Try and get some big shot politician to buy an extended warranty contract from WG and get screwed. Then he or she will wake up and take up the fight on our side. Till then, no one will help us. See, their money is not on the line ...
I suppose I should be happy with getting a few hundred bucks back and losing 1000? I dunno, I just am NOT happy with this outcome. It so unfair. Peace of Mind is what they sold me, what a joke.
As for paying WG an ADDITIONAL 475.00 after this finger-pointing/leaving thousands of people without coverage AND charging people's credit cards for payments following June 6th, I'd have to be even more of an idiot than when I first trusted these crooks and purchased this policy.
Hopefully the Temp credits will not be challenged by WG and they will remain chargedback to them.
I'm still trying to figure out how WG can legally charge us when they were not going to provide the service, and then have the nerve to send a past due letter when you stop the payments after THEY deliberately withheld information that financially effects our repair costs, so we'd keep paying THEM not knowing we didn;t have coverage! It is truly mind-boggling. Besides consumer lawsuits against WG how do they get away with this?
I can't mention the actual address due to Edmund's User Agreement (Tried twice - the mod was kind enough to let me know why my posts weren't listed)...
You can email me or search the web and you can find it.
is that they finally ADMIT via the judge's action that the service contracts are over, ended, nada, not in force. Until now it has been difficult to document this with all the bs they dished out. It's black and white. There is no service contract, hence, this should make for a stronger position for credit card chargebacks. They have also frozen their assets, so they cannot tell credit cards that they will be issuing their own refunds.
Anyone considering closing your credit card account before they could reverse the credit refund? Would this protect you?
Wouldn't be surprised if WG went into Bankruptcy protection due to all the chargebacks from unhappy customers. Would this prevent CC companies from reversing charges as of the date they filed? As for closing accounts to prevent credits being reversed back onto our cards, I don't think that would work - will the CC comps even let you close an account if you are in the middle of a dispute? Unlikely to me. We'd somehow be responsible for paying that reversal anyway.
Thank you for the article.Does mean the nightmare is over now in reagrds to being forced to deal with WG/past due letters, etc? And those of us who were lucky enough to get some amount charged back get to cut our losses and not lose the entire value of the policy? Sadly, most of us still got ripped off for hundreds or thousands of dollars. I Might as well have taken a match and set my $1000 on fire rather than lose it to WG. Those people who bought AFTER June 6th and think they have an extended warranty better cancel/get out ASAP before this company goes under from all the Debt and bad publicity it so rightly deserves.
Due to my auto place not following through to get paid from WG and charging my credit card, I called WG, faxed them a receipt, and received a check for the proper amount, dated 06/04/2003.
You can probably guess what happened. I deposited the check, but it was returned 'Funds Unavailable'.
I faxed a claim to NWIG, but of course, haven't heard a word from them.
I wonder what it is worth on ebay? Any offers? ;}
Fortunately, sort of, it was 'only' about $200 but I do (did) have 2 contracts with WG. On one I have another $350 repair since this this mess.
Forgive for I have sinned. I screwed so many people that I know you won't let me in the pearly gates. But, that doesn't matter because I have lived a good life on all the dollars I was able to scam from honest trustworthy people. I know I should have notified these people of our problems, but my greed just got the best of me and we just couldn't have handled all the calls and questions that would come forth. We needed our time to continue to decieve other people with addtional policies and have our accounts recievable department to continue to try and bill for worthless policies. I know we should been upfront sooner but the amount we could continue to steal was just too great.
But, hey my group and myself really like hot weather.
you can subscribe to WG's Reorg email notifications on their site.. or email me and I'll forward you the one I received from them - I just got the first one tonight.
It's the bankruptcy notice spelling out what they're trying to do and notifying us of our rights and what we can't do - such as call them about paying claims - this, apparently is harassment since they filed for bankruptcy protection from creditors.
The creditors' meeting will be held Dec 16th @ 10:30 am in Austin. I will be there. I believe the creditors are allowed to be a party to the "Plan" which WG must submit to the judge or trustee for approval.
As you mentioned, I just received the same email notice. On the Credit Card front, I was credit the entire $1250 I spent on the 7yr/100k diamond plan I purchased PLUS they gave me an additional $100. credit for charges on the dispute....not sure how or why but I'll take it!
