Stella brings warnings of price gougers, scammers

NEW YORK -- East Coasters hunkered down for Stella, the powerful winter storm barreling through the Northeast, should be on the lookout for price gouging and scams, law enforcement agencies in several states are warning.

Retailers, vendors and suppliers are prohibited from jacking up prices during natural disasters to take advantage of consumers who need essentials like food, water, gasoline, generators, batteries flashlights, hotel rooms and transportation, according to New York Attorney General Eric Schneiderman.

Hardware stores, for example, can't ramp up the cost of shovels, snow blowers and salt during or after snow storms.  Snow removal companies are prohibited from demanding exorbitant fees to plow driveways.

"Unscrupulous fraudsters will use severe winter weather as an excuse to illegally line their pockets," he said in a statement. "We won’t tolerate anyone who seeks to capitalize on this snowstorm at the expense of New Yorkers."

Close to 20 million people live in the region where Stella is expected to wreak havoc. The National Weather Service has issued a blizzard warning.

In New Jersey, the state Division of Consumer Affairs warned merchants that they face criminal charges and civil sanctions if they charge 10% more on essential items during the state of emergency or 30 days thereafter. Gov. Chris Christie declared a state of emergency on Monday.

"The state's price gouging laws will be strictly enforced to protect consumers from being victimized at a time when they're at their most vulnerable," Attorney General Christopher Porrino warned.

Residents in the snow-blanketed areas also should be on the lookout for scammers offering shady home repair services during and after Stella, including those collecting for bogus storm relief efforts or offering fake government loans and grants, according to Pennsylvania Attorney General Josh Shapiro.

"People whose homes have been damaged by a storm are looking for speedy repairs, but it’s important to do your due diligence and research the contractor you are considering before any work is performed," he said.

To avoid becoming a victim of fraudsters:

• Report any price gouging to your state consumer protection agency or attorney general.
• Get multiple estimates before committing to a property repair or snow removal deal. Make sure each detail outlines materials and labor. Find out the estimated start and end dates.
• Ask for references.
• When you decide, get the service agreement in writing. A verbal deal or a handshake won't do much.
• Don't put down a large deposit.

Follow Paste BN reporter Zlati Meyer on Twitter: @ZlatiMeyer