- Report: #64639
Complaint Review: First American Home Buyers Protection - Nationwide
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First American Home Buyers Protection
7833 Haskell Ave, Van Nuys, CA 91406 Nationwide, U.S.A.
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818-781-5050
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First American Home Buyers Protection ripoff They're so bad they have a cancellation department! Here's 11 reasons we want to cancel. Nationwide
Cancellation Department Manager,
My wife and I recently purchased a new home and the Mortgage Company automatically purchased a home warranty policy from First American. This was done without our knowledge or consent. They were unaware of our previous experience with First American, which to put it politely, was a royal disaster. However, since we had changed mortgages companies and were rapidly moving through the closing procedures. The personnel at the new company missed our written instructions that if any home warranty plan was purchased it must not be from First American.
Three major factors had contributed to the selling our previous home, one of which was the incredibly unsatisfactory service provided by First American. So you can imagine my dismay when I received the policy information from your company.
Fortunately, our realtor happened to call to check on us and she informed me that I could cancel the policy because we were not required by law to have it. I immediately called to see how I needed to go about cancelling this policy and I was informed that I must write a letter to the Cancellation Department.
Several thoughts went through my mind when I heard this, but what stuck out was most was something that I feel is right in keeping with what I have experienced with First American. That a company like yours would actually have a Cancellation Department is not comforting. It truly shows just what level of service and satisfaction First American provides.
The representative that I talked to also said that I needed to write the reason I wanted to cancel the policy. I have several. These are based on the previous experience of having a home warranty from First American.
The following is a basic account of that experience:
1. On July 07 2002 after having only lived in our new house for six months the air conditioning unit in our home failed. After several calls to First American Service Department we were told that a technician would be there within 24 hours. Three days and many phone calls later we were still waiting. By this time my wife and I had moved into a hotel because the temperature inside the house was well over 110 degrees. This highly elevated temperature inside the house also caused the deaths of four prize fish because we could not just pick up a thousand pounds of water and walk out with it. And since we had no place to put them and no way to keep them cool the heat eventually killed them.
2. On July 10 2002 a technician was finally dispatched to the house. We arranged to meet him at the house at 6:30 PM. I was getting sick from the heat and at 9:30 PM the technician had still not arrived so we went back to the hotel. At 10:15 PM the technician called and was very rude. He demanded to know why we were not at the house waiting to meet him. By this time I had an extreme migraine headache from frustration and the heat, so my wife said she would go back to the house and let the service man in. When she got there the man had somehow already found his way into the house even though the house was securely locked when we left. My wife described him as very offensive in demeanor, filthy and extremely unprofessional. Needless to say she was very upset and says she almost called the police. I really wish she had. This technician then proceeded to disassemble the air conditioner. A more accurate term would be destroy, since he broke the door to the A/C closet door off its hinges and punched a whole in the wall. He cut the wires leading to the A/C so in such a way that we had to have an electrician come in and rewire the unit. He left the gas line for the heater uncapped and the gas on so we had to have the Gas Company come out in the middle of the night and turn the gas off. After working on the unit for less than an hour he proclaimed that this A/C unit should have never been warranted to begin with and I have better things to be doing. Despite the fact that we had had four separate home inspections before we purchased the house. All of which noted that the A/C unit was new and in good working order. He then left the disassembled A/C lying in the middle of the garage floor and left. We made many attempts to find this person and the company he worked for but First American refused to give any information or assistance in the matter. All anyone would tell us was that they have a pool of on call personnel and they didnt have any record of who was actually there.
3. On July 15 2002 First American had still not sent any service technicians to repair the A/C or the damage to our home. They kept telling us they were waiting for the original technicians report before they could process our claim. Our frustration was only made worse by the complete attitude of indifference we received from our First American sales person MaryAnn. I never could get anyone to tell me her last name. It was more than obvious that she was going out of her way to avoid any contact with us and she absolutely refused to talk to me directly.
