Don't be fooled - Spray Foam Insulation Scam.
Don’t be fooled
Scams are on the increase. This we know, but one which particularly affecting people as they try to cut the costs of heating their home as prices rise and they wish take long-term effective action focuses on the supply and installation of Spray Foam insulation.
Jon Sweeney from Spray Foam Removal Ltd, shares his experiences and that of his clients as to how this scam has seriously affected his clients.
How a Spray Foam Insulation Scam Works
There are too many unscrupulous companies and individuals out there who scam people out of thousands of pounds. The scam involves the installation of spray foam insulation in their properties which ultimately leads to homes being unmortgageable. The scammers will focus on the more vulnerable homeowners who often trust they are being told the truth.
As Jon says, “However, nothing is further from the truth and the consequences can leave a homeowner devastated.”
How the Scam Works
The scammers research their routine and their targets. First, they make an unsolicited call to their target.
The Initial Introduction
The scammer will typically introduce themselves as a trusted local energy advisor and just by chance a colleague surveyor/energy advisor is working in the area. The hook they invariably use is that they state they are carrying out FREE SURVEYS to homeowners who are looking for ways to reduce their energy bills. However, the intention is not to provide a FREE SURVEY but to gain access to a property with an end goal being to sell a homeowner an overpriced, and often unnecessary service.
The scammer points out the special discount code a homeowner will benefit from when they purchase any products or services they have on offer. Again, there is no such thing as a ‘discount code’. It’s just another angle to make a homeowner think they will be entitled to another ‘special’ offer and that they are getting the deal of the century.
The ‘so-called’ local energy advisor will come across as a friendly, amenable person who will go out of their way to help the homeowner. In truth, the scammer is nothing more than an unscrupulous salesman!
Their routine typically involves admiring a homeowner’s pet stating they used to have a very similar one and how they miss them since they passed away. This idle chit chat is a ruse to gain a homeowner’s trust.
The Next Step: Inspection a Loft Space
Once the scammer has made a homeowner comfortable, the next step is to inspect a loft space. They will typically have a cheap, low-end moisture reading device which they often don’t know how to use. Using this device, the scammer WILL find damp in the loft space even though it is more than likely bone dry!
There have been cases where scammers have popped a hand out of a loft hatch only to bring it back in dripping wet to prove how damp a loft space actually is. In fact, they had a small bottle of spray water in their coat!
The Next Step: The Hard Sell Sales Pitch
Now comes the hard sell sales pitch on how the homeowner can reduce their energy bills while at the same time saving their roofs from falling down. The scammer takes out a calculator and furiously works out how much the spray foam insulation will cost. Meanwhile, the unsuspecting homeowner is waiting with bated breath for their deal of a lifetime which includes their special ‘discount code’.
After ten minutes or so, and a lot of suspense, the scammer finally comes up with an amount and it’s the homeowner’s lucky day. The cost of the spray foam insulation for a 3-bedroom terrace house will be a mere £8,250.
On top of the incredibly low price, the homeowner is told the 50% savings on their energy bills will pay for the cost of the spray foam insulation. However, the truth is that it would more likely take up to 296 years for the cost to be redeemed.
The homeowner negotiates the cost of the spray foam insulation with the scammer by using their one-off discount code, and they get a 10% discount on the initial cost. However, the homeowner still thinks it is too much money, so the scammer calls his manager to see if the homeowner could benefit from a better discount.
Naturally, the manager offers a 15% discount but only because an old lady had postponed an installation due to a fall she had. The installers were in the area and could be there the next day to carry out the work thanks to the freed-up time in their diary.
The unsuspecting homeowner does not realise that by accepting this option, they lose their 14-day cancellation rights which are found in the ultra-small print in the vast Terms & Conditions in the scammers contract.
The Next Step: Next Day Installation
The homeowner accepts the extra discount and pays a 25% deposit. The installers are due to arrive early the following morning which they do. Within 2 hours the work is complete, and the installers request the 75% balance due on the deal of a lifetime.
Fast Forward 2 Years
The homeowner realises they could have used the £6,600 they paid out for the spray foam insulation but then remember they saved £91.50 in the two years since it was installed in their loft space.
However, the homeowner wants to raise some extra cash, so they decide to release some of the capital from their homes. The homeowner contacts a local equity release advisor for help and arranges a meeting. Life looks good because they can withdraw funds from their property while at the same time leaving a pot for the kids.
All the paperwork is completed, and the homeowner is already making plans on how to spend the extra cash. A firm of surveyors’ phones to arrange a time to inspect the property. A couple of days later, a surveyor arrives, and all goes well until they ask to inspect the loft space. The homeowner agrees and tells the surveyor they had an amazing product called Spray Foam Insulation installed.
Fast Forward 48 Hours
The phone rings and the homeowner replies to find that it’s the equity release advisor calling them. Unfortunately, it’s with bad news. The surveyor could not inspect the structural timbers in the loft space because the Spray Foam Insulation was covering them up. As such, the lender does not want to release any equity because some of the timbers might be compromised and therefore the roof’s structure might be unstable too. The reason? The open-cell spray foam used in the loft space acts like a sponge and soaks up moisture which then seeps into the structural roof timbers causing them to rot.
Lastly,
We are a reputable, well-established spray foam removal company trading under the name of Spray Foam Removal Ltd. The extracts above are based on true accounts clients have told us over the years. This includes the elderly and other vulnerable people who were taken for a ride by the scammers.
Don’t forget that is you get a lot of nuisance calls, you can report them to The Telephone Preference Service (TPS) by calling 0345 0700707. Another option is to report the calls online at www.tpsonline.org.uk.