Simple rules to avoid becoming a victim of fraud when looking for a contractor:
- Only use contractors licensed by the state of California
- Get a written estimate of costs and get estimates from more than one contractor
- Demand and check references
- Ask for proof of insurance
- Examples of proof include liability and Workmen’s Compensation
- Insist on a written contract and refuse to sign a contract with blank spaces
- Get any guarantees in writing
- Make final payments only after the work is completed
- Pay by check
The best way to avoid fraud is to arm yourself against it by having a checklist to remind you of what you need to demand when hiring a contractor.