What to Do If a Contractor Takes Your Deposit and Disappears

A contractor vanishing with your money is both infuriating and disorienting, but there are concrete steps you can take. Gather every piece of evidence: the contract, payment receipts, text messages, emails, photos of any work done or not done. Send a formal demand letter to their last known address, giving them a specific deadline to either complete the work or return the deposit.

If they do not respond, file a police report — taking money for services never delivered may constitute fraud. Then consider small claims court, which is designed for exactly these disputes and usually does not require a lawyer. Check if the contractor is licensed and report them to the licensing authority. Leave factual reviews on relevant platforms to warn others. Prevention for next time: never pay more than a third upfront, and verify licenses before hiring.