Service Magic Scams both contractors and general consumers ServiceMagic

502 of 505 Service Magic reviews

Sales man david reed claims to be able to hook your website for your business to hundreds of other pages and sites and promises that your website will be directly linked to service magics site free of charge as soon as you sign on. They list only the beneficial ratings of companies, and through 'direct match' wash there hands of bogus leads. Before you sign up for the service it is promised that they filter leads both coming in and also going to the contractors. Once your signed on they then claim its just advertising. Fraud comes to mind.

They claim they do checking and research for licenses in the areas you wish to serve, false claim and to prove it I was able to add Iowa for my line of work who requires contractor licenses for the state, but I wasn't able to add minnesota who does not require any licensing for my line of work. They offer there so called services in all 50 states of the United States, the goods or promises they make are vigerious 10 point screening. (more like 3 point screening)

What they call a Ten point inspection turns out to be a check for insurance to make it look good and a check on the contractors routing number along with the account numbers. Another false thing they do is tell you leads are direct match, but in fact they sent that same $30 to $60 lead to roughly 3 customers on average, equals about $180 per lead for them, and a *** off customer that go's with someone else completely do to being bombed with calls. Injury to my bank account and my reputation is on the line for buying into there sales pitch, empty fraudulent promises.

This company is immoral, unethical, oppressive, unscrupulous; and substantially can injure consumers and contractors alike by mismatching professionals the consumer believes to be qualified, contractor that is slow on work that is having a rough time, by being mismatch and potentially running there reputations.

End result, out of work contractor that may have been legit for there original field, an unhappy customer that has to pay more a second tine to have work done twice, and the people that run ServiceMagic a few dollars richer off this miss portion of others. They fail to disclose material fact at the time of sale of profiles to the consumers who later in the system are the contractors, also to the home owner slash consumer that hires these screened professionals.

They also speak against other lead companies saying how they can't do anything for anyone, (Product disparagement). The whole things built in bad faith.

This review is a subjective opinion of a user.
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Product or service
False Advertising
Review category
Home Construction and Repair
review #114081
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Helpful? 44 Yes 44 4 No 4
Had the same issue 3 Yes 3
502 of 505 Service Magic reviews

Feb 17, 2013 #610477 Fairfax, Virginia, United States

You are not alone. The new Home Advisor is bad news
I used Service Magic for over 7 years and was friends with the original CTO
They changed the rules NOW IT IS IMPOSSIBLE TO TURN OFF THE LEADS for more than 2 weeks (Business rule number one If a company changes its name BEWARE!!! Who is Home Advisor.)

Sometimes you must walk away 20% of your clients give you 80% of your profit.I closed my Service Magic account, when I refused to bid a job but the LEAD (not a client) was allowed to post a truly brutal review.The fact is 105 good reviews from real clients can be destroyed by one LEAD who you knew was bad news.

I have not used the site for 2 years except for a very expensive 3 week period several months ago.
I sold my company with a promise that using Service Magic and myself as the salesman//sales manager the yearly revenue would only be limited by the new buyers ability to preform the work AND keep clients on average 95% happy with the process.
The new buyer used the site for 3 weeks while I was on holidays.The company fired me when I came back from holidays
IT was a disaster the old Service Magic would have never been so *** with a client planning to spend $25,000.00 per month. (with plans to increase even that amount)
I have hired to make my little complaint over $600.00 worth of leads an issue with IAC InterActiveCorp the owner of Home Advisor.(Costing me 3 grand hope it
... Show more

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Jun 20, 2012 #499201

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Check out, As a client, you are able to post your project, add photos, a description, upload documents, set a closing date, communicate with new project professionals through forums and direct messages, view bids and award your project to the best project professional for your job. In addition, you can also search and filter through project professionals in your area, view their information, reviews, photos, credentials, documents, and invite the project professionals you like to bid on your project! BidProConnect gives you an easy way to find project professionals in your area, and also gives project professionals an easy way to find you, all in one place. Completing your project just got a whole lot easier!
Check it out,
... Show more

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Mar 28, 2012 #457185

there credit department is the worst i have ever seen. when you have a bogus lead, they are supposed to review it and then credit you. WHAT A JOKE.they never review it. i have saked more customers if service magic called and they say NO NEVER GOT A CALL. so have to spend my time calling them up and getting upset with them and i ask for a supervisor and then they will give me a credit. they are the worst business people i have ever worked with

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AAA Roofing, San Antonio, TX

