Your Money MattersFinancial Fitness


Can an estimate be a contract?

Be careful when you sign anything
Posted at 6:35 AM, Sep 26, 2019
and last updated 2019-09-26 11:52:48-04

Want to renovate your home or maybe resurface your pool? I always advise getting three estimates before hiring someone.

Deb Schubert thought that's what she was doing when she wanted a price to cut some trees down, but she got a surprise from the tree cutter she did not choose.

The business wanted a 20% cancellation fee saying that Deb had signed a contract, not an estimate.

Estimates are not binding.

While the tree trimmer eventually dropped his demands, it's a good reminder.

Anything you sign can be binding. Make sure to read the entire document before giving your signature.

Most estimates don't require a signature and you shouldn't sign one.