Saturday, June 10, 2023

Malaysians unhappy with Samsung’s Note7 refund/exchange program

Samsung Electronics announced a global recall of the Galaxy Note7 following on-going reports of fire and explosion caused by the smartphone’s battery. After a failed attempt to fix the battery problem, Samsung is now asking users to power down their Note7 immediately and stop using it.

In Malaysia, the recall program was announced on 12 October where Malaysian are given the option to exchange their Note7 for a Galaxy S7 edge or get a full refund for the price they paid for the Note7.


Unfortunately, a Malay Mail survey revealed that a number of the 8,000 Note7 users in the country were unhappy with the compensation scheme announced by Samsung Malaysia Electronics.

Malaysian Note7 users who choose to exchange their smartphone to a Galaxy S7 edge will receive a cashback of RM300 via bank transfer. Samsung Malaysia said the cashback process must be accompanied with a copy of IC and copy of bank statement.

Garrick Lau, an executive and first-time Samsung user, told Malay Mail that he was forced to take a Samsung S7 Edge as a replacement “when users deserve better compensation”.

“I am disappointed with the available choices in the refund plan. I chose to buy the Note 7 because of the specifications but I am forced to change to a S7 Edge instead,” he said.

“I wish there was higher compensation like those given in the United States and South Korea. It seems the refund plan is just a cut-cost measure.”

In the United States, Samsung Galaxy Note7 users who choose to replace their smartphone to a different Samsung smartphone will receive “up to a $100 bill credit” for their mobile usage, that’s about RM420 credit based on the currency exchange right now (1 USD = 4.20033 MYR). This $100 credit is in addition to a refund for the price difference between the Note 7 and other Samsung phones, as well as any respective original Samsung accessories at the time of purchase.

For the second option, Malaysian Galaxy Note7 users can get a full refund of the smartphone, to be exact, RM2,879.10, which will be transferred to their bank account. “The refund process must be accompanied with a copy of IC and copy of bank statement of the customer’s,” according to Samsung Malaysia. Customers can also return their original Samsung accessories of the Note7 at place of purchase with proof of purchase.

Special education teacher, Natalie Hew Weng Xin, who had spent more than RM600 on mobile accessories, told Malay Mail that she was unhappy the refund scheme only covered Samsung accessories.

“I have no problem returning the phone if I can get proper compensation. I am just upset they did not include accessories compensation. I have spent more than RM600 on accessories, which include a shock-proof phone case costing RM250,” she said.

In comparison to Note7 users in the United States who choose to receive a refund, they will receive “up to $25 bill credit from select carrier or retail outlets as a token of our appreciation and acknowledgement of your inconvenience, less any incentive credits already received,” said Samsung Electronics America, Inc.

No compensation are given to Malaysian Note7 users who wants the full refund, including those who have to visit the Samsung Store for the 3rd time to resolve the issue.

The Note7 was first made available to pre-order customers in mid-August 2016. Samsung announced a global recall program where Malaysians were able to replace their Note7 with a “safe unit” in late September 2016. These customers will now have to visit the Samsung Store again for the third time, to refund/exchange the Note 7.

It is unclear if Samsung Malaysia would help Note7 users back up/migrate their personal data to a new phone during the refund/exchange process.

The Note7 is now completely banned by several airlines globally following reports of the devices catching fire, even though production for the device has formally ended. Some of the airlines include AirAsia, Singapore Airlines, Qantas, Emirates, Virgin Atlantic, Malaysia Airlines, All Nippon Airways and Air New Zealand.

The announcements come after the U.S. Department of Transportation and Federal Aviation Administration released an emergency order last week preventing Note 7 owners from bringing their phones on planes or in luggage. U.S. officials have said passengers who flout those rules could face fines or criminal prosecution.

[Source]– Malay Mail

Kugan is the co-founder of MalaysianWireless. He has been observing the mobile industry since 2003. Connect with him on Twitter: @scamboy

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