FOR IMMEDIATE RELEASE
Lawson says flood victims should
be wary of construction scam artists
STATEHOUSE—Even before flood waters recede, one additional threat that almost always surfaces are scam artists pretending to offer help, State Sen. Connie Lawson (R-Danville) said.
"Home repair con artists sometimes move in after a disaster because people are vulnerable," Lawson said. "Although most architects, engineers, electrical and general contractors are honest; I encourage those affected by the storms to take the appropriate steps to safeguard themselves and their investments."
More than 6,450 complaints were filed against either legitimate or unscrupulous contractors for construction or remodeling services in the United States in 2006, according to the U.S. Better Business Bureau. Here are tips offered by Indiana’s Consumer Protection Division and Better Business Bureau on how Hoosiers can find a reputable contractor:
- Remember, Indiana law requires a contract for work that will exceed $150;
- Take your time and don’t let a contractor rush your decision;
- Do research, know how much you can afford and what needs to be done;
- Talk to your friends and family about contractors they recommend and verify the information yourself;
- Use local, well-established contractors and don’t assume that an advertisement makes a contractor reliable;
- Be skeptical if a bid is too low or too high;
- Get bids in writing; and
- Check with your city or county building department to determine the licensing requirements for your area and if the contractor you are considering is properly licensed, bonded and insured.
Lawson said before signing a contract to make sure the following items are included:
- Price and payment schedule;
- A detailed description of the work and an estimated start and completion date;
- Contractors name and address and a name and telephone number of a contact person if a problem arises; and
- Obtain the contractor’s name and signature that matches a U.S. state issued ID.
“Many reputable contractors do not require deposits but if required avoid paying more than one-third of the total cost. The remaining payments should be tied to the completion of specified amounts of work,” Lawson said. “In addition, do not make the final payment to the contractor until all subcontractors and or suppliers have been paid, as property owners can be held liable.”
Lawson urged residents to get written proof of payment and a copy of all records related to the project. Records include the contract, change orders, warranties and correspondence.
“Spending 10 to 15 minutes researching a contractor could save you thousands down the road,” Lawson said. “During the hustle to get things back to normal don’t rush these important investment decisions.”
Victims of home improvement fraud may file a complaint with the attorney general’s office by calling 1-800-382-5516 or online at http://www.IndianaConsumer.com.
Sen. Lawson represents Senate District 24, which includes portions of Hendricks and Putnam counties.
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