When you hire a contractor, trust is a big part of the equation. You have to not only trust they are qualified for the job but you have to trust they are giving you an honest opinion, price, and work ethic. Some low quotes may look great on paper but can lead to even further funds down the road if the job isn't done correctly. Some scammers will prey on the elderly to take advantage of aging brains that may be vulnerable to financial exploitation. According to this graphic from a team at Roofclaims.com, 37% of construction fraud cases consisted of billing and accounts payable-related scams. Forty-two percent 42% of construction fraud consists of fraudulent kickbacks, rigged bids, and bribery. Below are the most common construction scams listed on the graphic.
1.Driveway Sealing
2.Roof Repair
3.Chimney Repair
4.Furnace Repair
5.Storm-Chasing
The biggest red flags for contractor scams are:
1.Goes door to door looking for business without credentials
2.Pressures you to decide immediately
3.Accepts only cash or asks for a large deposit
4.Offers a “special” rate if paid all in cash or if you immediately sign the agreement
5.Bid comes in far below others
6.Offers “leftover” materials at a discounted rate
7.Unable to verify a physical office
8.Asks you to get the required permits
9.Has no references to provide
10.Can’t provide a license or insurance
