Why the credit?

Credit is something I never really understood well when it comes to companies giving refunds. The main reasons for offering credit is simple – it is cheaper for them as no actual money is traded, it keeps you trapped with them as if you want to use that credit then you got to use it with them and that I have to say is what is annoying.

So the other day I submitted a ticket to the former web host of Snat.co.il stating that the website was offline yet again and that I wanted to know the reasoning why. So after a few ticket replies debating at them, I then asked for a refund as they have been offline for quite a while and quite often.

Being fair, I asked for a refund based on the actual amount of downtime so we can then call it quits and move on but then and not surprisingly, three things happen. The first is the web host then points in their terms of service that no refund for any reasons. The second is they then shutdown my vps I had with them because it went against their terms of service (which part, they did not point out) and then they debated that due to my website (Snat.co.il) was not even developed at the time but simply online that it does not matter anyway if it was online or not and that I was a “Ben Zonah” (Son of a whore and yes if you can not tell, this is a provider that sells VPSes in Israel).

Regardless of all that this is not the place to go on further about all that, Webhosting Talk will be the place to read that soon but after debating with them for ages they finally decided in offering credit. Now it is always nice to see a company trying to fix things but why the fuck would I stay with them after they decided it was not worth bothering with my VPS due to no actual website on-line (would not like to know what they do to customers that uses their VPS for other things then just web sites) but then they have the insult to say – here you go, here is credit to carry on with our shitty service

Now it could just be me but I do not see the point in why someone in their sane mind would accept credit from a company that basically just raping them while telling them “this happens to everyone, at least you are getting something back”.
So what do you think. Do you think it is fair all companies offer is credit after fucking about with you?