In recent months, we've seen news stories about people receiving strange notices from out-of-town companies about the need to pay an alarm system registration fee for their home security. It sounds like an obvious scam but in this case the letters are very real: Some cities require alarm fees and contract that business out to far-away corporations.
But these stories had us thinking: What can we do to help people spot real home security scams? As the FTC (Federal Trade Commission) warns, "Reputable companies won't try to sell you anything before learning about your needs and the layout of your home." However, scammers can still be pushy, convincing and filled with lies about who they represent, which causes problems for the unwary.
To help out, here are four easy ways to tell if a scammer is trying to make a quick profit off you instead of actually selling you reliable home security systems.
Someone unexpected comes knocking at your door
A cold call in person for home security usually is a sign of a scam.
One of the easiest ways to identify a scam like this is that you get a knock (or sometimes a phone call) from a stranger. It's really that simple: Honest home security system installers rarely have time to go door-to-door and prefer to use more effective outreach such as social media, local listings and mailers. And home security companies can reach you by email and phone if they need to pass along any important messages.
So if someone is at your front door trying to sell home security -- and nobody contacted them first -- chances are high that it's a scammer making their way through the neighborhood. That's true even if they claim they are from a well-known security company. ADT says: "ADT representatives or ADT Authorized Dealer representatives will carry proper company issued identification … If they do not show the official ADT identification, do not believe them."
You can always give security companies a call if you aren't sure. And with scam phone calls, remember that the real company will have the details of your system, plans and identity while scammers usually won't.
A deal that is only good for a short time
Beware of deals that are only available for a short time.
One of the strongest red flags for any home-based scam is a manufactured sense of urgency. In other words, these people want you to part with your cash fast before you have any time to think about it and they'll get as pushy as required to make it happen. For home security, that usually means offering special 'one day only' sales or a discount rate that only works if you sign up right now. Some will also talk about a sudden spree of burglaries in your area right now that you need protection from immediately.
Language like this indicates the scammer is only trying to make a quick buck and may not even have a real business. The best response is to kick the salesperson out ASAP.
You hear your security company is being taken over
Surprise warnings about your home security system are always a red flag.Â
This age-old tactic occurs when a polite and well-meaning scammer announces that, sadly, your previous security company has closed or moved out of your area (if you have visible security yard signs or cameras, that's enough for them to work with). The only way for your security system to keep working is if you sign a new contract and buy the right equipment from the firm taking over your account.
While it's still frequently used, this scam doesn't work as well anymore because home security companies would send you emails, phone calls and app notifications that they were shutting down your service. However, it can still catch those who don't know much about their home security by surprise. "If this happens, call your current monitoring company to get the real story," suggests the FTC.
People promise to 'upgrade' your existing home security
Your security doesn't need a sudden 'upgrade' to keep working.
Scammers will often represent themselves as a security company representative who has come to make required upgrades to your security system. They can sound and even look official and may have warnings about how your system will stop working without new add-ons. But their real goal is to install unnecessary or fake devices and get you to sign a worthless contract if necessary.
Don't let this talk about big upgrades fool you. That's not how security brands sell upgrades and if any of your devices were to age out of working properly, they'd send you plenty of warnings beforehand. Also, you can always call your security customer support and ask them directly if your system needs any upgrades. Dismiss the scammer and find out the truth for yourself.
Finally, remember that scams like these are frequently targeted at the elderly or those generally unfamiliar with security and home technology. Not everyone has the knowledge needed to spot schemes, so educate your family members as needed.
For more information on staying safe and aware, keep an eye on our top home security systems so you know what brands are trustworthy, learn how you may be putting your home at risk with social media activity and keep up on the most common home security mistakes.