That's when people unwittingly enter a nightmare world they might never have known about. The moving industry is more scam-ridden than other businesses and the reason goes back to October 1980. In the United States, the industry was deregulated by the Household Goods Transportation Act. It allowed interstate movers to issue binding estimates for the first time, meaning they could compete on the basis of price instead of customer service.
Hundreds of new companies set up shop and competition became fierce. They had to set prices lower and lower to get business, and making a profit became difficult. The unfortunate result was moving companies turned to questionable practices, for example, demanding outrageous fees to unload a truck full of a client's possessions. Learn to recognize a dishonest moving company before becoming another statistic.
Tactics Used by Dishonest Moving Companies
- Low Ball Quotes - In this situation, the moving company will give a quote that's too good to be true, and then the customer will be hit up for extra charges at the destination — sometimes as much as double or quadruple the amount that was agreed upon. The company will hide a truckload of belongings in an undisclosed warehouse. If customers want those items returned, they will have no choice but to fork over a huge sum.
- Subcontracting the Move - Another devious scheme is for a moving company to accept a job, and then subcontract it to another mover for half the money that was paid by the customer. This subcontractor is not bound by the rules of the original contract, nor the accepted schedule. The employees who show up to move a customer's belongings have no real experience moving heavy and fragile items. The result is damaged furniture and busted appliances.
- Price Based on Cubic Feet - Moving companies count on the fact that customers are liable to forget about some items that need to be moved. A low cubic foot estimate is usually given over the phone. When the movers show up, they pack everything loosely taking up more space and might use a second truck. Additional cubic space will be charged at a higher rate, rapidly inflating the original price.
It doesn't stop there. Moving companies can gas up a truck after loading a client's property but before going to a weigh station, adding pounds to the load. They can add surcharges for going up a flight of stairs and an elevator. Or, they can claim it wasn't possible to park directly in front of a house, resulting in long carrier charges from half a block away.
How Customers Can Protect Themselves
The best thing that can be done when hiring a moving company is to hire licensed movers regulated by the Federal Motor Carriers Safety Administration (FMCSA). If people are moving from one state to another, a U.S. Department of Transportation number will be issued by the FMCSA. A mover's license can be checked on protectyourmove.gov. Every moving company must have a document called Your Rights and Responsibilities When You Move. Ask for a copy of it and legitimate firms will hand it over willingly. Scammers will not want people to have this information.
Always get written estimates from a moving company. There is really no other way for them to get an accurate sense of what needs to be moved until they see it in person. Insist they come to the house or apartment, and carefully scrutinize their list to make sure nothing is missing. Get a quote based on weight instead of on cubic footage. Customers are well within their rights to tag along with the movers to a weigh station.
Ask for referrals. A good moving company won't hesitate to provide feedback from previous customers — good and bad. Any business that is worth something can rely on word of mouth promotion. Get the full company name and any DBA (doing business as) names, the physical address, phone/fax number, e-mail address and website address.
Scott Hayden - Since joining Suite101 in early 2007, I've contributed articles about travel, history and health. My speciality is writing about workplace ...
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