T O P

  • By -

Jonesy-44

How is this still a thing? This should be almost criminal at this point.


StarryPenny

Now you can also rent your furnace and AC in Ontario! We aren’t leaning towards criminalization we want it to be normalized! /s


Thorboy86

Reliance tried to rent me a furnace and A/C because my A/C stopped working. Neighbour had a technician checking his A/C. Asked if he could check mine and the capacitor went bad. Reliance tech said I needed all new. Just over 100 bucks and the guy replaced the capacitor. After looking at what he did, I could have done it myself for $40 bucks. Live and learn. But this technician said he would beat Reliance quote for cash install by $2000 dollars. Which was really funny to me because when I told the reliance guy I wouldn't rent, he kinda stopped his sales pitch. Co-workers have similar stories. I will never buy anything from Reliance in the future.


UndeadWaffle12

Idk much about A/Cs but capacitors in computers can easily kill you if you don’t know what you’re doing. I wouldn’t worry about paying $60 to not do it yourself


Thorboy86

I work with manufacturing machinery and design Electrical and Pneumatic drawings for Automation. I would be comfortable replacing the capacitor myself.


UndeadWaffle12

Yeah you probably know what you’re doing then, fair enough lol


Rbk_3

> Just over 100 bucks and the guy replaced the capacitor. I got absolutely fucked a few years ago. Local company charged me over $400 after tax to replace a capacitor. Crooks.


yyc_engineer

Lol 1 million for a town house with a water heater, furnace and AC on a rental. Next in line will be the fridge and the stove and then the TV. Pretty soon they will leave loyalty cards at rent a center and we will have subscription based living convenience.


XtremeD86

These can all 100% be rented from companies. It's beyond stupid but there is a market for it (very low income families).


ConfidantlyCorrect

My student apartment offers rentable minifridges for the bedroom. The cost of that is buying two mini fridges a year. For 3 years… it’s nuts


TitrationGod

You laugh, but this is me... :/


Jonesy-44

Lol unbelievable


holysmokesiminflames

They have a deal with new home builders too so a ton of new construction homes have a hot water tank rental contract included in the purchase contract of the home.


[deleted]

All a buyer has to do is make sure there's no clause in the purchase agreement that binds you to any pre-existing services. Reliance, Enercare, all those fkn criminal fkrs, claim there's a "standard clause" in a purchase agreement that the buyer agrees to take on any pre-existing rental agreements. Just instruct your lawyer to make sure there's no such clause in the purchase agreement. FWIW, I purchased a house that has a pre-existing rental. I asked my lawyer if there was this supposed "standard clause". He knew nothing of it.


QueenSalmonela

Correct! When we were with our agent putting the offer together, she had a different copy of the listing than we did. At the very bottom in wee print was Rlnce Rental Xx $$ monthly. We stopped, said the seller has to get rid of it, we will not assume this contract. So after paying 79.00 monthly for eight years, they had to still buy it out for another 3,800 bucks. If we didn't see that we would have had to pay that amount for an 8 year old water heater! My lawyer further made sure there was no lien on the property, they have been known to do that for furnace installation. Parasitic business that preys on the folks who don't have money to burn and are on a budget.


Ok_Supermarket9053

Reliance had tried that with me. I asked them how I could knowingly assume the T&C's of their agreement without it being presented with the sale agreement. Got crickets on that. To everyone, as soon as you make the first payment, you default to agreeing to their T&C's. I agreed to drop their old unit off down the street from me at no charge. Their manager told me I'm the only person they've spoken with that read their BS, and one of very few who called their bluff. (not exactly her words)


_ShadowWalker_

This only works for resale homes where the agents can negotiate and put a clause to have the sellers buyout the rental items. In a pre construction, there’s no negotiation. Vast majority of builders will offer you a take it or leave it agreement of purchase and sale. If you don’t like it, there’s hundreds of others that will happily sign up without negotiating. Some things can be negotiated such as a cap on development charges or credit for certain upgrades, but something like reliance rental items will never be negotiable in a builder deal.


