Study: Most Common Moving Fraud Tactics

Moving scams are on the rise, targeting first-time movers and seniors the most. These scams often lead to financial losses and stress. Here are the top tactics scammers use and how to protect yourself:

• Price Switch Schemes: Low quotes up front, then surprise fees later.
• Property Ransom: Movers hold your belongings hostage for extra payments.
• Fake Companies: Scammers create fake businesses with stolen credentials.

Protect Yourself:

• Verify USDOT numbers and licenses.
• Get detailed contracts and written estimates.
• Use secure payment methods and trusted platforms like MOD24.

By staying alert and following these steps, you can avoid falling victim to moving fraud.

Top Moving Scam Methods

Price Switch Schemes

Some shady moving companies lure customers with low quotes upfront, only to jack up the price once your belongings are loaded. They tack on surprise fees - like fuel charges, stair fees, long-distance handling, or extra costs for heavy items - leaving you with a much higher bill than expected. This tactic is a common way scammers take advantage of people during moves. Another trick involves manipulating delivery timing to gain leverage.

Property Ransom

In this scam, movers load your items as agreed but then claim unforeseen issues and demand extra fees before delivering your belongings. Essentially, they hold your property hostage. This practice is illegal, but scammers rely on the stress of the situation to pressure customers. They’ve gotten more calculated over time, often using deliberate delays to increase the pressure. Always double-check any extra fees they try to impose.

Fake Moving Companies

Some scams go even further, with fraudsters creating entirely fake moving companies. They pose as legitimate businesses, using stolen DOT numbers, fake addresses, professional-looking websites, and counterfeit insurance documents. Once they secure your deposit, they disappear - sometimes with your belongings. Be on the lookout for red flags like frequent name changes, no physical office, high cash deposit demands, no written estimates, and no verifiable local presence. This scam makes up a large share of moving fraud cases reported across the country.

Common moving scams and red flags: How to protect yourself

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Avoiding Moving Scams

Knowing how scammers operate can help you take steps to protect yourself.

Check Company Credentials

Before hiring a moving company, make sure they’re legitimate. Start by verifying the company's USDOT number through the Federal Motor Carrier Safety Administration (FMCSA) database. The number should be active and match the company's name and address. Also, look into their licenses and insurance through the Better Business Bureau (BBB) and your state’s transportation authorities. Check for a local physical office and confirm their business registration on your state’s Secretary of State website.

Read Moving Contracts

Carefully review moving contracts, also known as Bills of Lading, and look for these key details:

• Inventory List: Ensure all items are listed with accurate descriptions of their condition.
• Pricing Structure: Fees should be clearly broken down, including base charges, fuel costs, and any extra fees.
• Delivery Window: Confirm specific delivery dates.
• Insurance Coverage: Check valuation coverage options and their costs.
• Payment Terms: Understand when payments are due and what methods are accepted.

Never sign a contract that’s incomplete. Review everything thoroughly and keep copies of all documents.

Use Safe Booking Sites

Online platforms that verify moving companies can help you avoid scams. For example, MOD24 pre-screens movers by checking their licenses, insurance, and operating authority. Companies must meet strict standards to join their network.

Look for booking sites that offer these safeguards:

• Verified Reviews: Read feedback from customers who’ve used the service recently.
• Secure Payment Systems: Choose platforms with payment protection.
• Document Storage: Keep your estimates and contracts in one secure place.
• Access to Support: Get help resolving disputes if needed.

Using secure payment options and keeping all your documents organized can make your move safer and less stressful. Taking these steps ensures you’re better prepared to use online tools to protect yourself.

Online Tools Against Fraud

Safe Booking Features

Digital platforms like MOD24 offer tools to ensure moving services are trustworthy. Features such as live user reviews and secure payment options help confirm that providers meet industry expectations. These tools make it easier for customers to make well-informed choices.

Scam Prevention Tools

Many booking sites include detailed company profiles and user feedback to help users assess service quality. Secure payment systems and stored contracts add another layer of protection, reducing the chances of falling victim to scams. These measures are part of a larger effort to combat fraud in the moving industry.

Key Points to Remember

Common Scam Types

Moving fraud can be a serious issue for consumers. Some of the most frequent scams include unexpected price hikes, holding your belongings hostage until extra fees are paid, and dealing with fake companies that lack proper licensing. These can lead to surprise costs and delays in getting your items delivered. It's crucial to be aware of these risks when planning your move.

Safety Steps

You can protect yourself from moving scams by taking a few important precautions:

• Check credentials: Verify USDOT numbers and state licenses to ensure the company is legitimate.
• Get everything in writing: Ask for detailed estimates and an inventory list to avoid surprises.
• Pay securely: Never pay the full amount upfront; use secure payment methods instead.
• Read contracts carefully: Go through all terms and conditions before signing anything.
• Choose trusted platforms: Book through verified websites that offer fraud protection.

Modern booking platforms make the process safer by providing verified company profiles, secure payment options, and support for resolving disputes. When combined with these safety measures, these tools can help you avoid falling victim to moving scams.