Consumer - Repair/Scams
In the world of repairs the smart consumer learns, usually through bitter experience, that the proverb "an ounce of prevention is worth a pound of cure" contains words to live by. Most consumer problems in repairs come about because protecting yourself was not thought through before getting into the deal..
[Back to Top]The best way to avoid auto repair problems is to ask around for a reliable repair shop. Ask friends, neighbors, and relatives for their opinion on the repair shop you are considering. When faced with a major repair, get more than one estimate if at all possible. Even if your car is inoperable, you can call a number of garages to see what they charge for a rebuilt engine or new carburetor, for example.
When gathering information on the shop's reputation, ask about their reputation for fair pricing, quality of work, and history of following through on promises. As is so true in most consumer transactions, cheapest is not always best. More than one customer has shopped for the best price, but forgot to also check out whether the shop finished the job when requested and promised. You may end up having to wait an extra week or month to regain use of your car.
Being a smart consumer will not avoid every auto repair problem. If you do have a dispute over a faulty repair or an exorbitant bill, there are a few remedies available to help you out.
Michigan has a Motor Vehicle Service and Repair Act that requires auto repair facilities to register with the Bureau of Automotive Regulation. There are limited exceptions for gas stations that only sell gas, or individuals who only work on family autos, so if your repairman is your grandson, you may not have the same protections. Licensed repair shops are to give a written estimate of the work if it is $20 or more, and offer to return or inspect the replaced parts. Take advantage of these protections. When you have a dispute with a registered auto repair shop or an auto dealer, you can file a complaint against them with the Bureau at (800) 292-4204. If the repair shop is violating the Act, they can be fined or prosecuted. You can also sue the repair shop for damages related to the repair. If you need to hire an attorney, attorney fees are allowed if you win. If the amount in dispute is below $3,000 (as of 2007), you can handle the claim yourself in Small Claims Court.
Home Repairs
Again, the smart consumer uses an ounce of prevention when looking into home repair contracts. There are many unscrupulous businesses, which prey on seniors' inexperience with this subject. Be wary and follow these minimum protections:
- Check with your local Better Business Bureau to see if any complaints have been filed against the contractor.
- Never be pressured into a "today only" offer. The story, "we are in the neighborhood today and since we're here it will be cheaper to redo your asphalt driveway" is a classic home repair scam.
- Get the deal in writing. At a minimum you need:
1. The contractor's name, phone and address (a surprising number of homeowners don't have this information when they need to file a complaint).
2. If the job is for more than $600, the contractor should, by law, be licensed. Get the license number. If there is a problem, the state won’t help you if the contractor is not licensed.
- What is the total price, and what is included in it? Who pays for the dumpster and clean up? Are you buying the materials or is the contractor?
- When does the job start and when is it to be finished? Jobs that are left unfinished for months are a common problem. Address this issue in writing up front so there is no misunderstanding on how long you have to wait to have your home back in operating order.
- Is the contractor insured? Don’t just ask, demand to see their current policy.
- Get references and check them.
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Disputes
If you are in a dispute with a contractor you have a number of remedies. To start, try writing to the contractor, setting out what is wrong, what you want done to make it right, when you want this finished, and what you will do next if you don't get a satisfactory response. Sometimes it’s harder for the contractor to ignore a letter than a phone call. Make an impact: send your letter by certified mail. If you haven't paid in full, hold onto the amount in dispute until you receive the full services and goods covered by your contract. Often, this is the best way to protect yourself. If you are in the unfortunate position of having paid, you may need to get an estimate from another contractor of the cost of finishing or correcting the job – this will be the amount of the damages you will have to bring suit to collect. If your dispute concerns shoddy workmanship, you should request an inspection from your local Building Department. A report citing defective work and code violations will strengthen your claim and will be required if you file a complaint with the state agency. (Note: under Michigan law, if the contractor is unlicensed and the cost of work exceeds $600, he or she cannot go to court to sue you.)
If your letter doesn't work, the dispute is less than 18 months old, and the contractor is licensed, the letter can be the outline for filing a complaint with the Department of Labor and Economic Growth (DLEG), Bureau of Construction Codes. The number to call for the Department’s Enforcement Division is (517) 241-6480. You can find out if a contractor is licensed by calling (517) 241-9427. If you have a local Better Business Bureau, you can also file a complaint with them. The DLEG Enforcement Division may intervene on your behalf to get the resolution you desire.
The final remedy is to sue in court for damages. If the amount in dispute is $3,000 or less, you can use Small Claims Court. If more than that, you should hire a lawyer to represent you in District Court.
Scams
Older people, and especially single older women, are more likely to be cheated through various kinds of scams involving goods, services, and contests. People who were the targets of consumer scams often report the following reasons they were duped:
- The person who called, or stopped by, seemed so nice…the person seemed so trustworthy.
