MarieCurie Posted November 8, 2019 Share Posted November 8, 2019 My husband and I just bought our first house this summer. We bought it knowing a new HVAC system was needed. We just called an HVAC place recommended by our realtor. HVAC place wants 50% deposit paid by check. They say they don't take credit cards because of the fees charged by the credit card companies. Is this normal? I'm worried because I know you have more protections if you pay by credit card. Is not taking credit cards a red flag or is it typical for this kind of work? 1 Quote Link to comment Share on other sites More sharing options...
73349 Posted November 8, 2019 Share Posted November 8, 2019 I'd call someone else. Everybody here takes a credit card (TBH I'm not sure they would want their people carrying cash, and while homeowners aren't hard to track down, checks can bounce). HVAC systems are expensive enough that they should just have prices that will cover a cc fee. 3 Quote Link to comment Share on other sites More sharing options...
Selkie Posted November 8, 2019 Share Posted November 8, 2019 Not unusual, in my experience, but I would make sure to have a signed contract detailing exactly what you're getting and the payment schedule. 3 Quote Link to comment Share on other sites More sharing options...
EmseB Posted November 8, 2019 Share Posted November 8, 2019 I would have no problem writing a check upon completion of the work. The 50% up front would make me more wary than the not taking credit card thing. The most I've ever been asked to pay before a job like that has been a $75 or $100 deposit or consultation fee. But not taking cards because of the fees is pretty common in that type of small business, IME. 2 Quote Link to comment Share on other sites More sharing options...
Jean in Newcastle Posted November 8, 2019 Share Posted November 8, 2019 Credit card companies do charge fees and if it is a small business just trying to make ends meet, I can see why they would want to avoid that. What kind of reviews do they have? Are they licensed? Bonded? Insured? 2 Quote Link to comment Share on other sites More sharing options...
May Posted November 8, 2019 Share Posted November 8, 2019 We just had our system replaced. Two out of the four companies didn’t take credit cards. No one wanted money upfront though. Quote Link to comment Share on other sites More sharing options...
Scarlett Posted November 8, 2019 Share Posted November 8, 2019 I work for a small business. We do take credit cards, but if we ever have a choice we take checks because of the fees. But half up front seems pretty high. Quote Link to comment Share on other sites More sharing options...
gardenmom5 Posted November 8, 2019 Share Posted November 8, 2019 it's normal for someone who wants to do things 'under the table". (if they don't declare it, the don't pay taxes on it. - I've met some workmen who do that.) it's also common among workmen who don't do that great a job. if there's a problem - you have no recourse to get your money back (well, you can complain to the state, or take him to small claims court). I'd call someone else. make sure whomever you end up with, is licensed, bonded, and insured. (and everything is current) - it will probably cost more, but you're likely to be happier when it's all over. 1 Quote Link to comment Share on other sites More sharing options...
Selkie Posted November 8, 2019 Share Posted November 8, 2019 6 minutes ago, gardenmom5 said: it's normal for someone who wants to do things 'under the table". (if they don't declare it, the don't pay taxes on it. - I've met some workmen who do that.) it's also common among workmen who don't do that great a job. if there's a problem - you have no recourse to get your money back (well, you can complain to the state, or take him to small claims court). I'd call someone else. make sure whomever you end up with, is licensed, bonded, and insured. (and everything is current) - it will probably cost more, but you're likely to be happier when it's all over. If they wanted to be paid under the table, they'd be asking for cash, not a check. 4 Quote Link to comment Share on other sites More sharing options...
gardenmom5 Posted November 8, 2019 Share Posted November 8, 2019 2 minutes ago, Selkie said: If they wanted to be paid under the table, they'd be asking for cash, not a check. usually - but I've encountered a few who set off all my "they're sketchy" flags who wanted checks. Quote Link to comment Share on other sites More sharing options...
Carrie12345 Posted November 8, 2019 Share Posted November 8, 2019 I would be thankful that they told you up front. We had an emergency well pump replacement and found out after it was done that the company doesn’t take Discover. Not the same as not taking any cards, BUT we hadn’t kept any other cards with high enough limits open or enough liquid cash at 7pm in the middle of December. It took forever for us to sort payment, and we made the whole crew late for their Christmas party! Quote Link to comment Share on other sites More sharing options...