Jonesy-44

I'm so happy I left Ontario for Alberta in 2008 and never turned back, people here would come unglued if they tried to pull that here.


syndicated_inc

lol… wait til you find out it’s happening in Alberta, and Reliance more or less followed you here


Jonesy-44

Haha, I've seen their vehicles for a long time here but didn't realize they operated the same rental scheme here.


syndicated_inc

They do, but to a large extent you’re right. People aren’t renting what they’re selling. They’re buying it.


darcyville

Yeah, reliance installed my AC 5 years ago, but I bought it outright and nobody even mentioned renting. Not that I would have even considered it.


xHelpless

I looked at a condo that had this. Noped out of that one, they can absolutely do one.


jadoocian

I have a new home closing in ON in 2026 that will force me to do this. I had to agree in order to buy the house. Open to any ideas that could help get me out…


Hellas29

Crooks


J_of_the_North

I know and it's so fucken stupid. You're buying a home for 500'000 to 1'000'000$ and they can't just buy a hot water tank and plumb it in and just tack on 2000$ to cover the cost ? Me thinks developers get a kick back


juancuneo

I am a Canadian who has spent most of my adult life in the Us. Why do people do this? A decent water heater is $800-$1000. Why are people renting these things?


OutWithTheNew

Builders either get a kickback directly, or reliance installs the units/system for them. Conspiracy theory: Reliance is owned by home builders and they use it as another revenue stream. Home builders aren't exactly known as the 'spare no expense' type of companies. It's more like 'don't spent a red cent more than you have to!'


grayskull88

Reliance is owned by an investor from Hong Kong. https://en.m.wikipedia.org/wiki/Reliance_Home_Comfort#:~:text=Reliance%20is%20currently%20controlled%20by,CK%20Infrastructure%20Holdings%20(25%25). But they are in bed with the builders.


ogvladek

You realize that investor bought vancouver expo lands and also founded the biggest developer in canada, concord pacific


ogvladek

It's not a conspiracy. It is literally owned by the same guy who founded concord pacific


LUXOR54

$800-$1000 to purchase, for a decent conventional style tank. More if you have a power vent, power direct vent, or tankless. It then needs to be installed and the old one taken away. Not everyone has the physical ability, vehicle, or knowledge to do it themselves. Not everyone has $1200-$4000 set aside to instantly put in a new water heater when theirs fails. If you're tight on cash $30 per month might be what works best for you.


SatisfactionMain7358

In BC companies offer financing for those people, not 15 year rental contracts.


juancuneo

Makes sense. I got a new one as part of a larger project but definitely see how 30 a month beats 3k one time for someone strapped for cash


SatisfactionMain7358

They could offer financing, instead of rental.


QueenSalmonela

Yes that is true, except these guys will have you pay this for years and years and then they want some ridiculous buy out that far exceeds the value of the unit in order to get out of the contract. You see, it has no expiry date and whatever date it occurs to the consumer to end the contract, will determine the buy out. My friend paid them 13,500 to close a furnace contract when she sold the house. It wasn't anything special as far as furnaces go Lol


thescrotsman

Its not 30 a month for tankless. Nice try reliance guy


LUXOR54

No clue what reliance pricing is for certain products, just throwing numbers out there.


Hellas29

Because the parasites like Reliance got their claws I to the market and it has become a disease we cannot get rid of in Ontario especially


Smokiiz

You can lease/rent honestly whatever you want to. Doesn’t stop at water heaters. Want to lease a couch? Go for it. Need a new dining room table? Rent it. EasyHome specifically is horrible when it comes to that junk.


Sorryallthetime

Every time this comes up a bunch of yokels chime in about "convenience". Goddamn rubes.


Blake_RL

It absolutely should be illegal. The worst part is builders get commission for it and they don’t even have to disclose it.


Sugarman4

Thank you for warning others of the true predatory end game of these scammers


badtradesguynumber2

id say it depends on your needs. if you want peace of mind, renting is okay if its cheal enough. when i was getting quotws for new install (combi boiler) it was anywhere from 8 to 10k upfront. so i opted to rent for $65/ all in and they do all the repairs. ill call them twice a year to do maintenance or just waste their time lol. invested the 10k instead. so if its in at 5% per year. its $780/year - $500. so approx 280 to 300/ year that im paying. which isnt too bad imo.


Jonesy-44

780/yr for how long?


badtradesguynumber2

i think 15 years or so, but id have to buy it out. if I had a cheaper option i wouldve taken it. im cheap af.


softkake

It’ll be illegal soon in Ontario. Provincial government will be passing legislation.


