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Vendor Tesla Model S Battery Extended Service Plans from 057 Technology

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Relevant portions of Terms:

HV Battery Service Plan Terms and Conditions

Last updated: February 11, 2022

[...]

Cancellation requests must be made via email to [email protected] and include your VIN and Invoice number. Cancellations may require that You electronically sign a cancellation form. Cancellation requests received by any other method may not be processed.

[...]

All refunds are based on the actual amount paid, including any applicable discounts.

The normal value of any work performed under this service plan will be deducted from any refund, and this deduction may reduce the amount of a refund to zero.

All refunds will be processed within 30 days of the request, or within 30 days of the receipt of the returned Battery Monitoring Device, whichever is later.

Refunds can be in the form of a refund to your original credit card, a business check, wire transfer, or cash (US Dollars) at 057 Technology’s discretion.

[...]

We usually don't have any issues handling other informal cancellation requests (like via a phone call), but running this program has really drained a lot of goodwill from my veins. The number of people trying to outright scam us, and coming up with new ways to try and do so, is astounding to me. Fortunately we've managed to win a few times vs those folks.

Here's some fun/annoying tales from the service plan department:

"I returned the BMD 3 months ago, where's my refund?" "Did you request a refund?" "Yeah, I returned the BMD." "Did you request a refund?" (Profanity) 🤦‍♂️ (Turned out staff couldn't figure out why the BMD was returned or even who it came from initially, but assumed there was some issue with it, and put a replacement in the queue to be sent.)

"I need a refund." "For what?" "My warranty." "You have a battery extended service plan with us?" "Yeah, I paid for a warranty and I want a refund." (Can't find anything) "Not seeing that here. Where did you purchase the plan?" "In the app." "App? We're not Tesla, but here's the email and phone number for their extended warranty department." "No, we need a refund for the warranty now." "Do you have an invoice number?" "No." (convo continues) "Sir, we've never sold anything to you or taken any kind of payment for anything from you ever, so we can't refund you anything." (Profanity) 🤦‍♂️

"I need a refund for the service plan." "Sure, what's your invoice #?" (finds it) "Sir, it shows here we already did a battery replacement for you a few months ago... we even did it despite it likely being an issue that pre-dated your service plan purchase as a goodwill exception to help you out." "Yeah, but I only had the plan for a few months, so I just want to refund the rest of it." "Well, you can cancel if you like, but there would be no refund since any service performed would be deducted from the refund, and a battery replacement service is far more than the pro-rated refund." "Yeah, but it says that replacement was a goodwill exception, so that wouldn't apply." "That's not how it works, sir." "Well, just send me the refund or I'm going to call my card company." "You won't be able to get a refund that way either, since we'll just provide the paperwork to the card company in response." (Profanity) 🤦‍♂️

"Hi, I haven't received the BMD yet, but I'm having a battery problem. What can I do?" "No problem. We're still servicing cars for customers who haven't gotten the BMD yet as long as the car logs show no preexisting issues prior to signing up or any violation of the terms since then." "Ok thanks!" (Customer ships car to us without notice 2 weeks) "Sir, your car arrived without a battery pack." "Yeah, we took it out before we shipped it for a replacement since it was bad." "That's not how this works." "Well, you were going to replace it anyway." 🤦‍♂️ (Despite removing the battery clearly voiding the service plan entirely, we refunded the customer partially, deducting only ~$150 work performed handling their immobile vehicle. Customer submitted a chargeback for the full amount and lied over and over about the entire process. We eventually won, but was a huge hassle.)

