Don't Pay a Contractor a Deposit Until You've Done These Checks

Home improvement work is one of the most common sources of consumer complaints. Most tradespeople are honest and skilled, but the few who are not can cause real financial harm — taking deposits and disappearing, doing unsafe work, or inflating costs once the job has started. A few checks before you hire make a large difference.

1. Get at least three written quotes

Comparing quotes shows you what a fair price looks like and makes an unusually low or high figure stand out. A proper quote describes the work, materials, timescale and price, and says whether it includes tax.

2. Confirm the business exists

• Check for a trading name, a physical address and a landline or verifiable business contact
• Look up company registration where your country provides a public register
• Be wary of anyone who only gives a mobile number and first name

3. Check licences and trade memberships

Some types of work — electrical, gas and structural work, for example — often require a licence or certification. Where a trader claims membership of a trade body or registration scheme, check directly with that body rather than trusting a logo on a van or website.

4. Ask for proof of insurance

Public liability insurance protects you if the contractor damages your property or someone is injured. Ask for the certificate and check that it is current.

5. Speak to previous customers

Ask for references from recent jobs similar to yours, and if possible look at the finished work. Ask whether the job finished on time and on budget, how problems were handled and whether they would hire the contractor again.

6. Put the contract in writing

A written contract should cover scope, price, payment schedule, start and finish dates, who obtains any permits, how changes are agreed and what warranty applies.

7. Keep deposits small and stage payments

A reasonable deposit may be needed for materials, but large upfront payments are a warning sign. Pay in stages tied to completed work, and avoid paying the full amount before the job is finished and inspected. Use traceable payments rather than cash where you can.

Warning signs of a rogue trader

• Cold calling at your door claiming to have spotted a problem with your roof or drains
• "Today only" discounts and pressure to decide immediately
• Requests for cash only, or full payment upfront
• No written quote or contract
• Reluctance to provide an address or references
• Price rising sharply once work begins because of "unexpected" problems

If something goes wrong

Raise the problem in writing, with photos, and give the contractor a reasonable chance to put it right. If that fails, use consumer advice services, trade body complaint schemes or small claims routes available where you live.

Reputation that follows the work

Rogue traders often change their business name and start again. Good tradespeople, meanwhile, have years of satisfied customers they cannot easily show. RRSource ties a portable Reputation Record to a verified identity, so good work builds a record that travels, disputes are recorded with both sides' evidence, and the outcome follows the evidence. Explore how RRSource is used across different industries.

Licensing, consumer rights and complaint routes vary by country and region.