I was going to be the class plaintiff for the State of Florida against WG and this is what came in today from one of the attorneys:
"A person who successfully files a lawsuit against a bankrupt corporation is a creditor, just like everyone else that that corporation owes money to. So even if we were to win, it would simply mean that we would have to get in line with all of Warranty Gold's other creditors, and ultimately, the best we could probably hope for is a small chunk of what we had been awarded by the litigation. It adds a huge bureaucratic mess on top of the mess that litigation already is and adds even more uncertainty to the whole process. When you add this to the uncertain financial condition of Warranty Gold and the difficulties raised by the arbitration clause, this is strike three. This is not a lawsuit that we are going to be able to afford to bring. The potential payout is too uncertain.
So at this point, all I can tell you is to file your claims with the bankruptcy court as Warranty Gold has instructed and to keep up your public relations campaign against the company. They're still luring in new customers who don't know anything about what Warranty Gold has done. It won't do much to help you, but perhaps saving other people from what you have gone through will bring you some satisfaction. The internet can be a wonderful thing for a scorned customer.
I am sorry that this did not work out. I am outraged by what Warranty Gold has done and would have loved taking a crack at punishing them for it. Best of luck in your continued efforts to get your money back."
It probably comes as no surprise that WG filed for bankruptcy on November 11. I just received an email notice this morning. The bankruptcy is targeted at all contracts sold prior to June 6, 2003. Because the company has filed for reorganization, it will still operate. I have one contract purchased before June 6 and one that was purchased after June 6. I'm sure that the older one is now worthless. One good thing is that the bankruptcy court will appoint trustees who will be charged with getting to the bottom of why WG's reinsurer did not step up to the plate when NWIG went belly-up. That's the question I want answered.
The notice I received included the following links:
To get more information from WG, you can email the company (expect a canned response) at: reorganization@warrantygold.com
Creditors (which may include contract holders who paid for their own repairs) must file a proof of claim before December 8, 2003 ... the documents for doing so are available at: http://www.warrantynews.com/beforejune6.asp
So does the bankruptcy help with CC disputes or does it protect WG from further chargebacks? Since I failed to get my CC Company to help me regarding the money I paid three months prior to June 6th, if I dispute the charges again now that WG officially voided the contract - does that help?
The crooks known as WARRANTY GOLD fight back. I spoke to my CC company today. WG has the AUDACITY to dispute MY chargebacks, so back on my card they go. And I have to dispute this stuff AGAIN when I receive the material in the mail. From what I was told, WG lied and said I never contacted them about this - or ask for a refund. When I was told the LAUGHABLE terms of my refund I told the WG rep what a joke that was. I am still mad at the 600+ I alread lost, and they couldn't be happy with ripping me off for that amount? No, they want it ALL and in return I get NOTHING. It is insane. Doesn't this seem like a stall tactic with the bankruptcy? How will my CC revert the charges back (as she said they would) when I dispute again - if they are NOW conveniently protected with bankruptcy? Or would this not pertain to that? Anybody else find WG fighting their disputes?
According to the FAQ section in regards to the bankruptcy at WG website. A cleverly worded responds to the question of installment payment was rationalized by WG. After deciphering, it basically say that eventhought, the courts has cancel all policy prior to 6/7 as of Nov 11. WG will continue to charge installments because each policy has been prepaid by WG to NWIG on the day the policy was purchase. so there rationalization is that they will still debit credit cards for the money that should have been pay the very first day. what a clever bunch of crooks. Cancel those credit cards now !!!
I'd also love to know HOW much of our $ was actually deposited:
From the WG website: "We are doing everything possible to recover the funds we deposited on our customers' behalf with National Warranty for paying customer claims. "
HOW MUCH did they deposit? And how much DIDN'T they?
And how do they still get away with pure deception - such as not notifying us of this mess until NOVEMBER? How many people were left with big repair bills or had their car held hostage till they paid up? In my case, since the entire "Get a claim number in case of reimbursement" caused me to NOT get my car repaired for several days, I luckily found a local mechanic who charged me half as much as the dealership I have been going to for 4 years was going to charge me. Maybe if WG did THE RIGHT THING, some people wouldn't have been stuck with an outrageous repair bill AFTER THE FACT.
Warranty Gold quote from website: "Founded on the commitment to exceed our customer's expectations..."
I would think if a Judge ordered those contracts (see post 1338) cancelled, the bankruptcy protects you (the creditor) as well as WG (the debtor). It is no longer WG's right or responsibility to collect from you. At this point, it's the trustee's job to collect. All you're doing by continuing to pay WG is like putting money into the trustee's bucket for him to divide it up as much as possible for you to get a share of it after all is said and done. What's the point of throwing in $1 if you're only going to get a nickel in return? Second, you paid WG as shown on your credit card statement. Your credit card company has a direct relationship with WG and NOT NWIG. Therefore, WG is probably violating its terms of maintaining a merchant account by routing the responsibility to NWIG which is bankrupt. How on earth are they able to maintain a merchant account when there is no longer an exchange of services for currency? What service are you getting in exchange by paying WG?
