"Dude, you're gettin' a lawsuit!"
May. 16th, 2007 06:27 pmNew York State Suing Dell Computer Makers
The thing about switching the interest rate on the loans really does shock me, though. Partly that Dell actually pulled a stunt like that, but that people failed notice that their principal wasn't dropping as quickly as they thought it would. I wonder how people would have noticed if a car dealership tried that trick? I wonder how many car dealerships have already tried that trick?
New York State is suing the makers of Dell computers for what it calls deceptive business practices and fraud. The lawsuit could cost the computer maker millions.
New York Attorney General Andrew Cuomo filed the suit in New York Supreme Court, alleging Dell Incorporated of ripping off its customers and failing to deliver on customer support contracts.
The suit claims Dell offered zero percent financing on its computers, but then switched as many as 85 percent of those who applied to a higher rate without their knowledge. The lawsuit also says Dell sold contracts for in-home repair service, but failed to deliver, in some cases required customers to disassemble their own computers.
I can't say the thing about in-home repair service surprises me. It always seemed as though the overhead of having a tech drive to your house and replace the part on site (as opposed to say, having the customer bring their computer in to the shop) would have made it difficult to make a profit off that sort of support.New York Attorney General Andrew Cuomo filed the suit in New York Supreme Court, alleging Dell Incorporated of ripping off its customers and failing to deliver on customer support contracts.
The suit claims Dell offered zero percent financing on its computers, but then switched as many as 85 percent of those who applied to a higher rate without their knowledge. The lawsuit also says Dell sold contracts for in-home repair service, but failed to deliver, in some cases required customers to disassemble their own computers.
The thing about switching the interest rate on the loans really does shock me, though. Partly that Dell actually pulled a stunt like that, but that people failed notice that their principal wasn't dropping as quickly as they thought it would. I wonder how people would have noticed if a car dealership tried that trick? I wonder how many car dealerships have already tried that trick?