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Contracting Tips: Cancellation and Payment Schedules

8/3/2017

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Finding the right contractor takes time and effort. Once you pick your contractor, you should know what makes a good contract. Two important things to remember are the cancellation and payment schedule policies you agree too.
 
Here are some quick tips on what to know and think about when it comes to cancellation policies and payment schedules in your contract:

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  •  Timeline: Payment schedules are set on a timeline. Typically, payments are made in one down payment, a few more payments you settle on with your contractor during the construction time, and a final payment at the completion of the project. Talking with you contractor about your payment schedule lets you help determine what you can afford to pay first, later, and in the end. Remember, though, the first payment will likely be large so that the contractor can purchase the materials needed for your construction project.
  • Cancellation Period: Typically, you have a short period of time that you’re allowed to cancel you’re contract before major construction begins. Often, the amount of time allowed is about 3 days.
  • Payments: Make sure you and your contractor are aware of how payments will be received and by when, as stipulated in your schedule.
  • Cancellation During Construction: If you cancel your contract during construction, remember, you will likely incur a fine, which is typical. That’s why it’s important to know what your cancellation grace period is and for how long.
 
Remember, the best way to ensure your contract is up to your standards is to educate yourself and discuss your payment schedule, material costs, and cancellation period in detail with your contractor. This way, there are no surprises or hidden fees.
 
Contracts can be scary but taking the time to hash out the details makes it easier for you and your contractor.
 
Now that you know a little more about contracts, cancellations, and payment schedules, feel free to contact us at American Awning & Blind Co. for more information by visiting us at http://www.americanawningabc.com. Or call us at 800-654-5933. You can also email us at info@americanawningabc.com. ​

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