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Service Magic Complaints - Fraudulent charges!

Review all Service Magic complaints

Service Magic

Posted: 2008-02-18 by George Stavri [send email]
Fraudulent charges!
Complaint Rating:  80 % with 5 votes
Company information:
Service Magic
14023 Denver West Parkway
Golden, Colorado
United States
Phone: Toll Free: (877) 947-3639
www.servicemagic.com

I signed with Service Magic appx. one year ago offering my services as a real estate appraiser. After I went a "rigorous" and extensive check to verify my credentials which cost me $50.00 I was so "pleased" that I was "accepted". Two "qualified" leads (as they call them) later from two unscrupulous mortgage brokers made me think that this company doesn't care at all about the consumers but in fact they are in it just for the money. I explained Magic "professional team" that I am not going to loose my license hitting a pre-determined value for some scumbags mortgage brokers and I am not willing to pay for unqualified leads. Well guess what ? According to a Magic Service email I have received today my account has been terminated and sent to a collection agency. Now what is this ? Is this how honesty is treated today ? Haven't we seen enough of the devastating effect caused by fraud ? I am disgusted and nothing is going to stop me to spread the word around about this immoral, unethical company which is Service Magic.

George.
Comments United States Products & Services
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More Service Magic complaints
Service Magic - False promises
 


Comments

133 days ago by Anna Hicks [send email]
I wish I had read your complaint before I signed on with Service Magic. I was with this company only 1 week and spent $174 for bogus leads. The leads were definitely not good. The the last name of one prospect was incorrect, wrong phone number, emails bounced back, one prospect stated he never requested by service through Service Magic. Yet they expect for me to pay for bogus leads. Their solution was an in-house credit. What good is a replacement lead if they are also bogus?
78 days ago by Km [send email]
I agree maybe a class action lawsuit is what they need.
67 days ago by Tom [send email]
I totally agree with both of you about ServiceMagic. As a matter of fact, I posted a complaint with the BBB in regards to their fraudulent business practices. Almost every single "lead" were bogus. One of the few that we were able to set up an estimate for, the customer complained that she had already received multiple calls from other ServiceMagic contractors competing for her business. According to her, the contractors who called from ServiceMagic were very rude and unprofessional, which of course taints the image of my company before I even set foot in their home. Hell, I didn't even know that I would have to compete for leads that I was already paying for!! After going back and forth with the jokers from ServiceMagic, we finally decided to eliminate them as a marketing tool. Unfortunately, they don't want to let you go. Instead they give you credits for more crappy "leads". We basically just told them to piss off and never call us again.
48 days ago by Dan [send email]
I have been a contractor working with Service Magic for around 1 month and so far have had 9 leads for entire roof replacements. 5 have been bogus, 3 turned out to be legitimate estimates, and 1 was out of my area. They sell each lead for $55 to 2-3 other contractors. The 2 contractor part is a total joke because they obviously are selling it to as many total contractors as possible (4) to maximize returns. The industry standard is to get 3 estimates, but not when a fourth is worth another $55 to a referral service. One of the problems with the way they run their business is the fact that they could care less about the contractors who are the lifeblood of their business. They look to sell each and every lead to as many contractors possible to maximaize profits. If a contractor is unhappy and quits, they just hire a new contractor to replace the old one. This is why they are always hiring, if you dont believe me just inquire with them and I garantee they will have openings for all the trades. They also run their website in a deceptive way to bait unsuspecting customers. These customers are the ones who are not actually interested in having their roofs done but were enticed to enter their information to get to another page on Service Magics website. These same customers are the ones who dont call the contractors back because they were not interested in having the work done in the first place. What they also didnt realize is that their name and phone number fleeced 4 contractors out of $55 and lined the pockets of the service magic corporation to the tune of $220. I have been with different internet referral services and they are so far the worst. The servicemagic rep told me that no refunds will be given for the $55 leads and that customers NOT RESPONDING TO LEADS IS BUILT INTO THE PRICING. There is a reason they are always very activly recruiting contractors. So far only 3 25% chance estimates has cost me over $495 and many headaches.
41 days ago by Ron [send email]
Service Magic is definitely a scam all around. I have experienced the same problems bogus leads you can never contact. I have told Service Magic to turn my leads off and they will turn them back on without my permission. If I do not check my emails daily and they send a lead I am charged because they provided me the information. What a scam!!! Oh they will give you credit on your next lead after you go through the hassle of emailing a request and explaining what happened. Even though I am on the telephone talking to a customer representative I still have to go to their website and my account and email a request. What a difficult way for a busy contractor to deal with an unprofessional business. I have even went to my account emailed my request and then they want me to call them. What a joke. We have refused to pay for a lead after they were told to turn off the leads and of course being the upright company it is not, they have terminated and sent our account to collection. I was going to pay the bill but after finding this site and all the complaints I feel there really needs to be some legal action against Service Magic.
33 days ago by Bobbie [send email]
Look... good luck getting a lawsuit against servicemagic, if u read the the fine print or Terms and Conditions you will see everything in writing.if you are promised something by a individual and its not in writing then the rule is in was never said. When you are first getting into servicemagic they let you know that about 1 and 10 are good leads, thats an average not a promise! I notice that when something isnt perfect people always say its a "Scam" or its "Fraud". There are thousands of contractors that are successful that use servicemagic and in some cases change there lives. we do try our best to make sure that every lead we send, are people who want the work done, however some do fall thru the cracks and its truly unfortunate. most contractors are hard working people who are amazing at what they do, I to would be pissed if i got a bad lead, think about the yellow pages and other forms of advertising how affective are they? truly? If you work the program set up by servicemagic chances are it will work, not to say you will never get a bad lead, but the cost of those leads compared to the fixed target spend rate with the yellow pages at a 3% chance of getting a good lead you have a 10% chance with servicemagic and most of are contractors are doing 50%. If you look at our website we state very clearly that we try to match consumers with 1 to 4 contractors, we never say we will give the job to you on a sliver platter, we get your foot in the door its up to you to sell your company. with everything you do no matter what avenue of marking you choose there is risk and there are no promises made, by any company. Some have you gave up after a week of being with servicemagic and one person was with us a month!! what do you do if you are hired for a job and things go wrong or dont work out the way you want? do you up and leave the job or quit? Dan says the we bait unsuspecting customers, not true at all! before a request is submitted a pop up comes up that says "Please respect our contractors time and only put this request in if you are serious about getting this done". and when did 3 estimates become the industry standard? a consumer has the right to get as many as they want. and we took a poll and most people want 4. I will agree with Dan that contractors are the backbone of servicemagic and we do try to help and not purposely hurt your company in anyway and I am truly sorry to hear all of you had such a bad experience, we are trying to improve everyday and alot of the time bad leads get sent out are because of individuals working for servicemagic some of them just dont know enough about construction the people who work servicemagic are monitored closely and if you submit to many bad leads you are fired, so its not all about money, i know this cause i work at servicemagic and I am not a mananger or high up there I deal with contractor and consumers on a daily basis and I see how this service has helped people

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