4. On July 19 2002 my Mother in law, who was also our realtor, stepped in and loaned us the money to get the A/C repaired. As it turned out we had to have the entire unit replaced because of the way your technician had removed the unit and because of the damage he had caused. Because she was a realtor and had dealt with problem companies like yours before she also kindly volunteered to attempt to resolve the issue.
5. On July 20 2002 I called First American customer service number and asked for the phone number and address of the corporate office so that could file a formal complaint. Later that day I sent a letter to the address I was given. No one from First American has ever responded to this letter.
6. On August 23 2002 we finally got a check from First American for $381.00. This was only a small fraction of the actual repairs. Apparently the only reason we got this was because my Mother in law made a deal with MaryAnn. Of course MaryAnn claimed to my Mother in Law that no one in her office had told her anything about how much trouble we were having getting some one to repair our A/C unit. She even made the claim that she was so sorry about all of this that she would reimburse us for the hotel personally. Which of course we never received. The deal apparently made was that if First American didnt pay off then the Mother in laws realty office would never refer or use First American for home warranties again. So we received a cash out check prorated of course. This was also sent with a notice of contract termination. Essentially stating that First American had fulfilled its obligation and that we were no longer covered by a home warranty.
7. On September 15 2002 we received a renewal notice from First American stating that our home warranty policy was about to expire.
8. On October 09 2002 we received a notice from First American that our home warranty had expired and we should act fast to get it renewed.
9. On October 10 2002 I dispatched a letter to First American explaining our dissatisfaction and detailing why we had no intention of renewing the home warranty. I requested that we be removed from all mailing lists and that all requests for renewal be stopped immediately.
10. On December 18 2002 we received a letter from First American thanking us for renewing our home warranty and allowing First American to service us with all of our home protection needs. At this point I called First American to verify that we had not somehow unknowingly renewed this policy. I was extremely relieved to find out that we had not. It was just something that didnt get updated in the computer. Another mark of incompetence on First Americans part.
11. On January 15 we received a letter from First American informing us once again that we had another chance to renew our home warranty.
To sum it all up, we have no desire to have any dealings with First American in any way, shape or form. The policies and procedures of First American are a disgrace to the companies own name. A home warranty from First American is one of the most horrible wastes of money we have ever seen.
You make people feel secure and when the time comes when the warranty is needed you do not honor your obligations or contracts and you have no regard for the damage and hardships you cause to peoples lives.
Even after repeated calls and letters no one from First American has ever contacted my wife or me to find out what went wrong in our situation. This confirms to us that this was not an isolated case where things didnt work and that First American is just another rip off organization that cares for nothing more than the almighty dollar.
Here is a sample of what our First American home warranty cost us:
Initial cost of home warrant - $403.00
Thirteen days in a hotel in the middle of tourist season - $685.00
Cat in kennel for thirteen days - $275.00
Electrician to repair damage caused - $160.00
New door for A/C closet - $100.00
Repairs to damaged wall - $200.00
Emergency gas shut off - $150.00
Gas turned back on - $35.00
Four dead prize fish - $200.00
New A/C unit - $2000.00
Two weeks worth of groceries - $300.00
Miscellaneous costs and associated expenditures - $500.00
That means that our First American home warranty only cost us $5008.00. Now thats peace of mind for you! So, I dont think any one would blame me for saying, I want this new policy cancelled and any funds repaid to me immediately. I did not ask for it and I will be damned if I am going to pay for it.
Under no circumstances would I ever even attempt to utilize this home warranty because I know before hand what a waste of time it would end up being. I found out from first hand experience that its far less expensive to just fix it myself. I also have no intention what so ever of going through the living hell that First American put me through a year ago.
Stuart
Krum, Texas
U.S.A.
