It can be very helpful to understand what your payment options are when it comes to hiring high-end remodeling contractors in Colts Neck, NJ. There is no set law about paying a general contractor though it is wise to avoid giving complete payments up front since a lot of horror stories include so-called contractors who take that money and run, or have closed down and not done the work. If you use an itinerant merchant there are different things to consider which we will look at. Here is a look at tips on making payments.
What is an itinerant merchant?
A home remodeling contractor in Colts Neck NJ is seen to be an itinerant merchant if they solicit for your business outside of their place of business (if they have a physical office). If they come to your places to sell their services or products they are an itinerant merchant. This includes people who sell and install things like exterior cladding, windows, roofs, doors or insulation. They essentially sell you something linked to the project and then carry out the installation or repair work to put in those elements they sold you.
The reason a difference needs to be understood is that unlike with general contractors where there are no laws, for payments to itinerant merchant contractors there are. Usually, this means that within 10 days of you getting the signed contract, they cannot ask you for a down payment, or accept one from you. They can only get money in that period if they have brought you what you are paying for in that time. This gives you time to consider whether you want to cancel the contract.
Paying for remodeling or renovations in installments
Whatever type of contractor you hire, be sure you are happy with the arrangement you make. You do not have to pay upfront, in fact, you should not pay everything upfront. At least one final payment should be held until the work is finished and you are happy. For a larger project, you would arrange a payment in installments, with each installment being the end of one stage and the start of the next. That final payment should be about 10 to 15 percent of the total costs. All respectable high-end remodeling contractors in Colts Neck, NJ would be happy with something like this.
If the project is not due to start for a while and they still ask for a payment say in the next 2 months, you should ask them if they have a trust account and make a check that is payable to there. A trust account is there to protect clients in case they go bankrupt so there is money that can still be paid to people they owe to.
If you carry out the contract over the phone or online a high-end renovation contractor in Freehold NJ can ask for or accept payment before the start of the project but you will need to pay them with a credit card.