A New Scam is Targeting Homeowners and Businesses: Learn How to Protect Yourself and Avoid Paying Twice for Dumpster Services

The dumpster rental industry is currently facing a growing scam, primarily spreading through social media platforms like Facebook. Unsuspecting customers and dumpster rental businesses are falling victim to this sophisticated fraud. Here’s how the scam works, what to look out for, and how both customers and businesses can protect themselves.

How the Scam Works

1. The Social Media Ad Trap: A customer sees an ad on platforms like Facebook offering dumpster rentals at prices that might seem too good to be true, or even slightly discounted from typical local rates.
2. Ordering the Dumpster: The customer places an order with the advertiser, assuming they are a legitimate company.
3. The Scammer's Next Move: The scammer then finds a legitimate dumpster rental company to fulfill the order. However, instead of paying with their own money, they use a stolen credit card.
4. Payment Trap: The customer sends payment to the scammer, often through non-refundable methods like Zelle or Venmo.
5. Fraud Detected: After the dumpster is delivered, the legitimate rental company gets notified that the credit card was stolen. At this point, the customer has already paid the scammer, who is long gone, and is left with no recourse.
6. The Dilemma: The legitimate dumpster company will not retrieve the dumpster unless paid for the service. The customer, unaware of the scam, may now have to pay the company a second time to get the dumpster removed, or risk having the dumpster dumped on their property and the dumpster retrieved by its rightful owner

What Customers Can Do to Protect Themselves

If you're looking to rent a dumpster, here are some critical steps to avoid falling into this trap:

1. Verify the Company's Legitimacy: Make sure you're dealing with a legitimate, local dumpster rental company. A quick Google search can reveal whether the company has a business profile, website, or legitimate reviews.
2. Sign a Service Agreement: If you don't receive or sign a formal service agreement, this is a major red flag. Legitimate businesses provide contracts to protect both parties.
3. Check Online Reviews: Before making a purchase, look up reviews of the company to ensure they're legitimate. Scammers rarely have consistent positive reviews on multiple platforms, or a profile at all.
4. Avoid Non-refundable Payment Methods: Do not use payment methods like Zelle or Venmo to pay for a dumpster rental. These methods do not offer protection against fraud or disputes. Use a credit card, which offers more robust dispute and fraud protections in case something goes wrong.
5. Check other dumpster rental prices, there is a difference between an affordable dumpster service, and a scam, usually you can tell by checking with other vendors as well.

How Dumpster Companies Can Protect Themselves

As a dumpster rental company, it's essential to be proactive and protect yourself from fraud. Here are some steps you can take to safeguard your business:

1. Verify Customer Information: Always ensure that the customer’s name matches the name on the credit card. This small verification step can prevent many fraudulent transactions.
2. Avoid Online Ordering Without Verification: While online ordering is convenient, it can also be easily exploited by scammers. Consider taking orders over the phone or implementing more stringent online verification processes.
3. Screen Orders Over the Phone: Have a direct conversation with your customers. Scammers are less likely to engage in phone calls, and speaking with a customer allows you to detect any red flags or suspicious behavior.
4. Require Signed Contracts: Always send a service agreement to be signed by the customer. This step not only protects your business legally but also helps to establish legitimacy and trust with customers.

The Bottom Line

This growing scam in the dumpster rental industry is a reminder for both businesses and customers to stay vigilant. By implementing simple verification steps and choosing secure payment methods, you can avoid falling victim to this fraudulent scheme.

Remember, if the deal looks too good to be true, it probably is. Always verify who you’re dealing with before proceeding with a dumpster rental, and never hesitate to ask questions or request documentation.

Precision Disposal is a name you can count on, with hubs on Cape Cod, SE Massachusetts, Fort Myers Port St Lucie and services areas extending around and beyond these areas, we can help you navigate your dumpster rental needs

**Note this is not legal advice and is based on our experience and experiences of others in the community in an attempt to combat this type of scam from claiming another victim