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  1. #1
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    Mar 2009
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    Hostgator - potentially holding server hostage? [Urgent]

    Hey guys,

    First, let me preface by saying I have been a loyal Hostgator customer since 2008 (almost 6 years now). I have always preferred paying in advance, to take advantage of the discounts they offer and not have to worry about monthly invoices. I have gone as far as paying three years ahead of time.

    Recently however, I have been shocked by the shift in Hostgator and the decline in customer service. Recently, I upgraded to a dedicated server from them paying 174 dollars a month. I however, wanted to just go ahead and prepay the entire year to get a discounted rate as 174 dollars a month is quite a large amount of money and I could save quite a bit by prepaying. I obviously needed to collect the funds required for this since it would be ~$2100. I thought this would be OK since in November, I had been told via live chat that they could do this.


    I created a ticket on November 21th, I finally got a conclusive reply this afternoon, December 2th on this issue. That is nearly a 3 week wait. I however, didn't think much of it because its the Holiday season so I understand. I saw that Hostgator had a special today (lightening deal) where it was 44 dollars a month if you prepaid a year. I thought that was a great deal so I decided to purchase it. However, before buying it I gave hostgator a call to see if they could just shift my billing cycle from 174 a month, to 44 a month if I prepaid the entire year. Knowing the deal would end, I went ahead and bought one of the dedicated servers at this price ($522), thinking they could just change the billing cycle afterwards. (Hostgator has always been helpful and flexible). OR I could just cancel the old server, move to the new one.


    After waiting on the phone for 35~50 minutes, I finally got a very rude and disinterested operator. He knew he wouldn't be getting a good review so he didn't even ask me to stay on the line to do the survey like they ALWAYS do. Either way, he told me that they could order the new server, but I would have to create the it under a new domain because the provisioning team would canceled it after they saw it was registered under the same domain. So I went ahead and spent another $522 dollars.


    Several hours after this, I finally receive a reply from Hostgator:

    "I do apologize however our current sale is only available for new hosting packages and can not be applied to any existing package. Please note that if you order a new server with the purpose of moving everything to it, we will require you to pay the full price for the server as this would be a violation of our Terms of Service and an issue of Coupon Abuse."

    Based on what I am understanding from this, if I do anything they interpret as me moving to the new server, I will be required to pay the full years price at 174 a month (174 x 12 = 2088) and potentially have my dedicated server suspended till then.

    I am posting this rather long reply on webhostingtalk because I know that several hosting providers circulate these forums and would like your opinions. Is this the sort of behavior that is acceptable nowadays from hosting providers? Am I in the wrong? I like to believe I am a reasonable person, if I am in the wrong I would like to be told so. Thank you for your time and I apologize for the long read. I am just worried because in this modern age, 1 day of downtime to your business is like a century.


    TLDR: Hostgator taking almost 3 weeks to reply to a ticket, telling me I can purchase a server at a discounted rate, then holding it potentially "hostage" if I don't pay full year at a higher price.

  2. #2
    Sorry to hear about your issue. HG "WAS" a very good company and I always recommend them "BEFORE" because of there great customer support. However, i've been seeing bad reviews from them since EIG took them. Did you try to contact hem on phone again? Maybe you can get a hold of a better agent.

  3. #3
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    Quote Originally Posted by donmhico View Post
    Sorry to hear about your issue. HG "WAS" a very good company and I always recommend them "BEFORE" because of there great customer support. However, i've been seeing bad reviews from them since EIG took them. Did you try to contact hem on phone again? Maybe you can get a hold of a better agent.
    Hi donmhico,

    Its difficult to get a hold of them over the phone unless you plan to spend a large amount of time (30+ minutes). I will have to try that again. I was just shocked about them basically forcing me to pay for one of my servers. I have never heard of a hosting company doing such a thing, have you? I have always had the privilege of canceling/ordering as many servers as I wanted as long as I paid.

  4. #4
    Join Date
    Dec 2007
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    LocalHost
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    Ohhh.. its really feels very bad, especially when you have been with them for 6 years.
    I think HG is very busy these days in moving their servers to EIG facility.
    May be they now have new policy, which stops them from offering you discounts.

    But how they have made you hostage??? You are free to move to a different provider.
    Last edited by YagHost-Ravi; 12-03-2013 at 12:34 AM.
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  5. #5
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    Quote Originally Posted by ravi_9793 View Post
    How they have made you hostage, why not move to a different provider??
    I Stated how they could potentially hold the server hostage in my original post. I bought 2 servers, they are basically saying if I do anything they perceive as me migrating to the second server (i.e. cpanel backup, then canceling first servers) they can force mt to pay more for second server. In effect, I do not control whether I can cancel a server or not.

