These Scammers Are Targeting People Recovering From Natural Disasters.
It’s always storm season somewhere, and recent disasters in the South and Midwest have left significant damage in their wake. Unfortunately, scammers strike when people are vulnerable. Some seemingly helpful people and organizations may be what the Better Business Bureau calls “storm chasers” — scammers who target homeowners who have suffered severe weather or a natural disaster that causes damage and requires major repairs.
How Storm Recovery Scams Work
Storm repair scams come in many forms, but they usually start with an unwanted phone call or knock on your door from a “contractor” offering to fix your home quickly and cheaply. They may say they are doing work for your neighbors and have materials and extra time left over and may offer you a deal. They may pressure you to pay up front so they can get started right away. They may tell you that you can send the bill to your homeowners insurance company for reimbursement or convince you to forward your claim payment to them.
Chances are, none of this is true. These phony contractors will take your money and run, sometimes without doing any work at all. Or they’ll do such a shoddy job that you’ll have to pay again to get it done right.
This isn’t the only way people are trying to take advantage of storm recovery efforts. Scammers are setting up fake donation sites and collecting money that will never be distributed to the cause or community they claim to represent. Some scammers may even pose as FEMA or other relief workers to gain unfettered access to disaster areas and, by extension, your property and any belongings (including documents containing personal information) left behind.
Beware of Storm Recovery Scams
When you’re trying to rebuild your home and your life after a storm, it can be hard to turn down offers of help, but as always, if it sounds too good to be true, it probably is. There are a few warning signs that you may be dealing with a rogue contractor :
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They require cash or prepaid debit cards or payment through peer-to-peer apps.
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They promise a huge discount, but they don’t tell you the exact final price.
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They put pressure on you to make a decision on the spot.
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They require payment in advance.
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They claim that they have leftover materials that they can offer at a low price.
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They refuse to provide the contract.
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They say you are responsible for the withdrawal of permits.
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They try to avoid checks.
The best way to avoid this scam is to not act on impulse or emotion. Take the time to do due diligence: check the contractor’s license and insurance, ask for a written estimate and contract. Get multiple estimates for the job, even if it takes time. Don’t pay the full price until the job is completed to contract specifications.
If the damage is due to a storm or weather event, don’t let it slide until you’ve contacted your insurance company . You should begin the claims process as soon as possible and document everything as thoroughly as possible. Anything else before making that call could jeopardize what your insurance covers.
Finally, you should take steps to protect valuables and confidential documents so they are not easily discovered in the event of a disaster, and always research organizations before making a donation.