Consumer protection

FTC Convenes Advisory Group to Fight Scams Against Older Adults

Retrieved on: 
Tuesday, April 2, 2024

The Federal Trade Commission will host an online meeting of the Scams Against Older Adults Advisory Group on April 2, 2024.

Key Points: 
  • The Federal Trade Commission will host an online meeting of the Scams Against Older Adults Advisory Group on April 2, 2024.
  • The meeting will begin at 2 p.m. Eastern Time with opening remarks by FTC Bureau of Consumer Protection Director Samuel Levine.
  • The advisory group was formed because of the Stop Senior Scams Act, passed by Congress in 2022.
  • Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.

FTC Implements New Protections for Businesses Against Telemarketing Fraud and Affirms Protections Against AI-enabled Scam Calls

Retrieved on: 
Tuesday, April 2, 2024

The Federal Trade Commission today announced a final rule extending telemarketing fraud protections to businesses and updating the rule’s recordkeeping requirements in light of developments in technology and the marketplace. The Commission also announced a proposed rule that would provide the agency with significant new tools to combat tech support scams. Both actions are part of the Commission’s current review of the Telemarketing Sales Rule (TSR), which includes the Do Not Call Registry (DNC) rules and provisions banning nearly all telemarketing robocalls to consumers.

Key Points: 


The Federal Trade Commission today announced a final rule extending telemarketing fraud protections to businesses and updating the rule’s recordkeeping requirements in light of developments in technology and the marketplace. The Commission also announced a proposed rule that would provide the agency with significant new tools to combat tech support scams.

  • Both actions are part of the Commission’s current review of the Telemarketing Sales Rule (TSR), which includes the Do Not Call Registry (DNC) rules and provisions banning nearly all telemarketing robocalls to consumers.
  • Importantly, the FTC also affirms the TSR’s prohibitions on robocalls using voice cloning technology.

The Current Regulatory Review


Both the final rulemaking and notice of proposed rulemaking announced today stem from the Commission’s regulatory review of the TSR and address public comments received as part of that review. In April 2022, the FTC proposed extending telemarketing protections to businesses and strengthening safeguards against other pernicious telemarking tactics plaguing consumers. The final rule announced today implements updates that:

The Tech Support Notice of Proposed Rulemaking

  • The notice of proposed rulemaking announced today proposes amending the TSR to extend its coverage to inbound telemarketing calls involving technical support services.
  • The proposed amendment is needed due to the widespread deception and consumer injury caused by tech support scams, including those in which consumers call supposed tech support operations in response to advertising.
  • The Commission also is seeking comments on a proposed definition of tech support scams.

FTC, 10 States Take Action Against Operator of Sham Cancer Charity for Deceiving Donors

Retrieved on: 
Tuesday, April 2, 2024

The Federal Trade Commission and 10 states are suing sham charity Cancer Recovery Foundation International, also known as Women’s Cancer Fund, and its operator, Gregory B. Anderson, for deceiving generous donors who sought to offer financial support to women battling cancer and their families.

Key Points: 
  • The Federal Trade Commission and 10 states are suing sham charity Cancer Recovery Foundation International, also known as Women’s Cancer Fund, and its operator, Gregory B. Anderson, for deceiving generous donors who sought to offer financial support to women battling cancer and their families.
  • In a complaint filed in federal court, the FTC and states allege that, from 2017 to 2022, Women’s Cancer Fund collected more than $18 million from donors.
  • The sham charity claimed that it would use the donated funds to help women who were undergoing treatment for cancer and their families pay for basic needs.
  • Meanwhile Women’s Cancer Fund gave the vast majority of the funds it collected from donors, about 85%, to for-profit fundraisers that Anderson hired to make deceptive pitches on behalf of the sham charity.
  • According to the complaint, in addition to using deceptive phone solicitation pitches, Women’s Cancer Fund also used deceptive solicitation letters, often signed by Anderson.
  • The complaint in the latest action alleges that those enforcement actions did not deter Anderson, who went on to hire other fundraisers to make similar deceptive claims on behalf of Women’s Cancer Fund.
  • The complaint was filed in the U.S. District Court for the Southern District of Texas.
  • The staff attorneys on this matter are J. Ronald Brooke, Jr. and Miry Kim of the FTC’s Bureau of Consumer Protection.

