I found that I have termites working there way into my home. By this I mean I found a little mud tunnel in my basement. They are coming up through a crack around my sump well. Anyway, I have called two different pest dontrol companys. One uses Sentricon bait stations. The other uses Termidor liquid. I was wondering which is the better way to go?

Termidor is applied as a barrier, in a trench to surround your house. Sentricon is applied in bait stations in strategic locations in your yard. Both these treatments are for subterannean termites and not for drywood termites.

If had to choose, my preference would be for Termidor, the barrier treatment. It treats the problem more directly, with fewer variables, assuming proper application, that could cause the treatment to fail. The termites are supposed to ingest or come into contact with the Termidor, and because it is slow-acting, they take it back to the nest where it also affects their nest mates and hopefully the queen.

Sentricon, the baiting technique, requires that the termites find the bait stations. This is dependent on the density and location of bait placement, and behavior of the termite colony. It could occur that your house is just too tasty for the termite colony to switch to Sentricon. Sentricon by itself might not stop the termites from eating your house. However, Sentricon is touted as the more environmentally friendly, safer alternative.

Baiting or using attractants is often a detection method and not an eradication method. However, because termites (and ants) are colonial insects and feed each other, and lead each other to food sources, and have a queen that is the reproductive source, baiting methods are more effective than when insects are solitary and only attracted to a bait.

If affordable, using both methods simultaneously is legitimate.

Termidor Termite Defense
Sentricon Colony Elimination System

With a basement house, effectiveness becomes a question of getting the insecticide to the termites. If they are too deep, the liquid treatment can take a long time to get to them, since only the top four feet of foundation wall is treated(for environmental reasons). Some construction applies the waterproofing on the inside of the basement wall, leaving a gap that the termites can exploit in getting into your home.

Baiting systems are applied to the first foot of soil around the house and depend on termites' habit of constant foraging to find the baits.

Both products have achieved some rather spectacular successes in subterranean termite control, but both have disadvantages as well.

Look very closely at the warrantees provided with each service, go with the company that provides a "damage repair" guarantee. It may be more expensive short term, but it will pay for itself.

Here is an excellent site on baiting termites: