Tonight ` < When are these people going to get their money back, Merv? an old friend of Fair Go... What's happening with the money? Come on, Merv. ...turns up yet again. Turn that bloody thing there off. Is this the last time you're gonna appear on Fair Go? Yeah. ...but the hard sell tactics aren't. Now I just feel like we just got sucked in. And ` If you've got a heat pump at home, chances are you're feeling nice and toasty right now. But don't feel too smug ` research shows you may not be getting the the most out of it. Copyright Able 2015 Welcome to Fair Go and welcome to our flash new refurbished TVNZ workplace. Yes. Lovely, isn't it? Now, one of the perks of being in our business for almost 40 years is catching up with old acquaintances. Merv Lanigan is one of those, and here he is again with Mark. WHISTLING SINGS: # There was an old roof painter called Mervyn Lanigan Merv Lanigan. # He had creditors on his tail again Merv, do the decent thing. # Poor old Mervyn Lanigan-igan-igan-igan again. He's not poor. He is old. Now, stop me if you've heard the name before, but this is the sixth time Merv Lanigan's been on Fair Go in the past 15 years. He first popped up in 1999 running a business and property listing bureau in Tauranga. If I owe a man a dollar then I'll pay him a dollar. It'll be very difficult for any of us to get anything back. And that's $1500 just down the drain, isn't it? Merv went bankrupt, but he popped up again in 2005 for taking money and not delivering a gutter protection system. I want to stop Merv Lanigan doing this to other people. Kev gave him a minute to put his side and then tore him a new one in the studio. < KEVIN MILNE: When are these people going to get their money back, Merv? So that'll be a very very short period of time. < How` What's very very short? < A week? < Two weeks? I would say within the next three to four weeks; somewhere thereabouts. < Three to four weeks. We had to send MJ down to Cambridge to get Merv to honour his promise to pack back the money. Merv, good morning. Hi. I think you know why I'm here. What's happening with the money? Come on, Merv. You said on our programme you would pay. Now, that was 10 years ago, but Merv has not been idle. Oh no. He's been brought to our attention again ` this time, it's roofs in Rotorua. Merv paid a visit to pensioners Colleen and Owen Campbell in January last year. Gift of the gab. (LAUGHS) They'd seen an ad for his latest company, Top Hat Services, in the local paper. Roof painting. 10 year written guarantee. On reflection, though, when he came and gave us the quote, I should've` alarm bells should've rung then, because he said, 'I'll only give you this now if it's cash and you say yes tonight.' They said yes, and Merv and his man went to work. It's supposed to be two coats of paint. He said he'd thickened up the paint and he would, uh, get the job done quicker and put on one. (LAUGHS) What's not funny is the finished job. If we come around here, we can look at the front face of the roof. This is what a written 10-year guarantee from Merv Lanigan's Top Hat Services looks like after 15 months. You can see on this face, Mark, every leading edge of every tile, the paint is virtually falling off, if not fallen off. How much did you pay for this? $1485. And how long did it last? Before the paint really started to peel off, I'd say three to four months. This is our castle. He has virtually ruined the lid of that castle. The amount of work it's going to take to put it right. About five minutes down the road lives another unhappy customer. Well, I think he's a rip off artist, but he is charming in the beginning. Two years ago, Johan Hofmann paid $1535 to Merv Lanigan and Top Hat Services to paint his roof. I believe that he only did one coat. Sadly, you get what you pay for and this is the finished product. Yeah. It's blistered off or it's not even completely covered. Just a little bit more than a year when it really started going this bad. You can see it further over the entire roof. It's just deteriorating completely. The written guarantee from Top Hat Services ` the guarantee of satisfaction ` includes a five-year guarantee on 'workmanship', a three-day callback and 10 years extended warranty on paint. He never... replied to emails or phone calls. But Merv Lanigan did return a day after the job was completed. He said, 'Yeah, no, I can see it needs another coat.' So off he trotted again and he, uh` and we haven't seen him since. For two years, Johan and then the Campbells have been trying to get their money back from Merv Lanigan. Couldn't come around; couldn't get his crew organised because there were no other jobs in the area going on as well. I left him message after message. Um, you know, he just would ignore and then he started just to put the phone down. They just couldn't find him anywhere. But a month ago, a breakthrough. Warning, warning ` this guy operating as Top Hat Services... Colleen posted Merv's name on the Scammers NZ Facebook page. Paint falls off within six months, and his so-called guarantee is not worth using in the toilet. That post achieved what two years of futile phone calls and texts couldn't. The next thing I know, we're getting a text saying that he's going to pay this money. And I couldn't believe it. Colleen and Owen got most of their money back, but it's going to