How to recognize moving company red flags

Moving scams in Canada follow predictable patterns — and once you know what to look for, they’re not hard to spot. The problem is that most people only learn about these red flags after they’ve been burned. This guide covers the 10 most common warning signs of fraudulent or unreliable moving companies in Canada, with concrete examples and what to do when you encounter each one. For a reputable moving company that operates transparently, these red flags won’t apply — but it pays to know them regardless.

Moving Company Red Flags: Quick Reference

1. They Demand a Large Upfront Deposit

This is the most common moving scam in Canada. A fraudulent company collects a substantial deposit — sometimes 50% or more of the total quote — and either disappears entirely or holds your belongings hostage demanding more money before delivery.

Legitimate Canadian moving companies typically require a deposit of 10–25% maximum to secure your booking date. The remainder is paid on delivery. If a company demands 50%+ upfront, cash only, or the full amount before the truck arrives — stop and look elsewhere.

What a real deposit looks like with a reputable company: a credit card charge or e-transfer of $200–$500 to secure the booking date, with the balance due on delivery after your belongings are safely in your new home.

Secure your move with a trusted company and understand deposit policies before making payments.

2. No Written Binding Estimate

A verbal quote is not a contract. If a company refuses to provide a written, binding estimate — or provides only a “ballpark” number with no documentation — you have no protection when the final bill arrives significantly higher.

The difference matters:

• Binding estimate: The final price will not exceed the quoted amount, regardless of actual weight or time
• Non-binding estimate: The final bill can be higher if actual weight exceeds the estimate — sometimes significantly
• Not-to-exceed estimate: Price won’t go above the cap, but can come in lower if weight is less

Always request a written binding estimate before signing anything. Ask specifically: “Is this binding or non-binding?” For everything you need to know about estimate types, our guide on types of moving quotes in Canada explains the differences in plain language.

You cannot get a precise estimate if you do not know the weight of your moving inventory

3. No Verifiable Physical Address

Every legitimate moving company in Canada has a verifiable physical address — an office, depot, or warehouse that appears on Google Maps and can be confirmed independently. Search the company’s address on Google Maps Street View before booking. If you find:

• A residential address
• A parking lot or empty lot
• A mailbox service (UPS Store, Regus, etc.)
• An address that doesn’t exist at all

…you may be dealing with a fraudulent operator. This is a particularly common tactic with companies that appear only online and have no traceable physical presence.

4. Blank or Incomplete Paperwork

Never sign a bill of lading, contract, or inventory list that has blank fields. Anything left blank can be filled in after you’ve signed — changing the terms, adding charges, or removing protections you thought you had. Before signing any document, every field should be completed and every charge should be explicitly listed.

Key documents to review carefully before signing:

• Bill of Lading: The contract between you and the mover — should list all charges, services, pickup and delivery addresses, and estimated delivery window
• Inventory list: Should list every item being moved with its condition noted
• Insurance/valuation selection: Should clearly state which coverage level you’ve chosen

5. No License or Insurance

All legitimate long-distance moving companies in Canada must hold a valid commercial carrier license and carry liability insurance. You can verify carrier registration through Transport Canada or your province’s transportation authority. Ask directly for:

• Their CVOR (Commercial Vehicle Operator’s Registration) number in Ontario, or equivalent in other provinces
• Proof of liability insurance
• Their basic carrier liability policy details (standard is $0.60/lb — you should know this upfront)

A reputable company will provide this information without hesitation. Refusal or deflection is a serious warning sign. Note that basic carrier liability at $0.60/lb provides very little protection — a 30 lb laptop worth $2,000 is covered for only $18. Always ask about full-value protection options for long distance moves.

See if you can get insurance from your moving company

6. A Quote That’s Dramatically Lower Than Others

If you get three quotes and one comes in at half the price of the others, be skeptical — not excited. Legitimate movers price competitively but not impossibly cheaply. An outlier low quote almost always means one of three things:

• The estimate is non-binding and the final bill will be significantly higher
• The company is planning to hold your belongings hostage and demand more money
• They will subcontract your move to an unknown carrier with unknown standards

The right approach is to get at least three written binding estimates and compare what’s actually included — not just the bottom line.

7. High-Pressure Sales Tactics

“This price is only available today.” “We have another customer who wants this date.” “You need to sign right now or lose the slot.”

These are pressure tactics designed to prevent you from doing proper research. Reputable moving companies don’t pressure you to sign the same day. They give you time to review the estimate, ask questions, and compare with other companies. If you feel pressured, walk away.

8. Not Listed with the Canadian Association of Movers (CAM)

The Canadian Association of Movers maintains a directory of certified movers who follow industry standards and a code of ethics. While not every good company is a CAM member, absence from the directory — combined with other concerns — is a warning sign. You can verify membership at cam-acm.ca. When evaluating options, looking at how to compare long distance moving companies in Canada can help you build a proper checklist.

9. Suspicious or Fabricated Reviews

Review manipulation is common in the moving industry. Warning signs of fake reviews:

• All reviews are 5-star with no negative feedback whatsoever — real companies get occasional complaints
• Reviews are generic (“Great service!”, “Highly recommend!”) with no specific details
• All reviews posted within a short time period
• Reviewer profiles with no history or only one review
• Reviews on Google but nothing on Homestars or MyMovingReviews, or vice versa

Cross-reference reviews across multiple platforms — Google Business, Homestars, MyMovingReviews, and BBB. A company with 500 Google reviews and nothing on Homestars deserves a closer look.

10. Vague About Subcontracting

Some moving companies act as brokers — they take your booking and hand it off to a third-party carrier you’ve never heard of. This isn’t always problematic, but it becomes a red flag when the company is evasive about it. Ask directly: “Will your own crew and trucks handle my move from start to finish, or will any part be subcontracted?”

If they’re evasive, can’t name the carrier, or refuse to answer — be cautious. You booked with Company A, but your belongings might end up with Company B whose standards and accountability you haven’t verified.

What to Do If You’ve Already Booked a Suspicious Company

If you’ve paid a deposit and have concerns, here’s what to do immediately:

• Request all documentation in writing — binding estimate, bill of lading, insurance details
• If they refuse, dispute the deposit charge with your credit card company (this is why paying by credit card matters)
• File a complaint with the Canadian Association of Movers (cam-acm.ca) or your provincial consumer protection office
• In Ontario: contact the Ministry of Consumer Services; in BC: Consumer Protection BC; in Quebec: Office de la protection du consommateur

The earlier you act, the better your chances of recovering your deposit or preventing further loss. Moving scams rely on victims feeling embarrassed or helpless — don’t be. Consumer protection laws in Canada exist precisely for situations like this, and reputable platforms like the BBB and CAM take complaints seriously. If you want to avoid this situation entirely, Centennial Moving provides written binding estimates, verifiable licensing, and full transparency on all charges before your move begins. Get a free quote and see exactly what’s included.