Replaced battery for customer under service plan. 2 weeks later get a chargeback notification. Fight with processor and customer for 3 months before finally resolving the case (won). 🤦‍♂️

Customer ships car due to BMS errors a couple weeks after signing up (no BMD yet). Determined it was not a BMS/battery issue, and not covered under the service plan. Was the PTC heater, which we decided to just replace under the service plan as a courtesy, despite not being explicitly covered, since the car was here anyway and it'd save the customer on transport costs back. We arrange to ship car back and it gets picked up. Customer immediately requests a refund for the service plan while the car is still in transit, and doesn't want to accept a partial refund (pro-rated activated time, minus the cost of services performed already, plus returning the BMD). They submit a chargeback, for both the service plan AND both transport charges, which we weren't notified about yet. Fortunately our office checked on this a couple days later manually and found out. We simply tell our transporter we're filing a mechanic's lien and we'll need the car returned to us, which they arrange without issue. Customer is informed and is furious, once again cussing out our staff. We inform them we've filed a mechanic's lien on the vehicle and it won't be returned until the full cost of transport (now higher, since we had to intercept the delivery and bring it back) and parts/service are all paid in full via certified funds AND we're notified that the chargebacks have been cancelled/reversed (which we'll gladly reconcile and refund manually after receiving the certified funds). We eventually won the chargebacks, and we still have this car sitting at our shop pending about $900 in outstanding invoices, plus now about 5 months of storage charges at the legal max of $25/day... which we'd waive if they just paid the invoice and picked up the car. We're about a month away from filing an intent for foreclose. 🤦‍♂️


Suffice it to say, by trying to offer what I believe is a crucial service, we've attracted some of the most unscrupulous folks. I've fired more customers than I ever imagined I would... heh.

---

As a quick BMD update while I'm here: about 70% of people signed up have BMDs active. We're drifting a bit behind on shipping again, as we've had to drop our assembly contractor after they completely messed up an entire batch of units, proceeded to power them for testing, destroyed components while trying to test the mis-assembled units, somehow didn't find this odd, and proceeded to attempt to test (and thus destroy) the rest of the batch.

So, we're assembling the units in-house now, using an in-house PCB PnP machine and such, in a much slower process... then doing all testing and QA in house as well. We're at a few per week at the moment, but hoping to ramp that up a bit or find a worthwhile assembly/testing contractor who's not going to destroy ten of thousands of dollars in products. 🤦‍♂️🤦‍♂️🤦‍♂️

As mentioned previously, if you haven't received it yet, don't worry. We're getting there, and we'll still work with you on any battery failures in the meantime provided the vehicle logs don't show any violations of the Terms and no pre-signup issues that would have disqualified the battery. I'm well aware there are some day-1 signups that still haven't received them. We've been trying to prioritize them as best possible so that the folks who likely need them the most are getting them.
 
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Relevant portions of Terms:



We usually don't have any issues handling other informal cancellation requests (like via a phone call), but running this program has really drained a lot of goodwill from my veins. The number of people trying to outright scam us, and coming up with new ways to try and do so, is astounding to me. Fortunately we've managed to win a few times vs those folks.

Here's some fun/annoying tales from the service plan department:

"I returned the BMD 3 months ago, where's my refund?" "Did you request a refund?" "Yeah, I returned the BMD." "Did you request a refund?" (Profanity) 🤦‍♂️ (Turned out staff couldn't figure out why the BMD was returned or even who it came from initially, but assumed there was some issue with it, and put a replacement in the queue to be sent.)

"I need a refund." "For what?" "My warranty." "You have a battery extended service plan with us?" "Yeah, I paid for a warranty and I want a refund." (Can't find anything) "Not seeing that here. Where did you purchase the plan?" "In the app." "App? We're not Tesla, but here's the email and phone number for their extended warranty department." "No, we need a refund for the warranty now." "Do you have an invoice number?" "No." (convo continues) "Sir, we've never sold anything to you or taken any kind of payment for anything from you ever, so we can't refund you anything." (Profanity) 🤦‍♂️

"I need a refund for the service plan." "Sure, what's your invoice #?" (finds it) "Sir, it shows here we already did a battery replacement for you a few months ago... we even did it despite it likely being an issue that pre-dated your service plan purchase as a goodwill exception to help you out." "Yeah, but I only had the plan for a few months, so I just want to refund the rest of it." "Well, you can cancel if you like, but there would be no refund since any service performed would be deducted from the refund, and a battery replacement service is far more than the pro-rated refund." "Yeah, but it says that replacement was a goodwill exception, so that wouldn't apply." "That's not how it works, sir." "Well, just send me the refund or I'm going to call my card company." "You won't be able to get a refund that way either, since we'll just provide the paperwork to the card company in response." (Profanity) 🤦‍♂️

