I didn't realize it would touch such a nerve. I know for a fact that Gamestop refurbishes consoles that are traded in, so it's extremely unlikely that my old console would just be re-sold as-is. Besides, their used consoles all come with a warranty, so a buyer could swap it out if they bring it home and it doesn't work.
I've traded in games at Gamestop that were scratched, and they've deducted a "refurbishing fee" from my trade value. Refurbishing consoles and games is part of their business. Nobody gets ripped off if they accept a trade of a broken item, whether they know it's broken or not. Because of the high profit margins involved in selling used items, and their ability to refurbish nearly anything to good working condition, it's no surprise that Gamestop will accept nearly anything in trade. There's very little risk on their part.
I just bought a replacement original Xbox from Game Exchange. I had to swap it out twice (one unit's drive door wouldn't open, the other wouldn't read discs). It wasn't a big deal to me to return to the store for the exchanges - that's what the warranty is for.
I'm sorry if my actions offended anybody here, however, I think the name calling and swearing was uncalled for. I didn't rip anybody off. I simply took advantage of a service that a major retailer offers.