5 Things To Know Before Signing A Contract With ADT

Thinking about getting an ADT home alarm system? Here are 5 things to consider before you sign a contract with them.

ADT Requires A Long Term Contract

Did you know that if you decide to have ADT protect your home and family, you’ll have to sign a contract. The contract locks you up for 3 years. During this time, if you’re unhappy you won’t be able to cancel. Contracts never benefit customers. They only benefit the company, as it locks you up.

High Monthly Prices

ADT typically charges anywhere from $30/month up to $60/month for monitoring. Other companies charge significantly less. Do you get anything enhanced with ADT for the price? No. It’s the same basic types of monitoring. Be aware of monthly pricing, as it adds up over time. Higher monthly prices could equal thousands more spent over time.

Can Raise Prices During Contract

You agree to paying $30/month for monitoring. Read the ADT contract. In the contract is a clause that they can raise rates while you’re under contract. That means next year that $30/month may become $35/month. Avoid any company that can raise prices, as they usually will.

Uses Dealers, Which Means Accounts Are Sold

Remember that Sales Rep you met when you were thinking of going with ADT? There’s a good chance that Rep was actually a dealer. A dealer is an independent third party individual. They are affiliated with ADT through their dealer program. The dealer gets the customer to sign a contract with ADT. The dealer then sells the contrac to ADT. That means from that point forward, ADT installs and services the system. The dealer gets paid. So going forward any issues are dealt with not by the person who made the promises to you, but ADT corporate. This means that often the dealer says whatever it takes to make the sale. This could lead to false promises and empty results.

Huge Company – You’re 1 in 8,000,000

ADT has 8 million customers. When companies get this big, it’s hard to give every customer the attention they deserve. Huge companies mean thousands of staff members, long wait times and things falling through the cracks. Think you’re going to get the same Technician over the phone who helped you troubleshoot your last issue? Not going to happen. Plus, often in companies this big, issues get lost in the shuffle. Huge companies also mean huge overhead. Significant infrastructure and staffing costs lots of money. These costs fall to the customers, which means high monitoring rates and hidden charges. Be aware of this before you agree to any contract.

4 Things To Be Aware Of With ADT Security

ADT Security is the largest home security company in the world. Their brand is known by everyone and financially they have a massive company. Even though you see ADT lawn signs everywhere, do they really offer the best value? No they don’t. And with that said, here are 4 things to watch out for with ADT Security.

1. They Use Dealers

Remember that sales person that knocked on your door saying he was with ADT? Well, there’s a good chance he’s not really. Not all employees with ADT Security are full time, a large percentage of them are part of their dealer network. What that means is they find new business for ADT, and then the dealers sell the contracts to ADT corporate. This is an issue for customers because dealers can make claims they don’t have to live up to, since once the service begins, they are no longer part of the relationship with the customer. The customer will never interact with the dealer after the installation.

There have been many instances where dealers from various security companies have been targeted by various state Attorney General offices for making misleading claims or false sales practices. Always deal directly with the parent company, or better yet avoid any company that has a dealer program to ensure you’re getting the best security at the best value (without any risk of false promises or inferior service).

2. The Have A 3-Year Contract

ADT makes all customers sign a 3-year contract, regardless of the services they are getting. They claim this is an “industry standard”, however, a growing number of security companies are offering security services without requiring the customer to sign a contract.

Beware of any company that makes you sign a contract when getting their services. A contract locks you in, even if you’re unhappy with the service you’re receiving. A company that provides security services without making you sign a contract will ultimately provide better service since they know you have more options and can cancel anytime.

3. ADT Will Raise Your Monitoring Rates

ADT has a clause in their contract that gives them the right to raise your monitoring rates at any time during the contract. So not only are you stuck in a contract, you’ll be obligated to pay more for the services your receiving. The services won’t be changing or getting better, but suddenly you’re paying more. Doesn’t make sense, does it?

Avoid any company that will raise your monitoring rates. Any company that doesn’t have to sign a contract for service, legally can’t raise your rates, and if they do notify you telling you they plan on raising them, you can cancel at any time.

4. ADT Charges High Rates For Standard Services

With ADT, the rates for standard monitoring is around $32/month and two-way voice is around $39/month. These services at other companies range between $10-25/month for standard monitoring and $16-$32/month for two-way voice. ADT is offering anything unique, so why are they charging a premium? The answer is two-fold: because of the brand and because of the rebound effect if they were to lower their prices (current customers would demand to match the lower prices, and their infrastructure wouldn’t be able to handle the reduced rates and ultimately the company would crash).

Don’t pay more for the same service. Find a reputable company with lower rates, no contract, and no dealer program.