I'm sure the rules are different for Chapter 11 filings over Chapter 7 but I would send WG to hell if they wanted another dime from me.
Just received a response from BankOne. The bank for WG is requesting the following information for me to keep the temporary credit I have received so far.
- What services were you to have received from this merchant? "Uhh, hello, an extended warranty".
- What are your efforts in contacting the merchant in an effort to resolve this matter? "Glad I kept records of dates and names of people I spoke to and what they told me they couldn't do for me"
- What dates were you to have received services? If you canceled, what date did you cancel service and state if you were acknowledged at the time of the transaction of the merchant's cancellation/refund policy and provide proof of cancellation made to the merchant. "To many things to comment on here.
- This is an extended warranty service, please advise how long the coverage was to last. Please provide any documentation such as contract, or an agreement of coverage to help support your claim. "Why ask the first question if you are asking this one. 5yr/100k mile contract that was activated 4/28/03. If they had notified me on or about the 6/4/03 date, then I would have been within my rights as a contract holder to cancel within the first 60 days for a full refund. I would think they have a duty to their contract holders to notify them of the issues surrounding NWIG as soon as it became enough of an issue for them to switch who they used as and 'agent' for their policies".
It also goes on to say that since the merchant has gone out of business in June, the cc will have limited ability to assist with the charges billed prior to this date. Looks like WG is again trying to hide behind the NWIG bankruptcy, even though my contract is with WG. It would be a whole lot different if WG promoted themself as being an agent selling NWIG contracts, but it does not.
I hope that this information may help some of you in your pursuit of getting and KEEPING cc credits. I will update the boards as I get more information.
ccqken - it doesn't hurt to try and fight since WE are ALL the eventual Losers in this whole mess, having paid for something WG will not honor. I purchased mine in 2003 and can kiss my pre-June payments goodbye according to my CC company since I was technically "covered" for three lousy months out of the FIVE YEARS of my contract. And predictibly, WG is fighting my chargebacks for the months following the June insolvency! They WANT ME TO PAY for something they REFUSED to provide! But I am still fighting as I reccommend EVERY victim of WG do. Their actions should be CRIMINAL as they deliberately did not notify us for Months so they could keep charging our credit cards! Fight'em! Do something. If we can't get our money back, maybe we can put these crooks out of business.
PS - WG finally updated their Site with the MISLEADING Customer Testamonial to lure more people into believing they are a trustworthy company and removed the HAPPY person's quote - who would NOW be like the rest of us - owning a worthless contract and NOT SO HAPPY.
Just thought I'd let you know a couple of ways we can hurt Warranty Gold. I've been feeling kind of vindictive lately, so with that in mind I typed in Warranty Gold into the search engine and have been emailing anyone who links to warranty gold from their site, informing them of what kind of hijinks they've been pulling. Keep in mind it is a nice email, since most of the site admin's have no idea about any of this. Many are being kind enough to take WG off their site. Warranty Gold might have screwed me out of $1400, but I intend to cost them much, much more. Another thought, if we search for warranty gold on google, and click on every site that has bad things to say about WG, that bumps those sites to the top of the list. Just a thought. Oh, and if anyone wants to follow my lead: -keep the emails polite, you aren't talking to Warranty Gold -just the facts, Warranty Gold has done enough evil that you shouldn't have to embellish -links to newspaper articles help -be prepared to send additional info if needed, many are convinced that WG is a fine company.
Just read my filing reorganization email. I've had a customer of mine do this twice. My understanding is they put all the debts in a pile and find out who gets first dibbs. We'll never see any of this and they get to stay in business. I guess we all have to realize that we are screwed and will never see our cash. I'll get back something on taxes and that's it. All these people did was rob Peter to pay Paul. I like the one guys Epitaph, very good. The people who keep stealing from people will get it in the end. I'm a lot wiser at this point about what I buy and contracts that I read. My husband ended up getting a new car because of the problems with his and when the finance guy said "would you like to get the extended warranty?" You can only imagine the big fat NO! that came out of my mouth. I will never ever buy extended warranties except maybe on electronics that I buy for my children because children break things and just think mommy and daddy will replace it. You guessed it, I have teenagers.