"Hi, I haven't received the BMD yet, but I'm having a battery problem. What can I do?" "No problem. We're still servicing cars for customers who haven't gotten the BMD yet as long as the car logs show no preexisting issues prior to signing up or any violation of the terms since then." "Ok thanks!" (Customer ships car to us without notice 2 weeks) "Sir, your car arrived without a battery pack." "Yeah, we took it out before we shipped it for a replacement since it was bad." "That's not how this works." "Well, you were going to replace it anyway." 🤦‍♂️ (Despite removing the battery clearly voiding the service plan entirely, we refunded the customer partially, deducting only ~$150 work performed handling their immobile vehicle. Customer submitted a chargeback for the full amount and lied over and over about the entire process. We eventually won, but was a huge hassle.)

Replaced battery for customer under service plan. 2 weeks later get a chargeback notification. Fight with processor and customer for 3 months before finally resolving the case (won). 🤦‍♂️

Customer ships car due to BMS errors a couple weeks after signing up (no BMD yet). Determined it was not a BMS/battery issue, and not covered under the service plan. Was the PTC heater, which we decided to just replace under the service plan as a courtesy, despite not being explicitly covered, since the car was here anyway and it'd save the customer on transport costs back. We arrange to ship car back and it gets picked up. Customer immediately requests a refund for the service plan while the car is still in transit, and doesn't want to accept a partial refund (pro-rated activated time, minus the cost of services performed already, plus returning the BMD). They submit a chargeback, for both the service plan AND both transport charges, which we weren't notified about yet. Fortunately our office checked on this a couple days later manually and found out. We simply tell our transporter we're filing a mechanic's lien and we'll need the car returned to us, which they arrange without issue. Customer is informed and is furious, once again cussing out our staff. We inform them we've filed a mechanic's lien on the vehicle and it won't be returned until the full cost of transport (now higher, since we had to intercept the delivery and bring it back) and parts/service are all paid in full via certified funds AND we're notified that the chargebacks have been cancelled/reversed (which we'll gladly reconcile and refund manually after receiving the certified funds). We eventually won the chargebacks, and we still have this car sitting at our shop pending about $900 in outstanding invoices, plus now about 5 months of storage charges at the legal max of $25/day... which we'd waive if they just paid the invoice and picked up the car. We're about a month away from filing an intent for foreclose. 🤦‍♂️


Suffice it to say, by trying to offer what I believe is a crucial service, we've attracted some of the most unscrupulous folks. I've fired more customers than I ever imagined I would... heh.

---

As a quick BMD update while I'm here: about 70% of people signed up have BMDs active. We're drifting a bit behind on shipping again, as we've had to drop our assembly contractor after they completely messed up an entire batch of units, proceeded to power them for testing, destroyed components while trying to test the mis-assembled units, somehow didn't find this odd, and proceeded to attempt to test (and thus destroy) the rest of the batch.

So, we're assembling the units in-house now, using an in-house PCB PnP machine and such, in a much slower process... then doing all testing and QA in house as well. We're at a few per week at the moment, but hoping to ramp that up a bit or find a worthwhile assembly/testing contractor who's not going to destroy ten of thousands of dollars in products. 🤦‍♂️🤦‍♂️🤦‍♂️

As mentioned previously, if you haven't received it yet, don't worry. We're getting there, and we'll still work with you on any battery failures in the meantime provided the vehicle logs don't show any violations of the Terms and no pre-signup issues that would have disqualified the battery. I'm well aware there are some day-1 signups that still haven't received them. We've been trying to prioritize them as best possible so that the folks who likely need them the most are getting them.
Shouldn't be a problem in my case though since I've never got the BMD and ain't currently trying to get a free battery from you though, right? ;)
 
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Shouldn't be a problem in my case though since I've never got the BMD and ain't currently trying to get a free battery from you though, right? ;)
I am in the same situation as raphy3. I understand you processed my refund request months ago but I still haven’t received my refund. I also know you are working on resolving this and you have been let down by your accounting service. a few weeks ago you said you were very close to a solution but it’s been crickets since. Can you please update those of us in this situation. I am happy to discuss this with you offline but you haven’t responded to my last offline request for status.
 
