First American Home Buyers Protection Corporation / VA Inspection not good enough??
On Aug 15th I bought a house. The seller Purchased this Home Warranty Protection for me for 399 dollars for the year. According to the contract for a 60 dollar service call they would send someone out to fix whatever was covered and that would be it.
Two weeks later my Gas hot water heater started leaking. I called the warranty company and they sent out a plumber that looked like he was high on something. He briefly looked at the heater and then left and called them on the phone. A half hour later he came back and told me that they would not cover the water heater as it appeared that it had rust and therefore was pre-existing (the contract says nothing about Pre-existing instead says items are covered from day one). The rep on the phone when I called said it would be covered, then they changed thier mind. The plumber they sent said his company could fix it but I would be better off using someone else as his company would cost about 2, 000 dollars to replace the water heater and bring it all up to code. Since there is no way someone who appeared to be impaired was going to work on my house I paid him his 60 dollar fee and sent him away. I called a reputable company here in Amarillo (Thank you Franks Plumbing you guys are awesome) and they came right out the next day even though it was a holiday weekend and fixed the whole thing from the ground through the roof and only charged me 1685 dollars. A full 300 less than the other company quoted.
Needless to say I called my realtor and complained about this (in my opinion SCAM) home warranty company and asked him to stop sending his buyers and sellers to them. He called this company and complained then they called me and said they would cover my claim. I told them I would send them a copy of my invoice from Franks Plumbing. Thier resopnse was "oh you already had it fixed?" I told them that of course I had it fixed as I wasnt going to live in a house with a sick baby and no hot water. So I faxed them the invoice, and a week later they asked for a copy of my home inspection. I faxed that in as well. It was a VA inspection that clearly stated that the house had been remodeled and there were "no deficiencies". Then this scam company proceeded to tell me that the inspection report was not "detailed enough". And denied the claim. I again called the realtor and complained. I also told the realtor that I was going to call the VA, the BBB and anyone else who would listen and tell them my story. After a couple weeks the warranty company sent me a check for 500 dollars as a "courtesy". The check should have been for over 1000 dollars as only about 600 dollars of the repair was not covered per the contract. Needless to say I now am going to see if there is any way to get a pro-rata refund back to the seller, and I am going to call the VA and see if I can get them in on it since this company seems to think that the VA doesnt know what they are doing although any veteran will tell you that they are very thorough and if there are any deficiencies they will note them on the inspection and insist that the seller fix them like they did with the last house I bought. Perhaps this is a way they can scam veterans?? That is certainly how I feel. Needless to say this company hasnt heard the last of me. If I can keep a few people from being scammed by making some noise then that is what I am going to do. They may think they just saved some money by scamming this veteran, but this vet has a big mouth.
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