Be Brainy and Beautiful—Don’t Get Taken by a Modeling Scam
By Beth | September 3, 2010
Whether you’re interested in a modeling career, just want to make a few extra bucks or you think your child might have a future in acting or modeling, be on the lookout for scammers. The Better Business Bureau warns that some modeling agencies are just trying to make a fast buck and don’t deliver on promises of fame and fortune.
In the last three years, would-be models have researched agencies with the BBB more than half a million times. Unfortunately, BBB also received more than 2,000 complaints from people who feel they were misled by an agency into paying large upfront fees—often for headshots and portfolios—and received little or no modeling or acting work in return.
“Modeling can be a great way to supplement your income, but signing up with a deceptive talent agency can be a waste of time and money or, in the worst case scenario, put you in physical danger,” said Alison Southwick, BBB spokesperson. “Even if the agency tells you that you have ‘the look’, always take the time to do your research and don’t fall for empty promises.”
Common complaints to BBB about talent and modeling agencies often come from would-be models or parents who think their kids have star potential. Typically, they are told they need to pay upfront fees—such as for headshots—after which the agency will start finding them work. Complainants report that despite paying hundreds or even thousands of dollars in various upfront fees, the agency found them few, if any, jobs.
In an extreme example of a modeling agency opportunity gone horribly wrong, the BBB in Louisville has received complaints from local men who paid hundreds of dollars in upfront fees—or became indebted for these fees—to Models Today in exchange for the promise of landing modeling jobs. Instead, the young men stated that the owner, Russell Claxon, took shirtless photos of them in a park and never set them up with any jobs. Several complaints to BBB made reference to solicitation for prostitution or inappropriate sexual propositions and one victim told a local newscast that he was prostituted out by Claxon.
Before signing up with a modeling or talent agency:
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Do your research – Always check the company out with your Better Business Bureau. Some states may require a talent agency or modeling school to be licensed and bonded; confirm the company meets those requirements if applicable.
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Beware of big promises and high pressure sales pitches – In the modeling world, income is never guaranteed and jobs can be sporadic. Consider it a red flag if the sales pitch promises a lot of jobs and big earnings or uses high pressure tactics to get you to sign up without thinking it through first.
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Read the fine print and get everything in writing – Take your time and read the agreement or contract carefully, paying close attention to details regarding refunds and your recourse if you are dissatisfied. Make sure that all verbal promises are in the agreement.
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Get references – Ask for references from other satisfied clients who have a similar background and qualifications.
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Complain if you’ve been ripped off – If you feel you’ve been misled by a talent or modeling agency, file a complaint with your BBB, State Attorney General and the FTC.
For more advice on finding businesses and services you can trust, go to http://evansville.bbb.org/Consumer-Tips/.
Topics: Consumer Myth, Scams, Tips | No Comments »
Five Steps to Take When a Collector Comes Calling for a Debt You Don’t Owe
By Beth | September 2, 2010
If a debt collector is contacting you about a debt you know you don’t owe, explaining your case can be an uphill battle. Whether it’s a matter of mistaken identity, an honest error or identity theft, the Better Business Bureau recommends taking five steps to fight back against erroneous debt collectors.
According to a 2010 report, the FTC received 119,364 complaints about third-party and in-house debt collectors last year, up from 104,766 in 2008. While complaints can be about any number of issues, trying to collect on a debt the consumer doesn’t owe is common. In a recent example, the FTC reached a million-dollar settlement with Credit Bureau Collection Services over accusations that the collection agency violated federal law by inaccurately reporting credit information and pressing consumers to pay debts they often did not owe.
“It can be an exhausting process to set the record straight on a debt you don’t actually owe,” said Alison Southwick, BBB spokesperson. “Because debts are often sold and resold to many different collection agencies over time, you may have to make the same case every few years when the debt trades hands again.”
If you’re receiving calls for a debt you don’t owe, it could be a case of mistaken identity. Perhaps you share the same name, or even inherited an old phone number of the person who actually owes the debt.
You could also be the victim of zombie debt—it could be that you paid the original debt off but it wasn’t recorded as paid, or the statute of limitations on the debt has expired and the debt collector is trying to get you to pay for a debt you can no longer be taken to court over.
A final common cause of being hounded for a debt you don’t owe is fraud. It could be that you have become a victim of identity theft and someone is opening up new lines of credit or buying items using your good name. Additionally, the “debt collector” calling could actually be an identity thief who is trying to get you to divulge personal financial information such as Social Security, bank and credit card numbers.
