24/7, missold me the terms of my policy when they installed a new boiler.

craftofboredom

I’ve got an existing plan with 24/7 Home rescue to cover any issues I have with my boiler, electric, pests etc. I currently pay £12.59 per month on this arrangement. The arrangement started on 19/04/2024 and I currently pay via Direct Debit every month.

As part of my plan, I arranged for my boiler to be serviced and this was done around mid-October. The engineer said that there is corrosion and rusting on my boiler, and he recommended that we replace it before it fully breaks down. He said someone will be in touch to discuss this with us. Before the engineer could even leave the house, someone already rang us to try and sell the boiler. We asked for a call back the next day. At this point, I was still under the impression that it was all under 24/7 Home rescue and it wasn’t made clear that I was referred to their sister company which is 24/7 Staywarm. Either way, it’s all happened under the same policy and I’m none the wiser.

The next day, 24/7 Staywarm contacted us to try and sell a boiler. I particularly asked about the difference between StayWarm and paying upfront. At first the Salesperson explained that there are no call-out fees for StayWarm and my current plan has a £95 call out fee. He also said that there is a 10-year guarantee.

I wanted clarification on this and he said, "On the boiler, you wouldn't have a call-out fee on your current plan." At this point, the only plan I have with 24/7 is my existing policy which I pay £12.59 each month for. This led me to believe that I don’t have to pay a call-out fee at all, so there’s no point in taking the Staywarm plan.

I’ve even asked for an amendment on my existing policy to confirm this, and he said that he can send me an email to confirm I don’t have to pay a call-out fee on my current plan.

At the end of the call, we paid for boiler upfront, and I trusted I was told correct information at the time of sale.

After a couple of weeks, there was a leak on the boiler filter. The manufacturer refused to call out, and so 24/7 sent someone to sort this out in house. I wasn’t charged a £95 call out fee for this. However, during one of my conversations with Jessica (Staywarm manager), I was told that there’s a £95 call out fee under my policy and if my boiler was to break down after 30 days from installation, this charge may apply. I wasn’t happy with this since this isn’t what I was told.

I proceeded to log a complaint with 24/7 and I’ve asked that 24/7 honour what they offered me at the time of sale.

1) I haven’t received the email promised to me confirming there will be no call out fees on my current plan with 24/7 Home serve.

2) I want a guarantee that I don’t have to pay a £95 call out fee if my boiler breaks down. I want this peace of mind since this is the reason I decided to purchase the boiler from 24/7. 

According to 24/7 Staywarm, I wasn’t misadvised on the phone call and when the sales person was referring to my current plan, he was referring to the boiler purchase. I don’t understand this since I don’t have a current plan on the boiler yet. Either way, we have a difference in opinion after listening to the call.

I asked to escalate this to the Financial Ombudsman service (FOS), but I was told that since we purchased the boiler in cash, this isn’t covered by the FOS and they’re only a credit broker. It was their sister company, 24/7 Home serve where I have my policy with, therefore they don’t have to escalate the complaint to the FOS.

My policy with 24/7 Homeserve is covered under the FOS. However, my cash purchase of the boiler with 24/7 Staywarm isn’t.

CONCERNS

If 24/7 Staywarm aren’t 24/7 Home serve, then why did the salesperson in 24/7 Staywarm, discuss with me, the terms of my existing plan with 24/7 Homeserve?

They say they are sister companies. This is no different from Tesco Groceries trying to give me financial advice about my accounts under Tesco Banking. I don’t understand what kind of arrangement 24/7 has setup across their multiple sub-companies/departments, but this is unacceptable.

24/7 categorised my complaint as a ‘cash purchase’ under 24/7 Staywarm, to prevent me from escalating the complaint with the FOS. In reality, my complaint is regarding the terms of my existing policy with 24/7 Homeserve, but 24/7 Staywarm refuse to acknowledge this. Now, I can't escalate my complaint, and I’m left with no options. 

I also rang The FOS and they said unless 24/7 give me a final response, I can't escalate the complaint with them. I can't believe it!

24/7 has setup their company to avoid complaint escalations with the FOS. Surely, 24/7 Homeserve must take responsibility since they allow their sister company, 24/7 Staywarm, to make false promises that are particular to my existing plan.

Please note, I’m aware that I have a warranty on my boiler for the next 10 years, but there are exceptions to this and therefore there is still a possibility that I’d need a call out outside of warranty.

I just feel stuck and cheated on. I'm not going to renew my policy with them and leaving as soon as it finishes. I can't believe this can happen without any protection for consumers. I just wanted to warn everyone about 24/7 in general. Their business model is they'll do your boiler service for free as part of the plan, say it's about to break, you buy a new boiler with them by calling you before the engineer even leaves the house. Then, they misinform you about your existing plan. Great customer service. Sounds like they just really want a sale and take your money!

Overall, they offered me £20 for this and rejected my complaint. I think £20 is a bit low, and a bit insulting! 

Stay away from 24/7!

eskbanker

Quite difficult to follow all that, but in terms of eligibility to escalate to FOS, it's true that you can only do so in the context of regulated activities carried out by regulated companies, so if your purchase from 24/7 Staywarm didn't entail credit provision then as they say that wouldn't qualify.

It doesn't sound like 24/7 Home Rescue have done anything that would warrant a complaint to FOS, even though you feel it wasn't clear enough that they were referring you to a sister company to buy the boiler?

IvanOpinion

It sounds like there has been a mis-communication/mis-understanding between you and 24/7.
Was the call recorded? If so you could ask for a copy of the recording to see what was or was not said.
If, on doing that, you start thinking 'what I really meant was ...' or 'that wasn't what I was talking about ...' then that may be where the problem lies.

voluted

Why are you paying for boiler care with a new boiler? Many (or most) come with a 10-year warranty anyway so you're urinating money up the wall paying someone £150 a year and also having to get the thing serviced yourself.

Incidentally, the websites for both companies are completely amateurish. I wouldn't give them a penny.