Home & Garden

The Great Water Heater Rental Scam

  • Last Updated:
  • Jul 17th, 2018 5:38 pm
Jr. Member
Jan 13, 2009
141 posts
25 upvotes
I bought a house and I didn't notice that it had a water heater rented from Reliance. only realized that I will be scammed after I took possession. for some idiotic reason the seller just put a new heater less than a month ago. i already have a water heater that I bought on kijiji, and I have no interest in renting one. it's like a fridge or a stove, why would you ever want to rent a fridge?? so my handyman will take it out for me, and I can bring them the damn thing if they refuse to pick it up at their expense...but they want me to pay 200 dollars cancellation fee (!!!) this is a total scam and I never saw these terms and conditions (but apparently among a billion papers I had to sign when I bought the house there was something about rental contracts), and this is a complete rip off. so what happens if I simply don't pay the 200 dollars? are they going to send collectors after me? can I dispute this charge in court or somewhere else? is my credit score going to be ruined?
Sr. Member
Feb 4, 2010
914 posts
305 upvotes
elfion wrote:
Jun 28th, 2017 7:30 pm
I bought a house and I didn't notice that it had a water heater rented from Reliance. only realized that I will be scammed after I took possession. for some idiotic reason the seller just put a new heater less than a month ago. i already have a water heater that I bought on kijiji, and I have no interest in renting one. it's like a fridge or a stove, why would you ever want to rent a fridge?? so my handyman will take it out for me, and I can bring them the damn thing if they refuse to pick it up at their expense...but they want me to pay 200 dollars cancellation fee (!!!) this is a total scam and I never saw these terms and conditions (but apparently among a billion papers I had to sign when I bought the house there was something about rental contracts), and this is a complete rip off. so what happens if I simply don't pay the 200 dollars? are they going to send collectors after me? can I dispute this charge in court or somewhere else? is my credit score going to be ruined?
They definitely will threaten you with going to the collection agency (speaking from experience). Whether they do or not for such a piddly amount, I'm not sure. For me, it was only $60 which I was able to get waived but it took months and talking to a lot of stupid people at Reliance. You can try that route if you don't mind the hassle and headache otherwise better just to pay the $200. And yes it will affect your credit score if it goes to collections...not worth it. BTW the rental should have been on the first document you sign with the house price and what's all included (e.g appliances, etc.) - I forget the name of the document.
Deal Addict
User avatar
Oct 20, 2004
3172 posts
14 upvotes
Jerico wrote:
Jun 28th, 2017 5:07 pm
Not quite, as he is already locked in until "next year" how ever many months that is. Depends on the buyout after contract expires if it will go down or not.

Plus there is a $205 removal fee so it's 870-205/30=22.5 months and most likely it will last.

Edit: I just realized it was you that asked so how many months are left in contract?
9 months left on current rental contract that I would take over...
HEATWARE 47+ : BST 27+ : EBAY 212+ (links on request)
Jr. Member
May 1, 2012
110 posts
7 upvotes
Markham
Hello
My water tank was rent by previous owner 6 years ago before I moved in from enercare. Days ago I called to have it downgrade from 60 Gallen to 50 or 40, this morning the tech came in and told me there was a contract for ten years, they can not have it replaced for free.
Is there any thing wrong? What should I do to now?


Thanks
Deal Addict
User avatar
Oct 2, 2005
1037 posts
102 upvotes
Any opinions on this one: http://www.sears.ca/en/water-heaters/50 ... 568_I.html

Seems like a good price. Looking at replacing the heater in the attached images. I cant find any information on that model as i assume its something made up just for the rental company. Not sure if anyone knows if the sears on is roughly equivalent or better.

Thanks.
Images
  • waterheater2.JPG
  • waterheater1.JPG
Deal Addict
Oct 13, 2014
1319 posts
655 upvotes
Somewhere, ON
Are you specifically asking about the Sears (Kenmore) or the rental (GSW). In both the makes are very clear and the information on the GSW is online and easily found as the model number is noted in your photos.
“Before one can have a Clue they must first accumulate 10 Inklings. That said, all it takes is one bad post and you erase all Clues accumulated'"
Deal Fanatic
Feb 9, 2006
8855 posts
2774 upvotes
Brampton
RAINMAN0 wrote:
Jul 5th, 2017 9:57 am
Any opinions on this one: http://www.sears.ca/en/water-heaters/50 ... 568_I.html

Seems like a good price. Looking at replacing the heater in the attached images. I cant find any information on that model as i assume its something made up just for the rental company. Not sure if anyone knows if the sears on is roughly equivalent or better.