Jentrovert Posted November 8, 2019 Share Posted November 8, 2019 I would find half up front to be a little unusual, and not taking credit cards very common for small businesses of that kind. Quote Link to comment Share on other sites More sharing options...
mom2scouts Posted November 8, 2019 Share Posted November 8, 2019 In my experience, it's not at all uncommon for small business tradesmen not to take credit cards. It doesn't mean they're shady or do poor work. A 50% deposit does seem high though. Most just want a small deposit. Quote Link to comment Share on other sites More sharing options...
katilac Posted November 9, 2019 Share Posted November 9, 2019 It's not unusual and I wouldn't consider it a red flag on its own, particularly as your realtor rec'd them. Make sure they are licensed, bonded, and insured. Ask on social media if anyone has worked with them. It's not just small businesses, either. Your local car dealership isn't going to let you charge a car to Visa, and lots of schools don't let you charge tuition unless you pay a fee (usually 2% to 2.5%). You only pay the rest upon completion of satisfactory work, so you are not without power. Unless they are a complete fly-by-night company with no license, etc, then they want to complete the work and get full payment. 4 hours ago, EmseB said: The most I've ever been asked to pay before a job like that has been a $75 or $100 deposit or consultation fee. A $100 deposit for something that costs, on average, $5,000 to $10,000?? That sounds more like an appliance or plumber service charge! 50% does sound a bit high but $100 sounds crazy low. 3 Quote Link to comment Share on other sites More sharing options...
BlsdMama Posted November 9, 2019 Share Posted November 9, 2019 2 hours ago, Carrie12345 said: I would be thankful that they told you up front. We had an emergency well pump replacement and found out after it was done that the company doesn’t take Discover. Not the same as not taking any cards, BUT we hadn’t kept any other cards with high enough limits open or enough liquid cash at 7pm in the middle of December. It took forever for us to sort payment, and we made the whole crew late for their Christmas party! Somehow I'm starting to think my little town Iowa mentality must extend to businesses. The fella who did our well pump didn't ask for anything up front and didn't send me a bill for a couple weeks after. :P I'm not surprised by the "no cc" policy. They do charge fees that make it difficult for a company to be competitive. It would not raise any flags for me. 1 Quote Link to comment Share on other sites More sharing options...
Farrar Posted November 9, 2019 Share Posted November 9, 2019 In my experience, the vast majority of people doing serious work on your house only take cash or check, no credit. And ask for half up front. HVAC, plumbers, and electricians you can definitely find places that do take credit and just charge by the hour as well. So if you want an HVAC place that takes credit card, you should be able to find someone. However, for most stuff... it's a big enough pain finding someone at all. Welcome to home ownership. It's... fun. I guess. 2 Quote Link to comment Share on other sites More sharing options...
Frances Posted November 9, 2019 Share Posted November 9, 2019 9 hours ago, MarieCurie said: My husband and I just bought our first house this summer. We bought it knowing a new HVAC system was needed. We just called an HVAC place recommended by our realtor. HVAC place wants 50% deposit paid by check. They say they don't take credit cards because of the fees charged by the credit card companies. Is this normal? I'm worried because I know you have more protections if you pay by credit card. Is not taking credit cards a red flag or is it typical for this kind of work? We’re doing a home remodel and doing most of the work ourselves. But two things we have outsourced both required 50% down and didn’t take credit cards. One was a pretty big, well known local business, the other was a small two-person outfit. 1 Quote Link to comment Share on other sites More sharing options...
Shoeless Posted November 9, 2019 Share Posted November 9, 2019 (edited) My HVAC guy takes credit cards but he does pass the cc company swipe-fee on to the customer. We replaced our HVAC 18 months ago and had a choice of $6,000 paid as a check or $6,180 if paid by cc, (I think the swipe-fee was 3%). We didn't have to put down a deposit, either. I guess my town still has a small-town mentality, because none of the tradesmen that have done work for me have required a deposit. They all have offered credit card payments too, with the customer paying the fee. When I bought my car, I could have paid with a credit card, too. That was in a different state, however. Edited November 9, 2019 by MissLemon Quote Link to comment Share on other sites More sharing options...
Lanny Posted November 9, 2019 Share Posted November 9, 2019 I had friends in Texas who had a "Mom and Pop" HVAC business. I cannot imagine that they accepted credit cards. I suggest that you get at least two (2) bids and see how they compare. What their warranty is. Etc. Reputation... Quote Link to comment Share on other sites More sharing options...