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Relevant portions of Terms:

We usually don't have any issues handling other informal cancellation requests (like via a phone call), but running this program has really drained a lot of goodwill from my veins. The number of people trying to outright scam us, and coming up with new ways to try and do so, is astounding to me. Fortunately we've managed to win a few times vs those folks.

Here's some fun/annoying tales from the service plan department:

"I returned the BMD 3 months ago, where's my refund?" "Did you request a refund?" "Yeah, I returned the BMD." "Did you request a refund?" (Profanity) 🤦‍♂️ (Turned out staff couldn't figure out why the BMD was returned or even who it came from initially, but assumed there was some issue with it, and put a replacement in the queue to be sent.)

Thanks for this follow up update. Very sorry that many folks have tried to scam you, but know that there are many of us that have your extended warranty that are still very thankful you offer such a service. And even go out of your way to help on other issues. Please keep up the good work and don't be deterred. I am sure Model 3 and Y owners will becoming to you shortly too. Hopefully you have a plan to expand your business, and hire some more folks....I raise my hand to become an apprentice any day...just let me know when to start and where to be...=D I think this business you are in is only going to explode in the coming years.
 
Thanks for this follow up update. Very sorry that many folks have tried to scam you, but know that there are many of us that have your extended warranty that are still very thankful you offer such a service. And even go out of your way to help on other issues. Please keep up the good work and don't be deterred. I am sure Model 3 and Y owners will becoming to you shortly too. Hopefully you have a plan to expand your business, and hire some more folks....I raise my hand to become an apprentice any day...just let me know when to start and where to be...=D I think this business you are in is only going to explode in the coming years.
I agree, this is definitely very much needed. If we don't have a robust recycling program that keeps older EVs on the road and repurposes their spent batteries, then there's almost no point to this whole EVs for the environment thing.

Unfortunately in my case I have to move to another continent (might be hard to actually make use of the warranty in that case...)
 
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We usually don't have any issues handling other informal cancellation requests (like via a phone call), but running this program has really drained a lot of goodwill from my veins. The number of people trying to outright scam us, and coming up with new ways to try and do so, is astounding to me. Fortunately we've managed to win a few times vs those folks.

Here's some fun/annoying tales from the service plan department: (snip)
Sometimes people suck.
 
Yikes, sorry to hear!

I'm glad most of the cases are won in your favor (which should be!) because I've heard horror stories that CC companies mostly side with the a-hole scammer.

Relevant portions of Terms:



We usually don't have any issues handling other informal cancellation requests (like via a phone call), but running this program has really drained a lot of goodwill from my veins. The number of people trying to outright scam us, and coming up with new ways to try and do so, is astounding to me. Fortunately we've managed to win a few times vs those folks.

Here's some fun/annoying tales from the service plan department:

"I returned the BMD 3 months ago, where's my refund?" "Did you request a refund?" "Yeah, I returned the BMD." "Did you request a refund?" (Profanity) 🤦‍♂️ (Turned out staff couldn't figure out why the BMD was returned or even who it came from initially, but assumed there was some issue with it, and put a replacement in the queue to be sent.)

"I need a refund." "For what?" "My warranty." "You have a battery extended service plan with us?" "Yeah, I paid for a warranty and I want a refund." (Can't find anything) "Not seeing that here. Where did you purchase the plan?" "In the app." "App? We're not Tesla, but here's the email and phone number for their extended warranty department." "No, we need a refund for the warranty now." "Do you have an invoice number?" "No." (convo continues) "Sir, we've never sold anything to you or taken any kind of payment for anything from you ever, so we can't refund you anything." (Profanity) 🤦‍♂️

