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Big Box Store Reps Push Unnecessary Recovery Discs
Ed Albro, PC World writes "At PC World, we've got a story today on salespeople at Best Buy and Circuit City pushing consumers to pay the stores' technicians to create recovery discs for their new laptops. Recovery discs are important to have, of course, but the fact is that they're easy to make yourself. Or you can get them from the manufacturer of your PC, often for half of what Best Buy and Circuit City charge you. The salespeople often tell you that you can buy from the manufacturer — but they claim you'll pay twice as much as the stores charge."
I remember when it was commonplace to get a recovery disc along with your computer; now you have to pay (quite a bit) for software that's already on your system. What happened?
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I hope someone mods this up, especially since there are a lot of folks like me that have ACs auto-modded down.
You're right on the mark. Here's the thing. If you buy warranties on everything you buy that they're offered on, at some point, you will come out ahead on some particular item. A laptop, a refrigerator, a microwave oven, a television, an iPod... Something. And, as the parent post noted, good for you.
However, that thing that you came out ahead on has a nasty way of ingraining itself into your selective memory. You remember that thing that you came out ahead on, because wow, you saved hundreds of dollars. You tend to forget the thousands of dollars you lose $50 to $100 at a time by buying extended warranties that you never need or use.
It's simple psychology, and retail stores are taking advantage of it, along with people's lack of knowledge about computers and their tendency to react to fear, to make billions of dollars a year. Ask any financial expert or consumer advocate and they'll all say the same thing: The only time you should ever purchase a warranty is if you literally cannot function without whatever it is you're buying the warranty for.
Plus, that doesn't take into account the fact that most of the time, it's a lot harder to actually get companies to follow through on their warranties than the salespeople claim it will be. Keep in mind that when companies have to pay out warranties, that's taking money away from them that they had considered pure profit. It's very likely that they'll avoid fulfilling the terms based on some technicality. For example, did you keep all of the original packaging? Even the driver CD? My dad got burned on that one once. He tried to claim an extended warranty repair, and they wouldn't fulfill the warranty because he had thrown away a three-year-old driver disc.
Last, but not least, it may seem like a bargain to buy a $200 five-year extended warranty on a $2000 computer. But in five years, what will that computer really be worth? If you're lucky, maybe $100 on eBay. You can get a replacement cheaper than you can ship the durn thing.
Just don't do it. Take all money you would have spent on extended warranties and put it in a savings account. You'll earn interest on it, and in no time, you'll have enough money in the bank to replace anything like that that you would buy and you'll never need another warranty again.
You obviously are one yourself, for I clearly remember the page in my CP/M manual urging to and explaining how to actually duplicate the full system and utility disks from the originals as soon as possible, just in case. Going as far as suggesting to make more than one copy.