cost a lot more to fix the roof now. We've had one quote ` $10,000. We've had another one for $7,500 plus GST. The Campbells will still be substantially out of pocket, and as for Johan, well, he's pretty much given up on ever seeing his money again. And where is Merv Lanigan, anyway? We thought we'd try and find him. We've tracked Merv Lanigan down here to Hamilton and he's agreed to do an interview. But as you know, this isn't his first time on Fair Go. There he is ` Merv Lanigan again... again. Turn that bloody thing there off. The camera's rolling. Remember ` Merv agreed to an interview. The weather has forced us under cover in a boat shed, and according to Merv, it's the weather's fault for what happened to his Rotorua roofs. If the weather comes over dirty or you're getting too late in the night, you get the dampness from the night then you get in trouble with it. And you'll find most of those are those cases. Your guarantee says three-day call back? Yep. < So we're getting on for two years now. Yep. It's not worth the paper it's written on, is it? As I say, there's the odd one that slips through the net. Will you pay those people back? And I will pay them back. Even if I've got to pay 'em back 50 bucks a week, I will pay them back. Why should we believe you? Cos you don't know me. We do know you. You've been on our programme many times. You don't know me. You don't even know the circumstances of the other cases. And I know what happens with you guys. You guys edit it and chop out what I say and just put your story across cos bad news sells. Merv Lanigan is 72 now. For the past 15 years, Fair Go has been pursuing him through different businesses on behalf of people wanting their money back. Our advice ` if you see him coming, give Merv a swerve. Really, all we can do is warn people out there ` beware. He's worth nothing to us any more, and I consider him less than a piece of plankton in the Pacific. Is this the last time you think you will appear on Fair Go? I would bloody hope so. I would hope so. Yes, Merv, we hope so too! And we are happy to report that Merv has started paying Johan back his money ` a thousand so far, and a promise to pay the other 500-odd in coming weeks. And we will be checking that he honours that promise. And look, we can't say it enough ` if it sounds too cheap to be true, it probably is. Merv's quotes were very cheap. So what should you look for when you hire a roof painter? We'll have a list of tips on our website. Now, have you ever bought something on the spot then had a nagging doubt you'd fallen prey to some tricky salesmanship? We've got sales people that look a little bit like they're preying on, you know, people who don't have a lot of money. The photo shoot? Yeah. So that is free. But as for the photos ` They weren't worth $6,000. And ` PHONE RINGS Hello, SBS Heat Pumps. Greg speaking. PHONE: Can you come and give us a hand? Research shows you may not be getting the most out of your heat pump. I'll show you the way. Welcome back. Now, you might have seen them at your shopping mall. They grab your emotions, offering beautiful photos of your loved ones. And get this ` from what they tell you, you think some of it's free. So how come you end up paying thousands? The company is Expression Sessions, and we're pretty shocked at how they operate. Here's Garth. A young woman, fresh out of high school, new to the world of adult decisions. I'm gonna be broke. (LAUGHS) No match for a savvy business based off-shore in Australia with sales staff at a mall near you. Yeah. That well-rehearsed sales pitch leaves out one crucial thing. Ask Expression Sessions all you like ` it seems difficult to get the full cost explained up front at one of their mall stalls. Mum was working and Kavanna was at the mall with her little brother Matthias when Expression Sessions staff approached her. We've never seen my brother actually smile or be dressed up for a photo-shoot. She came back two weeks later after the shoot with Mum to hear the price. Her understanding ` it was for half a dozen of the best prints as wall canvases and tiles. I thought, 'Far out, that's bloody dear.' < Yeah. Cos it went from 6000 and then that promotion went down to` 6 down to 3588, I think it was. That with the discount, with the prints thrown in for free. Mum was unsure. My baby can't afford it. She's just come out of college; out of school. She's trying to look for a job at the moment. Kavanna told them she was on a jobseekers allowance ` that's $140 a week. Expression Sessions wanted $25 a week after they'd done a credit check. The lady just came along and said, 'Well done, Kavanna.' 