I've decided to go on with my life and try to forget about how screwed my husband and I got. It takes to much energy to be pissed off at these people. I learned at church yesterday how many pounds of flesh will it take before you can forgive someone? I've had nothing but grief since this and few other things that have happened in the last couple of months. I will however continue to try to get my money, I just won't count on it and maybe if I get a little something I'll feel a little better. I wish they would've had to file complete bankruptcy and be out of business, but I'm sure they aren't raking in the bucks like they used to. I'm thankful that everyone on this site is a sounding board and for the most part support each other. I'll keep looking at the website and keep making comments. For some reason I've been so busy I haven't had time to keep up w/ the site.
This is from the Austin Business Journal, 11/14/03.
"Despite the problems, Warranty Gold continues to issue policies, but it now relies on Albuquerque, N.M.-based First Automotive Risk Retention Group Inc. as an underwriter. Warranties issued after June 7 with First Automotive remain in effect, even though First Automotive is one of Warranty Gold's largest unsecured creditors -- owed more than $1 million, according to the filing.
Warranty Gold hired Austin law firm Porter Rogers Dahlman & Gordon PC to lead it through the bankruptcy process.
Warranty Gold is using Chapter 11 to buy the time it needs to ensure the newer warranties remain valid. The bankruptcy process also offers Warranty Gold a safer operating environment as it attempts to recoup some of its losses from its previous underwriter."
Sounds like there is a posibility that the contracts sold after June 6 may be in jeopardy too, as they owe the new insurance company over a million dollars.
You should, I think, make a distinction between a factory-backed extended warranty (i.e. GMPP, Hondacare, etc.), and one from a third party (Warranty Gold, Warranty Direct, etc.). Unless the manufacturer goes under, which is pretty unlikely, that factory-backed plan will be valid. That being said, no need to buy those at time of purchase - you can shop around, and usually get them anytime before the standard warranty expires.
Yes you can shop around and buy them before the factory warranty is up, that's IF you buy a vehicle that's still in warranty. For those of us who buy used vehicles there isn't many choices. However, with the 99 Dodge Ram we just bought used at a Ford dealer we went with the Ford backed used car ESP, was very expensive and doesn't cover it for long, but at least its peace of mind that it will cover it when needed.
I do kind of wish I had bought an ESP when I bought my Explorer.....would have covered the $1100 heater repair it needs.
Oh well, live and learn, I sure ain't getting tangled up in another aftermarket ESP thing, I'm just glad I got my money back from Warranty Gold before they go under for good.
As far as I can remember, I don't think any of the top people of Enron have been prosecuted. The screw up they did cost many people their life savings. Those screwers are still enjoying their freedom.
All that said, what's the chance that Warranty Gold will have to pay up? None whatsoever. People can fret and fume, but they should not expect anything out of WG. Try and recuperate your money through the CC or some other means. WG is not going to give you a dime. They didn't give me, even though I cancelled within their 60 days and I have proof of their saying so.
And when the day arrives that WG is actually paying out, thanks to the honest lawyers and other creditors, you will not even receive any money from WG to buy a soda from a dispenser.
I am so mad at what WG has done and continues to do, that words fail me. There is no word in any language in the world that expresses my feeling to these "honest and kind hearted" WG people. Calling them people is a disgrace to the human race.
I came to know about WG yesterday when my vehicle gave a trouble. Until then I didn't receive any email or any letter about this situation. I did gone through the messages and finally didn't get the answers to my question.
1) How come AM Best ratings will change 'Dramatically' from A(-/+) to F in less than 4 months? Any thing wrong with the AM Best????
2) Why ( or how )the court allowed WG to cancel all the 'worthless' contracts with-out pursuing for different options and without any notification sent to the policy holder??
3)Are there any class 1 law suit against the WG and NWIG ( Why not AM Best in this case? )
4) Are there any stipulated procedure on how to disburse the money ( If WG gets from the NWIG )
5) Is there any way to buy the manufactured extended warranty after the base warranty is expired?
I did paid $1200 for 7yr/100K miles warranty and filed no claims since my manufacturer warranty is expired two months back.
1) Are you referring to NWIG's rating? I'm guessing that on paper the company may have appeared to have been healthy at some point. Once they were declared insolvent the rating would have dropped.
2) WG is not cancelling the contracts, the federal courts have terminated the contracts. I assume the contracts are considered debts, and when a company declares bankruptcy any outstanding debts are wiped away by the courts.
3) There are at least two that I know about, do some searching on the web. According to the TOS here we aren't allowed to post any solicitations for class action suits.
