The 7th fraud used against seniors.

The 7th fraud use against seniors is the Shady Contractor Fraud

This fraud is used to swindle both homeowners and renters. The first variation is a Home Repair Rip-off.  Fraudulent contractors may knock on the door and offer a special price because (they are working in the neighbourhood, they are new to the area, etc.). They may offer the senior a discount to use the home to advertise their product. A contractor may conduct a free inspection and then suggest you need MAJOR repairs (e.g. due to asbestos, radon, termites or structural flaw). The free inspection may be in order to plan a theft. The free inspection scam is also used at garages where a free inspection is offered for your vehicles and then it is discovered that you have major repairs which you pay for but they are not done.

In this home Repair Rip-off scheme, the contractors may, demand a large down payment for materials. They will be reluctant to give you a written contract, or they may take your deposit and never return to do the work.

In some cases, the contractor will start and then do only part of the work and then refuse to continue unless you pay more. If you are not careful in checking the contractor may do shoddy work or will tell you they are using high standard materials when in fact they are using inferior materials. Some contractors will complete the job but significantly overcharge for unforeseen expenses.

A second variation of this fraud is called the Public Utility Imposters.

The fraud works this way. Two people arrive at your door claiming to be from a public utility company inspection service.

One asks you to accompany her to the water-metre or electrical panel elsewhere in the house while the other one waits by the door or asks to use the washroom.

To protect yourself from this type of fraud always ask for ID and if no ID is produced call the police. If you talk to a contractor ask to see their business license and insurance coverage. Always ask for at least 3 to 4 references and check them. Check the name of the company and the name of the contractor with your local Better Business Bureau. If any work is going to be done on your house or apartment, always get the proposal in writing and compare with other companies and do not be pressured into signing anything.

If you are approached by someone claiming to be from a Public Utility company, to protect yourself, tell them you will arrange an appointment for another time; do not let them in. Immediately contact the utility company to check the legitimacy of the visit. If it was not legitimate, contact the police.