Some instructors or more thorough than others. Not necessarily one agency over the other. For that instructor to say all of that without seeing you in the water is utterly ridiculous. It sounds like he is full of himself. I would be VERY cautious in dealing with him. The fact that he said you would have to start all over without seeing you in the water would cause me to not ever use him. Who is he to say how good of a student YOU are without diving with you? If his cost of $700 INCLUDES all of your checkout costs (including hotel) then that would be a decent price. That being said, and like it was mentioned above, why re-certify when you have already certified? I personally would have laughed at him and told him to kick rocks in a MUCH, MUCH more impolite manner. Good luck.
Jerry Reese (also, a DB moderator).