- The offer, or price, seemed so good…it appeared to be a really good deal that I couldn’t find elsewhere and didn’t want to miss.
- The interest rate they offered on an investment, or the chance I had of winning the contest, was the best that I had ever seen.
- They sweet-talked me into giving my credit card, or bank account, number before I realized what I had done.
- My husband usually made these decisions and I didn’t feel like I knew what I was doing…they took advantage of this.
The predators who cheat people in scams know exactly what they are doing and know plenty of tricks to snare the unwary. Many times they have access to so-called "sucker lists"—lists which they purchase, naming people who are easy marks, who have responded to mail order or telemarketing offers or home solicitations. So, how can you protect yourself? Being careful just isn’t enough. Many victims report that they never responded to these come-ons previously—they can’t figure out what came over them. The best way to protect yourself from these kinds of scams is to completely avoid them by not purchasing anything through the mail, over the telephone, over the internet, or in your living room, unless you know the person you are dealing with.
If you have been victimized by a scam you should contact the Consumer Protection Division of the Office of the Michigan Attorney General at (877) 765-8388, and the Federal Trade Commission at (877) 382-4357. Further support and assistance is available through the Legal Hotline for Michigan Seniors at (800) 347-5297, and the National Fraud Information Center at (800) 876-7060.
To request that your name be placed on a list of people who do not want to receive unsolicited mail, write to:
Mail Preference Service c/o Direct Marketing Association
PO Box 9008
Farmingdale, NY 11735-9008
The Federal Trade Commission has set up The National Do Not Call Registry to give you a choice about whether to receive telemarketing calls at home. Go to the website to register up to 3 telephone numbers. You can also register by phone by calling 1-888-382-1222. The protection lasts for 5 years. Most telemarketers should not call your number once it has been on the registry for 31 days. If they do, you can file a complaint at the Do Not Call website.
| Follow these 4 steps if you think you've been the victim of identity theft. Click on each link for more detail: |
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1. Contact the Fraud Departments of the Major Credit Bureaus |
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| 2. Close Your Affected Accounts | |||||||
| 3. File a Police Report | |||||||
4. File a Complaint with the FTC
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1.Contact the fraud departments of one of the three major credit bureaus to put a fraud alert on your file. The three major credit bureaus are listed below. You need to place a call and send a letter (A sample letter has been provided.) You only need to contact one bureau because once the order is placed that bureau will contact the other two bureaus to notify them of the fraud alert. Credit Bureaus - Fraud Departments
Once this step is done, you may order a free copy of your credit report from any of the three major creditor bureaus. Keep in mind that you only get three credit reports free per year, one from each credit bureau (click here for more info from the Michigan Attorney General ). It is probably a good idea to stagger the three reports throughout the resolving of the issue to keep track of your progress. 2. Close the accounts at each company where you know or believe to know that the account has been tampered with or opened fraudulently. Follow up in writing and include copies of supporting documents. It is important to notify credit card companies and banks in writing. Send your letters by certified mail, return receipt requested, so you can document what the company received and when. If this involves disputing a newly opened unauthorized account, fill out the ID Theft Affidavit found by clicking here. 3. File a police report and retain a copy to submit to your creditors and others that may require proof of a crime. Click here for the michigan.gov Directory of Michigan Law Enforcement Agencies 4. File your complaint with the FTC. The FTC maintains an online complaint form which can be found by clicking here. Besides contact information, be prepared to provide the types of identity theft you have experienced, be able to describe you complaint, provide details which includes dates, and possible information on the suspected thief if known.
Finally, once you feel that the issue has been resolved you will need to remove the fraud alert. The only way to accomplish this is by writing. A sample fraud alert removal letter is provided below. |
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Sample Fraud Alert Removal Letter:
This letter is to...
TO: _________________________________________________
Address Line 1: _________________________________________________
Address Line 2: _________________________________________________
City, State Zip: __________________________________________________
To whom it may concern,
I am writing to request that the fraud alert put on my account be removed. Recently, I
suspected that my identity had been stolen but now the issue has been resolved.
My account number is _____________________________________________
(Include any details that you deem necessary in the box below)
Sincerely,
Sign here and date after printing (Month/Day/Year)
________________________________________________________________________
Signature Date
Your Name FROM: ________________________________________________
Your Street Address: ________________________________________________
Your Street Address: ________________________________________________
Your City, State ZIP: ________________________________________________
Instructions for Fraud Removal Letter:
1. Send by regular mail
2. Keep a copy for your records
3. Do not mail these instructions – Keep them for your records
Equifax
Equifax Credit Information Services
P.O. Box 740241
Atlanta, GA 30374
Experian
Experian’s National Consumer Assistance
P.O. Box 2002
Allen, TX 75013
TransUnion
TransUnion
Fraud Victim’s Assistance Department
P.O. Box 6790
Fullerton, CA 92834
