It happens more than you'd think. A rep knocks on your door in the evening, spends an hour in your kitchen, and you sign something just to end the conversation. Or you just closed on a new home and a Safe Haven rep shows up within days with a great offer. You wake up the next morning and something feels off.
The good news is that federal law is on your side, but only for a limited window. Here's exactly what you need to do and how fast you need to do it.
The 3 Business Day Cooling Off Rule
The Federal Trade Commission's Cooling Off Rule gives you the right to cancel any contract signed at your home within 3 business days, no questions asked, no penalty, no early termination fee. It does not matter what the rep told you at the door. It does not matter what you initialed in the contract. Federal law overrides all of it within this window.
Three business days means Monday through Friday, not including federal holidays. If you signed on a Friday evening your window runs through the following Wednesday. If you signed on a Monday your window closes Thursday. Do not wait.
How to Cancel — Step by Step
Do not call and ask to cancel. Phone calls are not sufficient and companies have been known to claim they never received a cancellation request made by phone. Do this in writing.
Write a simple cancellation letter. It does not need to be complicated. Something like this works:
Send it certified mail with return receipt requested. Keep the receipt. That receipt is your proof that you cancelled within the window and it is the most important document you will have if they push back.
Email a copy to the company as well. Look for a cancellation or customer service email address and send the same letter there. Keep the sent email. The more documentation you have the better.
What If Equipment Has Already Been Installed
If a technician came out and installed sensors, a panel, or cameras the same night you signed, the equipment must be removed if you cancel. The company is required to send someone to collect it. You are not responsible for the removal cost within the 3 day window.
Do not attempt to remove the equipment yourself. Wait for them to collect it. If they delay or refuse to collect it, document every communication in writing.
What If They Say You Cannot Cancel
Some customers have reported being told by customer service representatives that they cannot cancel despite being within the 3 business day window. This is incorrect. The FTC Cooling Off Rule is federal law and it supersedes whatever the company's internal policy says.
If they push back, stay calm and refer specifically to the FTC Cooling Off Rule by name. Tell them you are within the 3 business day window and you are exercising your federal right to cancel. If they still refuse, file a complaint with the FTC at reportfraud.ftc.gov and with your state attorney general's office. Keep records of every conversation.
The Buyout Promise
If part of the reason you signed was a rep's promise to cancel your existing alarm contract and pay off what you owe, and you are now having second thoughts, cancel the new contract immediately within your 3 day window. Do not wait to see if the buyout happens. Consumer complaints show that this promise is frequently made and inconsistently honored. Many homeowners have waited past the cancellation window expecting the buyout to be processed, only to find themselves paying two contracts simultaneously with no recourse.
New Homeowners — Safe Haven and DR Horton
If you just closed on a new home, congratulations. You are also a prime target for door-to-door alarm sales teams. Safe Haven Security, one of the largest ADT authorized dealers in the country, actively targets new construction neighborhoods. Reps often show up within days of closing, sometimes presenting the visit as a follow-up from the builder or the neighborhood security program.
What many new homeowners in DR Horton, Lennar, and other new construction homes do not know is that the alarm equipment already installed in the home may belong to them outright. If that equipment was included in the purchase price of the home you own it and you do not need to sign a new contract to have it monitored. A new contract with Safe Haven or any other company is not required.
Before signing anything with a door-to-door rep who approaches you after closing, find out whether you already own the alarm equipment in your home. If you do, you have options for monitoring that do not require a 5 year contract with a company that knocked on your door uninvited.
For more on how these reps operate and the specific tactics they use, read our full breakdown of door-to-door alarm sales tactics and our detailed look at what a Vivint contract actually costs.
Already Past the 3 Day Window
If your 3 day window has passed your options are more limited but not zero.
Read your contract carefully for the early termination terms. Some contracts allow cancellation with a fee equal to a percentage of the remaining balance rather than the full balance. That fee may be negotiable especially if you can document that the rep made verbal promises that differ from the written contract.
File a complaint with the BBB, the FTC, and your state attorney general if you believe you were misled at the point of sale. Companies with high complaint volumes sometimes offer settlements to avoid regulatory attention.
If you want to switch to a local alarm company, a new installer may be able to advise you on your options based on the specific terms of your existing contract.
Frequently Asked Questions
How long do I have to cancel a door-to-door alarm contract? +
The FTC Cooling Off Rule gives you 3 business days to cancel any contract signed at your home, no questions asked and no penalty. This is federal law and overrides anything the rep told you at the door.
How do I cancel a Vivint or Safe Haven contract within 3 days? +
Send a written cancellation notice by certified mail with return receipt requested. Also email a copy to the company. Keep all receipts and confirmation. Do not rely on a phone call alone as your only cancellation method.
The rep told me I had 30 days to cancel. Is that true? +
No. Consumer complaints document that reps frequently tell customers they have 30 days to try the system and cancel. The legally protected cancellation window under the FTC Cooling Off Rule is 3 business days from the date you signed, not 30 days.
What if the alarm equipment has already been installed? +
The company is required to send someone to collect the equipment if you cancel within the 3 day window. Do not remove it yourself. Document all communications in writing if they delay or refuse.
Do I own the alarm equipment in my DR Horton or new construction home? +
If the alarm equipment was included in the purchase price of your new construction home you likely own it outright. You do not need to sign a new monitoring contract with the company that installed it. Verify this before signing anything with a door-to-door rep.
Related reading: Door-to-Door Alarm Sales Tactics · What a Vivint Contract Actually Costs · How to Switch Alarm Companies