A sneaky thing to watch for when you buy a home

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MemberSince99
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A sneaky thing to watch for when you buy a home

Postby MemberSince99 » Tue Sep 30, 2014 9:07 am

After you buy a home, your bank will sell your information to vulture insurance companies. They will do their best to make it appear that you MUST respond to them and purchase their offerings - the notice will say IMPORTANT (and in my experience ANYTHING that says IMPORTANT on it never is) and look all official and mention your bank as though it's your bank requesting information which they clearly already have anyway. In the fine print they tell you it's for insurance quotes....but they hope you don't read that.


Any insurance or other costs you HAD to purchase, you purchased before they transferred the money - trust me on this. If you hadn't purchased your homeowner's insurance the closing would not have happened. You do not need to purchase this extra stuff and in fact they are prohibted by law from tying a purchase of property to this extra insurance, though I'm sure they get some kind of kick back from the insurance vultures they provide your information to.


But it if you want or need it, but just be aware of the little games of the insurance company to make it look like you MUST comply their thinly veiled demands for your personal information. I just wanted people to be aware that you are free to ignore them if that is in your best interest.


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djrez4
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Postby djrez4 » Tue Sep 30, 2014 9:13 am

Gosh. I got so many of those, I just assumed that everyone knew to toss them. Right after I bought my car, I got similar solicitations for extended warranties.
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Postby MemberSince99 » Tue Sep 30, 2014 9:27 am

My guess is not everyone does, or they wouldn't send them out. Someone must get suckered in and buy. And maybe some people could use it, but I just despise sneaky tactics like that. I'd have a lot more respect if they just honestly came out and said your bank told us you bought a home and we would like to offer you this insurance if you may need it. Instead they pretend they are your bank requesting this information from you and that I just loathe.


Same thing with those warranty companies for cars. SCAMs, big time, at least the vast majority are. I get those all the time, vultures putting letters in my mailbox saying "Your car warranty is about to expire contact us NOW or the terrorists will win and destroy all humanity!" Just utter nonsense. (Yes it's exaggerated though not by much....)
I'll get a real kick out of it when these scammers contact me about my Challenger - I bought the lifetime unlimited miles warranty from Dodge on that car the warranty will NEVER expire until it's junked. I'm sure someday one of these crooks will send me a letter informing me of the dire circumstance how my warranty is up and I'm facing thousands if not trillions of dollars in expenses the moment it's up unless I throw them thousands instead.


They are something else.

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Postby lobbythis » Tue Sep 30, 2014 9:56 am

Unfortunately, there is an unlimited amount of money to be made off stupid and ignorant people. Without regulations, it's free-for-all.

I just got the same nonsense while I was working on a new website. Using a brand new email address to work with, within 24-48 hours, I get 10+ emails telling me I have to buy their services immediately or I will be banned from the internet FOREVER OMG OMG OMG!

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Postby MemberSince99 » Tue Sep 30, 2014 10:44 am

From what I gather it seems a lot of these companies try to use fear and hysteria to their advantage to get your money.


Scammers have jumped on that bandwagon big time.


I don't watch the news I always found it just depressing it's always problems and no one has any answers to the problems and there is nothing I can do about them so why burden myself with them is how I see it. But I have read that the media uses this fear to help the advertisers sell their products - you know just buy this product and all your problems will go away and the world will be a better place.
Before I knew better I used to buy into that and I'd buy crap I'd never use and end up throwing out years later. Now I think fairly carefully before I shell out hard earned money. I still waste some, but not nearly as much as I used to so it's getting better. And it's inevitable if you spend, some is going to be wasted/regretted. If you can just limit that to mostly little things, and not too many of those, I'd say that's pretty good.

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Postby notcool » Tue Sep 30, 2014 11:41 am

djrez4 wrote:Gosh. I got so many of those, I just assumed that everyone knew to toss them. Right after I bought my car, I got similar solicitations for extended warranties.


I've gotten a lot of these for my car. They are ridiculous, and what makes them worse is that they seem to be preying on less sophisticated individuals. Its a shame.

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Postby Vattené » Tue Sep 30, 2014 11:43 am

MemberSince99 wrote:My guess is not everyone does, or they wouldn't send them out. Someone must get suckered in and buy.

There are still Nigerian Prince emails going out, and that's the biggest cliché scam in the book. It must work on SOMEONE, right?



I bought a new car for the first time this past spring, and boy was I unprepared for all the extra insurance they try to sell you. And this was from the dealership. I had no idea they did this. After we already bought the car and signed everything (or so I thought) we must have spent over an hour in the office of a completely different person whose sole job, as near as I can tell, is trying to scare you into buying layers upon layers of extra insurance. When we finally got away from her my wife was like, "yeah, sorry, I should have warned you about that."

I didn't buy anything; hopefully I don't end up regretting it. I kept trying to get her to explain it more, but she kept flipping through the same books and regurgitating the same stock pitches. The car this replaced had 185,000 miles on it when we bought it nearly 5 years ago and in the whole time we had it we had one big expensive repair to make. So I'll take my chances with a brand new car. Sure nothing is guaranteed, but I would rather dip into savings for a major repair than spend $100+ per month on the offchance it ever needs one. I just am not going to pay for something when I don't understand what I am getting, and the fact that she couldn't explain it any further made me instantly distrust her.



MemberSince99 wrote:I read that the media uses this fear to help the advertisers sell their products

What household products will spontaneously explode and kill you and your darling children in your sleep? And which OTHER household products will prevent it? Contribute to our ratings at 10:00 - the answer may surprise you.
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Postby djrez4 » Tue Sep 30, 2014 12:24 pm

I prepaid for some oil changes when I bought my car. Normal charge for a full synthetic swap is $75+ at the dealership. I paid about $45 each. The per-service price came out to be less than what I'd pay for oil and a filter at retail if I did the oil change myself. Plus, I get a loaner car to drive around for the day, which is always fun.
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Postby jlam572 » Tue Sep 30, 2014 7:48 pm

Another thing is lenders may make you cancel your amex card. I had to cancel my card for a few weeks while waiting to close. The banks reason "you charged 26k in one month on that card, and we cant have you doing that after you purchase a home." I wish amex would report something to credit bureaus other than the max we spent in one month.
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Postby MemberSince99 » Tue Sep 30, 2014 9:06 pm

djrez4 wrote:I prepaid for some oil changes when I bought my car. Normal charge for a full synthetic swap is $75+ at the dealership. I paid about $45 each. The per-service price came out to be less than what I'd pay for oil and a filter at retail if I did the oil change myself. Plus, I get a loaner car to drive around for the day, which is always fun.




That's a deal I'd gladly take. You did well to get that price.



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