Preventing Builder Fraud

When selecting a home professional, using a few guidelines can help protect you from fraudulent contractors. These warning signs indicate a contractor who may be running a scam:


  • Does not list a number in the phone book.
  • Asks you to get required building permits.
  • Only accepts cash.
  • Solicits door-to-door.
  • Says you will get a discount if you find other customers for that contractor.
  • Says your job will be a demonstration.
  • Offers exceptionally long guarantees.
  • Asks you to pay for the entire job up front.
  • Tries to scare you into signing for repairs claiming they are urgent.

Always read and understand every word of a contract before signing. If you don’t understand something, ask for clarification.