How to Protect Yourself from Fraudulent Mover Companies
Blog Exclusive, by Evgeniya Kulgina
As a newcomer to Canada, you might think that packing and unpacking is your best skill. But beware: newcomers are more likely to become victims of fraud by companies that assist in moving.
“Newcomers, in our experience, tend to find people from their own ethnic groups to help them move. There’s a greater comfort level with their own people than with a long-time company in their new country,” says John Novak, president and CEO of Tippet-Richardson Ltd, a mover company with 85 years of experience.
But what can be seen as advantage can results into some problems. “Unlicensed movers from various ethnic groups will say: ‘You can pay us cash.’ And newcomers fall for it. And then there’s no insurance, if someone gets hurt, there’s a great liability.Newcomers are much better off to go to an established mover who is licensed and has insurance,” Novak explains.
It might be expensive to use a certified company’s services, but, according to Novak, moving is one of the industries where you get only what you pay for.
John Levi, the president of the Canadian Association of Movers, says he hears daily from the people who have been scammed by unreliable movers. Victims find their goods broken and valuables stolen. Some people complain about overcharging, poor service, no-shows, delays and non-delivery.
But, according to Levi, it is consumers’ responsibility to protect themselves and find movers who can be trusted.
Ontario Ministry of Consumer Services has some advice on how you can protect yourself from unreliable movers:
- Do your research. Talk with your friends and family to find out what movers they recommend.
- Don’t use telephone directories (such as Yellow Pages), questionable websites, advertisement brought to you in the mail, telemarketing and classified ads.
- Contact agencies that can help you find a reputable mover. Use bodies like the Ministry of Consumer Services, the Better Business Bureau, or the Canadian Association of Movers.
- Check with the Ministry of Consumer Services “Beware List” . Once you are on the website, type in the name of the mover you are thinking to use. If there are any complaints about that mover, you will be able to see them.
- The cheapest movers aren’t necessarily the best deal. Do comparative shopping: find at least three estimates of how much it would cost.
- A reputable mover will want to inspect your furnishing to help prepare a quote (an estimate of the cost) . Don’t deal with movers who say the inspection is not necessary and gives you a quote over the phone.
- Get your estimates in writing. Make sure all parties (you and the mover company) sign a detailed written agreement. Keep copies of that agreement and any related correspondence.
- If the agreement was completed at your home, you have a 10-day “cooling off” period. It means that you can cancel that contract if you change your mind. You will be entitled to a full refund minus any goods or services that the supplier has already provided.
- Read the fine print and ask questions. Make sure you understand what your contract includes and what you are responsible for.
- Many movers won’t insure the goods if you packed them yourself.
- Before you sign a contract, you should know exactly what is covered by it. If after loading the goods the contractor tells you that you have to pay more, you should know that this is called “unfair practices”. It is a violation of the Ontario Consumer Protection act. At that point, you have to pay, but you should write the word “Under Protest” on the check. After the moving is done, contact the Ministry of Consumer Services.
And if you feel that you don’t understand the contract your mover wants you to sign, don’t be afraid to ask questions. “If he (the company’s representative) won’t answer the question, I would shy away from that mover right away," says Novak.
"People new to Canada should not be afraid to deal with established businesses. And the money they think they would save dealing with "friends of friends" is probably not worth it, especially when they are moving."