How to Avoid the Con in Contractor

The service industry is rife with con-artists and fly-by-night companies but the trades that seem to consistently generate the most horror stories are those of Handyman, Home Repair and Contractor. In 2010, 1,401 consumers filed complaints of home improvement fraud in the state of New Jersey alone. Estimates of the most recent American Express Spending Saving Tracker reveal that 64% of American homeowners plan to invest in home renovation projects this year.

Although the favorite target of an unscrupulous Handyman or Contractor is the unsuspecting homeowner in general, single women and seniors are particularly vulnerable to the slick-talking con-artist, especially when the required service is an emergency. When you're standing knee deep in water and drywall is hanging like a plaster mud-flap from the waterfall in your ceiling, your panic makes you desperate to take the hand of anyone who claims they can save you. Unfortunately, many who claim to be home repair specialists are little more than professional shysters who want to dig that helpful hand deep into your wallet. Those living in areas where natural disasters have taken place are a scam-artist's favorite prey. In the aftermath of a flood or hurricane the frantic demand for available Handymen and Contractors is filled by a swarm of fraudulent characters willing to take deceitful advantage of a tragedy. These two simple steps will help you avoid becoming the victim of a con and save you a heap of unnecessary problems and the expensive realization that you've just been ripped off.

First Impression/Best Foot Forward Quality Check:

Do they have a clean, professionally printed business card? Do they write estimates on official paperwork that bears the company name or logo? Tattered, dirty business cards (or total lack of having one) and generic paperwork are warning signs that the individual is not operating and legitimate business. Hiring an unlicensed contractor can cause problems later on should you need to file a complaint and find resolution. Also check the quality of their website. If their "first impression/best foot forward" is full of spelling and grammatical errors, odds are this company or individual will apply the same effort of quality toward your project.

Internet Background Check:

Conduct a Google Search of both the business and the name of the individual proposing to do the work. Look for complaints, fraud reports or lawsuits. Find out who your local licensing regulators are and consult their website to verify whether or not the business and the individual are properly licensed to perform those services in your state. In Florida, there is the Department of Business and Professional Regulation. There you can verify a license and find out if the company is a legitimately registered business. Websites like Angie's List are another valuable resource. While also offering some licensing information, reading their customer reviews can often give you the knowledge and inspiration you need to either hire them or run away screaming.

Finding a Handyman or Contractor is rarely difficult. The challenge is finding one who is qualified and reputable and won't promise to solve one headache by handing you another. So how do you avoid the Con in Contractor? Do your homework before you let them anywhere near your house.

Sources:

Admin, "Thousands of Homeowners are Victims of Home Improvement Annually", Home Improvement

Business Wire, "American Express Spending & Saving Tracker: Nearly One-third Of Homeowners With Home Improvement Plans Say They'll Be Looking Into "green" Projects This Year", The Street

Ruby Fingeret, "Scam Artists Target Homeowners", Ezine Articles

Elaine Enarson & Betty Hearn Morrow, "A Gendered Perspective", UN Disaster Management Programme

Jefferson County Administrator Human Resources, "Beware of Fraud After Disasters", .docstoc

"Florida Department of Business and Regulation", My Florida.com

Angie's List