Shady Contractors Can Hammer Away at Your Wallet

Home repairs are inevitable—whether from everyday wear and tear or unexpected damage. But when you’re looking for help, the wrong contractor can make matters worse.

Some contractors promise quick, low-cost fixes, then deliver poor work, damage your property, or disappear before the job is done.

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Here’s what to know to help avoid a home improvement scam and find a reputable contractor.

How it works:

• A contractor shows up at your door after a bad storm, offering their services to fix storm damage. 
• They might say they were working in the area and noticed a problem they can fix, such as a leaky roof, old windows, or the chance to install the latest energy-efficient solar panels.
• They may offer you a special deal on leftover materials to redo your driveway.  
• They may say the special deal won’t be available tomorrow.   

What you should know:

• Be cautious of any contractor who shows up uninvited and says they can start work right away. Reputable contractors are usually booked in advance.
• It’s a red flag if a contractor pressures you to make immediate commitments or ask for cash payment up front.
• If your home was damaged by severe weather, shady contractors may try to convince you to sign your insurance payment directly over to them.
• Some contractors may also push financing options, encouraging you to take out a home equity loan or reverse mortgage and have the lender pay them directly.  

What you should do:

• Take time to review your options before agreeing to any work.
• Always get multiple bids (typically at least three) and call references. 
• Check contractor reviews on social media and the Better Business Bureau (BBB) and confirm the business is licensed through your state’s licensing agency.
• Get a written contract, and read it carefully before signing.
• If they ask you to pay the full cost upfront, you shouldn’t. While a deposit may be required, it typically should not exceed one‑third of the total estimate.