If you’re being pursued for a debt you don’t think you owe, BBB recommends taking the following five steps:
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Request written proof of the debt. By law, a debt collection agency must provide you with a validation notice within five days of contacting you about the debt. If you would like to get verification of the debt, send a written request to the debt collector within 30 days after you receive the validation notice. This written proof can help you determine if the callers are actually identity thieves, or if you really do owe the debt. Once you have the name and contact information for the agency, confirm they are a legitimate debt collector with your BBB at www.bbb.org. After you confirm that you don’t owe the debt, advise the debt collector you do not owe the debt and advise them to stop contacting you (see step 4).
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Correct any errors. After confirming you do not owe the debt, you may want to correct any incorrect submission related to the debt captured on your credit report. Contact the company that has provided the information to the reporting bureau by writing a detailed letter and include copies of pertinent documents which back your case. The FTC provides additional information on how to report errors at www.ftc.gov.
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Weed out fraud and errors. Check your credit report with the three major credit reporting bureaus, Experian, Equifax and Transunion every year by visiting www.annualcreditreport.com. If you’ve been the victim of fraud or identity theft, you may also be eligible to view your reports for free. By keeping a close eye on your credit reports, you’ll be able to more quickly identify fraudulent activity or mistakes and make corrections before the debt collector calls.
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Tell them to stop contacting you. According to federal law, a debt collector cannot continue to contact you—at work or home—if you tell them to stop. After confirming you do not owe the debt in question, you may cease all contact from the debt collection company by sending a letter (via certified mail) to the debt collector advising them to cease contact. Keep a copy of the letter and the return receipt for verification purposes. Any further contact to you from the debt collector except to advise you there will be no further contact, or to inform you that the agency is filing legal action, is a violation of the FDCPA.
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File a complaint with the Federal Trade Commission. Familiarize yourself with the consumer protections provided under the Fair Debt Collection Practices Act. Included are rules that debt collectors may not make false or deceptive claims and must investigate the validity of a dispute over a debt. If a debt collector violates the law, report them to the FTC—the federal government’s agency overseeing fair debt collection practices. You should also file a complaint with your BBB at www.bbb.org.
For more information on taking control of your debt and managing credit effectively, check out BBB’s Managing Credit – Made Simpler.
Topics: Consumer Myth, Credit, Tips | No Comments »
Find a Roofer You Can Trust and Avoid Fraudulent Storm Chasers
By Beth | September 1, 2010
Your home can take a serious beating when a big storm hits and finding a roofing contractor you can trust isn’t always easy. Storm chasers and other door-to-door salesmen often peddle dubious deals that can cost homeowners thousands of dollars and create serious headaches. The Better Business Bureau recommends doing your research to avoid getting ripped off by an untrustworthy roofer.
Every year, homeowners research the trustworthiness of roofing contractors with BBB more than 2 million times—more than any other industry. Unfortunately, last year alone, BBB received more than 7,600 complaints about roofers from unsatisfied customers.
“Hail and wind damage from violent storms has taken a toll on homes across the country this summer and the cost of repairs can be in tens of thousands of dollars,” said Alison Southwick, BBB spokesperson. “When you’re spending that kind of money, it’s worth it to take your time and find a roofer you can trust.”
One company receiving hundreds of complaints this summer is American Shingle & Siding Inc. The company has solicited homeowners—often door to door—across the South and Mid Atlantic. A common sales tactic BBB has learned from complaints is to tell the homeowner that their roof is severely damaged—such as from hail—and that their insurance company will likely cover the cost. The homeowner is then required to sign a contract saying that they will hire American Shingle for the job.
Unhappy homeowners have complained that they signed over the check to American Shingle and the job was never completed, wasn’t completed on time or was poorly executed. The company recently announced that it is going out of business, but BBB warns that the roofer and its suspect business model might resurface under a different name.
When looking for a roofer you can trust, BBB recommends that homeowners:
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Start Your Search with BBB. In addition to having Reliability Reports on tens of thousands of contractors—good and bad—across the US, you can also rely on BBB’s Accredited Business Locator to find trustworthy roofers in your area. BBB Accredited roofers have pledged to uphold BBB’s Standards for Trust and are contractually obligated to resolve all complaints filed with the BBB.
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Vet the Contractor Carefully. Verify the business meets all state and local requirements including being licensed, insured and bonded. Also ask the business for references from recent jobs. Confirm whether or not the roofer will be subcontracting the job or relying on his or her own employees.