Click here to read other Rip Off Reports on First American Home Buyers
My wife and I recently purchased a new home and the Mortgage Company automatically purchased a home warranty policy from First American. This was done without our knowledge or consent. They were unaware of our previous experience with First American, which to put it politely, was a royal disaster. However, since we had changed mortgages companies and were rapidly moving through the closing procedures. The personnel at the new company missed our written instructions that if any home warranty plan was purchased it must not be from First American.
Three major factors had contributed to the selling our previous home, one of which was the incredibly unsatisfactory service provided by First American. So you can imagine my dismay when I received the policy information from your company.
Fortunately, our realtor happened to call to check on us and she informed me that I could cancel the policy because we were not required by law to have it. I immediately called to see how I needed to go about cancelling this policy and I was informed that I must write a letter to the Cancellation Department.
Several thoughts went through my mind when I heard this, but what stuck out was most was something that I feel is right in keeping with what I have experienced with First American. That a company like yours would actually have a Cancellation Department is not comforting. It truly shows just what level of service and satisfaction First American provides.
The representative that I talked to also said that I needed to write the reason I wanted to cancel the policy. I have several. These are based on the previous experience of having a home warranty from First American.
The following is a basic account of that experience:
1. On July 07 2002 after having only lived in our new house for six months the air conditioning unit in our home failed. After several calls to First American Service Department we were told that a technician would be there within 24 hours. Three days and many phone calls later we were still waiting. By this time my wife and I had moved into a hotel because the temperature inside the house was well over 110 degrees. This highly elevated temperature inside the house also caused the deaths of four prize fish because we could not just pick up a thousand pounds of water and walk out with it. And since we had no place to put them and no way to keep them cool the heat eventually killed them.
2. On July 10 2002 a technician was finally dispatched to the house. We arranged to meet him at the house at 6:30 PM. I was getting sick from the heat and at 9:30 PM the technician had still not arrived so we went back to the hotel. At 10:15 PM the technician called and was very rude. He demanded to know why we were not at the house waiting to meet him. By this time I had an extreme migraine headache from frustration and the heat, so my wife said she would go back to the house and let the service man in. When she got there the man had somehow already found his way into the house even though the house was securely locked when we left. My wife described him as very offensive in demeanor, filthy and extremely unprofessional. Needless to say she was very upset and says she almost called the police. I really wish she had. This technician then proceeded to disassemble the air conditioner. A more accurate term would be destroy, since he broke the door to the A/C closet door off its hinges and punched a whole in the wall. He cut the wires leading to the A/C so in such a way that we had to have an electrician come in and rewire the unit. He left the gas line for the heater uncapped and the gas on so we had to have the Gas Company come out in the middle of the night and turn the gas off. After working on the unit for less than an hour he proclaimed that this A/C unit should have never been warranted to begin with and I have better things to be doing. Despite the fact that we had had four separate home inspections before we purchased the house. All of which noted that the A/C unit was new and in good working order. He then left the disassembled A/C lying in the middle of the garage floor and left. We made many attempts to find this person and the company he worked for but First American refused to give any information or assistance in the matter. All anyone would tell us was that they have a pool of on call personnel and they didnt have any record of who was actually there.
3. On July 15 2002 First American had still not sent any service technicians to repair the A/C or the damage to our home. They kept telling us they were waiting for the original technicians report before they could process our claim. Our frustration was only made worse by the complete attitude of indifference we received from our First American sales person MaryAnn. I never could get anyone to tell me her last name. It was more than obvious that she was going out of her way to avoid any contact with us and she absolutely refused to talk to me directly.
4. On July 19 2002 my Mother in law, who was also our realtor, stepped in and loaned us the money to get the A/C repaired. As it turned out we had to have the entire unit replaced because of the way your technician had removed the unit and because of the damage he had caused. Because she was a realtor and had dealt with problem companies like yours before she also kindly volunteered to attempt to resolve the issue.
5. On July 20 2002 I called First American customer service number and asked for the phone number and address of the corporate office so that could file a formal complaint. Later that day I sent a letter to the address I was given. No one from First American has ever responded to this letter.
