Dell has agreed to pay $4 million to the New York State Attorney General’s Office in a settlement of a 2007 lawsuit that charged the company with engaging in deceptive business practices, including discouraging consumers from obtaining on-site technical support and misleading them about no-interest financial promotions.
Also among the AG’s allegations were that Dell did not provide customers with the tech support they were entitled to under its warranties and service contracts, subjecting them to unreasonable waits on the phone and failing to return their calls.
Back in 2007, when the complaint was filed, we took a look at the specific charges relating to Dell’s tech support and found that our own survey results on the company’s support corroborated the allegations in the complaint.
Curious to see if Dell has improved its support practices since then, we checked our latest tech support survey results. We found some improvements, but some problems still remain. Here are the details:
Waiting on hold. Things are looking better here. In 2007, 32 percent of the respondents to our tech support survey, conducted by the Consumer Reports National Research Center, said they were on hold for an unreasonable amount of time. Our 2009 results say 25 percent of callers found themselves in telephone limbo for an unreasonably long period.
Numerous transfers to support staff. The status quo holds here, with about the same rate of complaints, roughly 30 percent, in 2007 and 2009.
Struggling through the automated phone system. No improvement here either, with approximately the same rate of complaints, roughly 20 percent, in 2007 and 2009.
E-mail assistance. E-mail help improved slightly. In 2007, 47 percent of respondents said Dell’s e-mail response to a tech-support question was not helpful. In 2009, that number was 43 percent.
Problem solving. Here, the picture was a bit more grim. In 2007, Dell was able to solve 64 percent of our respondents’ problems. By 2009, that number had dropped to 58 percent. But here’s the most sobering statistic of all: Our tech-support survey shows that Dell has been better than average at problem solving for laptop customers in our 2009 survey. Take a look at our complete tech-support survey results here (subscribers only).
Here is some of what Dell’s settlement requires:
The court directs Dell to inform consumers before they purchase an on-site service contract that remote telephone troubleshooting may be necessary before repairs are made. It also requires Dell to fulfill its warranty obligations within 30 days of the date it receives a claim from a consumer, and does not allow the company to tell its customers they are getting “next day service” unless service is actually provided, or a good-faith attempt is made, within that time.
The court decision also found that Dell misled consumers regarding promotional financing when it ran ads for no-interest deals that most did not qualify for, and instead offered financing at high interest rates. The settlement requires that Dell’s advertising let consumers know that most of those who apply for its financing promotions will not qualify for them.
If you believe you may be eligible for restitution in this case, you can file a claim at www.nyagdell.com, or call 800-771-7755 to obtain a claim form. —Donna Tapellini