Mar 02, 2012 #441084

I have been a roofing contractor for over 28 years. After trying ServiceMagic for just a couple of weeks, I found that only one out of 10 leads were legitimate. The first lead I received was a non-working number. The second was a hoax performed by kids. The third lead wouldn't call us back. We received two leads that had already signed with other companies when we promptly called them. One customer refused to allow us to come out because they were looking for a remodeler, not a roofer. Five following leads could not be reached and would not call us back. After complaining to ServiceMagic, I was informed that they would e-mail these last five that would not call us back and see if these customer's would respond. They did not. In the mean time, ServiceMagic debited my account $550.00. I was very upset because I notified them a 9 days before they took the money out of my account that I had several leads that were no good. The original salesman, Andy Johnson just disappeared and wouldn't call me back after I signed up even though he said all I need to do was notify him with any bad leads and he would credit me. He lied. It is very difficult to get a hold of anyone at ServiceMagic. When you finally do reach someone it is obvious that they are well versed on how to refuse a bad lead credit. This is a well rehearsed scam. Stay as far away from this company as you can. I spent many wasted hours trying to contact these bogus leads and trying to get my money back. I finally had to... Show more

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Alcom Cabinets

Dec 07, 2011 #387031

I started using service magic about 7 years ago. I had no work and the sale man talked me into trying it for one month. My first month I landed an $80,000.00 contract. I have used it ever since and have made hundreds of thousands of dollars. It is not perfect, but what is?

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Tony Mont

Nov 18, 2011 #376874

If you don't believe this comments, no problem, give Service Magic a call and see it for yourself. Please don't waste your money, call a local company near you with a good reputation, not only you will keep the money on your community and help the local economy but maybe eventually we can get all this scam artist out of business.

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Nov 09, 2011 #371847

:) :grin ;) 8) :p :roll :eek :upset :zzz :sigh :? :cry :( :x

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Nov 03, 2011 #368649

Servicemagic is awesome I have made thousands of dollars using them. Too ba it didn't work out for you guys. More work for me!!

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Oct 25, 2011 #363920

I was recently contacted by service magic and was Very hesitant to join up I spoke to the sales man and at the point that I figured out there would be little to no screening of potential leads before they were sent to me and charged to my account.I knew then it was most likley bogus..sounds to be good to be true usually is!! They also didn't even need my insurance info..very scetchy!! Glad I took the time to check them stayen clear..I would advise all contractors stear clear!!

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Oct 21, 2011 #362277

Service Magic is a SCAM... only sign up with SM if you want to pay for fake leads ($35 - $55 per lead), for consumers who can either be totally fake, never answer your initial call, or are just price shopping. Not worth it!

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Oct 17, 2011 #360456

I was with Service Magic in 2006 and cancelled in 2008. They talked me into coming back in 2009 and I quit again today. During this time I have received One (1) lead and have been charged for about 15 miss-leads. When I call to report this, I am one hold or am shuffled around for about 25 minutes every time. This company is bad news.

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Sep 27, 2011 #350274

It has nearly been four years since I wrote this review of service magic, and who should call me but the one and onle "David Reed", asking how business was and saying "I'm suprised we havent worked together before" I said we have and simply hung-up the phone. *** that low life piece of ***.

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A Service Magic Contractor

Sep 26, 2011 #349912

All the statements made so far are true. I recently joined, I have recieved over 4 times of what I call Dead Leads. I am charged for the lead yet no one answers their phone or responds to emails. To me it is not a lead unless I am able to contact the consumer. Plus for the consumer - THEY DO NOT PERFORM PROPER CHECKS ON CONTRACTORS. It is required that contractors have a lead paint cert. to do construction in Pennsylvania. I have this cert.. Yet Service Magic allows contractors to join without this cert. So I am competing against contractors who are not doing business legally and they are over sending leads to consumers. I have spoken with several consumers who stated Service Magic had sent them 5 or 6 contractors. I was told they only send 2 or 3. Try competing with 4 or 5 other contractors who are not even legal. Contractors and consumers beware.

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Clean Dean

Sep 22, 2011 #348337

I used Service Magic for all of three months before I decided to stop. Luckily I got one big job that helped me to break even at the time and then profit with continued service. Most of the leads were fake. I believe Service Magic hires people to sit at home and take phone calls or emails. At one point, I had 10 leads and all ten closed the email address within one day. Who closes a free email account. The normal is to just stop using it. Not to mention the potential customer not answering and not returning my phone call. STAY AWAY FROM SERVICE MAGIC IF YOU ARE A CUSTOMER OR CONTRACTOR.

