Time Capsule--request advice
I have a Time Capsule, 4th Generation, which is about 18 months old. It has been squirrelly from the start. Squirrelly is defined as: not being able to properly work with an external drive. I had a powered, 500GB drive and, when I attempted to move a file of, say 2GB, the transfer would go very quickly for about 3 minutes, then slow to a crawl (Crawl is defined as 4KB/minute.) I tried a bunch of USB powered drives--none worked. Tried thumb drives, 40% worked. With one of them installed, attempted to restore a new computer from Time Machine backup and gave up after 5 hours. Removed thumb drive--worked perfectly.
Just decided the Capsule doesn't work with any external drives, and left it alone.
Yesterday, Time Machine said it could not backup to the Time Capsule and, if the issue continued, I should run Disk Utility. I ran Disk Utility and watched it for a while. It found an error, but continued all night. This morning it said that the Time Capsule could not be repaired and I should recover all the data I could, and reformat the drive and start over.
So, I have two users with 1.25TB of unusable data, and I'm wondering what to do about it. Apple suggests I don't worry, just reformat and move on. My prior experience with hard drives is that once you see an error, it's time to toss it. I also don't like it that losing this data is even an option.
So, I'm asking for your advice. Do I reformat and relax, buy a new Time Capsule, or simply go back to USB drives?
Time Capsule 802.11n (4th Gen)