MilConsumer Blog Feed

“You can settle your credit card debt for pennies on the dollar without filing for bankruptcy.” For people struggling to stay afloat, Debt Relief USA’s national TV ads must have seemed like a lifeline. When consumers called the company, representatives assured them that low monthly payments to Debt Relief USA would cover both the settlement of their reduced debts and the company’s fees. For the service to work, said the reps, people had to stop...

There are some combinations that raise immediate compliance issues for responsible businesses — and kids’ privacy and mobile applications are among them. A settlement announced by the FTC — the agency’s first involving a mobile app — sends the important message that consumer protection laws and rules apply with full force in the mobile marketplace. W3 Innovations, which does business as Broken Thumbs Apps, develops and distributes mobile apps...

Thinking about using a pre-checked box to obligate buyers in an online transaction? Maybe you’re considering a negative option arrangement without clearly and conspicuously disclosing the details of the deal. Or perhaps you’re an affiliate marketer who’s concluded that legal compliance is somebody else’s responsibility. A $4.8 million judgment entered by a federal court in California suggests you might want to reconsider those strategies. Swish...

Homeowners in financial trouble aren’t getting a lot of great news these days. But 450,177 of them will be getting a check in the mail that represents their share of the FTC’s $108 million settlement with mortgage giant Countrywide. And companies that take advantage of Americans struggling to pay the bills will be getting a little something, too: a strong message from the FTC that unfair or deceptive practices targeting cash-strapped consumers...

Say “spam” and most business executives think of annoying messages that litter their IN box. But the CAN-SPAM Act and the FTC’s CAN-SPAM Rule cover a much broader range of commercial email. Yes, that includes messages offering to split $50 million languishing in the foreign bank account of a deposed prince. But the Rule also applies to a wide variety of communications with customers or potential customers — for example, an email notifying them...

A skin cream that can reduce body size. Are historians sure that wasn’t what Ponce de Leon was seeking? It’s certainly what buyers are looking for, if ads are any indication. But claims like that have to be backed up by solid science, as is clear from the FTC’s $900,000 settlement with Beiersdorf , Inc., marketer of Nivea My Silhouette! (Yes, the exclamation point is on the package.) Ads for the product touted its “Bio-slim Complex,” a...

Sometimes it’s great to put stuff to more than one use. Think the versatile Swiss Army knife, the iconic Little Black Dress, or the typical elementary school “cafetorium” where kids can eat lunch, shoot hoops, and put on plays. But when what’s at issue is information from people’s credit reports, that kind of double duty can violate the Fair Credit Reporting Act — as the FTC’s $1.8 million settlement with Teletrack , Inc., makes clear. In FCRA...

You have some job openings at your company or maybe you’re thinking of promoting people to new positions. You’ve winnowed that stack of resumes down to some promising candidates. Now it’s nitty gritty time: background checks. Employment background checks can include information from a variety of sources: credit reports, employment and salary history, criminal records — and these days, even social media. But regardless of the type of information...

Yes, it’s a global marketplace, but geography still matters. Misrepresentations about where a company is based can have significant implications for buyers. That’s the message of an FTC settlement announced today against a California online retailer that allegedly deceived British consumers into thinking it was a “hometown operation” by falsely using a .co.uk website. The settlement puts an end to the FTC’s law enforcement action against Jaivin...

You can swim freestyle. You can work freelance. And there are those among us who still hold up lighters and yell “Play Free Bird.” But for marketers, one thing you can’t do is advertise a product as free and then bill customers’ credit cards — not once and certainly not over and over and over again. The legal theories advanced in the pending case against Canadian Jesse Willms , ten companies the FTC says he controls, and other individual and...