Disaster victims should not feel forced to make hasty decisions when choosing a contractor

Natural disasters like storms, tornadoes, hurricanes, flooding, and wildfires often bring out the best in people, as strangers reach out to help others in need. There are many trustworthy contractors in the marketplace, but the aftermath of a crisis can also bring out dishonest contractors taking advantage of those who have already been victimized.

Local contractors may be busier than usual with new customers after a natural disaster, meaning victims of storm damage may be antsy to hire a contractor to fix their home repairs as quickly as possible. It’s important to stay vigilant.

BBB warns homeowners affected by natural disasters to beware of “storm chasers” and out-of-town contractors soliciting business. Although not all storm chasers are scammers, they may lack the proper licensing for your area, offer quick fixes, or make big promises that they don’t keep.

When hiring any contractor there are important steps to follow, such as getting three estimates, being sure everything is in writing, and paying with a credit card. In the aftermath of a natural disaster making informed decisions about repairs can seem even more overwhelming. Here are 8 tips to help navigate these challenging times:

1. Contact your insurance company. Ask about your policy coverage and specific filing requirements. Save all receipts, including those for food, temporary lodging, or other expenses that may be covered under your policy. Your insurance company may also have recommended contractors.

2. Do your research. Find businesses you can trust on BBB.org by looking for the Accredited Business Seal. Check your state or provincial government agency responsible for registering and/or licensing contractors. Get references from friends and relatives.

3. Resist high-pressure sales. Some storm chasers use tactics such as the “good deal” you’ll get only if you hire the contractor on the spot. Be proactive in selecting a contractor and not reactive to sales calls on the phone or door-to-door pitches with too-good-to-be-true offers on price and timelines. Disaster victims should never feel forced to make a hasty decision or to choose an unknown contractor.

4. Be especially careful of door-to-door contractors. Many municipalities require a solicitation permit if salespeople go door-to-door. Ask for identification. Check their vehicle for a business name, phone number, and license plates for your state or province.

5. Don't sign over insurance checks to contractors. Get an invoice from the contractor and pay them directly, preferably with a credit card, which offers additional fraud protection over other forms of payment. Don’t sign any documents that give the contractor rights to your insurance claims. Be sure to read any documents or contracts carefully before signing them. If you have questions, contact your insurance company or agent.

6. Be cautious of requests to pay for everything up-front. “Storm chasers” may ask for the full payment or a very large down payment before any work begins. This is a red flag, as the contractor would now have your money and could choose not to return to complete the job. As mentioned, always pay with a credit card for additional fraud protection. If you must pay a portion of the cost before any work begins, be sure to have a signed contract in place that outlines the payment terms.

7. Be wary regarding places you can't see. While most contractors abide by the law, be careful when allowing someone you do not know to inspect your roof and other areas of your house. An unethical contractor may create damage to get work. The same goes for attics, crawl spaces, ducts, and other places you cannot easily access or see for yourself.

8. Get familiar with your home. Keep tabs on the conditions of your roof, siding, gutters, and other exterior areas of your home often. If your home is damaged by a storm, you’ll have a better idea of what needs to be repaired versus what a “storm chaser” tells you should be fixed.

For more information and to learn how to protect yourself, Google “BBB 10 Steps to Avoid Scams.” If you spot a scam, whether you have lost money or not, report it to BBB’s Scam Tracker at BBB.org/ScamTracker and the FTC at ReportFraud.ftc.gov. Your story can help protect consumers from similar scams.

Rick Walz is the President and CEO of the Better Business Bureau serving Northern Indiana, which serves 23 counties. Contact the BBB at 800-552-4631 or visit www.bbb.org.

This article originally appeared on South Bend Tribune: Consumer Advocate: Protect yourself from 'storm chasers'