comfortable leaving our camera with anyone at Sears at this point, and that we would just like our money back -- the amount we paid for the MPA.He said something to the effect of: "I'm okay with that. It's obvious that we were unable to provide you with the service you paid for."
He said he would give me a full refund of the MPA, and asked when I would like to come by the store and take care of that. I rushed right to Sears and ended up spending my entire lunch hour trying to get my money back.
Turns out, there is no easy way for Sears to refund 100% of what someone paid for an MPA. Their system is set up to only offer a pro-rated amount, based on the amount of time that has elapsed since the MPA was purchased.
Plus, their system is set up to only issue store credit -- despite the fact that I had the receipt in hand that showed we had paid CASH for the camera and the MPA.
I stood my ground and wouldn't settle for a store credit. I was owed $129.99 in cash, and I needed the cash to go get my camera cleaned & checked somewhere else.
Boy, did they fight me on this! ("Surely you could find something to buy here at Sears with a store credit!")
Finally, after both the CSM and the store manager had tried everything they could think of to "trick" the cash register into giving me the money I was owed, I was actually the one to suggest a 'workaround" so they could get into their own cash registers and get me the cash I was owed. To everyone's amazement, it worked!
...I wonder what they're going to do when the next person wants to get their "free preventive maintenance check" on the camera?!
...I wonder if the sales people in the camera department are still selling MPA's on cameras?!...
Others Share Their Thoughts On Sears & Their MPA's
12 Reasons Why A Sears MPA Is A Scam ...according to a former Sears employee. (Don't miss his detailed summary: The Truth Exposed About Sears Maintenance Agreements and other Extended Warranties!)
ConsumerAffairs.com Posts Consumer Complaints on Sears Maintenance Agreements
iVillage's Garden Web Posts Feedback on Sears Master Protection Agreements (...and extended warranties in general).
Planet Feedback Posts Consumer Opinions Regarding Sears Warranties
Training Info For Sears Lawn & Garden Employees regarding MPA's (...it appears to be legit).
Tips From A Sears Employee (...regarding the selling of Master Protection Agreements
Sears Master Protection Agreements...A Ripoff Or Not? (...don't miss the "honest employee speaks" post.)
Extended Warranties: $16 Million Down The Drain
Just in case you're wondering, here's how much Sears employees make (...according to the Sears Employee Forum of current Sears employees) and how they're paid on commissions in the Electronics department.
I HAVE WARRANTIES ON MY SEARS APPLAINCES HOW DO I KNOW WHICH ONES ARE COVRERED
I work in the electronics department at Sears here in Alaska. I've never heard of anyone having so much trouble with MPAs. It is true that our systems can be difficult when it comes to refunds. The system is usually set up to only do a refund in the same type that was originally paid for (unless you trick it). That store didn't know what they were doing. I believe it comes down to the leadership of the individual stores themselves as to what sort of experience you will get; the same for any chain-type store. At my store, our store manager and department manager both know what they are doing, and trained the selling associates on how to not just sell the MPAs, but how to also make sure you are actually taken care of. My store, we have an outside-contractor; nobody at our store is a 'camera expert'. And we tell the customers that when they ask. It isn't mailed out anywhere, it's a local shop here in town that has a contract with us.
I have worked in the electronics department at a Sears in Maine for about three months now. Since that time, I have seen every single time that we honor the Purchase Agreement. For example, a woman bought a Vizio flatscreen about a year and a half ago. She called and said she reported this to the 1-800 number and they told her that they didn't have her information on file. She told me that she purchased the TV at our store and had a receipt showing the agreement was purchased. I told her to come into the store and talk to a manager. Within an hour she walked out with a new Sony TV. Two other cases I saw during my short tenure: A man purcahsed the agreement on a GPS, which crapped out on him during the agreement. He picked out another one, I took back the old one and he wasn't charged a dime. Another case in point, a man purchased a cordless phone with the agreement. We gave him another phone at no cost. I'm sorry to hear about such problems, and I'm only guessing that these problems are driven by the people who run the stores. But where I work, we honor the agreements and do not scam people. Regardless of what you believe, the agreements can be a gamble, but when needed, I have seen them pay off.
first off sears does not make whilpool. second off BUY THE PA! and you would not be having this problem.
do your research on the MPA never rely on if someone tell you to get the PA or not to. make your own decision. that is your own fault.
not true no hidden fees if you purchase the MPA. This is not an extended warranty it is full coverage on the product. Service, Parts and Labor are included in the one time fee.
