With the spring home renovation and repair season now getting into full swing, West Central Alberta RCMP are reminding homeowners to be on the lookout for shady contractors and scam artists.
“We would recommend that people don't agree to pay any money up front unless it's a known local business and they are familiar with that business,” said Sundre RCMP Constable Abe Letkeman. “Do your due diligence to see if the person at your door is who they claim to be.
“If the company is from out of town, check them out either online or look them up in the phone book and call them to see if they have representatives in the area.”
Anyone encountering a suspicious contractor or salesperson should contact RCMP without delay, he said.
“If something seems suspicious or if something just isn't sitting right, definitely give us a call and we will try to locate the person,” he said. “Try and get a vehicle description and if possible a licence plate (number), or at least a good description of the vehicle and last known direction of travel.”
There have been examples of unscrupulous paving and roofing contractors operating in the region in recent years, he said.
Officials with the RCMP's Commercial Crime and Fraud sections said common renovation frauds include the following:
• Completion of only a portion of the agreed upon project and then the contractor disappears before the project is complete.
• Contractor requires large deposits on a project and then does not show up to start the project.
• The project is completed with inferior products compared to what was agreed upon and paid for.
• Claiming of unnecessary work that was identified as being “unforeseen” work or “uncompleted work” that now requires completion.
• Creating work that needs to be done in addition to what was agreed upon.
• Claiming certain repairs have been made when they in fact have not been made.
• Unsolicited contact with customers with an offer to assist with home repairs.
“It is during these times that consumers may become victims of construction fraud/home repair scams which occur when a contractor is deceitful or dishonest in the quality and/or the completion of the repairs,” according to the RCMP website.
Police offer the following tips for homeowners to follow to avoid being victimized:
• Use reliable, licensed contractors – Check with the municipal administrative office for licensing requirements and ensure that the contractor holds the required licence.
As well, check with the provincial government's Consumer Protection Branch if the contractor initiated contact with you at your home or by telephone as they are required under the Direct Seller's Act to be bonded and licensed.
• Ask for references – Contractors should have names of previous customers. Contact the references and ask if they were satisfied with the work, or attend the project site and view the work done by the contractor.
• Request written estimates – Get a detailed, written estimate from the contractor and compare it to at least three other detailed estimates.
• Ask for proof of insurance – Make sure the contractor has insurance for property damage and liability insurance as well as worker's compensation insurance. If the contractor is not insured, the homeowner may be liable for injuries that occur on their property.
• Have the contract in writing – The contract should be detailed including what work is to be completed; what products are to be used; when the work is to start; when the work is to be completed; who will obtain the necessary permits; a list of subcontractors if they are used; name and address of the contractor; your name and address, and the address of the place where the work will be done; who is responsible for cleanup; a breakdown of the cost, including taxes; and a payment schedule for work completed.
• Get guarantees in writing – If the contractor makes a guarantee, get it in writing. The guarantee can be a part of the contract and it should indicate what the guarantee is, how long the guarantee is for and who is responsible for the guarantee.
• Have the work inspected – Make sure that the work, where applicable, is properly inspected by a qualified inspector.
• Make payments to the company name – If payment is made by cheque, make the cheque payable to the company rather than to an individual person.
• Confirm the contractor's credentials – When you meet with the contractor ask about their qualifications and training. Confirm that the contractor actually possesses the qualifications and training that they claim to have.
“There is some good information online about how to protect yourself,” added Const. Letkeman.
