The Better Business Bureau has put out a warning regarding home improvement scams.
It’s still the time of year when home improvement companies are busy, so if you need some work done, you’ll want to watch out for some red flags and exercise a healthy dose of caution.
Home improvement scams typically start with either a knock on your front door and a friendly hello or a flyer. The “contractor” behind a home improvement scam will typically offer you what seems like a great deal. Most of these scammers are fairly canny; they won’t offer you something too good to believe, but they’ll offer “extremely competitive” rates and short time frames. One very common hook these scammers will use is that they are working on another home around your neighborhood and they have some extra supplies, allowing them to offer you a great rate. However, once they get started, they tend to very quickly run into “problems” which increase the price significantly. If you refuse their new price, they’ll usually threaten to leave you with a half-completed job, which would be quite annoying for you. Of course, they’ll often just push for an upfront deposit and never show up again. Another path some scammers take is to persuade homeowners to sign over their insurance payments for a project following a natural disaster.
The biggest red flags for home improvement scams are cash-only deals. Criminals don’t want to leave a money trail, so insisting on paying with a credit card would save you a huge headache. Other red flags include high-pressure sales tactics, abnormally high upfront payments, deals without a contract, and on-site inspections. Also, while most “storm-chasers” aren’t scammers, enough of them are that you should exercise extra caution if you’re looking for urgent home improvement services following a natural disaster. In the end, due diligence and a basic understanding of contract law and business regulations go a long way.
