Six Smart Ways to Guard Against Home Improvement Fraud

Important information to share with your customers so they don’t become one of the tens of thousands of people who fall victim to home improvement fraud each year.

By Chelsea Welsh

The home improvement industry has plenty of reputable contractors but each year, unscrupulous contractors make off with an estimated $1.4 billion in unperformed work, low-grade materials, rigged bids and more. Homeowners are understandably wary of choosing a contractor for their home improvement or roofing project.

Here are six proven ways that homeowners can use to guard against fraud.

1. Be wary of unsolicited offers. Watch out for storm chasers – out of town contractors who turn up at the door to offer services following a storm.
2. Do a thorough background check. Ask for credentials and double check with the state to ensure proper licenses are held by the contractor.
3. Get recommendations from people you trust. Hiring a company referred by a family or friend is an easy and effective safeguard against fraud.
4. Get everything in writing. Get a comprehensive written quote even before you decide to hire. The contract should cover everything than can affect the success of the project.
5. Know your consumer rights. Many states allow you to cancel a contract within three days of signing. Don’t be afraid to contact the authorities if you think you’re being scammed.
6. Steer clear of ‘too good to be true’ deals. Your mother was right: if an offer seems too good to be true, it probably is.

Note: This article first appeared on Gutter Helmet’s blog and the full post and infographic can be seen here.

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Chelsea Welsh is the national marketing manager for Gutter Helmet, a Gibraltar Industries company.