Earlier this year, the Federal Trade Commission sued T-Mobile, accusing the wireless company of making hundred of millions of dollars off of so-called “premium” text-messaging subscriptions that were often never requested by subscribers. To preempt others from getting involved in illegal “bill cramming,” the FTC is asking carriers to implement policy changes now instead of waiting until it’s too late. [More]
federal trade commission
Feds File 9 Lawsuits Against Alleged Mortgage Relief Scammers That Took Millions From Consumers
By 7.23.14
If the thought of losing one’s home wasn’t bad enough, finding out that you’ve been ripped off by the companies promising to help must be even worse. Today, the Consumer Financial Protection Bureau, along with the Federal Trade Commission and 15 states announced a string of lawsuits and other actions against such deceptive companies. [More]
FTC Halts Debt Collection Company That Allegedly Used Illegal Tactics To Collect $8.7M
By 7.21.14
And another one bites the dust – kind of. The Federal Trade Commission, along with the New York Attorney General’s office, received an order to temporarily halt a Buffalo-based debt collection operation that allegedly used lies and threats to collect more than $8.7 million from consumers. [More]
FTC Halts Operations Of Four “Yellow Page” Directory Operations That Took Millions From Consumers
By 7.17.14
For many businesses advertising in the phone book and online directories are just a few ways to reach prospective customers. But business owners should be forewarned some of those “yellow page” directories are just out to collect your hard-earned money. That was allegedly the case for four Montreal-based marketing operations that took millions from small businesses, churches, nonprofits and local government agencies. [More]
Company To Refund Consumers $3.5M Because Cactus Juice Isn’t “Inflammation Relief Without A Prescription”
By 7.15.14
Advertisements featuring carefree, beautiful smiling people sipping on juice might not be enough to entice someone to buy a product, but plastering claims that the drink is a cure-all for pain could probably do the trick. But when those promises aren’t supported by, you know, actual science, then it’s called deceptive and federal regulators won’t stand for that. [More]
FTC Helps Stop Debt Collection Operations Attempting To Solicit Allegedly Fake Payday Loan Debts
By 7.1.14
There are few things more disruptive and frustrating than receiving a phone call demanding you pay a debt. Those feeling are amplified a thousand times when you don’t actually owe a debt. Yet, that was the case for consumers contacted by a Georgia-based company that was recently shut down at the request of the Federal Trade Commission. [More]
Houston-Based Debt Collection Company Agrees To Stop Deceiving Consumers
By 6.26.14
Deceiving consumers is a trademark for some debt collection agencies. Shady collectors have been known to lie about debts, misrepresent themselves as officers of the law, threaten lawsuits, and in the case of a Houston company, charged by the Federal Trade Commission, bully people into paying unnecessary fees. [More]
Companies Settle Charges For Allegedly Scamming Millions With Work-From-Home Schemes
By 6.24.14
If many work-from-home opportunities seem too good to be true, that’s because they probably are. And the Federal Trade Commission put an end to two companies that allegedly scammed millions of dollars from consumers by promising substantial income through home-based businesses. [More]
Millions Of Spam Text Messages Lead To $4.2 Million Fine
By 6.12.14
Everyone loves getting a $1,000 gift card to their favorite store, but promises of that kind, especially those in text format, are generally a scam. At least that was the case for millions of consumers who received text messages from marketing scammers promising free gift cards to Walmart, Target, Best Buy and other retailers. [More]
FTC: Marketers Deceived Consumers About BrainStrong Supplement’s Memory Improvement Claims
By 6.9.14
When a supplement sounds too good to be true, it mostly likely is. And deceiving consumers about a product’s wondrous powers isn’t looked upon lightly by federal regulators. The marketers of BrainStrong Adult dietary supplement found that out the hard way. [More]
FTC: Shady Collection Practices Cost California Auto Lender $5.5 Million
By 5.29.14
If you can’t collect the nice way, then don’t collect at all. In this case, a national subprime auto lender caught using unsavory tactics to collect and service consumer loans must pay $5.5 million and change its ways to settle Federal Trade Commission charges. [More]
Lice Prevention Product Company Settles With FTC Over False Advertising Claims
By 5.28.14
Any parent who’s had the horror of hearing their kid come home and proudly proclaim, “There’s lice at school!” would likely love to prevent such a thing in any possible way. But that’s not reality, unless you make your kid wear a swimming cap to school every day. That’s why the Federal Trade Commission charged one company with false advertising, after it touted its products as “lice prevention” tools. [More]
FTC Asks Congress To Require Transparency From Data Brokers
By 5.27.14
Who would you say knows the most about you? Your family or friends, perhaps? Wrong. You likely have never met – and will never meet – the people who know the most about you: data brokers. These companies follow your every move on- and off-line to collect billions of data points about your life in an attempt to better target you for marketing campaigns and fraud prevention, among other things. [More]
FTC Shuts Down Texas Debt Collector Who Threatened To Arrest Consumers
By 5.19.14
Debt collection is a generally unsavory operation. Thankfully, there’s now one less scummy, lying collector calling consumers. A Houston-based company is out of business and must pay $1.4 million after being charged with unsavory practices. [More]
FTC To NJ, Missouri: Please Don’t Block Tesla & Others From Selling Cars Directly To Consumers
By 5.16.14
After lawmakers in New Jersey and Missouri both recently proposed regulations that would prohibit car companies like Tesla Motors from selling vehicles directly to consumers instead of through independent dealers, the Federal Trade Commission is weighing in with comments for legislators in those states, urging them to consider abandoning existing laws and change things up a bit. . [More]
FTC Continues Crackdown On Companies That Make False ‘Green’ Promises About Products
By 5.5.14
Sometimes consumers make purchases based on the fact that the product is good for the environment, or at least won’t wreak havoc on it. So misleading consumers on the nature of a products natural composition is grounds for a slap on the wrist by the Federal Trade Commission. [More]
Ads Offering Tax-Relief Are Full Of Broken Promises, Just Want Your Money
By 4.11.14
This may not come as a surprise to any of you, but those ads on the radio that offer to settle your debt to the Internal Revenue Service for a fraction of the bill may be a scam. [More]
Yelp’s Controversial Business Tactics Contribute To 2,000 Complaints Received by FTC
By 4.4.14
Consumers head to Yelp to provide and/or peruse the praise and criticism left by other users about local businesses. But the tables have turned a bit with thousands of people taking their complaints about Yelp and its business practices to federal regulators. [More]
