Judge agrees Dell engaged in fraudulent, deceptive practices

A New York State Supreme Court said Tuesday that Dell and its financial services arm misled customers.

Judge Joseph Teresi ruled that the world's second-largest PC maker engaged in fraud, false advertising, deceptive business, and abusive debt collection practices. The company was accused by the state of New York of offering no-interest or no-payment financing options for its products while Dell Financial Services would fail to honor them.

New York Attorney General Andrew Cuomo filed the suit in May 2007, asking for an injunction against the company's business practices and monetary damages for affected customers.

Further court proceedings will need to be held to determine what those damages will be.

Dell told Reuters it "disagrees" with the ruling. "We are confident that when the proceedings are finally completed, the court will determine that only a relatively small number of customers have been affected," according to the company's statement.

[epabon]

Finally someone has confronted the unethical practices of Dell. Add to that they cancelled my business account without any notice, even though there has was no balance due and I had paid any balance due usually within two months for over 2 years.

[Ramon366]

That's payback, Dell, for deleting Stevie!

[RomeoNate]

Dell Financial has been doing it for years. I purchased a Laptop in 2002. Problem was, at the time they did not have the ability to make your payment online. The only electronic payment method they accepted was a "Check over the phone" which they tacked on a $10 surcharge to.

So what I did, was pay three months at a time to off-set the $10 fee. The Dell Rep I spoke with said "That sounds like a great idea!". She never told me that I HAVE to make a monthly payment.

I had a line of credit at $1500 with them. Made a payment of $150 one month. Three months later, they tacked on "Late Fees" because I didn't make a monthly payment, which caused my balance to exceed the Credit Limit, so I got hit with an Over the limit Fee, then the interest rate changed to somewhere in the 20% range. It was crazy, and hurt my credit in a bad way.

I have since paid them off, but when I "Settled" with them for the amount of $1500, it shows on my credit as "Settled for lesser amount", which is totally bogus. I wish I could get in on this lawsuit.

[pmfjoe]

Works the same way on every credit account I've ever had, try telling your mortgage co your going to make a quarterly lump sum payment or you Visa. Won't happen.l

[igl00lgi]

I will let all my collegues and friends know about Dell's unethical business practices. I will never do business with Dell again and recommend others to avoid them as well. This is serious stuff for a company such as Dell to be guilty of. Nothing is more precious than customer relations and Dell time after time has shown slim if any regard for their customers.

[dupedbydell]

I am so happy that Dell was found guilty!!!. I unfortunately am the owner of 2 Dell computers (desktop and a brand new top of the line lap top that I bought my son for Christmas. I was enticed by the no-interest payment option if I went with the Dell line of credit (of course if I also bought a warranty--which I bought a 4 year one.) I should have known it was too good to be true. I went through hell to apply---I was disconnected, put in hold forever (45 mins!!!), transferred--lost track of how many people I spoke with in India who now had all my personal information and could go to town on my credit. I was tempted to cancell the whole thing but it was a christmas present for my son and we was looking forward to his midnight blue dell laptop---I could not disappoint. Was told I was approved--but later to get my first bill and find out it was being charged the rip off rate of 20+% interest. I know my credit is over 750 (had my credit checked recently-and I have never defaulted on any loan). Called Dell Financial right away--told me I didn't qualify and too bad for me. I made a $200 payment before my first bill was ever sent to me. I was on the phone for over 1 hour and 22 mins. I documented everything. I must have spoken to 5 people in India who basically could care less(very evident in their tone and they way I was switched from person to person without even being told I was being sent to someone else and the other person was just as surprised who ended up getting my call and I would have to repeat everything all over again. Again--My social security number, birthdate and all other personal inforamtion at their disposable. WAS VERY UNHAPPY. One rep. after I told her that I would write a letter to corporate---and I wanted the address, conveniently hung up my call---I was beyond fuming after 1 hour and 22 mins on the call. Called back again, another rep gave my address but was told it wouldn't get me anywhere and again--too bad for me. Too top things for--they then billed me back fiance charges!!! and I made a payment before it was even due. Again they could not reverse. Needless to say I paid the bill in 2 months $2,000.00. I should have know from the first time i got on the phone to order my product--they kept trying to sell me everything under the sun even when i told them i knew exactly what i wanted and i didn't need to hear their sales lines. The rep. kept interrupting me--they were reading some kind of script. the warning signs were there but I refused to see them because Dell was such a popular and reputable company---what a fool I was. This is my last Dell purchase for a very long time of ever. My next purchase will be a Apple Mac. I have steered people away from Dell based on my horrible experience and now this news will convince others. Too bad I was duped by Dell, but now I hope others will learn from our mistakes.
If there is a class action lawsuit I would very much like to be a part of it.

[buffalojpb]

I paid the Dell crooks their greenmail.

But that will not happen again because I will never buy anything from Dell

Screw me once, shame on you. Screw me twice, shame on me.

happy to see Dell crooks learning the price of lying.

BASTARDS !
Tha