BBB offers tips to protect you from 'storm chasers'

NOW: BBB offers tips to protect you from ’storm chasers’

MILWAUKEE, Wis. (CBS 58) -- Cleanup is underway across Wisconsin after powerful storms tore through the state overnight Wednesday into Thursday, July 29. Four tornadoes were confirmed in the area. 

The Better Business Bureau (BBB) Serving Wisconsin is warning homeowners impacted by the storms to beware of "storm chasers" and out-of-town contractors soliciting business. 

The BBB says, although not all storm chasers are scammers, they may lack the proper licensing for your area, offer quick fixes, or make big promises they can’t deliver.

"In times like this, remember that scammers work off of emotion. So you're upset, you're worried, you don't know what's gonna happen and they claim they're gonna help you fast with a low, low price," said Jim Tenner, president and CEO of BBB Serving Wisconsin. "Don't believe it."

The BBB Says ask friends and neighbors about reliable local contractors in your area.

BBB also has these specific tips for victims of natural disasters:

Contact your insurance company. Ask about your policy coverage and specific filing requirements. Save all receipts, including those for food, temporary lodging, or other expenses that may be covered under your policy. Your insurance company may also have recommended contractors.

Do your research. Find businesses you can trust on BBB.org. Ask contractors to see their certificate of insurance and contractor's licenses, then verify the licenses with the Wisconsin Department of Safety and Professional Services. Get references from friends and relatives.

Resist high-pressure sales. Some storm chasers use tactics such as the “good deal” you’ll get only if you hire the contractor on the spot. Be proactive in selecting a contractor and not re-active to sales calls on the phone or door-to-door pitches. Disaster victims should never feel forced to make a hasty decision or to choose an unknown contractor.

Be especially careful of door-to-door contractors. Many municipalities require a solicitation permit if salespeople go door-to-door. Ask for identification. Check their vehicle for a business name, phone number, and license plates for your state or province.

Don’t sign over insurance checks to contractors. Get an invoice from the contractor and pay them directly (preferably with a credit card, which offers additional fraud protection over other forms of payment). Don’t sign any documents that give the contractor any rights to your insurance claims. If you have questions, contact your insurance company or agent.

Be wary regarding places you can’t see. While most contractors abide by the law, be careful allowing someone you do not know to inspect your roof and other areas of your house. An unethical contractor may actually create damage to get work. The same goes for attics, crawl spaces, ducts, and other places you cannot easily access or see for yourself.

The BBB is also warning contractors to beware of storm chasers who offer to pay local construction companies substantial amounts of money to use the business’s established name, reputation, and phone. They masquerade as a local business, collect the insurance money and then move on, leaving the real business to deal with unsatisfied customers due to bad workmanship, unfinished work, or unfulfilled warranties.

Here are some additional resources from the BBB:

Find a reputable tree service company you can trust.

Report scams to BBB.org/ScamTracker.

Read BBB's Tips on hiring a contractor.

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