The document provides a quiz about identifying potential home repair scams and best practices when hiring contractors. Some key signs of less reputable contractors include high-pressure sales tactics, lack of proper licensing and insurance, and unwillingness to provide a written contract. It's important to get multiple estimates, check references, and understand your rights to cancel a contract within three days if signed away from the contractor's place of business. A reputable contractor will provide all details in writing and carry necessary insurance to protect homeowners.

1. Test Yourself: Can You Stop a Home Repair Disaster? The most common home repair scams involve: Roofing Gutter cleaning Driveway paving Furnace repair All of the above A written contract is a formality and not really necessary when contracting for home improvements. True False You shouldn’t do business with someone who urges you to sign a contract before you’ve had a chance to review it. True False An advertisement in the home repair section of the Yellow Pages is proof a contractor is licensed and reputable. True False Which is a sign of a less than reputable contractor? Solicits door-to-door. Offers you discounts for finding other customers. Just happens to have material left over from a previous job. Is unavailable by phone except for an answering machine. All of the above. You only need to get one estimate for how much the job will cost. True False Your contractor should give you proof that he or she has paid all subcontractors and suppliers before you make your final payment. True False If you get a loan for your home repair, you should have the lender make the check out to the contractor. True False Which of the following can you afford to leave out of a repair contract? The contractor’s name, address, and phone number The contractor’s license number Costs for products and labor Brand names of materials, model and stock numbers Start up and completion dates None of the above Your contractor should carry what kind of insurance? Personal liability Worker’s compensation Property damage All of the above If you use your home as security for a home improvement loan and you don’t repay the loan as agreed, you could lose your home. True False If you sign the contract in your home or at a location that is not the seller’s permanent place of business, you have three business days to cancel the deal. True False A change order is a written agreement to change the work described in the original contract. It could affect the project’s cost and schedule. True False When comparing estimates, make sure each one is based on: reputation and price reliability and experience price only any two of the above Answers All of the above - Other common home repair scams involve chimneys, windows, electrical wiring, tree pruning, water treatment and pest extermination. False - A clear and detailed contract is important no matter if the job is big or small. True - High-pressure sales tactics are a clue you’re dealing with a salesperson you should avoid. Reputable contractors don’t pressure you to sign a contract. They know you need time to study the contract, get other estimates or talk to a trusted friend or relative. False - Anyone can buy an ad in the Yellow Pages. An ad proves nothing about the quality of a contractor’s work. Instead get recommendations from friends, neighbors and coworkers who have had good work done. You also can check out contractors with the Better Business Bureau and state and local consumer protection officials. All of the above - Stay away from contractors who tell your job will be a
demonstration,
who pressure you for an immediate decision, or who ask you to pay for the entire job upfront. False - It may take a little more time to get a second or third estimate, but you will save money and headaches in the long run. Even though the
deal at the door
may sound good, you may be headed for a disaster. They’re often some combination of shoddy or incomplete work, inferior materials and high prices. True - The laws in your state may allow unpaid subcontractors and suppliers to “attach
your home through a “mechanics’ lien.
That means the subcontractors and suppliers could go to court to force you to sell your home to satisfy their unpaid bills from your project. None of the above - Not having a detailed contract can be disastrous. The contract also must spell out what jobs will and will not be performed. All of the above - Avoid doing business with workers who don’t carry the appropriate insurance. Otherwise, you may find yourself paying for any injuries and damages that happen on the job. False – The check should be made out to you. Otherwise, you lose control of the funds. True - The lender can sell your home and use the proceeds to pay off the loan and any foreclosure costs. True - The Federal Trade Commission’s Cooling-Off rule gives you three days to cancel the contract signed in your home or at a location other than the seller’s permanent place of business. When you sign, the contractor must give you two copies of your contract or receipt. It must be dated, show the name and address of the contractor and explain your right to cancel. True – Remodelers often require payment for change orders before the work begins. Reputation, price, reliability and experience are keys to a quality home improvement project. Price alone is never an indication of a remodeler’s competence or ability to complete your project.