Tech Support Firms Will Pay $26 Million to Settle FTC Charges That They Deceived Consumers into Buying Repair Services

Retrieved on: 
Tuesday, April 2, 2024

Two tech support companies will pay $26 million to settle Federal Trade Commission charges that they bilked tens of millions of dollars from consumers, particularly older consumers, by duping them into buying computer repair services in violation of the FTC Act and the Telemarketing Sales Rule.

Key Points: 
  • Two tech support companies will pay $26 million to settle Federal Trade Commission charges that they bilked tens of millions of dollars from consumers, particularly older consumers, by duping them into buying computer repair services in violation of the FTC Act and the Telemarketing Sales Rule.
  • Following the scans, the companies urged consumers to purchase its software online to “fix” the alleged problems or remove alleged viruses and malware, according to the complaint.
  • Under the signed order, Restoro and Reimage are required to pay $26 million, which the FTC intends to use to provide redress to deceived consumers.
  • Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.

FTC Actions Against Companies Making Deceptive Pandemic Loan Promises Lead to Record $59 Million in Damages

Retrieved on: 
Tuesday, April 2, 2024

The companies have agreed to settle the FTC’s charges against them: Biz2Credit will pay $33 million and Womply will pay $26 million to the FTC for small businesses harmed by their deceptive conduct.

Key Points: 
  • The companies have agreed to settle the FTC’s charges against them: Biz2Credit will pay $33 million and Womply will pay $26 million to the FTC for small businesses harmed by their deceptive conduct.
  • “The FTC is committed to protecting small businesses from these sorts of unlawful practices.”

Biz2Credit

  • Biz2Credit, Inc., and its subsidiary, Itria Ventures, have agreed to pay $33 million in damages to settle the Federal Trade Commission’s charges that they deceptively advertised that consumers’ emergency PPP loan applications would be processed in an average of 10-14 business days when, in reality, the average processing took well over a month.
  • When the program ran out of funds in May 2021, the government stopped accepting new PPP loan applications, leaving some Biz2Credit consumers without any funds.
  • The FTC’s complaint also says that Biz2Credit unfairly ignored many consumers’ repeated and urgent pleas to withdraw their loan applications.

Womply

  • The FTC’s complaint alleges they widely advertised that small businesses – particularly one-person businesses like gig workers – could successfully get PPP funding when they applied through Womply.
  • The complaint charges, however, that more than 60 percent of Womply applications never resulted in funding.
  • In addition, according to the complaint, Womply and Scammell advertised that their automated processes and good customer service would help small businesses secure PPP loans fast.
  • However, after just one month and more than 4,800 support requests from applicants, Womply completely deactivated its phone-based customer service.
  • After spending weeks pleading to Womply for help without success, she had to close her business due to a lack of funding.

FTC Sends More Than $10 Million in Refunds to Consumers Harmed by Real Estate Investment Training Scheme

Retrieved on: 
Tuesday, April 2, 2024

The Federal Trade Commission is sending more than $10 million in refunds to consumers who paid for a real estate investment training program that allegedly made empty promises about earning big profits “flipping” houses.

Key Points: 
  • The Federal Trade Commission is sending more than $10 million in refunds to consumers who paid for a real estate investment training program that allegedly made empty promises about earning big profits “flipping” houses.
  • In addition, the FTC is sending claim notices to nearly 400 consumers who previously filed a complaint about Response Marketing.
  • Consumers who paid for the defendant’s real estate investment training programs are eligible to file a claim for payment.
  • In 2023, FTC actions led to $324 million in refunds to consumers across the country.

