Written Estimates: Binding versus Non-Binding
By Alice Knotting, Finance Consultant, Truck rental.com Staff
You will notice that not all moving companies will quote you the same prices for the same move. While you want to save money by going with the cheapest company, the lowest quote may not always end up being that route. If you really want to make sure that you are going to save money on your move, you should always realize the differences between the types of quotes that moving companies can give you.
Non-Binding Quotes
Non-binding moving quotes are estimates of how much your relocation project will cost. This type of estimate will be in writing because all moving companies are required by law to give estimates in writing.
Risky Business
You need to realize that a non-binding quote does not limit the charges that can be added on to this estimate on the other end. You risk paying hundreds of dollars more on your move if you hire a company based on a non-binding quote.
Recent Problems
More and more people are complaining that companies are taking them for a ride. There are some moving companies that do not have a problem with giving a low estimate, and then tacking on a thousand dollars worth of fees on the other end. Because the person didn’t budget for this, moving companies often take their belongings to be stored at the owners’ expense until the bill is paid.
Binding Quotes
Binding quotes are moving estimates that are in writing as well. The biggest difference that you will notice about this type of estimate is that it will generally be higher than any of the non-binding estimates. That is not a good reason to disregard this estimate, however.
Bound by Law
Moving companies do not have to give binding estimates, but if they do, they are required to complete your relocation project for that price or less. Many times, a moving company will be able to complete the project for less than the estimate, but they will never go over that amount. Binding estimates are basically contracts, and no one can break them once they are signed under penalty of law.
Which is Better?
It is simple to see which one of these options is better. Binding estimates will allow you to cap your moving expenses. This means that you can build an accurate moving budget around the costs that your moving company will require. In any case, you should always request a binding estimate from any moving company that you contact. If they are not willing to give you one, then perhaps you should just pass them by.