Guest Posted November 9, 2019 Share Posted November 9, 2019 Wife of a contractor here and I say, completely normal. We do not take credit cards, either, although I think it would be a good idea to get the Square thing or something; dh is slow to change and checks are much more normal in the contracting world. We had one of our AC units replaced this summer and we paid half up front. I used a HELOC check, because interest rates are low. 2 Quote Link to comment Share on other sites More sharing options...
Scarlett Posted November 9, 2019 Share Posted November 9, 2019 12 hours ago, BlsdMama said: Somehow I'm starting to think my little town Iowa mentality must extend to businesses. The fella who did our well pump didn't ask for anything up front and didn't send me a bill for a couple weeks after. 😛 I'm not surprised by the "no cc" policy. They do charge fees that make it difficult for a company to be competitive. It would not raise any flags for me. Same here when we moved here.....the guy came out promptly and said he would mail us a bill. That is what he has done every time we have used him, one time he did $1200 worth of work and sent me a bill.....before I could get a check mailed he had to come back for something unrelated and so I wrote him the $1200 check. He was very surprised and happy. Quote Link to comment Share on other sites More sharing options...
City Mouse Posted November 9, 2019 Share Posted November 9, 2019 I live in rural area where it is not unusual to have business that do not take credit cards, so I would not be alarmed, but I do find it inconvenient. If you are not comfortable with using a personal check, could you do a bank transfer-sort of like online bill paying or electronic check? Our local bank as a feature (all done online) where we can have the bank send out checks to pay any bills. That would give you the documentation if case of problems. Quote Link to comment Share on other sites More sharing options...
rjand6more Posted November 9, 2019 Share Posted November 9, 2019 DH is an painting contractor. We do not accept CC. We would however accept Paypal for services. Also, Zelle is an option. No way would we ever ask for money before the job is done. EVER. HVAC is expensive for the unit up front. So, I understand money needed before the job starts. However, I would offer to buy the unit from the distributor (or wherever), use your CC to do that if you want, have it delivered to your house. That way it is YOURS. If the contractor skips out, then at least you do not have to recover the money you paid to him before you can hire someone else. We have done this for all contractors we have hired(roofers, landscapers,gutters, etc) We simply say, "We do not give anyone money upfront." Most understand this and do end up accommodating us. Contractors get into a dangerous cycle when they use down payment money to pay for other jobs/pay themselves. People tell us nightmare stories all the time. If your contractor refuses to let you pay directly to the distributor and have the materials delivered to you, I would walk away. 1 Quote Link to comment Share on other sites More sharing options...
Miss Tick Posted November 9, 2019 Share Posted November 9, 2019 I had the opposite happen one time. The appliance guy (who we had used before and liked) came and diagnosed the problem but then didn't schedule, didn't schedule, didn't schedule the repair. I finally pinned him down on the phone and was like I NEED the refrigerator working, what's going on? And it turned out he didn't have the funds to get the part ordered. I wrote a check and we got the process moving. Quote Link to comment Share on other sites More sharing options...
Posted November 9, 2019 Share Posted November 9, 2019 5000-10000 sounds quite expensive for a replacement furnace. Ours was $2500 about four years ago. The contractor did not take credit cards and requested half up front. He did a great job, nursed the previous furnace along through the winter a couple of times for free because he thought it would be better to install the new furnace in the spring so we wouldn’t be without heat with little kids for a couple of days. He has been over at 9:00 at night when I called saying it was making weird noises. The only thing I would say is don’t buy a Bryant. The heat exchanger cracked after a year from an obvious manufacturing defect.. The company rep wouldn’t admit it and was in my home telling me I must not have had the vents set properly. Bryant doesn’t treat their installers well and my HVAC guy refuses to deal with them any longer. Quote Link to comment Share on other sites More sharing options...
katilac Posted November 9, 2019 Share Posted November 9, 2019 5 minutes ago, Mom2mthj said: 5000-10000 sounds quite expensive for a replacement furnace. Ours was $2500 about four years ago. OP said HVAC system, not just a furnace. 1 Quote Link to comment Share on other sites More sharing options...
Guest Posted November 9, 2019 Share Posted November 9, 2019 1 minute ago, katilac said: OP said HVAC system, not just a furnace. Yes, and the replacement unit we had to buy this summer was just under $10,000. Quote Link to comment Share on other sites More sharing options...
Posted November 9, 2019 Share Posted November 9, 2019 (edited) Sorry! It was in the 20s here last night and dh and boys were tent camping last night. I guess I just have furnaces on the brain. Edited November 9, 2019 by Mom2mthj Typo 2 Quote Link to comment Share on other sites More sharing options...
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