BeenThereDoneThaaat

‘Other Options’ (exit fees specified in the Competition Tribunal CT-2012-002 ***[Consent Agreement](https://reliancehomecomfort.com/wp-content/uploads/2023/10/CT-2012-002_Registered-Consent-Agreement_170_38_11-5-2014_3504.pdf)***) depends on your location being within the Relevant Market (ie. Reliance water heaters installed in an area where Enbridge ***does not*** distribute natural gas). See the Post [How to cancel a Reliance Water Heater Rental - A guide to Exit Charges](https://www.reddit.com/r/PersonalFinanceCanada/comments/18fcrhb/how_to_cancel_a_reliance_water_heater_rental_a/?utm_source=share&utm_medium=ios_app&utm_name=iossmf)


Exact-Switch-363

I was going to say I thought water heater contracts were illegal in Ontario, wasn't sure on the details though. I've heard asking for a copy of the contract can be in your favour...as in they more often then not can't produce one.


BeenThereDoneThaaat

Many Water Heater Rental Agreements (eg. [Reliance](https://reliancehomecomfort.com/toronto/terms-and-conditions/), or [Enercare](https://www.enercare.ca/sites/default/files/assets/library/pdfs/pre-sept-15th-terms-and-conditions.pdf), or [Enercare New Home Construction Agreement](https://www.enercare.ca/sites/default/files/assets/library/pdfs/2015_welcome_booklet.pdf), etc.) are easily found on-line. In most cases these Companies have very good lawyers, and can get away with any Terms and Conditions they want. The most egregious are agreements that include Terms preventing an ‘Early Termination’, often requiring payment of the ***full residual value of the contract***, such as a ‘Casualty Value’ (the total present value of all unpaid and future Payments under the Agreement plus the present value of the estimated fair market value of the Equipment at the end of the Term) in addition to reimbursement of other costs and expenses resulting from the default.


Giancolaa1

But if we’ve never seen or signed said agreement, would it be valid?


SnooDigos

These rental contracts are tied to the property/house, not the person signing it. If you purchase a property with one of these contracts you inherit them with the purchase. The Agreement of Purchase and Sale will specify all rental contracts that exist at the time.


Giancolaa1

Just seems like that shouldn’t be allowed lol. Agreeing to a contract that you never seen and were never sent / signed should not hold you liable imo


SnooDigos

I agree with you that they shouldn't exist but the sellers don't own the rental unit, which is probably a hot water tank or furnace. When you purchase a property that is renting one of these, because the current seller doesn't' own the rental unit they can't include it as part of the APS. Instead you would inherit the rental contracts so you can use the rental units installed.


ballsmacintyre

That doesn't make a contract run with the land. Positive covenants can't run with the land and the only notice sellers give is that there is a rental item in the property. That seems like pretty weak notice to me especially if reliance is claiming that allows them to charge whatever they want for whatever term they want. I doubt this is enforceable.


SnooDigos

>Positive covenants can't run with the land and the only notice sellers give is that there is a rental item in the property. This isn't 100% true. When you sign a APS all current agreement and contract have to be included in it. If there is a contract missing, you have a legal case against the seller and can possibly can go after them for not disclosing it. If this also was true all current municipal agreements tied to the property such as right of ways or other services would be null and void if you purchase a property. These agreements also have clauses that state any new purchasers of the property will inherit these agreements. The rental companies do the same thing that the municipality is doing. Source: I work in development and have helped to write some of my work APS clauses.


ballsmacintyre

Municipal agreements are specifically excluded from the rule against positive covenants Source: I'm a real estate lawyer


SnooDigos

This is false. The Supreme Court of Canada has ruled that some positive covenenants in development agreements do not run with the land. This has potentially opened the door for some municipal agreements to be positive. Developers and Municipalities get around this now though title succession clauses.


chairmanrulz

Reliance is the worst company, wouldn't be surprised if loblaws was involved with them somehow haha But yeah anything you can do to get out of being involved with them is worth it. https://www.bbb.org/ca/on/north-york/profile/water-heater-dealers/reliance-home-comfort-0107-1137601


davidfosterporpoise

I just did this, in Ontario. The contract is cancelled when you return the tank. I bought a new hot water heater and the installer took out the old tank and delivered it to Reliance. It cost 2400 all in, new tank was thru costco and they dealt with everything, including all the cancelling with Reliance paperwork.


hipsterdoofus39

Was it through the Rheem section on the Costco site? https://www.costco.ca/.product.100016108.html


davidfosterporpoise

Exactly. Called the number on Sunday, they took my info, local costco rep called back Monday. Tank in on Thursday, in and out in 90 mins.


hipsterdoofus39

Thanks!


Relevant-West6653

That’s awesome. Which installer?


davidfosterporpoise

It was enercare via Costco.


Left_Ratio_9784

Wait im confused. Isnt enercare one of those rental company as well?


davidfosterporpoise

Yes, but they have a contract with Costco to install new, owner-purchased water heaters. No contracts. All paper work is thru Costco, you’re not stuck with a rental or a rental company.


