Is your contractor cheating you? How to avoid scamming contractors in Malaysia.

[PeppaPig1983 2]

We all hate getting cheated. Unfortunately, that’s exactly what a few psychopathic interior designers and contractors will do to make a quick buck, leaving us with broken dreams, an empty pocket and a newly-acquired cynicism for anything and everything related to renovation.  

We all know how “honest” many contractors in Malaysia are, and with how much cheating that goes on in the home design industry, you’d be foolhardy to let your guard down.

But how can you know if you’re being cheated? Here are some red flags that could help you catch them red-handed – or at least provide some damage control.

1. Is the contractor genuine? Is it registered with the CIDB CIMS database?

Before engaging a building contractor in Malaysia – ask them to prove that they are registered with the CIDB CIMS database by furnishing you with the details needed to complete a search query about them in CIDB CIMS database. [Link to the official register: cimsapp.cidb.gov.my/SMIS/regcontractor/reglocalsearchcontractor.vbhtml]

Kava Décor is an example of a renovation contractor in Johor Bahru that is a registered CIDB Malaysia Grade 3 contractor.

If they aren’t registered, be sure to carefully check them out first.

Under Section 25 (1) of the Akta Lembaga Pembangunan Industri Pembinaan Malaysia 1994 (Akta 520), it states clearly that,

“No individual, without exception, will be allowed to carry out or complete, enact guarantees to carry out or complete any construction work or declare themselves a contractor, unless registered with the Institution and holds an official certificate of registration conferred by the Institution under this act.”

‘Nuff said.      

2. The contractor asks for full payments or large “deposits” even though their work is incomplete.

Be careful around contractors who are persistent that you do the following before even completing their work: (i) make full payments upfront, (ii) asks for large “deposits”.

If you run into these types, then agree to disagree. In other words, say NO but try not to antagonise them. Explain to them that you will make payments ONLY when work gets done (or at each phase if applicable).

Following this rule also encourages more “honesty”. In the worst case scenario, it serves as damage control and you can then proceed to engage the services of another, more reliable contractor to pick up where the cheater left off without having to start from scratch. 

 3.   The contractor keeps delaying work, but insists I pay up first.

Watch out if the renovation contractor frequently delays work and insists that they won’t start until you pay up.

More devious strains of this type cheater are ones that may put on a show of performing some initial work to entice you into paying up before packing up and disappearing.

However, even if the contractor is on the level with you and intends to do the job for you, delays in your schedule will only result in other difficulties. For example, where are you going to store all the new furniture when it arrives because your home is literally under construction?

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Worried about getting cheated by your renovation contractor? Listen to both sides of story and learn more about the relational dynamics between contractors and homeowners.

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4. The contractor gives you an unbelievably low first estimate.

If the contractor comes to your home, takes a quick look around without making any proper checks – then hands you an unbelievably low estimate for the renovation – don’t believe it right away!

Chances are the next thing they’ll do is tell you that they’ve made a poor initial estimate of how much work actually needs to be done (after tearing up your home to do it, of course, to put the pressure on you to take them up to complete the repairs).

It’s not an easy problem to prevent of resolve, and the best thing you can do is to get a second (or even third!) quotation from another contractor to get a better evaluation. After all, they can’t all be dishonest, right?

Make sure the materials promised you for your renovation is what you’ll receive. Insist on receipts for all materials as proof of purchase. 

    5. Work is getting done, but the quality is really poor.

When the results of a renovation job looks bad compared to what was promised, then it probably is.

Unscrupulous contractors are known for not delivering on their end and will swap the promised materials for low-grade replacements to increase their profits while hoping that you wouldn’t notice.

Therefore, insist that the contractor provides receipts with the quotation for the materials you were promised. This way you have evidence if he tries to cheat you but denies any foul play.

You can also arrange to meet with their supplier first to check up on him and to take down details of his firm/company. 

    6. I’ve been cheated. Should I make a police report? (For Malaysian readers)

You could, but it shouldn’t be your first option. Under Malaysian law, a contractor who leaves before completing his work can only be charged as a criminal offender if he had planned the offense all along, i.e. he had never intended to finish work on the project, not before and not after you agreed to the contract.

Guilt can be difficult to prove, and a bad contractor could lead investigators astray by simply claiming that he had:

(i)                  Ran out of money or manpower to continue with work

(ii)                 Put together an “inaccurate quotation and assessment”

(iii)                Been obstructed by “unforeseen circumstances”, e.g. his supplier disappearing without word or reason, or

(iv)               “Unforeseen” price hikes in materials or labour, which is very unfortunate because they are probably telling the “truth” about the commodity price hike.

And if the case isn’t “Criminal” then it’s a “Civil Dispute”, which puts it out of the jurisdiction of the police.

    7. National Consumer Complaints Centre (NCCC)

The National Consumer Complaints Centre (NCCC) handles and records all cases that fall into the category of “civilian disputes” before relaying them to the appropriate parties. They are therefore your best bet of getting your complaints taken seriously and action taken. [See NCCC guidelines for filing a complaint]

Once they open a case, the NCCC then acts as a legal mediator between negotiations taking place between the victim and accused. The proceedings are then analysed and assessed before coming to a decision regarding the matter, which is then officially announced to the relevant government agencies and to the public.   

Further reading:        

How to Avoid Getting Scammed 

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<A word from our sponsor...>

Don't get cheated - Find yourself a reliable Renovation Contractor in Johor Bahru!

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 How much should your renovation cost in Johor Bahru and Malaysia? Watch the Episode 5 of the RenoTalk Show to find out more!