'Congratulations, you've got good credit. You can take these photos home for free.' What did you think of them when you saw them? Well, to me, they were quite primo. They were good, but I can get a family member to do it much better than that. But I liked it, she liked it, so` < Were they worth... ? They weren't worth six grand` 6000. < How about 1000? Not even. I would pay maybe 250 for all of them but not 1000. It's not easy to put a price on a happy memory; on a little brother's smiling face. There's a strong emotional pull there. I really wanted to have one in our family home. < Do you wish you'd just said, 'Hold on. We'll talk about it later?' Yeah, I did. But like I said, my daughter's very stubborn. Kavanna regretted what she'd done almost straight away then tried to cancel the deal. I have tried so many times writing it in emails, but they're still saying I have to pay it back and they won't take the products back. That's Jesse Baravykas, the man behind Expression Sessions. I'm calling him in Sydney where he lives. He thinks it was a fair deal. Jesse, how would someone normally sign that contract at one of your stalls? So that's problem number one ` how did her signature... Is that is your signature there? Yep. ...wind up on here? Did you sign this bit of paper? No. How did that happen? I was given a little mini iPad which had no writing on it; just had a square box. It was just a` a blank line with 'signature.' My daughter just had to put` write in her signature and that was it. Now I just feel like we just got sucked in. The deal, remember ` $25 a week in instalments for nearly three years. It's what's called a credit sale and that could actually help them. You see, a lot of people think about credit as if it's a bank loan, but really, if someone's selling you something and they're letting you pay it off in instalments and they take more than two months to do that, it's probably a credit sale. And there are some very strict conditions about what has to be in the consumer credit contract that covers that. We need a lawyer to put us in the picture. We've got salespeople that look a little bit like they're preying on, you know, people that don't have a lot of money to sell them something which is extremely expensive; something that they don't necessarily need. In Deirdre's view, this was a credit sale ` well, an attempt at one. Look at their contract. They use the word 'layby' but charge a fee on top of the price ` so it isn't a layby. Consent to perform a credit check; penalties for missing a payment ` that's all credit sale stuff, but some of it's missing. She hasn't been given an adequate disclosure document because the contract doesn't state the address of Expression Sessions and nor does it have a statement that says that she can cancel out of it within three days of getting a disclosure document. She should cancel it. She's under no obligation to pay any further money to them at all. Even if the paperwork was in order, that business with the iPad gives Kavanna even more rights. You can't be bound by something that you've signed if you haven't actually seen what you've signed. She saw where her signature went, so she says, but she hasn't actually read the contract; hasn't been given the opportunity to read it. Expression Sessions insists it would have let Kavanna read the contract in the mall on the iPad while their staff held on to it. I had all different people ringing me saying that I couldn't cancel under section F in my contract, but there was no contract that I was given. So Expression Sessions did cancel that order for canvas-printed photos and tiles, then sent Kavanna a second contract with her iPad signature copied on to it. This was for over $1000 for the prints she'd taken home ` the ones she says had been thrown in for free. That's Jesse from Sydney again. So you think that she owes you $1000? Good luck getting that to stand up in court. If they're asking for them back, she should give them back because she hasn't given any consideration for the prints. But she's not legally obliged, in my view, if she's been told the prints are free. And here's what she would have been told in the words of the rep that she spoke to. Expression Sessions has put us in touch. Did you follow that deal? Let's try it again. Now, imagine hearing that in a busy mall. Where would you think you stood? Thank you. Good bye. Hard on her heels. Well, that was Expression Sessions' office in Sydney. Kavanna has written to them saying that she wants to cancel the contract and return those photos, believing that she owes them nothing. At this point, they're saying, 'No, no. You owe us the money,' but we'll see how that develops. I would like that company to take those photos back, um, and get off my daughter's back. She wants shot of the Expression Session photos. Happily for her, she now has a few mementos from our photo-shoot to put on the wall instead. Oh, lovely. Now, we know that Kavanna is not alone. The Commerce Commission says it's had 24 complaints about Expression Sessions in the past eight years. The Commission sent a stiff warning letter in 2010, and it says it's actively investigating 11 complaints right now. Contact the Commission and tell us too if you are tangling with Expression Sessions. It just happens the week after Kavanna signed that iPad, the law changed, giving greater protection against this sort of stuff. You now have five working days to cancel consumer credit contracts, not three. And lenders, which is what Expression Sessions is, in the eyes of the law` lenders have to check you can actually afford to pay. Lots more information on the Commission's site. Now, they're installed in half of all new homes, but are you getting your money's worth? Don't feel too smug ` research shows you may not be getting your the most out of it. Hello, SBS Heat Pumps. Greg speaking. PHONE: Can you come and give us a hand? How to get the best out of your heat pump. I'll show you the way. Welcome back. About a quarter of you watching have a heat pump, and I'm thinking a lot of