Ed's Blog

Groups criticize FTC Used Car Rule and other Financial Follies

By Ed Mierzwinski
Consumer Program Director

Americans for Financial Reform and other leading groups slammed a proposed new FTC Used Car Rule that fails to protect consumers and ignores advice of advocates and state attorneys general. Comments are due to FTC by February 11. From the letter from the PIRG-backed AFR along with the National Consumer Law Center, National Association of Consumer Advocates and CARS:

"The FTC’s proposed Used Car Buyers Guide sticker is even worse than the old one, and is blatantly false and misleading," said Rosemary Shahan, president of Consumers for Auto Reliability and Safety [CARS], one of the groups that had urged the agency to issue a rule to improve protections for used car buyers. The FTC proposal would require dealers who sell vehicles as is to post a sticker on a car that includes: “THE DEALER WON’T PAY FOR ANY REPAIRS. The dealer is not responsible for any repairs, regardless of what anybody tells you.” This is misleading, because under state law in all 50 states, if dealers commit fraud and cheat car buyers, dealers may have to pay for repairs. Indeed, they may also be liable for refunds or even punitive damages."

Meanwhile in other weekly financial follies, beleaguered New York Mets fans, cheering the team for re-signing star third baseman David Wright (but wondering if they have the money to pay him) and cheering star knuckleballer R.A. Dickey for winning the Cy Young Award as the league's best pitcher (but wondering if they have the money to keep him), may face another possible ownership and money crisis, according to the New York Times December 2 story "A Mets Owner and Claims of Consumer Fraud" by reporters Steve Eder, Richard Sandomir and Alison Leigh Cowan. The story reports that the Mets, still recovering from a fiscal crisis after their lead owners' involvement with Ponzi king Bernie Madoff, brought in new investors, including one "accused of having participated in a cynical and longstanding scheme to cheat customers out of millions of dollars." That new co-owner is James F. McCann, the founder and chief executive of 1-800-Flowers.com. And even though this story appears on the baseball page, the rest of it is right out of U.S. Senate Commerce Committee chairman Jay Rockefeller's (D-WV) investigation of and subsequent enactment of reform legislation over the practice of websites allegedly tricking customers into signing up for "free" "trial offers" for "discount clubs." The consumer never actually authorizes a payment, nor may even be aware she has joined a club. The websites, allegedly including 1-800-Flowers, already know your account numbers and sign you up for the pathetic clubs without your knowledge. The story explains what Senator Rockefeller found:

"Customers shop on the Internet for a product — maybe movie tickets, pizza or flowers. Once they find what they want, they type in their contact information and credit card number and click “Purchase.” As they go through the checkout process, Rockefeller explained, an ad from a third-party business tries to trick them into paying to sign up for “useless” membership clubs by offering cash-back rebates or discounts. If the customer is lured in amid the confusion, Rockefeller explained, the consumer’s consent is taken as a given, and the third-party business already has the credit card number the consumer entered for the initial purchase."

We agree with Professor Prentiss Cox, who as a Minnesota assistant attorney general sued banks for engaging in the practice he calls "pre-acquired account telemarketing" (and others call "data-pass"), that the CFPB and other bank regulators need to continue action against the banks. The Rockefeller-passed Restore Online Shoppers Confidence Act, due to jurisdictional limitations, protects consumers on the Internet, but may not stop all similar bank practices, although the CFPB's recent enforcement actions against Discover and Capital One credit cards address related sordid conduct. Consumers are now receiving cash refunds, either directly into their accounts or through an administrator, from these and other cases.

Meanwhile, last week the CFPB announced that the city of Chicago has joined several states that share consumer complaint data with the bureau. It also praised the Department of Veterans Affairs for trademarking the term "GI Bill" to protect veterans fromn fraudulent offers.And it warned the many specialty credit bureaus that they, like the Big 3, also are required to provide free annual credit reports on request. The only difference: the specialty bureaus  -- medical, insurance, tenant screening and other sites (CFPB's partial list) -- provide the reports by 800 number or through their own sites. They do not have to provide the free reports through the required-by-law shared site known as Annualcreditreport.com. Note: that link is not directly to the annualcreditreport page, but to an FTC warning page explaining how to get your legally-required free reports, by mail, phone or through the shared site. Watch for upsell offers and scams related to "free" reports and "free" scores, also!

