There is nothing inherently sinister about Dell's refurbished equipment. I believe the majority of returns are not because of serious hardware issues, just fickle customers. As far as I know, all refurbished equipment is tested and known bad parts are scrapped. For better or worse, refurbished Dell systems and parts are not significantly different from the "new" stuff.
I don't really like their return policy. I think they should replace new parts with new parts, but I don't own Dell, so my opinion is worth about $0.03 on a good day.
From the Dell site:
During the 90 days of the 90-day limited warranty and the first year of all other limited warranties: During the 90 days of the 90-day limited warranty and the first year of all other limited warranties, we will repair any Dell-branded hardware products returned to us that prove to be defective in materials or workmanship. If we are not able to repair the product, we will replace it with a comparable product that is new or refurbished. When you contact us, we will issue a Return Material Authorization Number for you to include with your return. You must return the products to us in their original or equivalent packaging, prepay shipping charges, and insure the shipment or accept the risk if the product is lost or damaged in shipment. We will return the repaired or replacement products to you. We will pay to ship the repaired or replaced products to you if you use an address in the United States (excluding Puerto Rico and U.S. possessions and territories). Otherwise, we will ship the product to you freight collect. If we determine that the problem is not covered under this warranty, we will notify you and inform you of service alternatives that are available to you on a fee basis. NOTE: Before you ship the product(s) to us, make sure to back up the data on the hard drive(s) and any other storage device(s) in the product(s). Remove any confidential, proprietary, or personal information and removable media such as floppy disks, CDs, or PC Cards. We are not responsible for any of your confidential, proprietary, or personal information; lost or corrupted data; or damaged or lost removable media. During the remaining years: For the remaining period of the limited warranty, we will replace any defective part with new or refurbished parts, if we agree that it needs to be replaced. When you contact us, we will require a valid credit card number at the time you request a replacement part, but we will not charge you for the replacement part as long as you return the original part to us within 30 days after we ship the replacement part to you. If we do not receive the original part within 30 days, we will charge to your credit card the then-current standard price for that part.
Yup, Dell can and will substitute refurbished parts when possible. I know only a handful of people read the warranty information
before they make a purchase. Kind of a nasty surprise for some, I'm sure.
Now the funny part: Dell does not enforce their policies evenly, and will cut you a break under many circumstances.
A few random points on Dell's return policies:
-If you stick to your guns, you can return a Dell system. Even after the return period has expired. Persistence is the key. Do not take no for an answer.
-Dell are required to replace parts/systems with "like kind and quality or better." Hold out for a "sweetener" whenever possible. Upgrades happen. I returned a 3.0 Ghz machine and received a 3.2 Ghz machine with a RAID array!
-I purchased a recent XPS system (not recommended, build your own computer) and returned it for a full cash refund over six months later. Again, do not take no for an answer. Do not allow them to charge you for depreciation!
-If you are not satisfied with customer service, ask to speak to a supervisor. The customer service will generally refuse at first, so keep at it.
-Call the US tech support guys and have them help you instead. They were able to get me in through the "back door" more than a few times.
-Bone up on state consumer protection laws. If you feel Dell is in violation of state or federal consumer laws, tell them so. Don't threaten them. Instead, put them on the defensive.
-Be assertive, but not rude.
No, I am not suggesting you rip anyone off, but when you receive non-working equipment, hold the responsible party's feet to the fire. Keep in mind, my dealings with Dell were long and unpleasant process. I spent a week or more returning my last XPS system. I don't plan on going with Dell again in the future. Let them know you will never rest until you are a satisfied customer.
There are less ethical ways of returning Dell machines, but I will not speak of them here.