A grand-jury indictment in late January against more than a dozen household movers who allegedly defrauded and extorted hundreds of customers across the country should set off alarm bells to anyone who is moving.
Complaints against moving companies are common. The Better Business Bureau fielded nearly 10,000 from consumers in 2006, the last year for which statistics are available.
But the 14 defendants, including drivers and salesmen from two companies in California and Florida, were charged with more than tardiness and damages, according to a three-year investigation by the FBI, the Department of Transportation and the IRS.
They offered their clients extremely low estimates, then jacked up the price and withheld delivery until people paid up, the indictment charges.
“Incompetent and even deceptive movers are out there,” says Craig Broback, president of Graebel Van Lines in Denver. “Thousands of people each year fall prey to theft, extensive hidden costs and bait-and-switch tactics.”
To be sure, stiff competition among household movers makes it difficult to separate the good guys from the bad. But a little research will go a long way toward protecting yourself and your property.
“Selecting a mover shouldn’t be a 15-minute decision,” says Broback, whose company is a division of a worldwide relocation firm that has moved more than a million people since 1950.
For starters, get references from friends, neighbors and relatives. Even your real-estate agent may have some suggestions.
Also, ask the movers for references — their last 10 jobs. Then, call those people, seeing whether the movers were careful and on time and whether they would use them again.
Web sites may or may not be another source for leads. But make sure that the company’s site and collateral material provides licensing information, offers moving tips, spells out possible warranties, lists a local address and notes that crews are put through background checks and are trained.
“Consumers need to exercise caution when using the Internet,” warns Linda Bauer Darr, president of the American Moving and Storage Association in Alexandria, Va.
Also determine whether the person you are dealing with works for the firm he is representing. Brokers arrange for transportation only, and should not represent themselves as the mover. And if a broker offers an estimate, it isn’t binding on the mover, so you may have to pay more. Also, a broker has no liability.
After you have narrowed your choices to the top three, check their backgrounds and complaint histories with the BBB, AMSA and the Department of Transportation. If you are moving to another state, confirm that your movers are registered with the Federal Motor Carrier Safety Administration and that they have a DOT number, as required by law.
Never select a mover on price alone or on a verbal promise made over the telephone. Demand an in-home estimate. “Seeing the size and quantity of your belongings is the only way to effectively estimate costs,” says Broback.
If storage is necessary, visit the mover’s warehouse check out its condition.
Along the same lines, if you have a long, narrow driveway or other possible quirks, make sure that the mover visits your destination too. Extra labor may be necessary, which could lead to additional charges.
Get written estimates and compare them, so you can identify unrealistic lowball offers that could mean extra charges later.
Nonbinding estimates are not always accurate. By law, though, movers must deliver your goods for no more than 10 percent above a non-binding estimate.
However, that holds only if the scope of the job doesn’t change after the estimate was provided. So don’t add an extra stop or two to drop off, say, a bedroom set at the kids’ house, or include a number of items that weren’t on the original estimate.
Binding estimates guarantee the cost of the move based on the quantities and services shown on the estimate. But again, any changes and the estimate is out the window.
If you agree to a non-binding estimate, confirm the method of payment in writing. Whether cash (not a good idea), certified or cashier’s check, money order or credit card, it should be payable when the move is complete. If a deposit or prepayment is required, tell the mover to move along.
Your goods are not covered by your mover’s liability insurance. By law, movers are liable to pay only 60 cents per pound for lost or damaged goods. But you might be eligible for more protection through your homeowners or renters insurance policy.
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Write to Lew Sichelman c/o Chicago Tribune, Real Estate, 435 N. Michigan Ave., 4th floor, Chicago IL 60611. Or e-mail him at realestate@tribune.com. Answers will be supplied only through the newspaper.
