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5 Moving Scams to Look Out for and How to Avoid Them

Canadians lost more than $730,000 to moving scams in 2021. The last thing anyone wants is to lose their things before moving into a new place.

A move is supposed to be exciting and fun. Don’t let a scam ruin that.

Some moving scams are sophisticated and hard to tell apart from trustworthy moving services. Keep reading below for five red flags to look out for when choosing a moving company.

1. Requiring a Deposit

Moving companies that require a deposit should not be trusted. “Moving day” deposits, especially large or cash sums, are a way to get your money upfront. Once a scammy company has your deposit, they will take the money and disappear.

Legitimate moving companies generally ask for payment upon delivery. 

Avoid this Scam: Avoid any company that requires a deposit. Check with the Better Business Bureau of Canada to ensure a moving company’s legitimacy. You can also talk to your real estate agent for their recommendations. 

2. Insurance Issues

Moving companies must have insurance to operate legally. A moving insurance policy covers damages or losses that occur during the move. If the company you are interested in cannot provide proof of insurance, take your business elsewhere.

Likewise, if the company offers blanket full protection, proceed with caution. It is likely to be a scam. 

Avoid this Scam: Thoroughly research the company you’re considering. Ensure they have an up-to-date moving insurance policy. If you sign up for additional insurance, get a copy of the policy and receipt.

3. No Contract Requirements

All reputable moving services will require a contract. The contract is a legally binding document that protects you and the company. A trustworthy contract includes an inventory of items, delivery dates and times, an estimate, and other extra fees.

Avoid this Scam: Ask up front for a contract. If a company can’t provide one, don’t use their services.

Even if they give you a contract, read it from top to bottom before signing.

4. Missing Documents

Besides missing an insurance policy and a contract, some scam moving companies might be missing other documents. For example, Canadian businesses must have a business license and Canadian Revenue Agency number. 

Another important document is a Canadian Association of Movers (CAM) membership. CAM members must adhere to strict guidelines. If your mover is on their membership list, rest assured you’re in good hands.

Avoid this Scam: Ask to review a mover’s documents before agreeing to work with them.

5. Demanding Extra Payment

If a mover comes and picks up your things and then tries to ask for more money, you might be getting scammed. A scam company might hold your things hostage until you pay more.

Avoid this Scam: Remember to review the estimate and contract before signing. 

Avoiding Moving Scams

A moving scam could cost you thousands of dollars and your prized possessions. Avoid scams by double-checking a business’s track record and thoroughly reading documents and contracts.

For a company you know you can trust, call Two Amigos today.

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