Do You Need an Extended Warranty?

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Do You Need an Extended Warranty?

Retailers now offer extended warranties and protection plans on a wide range of products. These warranties are often offered during checkout, which does not give you enough time to examine the terms and carefully consider the potential benefits.

1.     Many products come with a manufacturer’s warranty. Often the warranty offered by the manufacturer is enough to cover any potential defects. Keep in mind, a manufacturer’s warranty will not generally cover accidents, misuse or theft. You may benefit from accident or loss protection plans on certain items like tablets and smartphones, which may be particularly susceptible to accidents or loss and are expensive to repair or replace.

2. Your credit card company may already offer additional protection. Before making a purchase, find out what type of protection, if any, your credit card company offers. When selecting a new credit card, consider the types of coverage they offer. If you need assistance reviewing the terms of a new credit card, contact your LegalShield provider law firm.
3. Consider the cost of the warranty versus the potential benefit. A warranty costing between 15% and 20% of the purchase price on a product that is generally reliable is not worth the money. Large appliances like refrigerators and washing machines generally have low failure rates within the period that would be covered by an extended warranty. Before making a major purchase carefully research the product and manufacturers reliability.
4. Consider the benefit of a warranty when purchasing used products. Used cars, appliances and electronics are often no longer covered by their manufacturer’s warranty and often have a greater risk of failure. An extended warranty may be worthwhile when purchasing an expensive used product.
5. What does the extended warranty cover? Some plans offer a wide range of protection for accidental damage, misuse, theft and defects. Make sure you understand what the plan covers and excludes. Is there a deductible for repairs or replacement? Have your LegalShield provider law firm review the policy terms before you purchase a policy. Your LegalShield attorney can examine the fine print and warn you about potential problems.
   
   

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The preceding tips are designed to help you make an informed decision when considering an extended warranty. Call your LegalShield provider law firm for assistance reviewing the terms of an extended warranty or dealing with a claim. If you are not a member, contact your human resources department to find out more about the benefits of a LegalShield membership.

LegalShield provides access to legal services offered by a network ofprovider law firms to LegalShield members through membership basedparticipation. Neither LegalShield nor its officers, employees or salesassociates directly or indirectly provide legal services, representation oradvice.

Six Ways to Protect Yourself during Craiglist Transactions

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Six Ways to Protect Yourself during 

Craiglist Transactions

Beginning as a simple email list of events in San Francisco, Craigslist has ballooned into a website that, on average for each month, reports 50 billion page views from more than 60 million individuals in the US alone. These users post over 80 million classified ads (including reposts and renewals), selling everything from antiques to Zambonis.

Unfortunately, the informality of these peer-to-peer transactions (two individuals interacting directly with each other, without intermediation by a third-party, or without the use of a company of business selling a product or service) – as well as transactions on other sites such as eBay and Airbnb that are part of the sharing economy – creates abundant opportunities for scammers and criminals to take advantage of trusting individuals.

How can you avoid becoming a victim?

According to Daniel F. Mantzaris, a partner at LegalShield provider law firm de Beaubien Knight Simmons Mantzaris& Neal LLP, consumers buying products and services directly from other individuals should follow these tips:

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1.     Get It In Writing. Don’t rely on an implied contract use a service like Shakelaw.com. The buyer should get written confirmation of the transaction that includes, at a minimum, a description of the item to be purchased, the anticipated delivery date, and the amount of the purchase. Especially for large purchases, a contract should be written and executed by both parties. Although a written and executed contract is the best course of action, an email confirmation can also be helpful.

Of course, the most significant challenge to buying online is that, for most items purchased, the buyer does not have a good opportunity to inspect the product before buying it,” Mantzaris said. “Therefore, if something is wrong with the item or the item is stolen, then the buyer is forced to try and seek a refund or replacement product after the fact, which can be extremely difficult, especially if the seller is in another state or out of the country.”

2.     Protect Your Safety. Never agree to meet a person at your home or any place where they could predictably find you in the future. Similarly, never meet in a secluded area; always meet in a public place and during the day.

3.     Inspect Before You Buy. Whenever possible, request the opportunity to inspect the item to be purchased in advance. The buyer should request a meeting in a public place, like a shopping center parking lot or a coffee shop during day light hours. If the item is large and cannot be easily moved (think a piano or furniture), then the buyer should arrange a meeting at the location where the item is located, but bring a companion with him. If the seller does not want to let the buyer inspect the item in advance, or if the seller is located too far away to make an inspection practical, then another seller should be considered.