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Beware of Storm Chasers. In the wake of a storm, fly-by-night repair businesses will solicit work, often door to door, in unmarked trucks. They might require advance payment and make big promises that they won’t deliver on.
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Get at least three bids. Beware of lowball estimates that may potentially balloon over time or foreshadow shoddy work to come.
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Recognize the red flags. Beware of any contractor that uses high pressure sales tactics or requires full payment upfront. Also avoid contractors that require you to get the necessary permits.
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Make sure everything is in writing. Make sure that the full scope of the work is explained in the contract including cleanup and disposal of waste. All verbal agreements need to be included in the written agreement. Pay close attention to the payment terms, estimated price of materials and labor and any warranties or guarantees.
For more advice on hiring professionals you can trust, visit us online at http://evansville.bbb.org/consumer-tips-home/.
Topics: Consumer Myth, Announcement, Scams | No Comments »
Before you Sign Up for that Trial Offer, Know What to Expect
By Beth | August 31, 2010
“I signed up for a trial offer, but then…” Miracle diet supplements and sensational new household items were yours for FREE. And many consumers signed up. But they didn’t realize what they were agreeing to which often resulted in frustration months later when additional shipments were delivered to their doorsteps or charges were made to their credit cards.
The National Consumer League can help. For those of you picking up the phone to sign up for that trial offer, read the tips below and avoid aggravation in the future.
Ask yourself the following questions first:
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After the trial runs out, what is the cost of the product or service?
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Is it something you really want? How likely it is that you will use the product or service?
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Do any limitations or restrictions on the membership make it less useful or attractive?
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If you will receive products or services automatically, how frequently they will be provided, and what you have to do if you do not want them and by when?
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Is there is a minimum purchase requirement? What happens if you do not meet those obligations?
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When, how often, and how much you will be charged?
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What is the cancellation policy? How long is the membership? If you do not want to continue, is there an early cancellation penalty for ending your membership? How must you go about cancelling your membership?
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What are the refund and return policies? Know how you can receive a refund if you are not satisfied with the service or product, how you would make that request, whether there is any time limit for doing so, and who is responsible for shipping costs.
If you decide to sign up:
- Look for details. Are you agreeing to a membership? Are you committing to purchasing products or services for the next year?
- Keep track of when your trial period ends. If you aren’t paying attention when the trial ends, you shouldn’t be surprised to find a charge to your credit card or bank account.
- Check for charges on your credit card or bank statement to make sure amounts deducted are correct.
- Look out for the “negative option”. Read this recent post for more information.
- Read more on the subject from the FTC. Know your rights so that you avoid questionable offers or claims.
- Check out the business with your BBB. This is important for learning about past customer experience but you’ll also want to know where the business is located so you’ll have more than a website or toll free number and can successfully contact them if need be.
Related post:
Topics: Consumer Myth, Tips | No Comments »
Tips for Selling Your Timeshare, Revisted.
By Beth | August 30, 2010
We’ve discussed this before but a recent call from an Evansville resident reminded me we need to keep on top of this one. Our last post tackling the timeshare issue posted in April, so I’d like to share these tips from a recent press release from the Federal Trade Commission:
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Even if the salesperson claims the local market is “hot,” or his office is overwhelmed with buyer requests, don’t agree to anything on the phone or online before checking out the reseller. Contact your BBB, state Attorney General, and local consumer protection agencies in the state where the reseller is located. Ask if any complaints are on file.
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Ask for all information in writing.
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Ask if the reseller’s agents are licensed to sell real estate where the timeshare is located. If so, verify it with the state real estate commission. Deal only with licensed real estate brokers and agents, and ask for references from satisfied clients.
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Ask how the reseller will advertise and promote the timeshare unit. Will progress reports be issued? How often?
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Ask about fees and timing. It’s better if the reseller takes its fee after the timeshare is sold. If a fee must be paid in advance, ask about refunds. Get refund policies and promises in writing.
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Don’t count on recouping the purchase price of a timeshare, especially if you’ve owned it for less than five years and the location is not well known.
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To get an idea of the value of a timeshare, consider using a timeshare appraisal service. Check with the state where the service is located to make sure the appraiser’s license is current.
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Before signing the contract, make sure it specifies the services the reseller will perform, the costs the seller is responsible for and when they must be paid, whether the seller can rent or sell the timeshare at the same time the reseller is trying to sell it, the length or term of the contract to sell the timeshare, and who is responsible for documenting and closing the sale.