Thanks.
Honestly the Kenmore looks like a rebranded GSW. The specs even match the one sold at lowes.

However your old tank is a power vent. Then Kenmore is not. You need a powervent.
Deal Addict
User avatar
Oct 2, 2005
1037 posts
102 upvotes
tebore wrote:
Jul 5th, 2017 10:57 am
Honestly the Kenmore looks like a rebranded GSW. The specs even match the one sold at lowes.

However your old tank is a power vent. Then Kenmore is not. You need a powervent.
Good to know. Thanks for the information. I'll keep looking.
Deal Addict
User avatar
Oct 2, 2005
1037 posts
102 upvotes
rcmpvet wrote:
Jul 5th, 2017 10:29 am
Are you specifically asking about the Sears (Kenmore) or the rental (GSW). In both the makes are very clear and the information on the GSW is online and easily found as the model number is noted in your photos.
The model is shown but there is absolutely no information on this model on google. All I can find are part lists that say this part is used on this model but no specs on the actual model.

https://www.google.com/search?q=GSW+B57 ... e&ie=UTF-8
Sr. Member
May 5, 2007
617 posts
77 upvotes
North York
Any thouths on this $649 Kenmore ?

Does it come with warranty ? What about installation ?

I need a conventional so I might jump on this one
Deal Fanatic
Apr 20, 2011
7747 posts
2633 upvotes
ON
okhmily wrote:
Jul 5th, 2017 8:36 am
Hello
My water tank was rent by previous owner 6 years ago before I moved in from enercare. Days ago I called to have it downgrade from 60 Gallen to 50 or 40, this morning the tech came in and told me there was a contract for ten years, they can not have it replaced for free.
Is there any thing wrong? What should I do to now?


Thanks
If you did not tell them "No, don't want that contract, don't install today" and they replaced it, you're out of luck for 10 years, or buy it out immediately.
Sr. Member
Aug 6, 2014
716 posts
184 upvotes
Ottawa, ON
fisher44 wrote:
Mar 25th, 2017 10:44 am
hi!

read this thread, decided to buy-out my water heater rented through enercare. i pay $20/month for an old tank (13 years) that appears to be in pretty good shape. a couple of tips for anyone cancelling with enercare:

1 - i was immediately offered a $50 credit if i stayed with them (i declined).
2 - i was told that each year, on the date of installation, the price of buy-out decreases. i asked when my heater was installed (june), and was able to get a buy-out price today and an estimated buy-out price for june. it was an $80 difference, so it seems to be cheaper to wait until june and cancel then.
3 - my contract includes a yearly maintenance appointment that i wasn't aware of. one of their technicians is supposed to drop by next week to check the tank out. hopefully there isn't a note on my file telling this guy to totally **** up my water heater since i'm planning on cancelling in june! but i don't see why you wouldn't have a licensed technician swing by and inspect the water heater you're planning to buy. the lady was very clear there is $0 charge associated with this, and i turned on my call recorder app so i have it on file.
4 - i called back an hour later, spoke to a different person, said i was thinking about cancelling my rental, got the $50 credit applied. so basically i'm paying about $10 between now and june, get my tank inspected to make sure it doesn't suck (will report back and let you know if the technician was shitty or not), and then buy out in june for about $210 with taxes (would have been about $290 if i bought out today).

if anyone can improve on the process, let us know!
just a follow up, bought out my tank, no issues with the $50 credit.

also learned that enercare has a buyout table tucked away on their website somewhere, so i asked the rep to email me the link:

https://www.enercare.ca/sites/default/f ... hedule.pdf

i'm not quite sure how accurate this is, my tank is 12-13 years old and it was $229 to buyout (including tax).
Deal Addict
Dec 5, 2004
3637 posts
114 upvotes
Toronto
I just purchased a property and took over the previous owner's rental. Reliance just quoted me $250 +tax to close the account plus an additional $200 +tax to pick up a tankless water heater that's about 9 years old. Granted, I could probably just put the tankless heater in a sedan, it's quite small. Their buyout price to me was almost $2700.

Does that cancellation/pickup price seem normal? The OP is from 2012 ($105 +tax) and I haven't scrolled through all the pages. I'm still thinking about canceling and buying my own water heater.

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