Maybe it’s the influence of that best-selling book on home organization or perhaps the silos of stuff in our makeshift home offices are becoming more noticeable. Either way, people are in a decluttering mood – and we are, too. Our recent project: updating and streamlining Complying with COPPA: Frequently Asked Questions, known as the COPPA FAQs. But not to worry. The revisions don’t raise new policy issues and our COPPA Rule review continues.
The FTC has been warning consumers for years about impersonation scams – calls that falsely claim to come from the IRS, the Social Security Administration, or other offices or businesses. The messages try to coerce people into making immediate payments or turning over sensitive personal information.
Scammers impersonate all sorts of businesses, but reports to the FTC’s Consumer Sentinel point to Amazon as a runaway favorite for scammers. From July 2020 through June 2021, about one in three people who reported a business impersonator said the scammer claimed to be Amazon. Reports about Amazon impersonators increased more than fivefold during this period.1 About 96,000 people reported being targeted, and nearly 6,000 said they lost money. Reported losses totaled more than $27 million. The reported median individual loss: $1,000.
Employing every available means to protect consumers from deceptive and misleading practices, the FTC recently announced the revitalized use of its statutory Penalty Offense Authority. More than 700 businesses – top consumer products companies, leading retailers and retail platforms, major ad agencies, and other names you know – are recipients of the latest Notice of Penalty Offenses aimed at curbing illegal practices in the use of endorsements and testimonials.
When the financial future of millions of Americans is at stake, it’s important for the FTC to use every tool at its disposal to protect consumers from deceptive and unfair conduct. The FTC just announced the revitalized use of an existing method to hold companies accountable by imposing financial penalties for illegal acts.