Last Updated on July 13, 2024 by Asfa Rasheed
There are all sorts of scams out there, and unfortunately, foundation scams seem to be on the rise. If you’re unfamiliar with them, it’s important to learn about them to protect yourself from becoming a victim. In this blog post, we will discuss the different types of foundation scams and how best to protect yourself from them. We’ll also provide tips for spotting a scam before it’s too late!
Table of Contents
The multiple name game:
One type of foundation scam is when a dishonest person creates multiple foundations with slightly different names. They may do this to confuse potential donors or to try to collect money from various sources. To protect yourself from this type of scam, be sure to research any foundation you’re considering donating to. Make sure you know exactly who they are and what they do before you give them any money.
The fake charity:
Another type of foundation scam is when someone creates a fake charity to collect donations. This can be difficult to spot, as the phony charity may have a website and social media presence that looks legitimate. However, there are some red flags you can look for, such as unrealistic claims or promises, pressure to donate immediately, or requests for personal information. If you’re unsure about a charity, you can always check with the Better Business Bureau to see if they have any complaints on file.
The grant scam:
This scam usually targets small businesses or individuals seeking grant money. The scammer will promise to help you secure funding but will ask for an upfront fee. They may also request personal information such as your Social Security number or bank account information. Be very careful before giving anyone any money or personal information, and make sure you research the organization thoroughly before working with them.
The Name Change Game:
This one is pretty much self-explanatory. Here, a foundation repair changes its name frequently to avoid the bad reviews that come with shoddy foundation jobs. They may even do this multiple times within a short period. Research any foundation repair company you’re considering working with to protect yourself. Check online reviews and ensure they have a good reputation before agreeing to anything.
The insurance scam:
Most foundation repair companies will tell you they have insurance. A few will even go as far as to give you examples and references of instances where someone claimed foundation insurance. What they don’t tell you is that their insurance doesn’t cover anything. If something goes wrong, you’re on your own. To avoid this scam, ask for a copy of the foundation repair company’s insurance policy before you agree to work with them. To see if the insurance is valid, check for the policy number and call the insurance company to confirm coverage.
The experience game:
This is something we see the most. Most companies will lie to you about the number of years they have been in the business. They will also claim to have worked on projects similar to yours even if they haven’t. The best way to avoid this scam is by doing your research. Check online reviews and ask for references from the foundation repair company. You should also ask how many projects they’ve completed that are similar to yours in scope and size.
The subcontractor scheme:
This is another common scam in the foundation repair industry. The company will claim to have a team of experienced and qualified workers. However, they will subcontract the job to an unqualified third party. This can lead to subpar workmanship and potentially dangerous foundation problems. To avoid this, ask for references from the foundation repair company. You should also ask if they plan on using any subcontractors for your project. If so, get the contact information for those subcontractors so you can do your research.
The cheapest price scam:
Leaving the best for last, the cheapest price scam is probably the most common one out there. In this scam, the foundation repair company will give you a significantly lower quote than their competitors. They may even offer to do the job for free or at a deeply discounted rate. However, this low price usually comes with subpar workmanship and materials. To avoid this, get multiple quotes from different foundation repair companies before deciding. Be sure to compare the price and the quality of work and materials they use.
Now that you know about the different types of foundation scams out there, you can be more vigilant in protecting yourself from them. Remember to do your research before hiring any foundation repair company, and here are a few red flags you should avoid:
There are some red flags that can help you spot a foundation scam before it’s too late:
-The foundation repair company is pressuring you to make a decision immediately
-They are offering a “discount” if you sign up for their services right away
-They are asking for personal information such as your Social Security number or bank account information
-They are not willing to provide references from past clients
-They are not insured, or their insurance policy is invalid
If you see any of these red flags, it’s best to walk away and find another foundation repair company. There are plenty of reputable businesses out there that don’t resort to scams. Do your research and take your time to find the right one for your needs. With a little effort, you can avoid being scammed and end up with a safe and sound foundation.
