How Packers and Movers in India Make Extra Money – Hidden Charges

Top 5 Best Packers and Movers in Bangalore

how-packers-and-movers-in-india-make-extra-money-hidden-charges

Government Taxes (GST)

GST of packers and movers in India divided into three sections.

When company make bill on the basis of transportation than the GST charges are 5%.

If company make invoice on the basis of services like packing and loading etc than GST charges in India are 18%.

When customer opt for insurance than GST for insurance is 18%.

Important Note:

1. Most packers and movers in India companies manipulate GST. Moving Companies extort extra money from the customers on the name of GST.

2. Companies show 5% GST in their books on the basis of transportation expenses. Some packers and movers companies in India charge total 18% GST to the customers.

3. When you are aware of this, you can ask packers and movers company to charge 5% GST in the bill.

Toll Tax Charges

For Example, you are moving from Gurgaon to Jaipur. There are 4 Toll Road Taxes in the way.

The Toll Tax Charges for a Truck are :

Single Trip: 1010 Rupees

Return Trip Same Day: 1607 Rupees

Round Trip More Than 24 Hours: 2020 Rupees

I am calculating Toll Road Cost from transportguru.in, You can also calculate.

Important Note:

1. Pay for the single trip only.

2. Packers and movers companies may charge you unreasonable or high for Toll Road Taxes if you are not aware of it.

3. They may ask you to pay extra while delivery on the name of Toll Taxes. It is better to discuss earlier to avoid these type of hidden charges.

Click Here to Know: Approx Cost of Movers and Packers for Local Home Shifting

Octroi Charges

A kind of tax which levied on various goods like goods for personal use brought into a town from some other state. There are lots of rules. These rules varies from state to state.

Important Notes:

1. Octroi Taxes are applicable in some states only.

2. The concerned officer provides an “Octroi Certificate Authorizing Letter” the entry card of the goods, at the “Octroi collection check post”. Before making final payment, make sure you collect this card from the company at the time of delivery.

3. Do one thing, make a list of household goods. Have a market value of your household goods. Give this list and market value to your packers and movers in India. This will help moving company in calculating Octroi charges. Now you will have an idea of Octroi Taxes in advance.

4. Some packers and movers in India may charge you unnecessary on the name of this tax. So stay well informed and counter such attempts.

Insurance Charges

1. As per my 10 year of experience in this industry 60% packers and movers in India doesn’t provide Insurance. Companies extort money from customers on the name of Insurance. Some times customers have paid for moving insurance but when they wanted to make a claim for damage. You found  there was no valid insurance. Now there is nothing to do with it.

2. Moving insurance is important for long distance moving to protect your goods from damage.

3. Be sure that you have actually taken moving insurance. Always Read insurance documents and their terms and conditions.

Type of Insurance

There are two type of insurance:

1. Transit Insurance:

2. All inclusive Insurance:

1. Transit Insurance cover damage during transportation. But not the damage occur before of after transportation.

2. All inclusive Insurance covers damage from the starting to end of moving.

Calculation of Insurance:

Its quite simple to calculate the cost of Insurance

For Example:

Washing Machine: 30,000

Fridge: 15,000

AC: 35,000

Almira: 15,000

TV: 30,000

Bed: 20,000

Total worth of household goods: 145000

Transit Insurance charges are : 1.5% of 145000 = 2175

All inclusive Insurance charges are: 3% of 145000 = 4350

Important Note:

1. Always opt for Transit Insurance or All inclusive Insurance when moving to a long distance. It hardly cost nothing. But it will keep your household goods safe.

2. Always read insurance documents, that you have opted for it or it is fake.

 

Floor issue:

The Floor issues happens with 95% of the customers. At the time of deal we don’t mention which floor. Packers and movers companies charge extra for upper floor delivery.

Sometimes the workers of packers and movers companies found a way of making extra income. They ask for extra 1000-2000 rupees.

Important Note:

1. Always mention which floor you want to deliver your goods to avoid any hidden extra charges.

It’s obvious, it doesn’t feel good paying extra money, after doing full and final deal.

Lift issues:

1. It’s also a money making topic and customer end up paying 500-1000 extra rupees to the companies. It almost happens with 90-95% customers.

2. It is better if you mention floor and lift of house while making deal to the company. So if they deny you have option to go with other company and find a better deal.

Delivery Destination Issues:

For example you are moving from Gurgaon to Jaipur. When your household goods reached to warehouse of Jaipur. Packers and movers company will call you and tell you to take your goods own your own to your home. Some packers and movers doesn’t mention that they will deliver to your door step or not. Some unprofessional packers and movers do this and end up making extra money.

