Suffering is sometimes caused by willful ignorance and uninformed desire. Common sense can come naturally for some while it is a learned instinct for others. We don’t always get what we want in life, and whatever sounds too good to be true usually is. A lot of emotional and financial suffering can be caused by contractor scams. But the only people who fall for contractor scams are the tragically naive and those who should know better. You must be informed and aware to beware of dishonest repair estimates.
If you own a car, house, property, or assets that require maintenance, then you will have to hire contractors from time to time to perform repairs or maintenance. There is a scam industry for dishonest repair estimates that has always existed and is going nowhere. But it is your job to stay informed of local market prices and initiation processes to hire contractors.
Sometimes it’s easier to believe a sketchy contractor offering low-price services for a repair problem that you just want over with quickly. There are processes for hiring a contractor. You should vet their credentials, get referrals from trusted friends, see examples of their work, and request consultations, inspections, and service quotes before signing a contract.
If you accept contractor services from contractors who knock on your door, offer suspiciously low prices, or treat you like an uninformed sucker while interacting with you, then you are more than likely to get dishonest repair estimates.
No one deserved to be scammed, but most people unwittingly, and sometimes wittingly, cause their own suffering.
I am going to tell you everything you need to know about avoiding dishonest repair estimates. The top defensive measure is to always be proactive in learning about your local contractor market relative to your needs and to always use common sense.
Dishonest Repair Estimates
I’m not trying to be cruel. And I’m not judging. I’ve fallen for a few scams in my life. My point is that the job of a grown adult is to always be curious and informed of the local contractor market when it comes to repairs and services.
Let’s use mechanics and home contractors as examples to prove this point.
Do you own a car? Do you just drive it, never open the hood, and pray that it runs forever? That is a great way to wear down and destroy your car while simultaneously making mechanics and car dealerships rich.
Cars require regular maintenance for optimum performance. Learning how to change your tire, oil, spark plugs, air filter, transmission fluid, and other basic car maintenance repairs will save you money. It will also help you gain a basic understanding of what mechanics really do.
Hang out with some gearhead friends or watch auto repair YouTube videos. Learn and perform basic car maintenance yourself – it’s your car. You won’t become a master mechanic overnight, but you will incrementally understand the pricing metrics for basic repairs at least. The average auto repair bill is over $500.
So, if a mechanic senses that you have no idea about car maintenance or how to initiate contracting services, then you are empowering them to try to scam you, no matter how unfair it is.
Do you pay homeowner insurance? Over $9.2 billion in homeowner insurance payments is lost to contractor fraud annually. Most new homeowners don’t appreciate the enormous responsibility of owning a home. You have to learn how to look for potential problems before they get worse, like mold, electrical system problems, degrading pipes, and so on.
If you need a contractor to clean a septic system, remove fallen trees, or perform major work on your property near your home, then that is not the time to find the cheapest service.
There are not a lot of cheap home contractors out there. Many professional contractors are state licensed, experienced, and have numerous certifications and specific skills So, accordingly, their services are not cheap.
Do you know that many arborists and tree-trimming services only require a basic occupational business license to perform their services? Some arborists, also known as tree doctors, are licensed and certified tree doctors and charge accordingly.
Others are just people with axes, chainsaws, shears, and landscaping tools in a truck looking to make a quick buck.
In Florida, a homeowner hired two tree-trimming contractors who knocked on the door offering cheap services. The contractors climbed a tree to trim it but were both electrocuted by nearby power lines. The company they worked for didn’t have workers’ compensation or liability insurance. The homeowner might be sued by the contractors for the injuries they suffered working cheaply on the homeowner’s property.
If that is not the textbook definition of dishonest repair estimates, I don’t know what it is. If you hire unqualified workers, a lawsuit could be added to your work estimate even if they are not trying to rip you off – they could just be inept at their profession.
The point is that you can beware of dishonest repair estimates by being proactively informed and aware of how contractors operate. And by using common sense when you encounter offers that appear to be too good to be true.
Tips to Avoid Dishonest Repair Estimates
There are many ways for you to recognize potential scams and dishonest repair estimates
Ask for a Consultation
Most contractors offer free or low-cost consultations to inspect the problem, make assessments, and offer a service quote. How can they accurately charge for their services if they don’t know the extent of the work they must perform?
Take advantage of such consultation, but make sure you consider three or more such offers. Shop around to find the best option for you.
Ask for Credentials
Don’t be afraid to ask for licenses, credentials, certifications, proof of skills, and examples of previous work. Getting referrals from friends is great, but always verify for yourself after trusting a referral.
Professional contractors should have workers’ compensation and liability insurance too. Burglars in the United States have been known to sue the homeowners they burglarized after getting hurt trying to victimize the homeowner.
Unqualified and uninsured contractors who give dishonest repair estimates could sue you if they get hurt on your property. Even if they lose the lawsuit, you still lose by having to pay even more money for a legal defense against an unqualified contractor you shouldn’t have hired.
Then you will have to spend even more money to get a licensed, certified, and professional contractor to finish the work the unqualified contractor bungled.
Unprofessional and Hurried Manner
If your contractor is egotistical, condescending, talks down to you, and aggressively tries to hurry you into accepting their services, that is a major red flag.
When people show you who they are, believe them. You don’t need dishonest repair estimates to recognize shady behavior. Stay away from contractors who treat you discourteously and try to rush you into paying them for services.
Never Hire Opportunistic, Door Knocking Contractors
Professional, qualified, and skilled contractors do not knock on doors to offer their services. Scammy, dishonest, and inept door-by-door contractors usually come out of the woodwork after natural disasters and major storms because they know homeowners are desperate for repair work.
And it’s easier to believe the low-cost promises of a contractor who knocks on your door than deal with the reality of insurance paperwork or paying a licensed and professional contractor a lot of money.
If you hire random strangers who knock on your door to perform contracting work, then you will get what you pay for.
The Contractor Won’t Sign the Contract and Asks for Full Cash Payment Up Front
If a contractor refuses to sign a contract and demands full payment upfront, then you are guaranteed to get dishonest repair estimates. If they scam you or perform shoddy work, then you have scant legal recourse against them.
You could pay the contractor in milestone payments according to the contract. If they refuse to sign a contract and demand full payment in cash upfront walk away immediately.
Consider Your Options
Consult with several contractors and compare their experiences, services, and prices. Sometimes it’s better to pay more for a well-vetted and experienced contractor than go with the cheapest option.
An unqualified contractor can cause a lot more expensive problems for you to pay if they don’t know what they are doing.
Eager to Skip Permitting and Inspection Processes
If you need work done in your house or on your property, your contractor is responsible for getting all of the required permits or inspection authorizations. You pay for these services and should be in the loop, but the contractor should take care of them, not you. Permits and inspections and other paperwork will be required to cut down a tree, remove a septic tank, or perform major repair work in your house.
If the contractor wants you to take care of the permitting and inspection processes or wants to skip them wholly, then you are dealing with someone who is unlicensed, lazy, a scam artist, or all three.
Out-of-State Contractors
In Florida and several other states, some contracting professions don’t require licensing specific to the work they perform. For example, tree trimmers who work on residential landscapes don’t need a license to work. Anyone can get an occupational license – it doesn’t mean they are qualified to perform their job.
Beware of contractors from out-of-state who don’t have credentials.
Read More
Beware the Card Cracking Scam That Makes Victims Accomplices
Four Ways That The Rich Stay Rich
Why Lying On Your Resume Isn’t Worth the Shame
Allen Francis was an academic advisor, librarian, and college adjunct for many years with no money, no financial literacy, and no responsibility when he had money. To him, the phrase “personal finance,” contains the power that anyone has to grow their own wealth. Allen is an advocate of best personal financial practices including focusing on your needs instead of your wants, asking for help when you need it, saving and investing in your own small business.