Victim Location 49512
Type of a scam Other
This video game shop sells lifetime warranties on disc based games. They have a machine that can repair cd/dvd type discs to working order, however they do not have a machine to repair Blu-ray discs. The service can cost $1-5 per game depending on the value of the game, at time of purchase. Even though there is no way this business can uphold the warranty, they still collect money for the service. If a customer does present them with Blu-ray disc that needs repair, the employees lie and tell the customer that the machine (which does not exist) is temporarily out of order and they’re waiting on new parts to come in for it. If the customer asks how long the wait may be till the parts arrive, the employees say the parts are "on backorder" and there’s no telling when they may arrive. This service, having been paid in advance, is also non-refundable. This business has been operated for nearly 10 years by Craig Ackerman and has never had the machine to repair Blu-ray discs, and it’s likely he has been collecting money for this the whole time. It is likely the business won’t get any such machine in any time soon because it costs approximately $4000-5000 and the owner is very cheap.
The manager presses the employees to sell the service because it is untaxed money that goes straight into his pocket, usually about $800-1000 every month. He also tries to bribe the employees with small amounts of store credit if they sell enough fake warranties for him.