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Jul 09, 2011 #310315

I have owned my remodeling construction comapany for 24 years and have successfully relied on word-of-mouth advertising. Given the change in advertising climate, I elected to put together a website and began advertising through Service Magic. I have given them hundreds of my hard earned dollars. In return, the "magic" they served me with was to send me leads from non-serious, broke, crazy people who mostly never returned my calls, or if they did, informed me that they had "made a mistake" and didn't require any services from a professional. When begging for lead credits (every single day) SM habitually denied them, stating that it was a valid lead, even when the lead would hang up on me at my initial contact. I tried everything to make this system work,including refining my criteria for leads, but ended up every day going on wild goose chases, meeting with crazy, lazy people who didn't know what they wanted. Even my $85.00 taylor-fit leads were completely bogus. Often the value of the work they were requesting was less than the cost of the lead itself. Ridiculous! I recently terminated my relationship with SM. My phone began ringing off the hook as SM suddenly "valued my feedback," which is code for "how can I trick you into letting me steal more of your money?" If you are a professional, advertise in the funny papers. You'd be better off. Service Magic is unethical.

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Dean Up-Right Handyman.

Jul 08, 2011 #309747

Shame on me for not researching this company before signing up. Fortunately I have only used them for 2 weeks at the sum of 150 bucks. I have not canceled yet but the account is froze until I ATTEMPT to get a credit on the bogus leads received. Same story as almost everybody above. They are not honest whatever to the consumer or the professional. My concern i spoke to them was simple and ultimately came back unanswered. If i am a curiouser "potential" customer I can fill out as many service requests I feel like spending time on with no intention of hiring. I can do this s often as I would Ike. I can rack up thousands of dollars to the prospective professionals. And service magic swims in the lead provision as to every professional in the area of inquiry. Ie. Curious about a new door. Fill out a simple 3 page form with service magic. Not really interested though. Service magic sends 5 professionals my information charging each if them 36 bucks. Service magic has washed their hands of the lead. The consumer doest want the work and doesnt answer the phone. The professional is waisting time trying to beat a dead horse they already paid 36 for. And SM smiles at you and gives you the 1 finger wave. In short, consumers and professionals alike, STAY AWAY FROM SERVICE MAGIC. if there us a class action suite against them let me know what I need to do to put these criminals in jail or at least off the web.

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Jun 24, 2011 #304093

Hello. I am very concerned after reading all of these posts. My husband and I run a small business. Service Magic contacted him last week, end result we went ahead and signed up. I have been charged for 3 leads so far, only being able to get ahold of 1. And yes, the credit towards account instead of refunds for inaccurate information is ridiculus. What I'm really worried about, though, is seeing where contractors have cancelled with them and are still being charged. I'm still with them, but I would love more info from people that have or do use them, and experiences with cancelling their service. Thanks.

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Dec 18, 2012 #583295 Petersburg, Virginia, United States

I cancelled my service almost a year ago, when it was service magic, then I started getting leads from home advisor, not know who they were and thinking they were another lead co. I payed no attention. I had been very sick and could not work anymore, and called to tell them to cancel, They tried to charge my credit card which by then a had account number changed. They called me and said I must pay for these leads $365. I told them I cancelled , they had no record of that, but would only charge me half if I paid them NOW. I asked them if they were crazy ,I received a call this morning from a collection service telling me a owe over $500.00. I hope there is a law against this. they tried to charge my account after year.

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Jun 23, 2011 #303758

I recently hired services from a contractor you recommended through your service. I have never had to deal with such poor customer service as I had with this contractor. There is much to share, but the bottom line is he overcharged my credit card for the final balance by $518, and I have yet to have the money reimbursed, the job completed, and have been talked to with little respect. I would appreciate being able to share the frustration, complete scenario, and unprofessional behavior/service of this company that you have advocated on your site.

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Limp Skully

Jun 07, 2011 #295225

Same old Story; I went on the website which is nothing like they advertised. To even get access you have divulge information about your project. Once you have done that your phone stats ringing off the hook. Mine did for two weeks. They pimped out my lead info to god and country. Not only did I not go with any of their contractors, most of which were used car salesmen, I ended up using someone that came recommended. That is still the best way; word of mouth. Angie is just as bad if not worse and she wants you to pay for the service.

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