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A possible XM scam

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Old 04-25-2011, 09:19 PM
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Chekov
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A possible XM scam

Some of you may recall that I ordered a free radio from Sirius-XM last December with the intent of installing it in my wife’s car. I did have to pay for a 3-month subscription for $47. I later decided not to install the device and never activated the radio. I thought that when the three months was over the issue was closed.

But I just noticed today that I’m being charged an additional $32.21 on my MasterCard statement. I immediately called XM who told me the radio was pre-activated and that I’m on a yearly plan and that was the next scheduled charge. I told them to cancel my subscription and credit my account for the $32.21. They were glad to do that but told me I would now be charged a $75 early termination fee. In other words, this “free” radio is nothing of the kind.

I spoke to the XM supervisor and told her I signed nothing and agreed to nothing more than the three months, and have no intention of paying neither the $32 nor the cancellation fee. She agreed to investigate the situation and get back to me.

It appears to be a clever scam. They give you a free radio but clandestinely hook you for a hidden annual subscription that was not requested, and they tack on an early termination fee if you back out. I have no intention of paying, but in that they have my credit card number there’s no guarantee that I’ll succeed. I’ll let you know how it turns out.
Old 04-25-2011, 09:28 PM
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Black Betty
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They have been scamming folks since day 1. It's good you caught it early. I was being billed for a second radio and service (that I never even had) at my business. I didn't catch it for months, after I'd sold the business. They would not issue a credit for a service I never ordered nor received. It was past 90 days to dispute the charge with my credit card company. I got screwed out of a few hundred dollars.

Also beware of the scam where they offer you a rate $20 for 5 months to come back to them after you've discontinued their service. Even if you specifically request the 5 months offer only and NOT elect to auto renew, they will auto renew at a much higher monthly rate.

They are scumbags. I hope they go out of business and someone takes over with a better business model.
Old 04-25-2011, 09:34 PM
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4drScreamer
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Better Business Bureau? Can they help in this situation? I'm sure this wouldn't be the first complaint against them.
Old 04-25-2011, 09:48 PM
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cereal2k
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wow.. that is a scam for real.
Old 04-25-2011, 10:23 PM
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kmp
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If on AMEX just call and refuse the charges. It's great AMEX is like a mad dog with places like that.
Old 04-25-2011, 10:34 PM
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JohnnysG
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Hey...don't talk back my Sirius radio like that... me and my mom have shares in their stock at 70cents ..... ._____.
Old 04-25-2011, 10:39 PM
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gimpy
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Thanks for the heads up on their sneaky methods of scamming the customers. I bought a two year subscription in March of 2010 after my free 3 month subscription just about ran out, so I'll be watching my credit card statements more closely towards the end of the two years so they don't slide a fast one on me. Again thanks for the info.
Old 04-25-2011, 11:09 PM
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Romeo0119
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Originally Posted by JohnnysG
Hey...don't talk back my Sirius radio like that... me and my mom have shares in their stock at 70cents ..... ._____.

Lol i hope u bought those for less than that per share, time to sell...quickly!
Old 04-26-2011, 10:11 AM
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carz
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Originally Posted by Black Betty

Also beware of the scam where they offer you a rate $20 for 5 months to come back to them after you've discontinued their service. Even if you specifically request the 5 months offer only and NOT elect to auto renew, they will auto renew at a much higher monthly rate.
funny you mention that.......the first thing i read was the fine print and that it said it will auto renew. I signed up for it in the beginning of April....I have it set on my calendar to call and cancel in Sept
Old 04-26-2011, 04:21 PM
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Poe408
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carz,

they will not let you cancel in 5 months. if you try to deactivate the radio before hitting your 1 year mark, they will charge you $75 early termination fee. i JUST went through this a couple of days ago with them. spent about an hour on the phone with multiple supervisors. i had the same 5 months for $20 plan and was thinking exactly what you thought... i'll just cancel in 5 months. but they say if the radio is activated less than a year, there will be a $75 charge. they are thieves.
Old 04-26-2011, 04:34 PM
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soundmike
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I don't know guys, i've bought and sold radios several times in the past, for various vehicles (and for home). All of them had the $75 cancellation fee disclaimer somewhere on the purchasing pages, if not on the product page itself.
Old 04-26-2011, 05:43 PM
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Chekov
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Well, I’m not a lawyer, but I feel I’m on firm ground here. When I bought the 3 months over the phone, it’s now a “he said-they said” regarding activation. Certainly, unlike cell phone contracts, I signed and agreed to nothing beyond the three month activation, nor would I have knowing that I was buying activation for a full year on a “free” radio.

Furthermore, in the user guide for the radio (which I just re-read) there’s a chapter on activation. All it says is that after installing the radio either go on-line or call them to activate. There’s no mention that the device is “pre-activated” like they suggested to me yesterday.

If my credit card people (MasterCard) do not take my side, I just can’t refuse to pay, lest my credit rating, which I hold in high esteem, would suffer.
Old 04-26-2011, 09:11 PM
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Black Betty
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Originally Posted by carz
funny you mention that.......the first thing i read was the fine print and that it said it will auto renew. I signed up for it in the beginning of April....I have it set on my calendar to call and cancel in Sept
I made this transaction over the phone and specifically asked that it not auto renew. I was told I could do it without auto renewing so I agreed. Silly me for taking them at their word.
Old 04-26-2011, 10:44 PM
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ONEighty
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<3 sirius... my free trial just ran out, gotta scheme them out of another 3 month trial. lol
Old 04-27-2011, 01:18 AM
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surfjax87
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Originally Posted by Black Betty
I made this transaction over the phone and specifically asked that it not auto renew. I was told I could do it without auto renewing so I agreed. Silly me for taking them at their word.
I went with 1 year for $77 after my trial expired and told them I didn't want auto rebilling. I checked it the day before my 1 year was up and sure enough it was set to auto rebill at something like $20 a month. After being transferred around countless times, I was finally able to get another year at $77. How do these people sleep at night?


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