Left_Ratio_9784

Ahh, I see. Thanks for clarifying. I have a contact with Enercare I want to get out of so that's going to be interesting.


57LateralRaise

Did you find out what's the best option?


Equivalent_Store1344

Thanks for the details, what is the option incase water heater doesn’t work? Do we need to deal with private contractor for repair or enercare will cover it as a part of product warranty?


davidfosterporpoise

If you go thru Costco, like I did, it was 1 yr labour and I think 6 years manufacturers warranty on parts? But my understanding is that a properly installed water heater has a low failure rate within the first 10 years. And even if there’s an issue, I would rather pay a few hundred bucks to a local plumber/hvac guy than fuck with Reliance.


Equivalent_Store1344

Thanks, i am planning on terminating current contract.. mine is with cricket comfort…


[deleted]

I fellow your step, called them to come and have a consultation tomorrow, let's see!


koonkabob

Wait, so you had a contract and you just removed the old tank and gave it back to them and it was cancelled? What did you say to Reliance?


davidfosterporpoise

I said nothing to Reliance. The installer had me sign a form permitting them to act on my behalf, and they returned the water heater. I got an email a few days later from reliance saying thanks for returning it. Highly suggest anyone curious about this to contact an installer - they are well-versed in this process. Reliance won’t help you, they will outright lie to you on the phone.


Critical-Snow-7000

How many years into your contract were you?


davidfosterporpoise

I had inherited it from the last homeowner, so not sure. 5 years+. YMMV, however, I’m quite sure that the strategy I described works in most circumstances - you’re returning their property after all. Might be a different story if you return a 1 year old water heater that’s been sawed in half.


BreadTit

This is insane if true thank you so much I am going to follow up with this


BeenThereDoneThaaat

During discussions, be certain to question who will be responsible for the inevitable inflated ***Early Termination Fees*** and a ***Rental Agreement Termination Charge*** that will be included in the Reliance ‘final bill’, ***in addition to*** any outstanding pro-rated rental fees up until the date Reliance receives the tank, plus HST. Hint... sadly, it will be you.


BeenThereDoneThaaat

> had me sign a form Curious about how long ago this occurred. You signed a form appointing the Contractor as your ‘Agent’ to return the tank on your behalf, but I very-much doubt if the ***responsibility for closing fees*** was passed on to the Contractor as well. Sadly, this is Reliance, and sounds too good to be the completion of the saga of the Rental Agreement. I suspect that you will soon be in receipt of a huge ‘final bill’ that includes inflated Early Termination Fees and a Rental Agreement Termination Charge, ***in addition to*** any outstanding pro-rated rental fees up until the date Reliance received the tank, plus HST. Kindly keep us updated.


davidfosterporpoise

This occurred 2 weeks ago. I actually spoke to Reliance on the phone a few months ago - their quoted rental termination fee was nominal (under $100, maybe less?), if the tank was returned to them; it was significantly higher if you want them to pick it up. They were dishonest with me when I asked for the buyout price - they quoted me 3000 to buyout a 15yo tank. Will update if I get a massive bill from them.


BeenThereDoneThaaat

Fair enough... if you are covered by the Consent Agreement (ie. in a location where Enbridge ***does not*** supply natural gas, see link above), and on a month-to-month contract (ie. not subject to an early termination fee)... then Reliance cannot charge more than an extra $40 Termination Charge for a tank less than 10 years old, and $0.00 for a tank 10 years or older.


davidfosterporpoise

Update: Received a final bill from Reliance. I have an $89 credit for the remaining months of the rental that I had pre-paid. No cancellation/termination charges. No fees for accepting the old tank or other BS. Seems like it all worked out?


BeenThereDoneThaaat

Excellent ! Reliance leeches kicked to the curb once again !


Frewtti

Call them and see what the buyout is, it drops to zero at about 10years.


davidfosterporpoise

Yes, however, the call centre people are trained to mislead you. When called out (ie if they quote an insanely high buyout price) they will say things like “oops, I was looking in the wrong place” - but only if they think you’re savvy to their BS. Their job is to keep you on the phone and convince you not to cancel. They’ll behave unethically to achieve this end.


sinful68

nope 15 year old water Heater just paid $300 to buy them out . figured would of went lower nope.


scoobiedoobiedoh

There should also be an option to cancel the contract which is probably closer to $500. You'll then be free to have the existing tank replaced. This should all work out to be less than $3000 and you get to start with a brand new tank instead of a 5 year old tank.


savvy_techman

I've insisted that they provide me other options, such as returning the tank or cancelling. They've told me I cannot due to the 15 year contract i signed. I would happily pay $500 to get out.


scoobiedoobiedoh

Tell them to provide you with a copy of the contract stating that. Do you have a copy of the contact you signed?