4.     Avoid Using Cash. Unless the buyer has fully inspected the item, he should use a credit card or a PayPal account to pay for it. This gives the buyer the opportunity to revert or stop the transfer of funds if the item is not what it was supposed to be or the buyer was defrauded. Note, however, that if the buyer simply decides after a purchase that he does not want the item, he may not have any recourse to stop a credit card or PayPal transaction. If using a credit card, the buyer should always use an independent, separate site with the appropriate indication of encryption. Under no circumstances should a buyer give a seller a credit card number over the phone.

5.     Get to Know Your Seller. If the buyer cannot inspect the item in advance, then obtaining background information on the seller is a good way to avoid problems. Many online sales sites include seller ratings based on buyers’ prior experiences. If the seller has negative ratings, the buyer may want to consider another seller. If the seller is a business entity, conduct an online search of the business name. The buyer’s online reputation may provide insight as to whether the buyer wants to do business with them. This can also protect a buyer from accidentally purchasing stolen property; the seller should get as much information as possible about how the seller obtained the property, especially if it is an item that is typically stolen, like electronics, car parts, artwork, etc.

“Online sellers are typically not brick and mortar stores and therefore have no real assets to attach or collect against, even if litigation is successful,” Mantazaris pointed out. “As a result, exercising ‘due diligence’ before purchasing something online and using payment methods that allow for recourse after the purchase are critical to protecting a buyer’s interests.”

6.     Avoid Buying Tickets. Due to the propensity of fraud through ticket scalping and duplication you should only buy tickets (i.e. to a sporting event) from a verifiable source such as one of the major ticket outlets. The same advice can apply to artwork and other unique items whose value depends on their legitimacy; be wary of purchasing such an item from a seller who cannot authenticate the identity of the piece.

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The preceding tips are designed to help you make an informed decision when conducting a Craigslist transaction. Call your LegalShield provider law firm with any questions you may have about Craigslist transactions. If you are not a member, contact your human resources department to find out more about the benefits of a LegalShield membership. 

Exercise Caution When Considering a New Credit Card

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Exercise Caution When Considering a 

New Credit Card

You probably get weekly credit card offers online, in the mail or at the checkout of major retailers.  Careless acceptance of a credit card can destroy you financially.  Knowing a few critical facts before accepting a credit card can save your financial life!

1. Closely examine “Introductory Interest Rates” These rates are temporary and may increase drastically in a short period of time, locking you into exorbitant payments that you can bury you financially. Before accepting any credit card, make sure you fully understand the potential interest rates both during and after the introductory period.
2. Know all interest rates that may apply to your account. Your credit card company will charge a higher interest rate for cash advances and may increase your interest rate if you are past due on payments or over your credit limit. These increased interest rates are in addition to fees that may also be charged for these activities.
3. Know when your payments are due and the penalty for late payment. Make sure you understand the due date for your payments and the penalties and interest imposed for late payments. They may be large, cumulative and disastrous for you.
4. Know your payment options.You may be able to pay online, by phone or by mail. Some options may carry fees, while others do not. Understand the options and only use the ones that do not impose a separate fee
5. Know your credit limit and stay below it at all times. Your credit limit is the maximum debt you are authorized to carry on your credit card account.  Most credit card companies will let you exceed your credit limit, but many impose substantial fees for doing so.  These fees can accumulate quickly and can result in fee debt larger than your actual credit debt.  Additionally, exceeding your limit may be reported to credit agencies and substantially damage your credit score.
6. Know ALL of the fees that can be imposed on your account.  In addition to late fees and over limit fees, your credit card company may also be able to charge fees for balance transfers, use of ATMs and other actions. Know all of the potential fees and avoid them, especially any annual fee charged merely for holding the credit card.
7. Understand the fine print in your cardholder agreement. Credit card companies know that virtually no cardholder reads the actual cardholder agreement, which is often lengthy and printed in nearly unreadable small print. When you accept the credit card, you are bound by the cardholder agreement. For the sake of your financial health, take the time to read the cardholder agreement and understand all the obligations and penalties you are subject to BEFORE you accept the credit card. Your financial life may depend on it.

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If you require assistance reviewing a credit card agreement or offer, call your LegalShield provider law firm today. If you are not a member, contact your human resources department to find out more about the benefits of a LegalShield membership.

LegalShield provides access to legal services offered by a network of provider law firms to LegalShield members through membership based participation. Neither LegalShield nor its officers, employees or sales associates directly or indirectly provide legal services, representation or advice.