How to Spot a Shady Moving Company

You might believe that all moving firms are inherently trustworthy because they operate in an industry that supports and assists people, but you'd be surprised to learn that scams are also common in the relocation sector, as they are with other businesses.

According to the Better Business Bureau, 230 relocation scams were reported in 2020, 91% more than the previous year's total of 130 incidents. As of July 2021, 148 cases have already been filed, more than double the number reported in July 2020. Given that these figures only represent an estimated 10% of scams, the true figures might be in the thousands.

Identifying a genuinely reputable hauling firm might be difficult for a first-time mover. When the stress and anxiety of relocation are added to the mix, you might fall prey to the deceptions of a dodgy shifting business.

However, after going through our guide on how to spot a shady moving company, you'll realize that they all use the same methods. They would rather attract customers with price estimates that are too good to be true. They may also be without a license, insurance, or professionalism.

Fortunately, their schemes, disinformation, and methods will bounce off of you like oil on water once you know what to look for.

15 Red Flags to Watch Out for in A Moving Company!

1. They cannot provide legitimate proof of license.

This is the first thing you should look for when looking for a moving company. If you're relocating over state lines, you should use movers licensed by the US Department of Transportation. Those migrating within their specific state are governed by the agency in charge of that task. To find out if a hauling business is licensed, go to the website of the corresponding regulating entity or call them.

1. Their estimates are too good to be true.

Shady moving companies will give you an estimate that is too good to be true, sometimes even before seeing your belongings. This is a red flag because they may give you a low figure estimate initially, but the total amount on your bill will have increased by the time your move is accomplished. Arrange an in-person inspection or a video assessment of your things to confirm that you are working with a trustworthy transporting firm and that you are offered an appropriate estimate.

1. They are not covered by insurance.

This is another major red flag. Professional movers should be insured to protect themselves against lawsuits and reimburse consumers for damaged goods. If they are not covered by insurance as a business, you may safely assume that the moving company will not compensate or defend its clients in damage, loss, or theft.

1. You won't be able to get references from them.

If a moving company can't provide you with references that can attest to their work, that's a major red flag. Transporting firms would typically jump at the chance to show you positive ratings or references that speak to their excellent service. If your movers cannot present you with any of these items, you have every reason to be skeptical.

1. They lack professionalism.

Moving companies that lack business cards, a professional email, or a professional moving truck, probably also lack a license to operate. This can be an indication of how unprofessional they are. Other haulers simply display a pattern of rude behavior, a lack of uniforms, and driving an unmarked truck. These red flags show you’re dealing with a shady hauling agency.

1. Complaints have been filed to the BBB or FMCSA.

After you've reviewed your moving company's reviews, look into their complaint history. On the Better Business Bureau website, you should be able to find an official complaint history, or you may look up their USDOT number with the Federal Motor Carrier Safety Administration. If clients feel strongly enough about a firm to submit a complaint, it should be a red flag that something is wrong.

1. Valuation coverage is not offered.

Although valuation coverage is not the same as insurance, it does make the mover liable for at least a portion of your shipment. Long-distance and interstate movers are obligated by law to offer two types of liability options: Full Value Protection and Released Value, according to FMCSA rules.

1. They have a lot of negative reviews.

It's acceptable to have a few negative reviews, but you should be skeptical if they make up the majority of the feedback. Pay close attention to review sites and recommendations from friends.

Customers frequently seek reviews when picking a moving company, and they expect them to be legitimate.

1. They strictly only offer non-binding estimates.

It’s best to start running the other way if the firm you’re dealing with only offers non-binding estimates. This is another red flag that indicates of how the mover intends to scam you. A non-binding estimate is a quote based on the estimated weight of your belongings. It is susceptible to change depending on the actual weight of your things. Because of this, the movers may give you a low estimate during the initial stages of your process, only for you to discover a ridiculously high total bill.

1. The driver cannot be contacted during the move.

You must be able to contact and speak with the contracted moving company's driver during the transfer, especially if your belongings are in transit. Customers must be regularly informed about the whereabouts of their belongings.

If the moving process or plans change, the transporters should alert you immediately, especially if your move is scheduled for a few days or a week and there are delays. At the very least, they should put you in touch with someone who can communicate with the driver.

1. You are not provided with a bill of lading.

This is the most serious red sign you might encounter while dealing with a moving business. Never trust them with your stuff if they can't or won't supply you with a bill of lading! The bill of lading is the most significant document you will get during a move. It's your official contract, receipt, and title. It's also significant since it's a formal agreement between you and the business. Before a shipment is made, the moving company is obligated by law to provide a bill of lading to its customers. Before any transfer can be conducted, whoever loads your things and will be in charge of the move should supply you with a copy of the bill of lading.

1. They demand payment in advance.

Be wary if a moving company requires you to pay an upfront payment, whether a big deposit or your relocation's projected cost. You are only expected to pay for your relocating prices once you have completed your move. Although it is common for hauling firms to ask for a deposit, we can assure you that you will not be expected to pay a huge sum.

If you give the dodgy shifting company the requested sum, they'll likely take your money and run. Never choose a mover who wants money in advance if you don't want to deal with having your belongings detained by unlawfully operating haulers.

1. You won’t be able to locate them.

Shady-moving businesses tend to disguise their address because they are working illegally. A reputable hauling company will never have to conceal its location - it's that easy! Most provide their address on their website, pages, crucial paperwork, and other marketing materials. Instead of a genuine address, most of these illegal transporting firms use a PO Box or a suite number. This indicates they'd rather you didn't pay them a personal visit.

1. Aside from the estimates, their reviews are too good to be true.

As noted in the eighth item, it is usual for carrying companies to have negative evaluations. A dissatisfied consumer will always exist. When looking at moving firms and their client evaluations, you should avoid those with excessively positive feedback. It’s always the ones with over-the-top, glowing reviews that you should look away from.

1. They change their names multiple times in a short time.

Another method these scammers use is to alter their business names to avoid being tracked down by poor reviews and angry clients. It might be difficult for anyone seeking for them to track them down if they operate under a different identity. If you've researched and discovered that the moving company has changed its name six times in the last seven years, you should immediately stop doing business with them. This is not a carrying company with whom you should do dealings.

What’s Next?

We believe you now have a working idea of how to identify dodgy-shifting companies. After weeding out the bad companies from your list, the next step is to pick a moving company to deal with based on the good ones that remain. You’ll be happy that Three Movers looks forward to doing business with you soon!