I received a snail mail contract with Austin & Macauley this morning, same MO as most have you described and a fee of £1900 to publish my book. To be fair to them, they have been very open with me, and it is only because of what I feel was my Naivety towards the publishing world that I even considered approaching them. My argument is that If I had this amount of money I would most certainly be as independent as I possibly could and use the same money to self publish myself.
Like I say though They have been nothing but business like and courteous and while some would say that is because they are vanity publishers I have dealt with many, both vanity and otherwise who have been less than professional and to be frank in some cases down right rude.
All in all I have informed them I wont be signing with them and as someone who is learning daily I hope that this will spur me on to find a full traditional publisher who will see my work with appreciative eyes and publish it with that thought in mind.