Note that even if the terms appear reasonable, it is a bad idea to have the contractor secure financing for your project and in some areas it may also be illegal. It is probably worth a lot more than whatever you are doing to improve it. So if you cannot pay for work right now, try to postpone it until you can. These laws help keep most contractors honest, but they can't keep the bad apples off the streets. Even if you report violations to the Federal Trade Commission in Washington or one of its ten regional offices, the FTC is not likely to prosecute a small contractor.
Federal enforcement tends to concentrate on major violations or patterns.
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