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Moving Company Scams – Movers Scam


NOTE: Please look below this report for comments by the company, individuals, employees, ex-employees and victims, if there are any. They may contain invaluable and important updates about this case.

You probably haven’t heard or even are not aware of moving company scams. Nevertheless the moving industry seems to be much more scam-ridden than many other industries. Before we begin I just want to point out that is recommended moving yourself if possible, or using a you-pack/we-drive service. Although sometimes circumstances don’t allow that so we will discuss some tips on avoiding moving company scams and how to find one you can trust. But first lets take a look what moving scam is and how it works.

Most moving companies are completely legit, however more than a few will try to trick you into paying a lot more money than you expected. Leaving normal transportation scratches aside, moving can become a big stress factor and pain if you run into a moving company scam. It starts with moving companies trying to beat each others low bid to move your possessions for you. Basic rules of competition that you would take advantage in most cases, but not in the moving industry. At least let the low bid not be your priority when choosing a moving company, because in the end you may get a double or triple than your estimated quote.

moving company scams

As mentioned before competition is usually a great thing for the customer, because of the lower prices the companies have to give in order to survive in the business. As the number of competitors was rising the prices for moving were falling, which meant that it became more difficult to make a profit. At this point some of them began holding your goods ‘hostage’ while they demanded that you pay some extra fees that have occurred during transportation or any similar trumped up lie. There was a case of a company who has given an estimate of $2000 for the transportation. The contract was more or less blank. The contract which has been signed by the customer had lots of room to add additional information and fees to it after it was signed. The estimate then doubled, and because the customer protested, they still hadn’t delivered her goods six weeks later.

As you see one important factor in moving is the estimate. Most consumers believe that only one estimate exists and that is the one who gives you an estimated price which can however be double of the amount or half of the amount. In fact there are actually three types of estimates that are common in the moving industry. You should be aware of all of them;

Binding Not-To-Be-Exceeded – This true estimate is the preferred and most favorable for the customer. A basic understanding of it means that even if your actual weight exceeds the original written estimate, you still pay for only the amount of the estimate. But if your actual weight is less than the estimate, then you pay less than the amount of the estimate. A binding-not-to-exceed estimate can only get lower, not higher. If you can you should definitely choose this option!

Fixed Price Agreement – If you sign this you agree to pay the fixed amount of the binding written estimate whatever the actual weight in the end is. Risk to the costumer is that the moving company could overprice the estimate to get extra money for pounds that don’t exist. The risk for the moving business is that the costumer could sneak in items that were hidden and not included on the original estimate. However the risk to the company is almost does not exist, because the truck driver has the right to “challenge” the binding estimate on loading day, before actually loading, if he thinks that the estimate is too low.

Non-Binding Agreement – You agree to pay for the actual weight, not the estimate, based on a set price per pound. The final bill could be higher or lower than the original written estimate, depending on the actual weight.

GUIDELINES TO AVOID MOVING COMPANY SCAMS

  • Most of the moving company scams can be found on the web. They have a convenient few clicks method of getting the estimated price on their web site and with their low bids lock you up. Many of these web site moving companies don’t even have an office or claim to have one far far away. Choose your moving company locally. Choose one that you have personally seen the office of
  • Any true business of any value can rely on mouth to mouth promotion. When they do a good job, customers will recommend them to their friends or talk about them when inquired. So ask around for a moving company who left positive and pleasant experiences behind
  • Trust established businesses above newcomers! Try to find moving companies that have been in business at least ten years. When you find the moving company of your choice get as as much information about the company that you can. Get the full company name and any DBA names, their physical address, phone numbers (local and toll-free), government license numbers, company web site address and email. Do a search online to make sure the company isn’t already a known scammer; go to the address of the company and check out their yard and their trucks. Obviously there are reputable firms online, but there is an unusual number of horror stories from customers who hired movers online. Last but not least, get references and call them. Ask for opinions and previous experiences with this particular moving company
  • Is the price estimate based on square feet or weight? If you are given a quote by square feet you should rather try another moving company. This alone is not proof that the mover giving you a quote won’t be honest but it’s definitely something to be cautions about. A lot of space can be left between your moving items when loading a truck. While a moving company who gives quotes by weight will try to squeeze as much as possible into one truck, the company charging for square feet may need two trucks for the same amount of items, leaving you with a bigger bill. You should definitely ask a prospective mover why they are quoting you in square footage rather than weight before anything is signed
  • Move yourself. Call some friends that will help you pack everything, rent a truck and load it with your possessions. If can’t do it yourself because you have to little time or are to lazy, you can even hire a few workers that will pack and load a truck you have previously rented
  • In the united states there is a document called Your Rights and Responsibilities When You Move that every moving company must have. Ask for a copy of it and you will see while moving companies are legally obligated to give it you, scammers will not want you to have that information. In other countries probably a similar document exists. You can see a full online copy of Your Rights and Responsibilities When You Move here

The most drastic solution would be to sell everything and start again. This may sound extreme to many, but some can give up their possessions easily, especially if they don’t have many.

9 Comments For This Post

  1. Florida Mover Says:

    Great tips, choosing the right moving company is very important. Don’t get fooled by scammers.

