Water-heater sales tactics anger homeowners

Door-to-door sales tactics in the home-heating business have left some Ottawa residents with a bad taste.

Bob Milne has owned his hot-water heater for 13 years. So, when two salesmen showed up at his door claiming to be from his heater rental company, he felt it had to be fishy.

"This is what they said: 'We're from the energy company, and we have to look at the water heater.' They said something like upgrading it, or something like that," Milne said.

"They fail to inform you that they are specifically not from your company. They avoid doing that. So I was immediately suspicious."

Milne said the salesmen at his door were not easily identifiable.

He said they first pretended to work with Direct Energy, but eventually, when pressed, admitted working for National Home Services.

The company is one of many trying to break into the lucrative home-heating market.

The executive vice-president of National Home Services said the company has received some complaints from its 100,000 customers but it is dealing with them.

"I don't want to install a single water heater in someone's home who doesn't know what the proposition is," Dym said.

He also said his company is the victim of a campaign by Direct Energy, the company that dominates the home-heating market in Ontario. He accused Direct Energy of trying to discourage potential customers from signing anything at the door.

According to the Ottawa Better Business Bureau, about 20 official complaints have been made against sales practices at National Home Services, and the majority have been resolved by the company.

Milne said he worries about people who may agree to a contract without asking the right questions.

"Everybody knows a senior, your own parents," he said. "Some of these folk don't have a lot of money [and] can't handle an unexpected charge."

Ottawa police said they have received complaints about companies pitching their hot-water heaters door to door, but there's nothing illegal about it.

Consumer advocates suggest people make sure they read the fine print on any contract before signing on the dotted line.