Before a remodeling project gets underway in your home, you need to know what types of payment your general contractor will accept. Different options work best for different people and it’s important to keep this in mind before any work is completed.
When it comes to paying a contractor who has done remodeling work in your home, you have a variety of options to consider. If the project is large, then you may wish to take out a personal loan through your bank or arrange some type of financing with the contracting company. If the project is smaller and not as much of a financial burden, then you may decide to pay with your credit card or by check. You should steer clear of paying in cash. Before the contractor begins work on your bathroom or kitchen, you should find out what payment methods are acceptable.
It is important that you and the remodeler come up with a payment schedule that is reasonable before the work gets underway. Make sure to get the schedule in writing. You also want to be sure that the interest rate you are getting is fair. Talk with the contractor and figure out what will work best for the two of you.
Do what you can to limit the amount of a down payment that you are charged. After all, you do not know at the beginning of the project if you will be pleased with the end result of it. In some states, laws place limitations on how much a contractor can request to be paid as a prepayment or down payment. Place a call to your local consumer or state organization to find out what the law is where you reside.
It is wise to arrange for payments that are based upon specific phases of work being completed. That way, if the job is not to your liking or is not being completed on the work schedule that was decided upon, then you can delay the payments.
Once the work has come to an end, you should not make the last payment until you are completely satisfied with all of the work that the specialist did. Additionally, you should not sign an affidavit of final release until you know that everyone involved in the work received his or her money. This includes the suppliers and the subcontractors.
If, during the commission of the work, you charged supplies or services on your credit card and then a problem arose, it is within your rights to withhold compensation for the items until the situation is resolved. The amount of money you can withhold can add up to the entire expense that is currently outstanding for the purchases that you have made. This may also include finance charges or any other kinds of charges.
When it comes to the payment options for your remodeler, it cannot be emphasized enough that you have options. Select the one that is most suitable for your financial set of circumstances.