them will be on tonight, actually. But are you using it properly? There's a wee bit more to it than 'turn on and feel the warmth.' Here's Mary-Jane. PLEASANT MUSIC We're right in the thick of winter ` crisp, clear, chilly mornings. If you've got a heat pump at home, chances are you're feeling nice and toasty right now. But don't feel too smug ` research shows you may not be getting the most out of it. Mikael Boulic is a lecturer in construction at Massey University. We can know when the heat pump is on; when the heat pump is off. His research found people needed more education about how to use heat pumps. Let's say 70% of families are using the heat pump at a very high setting because they wanted the heat quite quickly. And with the remote control, it was very easy to set a very high thermostat ` let's say about 30 degrees. And then their power bills went up? Exactly. So that's what the research said. Let's see what the people think ` they're certainly popular. So you've got a heat pump, sir? Yes, I have one at home in the lounge. And what do folks know about maintaining one? And how often would you clean your filter? Uh, not very often. Have you ever cleaned your filter? No, actually. It's a good reminder. I keep meaning to. < How often would you do that? About every six months. Once a year. Yep ` quite a bit of confusion. So we found someone who can help you get the best out of your heat pump and make it work for you. PHONE RINGS Hello, SPS Heat Pumps. Greg speaking. PHONE: Can you come and give us a hand? Yeah, definitely. I'll be out there shortly. Meet Greg Hume. He services hundreds of heat pumps,... I'll show you the way. ...and he's got some tips for us. Uh, common fault we see sometimes is people not putting batteries in the remote. OK, some call-outs are easier than others, but Greg says there are some basic heat pump rules. Don't run it 24/7. 20 minutes, half an hour, you'll find a correctly-sized unit will warm that room. A good thing to do is set it on a timer, or some of the new units have a Wi-Fi application on them so you can run them before you get home. Make sure you've got it on the right settings. So the most important setting to have it on is the heating setting. You want to see a sun symbol. So it's a good idea to have the fan setting on automatic. The unit will judge how much air it needs to blow out and speed up and slow down as it needs to. A good temperature to have it set in is around 23. 23. Oh, that's toasty. Yeah, so everyone's different. So 20 to 23 is a pretty good indication of heat. See? There's no need to crank it up to 30 to get the heat quickly. Clean your filter regularly. Here's how. So on most of the brands, the filter is behind this cover here. Yeah. So basically to access that, all you do is roll your fingers around the edge of the cover; it will lift up and stay there and then you just slide these filters out. There's usually two on most of the brands. Greg reckons the filter should be cleaned every one and a half to two months, so none of our punters were on the money. So what you wanna do is, uh, spray a mild cleaning product ` I prefer to use a natural product ` on the underside of the filter and then just wash it out with a little bit of water. < Five minute job. Tempting as it is to hide stuff around it, make sure the outdoor unit is clear. As we can see here, someone's parked a barbecue right in front of the fan. So anything like a plastic bag or leaves or debris will greatly restrict the unit. And some final advice. So what you need to do is get a yearly service done. Don't use some muppet; make sure you use a professional. Basically, you want to get the most out of your heat pump and a good service will do this for you. PLEASANT MUSIC So get cleaning those filters, because heat pumps can be a very cost-effective and efficient way of heating your home. Isn't that stunning? Gorgeous. And that was... ...Takapuna beach on Auckland's North Shore. Don't worry if you missed those tips ` they are also on our website. This is Financial Elder Abuse week. Greater awareness of such abuse is something we wholeheartedly support. You might recall our story a few weeks back about Jayden Heke who befriended an elderly widow and sucked $60,000 or more from her. In 2010, he offered to paint her roof. Do you remember Jayden? Oh, I think so. I had him paint the roof. I know that. < And you remember giving him money? Yes, I've gave him money, unfortunately. Now, I spoke to Jayden a couple of times ` I never met him. If you know where he is, we'd love to hear from you. Yes. And go to the Age Concern website for more informaotion if you're worried someone close to you is suffering elder financial abuse. So that's the show, but we will be on Facebook for the next half hour to answer your questions. Yes, our programme's all about your problems, your thoughts, so please do get in touch. We really want to hear from you. We're on Facebook. Email us Fair Go at tvnz.co.nz. Write to us, Private Bag 92038, Auckland, 1142. And next week, a very stinky question about insurance. Cats don't always use the litter box. Good girl, my little Hershey. If they use the carpet, will your insurance company pay out? They never saw it happen. I just smelt it. (LAUGHS) And then, yeah, it just got worse and then I realised, 'This is not right.' That's next week. Good night.