  6. #6
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    Quote Originally Posted by rosefox911 View Post
    I Stated how they could potentially hold the server hostage in my original post. I bought 2 servers, they are basically saying if I do anything they perceive as me migrating to the second server (i.e. cpanel backup, then canceling first servers) they can force mt to pay more for second server. In effect, I do not control whether I can cancel a server or not.
    Why not move to a different provider instead of purchasing second server from HG. Transfer to new host should take 1-2 days.
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  7. #7
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    Quote Originally Posted by ravi_9793 View Post
    Why not move to a different provider instead of purchasing second server from HG. Transfer to new host should take 1-2 days.
    Because I have paid 174 dollars for this month, and I have paid 550 (twice, so 1100) dollars for 1 year hosting.

  8. #8
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    Quote Originally Posted by rosefox911 View Post
    Because I have paid 174 dollars for this month, and I have paid 550 (twice, so 1100) dollars for 1 year hosting.
    Can you cancel your server and ask for refund for un-used months.
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  9. #9
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    Mar 2009
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    Quote Originally Posted by ravi_9793 View Post
    Can you cancel your server and ask for refund for un-used months.
    I have filed a ticket asking this question, lets see when they respond. I have a relatively large site that serves several functions (thus the need for a dedicated server). I shouldn't be forced to migrate because of Hostgator. I wanted to see if anyone else had this sort of experience with them and could offer any advice. I would obviously, prefer not to have to move since it will be a hassle.


    I guess I was also hoping that a Hostgator supervisor would see this topic and take a look at the issue. However, I don't know if an y of them circulate this site. Whenever I think about it, I am shocked. I would never think such a large hosting company would do this, specially with the great support they use to have.

  10. #10
    Join Date
    Feb 2005
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    Quote Originally Posted by rosefox911 View Post
    I saw that Hostgator had a special today (lightening deal) where it was 44 dollars a month if you prepaid a year. I thought that was a great deal so I decided to purchase it.
    Did you read the conditions of this offer? And if so, was it clearly stated that the offer was for new customers only?

    That's what it comes down to - everything else is irrelevant. If you knowingly signed up for a second account to take advantage of a cheap offer for new customers only then yes, of course you're in the wrong. If the offer wasn't clearly for new customers then perhaps you have a case to demand they honour it (might be tough to achieve though).
    Chris

    "Some problems are so complex that you have to be highly intelligent and well informed just to be undecided about them." - Laurence J. Peter

  11. #11
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    Mar 2009
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    Quote Originally Posted by foobic View Post
    Did you read the conditions of this offer? And if so, was it clearly stated that the offer was for new customers only?

    That's what it comes down to - everything else is irrelevant. If you knowingly signed up for a second account to take advantage of a cheap offer for new customers only then yes, of course you're in the wrong. If the offer wasn't clearly for new customers then perhaps you have a case to demand they honour it (might be tough to achieve though).
    Hi foobic,

    Its a good thing to clear up. Not only was the offer NOT for new customers but it allowed me (and encouraged me) to login to my existing account. It was not for new customers only.

  12. #12
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    You didn't keep any evidence of that by any chance? Screen caps would be really useful...
    Chris

    "Some problems are so complex that you have to be highly intelligent and well informed just to be undecided about them." - Laurence J. Peter

  13. #13
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    Quote Originally Posted by foobic View Post
    You didn't keep any evidence of that by any chance? Screen caps would be really useful...
    Hi foobic,

    No I didn't. It was a lightening sale (over in 1 hour) and I would have never thought Hostgator would do this...

  14. #14
    Join Date
    Mar 2009
    Posts
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    For anyone wondering,

    This is the lightening sale hostgator was offering: http://bloghostinginc.com/hostgator/

    It was 75% off all hosting plans (this included Dedicated Servers). As a matter of fact, they are actually having it right now. As you can see from these screenshots:

    http://imgur.com/LhRq2X9,ZQIT8xI,y0ZwBkb,gqu63Ic

    The sale says nothing about creating a new server, in fact it allows you to sign in wit your existing account (see last image) if it recognizes your email. If Hostgator didn't want existing customers to take advantage of this and create a new server, why would they allow you to do so?

  15. #15
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    Mar 2009
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    Does anyone else have any feedback?

  16. #16
    better we have to make this thread sticky to tell unawared new users about this..???

    because they're cheating, aleast we can save new users..?
    Simple and awesome
    Google

  17. #17
    I think you're missing it, but the 75% is just for the first month.