"I need a refund for the service plan." "Sure, what's your invoice #?" (finds it) "Sir, it shows here we already did a battery replacement for you a few months ago... we even did it despite it likely being an issue that pre-dated your service plan purchase as a goodwill exception to help you out." "Yeah, but I only had the plan for a few months, so I just want to refund the rest of it." "Well, you can cancel if you like, but there would be no refund since any service performed would be deducted from the refund, and a battery replacement service is far more than the pro-rated refund." "Yeah, but it says that replacement was a goodwill exception, so that wouldn't apply." "That's not how it works, sir." "Well, just send me the refund or I'm going to call my card company." "You won't be able to get a refund that way either, since we'll just provide the paperwork to the card company in response." (Profanity) 🤦‍♂️

"Hi, I haven't received the BMD yet, but I'm having a battery problem. What can I do?" "No problem. We're still servicing cars for customers who haven't gotten the BMD yet as long as the car logs show no preexisting issues prior to signing up or any violation of the terms since then." "Ok thanks!" (Customer ships car to us without notice 2 weeks) "Sir, your car arrived without a battery pack." "Yeah, we took it out before we shipped it for a replacement since it was bad." "That's not how this works." "Well, you were going to replace it anyway." 🤦‍♂️ (Despite removing the battery clearly voiding the service plan entirely, we refunded the customer partially, deducting only ~$150 work performed handling their immobile vehicle. Customer submitted a chargeback for the full amount and lied over and over about the entire process. We eventually won, but was a huge hassle.)

Replaced battery for customer under service plan. 2 weeks later get a chargeback notification. Fight with processor and customer for 3 months before finally resolving the case (won). 🤦‍♂️

Customer ships car due to BMS errors a couple weeks after signing up (no BMD yet). Determined it was not a BMS/battery issue, and not covered under the service plan. Was the PTC heater, which we decided to just replace under the service plan as a courtesy, despite not being explicitly covered, since the car was here anyway and it'd save the customer on transport costs back. We arrange to ship car back and it gets picked up. Customer immediately requests a refund for the service plan while the car is still in transit, and doesn't want to accept a partial refund (pro-rated activated time, minus the cost of services performed already, plus returning the BMD). They submit a chargeback, for both the service plan AND both transport charges, which we weren't notified about yet. Fortunately our office checked on this a couple days later manually and found out. We simply tell our transporter we're filing a mechanic's lien and we'll need the car returned to us, which they arrange without issue. Customer is informed and is furious, once again cussing out our staff. We inform them we've filed a mechanic's lien on the vehicle and it won't be returned until the full cost of transport (now higher, since we had to intercept the delivery and bring it back) and parts/service are all paid in full via certified funds AND we're notified that the chargebacks have been cancelled/reversed (which we'll gladly reconcile and refund manually after receiving the certified funds). We eventually won the chargebacks, and we still have this car sitting at our shop pending about $900 in outstanding invoices, plus now about 5 months of storage charges at the legal max of $25/day... which we'd waive if they just paid the invoice and picked up the car. We're about a month away from filing an intent for foreclose. 🤦‍♂️


Suffice it to say, by trying to offer what I believe is a crucial service, we've attracted some of the most unscrupulous folks. I've fired more customers than I ever imagined I would... heh.

---

As a quick BMD update while I'm here: about 70% of people signed up have BMDs active. We're drifting a bit behind on shipping again, as we've had to drop our assembly contractor after they completely messed up an entire batch of units, proceeded to power them for testing, destroyed components while trying to test the mis-assembled units, somehow didn't find this odd, and proceeded to attempt to test (and thus destroy) the rest of the batch.

So, we're assembling the units in-house now, using an in-house PCB PnP machine and such, in a much slower process... then doing all testing and QA in house as well. We're at a few per week at the moment, but hoping to ramp that up a bit or find a worthwhile assembly/testing contractor who's not going to destroy ten of thousands of dollars in products. 🤦‍♂️🤦‍♂️🤦‍♂️

As mentioned previously, if you haven't received it yet, don't worry. We're getting there, and we'll still work with you on any battery failures in the meantime provided the vehicle logs don't show any violations of the Terms and no pre-signup issues that would have disqualified the battery. I'm well aware there are some day-1 signups that still haven't received them. We've been trying to prioritize them as best possible so that the folks who likely need them the most are getting them.
 
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Yikes, sorry to hear!

