Complain about a product or service

Hurricane Victims Irked at Companies, Charities

October 29, 2005

Hurricane Katrina • The End of the World: Louisiana is Disappearing • Mississippi Sues State Farm Over Katrina Coverage • Katrina's Legacy: A Flood-Damaged Handicap Van • Payback: State Farm Writes Off Mississippi • Judge Nixes State Farm Katrina Settlement • Judge Rules Against State Farm in Katrina Case • Victimized Twice: Hurricane Victims Scammed by Unscrupulous Contractors • New Orleans Refloats Its Cruise Ship Business • One Year Later: To Miss New Orleans --- • Katrina Archives --- What's New? • Continuing coverage of Katrina recovery efforts

It's not only FEMA that disappointed Hurricane Katrina victims. Businesses and charities have also lost a lot of good will, including those who spent big bucks on advertising to boast of their relief efforts.

Here is a look at a few of the more compelling consumer complaints we've received in the weeks after the storm.

Bank of America

"I called Bank of America Mortgage to make arrangements to postpone payment after my house and health were seriously affected by the recent storms in Texas. They said that they would not draft any money until I told them later this year. The next day, they drafted the payment anyway," said Esperanza of Houston. "Now, I have no money in my account, and have to pay fines for the checks that bounced. This in addition to the huge medical and homer repair bills I already had."

The American Red Cross

"Why can't I get some help?"

Cingular

"We were away from home for two weeks. My husband lost a month of work. We have spent the past several weeks just trying to play catch-up with our bills and such."

State Farm Insurance

Maria of Diamondhead, Miss., was outraged when State Farm demanded that her mother document her additional living expenses.

"My mother was issued a $2500 check for living expenses. Per an article published in several newspapers and insurance Journal dated Sep 26th, 2005, Mr. Dick Luedke, State Farm spokesman stated that State Farm policy holders who received $2,500 checks to help with living expenses following Hurricane Katrina will not be required to document how they spent the money, as long as those customers don’t seek additional money for living expenses. Also receipts would not be required unless customers want to collect more than $2,500 living expenses. Also, the $2500 would not be subject to a policyholder’s deductible."

"Due to the Hurricane her residence was without power for three weeks resulting in spoilage of food in her refrigerator and freezer. She submitted an itemized list to the adjustor but this is not reflected in the settlement. She lost power due to the hurricane like thousands of other people in the area not from “flood damage”. Due to the lack of electricity and the spoilage of food in both her freezer and refrigerator for three weeks there is no humanly possible way that either the freezer or refrigerator can be salvaged."

Carl of Vancleave, Miss., would be happy just to talk to an adjuster. "Been trying to reach a person to talk with about my parents' home which was destroyed by Hurricane Katrina," he wrote. "We have tried for 3 weeks now for a person to meet with us about the structure. Have been calling the number they gave us which is a voice mail."

"My parents are homeless. My father is confined to a wheel chair. My mother has just lost everything she had in her life. They have two suitcases to their name."

Wal-Mart

"I am a victim of Hurricane Katrina, I lived in Long Beach, Miss., wrote Rachel, now of Pleasant Prairie, Wis. "I worked at Wal-Mart in Pass Christian. I loved that store, but it is no longer there, due to the storm."

"My family and myself came to Wisconsin to stay with my uncle. While I was here I went to the local Wal-Mart. They were very nice, they paid me my paycheck in cash and helped me with a job. They also said that the Wal-Mart stores were helping the victims that worked at Wal-Mart by paying them a $250.00 check. They said they would help me get that check, but they didn't at that time."

"When I asked about it, they said I was too late ... that ended on the 9th of September. Well, I got here in Wisconsin on the 8th of September and didn't know anything about the check."

Nikon

"I was given my PowerShot A-70 for a present two years ago. While trying to take pictures of my Hurricane Katrina-ravaged house for documentation purposes I got an E-18 alert and found out that the camera is history," wrote Daryl of New Orleans.

"Being jobless and homeless, I do not relish having to buy a new camera at this time. Reading on the internet I soon discovered that I am not the only one with this problem. Economically, I am in a Catch 22. I have no money for such an expenditure but I am in a corner and must be able to document my Hurrican Katrina damage."

Sears

"My husband and I have always purchased all of our appliances, both large and small and all of our tool items from your store," Becky of Gulfport, Miss., said in a letter to Sears. "I have always been impressed with Sears as a corporate neighbor until now. I heard about your generosity in clothing donations to the Hurricane Katrina victims but now, I am wondering about the motivation for your generosity."

"All 4 people living in our household had been casino employees and we were now finding ourselves jobless and temporarily homeless and wondering how we would find the money to replace all we had lost. Five days after Hurricane Katrina, my husband and I rounded up the few important papers we had left after the storm took out our entire downstairs with 6 feet of flood water. We came across our maintenance agreements with Sears."

"As we had lost everything in the storm except our beds and clothes, we were relieved and patting each other on the back that we had had the presence of mind to purchase these agreements and were so happy that we might be able to replace even a few of our lost appliances. We immediately jumped in our car and drove out to the Sears Service Center in our town. We presented our agreements to the ladies there and were told that the 'Act of God' clause in the agreements would prevent any kind of replacement or repair of any of our products. The ladies there were nice, but barely apologetic as they told us that they too had lost items they had purchased from Sears for the same reason."

"Then I heard that Sears had donated what probably amounted to thousands or even tens of thousands of dollars in clothes to our area for one of the Home Makeover shows. I thought that was very nice, but I considered that if Sears had wanted to help hurricane victims, it might have occurred to them that their very own customers could possibly use their help as well."

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