Deposit Scams in Building & Renovation Projects – And How to Avoid Them

How the Scam Works

Rogue builders take large “deposits” before lifting a tool.
They claim it’s to “buy materials” or “secure your date.”

But once the money’s in their account, they:

Delay the start date again and again
Make endless excuses — “supplier issues,” “van problems,” “weather”
Or vanish completely, leaving you with nothing but regret

By the time you realise what’s happened, your cash is gone — and so are they.

The Red Flags

🚩 Big upfront payment (over 10–15%) before any materials appear
🚩 No written contract or proof of what the deposit covers
🚩 Requests for payment into a personal account
🚩 Pressure to “pay today to secure your slot”
🚩 No receipts, invoices, or company paperwork

If the builder rushes for your money, they’re not planning your project — they’re planning their exit.

How to Protect Yourself

✅ Never pay large deposits.
A small percentage (10–15%) is fair to lock in work, nothing more.

✅ Get it in writing.
Your contract must clearly state what the deposit covers and when materials will arrive.

✅ Ask for receipts and proof of purchase.
If materials are “ordered,” ask to see the supplier invoice.

✅ Pay to a business account only.
No personal names, no excuses.

✅ Verify the builder.
Use Check A Builder to confirm registration, insurance, and trading history before sending a penny.

If You’ve Already Paid

Contact your bank immediately — some payments can still be traced.
Report the builder to Trading Standards and Action Fraud.
Gather all evidence — messages, quotes, and bank details.
Warn others by posting their name on Check A Builder to block their next target.