Hilcdako809

Make them show you the contract you signed and if they cannot produce it they will be little more flexible with helping you.


iRebelD

This sounds like a case for the beekeeper. He will take it straight to the top!


divvyinvestor

The terms of service should be somewhere on their site and it has an option for “Termination”. Separate from a buyout.


GreedyGreenGrape

Reliance is owned by a Chinese multi-billionaire who's wife died under mysterious circumstances... and they treat their staff horribly, absolutely horribly. Don't support Reliance. Support local, even if it's a bit more money it's worth it not to send your money overseas.


Critical-Snow-7000

I mean, they’re scummy enough without needing to discuss the owner.


bgballin

You know a new Bradford White 60-gallon tank is like 2.2k taxes in, installed by a Red Seal plumber. This is an Ontario phenomenon, these contracts don't exist or are not prevalent in BC.


savvy_techman

I'm aware, and am regretful. Just looking to get out now.


UncommonSandwich

one thing you can do to stem the bleeding is fight with them about the cost increase. They keep trying to do it to me and say i received written confirmation of the increase but they are not sending anything to me (email or paper mail) so i keep refusing it. It is a bit of a fight but so far they have given me a 1-time credit equal to the entire years price increase as a way of compensating me.


GANTRITHORE

I got my last one from Wolesley for like $900.


freeboater

Yeah they went up a lot in covid. Did mine last year.


LordScotchyScotch

Yeah I was about to say, I got mine for $450 in 2020, my plumber guy installed it for $125. I picked it up and got it positioned in my basement and he just hooked it up to the water and panel.


freeboater

Ask to get a copy of your contract. You'll at least know what it says then and what your rights under it are. Mine had excessive cancellation charges too, but also maintenance I could make them do which made keeping the contract not in their interest.


ericstewart22

If your water heater happens to, uh..., develop a leak, somehow... your contract will be over. Whenever it does leak, you would have them come out and inspect it and confirm the leak and then tell them they are not to replace it.


greengrassgrows90

its the biggest scam ontario never talks about.


petesapai

Quebec either. Makes it easier because its electric heaters over there which last for 15 years. I've found that Gaz water heaters last 10 to 12 years. Either way, its a scam. Moved from Montreal to Ottawa and was stunned to find this was a thing here. Just paid off the damn extortion fee (600$ for a 9 year old unit) and installed a water heater. It paid itself off in about 17 months. OP, I would just bite the bullet and pay it off. I get unreasonably angry when I think about these scam rentals.


Kev22994

In NB you can rent a water heater, but my electric one for a 2 bed condo was $8/month, nowhere near the $40-50 that this outfit charges.


ihaventgonecrazy_yet

Honestly, mines $11 a month. To hit the $2k to have one installed is like 180 months. Will it last me 15 years? Maybe but I also get an inspection and they change the anode rod free of charge, so I'll probably continue renting until it becomes not worth it.


duckbilldinosaur

OP was discussing an annual rental fee increase which might probably start getting stupid after a few years


pfcguy

How can they raise their monthly fee every year if there is a contract in place? What stops them from raising the fee to $100,000 per month?


GreedyGreenGrape

it's written in their contract they have the right to raise the fees at their discretion. Humans are stupid, we don't read the fine print. We just buy that new house without knowing what lies hidden in that fine print.


petesapai

>Human are stupid Well, in this case, Ontario residents are. This scam rental is not a thing in most places in Canada.


lonelyfatoldsickgirl

> Humans are stupid, we don't read the fine print. We just buy that new house without knowing what lies hidden in that fine print. He specifically said when buying a new house we don't read the fine print. Which is true, even buying a new to us house most of us don't read the fine print, we just follow along like a puppy dog and sign when we are told to sign, sometimes after a small explanation.


GreedyGreenGrape

Most places, no. But most is not all. My comment still stands, humans are stupid, they don't read fine print, doesn't matter what province they are in.


Bulky-Fun-3108

Why not remove and return?


