Understanding binding estimates can be difficult there are however some things to look for that may help.
When you decide to take a risk and move homes, you should be smart with your choices. Doing research into the process is important. One often overlooked, but crucial part of the moving process is to get an estimate from professional movers. This can help you with budgeting your move.
The movers may give you one of three different types of moving estimates, these being;
- not to exceed
We will now be taking a look at everything you may need to know about these binding estimates.
What are They?
Put simply, binding estimates are figures given by Verified movers which will not change at all during the whole duration of your move. To use an example, a moving company comes to your home and looks at all your possessions. They then tell you it will be $500 to move all your items. This will be the final number billed to you as your move comes to an end.
If on moving day the actual cost of relocating your items sums to more than the quoted amount, the company is not allowed to ask you for any more money. However, this works both ways. If the actual cost is less on moving day, you will still have to pay the quoted amount.
What are the rules?
Binding estimates are not too hard to get the hang of! there are some rules that all these estimates should follow:
- Your choice of a reliable moving company cannot increase the quoted amount by adding extra services you were not aware of. If any changes are to be made, you have to be made aware. You as the customer only have to pay the amount agreed on the initial estimate. Any other service you require can be billed outside of this.
- The moving company you have selected should provide you with an estimate in writing (do not just take their word of mouth). This should be done before the move takes place, so you have plenty of time to check it with your budget. By doing this early you have time to sort any problems out also.
- It is the responsibility of the moving company you chose to provide the binding estimate between you and them. They should also print a bill out for you, and provide this when your goods are delivered. Your movers should also take responsibility for stating all the services you used.
- When your move begins and your moving company believes there are more items than originally quoted, they can revise the contract. During this time they may make a new binding estimate for you, or even cancel the job if you cannot reach an agreement. Luckily this can be easily avoided. Make sure you do not add any extra items to shipment, be honest and as helpful as possible with your moving company.
Positives and Negatives
There are benefits to these kinds of moving contracts, having one can relieve stress for you and your family. You may find you run into fewer problems during your move as well. One of the best benefits of getting a binding estimate for your move is that the cost will remain the same for the entire process. As long as everything that was originally agreed upon goes to plan. This is very helpful when creating a budget for your move.
If you, however, aren’t very good at being prepared and planning you may encounter some problems when receiving a binding estimate. You should thoroughly assess all the belonging you wish to take with you for the move, to best make sure you don’t ask for too much shipping space. If you ask for too much space, it is not the end of the world, but it might be the end of your budget. As you may be quoted too much for your big move.
These binding estimates are best suited for movers who like to be prepared. You will know the cost during the whole process and can plan accordingly.
Description of services
When you receive a binding estimate you should check that it accurately describes everything you will need during shipping. If you decide to get some extra services for your movers, they must be billed to you separately. When your moving day comes about they must provide you with the bill in writing, and you should have a copy of this before the move takes place.
Payment for binding estimates is expected when your shipping reaches its final destination. When paying these estimates you should use the exact amount of cash, a check or money order to settle your movers. It is up to your moving company to decide if they will accept payment before the move. They can also decide to accept a credit payment or extend your payment. If unfortunately, you can’t pay your movers, you can expect your belongings to end up in storage. Moving companies will keep your items safe here until your debts are paid in full.
It is important that your moving company keeps records of any transactions you may make with them. These are official records and should be included on the final copy of the bill for your binding estimate.
Of all the types of binding estimates discussed the best option of any would-be a not-to-exceed binding estimate. This style of estimate means if the actual weight of your items being shipped ends up being more than the written original estimate, you still pay the original amount. If, however, the weight ends up being less than expected. You will pay less money than in the original quote. You win either way in these estimates. Either you will pay the original amount despite the weight, or you will pay a reduced amount.
Moving homes nowadays come with a variety of different challenges and processes. By understanding the moving process and any estimates you may receive you can ensure your move will be smooth. Binding estimates can be tricky but if you are careful and keep track of your shipping and its weight, your big move may turn out exactly as you planned.