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Don’t sign the contract if the deal isn’t what you expected or wanted. Negotiate changes or find another reseller.
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Check with the resort to determine restriction, limits, or fees that could affect resale or ownership transfer.
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Have available the name, address, and phone number of the resort, the deed and the contract or membership agreement, the financing agreement if money is still owed, information to identify your interest or membership, the exchange company affiliation, the amount and due date of the maintenance fee, and the amount of any real estate taxes that are billed separately.
- For more information contact: American Resort Development Association - 1201 15th Street N.W., Suite 400 Washington, D.C. 20005 / (202) 371-6700; Fax: (202) 289-8544
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For more information, see Selling a Timeshare Through a Reseller: Contract Caveats.
Related posts:
Have You Received a Great Offer from a Company Offering to Buy Your Timeshare?
Don’t Get Duped When Selling Your Timeshare
Timeshares and Camping Clubs: What You Should Know Before You Buy
Topics: Consumer Myth, Announcement, Tips | No Comments »
The Grandparent Scam is Back
By Beth | August 27, 2010
From the Office of the Indiana Attorney General, August 26, 2010 - Attorney General Greg Zoeller reminds Hoosiers to be cautious of calls from “grandchildren” claiming they’re in trouble and need money due to an auto accident, overdue rent or minor brush with the law – it’s likely a scam. Dozens of Hoosier seniors have reported such calls to the Attorney General’s Office in recent weeks.
It may seem hard to believe that this scam works but the imposters are good at what they do and choose their targets carefully — tugging on the heartstrings of caring and loving grandparents. For example, one
Avoid becoming a victim. Make the caller prove they are actually your grandchild by asking questions only a family member could answer. Most likely the next sound you hear will be a dial tone.
If you believe you’ve been scammed, you can file a complaint with the Indiana Attorney General’s Consumer Protection division online at www.IndianaConsumer.com or by calling 1-800-382-5516.
Topics: News, Announcement, Scams | No Comments »
Egg Recall - How to Spot Recalled Eggs
By Beth | August 26, 2010
There’s a way to tell whether the eggs you buy are covered by the 2010 egg recall by the U.S. Food and Drug Administration (FDA). Look on the end of the carton or on the case label. You’ll see a date and some codes. For example, the codes might look like this: P-1720 223.
The plant number begins with the letter P and then the number. The date follows the plant number. The date is in Julian format, which means it’s a number corresponding to the order of the day in the year. For example, the Julian date for December 31 is 365.
The recall has been expanded since it was first announced. As of August 20, 2010, the FDA says:
“Shell eggs under the August 13, 2010 recall are packaged under the brand names: Lucerne, Albertson, Mountain Dairy, Ralph’s, Boomsma’s, Sunshine, Hillandale, Trafficanda, Farm Fresh, Shoreland, Lund, Dutch Farms and Kemps. Shell eggs are packed in 6-egg cartons, 12-egg cartons, 18-egg cartons, and loose eggs with Julian dates ranging from 136 to 225 and plant numbers 1026, 1413 and 1946. “Recalled shell eggs affected by the expanded recall are packaged under the brand names: Albertsons, Farm Fresh, James Farms, Glenview, Mountain Dairy, Ralphs, Boomsma, Lund, Kemps and Pacific Coast. Eggs are packed in varying sizes of cartons (6-egg, 12-egg, and18-egg cartons, and loose eggs for institutional use and repackaging) with Julian dates ranging from 136 to 229 and plant numbers 1720 and 1942.”For the FDA’s August 19 statement, see: http://www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm223248.htm
For the latest from FDA on the egg recall, visit www.fda.gov.
Related posts:
Consumer Product Recalls Becoming More Common: What You Should Know
Your Vehicle & Recalls: Do You Know the Facts?
Are You Up-to-Date on Current Recalls?
Topics: Announcement | No Comments »
Does the Knock on the Door Cause You Concern? BBB Consumers Raise Questions on Door to Door Alarm Sales
By Susan | August 25, 2010
Related post: Steps Towards Reducing Problems with Door-to-Door Alarm Sales
Topics: Consumer Myth, News, Announcement, Tips | No Comments »
Examine the Details Before Purchasing a Used Car
By Beth | August 24, 2010
Last month we published the third in our series addressing types of local businesses receiving the most complaints. This month we tackle purchasing a used vehicle. Concerns from Tri-State BBB consumers include confusion over contract, warranty, and service terms. And so we would like to speak to those concerns by offering the following information from your BBB, Indiana Attorney General, the Federal Trade Commission, and Edmunds.com.
