Hurricane Isaac ravaged the Gulf Coast a week ago. Unfortunately, he was just the beginning of the storm season. Sadly, these catastrophes also bring out a particular breed of rip-off artist that preys the traumatized and financially-strained victims of the tragedies.
Better with disaster
James Quiggle is a spokesman from the Coalition Insurance Fraud, a group of insurance businesses, consumer groups and government agencies. He explained:
"They're called storm chasers, going town to town where disaster strikes to descend on traumatized homeowners and causing more problems than they fix. And they often prey on senior citizens."
The National Insurance Crime Agency pointed out that we are seeing increasingly more of them out there.
Real problems
There are some scamming contractors who actually do perform repairs, but the repairs are done incorrectly or really badly. Homeowners insurance will not cover repairs done by unauthorized contractors, so you should really stay away from them anyway. You can tell it is a contractor scam if they ask for money upfront to repair damage from the storm. The majority of the time, they leave before they even do any work.
Avoiding construction frauds
-- Ask your insurance agent or the Better Business Bureau for a list of approved contractors in your area before giving any repair person a green light.
-- The contractor should show you a license first.
-- Be wary of contractors with no business card or who cite a P.O. box for an address.
-- Never paid more than 25 percent of the total cost in deposits, and you should not pay that until you start seeing materials delivered to your home.
David Guillory works at the East Baton Rouge Parish Department of Public Works as an interim director. He said:
"You really shouldn't be paying for work that's not done. If somebody says, 'Pay me half and I'm going to go get some other equipment,' or go get another crew or something, that should send a red flag up."
Looking at automobiles too
After a disaster, con artists will go to insurance auctions and purchase as many vehicles as they can for a song. They will then put the automobiles back together with really bad materials and craftsmanship.
Though these automobiles may run fine for a month or two, generally they will start breaking down regularly, turning them into money pits that double and triple cost in no time.
Get away from the scam
Get an automobile history report from CARFAX or another trusted business before buying a car, and make sure you get a mechanic to inspect the car first. Do this whether you are purchasing at auction or individually.
Better with disaster
James Quiggle is a spokesman from the Coalition Insurance Fraud, a group of insurance businesses, consumer groups and government agencies. He explained:
"They're called storm chasers, going town to town where disaster strikes to descend on traumatized homeowners and causing more problems than they fix. And they often prey on senior citizens."
The National Insurance Crime Agency pointed out that we are seeing increasingly more of them out there.
Real problems
There are some scamming contractors who actually do perform repairs, but the repairs are done incorrectly or really badly. Homeowners insurance will not cover repairs done by unauthorized contractors, so you should really stay away from them anyway. You can tell it is a contractor scam if they ask for money upfront to repair damage from the storm. The majority of the time, they leave before they even do any work.
Avoiding construction frauds
-- Ask your insurance agent or the Better Business Bureau for a list of approved contractors in your area before giving any repair person a green light.
-- The contractor should show you a license first.
-- Be wary of contractors with no business card or who cite a P.O. box for an address.
-- Never paid more than 25 percent of the total cost in deposits, and you should not pay that until you start seeing materials delivered to your home.
David Guillory works at the East Baton Rouge Parish Department of Public Works as an interim director. He said:
"You really shouldn't be paying for work that's not done. If somebody says, 'Pay me half and I'm going to go get some other equipment,' or go get another crew or something, that should send a red flag up."
Looking at automobiles too
After a disaster, con artists will go to insurance auctions and purchase as many vehicles as they can for a song. They will then put the automobiles back together with really bad materials and craftsmanship.
Though these automobiles may run fine for a month or two, generally they will start breaking down regularly, turning them into money pits that double and triple cost in no time.
Get away from the scam
Get an automobile history report from CARFAX or another trusted business before buying a car, and make sure you get a mechanic to inspect the car first. Do this whether you are purchasing at auction or individually.
ليست هناك تعليقات:
إرسال تعليق