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CONSUMER ALERT |
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It has come to our
attention
- that
(internet
only) contractor referral services
are showing up everywhere. We caution you to use good judgment when using these services.
Some suggest that their participating
companies are thoroughly pre-screened. This might not always be the case. Many
times it is only a partial screening. We have noted companies listed with other services
that although properly licensed, have numerous problems and complaints. |
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Make sure you are dealing with a
legitimate referral service. Find
out how long
that
referral service has been in business. Be sure
to ask for a
representatives name, a business phone number and a street
address so that you may contact that referral service directly. You may also
ask them about their
screening guidelines and participation requirements. |
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Find
out
what
"interest"
they
have
in
your
contract.
Most
referral
services
charge
participating
companies
a
moderate
monthly
maintenance
fee.
Others
may
charge
the
contractor
an
additional
"percentage"
based
on
the
size
of
each
contract
the
contractor
signs.
Many
contractor
referral
services
call
this
percentage
a
"signing
fee"
or
"win
fee". |
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If
a
referral
service
charges
a
fee
that
is
based
on
the
size
of,
or
is
paid
as
a
result
of
any
"contract",
those
referral
services
become
"sales
agents"
for
that
contractor.
Any
person,
company
or
service
that
has
a
direct
monetary
interest
in
the
outcome
of
any
contract,
cannot
be
considered
as
an
unbiased
or
independent
source. |
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Beware of those
contractor referral services, that put you through a series of questions
in order to build a "client
database" on you. Do the salespeople at
your local convenience store or shoe store ask
you for your personal information or address?
Why do these on-line
services need to know
everything about you in order to assist you? |
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Remember -
The Internet is
a
tool
that
is
used by many
information
gathering
services
to derive
statistical
information
about
consumers
and
their
online
buying
habits. |
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Make sure
the referral service you rely on performs the
following checks. |
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1. |
Verifies state and
local
licenses
for
each participating company? |
2. |
Checks
licensing bureaus and reporting agencies for
complaints or past problems? |
3. |
Maintains a continuous relationship with
licensing
authorities
to stay current with
changing requirements and
regulations? |
4. |
Requires
companies to have been in business a
minimum amount of time (five years) before they can participate? |
5. |
Checks local attorney general's
offices for current
court
action
or on-going litigation. |
6. |
Keeps
workers compensation and
liability insurance certificates on all participating companies? |
7. |
Performs personal interviews at the
contractors home or place of business
to create a more
personal relationship with that contractor. |
8. |
Checks companies business references, such
as material houses and product suppliers, to assure their establishment
within the business community. |
9. |
Contacts
ten
customers
references
for
each
company to verify
job performance and
customer satisfaction. |
10. |
Update and
document
each
companies track
record and
make
that
information
available
for
a
customers
personal reference. |
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