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I'm pretty sure they test it for the red rings at the repair center before processing your new unit. The DVD drive on my first Elite shit the bed and they repaired it for free because it was under one year from my purchase.
So if your beyond a year and not a RROD, I'd just call to see what they will offer you. If there is a fee, you can always try to force the red rings by overheating your console.
If I do towel it, how long will it take afterwards to keel over?
Abe: I have a spare 360 that works (along with a core that also won't read disks, DVDs work fine though, but the warranty is void.) So if they want money the other 360 should be fine.
I sent mine in without red rings to get it fixed, mine had E74 though. When i sent it in, i just said it had RROD, and they fixed for free. But i now think they did that because about 1-2 weeks later, MS released something saying they were now fixing E74 for free...
What I didn't know about the different errors warranty. My friends given his back thrice already in under a year. Once for drive not reading and twice for 3 ring RROD. They just took it no questions asked. They don't repair, they just give new ones.
Can't believe you buggers have "spare" 360s!!! I'm afraid to buy even one because I'm going to mod it obviously and I won't have warranty then.