CONSUMER CORNER: Avoid Traveling Contractor Scams

Provided by the Bucks County Department of Consumer Protection:

With warmer weather arriving and many homeowners beginning spring projects, Bucks County Consumer Protection urges residents to be especially cautious when hiring contractors for home improvements, driveway paving, roofing, tree work, landscaping, and other exterior projects.

Unfortunately, this is also the time of year when traveling contractors and scam artists go door-to-door claiming they are “working in the neighborhood,” “have extra material left over,” or can provide a special discounted price if you agree immediately. These offers often sound appealing, especially when prices seem much lower than other quotes, but consumers should be very cautious. If a deal sounds too good to be true, it usually is.

One of the most common springtime scams involves driveway paving contractors. A contractor may claim to have “extra asphalt” from another nearby job and offer to pave or seal your driveway at a reduced price if you act right away. In many cases, the work performed is poor quality, incomplete, significantly overpriced once started, or the contractor disappears after receiving payment.

Consumers should never hire a contractor simply because they show up at the door unexpectedly. Never allow yourself to be pressured into making an immediate decision. Reputable contractors understand that homeowners need time to compare estimates and research their company.

Before hiring any contractor:

• Always obtain at least three written estimates from different contractors.
• Make sure you are comparing apples to apples. Be specific about the brands, quality of materials, and exact work you want quoted.
• Never do business on a handshake or verbal promise, this is actually illegal and a violation of the PA Home Improvement Consumer Protection Act. Always require a detailed written estimate or contract.
• The contract should clearly describe the work to be completed, the specific materials to be used, estimated start and completion dates, the total cost, payment schedule, and any warranty being offered.
• Never pay the full amount up front. Under Pennsylvania law, a contractor generally may not require more than a one-third deposit. Don’t pay the final draw until all work has been completed to your satisfaction and inspected.
• Some contractors may allow you to purchase materials directly from the supplier. This can help ensure you retain ownership of the materials and may reduce the amount of money you need to provide up front.
• Require the contractor to provide a legitimate physical business address, not merely a P.O. Box, UPS Store mailbox suite number, shopping center mailbox service, or a ‘suite number’ that may simply be a rented mailbox at a virtual office location. Search the address online to confirm the company is actually located there. Contractors who refuse to provide a physical address or whose address does not appear legitimate should be removed from your list, as a real business address may be necessary if problems arise or court action becomes necessary.

Consumers should also carefully verify that a contractor is legitimate before signing anything.

Always ask for the contractor’s Pennsylvania Home Improvement Contractor registration number (HIC#). You can verify a contractor’s registration through the Pennsylvania Attorney General’s Home Improvement Contractor database at: https://hicsearch.attorneygeneral.gov

Do not rely solely on a business card or what is written on a flyer. Ask for the contractor’s full legal business name, HIC registration number, physical business address, local phone number, and website if applicable.

Be skeptical of contractors who only provide a post office box, mailbox service, or “suite number” that is actually a UPS Store or virtual office location. Before hiring, search the address online to make sure the company is truly located there and that the address appears connected to an established business. Scam contractors often use fake, vacant, or temporary addresses to appear legitimate.

You should also conduct a basic online search of the company before hiring them. Look for a legitimate website, a Google business listing, reviews from multiple sources over several years, and no clear pattern of complaints or poor workmanship by sorting reviews from the lowest rating first to see any pattern of issues that may have been buried further down the list by potentially fraudulent positive reviews posted by the company and their employees.

Word-of-mouth recommendations from family, friends, and neighbors can be helpful, but they should not be the end of your research. Even if someone recommends a contractor, you should still independently verify their registration, address, reviews, and references.

Under Pennsylvania’s Home Improvement Consumer Protection Act, consumers generally have a 3-day right to cancel a home improvement contract. That notice must be included in the contract unless there is a true emergency requiring immediate work which would require a similar written waiver of your 3-day right to cancel to have services rendered.

If you are unsure about a contractor, Bucks County Consumer Protection may be able to assist you by checking whether complaints have previously been filed against the business and by confirming whether the contractor has a valid HIC registration.

Additional information can be found in the “Hiring a Home Improvement Contractor” booklet available on the Bucks County Consumer Protection website at www.BucksCounty.gov/CP.

If you believe you have been the victim of a contractor scam or other consumer fraud, contact the Bucks County Office of Consumer Protection at 215-348-6060 or e-mail us at ConsumerProtection@BucksCounty.org.

Monthly Fraud Alerts brought to you by Bucks County Crimes Against Older Adults Task Force 24-hour hotline: 1-800-490-8505, Bucks County District Attorney’s Office: 215-348-6344, A Woman’s Place (AWP): 1-800-220-8116, Bucks County Area Agency on Aging: 267-880-5700, Bucks County Office of Consumer Protection: 215-348-6060, Bucks County Coroner’s Office: 215-348-3852, Bucks County Register of Wills: 215-348-6265, Network of Victim Assistance (NOVA): 1-800-675-6900, and U.S. Dept. of Health and Human Services/OIG: 1-800-447-8477.