I'm glad most of the cases are won in your favor (which should be!) because I've heard horror stories that CC companies mostly side with the a-hole scammer.
Actually I'm hearing that some credit card companies are using big data to drop customers who have an unusually frequency of disputing charges...it's not good business for anyone. I'm sure wk057 hates dealing with this admin stuff and would rather do his actual craft and work on Teslas. After reading about his experiences I appreciate that he's still in business to serve Tesla owners because I don't think I could put up with it.
 
Hopefully not insinuating that everyone who wants a refund for services not delivered is a scammer.
Of course not. I always give everyone the benefit of the doubt and start from an initial assumption that everyone is acting in good faith. Statistically, though... the majority of people on the cancelation/refund side of things (not just on the service plan, but in general) have been people trying to scam or otherwise game the system to our detriment, sadly. The issues like the ones described above have therefore caused a great deal of contention between us and our payment processor, despite not yet losing a single case.
 
Of course not. I always give everyone the benefit of the doubt and start from an initial assumption that everyone is acting in good faith. Statistically, though... the majority of people on the cancelation/refund side of things (not just on the service plan, but in general) have been people trying to scam or otherwise game the system to our detriment, sadly. The issues like the ones described above have therefore caused a great deal of contention between us and our payment processor, despite not yet losing a single case.
So, can we get a status update?
 
Yeah, he don't have a clone...so post accordingly.
Hey Steve, did ya bring me any pizza Steve? 😅
So, can we get a status update?
Ruby is asking for status on her refund because she's hasn't been able to get useful information up to now.

We've gotten this refund situation straightened out moving forward as of about a month ago, but we currently have exactly three customers hung up in an accounting limbo issue with our payment processor on handling their refunds. This is not my wheelhouse, so I can only really go by what I'm told on this.

TL;DR - We're waiting on our payment processor to straighten out an issue with refunds on three customers.

Because refunds can be requested many months after an initial purchase, the mechanism to process it can vary, and the issue we ran into actually appears to be specific to only a couple of different credit card issuers. Long story short, my understanding is that there's some process that has to happen on that side of things so that our payment processor doesn't have to charge us $100+ a pop to issue a refund (since processing fees happen for both a charge and a refund otherwise... we don't want to have to charge anything for a refund, so can eat a few bucks to do so, but not a huge fee), but also make it such that once a refund is issued a customer can't initiate a chargeback or otherwise try to scam us. Usually refunds after 90 days end up issued as a check directly from the payment processor to the billing address of the credit card used. But before they issue the refund, they get the original payment on the credit card side flagged as "refunded" with the card issuer, and provides them with the refund details. Once that's confirmed, a check is mailed.

From what I gathered, there was a weird issue where if the card issuer wouldn't confirm the refund flag, the check would be issued, but not necessarily mailed. So on the processor's end when we inquire, it shows as "Processed", which is the final step. But, in reality, they hadn't actually mailed anything, and no one on the front end had any clue what was going on. Combined with some unrelated changes they made to our chargeback reserves around the same time (see stories above) led to a bit of a nightmare.

Anyway, with the three folks we're still working an issue out with, the processor is supposedly still working out the details on the card issuer side to ensure everything is marked as it should be. They can't cancel a check that the processor has marked as refunded. So I'm in a holding pattern with the payment processor dealing with these other card issuers on the backend to get the ducks in a row. The payment processor has 057's funds for those refunds, so we're kind of stuck. Either the payment processor is going to release checks, or they're going to cancel that and get our funds returned... in which case the moment that happens I'm overnighting a checks to the customers. The only reason I can't do that right this second is because there's still the possibility of one of these customers getting either a refund directly to their card or a check from the payment processor, and me sending a check won't prevent that. Since that's still a possibility, I can't risk double-refunding anyone. If it was $100 or something, alright, I'd just eat that for the sake of PR. But that's not really practical in this case. If there was something else I could do for these folks, I'd be doing it. Unfortunately it's a waiting game with the processor that I have no real control over despite bugging them on a regular basis about this.

Super sorry to these three folks, also, and greatly appreciate their patience with us on it.
 
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