6. On August 23 2002 we finally got a check from First American for $381.00. This was only a small fraction of the actual repairs. Apparently the only reason we got this was because my Mother in law made a deal with MaryAnn. Of course MaryAnn claimed to my Mother in Law that no one in her office had told her anything about how much trouble we were having getting some one to repair our A/C unit. She even made the claim that she was so sorry about all of this that she would reimburse us for the hotel personally. Which of course we never received. The deal apparently made was that if First American didnt pay off then the Mother in laws realty office would never refer or use First American for home warranties again. So we received a cash out check prorated of course. This was also sent with a notice of contract termination. Essentially stating that First American had fulfilled its obligation and that we were no longer covered by a home warranty.
7. On September 15 2002 we received a renewal notice from First American stating that our home warranty policy was about to expire.
8. On October 09 2002 we received a notice from First American that our home warranty had expired and we should act fast to get it renewed.
9. On October 10 2002 I dispatched a letter to First American explaining our dissatisfaction and detailing why we had no intention of renewing the home warranty. I requested that we be removed from all mailing lists and that all requests for renewal be stopped immediately.
10. On December 18 2002 we received a letter from First American thanking us for renewing our home warranty and allowing First American to service us with all of our home protection needs. At this point I called First American to verify that we had not somehow unknowingly renewed this policy. I was extremely relieved to find out that we had not. It was just something that didnt get updated in the computer. Another mark of incompetence on First Americans part.
11. On January 15 we received a letter from First American informing us once again that we had another chance to renew our home warranty.
To sum it all up, we have no desire to have any dealings with First American in any way, shape or form. The policies and procedures of First American are a disgrace to the companies own name. A home warranty from First American is one of the most horrible wastes of money we have ever seen.
You make people feel secure and when the time comes when the warranty is needed you do not honor your obligations or contracts and you have no regard for the damage and hardships you cause to peoples lives.
Even after repeated calls and letters no one from First American has ever contacted my wife or me to find out what went wrong in our situation. This confirms to us that this was not an isolated case where things didnt work and that First American is just another rip off organization that cares for nothing more than the almighty dollar.
Here is a sample of what our First American home warranty cost us:
Initial cost of home warrant - $403.00
Thirteen days in a hotel in the middle of tourist season - $685.00
Cat in kennel for thirteen days - $275.00
Electrician to repair damage caused - $160.00
New door for A/C closet - $100.00
Repairs to damaged wall - $200.00
Emergency gas shut off - $150.00
Gas turned back on - $35.00
Four dead prize fish - $200.00
New A/C unit - $2000.00
Two weeks worth of groceries - $300.00
Miscellaneous costs and associated expenditures - $500.00
That means that our First American home warranty only cost us $5008.00. Now thats peace of mind for you! So, I dont think any one would blame me for saying, I want this new policy cancelled and any funds repaid to me immediately. I did not ask for it and I will be damned if I am going to pay for it.
Under no circumstances would I ever even attempt to utilize this home warranty because I know before hand what a waste of time it would end up being. I found out from first hand experience that its far less expensive to just fix it myself. I also have no intention what so ever of going through the living hell that First American put me through a year ago.
Stuart
Krum, Texas
U.S.A.
Click here to read other Rip Off Reports on First American Home Buyers
4 Updates & Rebuttals
Allen
BRAZORIA,Texas,
USA
First American Screwed Me Too
#2General Comment
Thu, August 17, 2017
I had similar problems with First American. We bought a house and the realtor insisted that the seller pay for the coverage , I will Never buy home warranty ever again (thanks to First American), we could have negoaited the price $500 less rathar than seller paying.
