Marketing people may be the biggest criminals of all

Just received an official looking notice that states the home warranty insurance that the bank that holds the mortgage on my house "may have" is expiring and time is running out for me to renew the warranty. In the itsy bitsy legalese at the bottom it acknowledges there may or may not be an existing policy. I figure the odds are not, but they do have the address, my name, and the bank's name all correct, and having just replaced both HVAC and a refrigerator, I decided it prudent to call and just make sure they weren't at least partially covered. Chatty Becky was friendly, cheerful. I will give them that. After the second time I point blank ask if the bank had a warranty or not, she confessed they did not. There just isn't the satisfaction in disconnecting that you used to get with slamming down the receivers on landline.

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ArishMell · 70-79, M

This looks like an enquiry at cross purposes. I am also very suspicious about the original message.

You don't say if the notice was by letter or electronically - if the latter I'd be even more suspicious.

I've had many communications from the bank that look very convincing at first sight... though the dead giveaway for most is that the bank is not mine!

Why would you expect house insurance to cover guarantees? You tell us the letter cites warranties on domestic appliances, not property including those appliances.

Warranties cover the equipment failing through no fault of the owner, and are met by the manufacturer, via the retailer; not the home insurer. An extended warranty or a "service agreement" is a specific insurance policy with the manufacturer, [i]not [/i]your house insurer.

However, the Home & Contents policy might cover [i]consequential [/i]damage, warranty or not.

Your policy document should explain it. Assume anything not mentioned specifically, or implicitly by category, as not covered. Warranty repair might even be listed as excluded, to avoid duplication. It is limited to repairing or replacing the appliance only, and at the manufacturer's risk. Warranties exclude breakdown by misuse, abuse or modification; and the home-insurance would exclude both the appliance and consequential damage.

Repairs or replacements during the guarantee period but due to external accidents such as flood or fire might be covered. Those are not warranty claims.

Poor Becky probably thought you were asking about [i]property[/i] insurance until you demanded to know if it covers the [i]guarantee[/i]. I think you were wrong to have been so abrupt.

If I am right, you had only to have examined your policy document, then telephoned your bank if you were still not sure; but importantly also to explain why you are asking.

Becky told you warranty claims are not covered - as I would expect - so why would the bank have sent you that letter? You must report it!

In any case, there was no need to have been rude to a staff member who was trying to help you.

I am sure it looked very convincing, but had you actually considered if that original communication really was from the bank....?

dancingtongue · 80-89, M

@ArishMell I didn't say the letter was from the bank. I knew it wasn't from the bank, but it named the bank to imply the bank had taken out the warranty, extended warranty, service agreement -- whatever you want to call it -- which I, indeed, thought was weird. Except we had re-financed the mortgage to totally renovate the house including replacement of all the appliances, so the lender taking out an extended warranty on the appliance in addition to the normal home insurance many banks automatically take out to protect their collateral was not out of the whelm of possibility.

It was an actual official looking letter carefully constructed to look like something that might have been generated by the bank in question. I already had seen through that subterfuge and read the legal fine print saying it wasn't necessarily what it was designed to look like. If it had been online I would not even have opened it. If I hadn't nearly lost a windfall settlement on some sort of legal action against a mutual fund because the check came dressed up as marketing/disclosure crap, I would have tossed the letter as well. I would call neither a good business practice nor do I think either should be allowed legally.

As for "poor Becky", I was cordial to her. I understand that she is not the issue. My late wife used to work in one of those telemarketing jobs while in college and know from her how rough they can be, but at least she was making cold calls without attempts to misrepresent. After she admitted it was a ruse, I told her why I was not interested in a calm voice before hanging up. I just missed the satisfaction of slamming the receiver down.

ArishMell · 70-79, M

@dancingtongue I must admit that seems unusual now, a printed letter rather than e-mail. That makes me wonder if the gangs have twigged that too many people are becoming wise to their on-line ruses.

Sorry - I see your point now about the extended warranty. I'd not thought of the lender insisting on that.

Given the subject it does seem far more like a scam attempt than a genuine sales attempt, although I can see it might well have been from the real marketing and sales department.

It was your last few words that made me think you'd been a bit rough with the bank lady.

I did once managed to get a cold-calling saleswoman off the script and we had quite a long, pleasant chat about all sorts of things except the phone contract she was supposed to be selling me.

thisguy20 · 41-45, M

I got a version of that letter: confirmed with my mortgage originator that not only do they never write a mortgage requiring a home warranty, they don't recommend their clients purchase a home warranty.

LordShadowfire · M

True. That's why I usually start saying off the wall shit to weird them out.

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