Even during good times, moving can be stressful and overwhelming. Unfortunately, moving during the COVID-19 pandemic became even more complicated and tedious.
People had to add the stress of the global health crisis to the already tiring and sometimes depressing process of moving. Unfortunately, scammers and fraudsters took advantage of the pandemic to exploit vulnerable people.
In this article, we will discuss the lessons to learn from the impact COVID-19 had on the moving industry and the rise of moving frauds and scams during the pandemic.
The Impact of COVID-19 on the Moving Industry
The COVID-19 pandemic had a big impact on the moving industry. Due to the pandemic, many moving companies had to set up new safety protocols to keep their employees and customers safe. Most of these protocols led to longer wait times and higher costs for moving services.
Additionally, the pandemic caused a lot of job loss, brought about health concerns, and caused financial difficulties for some. Consequently, the demand for moving services began to rapidly increase. For instance, many people have been moving out of California due to high living costs and congested cities – both magnified by the pandemic.
The increase in moving demand created an enabling environment for fraudulent moving companies to take advantage of. According to a report by the Better Business Bureau, moving frauds and scams increased by more than 25% from the time the pandemic started till about a year later.
Many of these scams involve companies that claim to offer low-cost moving services. However, contrary to their claims, they overcharged their customers and withheld their belongings until they paid extremely high fees.
Lessons Learned from Moving Frauds and Scams During COVID
Do Your Research
You need to conduct thorough research before you decide to hire a moving company. Check for the kind of reputation they have on the Better Business Bureau website, read online reviews, and ask for recommendations from family and friends.
Get Everything in Writing
When you want to engage in business with a moving company, ask them for a written contract. Ensure that you see the contract clearly outlining the terms of the agreement.
Ideally, this document should include the cost of the move, the date of the move, liability insurance, and any other important details. If the company refuses to provide a written contract, you should consider it a red flag.
Avoid Deposits
Beware of moving companies that require you to make large deposits upfront. This is usually a clear warning sign as it is one of the tactic fraudulent companies use to extort people. Legitimate moving companies will either collect payment after they’ve completed the move, or require a deposit after all legitimate paperwork is completed.
Be Careful with Personal Information
On no account should you give out your personal information to a moving company. You should keep details like your social security number or bank account details away from them even if they ask.
If they ask, that can be a sign that they are fraudulent because those details are things they can use for their fraudulent activities.
Get multiple estimates
Don’t consult just one moving company and settle for what they offer you. Talk to different moving companies and get multiple estimates from them.
When you get the estimates, ensure to compare the prices and the services they offer. If a company's estimate is too low, you may want to stay away from them and reconsider your options.
Most times, low prices are signs of fraudulent moving companies. Hence, falling for cheap prices is a moving mistake you should avoid.
Always try to look for a company that offers high-quality services at reasonable industry prices.
Verify Licensing and Insurance
Always make sure to confirm that the moving company you want to hire has a license to operate and that they have insurance coverage. One way to verify a company's license is by checking with the Federal Motor Carrier Safety Administration (FMCSA) or your state's Department of Transportation.
You should also ask the moving company for proof of insurance to ensure that you're covered in case of any damage or loss during the move.
Trust Your Gut
Trust your instincts. If you think something seems too good to be true, it is probably too good to be true. You should be cautious when a moving company starts to make unrealistic promises or if they seem too unprofessional.
Conclusion
Moving is already stressful, but it doesn't have to be a nightmare as well. Simply ensure to stay vigilant, do your research, and take proactive steps so that you can protect yourself from moving frauds and scams.
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