4) Typically in bankruptcy cases the creditors have priority in asset allocation over other parties. I'm assuming that contract holders are considered creditors, since we've been advised to file claims with the federal court. You can get the claim forms here: http://www.warrantynews.com/beforejune6.asp
5) Not sure, but I think some manufacturers will sell used vehicle extended warranties. Personally I'll never buy another 3rd party warranty again.
As for a class action against Warranty Gold, from what I understand the lawyers who started those suits have pulled out now that WG declared bankruptcy. I think that once a company files Chapter 11 you can't file suit to regain your money, you just have to go through the court proceedings and wait in line with everyone else. They probably figure that the chance of getting anything out of WG is between slim and none (I agree). As for buying another service contract, I'm not sure if I would do it again or not. Just like any other contract, it's only as good as the company you've contracted with. I did a lot of homework on WG before I sent them my money. Everything I could find looked above board. Had I found out their insurer was based in the Cayman Islands, I might have had second thoughts. The problem is, companies that appear to be healthy and ethical can often turn out to be crooks. Just look at Enron or any of the other recent business news. What's worse, when you buy an extended warranty contract it lasts for years. A company that was healthy when you purchased the contract might not be so 5 years later when you need it. I think that the bankruptcy laws need to be changed. It's one thing when they protect individuals and small businessmen from big mean creditors. It's another thing when a corporation is being protected from the little guy. It irks me that CEO's are not being held to account for their actions. Why can a business bilk the public out of millions and get of scot free, and a guy that steals a $100 bike goes to jail?
A used car is a used car, after factory warranty expires, expecting someone to honestly cover all the things that could go wrong [considering the variable of PREVIOUS customer/owner/dealer maintenance standards] is wishful thinking. Especially for only $1200-$1500........which after expenses might only leave $700 to do the work........they hope 3 [9] out of 4 [10] never need the policy or they can wiggle out someway.
Link to last fridays article in Austin Statesman regarding Warranty Gold's chapter 11 filing. I'll be sending a copy of this to Discover Card to support my chargeback request since WG continues to sell new polocies as noted in the article even though their new isurer, Albuquerque, N.M.-based First Automotive Risk Retention Group Inc. as an underwriter, is owed more than 1 million already !
Does anyone have a good sample of what they filled in for the Bakruptcy Claim Form. For example, BASIS FOR CLAIM, Services Rendered or Other - (type in) Extended Warranty.
I have a question RE: the bankruptcy and our attempt to get charges reversed thru our CCs...
My CC company told me to follow any instructions regarding filing a claim in the bankruptcy case (I know, as if I'll ever see any cash) and I was wondering what exactly do we submit? I have a Repair bill that I paid for - should I submit that? Or am I seeking the entire policy as a refund minus any chargebacks (that seems unlikely)? For example, if I am successful in getting the 4 months since June charged back, how can I put a claim in for a Repair during that time? And why should I lose almost half of the policy's worth because of money I paid up until June 6th when I was "covered" during those 3 months? And how does NOT cancelling the policy affect everything? I refuse to cancel my policy because it would beneift WG and their shadey pro-rated to zero miles technicality, AND for the fact I did not wish to cancel, WG is in breach of the contract. WhHy should anyone be forced to cancel a worthless contract rather than seek refunds? This company sure knew what it was doing to protect itself in case something like this ever happened.
to all who got screwed by w.g. wake up and smell the coffee,it's all over . no ones getting any money back from cc or bankruptcy court. you all learned a lesson in life so at least you come out with something
In my claim I am asking for the amount I have spent out of pocket on repairs AND also the remaining % of my contract's value as of the date the court declared it cancelled. I only had about 15K miles left on my service contract, which worked out to about $130 or so.
Ditto to what nowarranty stated but my fight ain't over yet and I don't take kindly to being ripped off. Until CC company tells me otherwise I'm letting them persue it for me.
Comments
Interesting that their main web site makes no mention of bankruptcy.
We should start a web site listing true customer testimonials!
Prediction: WG will settle with old contract holders by moving them over to the new warranty administrator for $475.
Anyone else agree?
As for paying WG an ADDITIONAL 475.00 after this finger-pointing/leaving thousands of people without coverage AND charging people's credit cards for payments following June 6th, I'd have to be even more of an idiot than when I first trusted these crooks and purchased this policy.
It's an expensive lesson.