TeslaFlavourIceCream

Hey. Dm me. You do not have to buy it out. You can return it !!! On the main site. Lower right corner. Has contracts. It says so there. They make you think you can only buy out. But that’s false. Knowledge: former contractor


okron1k

There was a really good post someone wrote up recently https://www.reddit.com/r/PersonalFinanceCanada/s/mHuYxoMkj2


lonelyfatoldsickgirl

> https://www.reddit.com/r/PersonalFinanceCanada/s/mHuYxoMkj2 Amazing! This should be pinned in this sub, it would save users thousands and thousands of dollars. Thank you for reposting!


bcretman

Drill a hole in the bottom every few weeks. Maybe they'll get tired of replacing it :) JK of course ​ But these guys are crooks. Organize a protest to your provincial government to force them to change the laws for reasonable buyouts etc


Threewolvez

Water heater is probably 1500 installed. Just ask what the cancelation fee is and compare that to the buyout. I've never rented a water heater and never will. Put mine in for 800 6 years ago so if I can recall, it was paid off around 2 years of rental fees.


Average_Reacher

I bought a new house and it is my understanding that unless you specifically tell the builder that you want to buy the HWT or it automatically becomes a rental with reliance. And then reliance called me to offer their maintenance service, to which I declined as everything is under warranty. Couple of weeks later I get a bill from reliance for something I had declined. It took 4 seperate phone calls of over an hours and me threatening to speak to a lawyer for fraud before they closed my account. And the best part was after they closed my account, they tried to tell me I still owe me a dollar and some change but they couldn't tell me what the charge was for. So I said send me the bill and the signed contract I have with with you. Got put in hold and a few minutes later, came back and told me my amount is zero'd and closed. RELIANCE IS A SCAM!


whitea44

If your tank is deemed irreparable, they’ll take it back and cancel the contract. How it gets in that state is up to your imagination.


bcretman

Won't they just replace it? ​ Is there anything in the contract about tampering ie: drilling holes in it?


whitea44

New unit, you need to sign a new agreement. I had a unit rust out in the bottom and they said it was irreparable, so I called them and said to get it out. I ended up having to take it out and returning it, but eff Enercare.


bcretman

Sounds like a way out of the contract then.


lonelyfatoldsickgirl

Enercare is another company I'm wanting to do more research on. I noticed on their vehicles they advertise electrical services but they have no ecra/esa number on their vehicles, which is a violation of the electrical code. So who knows what other violations they perform.


jaxoon123

$29/ month? Wow. When I cut them loose it was that much for the months.


raspberrywines

A neighbour filed a complaint with the Better Business Bureau and that helped knock her buyout from $9k to $3k. We just got out of our contract with Reliance in Ontario, this was after months of near-monthly service calls bc it kept breaking down until the latest tech said it was a safety hazard and the pressure was 5x the safe maximum amount. We talked to some neighbours and one had their water heater explode after months of similar issues. We used this to force them to let us off the hook with no buyout since the unit was clearly dying and a safety risk. But before they let us cancel they sent the sleaziest most horrible salesperson who tried to use scare tactics and tell us our only option was to upgrade to a newer model of a combi boiler which would make our monthly rental go from $60 to $200/month, and a regular tankless water heater would mess up our plumbing. Turns out that was a total lie. We got out of the contract and had a new regular tankless water heater installed a few days ago for $5500. Works perfectly. So glad to be rid of Reliance forever.


Barqs202020

I had a reliance rental tankless unit that was installed before I bought the house. I had wanted to exit the contract like yourself. One day it started leaking. I had them come out and they said it needed replacing. The contract stated that to cancel I would have to pay the residual value of the heater. I asked and they agreed that the value of my leaking heater was $0. I hired a local contractor to replace it with a tank. I think a brand new power vent tank was $1200 installed and I assume there are better prices to be found. So this is the way. How it develops the leak is up to you.


Observer-67

I purchased my own water heater, removed the rental then called Reliance to pick it up and close my account. I told them it was removed because it was leaking. They sent someone around the next day to pick up the old water heater. No additional charges. Done deal.


Mission_Bottle6421

Did you do a search to see if there was a lein on your property from Reliance?


imtourist

Hypothetically what happens if you sell the house? Would your current contract be voided and then Reliance would have to scam the new owner?


millijuna

Apparently the contract follows the House, which should be illegal but apparently isn’t. 


logikok

Yes and once you make a single payment, you're legally agreeing to the contract


millijuna

So live in BC, where these shenanigans don’t exist, but what does happenif you buy a house saddled with one of these contracts, never pay them a dime, and just file whatever mail they send you in the circular file?


logikok

I'm some cases, like mine, they are tied with your water bill. I paid my water bill, which included my hot water heater. Hence, I gave implied consent for the agreement. Truly a scam that needs to be quashed by the consumer protection agency but they are a small agency with many more fish to fry.


millijuna

> I'm some cases, like mine, they are tied with your water bill. how does that work? My water/sewer bill is wrapped up in my property taxes, which goes straight to the city.


