Wholesalers that sell like retailers.

[gaganlegal]

Hello,

I live in Sacramento, California. I just purchased a diamond ring from a wholesaler at San Francisco's jewlery mart. Only wholesalers are allowed in this building. I don't have a wholesale license, but I was accompanied by a person who does. She charged be 200.00 to take me along.

I purchased the ring for 2440.00 + tax + 200.00. The diamond was 1880.00, the rest was for the platinum ring and putting the stone in the ring.

I made my purchase thinking I got a good deal. I was told repeatedly that the retail price of the ring is appraised at 5000.00. I paid for the purchase (2440.00) on my discover card, and came home happy and satisfied. Just for kicks (I could kick myself now) I decided to find out how much I saved. The first website I checked, I found out I have been swindled. At bluenile.com I found a slightly bigger diamond but the same cut, clarity and shape for 1623.00 I was shocked. That was their regular price (I called them). I checked several others, time after time I found out that I was charged more at wholesale than at retail. These were all regular prices, no sales, no gimmicks nothing. Just a regular price.

I called up my middleman and told her about the situation. She called the wholesaler and wholesalre said that they won't take it back and they won't give me a difference either. Discover card said that they can't help me out either.

Am I wrong to expect that the diamond I purchase from the wholesaler should be more than the market price but less then any retailer? The whole point of wholesaler is to be the middle man between manufacture and the retailer isn't it? They told me that the ring would retail at 5000.00. Does this not constitute as fraud?

How can fight this?

Please help
Gagan

 

[HomeGuru]

<BLOCKQUOTE><font size="1" face="Verdana, Arial">quote:</font><HR>Originally posted by gaganlegal:
Hello,

I live in Sacramento, California. I just purchased a diamond ring from a wholesaler at San Francisco's jewlery mart. Only wholesalers are allowed in this building. I don't have a wholesale license, but I was accompanied by a person who does. She charged be 200.00 to take me along.

I purchased the ring for 2440.00 + tax + 200.00. The diamond was 1880.00, the rest was for the platinum ring and putting the stone in the ring.

I made my purchase thinking I got a good deal. I was told repeatedly that the retail price of the ring is appraised at 5000.00. I paid for the purchase (2440.00) on my discover card, and came home happy and satisfied. Just for kicks (I could kick myself now) I decided to find out how much I saved. The first website I checked, I found out I have been swindled. At bluenile.com I found a slightly bigger diamond but the same cut, clarity and shape for 1623.00 I was shocked. That was their regular price (I called them). I checked several others, time after time I found out that I was charged more at wholesale than at retail. These were all regular prices, no sales, no gimmicks nothing. Just a regular price.

I called up my middleman and told her about the situation. She called the wholesaler and wholesalre said that they won't take it back and they won't give me a difference either. Discover card said that they can't help me out either.

Am I wrong to expect that the diamond I purchase from the wholesaler should be more than the market price but less then any retailer? The whole point of wholesaler is to be the middle man between manufacture and the retailer isn't it? They told me that the ring would retail at 5000.00. Does this not constitute as fraud?

How can fight this?

Please help
Gagan<HR></BLOCKQUOTE>

There is no general law that states a wholesalers price must be lower than a retailers. You just made your own assumption without first shopping around and checking prices to confirm that the wholesalers price was in fact lower than retailers. Unless you have a written appraisal or guaranty from this wholesaler that the jewelry is worth $5000, you are stuck with the diamond.
Take the piece to a certified jewelry appraiser to see what the real value is. It may be more than you paid and it may be less.

You can file a complaint with the Better Business Bureau and the State Office of Consumer Protection about the misprepresentation of value but not on the overpricing.