An old saying goes that “Knowledge is power.”
The proverb reminds us of the importance of people strengthening their ability to recognize financial fraud, so as not to become a victim.
It seems like scam artists never tire of trying to scam people out of money.
For example, the Better Business Bureau recently announced that Scam Tracker has received numerous reports of unscrupulous emergency garage door repair companies targeting homeowners by advertising emergency repair services, and then overstating the amount of work or parts needed to make the repair.
These scammers often take advantage of urgent situations and prey on homeowners’ lack of knowledge about garage door parts and service costs, the BBB stated in a news release. Also, these companies can appear at the top of internet searches when homeowners are looking for emergency garage door repair.
Recently, the daughter of a Painesville senior told BBB Serving Greater Cleveland about her family’s experience with a rude garage door contractor.
The woman told BBB that her mother “had been looking for a garage service” and the company appeared in the search engine’s sponsored ad listing. Consumers noted the company does not have a “physical address and an 800 number that changes every time you look at it,” according to the release.
The company told the mother that they could work on the garage that day and offered to fix the pipes, springs, and bolts on the door for $1,611. The company completed the project. However, the homeowner never received a written contract, only a payment receipt.
The consumer paid for the repair, and then the company claimed his personal check was returned for insufficient funds. Consumers issue a stop payment and get a cashier’s check issued to the company, the release said.
Next, the company said it would have to talk to the bank to release the funds. The consumer and his daughter were suspicious and said they wouldn’t do it because that’s not how a cashier’s check works.
The company tried to force the mother to speak to the “bank,” but gave her a fake customer service number, according to the release. The consumer told the company to stop contacting them, but they continued to be harassed by spam calls from fake bank numbers.
According to the BBB, there are warning signs of garage door scams:
• business name: Garage door scammers often use some common and unclear names, and are not registered as legally registered businesses with the state.
• Payment up front: Be wary of repair services that require full payment before the work is done. A reputable company will give you a detailed estimate and allow you to pay after the work is done.
• No physical address: Garage door scammers do not have a valid physical showroom or will use a fake address. Scammers may only provide a phone number or email address and not a verifiable location.
• Lack of identification: Authorized repair professionals usually wear uniforms, have identification, and drive company-branded vehicles. So it is doubtful that the individual did not have proper identification or a marked vehicle.
• Unrealistically low prices: Many scams advertise low costs for service calls, only to ask for more money for additional “repairs”. If a quote sounds too good to be true, it probably is.
• High pressure sales tactics: Scammers can use high pressure tactics to convince you that your garage door needs immediate and expensive repairs. They may insist that you don’t have to wait, and may ask for payment up front.
“Due diligence is key when hiring a service provider,” BBB said in the release. “Researching and choosing a reputable garage door repair company can save you money and frustration in the long run. A reputable garage door repair company will prioritize safety and provide transparent and fair pricing.
The News-Herald believes that the BBB has provided strong advice that should be shared with others. So, pass these tips on to anyone you believe needs help detecting fraud that could result in significant financial loss.
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