I'm still trying to figure out how WG can legally charge us when they were not going to provide the service, and then have the nerve to send a past due letter when you stop the payments after THEY deliberately withheld information that financially effects our repair costs, so we'd keep paying THEM not knowing we didn;t have coverage! It is truly mind-boggling. Besides consumer lawsuits against WG how do they get away with this?
I can't mention the actual address due to Edmund's User Agreement (Tried twice - the mod was kind enough to let me know why my posts weren't listed)...
You can email me or search the web and you can find it.
Anyone considering closing your credit card account before they could reverse the credit refund? Would this protect you?
Wouldn't be surprised if WG went into Bankruptcy protection due to all the chargebacks from unhappy customers. Would this prevent CC companies from reversing charges as of the date they filed? As for closing accounts to prevent credits being reversed back onto our cards, I don't think that would work - will the CC comps even let you close an account if you are in the middle of a dispute? Unlikely to me. We'd somehow be responsible for paying that reversal anyway.
I hope WG rots.
www.statesman.com/business/content/auto/epaper/editions/friday/bu- siness_f34bb8da66b6a01f0048.html
You can probably guess what happened. I deposited the check, but it was returned 'Funds Unavailable'.
I faxed a claim to NWIG, but of course, haven't heard a word from them.
I wonder what it is worth on ebay? Any offers? ;}
Fortunately, sort of, it was 'only' about $200 but I do (did) have 2 contracts with WG. On one I have another $350 repair since this this mess.
Neil
Forgive for I have sinned. I screwed so many people that I know you won't let me in the pearly gates. But, that doesn't matter because I have lived a good life on all the dollars I was able to scam from honest trustworthy people. I know I should have notified these people of our problems, but my greed just got the best of me and we just couldn't have handled all the calls and questions that would come forth. We needed our time to continue to decieve other people with addtional policies and have our accounts recievable department to continue to try and bill for worthless policies. I know we should been upfront sooner but the amount we could continue to steal was just too great.
But, hey my group and myself really like hot weather.
It's the bankruptcy notice spelling out what they're trying to do and notifying us of our rights and what we can't do - such as call them about paying claims - this, apparently is harassment since they filed for bankruptcy protection from creditors.
The creditors' meeting will be held Dec 16th @ 10:30 am in Austin. I will be there. I believe the creditors are allowed to be a party to the "Plan" which WG must submit to the judge or trustee for approval.
On the Credit Card front, I was credit the entire $1250 I spent on the 7yr/100k diamond plan I purchased PLUS they gave me an additional $100. credit for charges on the dispute....not sure how or why but I'll take it!
"A person who successfully files a lawsuit against a bankrupt corporation is a creditor, just like everyone else that that corporation owes money to. So even if we were to win, it would simply mean that we would have to get in line with all of Warranty Gold's other creditors, and ultimately, the best we could probably hope for is a small chunk of what we had been awarded by the litigation. It adds a huge bureaucratic mess on top of the mess that litigation already is and adds even more uncertainty to the whole process. When you add this to the uncertain financial condition of Warranty Gold and the difficulties raised by the arbitration clause, this is strike three. This is not a lawsuit that we are going to be able to afford to bring. The potential payout is too uncertain.
So at this point, all I can tell you is to file your claims with the bankruptcy court as Warranty Gold has instructed and to keep up your public relations campaign against the company. They're still luring in new customers who don't know anything about what Warranty Gold has done. It won't do much to help you, but perhaps saving other people from what you have gone through will bring you some satisfaction. The internet can be a wonderful thing for a scorned customer.
I am sorry that this did not work out. I am outraged by what Warranty Gold has done and would have loved taking a crack at punishing them for it. Best of luck in your continued efforts to get your money back."
The notice I received included the following links:
To review the pleading filed with the court:
http://www.warrantynews.com/pleadings.asp
To get more information from WG, you can email the company (expect a canned response) at:
reorganization@warrantygold.com
Creditors (which may include contract holders who paid for their own repairs) must file a proof of claim before December 8, 2003 ... the documents for doing so are available at:
http://www.warrantynews.com/beforejune6.asp
Oh well, let's see what happens next.
Huck
its the bankruptcy court oredered the prior contracts to be void and to put WG under "bankrupcy "protection"
translation , no more chrage backs from Credit cards...
the question is what is the status of the Temp credits issued prior to this
I spoke to my CC company today. WG has the AUDACITY to dispute MY chargebacks, so back on my card they go. And I have to dispute this stuff AGAIN when I receive the material in the mail. From what I was told, WG lied and said I never contacted them about this - or ask for a refund. When I was told the LAUGHABLE terms of my refund I told the WG rep what a joke that was. I am still mad at the 600+ I alread lost, and they couldn't be happy with ripping me off for that amount? No, they want it ALL and in return I get NOTHING. It is insane. Doesn't this seem like a stall tactic with the bankruptcy? How will my CC revert the charges back (as she said they would) when I dispute again - if they are NOW conveniently protected with bankruptcy? Or would this not pertain to that?
