Group Devises Recommendations to Protect Consumers Against Mover Fraud
WASHINGTON — A federally appointed working group on household goods tackled recommendations for the Federal Motor Carrier Safety Administration that aim to better inform consumers of moving fraud and streamline paperwork for brokerage and moving companies.
The Household Goods Consumer Protection Working Group revised its draft of recommendations for the secretary of transportation in its three-day meeting last month.
“If it happens to you and you really are a victim of moving fraud, and your shipments are being held hostage, it’s devastating,” said Chairwoman Heather Paraino, senior corporate counsel at UniGroup, which specializes in relocation for residential and corporate moves of household goods and high-value items.
Protecting consumers from rogue movers is the key reason why this group was established. “We aren’t here because of the good movers,” said Francisco Acuna, president of Compliance Investigations at the U.S. Department of Transportation.
FMCSA has received more than 3,500 complaints from consumers, and their damages and losses averaged $8,000 according to the group.
“Historically, there is a reason we are focusing on these issues today,” Paraino said.
The group is focusing on three areas of improvement:
They have drafted improvements via the brochure “Protect Your Move” with tips for a safe move.
Paraino stressed the importance of reaching people prior to a disastrous move.
“People want content delivered differently than they used to. Instead of wanting a 48-page brochure with everything they need to know and more, it seems like consumers appreciate sound bites.”
The second area the group is focusing on is educating the public through internet platforms such as YouTube, Google advertisements and other social media.
The third goal is to also streamline the required paperwork for motor carriers and shippers when moving household goods interstate. Ideas included whether FMCSA should create standard forms and should regulations apply to others in addition to full-service movers.
The meeting June 27-29 at DOT headquarters was the group’s third. However, the recommendations were due Dec. 4. Working group leader Kenneth Rodgers, chief of the Commercial Enforcement and Investigations Division for FMCSA, was charged with setting a 2016 deadline for the group’s recommendations.
But due to “unforeseen circumstances,” the work continues, according to FMCSA spokesman Duane DeBruyne. “The working group is working as expeditiously as possible to complete the task,” he said.
The moving sector has seen its share of ups and downs over the past few years. A recent announcement to start long-distance hauls by Two Men and A Truck shows the growth of interstate moving needs. Company acquisitions also have been a trend, with moving giant Interstate Group Holdings Inc. acquiring American Red Ball World Wide Movers in March, and the 2015 acquisition of The Secor Group by Suddath, a global moving and relocation company.
Paraino is optimistic that the working group will complete its recommendations and publish them by September.
This group was mandated by the FAST Act, signed in 2015 to fund federal highway, motor carrier safety and other programs through 2020.
