The Federal Trade Commission has charged Wintergreen Systems, an Indiana-based electronics reseller owned by John Levy, with failing to honor mail-in-rebate offers for thousands of customers. The FTC’s conditions for settling the lawsuit require Levy and his company to “be barred from any involvement in the development, marketing, fulfillment, or funding of any rebate program.” There’s also a $330,000 judgment, which the company will not have to pay (more on that below). Both Wintergreen Systems and its parent company, Market Development Specialists (MDS), resold electronics through companies like Office Depot, PC Connection, Buy.com, PCMall, and Woot.com.
ftc
FTC Launches Older Patient Info Site
By 11.29.08
The FTC launched the strangely named “Who Cares” resource site for older patients and those who care for them. It’s a reliable source for knowledge about generics, hormone therapies, hiring caregivers, hearing aids, and alternative treatments, located at ftc.gov/whocares.
Best Buy Really Does Not Want To Let You Buy The Advertised Special
By 11.24.08
Reader John writes in with a story about “upselling” at Best Buy. He saw a TomTom GPS unit for $99.99 on sale at Best Buy, so he headed over to the store to pick one up. What follows is his account of how much trouble it was to actually buy the item. We think we counted 9 times that John had to tell various and sundry Best Buy employees that, yes, he was sure that he didn’t want to buy a slightly more expensive model of the same device.
Classmates.com Sued Because Classmates Weren't Really Looking For Him
By 11.13.08
Upon logging into his Gold Membership profile in order to view the classmate contacts … Plaintiff discovered that in fact, no former classmate of his had tried to contact him or view his profile,” the complaint reads. “Of those http://www.classmates.com users who were characterized … as members who viewed Plaintiff’s profile, none were former classmates of Plaintiff or persons familiar with or known to Plaintiff for that matter.
Shipping Delays For Dell's New Mini Laptop?
By 10.23.08
Reader Steven wrote in to let us know that his Dell Mini’s ship date keeps getting pushed back and he’s starting to become annoyed.
The FTC Will Never Ask You For Money Because You Won The Lottery. We Promise.
By 10.23.08
Apparently, some group of geniuses has been calling people and pretending that they are from the FTC. They start out with some nonsense like “Hi, I’m calling from the Federal Trade Commission to tell you that you have won $250,000…”
Scam: Prepaid Phone Cards Deliver About Half The Minutes Promised
By 10.23.08
MSNBC says that a recent study by the FTC showed that on average, prepaid long distance phone cards only delivered about half of the minutes advertised.
Yet Another Reader Scammed By FreeCreditReport.com
By 10.16.08
Here it is folks, your semi-annual reminder that FreeCreditReport is not free. Free credit reports can be found at AnnualCreditReport.com. FreeCreditReport.com is a pay site. As in you will be billed. As in not free.
FTC Busts Giant Spam Operation, Enlarges Penis
By 10.16.08
As part of their inquiry, FTC staff made undercover purchases from the sites. No one asked the clandestine buyers to provide verification of a prescription and the shipped drugs did not include doctors’ instructions or dosage information, officials said.
Beware Phishers Exploiting Banking Chaos
By 10.9.08
The various takeovers and mergers in the financial fallout give phishers a new opportunity to try to scam you into giving over your bank account warns the FTC. As most of you know, any unexpected email message that looks like it came from a financial institution, asking you to “update,” “validate,” or “confirm” your account information is invariably a scam. Unwitting victims are redirected to a login site that looks like it’s for their bank, but is really just a way to steal your account logins and/or personal information for use in further identity theft. Here’s the FTC’s tips for getting “hooked” by the “phishers” (gotta love it when the Feds pun)…
5 Scams To Watch Out For During A Recession
By 10.6.08
The LA Times says that recessions are boom times for scammers looking to take advantage of desperate people. They’ve listed 5 common scams that do well in a poor economy. They include bankrupcy scams, foreclosure scams, and fake home-based businesses.
FTC: These Eleven Companies Cannot Cure Cancer
By 9.21.08
We’re sorry, but there is no cure for cancer. The FTC is going after eleven companies that claim otherwise by selling potions, herbs, and a “systematized program of thinking good thoughts” masquerading as cures. You shouldn’t need a federal agency to tell you that the “Miracle Water for Cancer” doesn’t actually cure anything, nor does it reverse weight gain and aging. Bummer. Six of the snake oil companies agreed to settle, but five will crawl before a judge and argue that they can cure cancer. Let’s look at the list…
Meet Leverage Connections, King Of The Robocallers
By 8.25.08
Last week we reported that some types of unwanted robocall telemarketing will soon be banned. If you’re on the receiving end of Leverage Connections’ prerecorded harassment—they frequently operate under the generic names “Consumer Services” or “Credit Card Services”—you’ll finally have a way to formally complain to the FTC about them. Why would you want to complain? Because they’re the scammiest, most obnoxious robocall telemarketing company we’ve seen so far—even though what they do is apparently legal.
FTC Listens To Your Complaints, (Mostly) Bans Telemarketer Robocalls
By 8.20.08
After reviewing the more than 14,000 comments left by living human beings, the FTC yesterday amended its Telemarketing Sales Rule to ban most types of robotic telemarketing calls. By this December, any recorded calls will have to lead off with an automated opt-out option; by September 2009, telemarketers will need prior written permission to contact someone—simply being a recent customer won’t cut it.
Dish Telemarketer Fined $75,000 For Hanging Up On Customers
By 7.16.08
The FTC fined a Dish Network telemarketing firm $75,000 for hanging up on customers, reports the Deseret News. The company used teleautobots to dial peoples’ homes, which were then supposed to connect to a live telemarketer when someone picked up. However, the system would sometimes get more live customers than there were telemarketers, leaving some customers with a silent line. Federal regulations stipulate that if you use teleautobots, you have to connect the customer to a person within two seconds. The FTC made this law because people, in particular women and old people, were worried they were being stalked when they answered the phone and no one was there.
How To Protect Yourself Against Aggressive Debt Collectors
By 7.9.08
Millions of Americans are in debt, so it stands to reason that there are over 6,500 collection agencies in the U.S.. Most of these agencies operate under the law but a growing number of them do not. According to statistics from the Better Business Bureau, complaints filed against debt collectors rose 27% in 2007. Even if you legitimately owe the debt, you should know there are laws that protect you against harassment and the unfair practices often employed by these rogue debt collectors. CNN Money discusses the Fair Debt Collection Practices Act and laws which protect the consumer. Details, inside… [More]
Use Your Credit Card At A Marriage Counselor, See Your Limit Get Reduced
By 6.19.08
The FTC claims that CompuCredit didn’t properly disclose that it monitored spending and cut credit lines if consumers used their cards at certain places. Among them: tire and retreading shops, massage parlors, bars, billiard halls, and marriage counseling offices. “What they didn’t say was that you could be punished for specific kinds of purchases.”
Should The Proposed Sale Of Anheuser-Busch To A Belgian Brewer Be Stopped?
By 6.17.08
Missouri governor Matt Blunt has sent a letter to the Federal Trade Commission, “asking for a federal review of the proposed sale of Anheuser-Busch Cos. to Belgian brewer InBev,” says the AP. Blunt is concerned that allowing the maker of Becks and Stella Artois beers to buy the St. Louis-based brewery could create a “near monopoly” in the US beer market, and that it would damage the Missouri economy.
