Ok. Thanks for your help on this guys.
Sad I won't be able to keep this beauty that I've already "bonded" with. But even though its only a week and a bit old and should have no effects yet from my use at least I'll be getting a nice fresh one that I can take care of straightaway. I fear that I may have scratched the screen on a few occasions anyway :L despite my intense care so far. I guess obviously some employee at the Foxconn factory didn't do their job correctly.
So anyway, with regards to the turn around process what should I do to prepare it? If I do a backup, will I be able to continue where I left off on my new device with exactly the same settings and files and photos and emails etc? Then after a backup would it be an idea to erase all data - just wanna check before I do the backup and comtinue with that. I won't be doing that till tomorrow since I'll need to use it in the morning before I get to the store.
Ok, so I've removed my sim card. Taken off the case and smart cover and put them all away. Got the box, re-packaged it with the leaflet, sim remover tool and charger and USB. Ill continue to use it tomorrow then before I leave I'll iCloud back it up, erase all data and just give it a clean to show I take care of it and repackage everything. Take it there, present it and explain the problem. Should give me a new one trouble free. I take new one back, unbox it again put sim card, case and smart cover back, setup process and choose to restore from a backup. And then I should be using the new one just like the old one, and I wouldn't notice a difference at all between the two, except the rattle will be gone. Cool!
Sorry about the long post but is there anything else I should do?