And, the latest reports from the dog-bites-man-not-so-surprising-stuff news feed are that, yes, Senator-elect Elizabeth Warren (D-MA), investigator of the bank bailouts, expert on credit cards and bankruptcies and the architect of the CFPB, will get a seat on the Senate Banking Committee, despite desperate, ludicrous campaigns by opponents of consumer protection to put her on some backwater committee. I mean, really? What were they thinking? I talk about this on Boston public radio.

And, finally, over at Philly.com, longtime consumer reporter Jeff Gelles reports on FTC consumer chief David Vladeck, in his column "Consumer Chief Leaves FTC a Feistier Place." More from my previous blog.

Comments

Great post and a really good blog. Thank you so much for your efforts to put this amazing source of useful information together. Keep the great work up! http://www.machinecomputer.co.uk/ machine computer http://goo.gl/nQGoHr Taman Kenangan Lestari Lestari Memorial Park http://goo.gl/M5Q3UD stabilizer voltage http://goo.gl/64vQJT PAKAR SEO JASA http://goo.gl/tdh1iT Jasa SEO Pakar http://goo.gl/creCyl importir distributor vinyl beli http://goo.gl/BPgErc Beli Wallpaper Toko http://goo.gl/UUd49V parket kayu lantai vinyl http://goo.gl/0mQvSt Cara Sederhana Membuat Voltage Stabilizer http://goo.gl/RXTE5s Cara Murah Membuat Voltage Stabilizer Sederhana http://goo.gl/C9vugS cara membuat voltage stabilizer sederhana http://goo.gl/Yktpoa membuat voltage stabilizer sederhana http://tipsjitucaracepathamil.blogspot.com/ Tips Jitu Cara Cepat Hamil http://goo.gl/uxqdPA Lestari Memorial Park http://goo.gl/JZu4s3 Taman Kenangan Lestari Karawang http://goo.gl/75XXeI Lestari Memorial http://goo.gl/vmFKUK Lestari Memorial Park http://goo.gl/3Qtr6p Lestari Memorial Garden http://goo.gl/zrwU8k Pemakaman Taman Kenangan http://goo.gl/AJf1cc Pemakaman Lestari Memorial http://goo.gl/bxVtpy Pemakaman Taman Kenangan Lestari http://goo.gl/JyqEtq Tips Selama Kehamilan http://goo.gl/d7R8qN Tips Yoga Ibu Hamil http://goo.gl/NYt0q5 Tips Sehat Hamil http://goo.gl/6VXrfH Tanda Kehamilan

Have you ever thought about sending programmed emails to your customers? Keep reading to find out what sets web hosts apart and which features you need to run your website. www.foleycomputerrepair.com

Saving the planet is important and so is saving on utility bills. Your electric bill is only going to go up, which is why you need to learn about solar energy and what benefits it can provide you with. www.computerscrub.com

I'm so pleased to find your article and it's really good.It helps me a lot and thankd for your share.Customers shop on the Internet for a product — maybe movie tickets, pizza or flowers. Once they find what they want, they type in their contact information and credit card number and click “Purchase.” As they go through the checkout process, Rockefeller explained, an ad from a third-party business tries to trick them into paying to sign up for “useless” membership clubs by offering cash-back rebates or discounts.Thanks for your information.You share nice information. Write article beautiful and article writing level is very good easily understand to anyone who can read your article and that increase my knowledge.
view this

I love your post and i can find the important knowledge which i'm studying for.Hope for your next article.Meanwhile, last week the CFPB announced that the city of Chicago has joined several states that share consumer complaint data with the bureau. It also praised the Department of Veterans Affairs for trademarking the term "GI Bill" to protect veterans fromn fraudulent offers.And it warned the many specialty credit bureaus that they, like the Big 3, also are required to provide free annual credit reports on request. The only difference: the specialty bureaus -- medical, insurance, tenant screening and other sites (CFPB's partial list) -- provide the reports by 800 number or through their own sites. Thanks for your information.Thanks for sharing this information. I really like your blog post very much. You have really shared a informative and interesting blog post with people..
Game Of Thrones Season 3 DVD |Friends Seasons 1-10 sale | Cheap Breaking Bad Season 5 DVD|Mad Men Season 6 DVD Sale

