It's a popular time of year to hire a company to pave or repair a driveway. While there's reputable paving companies in our community, this is a time when many unscrupulous individuals and companies may be looking for ways to take advantage of homeowners — and businesses, too.
BBB Scam Tracker has received numerous reports from homeowners who said they were tricked with deals that ended up sounding too good to be true. In exchange for payments as high as $8,000, they ended up with shoddy pavement — or nothing at all.
How paving scams work
Door to door promotions continue to serve as the most common approach for paving scams. A contractor will typically show up at your door with a claim they've been doing work in the area and happened to notice the condition of your driveway or sidewalk. Since they've completed the nearby work and have leftover materials, they'll indicate they can offer a large discount.
Door to door paving contractors usually ask for a substantial portion of the job cost up front, if not all of it. Unfortunately, many homeowners report the quote they receive initially sounds very affordable, then learn it was given in cubic feet rather than cubic yards. Once the contractor paves the portion listed in the quote, they'll demand more money to complete the entire driveway.
In other cases, homeowners reported that once they paid an upfront fee, the contractor disappeared without performing any work. Unfortunately, homeowners usually find the phone numbers provided by the contractors are not active. Many are from out of town and hard to locate.
Some homeowners have even reported that a contractor paved their driveway and the job looked like it had been done professionally, but the pavement washed away when storms came through. In cases where homeowners have complained about unprofessional work, many of these roaming contractors have used high pressure tactics to demand payment and be unwilling to correct deficiencies.
Tips to avoid paving scams
— Be wary of unsolicited offers. Most scams involving contractors begin when a random contractor makes an effort to go out of their way to offer an estimate that was never requested.
— Research companies and contractors before you hire. Verify that you're working with a local, reputable business and confirm the person you've been approached by is employed by the company they claim to be with. Use BBB.org to check out companies. If the contractor has multiple negative reviews and complaints, don't hire them. A simple internet search often reveals companies or individuals involved in fraudulent activities or who have provided unsatisfactory work to previous clients.
— Verify that a company is properly licensed. Check the contractor's vehicle to verify that they're local. Keep in mind that if someone tells you they're "licensed," they could just mean they have a driver's license. For properties in Hamilton, Bradley and Marion counties in Tennessee, any company offering driveway paving jobs of $3,000 or more is required to hold an active Tennessee home improvement License and a general contractors license if the job is $25,000 or more. In other counties, it's best to check with your local permitting office to see if a license is required.
— Get everything in writing. Ask for an estimate in writing before payment is even discussed. Be sure the written quote identifies the company, its address and phone numbers. You'll want to verify those are accurate before agreeing to anything. Don't let a contractor start working on a project until a written, signed contract outlining start and complete dates, a detailed description of the work, quality of materials, material costs, payment arrangements and warranty information is provided.
— Stagger payments. Most contractors will require a percentage of the total price upfront, but it should never be the full price before the work has begun. Instead, agree to stagger payments so that work can be inspected at various project stages.
— Use safe payment methods. Paying with a credit card provides peace of mind since the credit card company will help you if the company is fraudulent. If you use a check, write it to a company, not an individual. Paying cash or using an electronic wallet app is risky since there is no way to stop the payment or get some money back if anything goes wrong.
For more information, search BBB.org for paving companies in your area, including BBB Accredited Businesses. Also be watchful for common "free roof inspection" scams. You can learn more about free inspection scams and read BBB's tips on hiring a contractor.
If you suspect you have fallen for a contractor scam, check with your financial institution to see if they can help you recover your payment. You can also contact local law enforcement and file a complaint with BBB. If you've had someone approach you for what you believe is a paving scam, help make others aware by reporting it to BBB.org/ScamTracker.
Staff photo / Chattanooga Better Business Bureau President Michele Mason is seen June 14, 2021, in Chattanooga.Michele Mason is president of the Better Business Bureau in Chattanooga.