I retired from one of the largest finance companies in the U.S., and approving Extended Service Plan companies was one of my jobs. My observations:
(1) Extended Service Plans don't begin until the factory warranty period is up. That means you should be able to flat cancel the policy and get a full refund, or have the refund forwarded to your finance company.
(2) ESP companies are not created equal. Unless they're bonded and insured by a high quality insurance company, you shouldn't deal with them. Many ESP companies have gone out of business throughout the years and stiffed their customers for $ millions.
(3) Your dealer has been notified time and time again that the ESP company has never been paid, and that your ESP is invalid. This is a serious violation, and it's like an insurance agent that never paid the insurance company for a policy. This was a criminal act when they failed to pay the ESP company.
(4) Any person that has such issues should carefully document correspondence, even if by email. And you keep track of who you talked to, when you talked to them and what they promised. Demand letters should go out certified directly to the business owner.
It sounds as if you're close to getting the money returned. Unless the funds are refunded by the end of the month, you need to contact an attorney. In my eyes, they owe you $8,000 plus cash equal to 10 months' finance charges (if it's financed). Further correspondence should go directly to Jim Colton, not his cronies.
A simple letter from an attorney should result in your being paid. If you're not paid promptly, go to the local police department and swear out a criminal warrant on Mr. Colton. He'll pay then. Good luck to you.
