Trading Standards are warning people to be on the lookout for a bogus alarm company.
The company based in Stockport usually contacts people by telephone saying they are from Crime Research UK and suggest they are part of the local police safer neighbourhood team.
They warn that crime has risen in the area and offer to set up an alarm system for just £1.
A follow-up call is made and an appointment is booked for a representative to visit the potential customer at their home.
During the visit the representative asks if the alarm can be fitted straight away - which does not giving the consumer the 14 days cancellation period required by law.
The victim is then asked to sign up for the alarm to be monitored, which can cost up to £6,000 per year.
Victims are then charged £300 to have the alarm removed.
Waltham Forest Police said the company is now targeting people in the borough, particularly in the Chingford and Highams Park areas.
A spokesman for the police said legal action is being taken against the company.
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