Summer isn’t even here yet but door-to-door sales of home security systems are already starting to generate complaints.
Similar complaints were heard last year about several other companies based in small towns in Utah.
Two local companies that sell alarm systems say they have been getting calls from homeowners in Leeward Oahu about salesmen claiming to represent the local firms, or who say their companies are affiliated in some way.
According to these reports, the salesmen say they are going to “upgrade” or improve an existing system, which then requires the homeowner to sign a new contract for monitoring the alarm system. These companies all offer inexpensive or free installation, but make their money on long-term monitoring contracts costing around $50 per month. The contracts typically call for five years of payments, with a hefty charge to cancel before the contract term ends.
The contracts are typically sold to 3rd parties and the original company just walks away, saying they have no remaining responsibility for their work.
In another typical sales pitch, the salesman comes to the door and says that he can offer a special deal because “our installers are working just down the block.” But homeowners are told they must decide immediately.
Problems inevitably occur because the companies are small and do not have a local office or a means of supporting the systems they install or service them in the event of malfunctions.
According to the owner of one established local business:
We have had calls for several weeks from people trying to find out if the guys are us and worst of all, a company calling themselves Frontier Home Solutions (a new incarnation) is telling people that we are the servicing company for them and giving them our phone number.
A few interesting calls are from people who have been told we would repair their system. We have had people trying to cancel with us and people just yelling at us for not taking care of them.
Another local alarm dealer said problems most often occur with companies that have no local office. In some cases, it is impossible to contact what are described as mainland headquarters.
He advised homeowners to check out any door to door company by calling directory assistance (411) and asking if the company has a listed telephone number.
It’s not that we don’t want people to get a good deal.
But if the deal is so good that it has to be decided on right now, that should be a warning right there.
Buyers should be informed and make a decision based on the facts.
According to the Better Business Bureau in Utah, Frontier Home Systems was incorporated in December 2007 in Lehi, Utah. BBB logged six complaints about the company in the last year.
The BBB has requested basic information from this company but has not received a response
An unusual number of complaints here last year prompted the BBB to issue a warning about deceptive sales practices.
According to the BBB warning, issued last summer:
“Every summer door-to-door alarm salesmen hit the pavement and every summer BBB sees an increase of inquiries from consumers who want to check them out,” said Dwight Kealoha, chief executive officer of Hawaii’s BBB. “But this particular company caught our attention—first because of a spike in its number of inquiries and then because of complaints alleging Max Alarm sales reps were impersonating local companies.”
Hawaii’s BBB has received 330 inquiries about Max Alarm since the beginning of June; six times more than during the previous eight-week period. “Inquiries and complaints about Max Alarm indicate its sales reps don’t clearly identify who they’re working for, provide a business card or offer local contact information,” said Kealoha. “They also use dishonest sales practices by impersonating or falsely claiming affiliation with the consumers’ existing alarm company.”
This year, the company name is different, but the complaints are the same.
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I have worked in the security industry for over 5 years now and have seen all kinds of complaints against security companies for various reasons. It is true that the majority of them use 3rd party services to monitor the home, because these companies such as ADT, Monitronics, SAI, etc… are so good at what they do.
It is important to ask detailed questions regarding the contractual relationship you will have with your Home Security provider so you can make an educated decision. Unfortunately it’s not the companies that are shady as much as the occasional sales rep who employs unethical practices without the companies knowledge. These people are fired very quickly when it comes to a companies attention-Just like any other industry.
Many companies do have their corporate offices on the mainland and have satellite locations to service clients on the Island. Just look at all the corporations that provide excellent services to locals that benefit the economy and well being of locals. Costco, Wal Mart, etc…, Local is good, but does not necessarily mean best.
From an insiders perspective, its unfortunate as I read articles, blogs, and news lines that are twisted and inaccurate that actually mislead consumers. I understand that the intention of articles is to do good, but consumers need to be aware that the old saying “everything you read isn’t true” still stands.
The company that is advertising alarm systems on this very site actually sells their leads off to our company. The same company that is being slandered on this article, FTR Security, which maintains a service office in Oahu to service accounts. We don’t shy away from people voicing their experiences, and I appreciate the authors honesty in this article. To clear the air, we do provide free equipment and free installation with a $99 activation fee and 36 month monitoring agreement which includes a lifetime warranty and a lifetime move plan. You will also receive a 10-20% discount on your homeowners insurance for using a service such as ours. You can call into our corporate number anytime to receive this offer, and reps sometimes are only in an area for a week so when they say they are not going to be around tomorrow-they mean it.
Some local companies don’t like that we are competing for business, but the truth is when two businesses compete, the consumer wins.
The main question and Issue as I see it is having these companies, the one you work for as well coming here and working without having the proper licensing thru the state……… Let me guess……why bother getting licensed when you will be gone tomorrow??? Sound accurate enough??
Why do you guys feel that you can operate by a different set of rules?? Not to mention Hawaii’s economy is already hit pretty hard, and yet your helping remove more money from the local economy… You really think it will come back here after it leaves???
Do you not see that what you are a part of is hurting the entire industry as a whole???
We where actually on an appointment today and had someone from your company knock on the door and try to steal the sale… very cocky and rude individual…..what kind of nerve to knock on a door when you see another alarm companies van parked right in front….
Frontier home solutions/FTR security.
Salesman flat out lied to us. Said we would save 15% with basic alarm and another 5% if we installed a direct fire alarm smoke detector. I was not in the market for an alarm system but 20% off my $3000 homeowners policy is $600 a year for a system that costs $510 in monitoring fees a year. No brainer I thought.
State Farm laughed when I mentioned 20% discount. Actual discount was a little under 2%, about $50. On top of that, alarm stopped working a little over a year later and they wanted a service call fee plus cost of parts. No thanks. Locked into a 36 month contract with monitronics for no protection.
Home alarm salesmen will pretty much say anything to get you to sign on the dotted line. It’s amazing to hear some of the things they say.
If it’s OK with the moderator, I would like to share an article that might be informative to readers:
3 Sleazy Pick-up Lines Used by Alarm Salesmen
http://simplisafe.com/blog/3-sleazy-home-security-pick-lines-used-alarm-salesmen
Feel free to share or re-post!