I find it funny that people think Sears is the issue...when in actuallity it's a third party rep. that handles all Sears services...the same third party rep that works for all your other major companies as well...people might want to check your facts before posting and complaining about something that has nothing to do with sears....and if your product breaks...keep in mind....SEARS DOESNT MAKE THE PRODUCT....try contacting your manufacturer and asking them why they made a **** product in the first place...that's my 2 cents thank you!
Stay aways from Sears, too expensive and their contracts suck. Frome an ex-employee, 15 years ago!
If you are planning to purchase a Sears Extended Warranty or Protection Agreement, just be aware that there are hidden costs that the salesperson probably won't tell you about. For example, if you have a problem with the item you bought from Sears (with an extended warranty) and bring it in to be repaired, Sears will still charge you $49.95 just to diagnose what the problem is. They claim that if, in their judgement, the problem with your item is covered under the manufacturer's warranty, they will refund you the $49.95. But if the problem is not covered under the warranty, they keep your $49.95 and will of course charge you for the repairs. Beware and be careful when considering purchasing a PROTECTION AGREEMENT from Sears...ask lots of questions because I doubt the salesperson will disclose all the possible hidden and extra costs associated with the PROTECTION AGREEMENT.
I am also a sales rep. in the Large Appliance section. I do think that the service plan is one of the best out there compared to other companies. I put them on my washer and dryer. I like the fact that I can have a yearly maintence done and if some thing does go wrong I know that I will be taken care of. I know that Sears is not perfect and people get upset over a broken promise, but there are a lot of people out there that utilize these plans and they love the great service is provided. I agree that you should get them on your higher end appliances. It makes sense and it is annoying to hear people complain about service when a product does fail. We expect them to last 8-10 years and hopefully longer with the service plans. It sounds like people think that Sears is out to jip them, but in reallity they are trying to help. Just think about what you are buyin and if you are rich enough to just through away or repair an appliance. Always remember that the product being sold is made by man and machine and they are using more plastic parts, so if you have the money to take care of it yourself then don't get an agreement plan, but if it does break don't come wineing to the sales person, because we give you the option to buy.
work for Ritz Camera selling electronics as well as 'extended warranties'/service plans. First, As a salesperson and not a clerk, I profit from selling a service package, and I am well aware that my company also profits from these packages, but I have a hard time understanding when making profit from your services became a case against it's significance. I have never refused a single camera for repairs or replacement when honoring a service agreement in four years of working with the company.
Our contracts are easy to understand in writing and include all damage other than that from fire and of course loss.
Does this sound like a scam? As a sales professional I am disappointed with media and consumer resources who are grouping all service packages as fraudulent without making proper distinctions for those business' that currently honor what they sell.
Second, I am appalled by what the consumer 'experts' list as products on which are worth a warranty. New televisions seem to have quite a lot of problems, so from what i've read if you want to buy a television you should take out a warranty in recognition of the inevitable problems such as bulbs burning out. The product should be better...period. Consumer reports should advise not to buy the tv if you simply cannot rely on the product. My customers would run if i told them they needed a warranty beacuse the product is made to fail. I work hard with my customers to make the most intelligent purchases based on product history, so when the camera breaks, it was probably because they were using and enjoying the product a little too much.
Thank you, Paul
I bought the mpa. NEVER AGAIN. I feel totally ripped off.
Never buy electroics from Sears. I bought a digital camera and the warranty. When they sold it to me, they sales guy said that the warranty covers everything as long as it was accidental. The example he used was "If you forget and leave it on the bumper of your car, start driving and run over it, then you can pick up the crushed pieces, bring it back to us, and we'll repair or replace it."
Needless to say, the first time it was used it got knocked off of a table by a passerby. The lens was lodged and the camera was broken. When I sent it off to be fixed, (after enduring a similar experience with being sent from phone number to the sears repair center to the store, etc.) they sent it right back saying they refuse to fix it because it was "received damaged" - duh. Their reps were useless, the phone operators had no clue who to connect me to, and it was one big annoyance the entire process through. Don't buy from Sears, Best Buy actually has their act together.