FTC Releases 2023 Privacy and Data Security Update

Retrieved on: 
Tuesday, April 2, 2024

The Federal Trade Commission released its Privacy and Data Security Update for 2023 that highlights the FTC’s work to protect consumer privacy and respond to the evolving ways that companies use consumer data such as in the development of artificial intelligence models and misuse of health data.

Key Points: 
  • The Federal Trade Commission released its Privacy and Data Security Update for 2023 that highlights the FTC’s work to protect consumer privacy and respond to the evolving ways that companies use consumer data such as in the development of artificial intelligence models and misuse of health data.
  • Between 2021 and 2023, the FTC has taken action to address privacy and security threats in several key areas including:
  • The FTC also has remained active in targeting companies that fail to implement reasonable data security measures to protect consumer data.
  • In 2022 and 2023 alone, the FTC announced or finalized enforcement actions against Global Tel*Link, Drizly, Chegg, and CafePress for data security failures.
  • In addition to vigorous enforcement, the FTC has engaged in rulemaking and other policy work to establish baseline standards that protect consumers’ privacy.

FTC To Convene Advisory Group to Fight Scams Against Older Adults April 2

Retrieved on: 
Tuesday, April 2, 2024

|WHAT:||The Federal Trade Commission will host an online meeting of the Scams Against Older Adults Advisory Group on April 2, 2024.

Key Points: 
  • |WHAT:||The Federal Trade Commission will host an online meeting of the Scams Against Older Adults Advisory Group on April 2, 2024.
  • The FTC will never demand money, make threats, tell you to transfer money, or promise you a prize.
  • Learn more about consumer topics at consumer.ftc.gov, or report fraud, scams, and bad business practices at ReportFraud.ftc.gov.
  • Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.

Eric Buchanan & Associates Announces Promotion of Audrey C. Dolmovich to Junior Partner

Retrieved on: 
Thursday, February 29, 2024

CHATTANOOGA, Tenn., Feb. 29, 2024 /PRNewswire-PRWeb/ -- Eric Buchanan & Associates is thrilled to announce the promotion of Audrey C. Dolmovich to the position of Junior Partner. Audrey's unwavering commitment to advocating for individuals denied insurance benefits has not only contributed significantly to the firm's success but has also exemplified the values and dedication we hold at Eric Buchanan & Associates.

Key Points: 
  • CHATTANOOGA, Tenn., Feb. 29, 2024 /PRNewswire-PRWeb/ -- Eric Buchanan & Associates is thrilled to announce the promotion of Audrey C. Dolmovich to the position of Junior Partner.
  • Her first, and most important job, is handling her client's cases extremely well, a job at which she excels," says Eric Buchanan, President and Partner of Eric Buchanan & Associates.
  • Eric Buchanan & Associates is confident that Audrey C. Dolmovich's promotion to Junior Partner will further enhance our firm's reputation for excellence and dedication to our clients.
  • We look forward to continued success and growth with Audrey as an integral part of our leadership team.

FTC Staff Provides Annual Letter to CFPB On 2023 Equal Credit Opportunity Act Activities

Retrieved on: 
Friday, February 16, 2024

The staff of the Federal Trade Commission has provided the Consumer Financial Protection Bureau (CFPB) an annual summary of its enforcement and related activities on the Equal Credit Opportunity Act (ECOA).

Key Points: 
  • The staff of the Federal Trade Commission has provided the Consumer Financial Protection Bureau (CFPB) an annual summary of its enforcement and related activities on the Equal Credit Opportunity Act (ECOA).
  • The FTC is responsible for ECOA enforcement and education regarding most non-bank financial service providers.
  • The lead attorney on this matter for the FTC was Carole Reynolds in the Bureau of Consumer Protection.
  • Follow the FTC on social media, read consumer alerts and the business blog, and sign up to get the latest FTC news and alerts.