  2. Robert vance Says:

    Just so everyone is clear, United Van Lines, Atlas, Allied and other major carriers all follow same guidelines for pricing.
    HERE IS THE SCAM. Weight tickets. Where do they weigh the shipment? Who regulates weight tickets? The answer NO ONE. Most shipments are weighed at the truck stop on a certified scale, but you can weigh someone else’s truck or hang a tire on the scale for your light weight. Heavy weight , is it before or after the driver filled his tanks with fuel and added 2 thousand pounds of weight to the shipment. You can pull a truck on the scale with the front axles of another truck on the scale with you and get whatever weight you want. The CAT scale weight ticket or any other weight ticket is a SCAM. Yes, the scale is certified, but it is only certified to whatever is on the scale. Some companies print up their own weight tickets. How can you pay based on a fake weight ticket?

  3. AS Mentes Says:

    Whatever you do, stay away from a company called CMS Complete Movers (aka LMS Moving, aka Logan Moving & Storage).

    Here’s how their scam operation works:

    They gave me a quote of $120 for 2 hours minimum over the telephone with no inspection of what needs to be moved. (By the way, this was a small moving job…it only took about 60 minutes to complete the move because there were few items.)

    Anyway, once they loaded my belongings into their truck, they gave me a piece of paper with a date written on it to sign with nothing else.

    Once they arrived at the drop off address, before unloading the furniture, they handed me a bill for $211.

    When I indicated that I was quoted at $120 over the phone, they threatened to keep my belongings in their truck, drive away and sell them.

    I then had no choice but to pay the extra (ransom) $91 dollars under protest. Totally outrageous!

    I then called the company and spoke to the person who gave me the $120 quote over the phone. He told me there would be no refund of the extra scam charges, and when I persisted in asking questions, he started using foul language. Total scumbags.

  4. Elise Says:

    Robert Vance, by law you can demand a reweigh and you can be present for it.

  5. Elise Says:

    When weighing is done properly, the truck is weighed without the load, and then again with it. Not a lot of room for scamming if you’re standing right there. Take charge. No one can actually scam you without your consent.

  6. giovani Says:

    hi,

    I found a great company that give better solution for moving scams. Packing Service Inc. packs all your belongings with dedication and all the necessary equipment so all your items are safety pack.Once everything is packed and ready, PSI will even load your belongings
    into a truck for you, or will give you the exact weight and cubic feet in order to avoid moving company scams.They are the only company that offers flat fee guarante estimates. You can even find their review in the BBB (Better Bussiness Bureau) and see if their reputation is good.
    visit their web page for more info http://www.packingserviceinc.com

  7. JCG Says:

    I am in the midst of a catastrophe with my international move. I was moving from Las Vegas NV to Budapest Hungary. We hired a company in NJ, Omega Shipping, to handle the door-to-door move. We received a quote for around $6500, signed the contract… and that’s when the problems started. Once everything we owned was picked up locally, we got the invoice for $11,500 and a call saying, “You had much more stuff than we has estimated.” Apparently, this is the ever-present Moving Scam I have been reading about online. Needless to say, we paid the full amount (via bank transfer), and now, 7 weeks later, we have nothing. To make matters worse, the local company here in Budapest, EuroMove, which was subcontracted by Omega Shipping, was blatantly trying to scam us too. They thought that since we were Americans that we didn’t know the regulations. The local customs officials told us they were trying to scam us. We caught them, contacted Omega Shipping, asked for another company locally, and were basically told too bad. In fact, I received an email from the president of Omega Shipping, Boaz Aviani, telling me that the tone and “accusations” in my complaint were unacceptable and he would no longer deal with me. I freely admit that I told him in very specific language what a disgrace he is. Of course, they’ve got my $11,500 and now my stuff is en-route to Europe and I have no idea where it’s coming in, who’s going to pick it up, how I’m going to get it into Hungary, and who’s going to move it in. This company scammed me unlike any other I’ve ever seen- worse off, the low-ball quote then hitting you with huge fees, essentially extorts you into paying the amount they request, no matter how illegitimate. When someone has possession of everything you own, it’s hard to argue; then when you have had enough, and fight back, they just ignore you. I have no idea when I’m ever going to see my property. DO NOT EVER USE OMEGA SHIPPING FOR ANYTHING!

  8. Robert c.kao Says:

    Dear G.Manager

    We are a big manufacturer of moving blanket/pads at USD1,98/pc FOB Shanghai port ,if you

    would like to cooperation with our company long time,please contact us soonest.

    My email:gaojz2004@hotmail.com

    Looking forward to your contact soonest.

    Thanks a lot.

    B,Regards

    Robert C.Kao

    Tongxiang Xiaoying Pollution Control Technology Co., Ltd
    No.104-03 Shaoxi Apartment,Wuzhen Town
    Tongxiang City, Zhejiang 314501, P.R.China

    Attn:Mr. Robert C.Kao
    Tel :0086-573-88715-777

    Fax:0086-573-88715-877
    Email:k_chenghai2000@sina.com.cn
    http://oil-absorbent.en.alibaba.com

  9. MN Resident Says:

    Report of a scam below:

    We needed to move a one-bedroom household from CA to MN, of a total weight of approximately 1000 pounds. Representatives of the carrier “World Moving Services” (http://www.worldmovingservices.com) assured us over the phone that they do these kind of small moves, and they charge according to weight, and obtained a $750 deposit from us by rushing us through the paperwork. It turned out that for all moves up to 3000 pounds they charge a fixed amount ($2250), and all their phone conversations were to defraud us of the initial deposit. They informed us about this a few hours before the move, so we were forced not to use their services, so as not to be defrauded of additional money and possibly our valuables. We thought of trying to obtain legal settlement, but decided not to do it just because of the hassle (of having to subpoena our mobile-phone company for conversation transcripts, if they had it recorded) for $750.

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