How to be a savvy consumer

Transcription

1 My book How to be a savvy consumer! Negotiate for deals everywhere! Check your bills for errors! Speak up when you feel wronged! Escalate complaints to a higher level! Emphasize your loyalty! Hold your temper What makes you angry? Dealing with call centres Feeling nickel-and-dimed Getting locked into long-term contracts 1

2 Deceptive marketing tactics Worthless warranties Telecom troubles No help with complaints How you can fight back! Use the Internet to do research! Find reliable websites! Consumer Protection Ontario! Consumer information (Industry Canada)! Financial Consumer Agency of Canada! Get better bank savings rates! What interest rate is paid on your account?! The rate may be zero or close to it! Shop for the right account, (Look for Account Selector Tool)! Check out online banks at 2

3 Banking stories in my book! A TD customer fights against the devaluing of his high interest savings account! He gets a $300 retroactive refund! An ING Direct customer charged a $7,300 penalty when transferring mortgage! She gets a refund since not properly informed A credit horror story! Hudson s Bay credit card customer closes account! She ignores bills saying she owes a few cents! Here s the result! She s turned down for mortgage by bank when she buys a new house! She can t get a line of credit to pay a deposit to the home builder! She pays higher rates to second-tier lender Here s advice on credit history When travel plans go wrong! Don t ignore small balances! They can hurt as much as big balances! Check your credit history once a year! Get a free copy from Equifax & TransUnion! Know what credit bureaus do! Understanding your Credit Report and Credit Score! The Ultimate Guide to Canadian Credit Scores! United Breaks Guitars! Musician Dave Carroll gets no help when his $3,500 guitar is badly damaged on flight to Chicago in 2008! His song goes viral on YouTube with 12.8 million views! He turns down United offer and records more videos! He writes customer service book and starts a business, United is rebuked by Canadian Transport Agency for enforcing a 24-hour limit for complaints! United changes its baggage policy Ship leaves without her luggage! Debbie takes Caribbean cruise with her husband for Valentine s Day! Her bags put on the wrong ship and retrieved only at end of the cruise! She gets $500 to spend and finds nothing in her size, not even a bathing suit! Celebrity Cruises offers a $300 discount on future trip! She threatens to write to the board and gets a voucher for two free cruises, worth $2,400 3

4 Be persistent and prepared! Windsor Star reporter Ted Whipp had 8-year-old dishwasher replaced free when it leaked! He had three 13-year-old windows replaced free by supplier because of condensation! Having the paperwork counts, he says! Save every receipt! Staple them to instruction booklets for big-ticket purchases! And file them away in a safe location Here s my advice to consumers! Scrutinize your bills! Spot overcharges! Demand refunds! Be skeptical of sales pitches How to spend less! Shop around for everything! Do your legwork on the phone or internet! Ask for discounts: Can you do better?! Get ready to leave current providers! But first, give them a chance to make a better offer! In competitive market, companies find it s cheaper to retain customers than to find new ones Go over your bills! List your monthly expenses and the cost! Call service providers banks, utilities, insurance, cable TV, phone, internet and ask questions:! Do I have the best plan for my needs?! Have you introduced a new plan that can save me money?! Can you match or beat the competition?! Advice: If you get nowhere, ask for the retention or loyalty department Get credit card refunds! You have more protection when using a credit card than cash or debit card! There s a zero-liability guarantee against unauthorized transactions! Question charges you didn t agree to accept! You have 60 to 90 days to dispute a transaction! Notify the company whose charges you are challenging The water heater wars! Someone comes to check your water heater! They offer a safer, more energy efficient model! They don t tell you who they represent! They try to install a new tank right away, despite a 20-day cooling off period under Ontario law! If you change your mind, they say your old tank has been returned and recycled! You sign a contract for 10 to 15 years with siff exit fees 4

5 How to protect yourself! Say no to door-to-door sellers! Hang up on telemarketers! Register with CRTC s Do Not Call List Ask companies to put your name on their internal Do Not Call List! Talk to the Canadian Anti-Fraud Centre, How to write perfect complaint! Do meticulous research! Enclose the evidence! Keep your letter short and tight! AVOID UPPER CASE! Be as polite as possible and don t lose it! Always end with what you want! Demonstrate your loyalty Good luck in carrying out your consumer campaigns For more information about me! eroseman@thestar.ca! on Twitter! FAIR (Canadian Foundation for Advancement of Investor Rights), Community Legal Education Ontario, 5