The Airconditioner was blowing ice cold for a few days after purchase , then it would only blow cold till it cycled off once in the morning, if we put it on 60 it would run and blow cold all day . If it cycled off it wouldn't work till next day. We called first american and they told us we had to PAY $60 to have a service repair man come out , it only took 2 days for him to come unlike the other stories of long wait times. I was at work and Fully Explained what the problem was to the repair man . When I came home it was hot as hell , I ask my wife what they did, and all they did was change the filter , WTF . I called the repair place and they told me to call First American again , I did and they said I had to PAY $60 Again and they would come out again. I was pissed off , and since I am a Mechanic and fix air conditioners in cars I went out to take a look my self.
So I found the Relay was not getting the Low voltage signal to turn on the relay , I then put a strap on the relay to hold it on and have cold AC , but not really fixed just cold. I was busy and didn't have time to look for the problem , so I called the repair clown , explained what was wrong with my AC and they need to find why there is no low volt signal, I HAD TO PAY $60 Again for them to come out , I argued with the clown that didn't do anything the first time , but still got screwed out of $60 bucks, this time they said the whole copmressor and condenser were bad and need to be replaced , a LIE. I told them it blows ice cold all day if you hold down the relay and it needs low volts to make the relay come on. They also said they would need to come back to install all the new stuff with ANOTHER $60 CHARGE, PLUS I would have to pay to remove the old freon $260 . I told them I can bring my equipment home and recover the old freon but they said no and refused .
I called First Anerican and told them these Wetback repair scam artist are cheating First American and I don't need all those repairs and I am Not Paying any more money to anyone , the people on the phone really didn't care if they were getting screwed and I was getting screwed. I told them to send a different repair company and they said they don't have anyone else. At this point I have paid $120 and got nothing , now they want more money !
I demanded that they Cancel my policy and refund the $500 it cost me at closing and the $120 , we argued and they were complete a*s holes , I wass so mad I hung up. I called next day and demanded my money and ask to speak with their attorney , they refused to let me talk to their attorney . I emailed explained the whole situation and demanded my money and ask for their attorney to call me. A few days latter I called again ask for supervisor , got one , and ask for my money, they said no we argued and screamed at each other , I hung up. Maybe a week latter I called again and told them we are going to Court and maybe we can fix things if they just let me talk with their attorney , we argued they screamed at me I yelled back, I hung up. One week latter , today is the day I have planned to File my court case against them , got all my papers and policy (which says nothing about the freon recovery fee ) , was walking out the door going to the court house, the phone rang and it was tha Attorney for First American , we spoke for about 20 minutes and he agreed to refund all my money , they sent me a check for $600 .
John
Chandler,Arizona,
U.S.A.
First American
#3Consumer Comment
Thu, January 19, 2006
L-in Odessa nice try but wrong I live in the Phoenix area where temperatures can get up to 116 degrees. Unfortunately I too had First American Home Buyers. In the middle of the summer my AC wasn't cooling and placed a call to you. An AC repaired company was dispatched and I waited 72 hours before I called again because I had neither seen nor heard from any one. Eventually I spoke to the repair company ad was told that it would be a week or more before anyone could get out there. I thought this was a little odd so I had a friend of mine place a call to them pretending to need AC work done. The first question was, Is there a home warranty issue? When he said no he was told they could be there the same afternoon. Lets face facts. Warranty issues are not going to pay the same as others. There is no incentive for the contractor to make you a priority when he can make more money working on another unit unless of course he if forced to by First American Home buyers. I of course brought this to the attention of your company L-in Odessa. Like all incompetents there was complete apathy with the only explanation being, This contractor has been with us for years. It's hard to believe what your saying is true. I work for a law firm and have resources to get information on who the owners are. Generally the State Insurance Commissioner will have a file. When I went to the top via that method I finally started getting your attention. They dispatched a new company who came out on Sunday. There was a loose connection that allowed Freon to escape. They filled it and were gone in 15 minutes. My renewal came due and I refused to do it. Your representative called to get me to renew and I wouldn't do it. I just sold the home and purchased a new warranty for the buyers with the stipulation that it would not be from your company. I purchased a new home with the same demands, no First American Home Warranty.
