Hiring someone to perform work on your home is an unspoken statement that you trust that person. Nobody says it out loud, but trust is an implied part of the process. That's why it hurts so much when we fall victim to home repair scams. Of course we're angry at the loss of money, and then there's the unfinished work that still needs to be done. But what lands most people in small claims court suing their contractors is that ultimate feeling of betrayal.

How do you avoid home repair scams? Scammers are not just anonymous contractors who pass through our lives. They can be our relatives, neighbors, or our long-time friends. Maybe it was a contractor you didn't know, but he came highly recommended by a co-worker.

There are certain steps you should always take to protect yourself. No matter how much you think you can trust your friend Sandy's husband's Uncle Joe, or no matter how small the job is, there's no reason to bypass any of these tips.

Close your door on anyone who knocks and suggests an immediate, impromptu repair. He says he was working down the street and now he has extra cement to fix your driveway? Fat chance! And, don't hire anyone who advertises from flyers stapled to utility poles.

Once you choose someone, contact your Better Business Bureau. You can find out if the company or person has had prior complaints. And if there are complaints on record, what becomes important is whether they were resolved.

Next, you should ask the contractor if he is insured. If he falls off a ladder in your home, his insurance should pay for it. If his tools break during the job, he should never blame it on your faulty house and charge you for it.

Your worker should also be licensed. Some types of work-electrical, plumbing-require licensure. It's optional in other areas. But if you expect a certain standard of work, then choose someone who does the work regularly for a living, who has passed a test that certifies he works according to the standards of his industry.

Always sign a contract. Too many people make verbal agreements. And it's true that verbal contracts will hold up in court-as long as you can prove them. If you have to sue a contractor and it comes down to your word against his, then you'll wish you had it in writing. The contract should describe:

The exact nature of the work.

The cost of the work.

Who will do the work.

The date the work should be finished.

What happens if the job runs beyond the date expected.

What happens if the contractor needs to perform unexpected, additional work.

What happens if you request additional work.

Whether a deposit is required.

When final payment is due.

The guarantee on the work.

Never pay in cash. If you do, get a receipt. Let's say that again: If you pay in cash, get a receipt. Everything should be documented. If you give the worker twenty bucks to buy an additional piece of wood, get a receipt.

Suppose you've hired someone for a job, and you followed everything we've just mentioned, and the work was completed to your immense satisfaction. Then you want to hire the worker for some additional work. Should you just give him the money he needs up front so he can get a quick start on the new project? You can sign that contract next week, right? Heck no! Too many home repair scams involve a contractor who performed well on one job but left the customer in total bewilderment with an unfinished follow-up assignment. Remember to always follow procedure!

This information has been provided by Automated Homefinder - a Boulder CO real estate Brokerage. To search for Boulder homes, or Longmont real estate, simply visit Automated Homefinder.