I currently work at Sears in the sweeper department. We work on straight commission and make real good commission rates on MPA's....Personally they are a *beep* to sell but pay off. They are useful on items such as vacuums *(might as well buy the Dyson and not even have to buy a PA) or sewing machines which do require yearly service (i should know!)
For the most part - people are smart. They know when they should buy one and when they don't really need it. And in some cases it is a hard sale....but with a little work and a little nudging it is possible to make a good PA sale.
I personally would not buy a protection agreement or replacement agreement on anything but a dishwasher and sewing machine or items that get lots of use daily.
What alot of people don't realize is...When you only spend $50 on the bottom of the barrell sweeper....dont be shocked and mad when your back buying a new one in a year....It happens daily.
Example : A lady passing the halls peeked into the department. I offered my assistance and she churped " I won't buy another Kenmore sweeper from Sears I bought that one over there less than a year ago *points to the first dinky machine on the rack* and it already broke...I won't buy anything else at sears that isn't clothes"....I just smiled and walked away at that point.
I bet she is one of those idiots that allows the Kirby sales scum in their home........
In closing, I love Sears and I love serving customers. Being in a straight commission department really motivates a person to know all products inside and out and match the right product with the right person.....Any returns comes back to haunt us in the negative catagory.....As far as MPA's....again..I am for the extra protection on items that will be used in excess....JUST USE YOUR BRAIN WHILE SHOPPING AND YOU WILL REALIZE WHEN THEY ARE GOOD DEALS...
Thank you,
Ron
I had a choice between purchasing $4000 worth of appliances at Leon`s or Sears. Sears matched the price so I chose to buy from them as I had been pleased with sevice in the past. BIG MISTAKE!! 2 years later, $30 broken part on fridge cost $160 to fix ..... their salesperson (at the time) recommended that we NOT buy the warranty!! On the other hand, the microwave with range hood, which we did buy a warranty for,doesn`t cover the cracked plastic cover on the air return. The repair guy told my husband that they are given a list of dialogs to respond to customers when they have a problem with a part to avoid having to replace or repair them. They figure the customer will give up. Apparently you have to get persistent and aggressive to get anywhere with rip-off companies like Sears. Icing on the cake...... 5 days after the $160 repair we get a call from Sears offering us an extended warranty on our fridge. They must really take their customers for idiots! Next time I`ll go across the street to Leon`s.
Never shop at Sears. If you need anything electronic shop at Best Buy, any clothes go for another retail store, specialty shops are best. Why Best Buy? I work there and can tell you that it's worth the trip, not only will we match a competitor price, we also have better and cheaper services, as well as a better financing program.
Whirlpool range bought at Sears Canada 7 yrs ago. Main control panel now needs replacing. Cost 300.00 plus service plus tax. What ever happened to quality,and accountability by Sears.
JANET!!! What? You're going to send your daughter in to a Sears without her bra?!!! Do you really think that's going to get you a new crock pot? What kind of mother are you? How big is your trailer. Also, who buys a warranty on a crock pot?
I hate Sears now, too. I used to buy just my underwear and pantyhose at Sears. Then a friend of mine on our Dallas Ladies Tumbling Team told me to buy a new crock pot there, since I dropped the last one leaving the house (tripped over a stray dog, fell and dumped my crock of Famous Con Queso Dip all over the porch).
Well, I got the new one at a Sears here in Dallas, and it stopped working after 2 weeks! WTF??! I had the extended warranty too, but when I went back into Sears, they said that since I had overflowed the crock pot with my Famous Fudgy Nut Log mix, it shorted out and I was responsible, not the warranty! MUTHA F!
They refused to budge and ended up escorting me out of the store screaming with my broken pot! Went back the next day hoping there'd be different salespeople, but they refused me again. Jerks. They said I can't come in again, but at least I got some thick spit on the store Manager.
Sending my daughter Tonya Buttimer back in there tomorrow without a bra, cuz I WILL get them to replace my crock pot!!
I'll never buy from Sears again. The extended warranty is a hollow cash-grab and not even worth the paper it's written on. Sears, you've seen the last of me and I'll tell EVERYONE I know exactly what I think of your service.
I am going thru a very similiar situation with my refrigerator, never again will i every buy anything from Sears.