Anybody else find WG fighting their disputes?
From the WG website: "We are doing everything possible to recover the funds we deposited on our customers' behalf with National Warranty for paying customer claims. "
HOW MUCH did they deposit? And how much DIDN'T they?
And how do they still get away with pure deception - such as not notifying us of this mess until NOVEMBER? How many people were left with big repair bills or had their car held hostage till they paid up? In my case, since the entire "Get a claim number in case of reimbursement" caused me to NOT get my car repaired for several days, I luckily found a local mechanic who charged me half as much as the dealership I have been going to for 4 years was going to charge me. Maybe if WG did THE RIGHT THING, some people wouldn't have been stuck with an outrageous repair bill AFTER THE FACT.
Warranty Gold quote from website: "Founded on the commitment to exceed our customer's expectations..."
WHAT A JOKE.
I'm sure the rules are different for Chapter 11 filings over Chapter 7 but I would send WG to hell if they wanted another dime from me.
- What services were you to have received from this merchant? "Uhh, hello, an extended warranty".
- What are your efforts in contacting the merchant in an effort to resolve this matter? "Glad I kept records of dates and names of people I spoke to and what they told me they couldn't do for me"
- What dates were you to have received services? If you canceled, what date did you cancel service and state if you were acknowledged at the time of the transaction of the merchant's cancellation/refund policy and provide proof of cancellation made to the merchant. "To many things to comment on here.
- This is an extended warranty service, please advise how long the coverage was to last. Please provide any documentation such as contract, or an agreement of coverage to help support your claim. "Why ask the first question if you are asking this one. 5yr/100k mile contract that was activated 4/28/03. If they had notified me on or about the 6/4/03 date, then I would have been within my rights as a contract holder to cancel within the first 60 days for a full refund. I would think they have a duty to their contract holders to notify them of the issues surrounding NWIG as soon as it became enough of an issue for them to switch who they used as and 'agent' for their policies".
It also goes on to say that since the merchant has gone out of business in June, the cc will have limited ability to assist with the charges billed prior to this date. Looks like WG is again trying to hide behind the NWIG bankruptcy, even though my contract is with WG. It would be a whole lot different if WG promoted themself as being an agent selling NWIG contracts, but it does not.
I hope that this information may help some of you in your pursuit of getting and KEEPING cc credits. I will update the boards as I get more information.
PS - WG finally updated their Site with the MISLEADING Customer Testamonial to lure more people into believing they are a trustworthy company and removed the HAPPY person's quote - who would NOW be like the rest of us - owning a worthless contract and NOT SO HAPPY.
Oh, and if anyone wants to follow my lead:
-keep the emails polite, you aren't talking to Warranty Gold
-just the facts, Warranty Gold has done enough evil that you shouldn't have to embellish
-links to newspaper articles help
-be prepared to send additional info if needed, many are convinced that WG is a fine company.
I've decided to go on with my life and try to forget about how screwed my husband and I got. It takes to much energy to be pissed off at these people. I learned at church yesterday how many pounds of flesh will it take before you can forgive someone?
I've had nothing but grief since this and few other things that have happened in the last couple of months. I will however continue to try to get my money, I just won't count on it and maybe if I get a little something I'll feel a little better. I wish they would've had to file complete bankruptcy and be out of business, but I'm sure they aren't raking in the bucks like they used to. I'm thankful that everyone on this site is a sounding board and for the most part support each other. I'll keep looking at the website and keep making comments. For some reason I've been so busy I haven't had time to keep up w/ the site.
EVERYONE, KEEP FIGHTING THE GOOD FIGHT.
"Despite the problems, Warranty Gold continues to issue policies, but it now relies on Albuquerque, N.M.-based First Automotive Risk Retention Group Inc. as an underwriter. Warranties issued after June 7 with First Automotive remain in effect, even though First Automotive is one of Warranty Gold's largest unsecured creditors -- owed more than $1 million, according to the filing.
Warranty Gold hired Austin law firm Porter Rogers Dahlman & Gordon PC to lead it through the bankruptcy process.
