News Letter 2005 07

M. A. SMITH

A PROFESSIONAL LAW CORPORATION

MASAPLC.COM

MICHAEL A. SMITH, ATTORNEY AT LAW

E-MAIL: masaplc@hotmail.com

319 E. FOOTHILL BLVD., SUITE C VOICE - (626) 357-1177

ARCADIA, CALIFORNIA 91006 FACSIMILE - (626) 357-4588

July 2005 No. 2

FINANCIAL PRIVACY LAWS

The Federal Court blocked a portion of California's landmark financial privay law, ruling banks have a right to sell their customers' private information to affiliated companies. The case was sent back to the lower court asking the judge to determine if any consumer information can be shielded from affiliated companies under the state law.

Thanks Fred

CONTRACTOR SCAMS

Home owners beware! A woman thought she was getting a good deal when a contractor showed up at her door offering to install a new roof and new siding on her house. The cost? "Don't worry," he told her. All she had to do was sign a few papers. The documents she signed were for a home equity loan authorizing the bank to pay proceeds of more than $90,000 directly to the contractor. The contractor skipped out the moment he received the loan check.

Common scams and swindles to watch out for:

1. "Hello, We're Working in the Neighborhood..." Beware of anyone who comes to your door offering to do repair work on your house (cold-calls). Those "too good to be true" coupons you get in the mail should be avoided, too; or, at the very least, viewed skeptically.

If you cannot get a referral from friends, neighbors or someone you trust, be sure to check out all potential contractors with the State Licensing Board and-or Chamber of Commerce, before you sign a contract. If they have complaints don't hire 'em!

2. "The Chimney Burn" Ever received a coupon to have a service done for a ridiculously low price? It's probably a scam. In almost every case the "cut-rate" dealer will tell you major repairs are needed which will cost thousands of dollars.

Before you write that check, get a second opinion. Call a state guild for the type of repair you need, i.e., roofing, chimney sweepers, etc.; the Chamber of Commerce or state licensing agency.

3. "Pest Control" Termites are a nightmare for everyone living in Southern California. They literally eat us out of house and home causing millions of dollars of damage annually.

If you need to check for termites, or other pests, be sure testing is done in spring; the season when "pests" are most active, to ensure an accurate test.

4. "What You Don't See" Thinking of having dangerous gases or airborne particles removed from your home? Be sure to demand copies of independent lab results before paying for the service. Also, make sure bids are "apples to apples."

Be skeptical of lowball bids, a truism which applies to all home projects. Low bidders may be more willing to cut corners or use faulty materials. Installing a new roof? Ask the bidders for the brand names of roofing materials to be used. You can compare bids more effectively with a bit of research.

DON'T hire an inspector who is popular with local real estate agents. The best inspectors are often despised by RE agents.

DON'T ever assume a licensed contractor is good. Check him or her out before you sign a contract. If you're uncomfortable, even just a little, don't hire them.

DON'T ever sign a blank contract, agreement or order form. Always read every part of any agreement before you sign and ask questions if you do not understand even a small item. Be sure to get copies of everything and keep them.

DO ask friends and neighbors for recommendations when shopping for a contractor or repairman.

DO make sure your contractor buys roofing, window and other building materials that come with manufacturer's warranties. Be sure they are installed according to the manufacturer's directions, too. July 2005 issue, Money Magazine

1. Do not heat food in plastic containers or use plastic wrap in the microwave.

What happens? A chemical called Dioxin is released into the food or water. And, Dioxin carcinogens cause cancer, especially breast cancer. Thanks Mar

you got your windshield cleaned, oil checked and gas pumped all for free, every time. You didn't pay for air and you got trading stamps, too? Thanks Dave

The word for July is disingenuous which The American Heritage Dictionary defines as:

dis in-jen'yoo-es adj. Not straightforward or candid; crafty. -dis'-in·gen'u·ous·ly adv. -dis'in·gen'u·ous·ness n.

Do you have an idea, joke or remember when..., etc., you would like included in our newsletter? Simply call paula at (626) 357-1177 or e-mail her at paulasmith1000@hotmail.com. We wold love to hear from you.