I love your post and i can find the important knowledge which i'm studying for.Hope for your next article.Meanwhile, last week the CFPB announced that the city of Chicago has joined several states that share consumer complaint data with the bureau. It also praised the Department of Veterans Affairs for trademarking the term "GI Bill" to protect veterans fromn fraudulent offers.And it warned the many specialty credit bureaus that they, like the Big 3, also are required to provide free annual credit reports on request. The only difference: the specialty bureaus -- medical, insurance, tenant screening and other sites (CFPB's partial list) -- provide the reports by 800 number or through their own sites. Thanks for your information.Thanks for sharing this information. I really like your blog post very much. You have really shared a informative and interesting blog post with people..Interesting post and thanks for sharing. |http://vo.to/IDRCOMAGENTEXASONLINEINDONESIA | http://vo.to/agenbolapromo | http://vo.to/itunetAGENJUDIDOMINOONLINEINDONESIATERPE |

It's really a great and useful piece of info.
I'm happy that you shared this useful info with
us. Please keep us informed like this. Thanks for sharing.

Look at my weblog :: novoline kostenlos online spielen (<a href="http://121.78.147.23/framework/?document_srl=1635138">http://121.78.147....)

In order to promote your blogs, http://www.fiverr.com/seoking127 you have to struggle hard. Even you have to post some interesting content and regularly usually 2 to 4 times in a day only to grasp the attraction of the readers.

you have to post some interesting content and regularly usually 2 to 4 times in a day only to grasp the attraction of the readers.

http://ytlikes.com

All Data in your Article is complete and Informative. It includes so many interesting facts. I am realy impressed with your Grt job Keep it up, I am waiting for your next Updation. like 338a? read at http://vivobetting.net/sbobet-338a/ , or may be you want to play judi http://ligaplayer.com/judi-bola-online/

It was great to see the old printshop and everyone who works there again. I am excited to see a printing business still operating and growing, great job guys
http://memoryfoamoffgassing.moonfruit.com/

I do not know whether it's just me or if perhaps everyone else encountering issues with your site. It seems like some of the text on your content are running off the screen. Can somebody else please provide feedback and let me know if this is happening to them as well? This might be a issue with my web browser because I've had this happen before. Thank you
First of all I want to say awesome blog! I had a quick question in which I'd like to ask if you do not mind. I was interested to find out how you center yourself and clear your mind prior to writing. I have had difficulty clearing my mind in getting my thoughts out. I truly do take pleasure in writing but it just seems like the first 10 to 15 minutes are generally lost simply just trying to figure out how to begin. Any ideas or hints? Thank you!

Such a very useful article. Very interesting to read this article.I would like to thank you for the efforts you had made for writing this awesome article. agen bola terpercaya, judi bola

This will likely almost certainly be rather beneficial for many of your job opportunities I want to you should not only with my blog site but… http://ligaplayer.com , http://vivobetting.net , http://acmbet.net/

From the letter from the PIRG-backed AFR along with the National Consumer Law Center, National Association of Consumer Advocates and CARS: gel bed

Thank you for posting such a great article! I found your website perfect for my needs. It contains wonderful and helpful posts. Keep up the good work!
https://consumerreportsrevealstopmattresspicks.wordpress.com/

I thought it was going to be some boring old post, but it really compensated for my time. I will post a link to this page on my blog. I am sure my visitors will find that very useful. is memory foam toxic

it's really nice and meanful. it's really cool blog. Linking is very useful thing.you have really helped lots of people who visit blog and provide them usefull information.
http://bestmattressesaccordingtoconsumerreportstesting.webs.com/

The internet is bogged down with bogus blogs with no real message but the post was fantastic and well worth the read.Thank you for sharing this with me. Acne

Priority Action

Tell your elected officials: Please protect my right to know, and support GMO labeling.

Support Us

Your donation supports U.S. PIRG’s work to stand up for consumers on the issues that matter, especially when powerful interests are blocking progress.

Consumer Alerts

Join our network and stay up to date on our campaigns, get important consumer updates and take action on critical issues.