Warranty Gold is using Chapter 11 to buy the time it needs to ensure the newer warranties remain valid. The bankruptcy process also offers Warranty Gold a safer operating environment as it attempts to recoup some of its losses from its previous underwriter."
Sounds like there is a posibility that the contracts sold after June 6 may be in jeopardy too, as they owe the new insurance company over a million dollars.
I do kind of wish I had bought an ESP when I bought my Explorer.....would have covered the $1100 heater repair it needs.
Oh well, live and learn, I sure ain't getting tangled up in another aftermarket ESP thing, I'm just glad I got my money back from Warranty Gold before they go under for good.
All that said, what's the chance that Warranty Gold will have to pay up? None whatsoever. People can fret and fume, but they should not expect anything out of WG. Try and recuperate your money through the CC or some other means. WG is not going to give you a dime. They didn't give me, even though I cancelled within their 60 days and I have proof of their saying so.
And when the day arrives that WG is actually paying out, thanks to the honest lawyers and other creditors, you will not even receive any money from WG to buy a soda from a dispenser.
I am so mad at what WG has done and continues to do, that words fail me. There is no word in any language in the world that expresses my feeling to these "honest and kind hearted" WG people. Calling them people is a disgrace to the human race.
1) How come AM Best ratings will change 'Dramatically' from A(-/+) to F in less than 4 months? Any thing wrong with the AM Best????
2) Why ( or how )the court allowed WG to cancel all the 'worthless' contracts with-out pursuing for different options and without any notification sent to the policy holder??
3)Are there any class 1 law suit against the WG and NWIG ( Why not AM Best in this case? )
4) Are there any stipulated procedure on how to disburse the money ( If WG gets from the NWIG )
5) Is there any way to buy the manufactured extended warranty after the base warranty is expired?
I did paid $1200 for 7yr/100K miles warranty and filed no claims since my manufacturer warranty is expired two months back.
Any help would be appreciated.
2) WG is not cancelling the contracts, the federal courts have terminated the contracts. I assume the contracts are considered debts, and when a company declares bankruptcy any outstanding debts are wiped away by the courts.
3) There are at least two that I know about, do some searching on the web. According to the TOS here we aren't allowed to post any solicitations for class action suits.
4) Typically in bankruptcy cases the creditors have priority in asset allocation over other parties. I'm assuming that contract holders are considered creditors, since we've been advised to file claims with the federal court. You can get the claim forms here:
http://www.warrantynews.com/beforejune6.asp
5) Not sure, but I think some manufacturers will sell used vehicle extended warranties. Personally I'll never buy another 3rd party warranty again.
Regarding #1, I was under impression that the ratings are "monitored" frequently ( At least for every quarter end ).
Thanks for the URL. I am faxing the claim form.
As for buying another service contract, I'm not sure if I would do it again or not. Just like any other contract, it's only as good as the company you've contracted with. I did a lot of homework on WG before I sent them my money. Everything I could find looked above board. Had I found out their insurer was based in the Cayman Islands, I might have had second thoughts. The problem is, companies that appear to be healthy and ethical can often turn out to be crooks. Just look at Enron or any of the other recent business news. What's worse, when you buy an extended warranty contract it lasts for years. A company that was healthy when you purchased the contract might not be so 5 years later when you need it.
I think that the bankruptcy laws need to be changed. It's one thing when they protect individuals and small businessmen from big mean creditors. It's another thing when a corporation is being protected from the little guy. It irks me that CEO's are not being held to account for their actions. Why can a business bilk the public out of millions and get of scot free, and a guy that steals a $100 bike goes to jail?
If anyone wants them, plz email me and I'll send them to you.
http://www.statesman.com/business/content/auto/epaper/editions/fr- - - - iday/business.html
Ray T.
My CC company told me to follow any instructions regarding filing a claim in the bankruptcy case (I know, as if I'll ever see any cash) and I was wondering what exactly do we submit? I have a Repair bill that I paid for - should I submit that? Or am I seeking the entire policy as a refund minus any chargebacks (that seems unlikely)? For example, if I am successful in getting the 4 months since June charged back, how can I put a claim in for a Repair during that time? And why should I lose almost half of the policy's worth because of money I paid up until June 6th when I was "covered" during those 3 months?
And how does NOT cancelling the policy affect everything? I refuse to cancel my policy because it would beneift WG and their shadey pro-rated to zero miles technicality, AND for the fact I did not wish to cancel, WG is in breach of the contract. WhHy should anyone be forced to cancel a worthless contract rather than seek refunds? This company sure knew what it was doing to protect itself in case something like this ever happened.
Ray T.