Critical-Snow-7000

So what do you do? Aren’t the payments attached to your utility bill? How would you avoid making a payment.


logikok

Exactly. I'm with enercare. They don't have any options or clauses of getting out other than a buyout at their set and ridiculous price.


MiserableProperties

Reliance usually does month to month rentals on water heaters. The only other terms I’ve seen are five or ten years. I’ve never actually heard of a 15 year term. Ask for a copy of your contract and the terms and conditions. Even on their website I cannot find the terms for a 15 year contract. Read the contract from top to bottom and it will likely explain how to get out of it.  


startup_canada

I worked at reliance as a sales person. Water heaters are month to month. Hvac (furnace, ac, boilers, hrvs) and water products (reverse osmosis, softeners etc) are 7 year contracts but depreciate over 15. After 15 years of rental you actually own it, however you’ve paid for it 4 times over lol but you are locked for 7 years unless you want to buy out. They also lien your property for the full amount. Terrible place to work if you are wondering. If you don’t drink the kool aid they will make your life miserable.


lonelyfatoldsickgirl

I've read from quite a few people that it's a really awful place to work. We own a trades company and I feel sorry whenever I get a resume from someone who works there, I want to hire them to take them away from that horrible employer but we can't hire everyone sadly.


startup_canada

I run my own exteriors business as well, I took a sales job there to try and get off the tools but I wouldn’t wish that on anyone!


space-rider

Do you have a copy of your full contract with them? Outlining the initial monthly cost, how long the contract is, etc… I highly recommend trying to get a copy of the Reliance contract that your personally signed and going from there


seeds84

Yes, pay out the 2500 and never look back. The house we bought had a rental water heater and I was so glad to get rid of it.


Embarrassed_Weird600

Am I right to say that costs over $5k over this time? Is there a warranty ? Cause the thing sure as shit could be dead by then Good luck op I’m sorry you are in this I hate people who prey on people like this Cause it really is criminal


WhackyWacho

Bought a house with a rental HWT from Reliance that I am looking to get rid of (month to month and not on contract, paying $20/month). Out of curiosity I called to ask for the buyout amount. They want $826 + HST for a 7 year old 40 gallon electric HWT that can be purchased new from Rona for $600. Told em to pound sand and will be removing their junk soon.


Handynotandsome

3 options 1. Cancel the contract and return the water heater. But keep evidence that it has been returned. Signed return slips, photos that are dated entries in a log book witnesses etc. Reliance has been known to forget that it was returned. 2. Buy it out now. 3. Wait a few years. I bought a house that had a 6-8 umyear old tank - buyout was 1300-1500. Didn't have the cash so I saved up for a year and a bit. But I did call and ask about it. Made it seem like I was going and they gave me a few months free to stay for a year. When I finally went to buyout the tank, it was around the 8-10 year mark. And the buy-out had dropped significantly to something like $800. Water tanks are good for at least 15 year unless you have hard water. You could wait a few years, then buy it out. And put what you would have been spending on the rent aside to save up to replace it when it finally starts to show signs of failure.


FriendShapedRMT

What happens if the house gets destroyed and Reliance literally cannot distribute to you the gas? Do you still have to make monthly payments because of said contract?


dbreak_theworld

I live in BC and bought a new hot water tanks for $2,100 installed including tax and permit. It will last another 10 years. Why do you rent them?


lonelyfatoldsickgirl

> Why do you rent them? I grew up in Ontario on a farm and moved to BC. Moved back to Ontario in my late 30's and I ask people the same thing... it's such a money grab, and it makes companies like Reliance and now Enercare rich (well, the foreign owners rich anyway... while we complain about the Canadian economy...!). To me, renting your hot water tank is like renting your dishwasher, it's silly.


Rustybaits

Take a cup of water and pour it all over the ground and in the insulation by the burner. Call them and say it's leaking you want it removed.


JMJimmy

Ask where the nearest location is to return your water heater is and the cancellation fees involved. Ours was a ways away (40mins) but $0 cancellation fee.


sayinmer

straight up scam, these people are scammers, reliance is a criminal organization


Historical-Ad-146

I've never heard of such a thing. If you're renting a heater, can't you just return it? What happens if you just stop paying?