Important Note:

Make sure you confirm them to deliver at your door step. Always hire a professional packers and movers in Gurgaon after well research. Most important check companies experience, their documents, and internet reviews etc. To get your delivery on-time. You can check companies experience, Number of owned vehicles and packers and movers companies all documents online etc on onlytop.in. Click on the profile and view it and scroll down to see all the required details of the company. I always see all the details on this website and after that I hire packers and movers company.

Check: 8 Best Packers and Movers in Bangalore for Local Shifting

Extra Man Power or Few Man Power issue:

Almost 50%-60% times, packers and movers in India use very few man power. It causes long time in moving process and also cause chances of damage while loading, unloading and moving.

Some packers and movers companies ask you to pay extra money on behalf of they added extra man power while doing loading and unloading. After deal done they may ask you to pay extra money for extra man power involved.

Important Note:

First of all, clarify that how much man power they are using both the time, when packing, loading and unloading. Remove chances of giving extra money to packers and movers companies. Right knowledge will help you to avoid this.

Time: Packing Time, Loading Time, Unloading Time:

Some excuses are like:

1. Your are having too much items that involved too much time, usually it takes 5 hours but this took 8 hours. Give us more money.

2. Your goods (like when you are doing Industrial shifting or office shifting) are very heavy, it took more time in loading and unloading than usual. Give us more money for more effort.

Important Note:

1. Hire professional packers and movers company, they won’t create these issues unnecessary.

2. Do a survey before making deal from 3 to 4 companies and than take a full and final quotation. Make sure you discuss all these points. Always take a all inclusive final quotation.

Extra services like ac Installation:

If you take extra services like TV, AC and Geyser Installation and UN-Installation etc.

It will charges you extra, as it is not involved in packers and movers services.

It is better to discuss them in initials about extra service charges to avoid last time confusions. By avoiding these you can save money.

Common cases I found related to Packers and Movers Charges

“It is The Most Important Concern”. We found 80% issues monthly related to charges.

It’s a industry with lots of competition. Over 1000 packers and movers companies are joining this industry monthly in India.

In the era of competition, companies follow some strategies. Packers and movers companies get the deal giving “Less Charges” at the time of deal making. At the time of delivery “They Ask You to Pay More”.

Click Here to Know:

Approx Cost of Packers and Movers in Bangalore to Mumbai

Approx Cost of Movers and Packers from Bangalore to Chennai
Approx Cost of Movers and Packers from Bangalore to Pune

I am writing some cases which I found during my experiences.

Deny to deliver household goods

In 30% cases, packers and movers companies deny to deliver household goods. And ask you to pay more, otherwise they won’t deliver goods on-time.

On the fact side, companies gave you less amount quotation due to high competition. And after full shifting companies even don’t recover their own cost. So now you have handover all your household items which you have earned in your whole life. These companies now mentally torture you, to not delivering your shipment on-time.

In 1 particular case: when you selected a unprofessional and new company. They give your household goods to a new truck driver to shift on rent basis. Sometimes companies don’t have money to pay truck driver for his rent. In this situation truck drive don’t deliver goods on-time. Now truck driver call to customer and demand for money. In this case packers and movers company don’t answer customer’s call. Some customers pay for that money and some customers end up filling a complaint in police.

It happens when you shift with new or unprofessional packers and movers company. So always hire right packers and movers.

Packers and Movers Companies don’t mention total charges even on bill

20-30% companies don’t even mention all inclusive charges on bill itself. After deal done, at the time of transportation or packing or delivery, they will ask you to pay more. They can give you excuse of government taxes, transportation taxes and states taxes.

When added extra items after deal done

Packers and movers companies calculate the cost as per boxes and space in vehicle. During survey people show their items. They tell charges to the customers. But during packing or loading people add some extra items. That time companies change the quotation and add extra cost in quotation sheet. So It’s advised to telling whole items list to the company while survey, so you can bargain that time. On the Moving day, you don’t have time to hire any other company, if they are charging you higher. Be transparent.

Some strong suggestion:

1. Do every research before finalizing deal. Nothing can happen after you have done a deal.

2. Always opt for all inclusive charges only. Keep in mind that you are not going to pay for single amount to packers and movers company other than deal amount. Confirm this to company also that you are not going to pay anything extra. If there is something than discuss now.

3. Always hire experienced and professional packers and movers company only. If you are moving for other state, than hire a company who have their own trucks.

Look up:

5 steps to choose professional packers and movers in Bangalore from 5th.in
Top 10 Frequently Asked Questions
Top 5 services of Packer & Mover company?
How to find Top Packers and Movers Bangalore
Top 10 Benefits of Hiring Packers and Movers in Bangalore

Link To Directory

 

Leave a Reply

Your email address will not be published. Required fields are marked *

shares