TDCI Shares Consumer Tips to Avoid Scammers, Fly-By-Night Contractors When Rebuilding After Helene
Agency Urges Consumers To Always Check the Contractors’ Licensing StatusNASHVILLE – The Tennessee Department of Commerce & Insurance (TDCI) and the Tennessee Board for Licensing Contractors remind consumers who are rebuilding after Hurricane Helene of the steps they should take to help ensure a smooth rebuilding process in the wake of this disaster.
Unfortunately, natural disasters draw storm-chasing scammers to affected areas where they may claim to be licensed, professional contractors but only deliver subpar work or, worse, take a homeowner’s money and leave him or her holding the bag.
“While the majority of Tennessee’s contractors play by the rules and deliver quality work, there may be some who come to Tennessee and leave consumers dissatisfied,” said Assistant Commissioner for the Division of Regulatory Boards Reid Witcher. “If consumers have concerns about a contractor, they should contact our team to ask questions or to file a complaint.”
Consumers are encouraged to file complaints with TDCI when they feel they have been the victim of an unfair or deceptive business practice, witnessed unlicensed activity, or seen suspected misconduct or other violations of respective laws or rules.
“TDCI’s Board for Licensing Contractors team pledges our support to everyone who is recovering and rebuilding in the wake of the devastation caused by Hurricane Helene,” said Board Executive Director Christopher Burkhart. “We are ready to assist consumers and to serve as a resource for them when they have questions and concerns about hiring contractors.”
Consumers who are in the midst of rebuilding after Helene should remember the following tips.
- Be wary of contractors selling repairs or offering to remove debris door-to-door, especially when they ask to receive payment upfront or offer deep discounts.
- Before hiring a professional, consumers should first visit TDCI’s Verify licensing database in order to verify that the individual is properly licensed to work in Tennessee. The database has the status of a professional’s license, how long the individual or company has been licensed, when their license expires, and additional helpful information. All out-of-state contractors must be properly licensed in Tennessee to conduct business here.
- In Tennessee, a contractor’s license is required before bidding or price negotiations when the total cost of the project is $25,000 or more.
- For work of less than $25,000, consumers should check with their local government’s building codes office to confirm whether a contractor needs a state license or local license to perform home improvement, electrical, plumbing or HVAC work, as well as their permit requirements for inspections. TDCI’s website includes information on who needs a home improvement license, a limited licensed plumber license, and a limited licensed electrician’s license.
- Get several bids and check references before committing to a contractor.
- Generally, consumers should not accept any construction contract that requires paying more than 1/3 of the cost of a project upfront. Make sure you have the terms of payment in writing.
- Document the work being completed on your property with photos and video.
- Tennessee's felony theft law covers consumers whenever a contractor takes money and fails to perform work within 90 days. Pursuant to T.C.A. § 39-14-105, consumers may contact local law enforcement and file charges to prosecute the contractor for theft. You can find more information online.
(TDCI’s Board for Licensing Contractors team can be contacted at (800) 544-7693 or (615) 741-8307 or emailing our team at contractors.home-improvement@tn.gov.
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