1.) Learn the Terms
“AS IS”: is a phrase many shoppers will see in the window of a used vehicle. This is a classification typically included on the “Buyer’s Guide” which comes in the form of a large sticker on the vehicle window. The FTC requires used car sellers include the Buyer’s Guide so that purchasers can easily find information about warranty coverage. “AS IS” means you’re purchasing the vehicle without a warranty. Once you complete the sale and drive off the lot, then, the dealer has no further responsibility.
If you are a consumer having an issue with a vehicle purchased “as is”, you can contact your state’s attorney general to find out if there is anything you can do.
(Attorney General Offices: Indiana, Kentucky, Illinois)
TRADE-IN ALLOWANCES: Any advertised trade-in allowance should be an amount deducted from the advertiser’s current selling price without a trade-in. That selling price must be clearly disclosed in the advertisement. It is misleading to offer a fixed and arbitrary allowance regardless of the size, type, age, condition, or value of the article traded in, for the purpose of disguising the true retail price or creating the false impression that a reduced price or a special price is obtainable only by such trade-in.
Read more about the BBB Code of Advertising here.
2.) Read all documents carefully
Anything promised by the salesperson or the dealership should be given to you in writing. Look to make sure there are no items left blank on the contract and check to see if the numbers on the Buyers Guide, price disclosed by the salesperson, and your final contract all match.
3.) Prepare by pricing the vehicle
Check with Edmunds.com and Kelly Blue Book to learn more about the value of your make and model. The Edmunds.com True Market Value® (TMV®) Used Vehicle Appraiser will also give you trade-in values.
4.) Know when you’ll can expect to receive the title
A title is an important part of your car purchase. At the time of purchase, you should confirm the location and possession of the title. If you have made all agreed upon initial payments including delivery of a trade-in vehicle (if applicable), car dealers and individuals from whom you have purchased a vehicle are required to deliver the title to you at the time of sale or delivery OR within 21 days of the date of the sale.
If the party from whom you have purchased your vehicle is a licensed car dealer and cannot deliver the title at the time of sale, the dealer is required to provide you with a 21-day affidavit.
The affidavit shall state that the dealer will deliver the title for the vehicle within 21 days of the date of sale.
If you don’t receive the title within 21 days of the date of sale, you have some options. Contact the dealer in writing. If after 10 days you still don’t have the title in-hand, you can return the vehicle, try to get the title from the BMV, or file a complaint with the Attorney General’s Consumer Complaint Division. To find out more about these steps, click here.
5.) Check it out
It is recommended that you have a professional mechanic inspect the vehicle before purchasing. This way you will know if there are any issues with the vehicle that have not been disclosed by the seller.
Also, check out the dealership’s Reliability Report by contacting your BBB. This will tell you if the seller has had consumer complaints filed with the BBB.
This is the fourth in our series addressing the top ten types of businesses under which consumer complaints are filed. Visit past posts here:What to Know About Avoid Disputes with Consumer Finance and Loan Companies Your Utility Company and You Buying a New Car: A Major Purchase Requires Major Preparation
Topics: Consumer Myth, Tips, FYI | No Comments »
Your Vacant Home May Not Be Insured
By Beth | August 23, 2010
If you moved and were unable to sell or rent out your house, you may be surprised to find that your homeowner’s insurance could stop covering it if it sits vacant for too long.
A recent news release by the National Association of Insurance Commissioners (NAIC) warns that you should check the fine print on your homeowner’s policy to see what happens if your home is vacant or unoccupied. “Vacant” means that you have moved out and taken your belongings with you, so the house is empty. “Unoccupied” means that nobody is staying at the home, but the furniture and other belongings remain.
NAIC says that insurers differ on how they cover vacant and unoccupied homes. Some policies might not cover claims if a home has been vacant for 60 days or more. Others might automatically shift to a different amount of coverage (e.g. liability insurance only) after a specific number of unoccupied days.
It makes sense that insurers would have concerns about an empty house. It’s at more risk for a break-in if it’s obvious that nobody’s living there. With nobody around to call 911 or a repairman, a problem like a small electrical fire or leak could turn into a big, expensive disaster. And there’s nobody around to supervise or keep others off the property.
NAIC President Jane Cline recommends that you check with your insurance company before you leave the house vacant and be honest about your situation. While an extra endorsement or vacancy policy may cost more, it could save you big bucks if something bad happens at the house when you are not there.
Topics: Consumer Myth, Announcement | No Comments »



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