Home > Personal Finance > Samsung Is Offering Up to a $100 Credit So People Will Return Their Fire-Prone Phones

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Samsung is now offering full refunds for its fire-prone Galaxy Note 7 as part of a total recall announced on Thursday — and, just in case, you needed an extra incentive to return the phablet and its problematic lithium-ion battery, the company is offering $25 to $100 bill credits to Note 7 holders “as a token of our appreciation and acknowledgement of your inconvenience.”

The recall, which applies to every Galaxy Note 7 in existence as of 3 p.m. Thursday, comes of the heels of Samsung’s decision to nix production of the product for good.

What Happened

Reports of igniting Galaxy Note 7s began popping up shortly after the phone hit the market in August. Samsung first tried address the issue by halting production of the devices and offering replacements with different batteries to their owners. This move was followed by an official recall of 1 million Galaxy Note 7s in mid-September. That recall, backed by the Consumer Product Safety Commission, allowed customers to receive full refunds or replacement devices. But problems persisted — and not just with the old devices. Earlier this month, Southwest Airlines reportedly had to evacuate a flight after a man’s replacement Galaxy Note 7 started smoking.

According to the CPSC, Samsung has received 96 reports of Note 7 batteries overheating in the U.S., including 23 new reports since the initial September 15 recall. Samsung has received 13 reports of burns and 47 reports of property damage associated with the Note 7, the CSPC said.

What Note 7 Owners Need to Know

Samsung is asking people with original and replacement devices to power them down immediately and return the phones. You can do this by contacting the carrier or retail outlet where you got your Galaxy Note 7. People who got their phablets from Samsung.com can go to samsung.com/us to start the exchange.

The aforementioned $100 credit is available to customers who choose to exchange the Note 7 for another Samsung device. Samsung will give customers who already exchanged their faulty phone for a different Samsung phone a $75 bill credit in addition to the $25 they initially received. And, if you’re choosing to go with a device from a different company, you’ll still receive a $25 bill credit for your troubles.

“We appreciate the patience of our consumers, carrier and retail partners for carrying the burden during these challenging times,” Tim Baxter, president and chief operating officer of Samsung Electronics America, said in the press release that announced the expanded recall. “We are committed to doing everything we can to make this right.”

Customers with further questions can contact Samsung at 1-844-365-6197.

When Shopping for a Phone

Remember, smartphones and phablets can be an expensive proposition, so you should read the terms and conditions regarding any product you’re going to purchase to be sure you understand what you can do if stops working and how much it could potentially cost to replace, should the device get lost, damaged or stolen. And, if you’re shopping around for cellphone plan to go along with a new device, it’s a good idea to check your credit. Most providers check a version of your credit report when you apply, and a good credit score can help you qualify for better rates or lower fees. You can pull your credit reports for free each year at AnnualCreditReport.com and view two of your scores, updated every 14 days, for free on Credit.com.

Image: CPSC

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