How to Avoid Moving Scams – Info & Guide

Moving in general can be a big change for many people. Thus, avoiding potential scam and fraud has become a key concern for thousands of the millions moving each year. With the fierce competition in the moving business, numerous moving companies low-ball their estimates just to get the deal and these are the ones the costumer should be worried about. Therefore, despite the fact that you are looking for the best price, don’t be lured only by the lowest price, but take into consideration other factors. This is why we decided to cover the whole idea about moving scams and finding the best moving company for your upcoming move.

Where to Start When Looking for Movers?

Do your part and research some specifics about the moving company you’ve decided to use in order to ensure you are not wasting your time and money by being scammed. First of all, learn how to recognize rogue movers and spare yourself a stressful situation. Most moving companies are legitimate businesses, but in recent years, many complaints for scam have been received. The best defense to recognize the illegitimate ones is before they load your goods. Find several moving companies and compare the rates and prices. That should give you a hint as to what to expect and is the offer you are getting a potential scam.

How to Avoid Possible Moving Scams

Here is how to beware of moving scams by researching and asking the right moving questions in advance.

• Typical scammers usually give you a low estimate price over the phone and promise to get the job done in a very short amount of time, which makes you feel that you got a bargain. This is one of the most popular moving scams. The good thing is that it appears immediately at your first contact with the moving company which means you can recognize it right away, hang up the phone and move on to the next company.
• They also may demand only cash payment or a big deposit. Most scammers demand cash only. Usually a deposit would be about 10% – so beware of a possible scam scheme if the percentage in your case is significantly larger. And in that way if you pay by cash you cannot dispute the charges with your credit card company. In most cases the movers can’t be reached once your items are delivered.
• Another sign to look out for a scam is if the movers don’t have a website – a standard company asset in 21 century – or there is a site, but without any information about licensing or insurance. It is required by law that all moving companies have their DOT number listed visible on their website. This is the government’s ways to ensure that people who move will be using the services of a licensed company and to protect everyone who is moving from scam. Ask your mover about their licensing information and check them with the Department of Transportation. Do not deal with unlicensed movers as there is a great change of becoming a victim of a scam scheme.
• They also should give you a copy of your “Rights and Responsibilities” booklet required by Federal regulations. This booklet includes basic information you should be aware of.
• Most of the reputable moving companies should have their own branded company trucks. Demand moving with a company owned vehicle and not a rental or unsigned vehicle.
• Read moving reviews, ratings and consumer reports before booking. By reading other peoples’ testimonials and complaints online you will be prepared and know which company provides better moving services. By checking out some reviews you will also know what unfortunate scamming situations other people have been to and how you can beware and be careful for these not to happen to you.
• It is a good idea to deal with BBB certified movers.

Red Flags when Choosing a Mover

Here are some tips to look for when selecting a moving company and how to distinguish the good from the bad companies. These are some of the things that most companies specializing in moving scams often do:

• When you call the mover, the telephone is answered with a generic “Movers” or “Moving company”, rather than the company’s name.
• The movers demand cash or a large deposit before the move.
• On moving day, a rental truck (usually a Ryder, Penske or a Budget truck) arrives rather than a company-owned and marked fleet truck. Note that sometimes even the large reputable companies hire rental trucks, but this usually is only in the busy summer months. This should not worry you once your moving company is well checked and you are sure you can rely on it for your move.
• The moving company website does not offer information about licensing or insurance as they are required to do so by law. This is one of the most obvious signs for a potential scam you can easily spot.
• They have only good reviews (written by employees) or only bad reviews (written by dissatisfied customers). Yes, unreputable moving companies can be very industrious in their scam plans.

Consider Federal, State and Local Organizations

All movers in the USA should be registered with the US Department of Transportation

Consider Federal, State and Local organizations involved in and overlooking the moving business. The Federal Motor Carrier Safety Administration (FACSA), of the U.S. Department of Transportation (DOT) partners with Federal, State and local associations and agencies to ensure that the costumer has the required information about the moving industry and how to prevent scam. It is important that you know which are these agencies and moving associations that you can turn to in case you need to file a complaint or have questions. You can always Google them or here are some suggestions:

• The moving company you have chosen is not only licensed and insured, but a member of association that has established certain standards promoting fair business. Such a company will want to keep its reputation so it is not very likely to expect scam from it.
• It is always good to verify if they are BBB accredited business.
• If they are a member of the most trusted moving associations in the U.S. – American Moving and Storage Association.

According to Wikipedia, there are only about 20 people employed in the Federal Motor Carrier Safety Administration (which is part of the US Dept. of Transportation) to patrol the thousands of moving companies. That is why you should stay away from getting scammed at all costs. For more information on moving associations, you can refer to our moving associations information article.

People say education and information bring about change, thus be ready that the moving business is a complicated matter and you have to be aware of your rights and responsibilities in order to be protected from scam. You can also check the Protect Your Move government website for more relocation information.

What do you think about this article? Let us know in the comments below.

Author: Martin Panayotovon May 9, 2011
An expert contributor to My Moving Reviews.