  18. #18
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    Quote Originally Posted by 1Gbps View Post
    I think you're missing it, but the 75% is just for the first month.
    http://i.imgur.com/y0ZwBkb.png

    Look at this screenshot, it clearly shows its for all 12 months.

  19. #19
    It sounds like the offer is available to existing clients, to purchase NEW services. Not to be applied toward existing services. If you alredy have a dedicated server plan in place (monthly) you would not be able to apply a promotion to an existing service. They are stating that yes, you can add on new services, but not with the intentions on cancelling existing services. You would need to keep both services in place.

    This sounds reasonable. If everytime the host posted a promotion, and all existing clients placed new orders at the discount rated, only turn around an cancel the old service, then this would turn into quite an issue.

    Hosts generally offer promotions as a way to earn new clients. Existing client sometimes feel it is not fair that new clients can receive discounts (even though they most likely received a discount when they originally signed up). So, to make it fair, existing clients are allowed to receive the same offer, to purcahse NEW services. Not to replace existing.
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  20. #20
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    Quote Originally Posted by certifiedhosting View Post
    It sounds like the offer is available to existing clients, to purchase NEW services. Not to be applied toward existing services. If you alredy have a dedicated server plan in place (monthly) you would not be able to apply a promotion to an existing service. They are stating that yes, you can add on new services, but not with the intentions on cancelling existing services. You would need to keep both services in place.

    This sounds reasonable. If everytime the host posted a promotion, and all existing clients placed new orders at the discount rated, only turn around an cancel the old service, then this would turn into quite an issue.

    Hosts generally offer promotions as a way to earn new clients. Existing client sometimes feel it is not fair that new clients can receive discounts (even though they most likely received a discount when they originally signed up). So, to make it fair, existing clients are allowed to receive the same offer, to purcahse NEW services. Not to replace existing.
    Sounds like what OVH was getting at!

    Zane (:

  21. #21
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    What else can you expect from an EIG company?

  22. #22
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    Quote Originally Posted by certifiedhosting View Post
    It sounds like the offer is available to existing clients, to purchase NEW services. Not to be applied toward existing services. If you alredy have a dedicated server plan in place (monthly) you would not be able to apply a promotion to an existing service. They are stating that yes, you can add on new services, but not with the intentions on cancelling existing services. You would need to keep both services in place.

    This sounds reasonable. If everytime the host posted a promotion, and all existing clients placed new orders at the discount rated, only turn around an cancel the old service, then this would turn into quite an issue.

    Hosts generally offer promotions as a way to earn new clients. Existing client sometimes feel it is not fair that new clients can receive discounts (even though they most likely received a discount when they originally signed up). So, to make it fair, existing clients are allowed to receive the same offer, to purcahse NEW services. Not to replace existing.
    While this is reasonable, by allowing existing customers to purchase this service they are in effect locking them in to pay for both services. What if I wanted to cancel the old server for a different reason (i.e. I no longer want it, better deal elsewhere, etc)? I couldn't cancel it, without risking a suspension, because it could be interpreted as abuse. I should be able to cancel a service whenever I want, specially if I do not have a contract and am paying month by month. This is the underlying issue I have with them, specially if they told me I could do it before, but when I bought it I couldn't.

  23. #23
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    Wouldn't you be able to move the first server away to a new host for lets say a month and move back to server two as technically you didn't change servers you moved and came back.
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  24. #24
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    Quote Originally Posted by JackJameson View Post
    Wouldn't you be able to move the first server away to a new host for lets say a month and move back to server two as technically you didn't change servers you moved and came back.
    Hi JackJameson,

    I could potentially do that. However, this is an extreme hassle. Specially for a large site that serves several purposes like mine (i.e. wordpress network, download server, etc). However, I think this is probably the best option...


    I now have the "new" server provisioned, they charged me for a full year. The question remains how long do I have to continue to pay for the second one seeing as I have unknowingly been locked into a quasi-contract.

  25. #25
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    Quote Originally Posted by rosefox911 View Post
    Hi JackJameson,

    I could potentially do that. However, this is an extreme hassle. Specially for a large site that serves several purposes like mine (i.e. wordpress network, download server, etc). However, I think this is probably the best option...


    I now have the "new" server provisioned, they charged me for a full year. The question remains how long do I have to continue to pay for the second one seeing as I have unknowingly been locked into a quasi-contract.
    See the thing is if you can even find a host for like a week or two then that would even count but as someone allowed you to do it they should be fine and honor it (well I would and put a good will gesture in your account for this hassle) but I would look through their terms to see if it covers this maybe
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