How To Avoid A Contractor Scam
Telltale Warnings Of A Contractor SCAM
ARTICLE: www.aconcordcarpenter.com/con...
Contractors Who Knock On Your Door For Work
Most legitimate contractors do not go door to door for work. Often these types of approaches are gypsy scams and the “pretend contractor” will offer a low price and pressure the homeowner to a quick decision.
In this case, don’t make a rash decision. Check the contractor's name and business address, “Google them,” and call the number on their business card. Oftentimes these numbers are not real, and the business name on the card does NOT have a real street address.
Ideally, contact legit contractors for input on the repair, get other quotes, and check references!!! Questions To Ask A Contractor
Not every contractor who might come knocking on your door will have a scam, but I’m skeptical.
Having Left Over Material From A Previous Job
This hoax is usually run by driveway paving companies, whose materials, hot-top asphalt and concrete, can’t be returned to the supplier. So, the crew pulls up to your house with a load of leftover product and quotes a great price to resurface your driveway on the spot.
Often times the price they offer seems too good to be true, but I guarantee you the work will be shoddy. Usually they not use the proper equipment to flatten he asphalt and the driveway starts heaving and cracking the next year.
The key here is never hire a contractor on the spot, whether it’s a driveway paver, or contractor. Take your time to check contractors out, check references, and make sure they have a good reputation and do quality work.
Ask For Money Up Front, Demands Cash
This is the most common scam, the contractor explains that because he has to order materials and rental equipment to get the job started, he needs, say, 30%-50% of the project price up front.
Once you’ve paid, one of two things happen: He disappears on you, or he starts the work and comes up with extra work needed.
To protect yourself ensure your contractor uses a contract that includes a payment schedule, with the dates and the amount of each payment stated in dollars.
In MA, any deposit required to be paid in advance of the start of the work cannot exceed one-third of the total contract price, or the actual cost of any material or equipment of a special order or custom made nature, which must be ordered in advance of the start of the work to assure that the project will proceed on schedule.
Progress payments should be made after significant work, and the final payment cannot be demanded until the contract is completed to the satisfaction of all parties.
No Contract
Contractor scam red flag - avoid anyone who says a contract isn’t needed.
Make sure your contract outlines specific work done, materials used, a price breakdown and a payment schedule. While some smaller subcontractors [repair techs] may not work with contracts on a regular basis, larger projects need them.
In MA any project I work on larger than $1,000 technically requires me to produce a contract. Click here, if you'd like to lean more on How To Write A Construction Proposal.
No Building Permit
You’re legally required to get a building permit for any significant construction project. That allows building officials to visit the site periodically to confirm that the work meets building and safety codes.
An unlicensed contractor may try to skirt the rule by telling you that it’s not needed, or ask you to apply for a homeowner’s permit, an option available to do-it-yourselfers.
But taking out your own permit for a contractor job means your responsible for monitoring all the inspections - since the contractor doesn’t answer to the inspector, you do.
Getting licensed is not a hard thing to do and contractors that don’t do it are lazy, cheap or not organized.
Always demand that the contractor to get a permit, this will weed out unlicensed contractors and give you added protection of an independent assessment of the work. Ask for proof or look online at your state licensing board’s site to make sure a potential contractor has a license to work in your area if a license is required.
Source: CoverWallet.com
No Insurance
Every professional general contractor you work with should have two types of insurance. Liability and Workers Compensation Insurance.
General liability insurance ensures that your property will be protected in case any damage happens during the project. Worker’s compensation insurance protects a general contractor’s workers in case they’re injured on your property.
This protects your property from damage and if someone is injured on your property.
3 фев 2020