Our job at the Bureau of Consumer Protection is to protect consumers by enforcing the FTC Act’s prohibition on deceptive and unfair practices. It’s important that we carry out that mission effectively and efficiently.
Of course, phantom debt collection – the practice of pressuring people to pay “debts” they don’t owe – harms consumers. But as an FTC complaint demonstrates, when phantom debt collectors strike, they could affect your company, too. According to the FTC, a Florida-based outfit engaged in a scheme to defraud consumers through the collection of debts people didn’t actually owe or the company didn’t have the authority to collect.
Pork Chop Hill Road, Screaming Eagle Boulevard, Hell on Wheels Avenue, or my former home on Patton Drive. If those street names sound familiar, chances are you’re a servicemember, a veteran, or part of a military family. July is the Month of the Military Consumer and the FTC has resources to help keep members of the military fiscally fit and scam savvy – and a tip for businesses that do business with military consumers.
It typically started with a schmoozy call to an unsuspecting small business or nonprofit. Sometimes the caller claimed to be “confirming” an existing order, “verifying” an address, or offering a “free” catalog or sample. Then came the supplies surprise – unordered merchandise arriving at the company’s doorstep followed by high-pressure demands to pay up.
If marketing claims are any indication, “green” paint is popular with consumers, but not just in the sense of emerald, mint, or avocado. Companies are advertising that their paints are emission-free, VOC-free, and without chemicals that could harm consumers, including pregnant women, babies, and people with asthma. Some brands even feature seals and certifications touting purported environmental benefits.
If your business has taken steps to protect your intellectual property with patents or trademarks, you’ve probably had correspondence or communications with the U.S. Patent and Trademark Office (USPTO). But some businesses report receiving letters or emails that look to be from the USPTO, but really aren’t.
When something negative keeps reappearing, the old saying goes that it “turns up like a bad penny.” According to an FTC lawsuit against a North Carolina outfit, those “bad pennies” – in this case, phantom debts the FTC says people didn’t owe – cost consumers way more than pennies.
There’s been a lot of talk about “ping trees” and other activities associated with the lead generation industry. The FTC’s concern is that consumers don’t get ponged in the process. A proposed settlement gives a glimpse into how one lead generation company operated and offers insights for businesses about compliance considerations when the “product” in question is consumers’ personal data.
The FTC-NHTSA Connected Cars workshop is revving up – and you can watch from where you are. Experts are gathering in Washington right now to discuss the consumer privacy and security issues posed by automated and connected motor vehicles.
Rockne, Lombardi, Landry, Shula. Behind every sports dynasty, there’s a legendary coach. But according to the FTC, marketers of “business coaching” services took consumers for millions by using offside sales tactics that will likely disqualify them from the Truth-in-Advertising Hall of Fame.
TVs, textiles, appliances, and spam. That may sound like an eclectic shopping list at a big box retailer, but they’re clues to an FTC development you and your clients should know about.
They’re all categories affected by four rules the FTC is putting under the regulatory microscope: the Picture Tube Rule, the Textile Rules, the Energy Labeling Rule, and the CAN-SPAM Rule.
If you own or operate gas stations, chances are you know about skimmers – illegal card readers attached to payment terminals, like gas pumps, that grab data off a credit or debit card’s magnetic stripe without the customer’s knowledge. Criminals sell the stolen data or use it to buy things online. If your pumps are compromised, customers won’t know their information has been stolen until they get an account statement or overdraft notice.
Customers aren’t only victims here. Your business can suffer from the associated costs, including a damaged reputation and lost sales.
Is the Children’s Online Privacy Protection Rule a consideration at your company? We’ve updated our guidance for businesses about complying with COPPA to reflect developments in the marketplace – for example, the introduction of internet-connected toys and other devices for kids.
Ladies and gentlemen, start your engines. The FTC and the National Highway Traffic Safety Administration have announced the agenda for their joint workshop on the consumer privacy and security implications of connected cars. If this emerging tech issue is of interest to your clients, race to Washington (within the lawful speed limit, of course) to attend the event on Wednesday, June 28, 2017.
It’s a record-setting win for America’s consumers and a resounding affirmation that the Do Not Call Registry means DO NOT CALL. Eight years of tenacious litigation by the Department of Justice, the FTC, and the Attorneys General of California, Illinois, North Carolina, and Ohio has resulted in a $280 million civil penalty against Colorado-based satellite TV provider Dish Network.
With schedules changing as frequently as they do, we can’t be sure what’s on tap for tomorrow. But we already know where we’ll be on Wednesday, February 28, 2018. We’ll be at the FTC’s third PrivacyCon – a gathering of researchers, academics, industry members, consumer advocates, and government representatives talking about the privacy and security implications of emerging technologies.
Consumers rely on independent reviews and recommendations in deciding what to buy. That’s why the FTC wasn’t jumping for joy to learn that marketers of trampolines were touting their products through the use of misleading review websites and deceptive endorsements.
The FTC’s law enforcement action against Amazon for unauthorized billing recently settled, leaving two key takeaways: 1) Consumers are eligible for more than $70 million in refunds; and 2) Businesses need to get customers’ express consent before placing charges on their credit or debit cards.
First came the companies claiming they could reduce consumers’ credit card debt. Next were the outfits saying they could renegotiate mortgages or save homes from foreclosure. Now that people are struggling with the trillion-dollar burden of student loan debt, some marketers are making dramatic promises about reduced payments and loan forgiveness – representations the FTC alleges are false or misleading.
Here’s the story of a database of sensitive consumer information – names, addresses, phone numbers, email, and payment information – posted on a site frequented by (among others) hackers. It took just minutes before identity thieves tried to make unauthorized use of the information. But this tale of stolen credentials is full of surprises, including who posted the data.