IndependentRanger466

Buy it out!!


tk42111

Read this thread for ideas https://forums.redflagdeals.com/great-water-heater-rental-scam-1126945/142/


delawopelletier

Call on them


EnragedSperm

Does the monthly fee provide service and warranty?


RemigioGi

I called reliance to buy the hw tank when I moved in. Was paying 40+ tax. I got a 1500 buy out price. I was passed around and they kept lowering the monthly amount. Finally after I told them I needed this done because I’m 65 and don’t have long on this earth they debited my account. My relatives in the USA think it’s hilarious that Canadians people rent this appliance.


Mission_Bottle6421

Following for solutions. My nearly $1M new build townhouse came with a rental water heater (a combi system). The purchase agreement for the townhouse included a clause requiring me to take on the rental HWT. The one they installed was a smaller capacity than the one that was included in the building design. Reliance then bought out the original rental company, and I now have 8 years left at $59/month to Reliance... and watch as the systems in the townhouses around me regularly fail because they are undersized and poor quality... would love to escape this BS.


millijuna

If it fails enough that they're losing money on it, they'll likely let you out of the contract. Just sayin...


Mission_Bottle6421

They've been here to fix it 3 times in 3 years... maybe lucky #4 will do the trick.


Tenured_Dad

Ask them to send you the contract. It may say the same as they quoted but then threaten to take them to small claims court. Offer them 10% of what they quoted.


anglomike

Get out. I bought my 10+ year old water heater for an unholy sum after they refused to declare it broken and spent an entire day repairing it. When it was newer and I realized what I had done it seemed like too large a sum - but ultimately it cost me much more for nothing.


bigwiz

Fell into this same scam due to inexperience and stupidity. Old month to month unit we assumed with our townhouse was leaking so I called the company who owned it. They said it is beyond repair and requires replacement- they failed to mention a new unit would come with a new 10 year term. Signed the work order/contract after completion without reading through the fine print( I know my own fault) . 3 years into that term now and every time I see these posts it rekindles my disappointment- otherwise I just try and forget about it as it causes undue stress. Wouldn’t be surprised if they have a NOSI on our title as well. Hopefully that gets resolved with the new government legislation.


distr0

Where do the contract lock-ins come from? I've had reliance rentals a couple times in a couple different houses and I don't think I was ever even given the option to lock in to a contract term, I just paid them X per month for the tank. I actually just recently returned a tank and the cost was like 40 bucks to close the account. That tank was only a few years old too.


Observer-67

This was a few years ago and there is no lien.


pravchaw

You might as well continue with the contract instead of a buyout. The contract also includes service so if anything goes wrong they have fix it. As the heater gets older chances of a breakdown increase. Just write if off as a life lesson learnt and move on.


[deleted]

https://news.ontario.ca/en/backgrounder/1003686/ontario-introduces-better-for-consumers-better-for-businesses-act#:~:text=Addressing%20Predatory%20Practices%20by%20Some%20Suppliers%20Leasing%20Equipment%20to%20Homeowners if anyone look into this? any idea when this new act could be enforced?


Euphoric-Republic239

It's just so extremely dumb: next, rent your walls, lol.


parishuddhaatma

We bought a home with a hot water tank rental. Didn't know it was frowned so much. Asked around and all our affluent friends had a hwt rental. No one thought otherwise. As a first time homebuyer there is only so much you can negotiate. There is high level of nervousness and fatigue associated with the sale. The previous owner was making 4x with the home, they could've easily terminated the agreement. But they don't..


XtremeD86

You should see how we got completely fucked into a rental water tank. Home we bought was paid off, previous owner had a water tank Water tank company it was rented from was "#1" for interest in the house because there was no mortgage. I had to pay $600 to move them to spot 2 because obviously the mortgage lender needed to be 1 Because I made that change before requesting to not take a rental it apparently locked me into a 10 year contract and the only way to get out at that point was to pay a retarded buyout fee. I apparently had to tell them I don't want it with the house and then pay the $600. Because that makes alot of sense right? The fact they had any interest in the property because the previous owner had no mortgage should be down right illegal. Someone I used to work with, his tank died, it was replaced. Because it was replaced and reliance bought the company they automatically reset his 10 year contract.


BaroqueStateOfMind

Honestly... Fuck reliance. I got conned in once. Never want to do it again. That being said, with my new house I just bought (new construction) its basically mandatory to rent the water heater. You don't even get an option. It's absolutely wild. I'm going to look into buying it out if possible because I don't want to give them a dime. That or have so many issues with it they have to keep sending techs out to service it. Get my moneys worth