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Annual Service Terminated. If You Prepaid, Get Your Money Back

Annual Service Terminated. If You Prepaid, Get Your Money Back

When I bought my Model S in 2014, there were lots of unknowns. Tesla was selling a 4+4 year annual service plan which I thought was a good idea considering how new the Model S was to the market and how many unknowns there were. I figured it would be a good idea. This covered not only routine inspections, fluid top-ups, but new windscreen wipers and brakes if and when needed, plus I got an annual alignment and two annual tire rotations. All in all I felt it was a fair value at the $475/year I prepaid for this 8 year plan.

On 11 June I learned very abruptly and sleekly that Tesla simply terminated this plan, this contract and kept my money. There was some subterfuge involved at the Scottsdale Service Center where they were anything but clear about what had happened and ended up conning me out of one annual service which came down to windscreen wipers, washer fluid and a test of the horn. No alignment. No rotation. Nada.

It has taken me nearly a month to get through to a human at Tesla but today that happened and I was told point blank that this service plan was cancelled. I never got any word about this. The service center never mentioned anything. I never got a letter or an email. I am in the process of getting a refund and I'm a month into that as well. With this verbal admission that they canceled the plan without notice and kept my money, I have ammunition to use in court if that's where this goes.

I am sure I am not the only one in this boat as this was a much discussed topic back in 2014. If you signed up for this program, it no longer exists but you have to file a form to begin a refund process. The form is the last page of the email they sent when we signed up for the annual service plan and it must be filled out and submitted by email. If you have the Extended Service Agreement, that is dependent upon the annual service which now no longer exists. Ergo, the EAS no longer exists and we need to claim refunds for that as well.

This was all so sneaky and dirty right down to the SC hiding information from me by abusing my trust that I no longer have any trust in Tesla and will plan to run my current car until it does and then scrap it out, but the replacement will not be a Tesla nor electric. Thats how soured I am on the experience. I felt this was one company I could trust. Elon won't respond, nor will any of the executives, so this rot runs all the way to the top. Apparently they are so hard up for cash they are now ok with stealing.

Newampster | 08. Juli 2019

I am in the same situation, also with the SC in Scottsdale. The Tesla Mobile tech came to my home to check my S90D before making (my 11th) 4000mi trip to NH.He measured tire tread and cleaned the wipers and said I was good to go. Also, my prepaid service would not happen and I could get my money back..."Just call the SC". We all know Tesla does not answer or return phone calls.. How do I find the refund request form?

johncrab | 08. Juli 2019

This is the best I can do here. I had to do a physical cleanup of the form I sent in. It's readable and should get the process started for you. https://www.dropbox.com/s/47irrhnub8y194d/Tesla%20Refund%20Form.jpeg?dl=0

johncrab | 08. Juli 2019

just from looking at the numbers over time it is clear this plan was originally meant to provide owner satisfaction but also to give the service centers something to do and bring in some revenue through them. Today as deliveries per quarter are twice what Tesla delivered the year I bought my car, they clearly see more value in decreasing service center load than in the revenue. Those of us who paid up front have not even been an afterthought in this process. "Catch us if you can" seems to be driving all of this.

As for the SC in Scottsdale, I feel so utterly betrayed by Chris that I will never go there again I'll go to Tempe or San Diego. I also noticed many new faces when I was there in June after seeing the same people for years. This is also not a good sign.

murphyS90D | 09. Juli 2019

My contract specifically states that Tesla can't terminate it.

fly n lo | 09. Juli 2019

I got the 4 year maintenance plan for my 2016 S75D after discussing with Costa Mesa SC manager what hourly rate Tesla charges and what the price would be for the items in this plan for each year. I have had years 1 and 2 done with year 3 next month to get scheduled.
I was going to get a refund on unused years of plan a few weeks ago. Contacted CM SC and learned the plan was no longer offered to new car buyers. I was told my prepaid annual maintenance contract would continue to be honored with the original services I paid for.
I can't speak for any other SC or any other Tesla plans.
Last year CM had no loaner cars and offered me Lyft instead. I declined and waited out the 4 plus hours until my car was done. Will see how this 3rd year appointment goes with the flood of M3 cars as to service. We all know how that has impacted supercharging.

rxlawdude | 09. Juli 2019

@fly,

The issue is, what will they actually do with your "year 3 service?" Is that the same "3 year service" that was anticipated with the expensive pre-paid service? I doubt that.

Tesla should do the right thing, and provide pro-rated refunds for unused service visits.

mcmack15 | 09. Juli 2019

I would just recommend that readers of this post look at the OP's post of 6/12/2019 (about 11-12 pages back) on this same topic. Again, in this post, like the earlier post, his language seems a bit over the top (e.g., "...subterfuge involved...", '...conning me...", '....ammunition to use in court...", '...sneaky and dirty....", ok with stealing..." after years of being happy with the car just because he didn't get his tires rotated and aligned (even though Tesla deemed they didn't need to be).

inconel | 09. Juli 2019

Talked to my SC and was told they would honor my remaining 3rd and 4th prepaid annual maintenance and they would do all the items listed in the original contract.
Question: where can I get the original list of items?

quinney | 09. Juli 2019

@murphyS90D: mine says neither Tesla nor I may terminate it.

SamO | 09. Juli 2019

Omfg another thread. From the same person. On the same subject. Just what we needed.

NKYTA | 09. Juli 2019

Tesla cars are thinking person cars.

p.c.mcavoy | 11. Juli 2019

inconel | July 9, 2019
Talked to my SC and was told they would honor my remaining 3rd and 4th prepaid annual maintenance and they would do all the items listed in the original contract.
Question: where can I get the original list of items?
---------------
@inconel - If your agreement reads like mine, the only definition of what's included in each service is as shown below. Note the key phrase "subject to change by Tesla at any time and without notice, in its sole discretion".

----
"The regularly scheduled maintenance inspections shall include the following (subject to change by Tesla at any time and without notice, in its sole discretion):
• Vehicle inspection;
• Replacement or repair at the time of inspection of normal maintenance items, excluding the 12V battery, brake pads,
and tires;
• Wheel alignment check; and
• Tire rotation."

----

This unfortunately says I'm not expecting a ton out of my upcoming 4th and last maintenance event under the plan, other that the filter, AC desiccant filter changes, and check of the brake fluid (with replacement if indicated). It suggests to me that I have zero chance that they will actually replace the battery coolant, which was defined as required at 4 yr/50k miles when I first bought the plan.

As for those that tell me I should just get a refund, as I've stated several times on this forum on this top, the terms in the agreement says that they refund is prorated by time or miles, not by number of service events. Given I'm at ~48,500 miles, that says by miles I'd get 1.5/50, or 3% of my purchase price back in exchange for not having 25% of the purchased service events performed. While I'm a bit frustrated that I'm getting much less value out of the plan than implied at the time of purchase, I've not seen evidence yet that I'm better off to cancel, get what would be about $63 refunded, versus going ahead and having them do the work I anticipate they likely will perform.

cleanhp | 16. Juli 2019

I just had my year 2 service completed at Fremont, CA and they followed a very extensive checklist (they showed it to me). As for finding out what they used to cover, head on out to the Internet Wayback Machine, which keeps archives of websites. I was able to locate the original maintenance plan site page and print it out. https://archive.org/web/