L
Odessa,Texas,
U.S.A.
Suggestion on Home Warranties.
#4UPDATE Employee
Thu, January 19, 2006
First of all, I am an employee of First American. As a claims specialist, I'll honestly tell you that is the kind of complaint that we hear all day. Or something along the lines of "The contractor never called me", "I don't want that contractor", "This is an emergency, so I need service right now". Yes, you are not the only person who had an AC problem in the middle of summer. While I am not downplaying your situation at all, most people don't realize that First American's technicians are extremely busy during the summer months. Your next complaint will be that we should get someone else, I know. I've heard it many many times. The fact is, its nearly impossible due to the large volume of calls that we recieve. Yes, we can try to find another company, and we have no problem doing so, but chances are that most, if not all are booked. Now, as far as the situation with how the tech acted when he was at the home, I will agree, that was totally unacceptable and I'll tell you that its not too late to seek compensation, at least for the damage the technician caused. You don't need the specific technician's name, most of the time we don't know who it was that serviced because someone will call from the contractor's office to provide a report. I will include information on how to pursue compensation at the end of my reply. In regards to your comment about a cancellation department, your assumptions are completely unfounded. A company does not have to have terrible service to have a cancellation department. To reiterate what a different rebuattal has mentioned, there are many different reasons that people wish to cancel their warranty. It's more of a moniker that was added. It's not a group that deals specifically with cancellations. I can't speak for the renewal letters that you recieved, I don't send those out, Sorry. Additionaly, First American's claims specialists make every effort to resolve valid complaints. While I will not make assumptions about you, I feel that the majority of people that feel the need to complain on a website such as this are the homeowners that were calling in yelling and screaming and being completely unreasonable about the issue. I wasn't an employee in 2002 when your particular issue happened, so I don't know how differently things were then, but I can make a general assumption that there was not much of a difference. Our contracts have changed very little over the years. We also will not know that there is a problem unless you call us and inform us, otherwise, we go by what the tech reports unless he gives sketchy information, i.e, I don't know what the problem is, or I don't know what may have caused that. You probably would have been offered the cashout anyways as we do not put it in the system without a contractor's bid to replace. The claims of it being prorated make no sense, since when we pay a cashout, we pay the total cost of the claim, less any service fee due and in some cases the technicians diagnostic fee. ($50-$100) Finally, I encourage anyone shopping for a home warranty to request a copy of the contract from a sales rep or realtor. I've personally faxed sample contracts to realtors for just that reason. I encourage you to read it thoroughly. Ask questions if you don't understand something. Last, but not least, do not allow the contractor to get away with causing damage to your home or even bad service. Let us know. We can tell the difference between a valid complaint and someone blowing steam because they didn't get their way. If the contractor does cause damage to your home, ask a customer service representative for the fax number to First American's legal department. I don't know it right offhand, but you can call 1-800-992-3400 and ask for that number or a claims specialist and we would gladly provide you with any information needed to resolve that claim. They will proceed with attempting to recover your losses due to damage from the contractor's liability insurance. First American is not some big bad company out to take your money, all you need to do is be calm, civil and ask questions on anything you do not understand. Please don't say that its our job to help even if you are yelling, being rude or verbally abusive. Trust me, most people are far less inclined to help you if you call in acting like that, and that's where perceptions of rudeness of reps come from I believe. If something is not covered, request it in writing, we have no problem providing you with that information. Also, please avoid asking for a supervisor, a claims specialist is fully capable of assisting you, and if they are not able, they will consult with their supervisor or transfer you. Thank you
Allison
Odessa,Texas,
U.S.A.
cancellation department
#5Consumer Comment
Thu, January 05, 2006
why wouldnt a company have a cancellation department? there are other reasons why people have to cancel. for example, if they are moving and selling the home and dont want to have to pay for a full year of warranty.
