New York's home improvement law "applies to most types of improvements costing more than $500" (NY Attorney General). The contract must be in writing, your deposit must be held in a New York bank escrow account or covered by a bond, and you can cancel until midnight of the third business day after you sign.

What the contract must say

The Attorney General says contracts must be "in writing, legible and in plain English," and must include:

• The contractor's name, address and phone number.
• The start and completion dates.
• The work and the materials.
• The price.

Your deposit

The contractor must put your payments into a "trust (escrow) account in a bank located in New York State within five business days," or give you a bond. The Attorney General also says: "Never give a contractor a cash deposit before you sign a contract" (NY Attorney General).

In New York City, DCWP adds a limit: "Pay no more than 25% of the total contract amount upfront" (NYC DCWP).

Cancelling

You can cancel "until midnight of the third business day" after signing. Do it in writing.

Complaints

File with the Attorney General using the online form linked on its fact sheet, or call 1-800-771-7755. In New York City, call 311 or go to nyc.gov/dcwp. Whether the contractor needs a local license is covered in where New York requires a home improvement contractor license.

FAQ

Does a New York home improvement contract have to be in writing? Yes, for most improvements costing more than $500, according to the Attorney General.

Where does my deposit go? Into a trust (escrow) account in a New York State bank within five business days, unless the contractor gives you a bond.

How much can I pay up front in New York City? DCWP advises paying no more than 25% of the total contract amount up front.

Can I cancel a New York home improvement contract? Yes, until midnight of the third business day after you sign. Cancel in writing.

Sources: NY Attorney General home improvement fact sheet, NY Attorney General home improvements, NYC DCWP home improvement.

"New York State does not license home improvement contractors. However, some counties and local municipalities do" (NYS Department of State). The Attorney General names New York City and Suffolk, Nassau, Westchester, Putnam and Rockland counties, and the City of Buffalo. Check with the place where the work will be done.

Where a license is required

The Attorney General's fact sheet says contractors "must be licensed in New York City, Suffolk, Nassau, Westchester, Putnam, and Rockland counties." The Attorney General's home improvement page adds the City of Buffalo.

New York City

Home improvement contractors. In the city, a contractor needs a Department of Consumer and Worker Protection (DCWP) license for home improvement work "that costs more than $200." New construction, plumbing and purely electrical work are excluded (NYC DCWP). Use DCWP's Search Business to see if a person or business holds a license (DCWP check a license). For complaint history, call 311 and ask for a Business Background Check.

Electricians and plumbers. The NYC Department of Buildings licenses Master Electricians, Master Plumbers and Oil Burning Equipment Installers, among others (NYC DOB).

DCWP also notes: "You are not eligible for Trust Fund repayment options if you use an unlicensed home improvement contractor." That is one more reason to check.

Outside those places

If your town or county does not license home improvement contractors, the state contract rules still apply to most jobs over $500. See New York home improvement contract rules.

FAQ

Does New York State license home improvement contractors? No. The Department of State says the state does not, but some counties and municipalities do.

Where in New York does a home improvement contractor need a license? New York City and Suffolk, Nassau, Westchester, Putnam and Rockland counties, according to the Attorney General, and the City of Buffalo.

When does a NYC contractor need a DCWP license? For home improvement work costing more than $200. New construction, plumbing and purely electrical work are excluded.

Who licenses electricians and plumbers in New York City? The NYC Department of Buildings licenses Master Electricians and Master Plumbers.

Sources: NYS Department of State consumer alert, NY Attorney General home improvement fact sheet, NY Attorney General home improvements, NYC DCWP home improvement, NYC DCWP check a license, NYC DOB know your construction professional.