Moving Company Scams

Anyone who has placed everything they own on a truck that is being driven by someone they’ve never met — and then watched as that truck pulls away from their now empty former home — understands the importance of a reliable moving company. With burgeoning Internet business and the deregulation of the transportation industry under the Clinton administration, it is more important than ever to be a diligent and vigilant consumer. All of your household goods, which are likely all of your worldly goods, are on the line.

When the Household Goods Transportation Act of 1980 was passed, the moving industry was no longer overseen by the Interstate Commerce Commission. Instead of having their rates dictated to them by the FCC, moving companies could now offer binding contracts. This allowed small moving companies to enter the fray. Many of these companies were not as scrupulous as the major van lines had been under the ICC, and oversight wasn’t as stringent, or even as competent. Companies were competing on prices, and some started low-balling their customers, giving them a very low estimate and then demanding a higher price upon arrival of their goods. If the consumer didn’t pay the higher price, the moving companies were allowed to hold their possessions hostage, and eventually auction them off to satisfy the amount owed. This unscrupulous technique of extortion created a win/win situation for these movers, and a lose/lose situation for the consumers they preyed upon.

To protect yourself, you must make sure that you do your research, and use only a reputable moving company. Just like many scams, these moving company scams have a tendency to hit the elderly a little harder than the rest of the population, which is why Arizona and Florida have an alarmingly high number of complaints. So, be a good neighbor, offer your assistance if you think it will help. Following are some tips that may save you aggravation, or your friends, tons of frustration — and money:

Don’t shop based on price alone. The lowest price doesn’t necessarily mean the best service, nor does it mean the worst service, it simply means that you need to research that company further. This is especially true if the company is small, or appears to be local.
Use the Internet cautiously. It’s easy to scam people over the Internet, a company based in California can’t very easily come out and inspect what you want moved if you live in New Hampshire. Never accept an estimate over the Internet – or over the telephone. Trained professionals from the moving company should always come to your home to ensure that you are given an accurate estimate of what it will cost to properly pack, and ship, and finally offload your goods. Remember that old adage about an offer that sounds too good to be true…
Get a signed contract – and have the contract specify exactly what services will be included in the price. As a consumer, don’t add on services after the contract has been signed without a signed and properly initialed addendum. Protect yourself!
Understand how you’ll be charged. Movers quote prices by the item, by weight, or by the hour. They also charge for products used, so a little oversight in the packing department may pay off also. If you get an hourly quote, get a maximum and minimum price. If the quote is by item, make your own inventory list. A complete inventory is a good idea on any kind of move anyway. Just as the company lists what they pack in the box, you make your own lists. Yours will usually be a bit more complete, and more accurate. Using a digital camera to show the condition of items at the time of shipment is also not a waste of time. Digital cameras make this fast, easy, and inexpensive. These pictures can also be retained for certain types of insurance riders you might want later.
Ask the company for proof of insurance, and check your own homeowner’s policy to see if your insurer will cover your items during a move.
Get references from past customers, and then be sure to check them out. In addition, you can research companies on web sites such as www.bbb.org, www.safersys.org, operated by the Department of Transportation (DOT). With a company’s DOT or motor carrier number a consumer can find up-to-date insurance, safety, and inspection records. www.moving.org is a web site maintained by the American Moving Storage Association – an industry created watchdog organization. Another excellent site is www.movingscam.com, a web site established by someone who had been scammed, and decided to fight back.
File a complaint if necessary. You need to include copies of your contracts, receipts, and any other pertinent documents and photographs that will help you validate your claim. You can file through your local Better Business Bureau or with the Department of Transportation.
Finally, and again, be an informed consumer, do you homework, know the company you choose and make sure everything is in writing. It may be a little more effort in the beginning, but by the end of the move you will be much happier.

moving trucks storage

You can't be too careful when you're hiring a moving company. You cannot 'over protect' yourself. And don't be fooled by the presence of a contract. Contracts are great, and necessary, and provide you with some recourse – however – they in no way protect you from the scam. The reason? Possession is 9/10 of the law – that's the reason. Let's look at the scam, how it works, and why the contract is not actually a protective measure.

:: :: :: Next Page >>

Moving Company Scams The Bad Side of Deregulation

Moving Company Scams
The Bad Side of Deregulation