News Flash Recent House Testimony Coming Events New and Revised Consumer and Business Publications Tip of the Month -- AUTO PILOT? Renting a Car Numbers to Know

NEWS FLASH

DECEPTIVE TELEMARKETER. At the FTC’s request, a federal district court in Florida has stopped a massive telemarketing scheme that allegedly tricked consumers into revealing their bank account information. According to the FTC, Suntasia Marketing, Inc, which operated under at least 15 different business names, used negative option programs to defraud consumers across the U.S. out of millions of dollars. Press release: www.ftc.gov/opa/2007/07/suntasia.shtm.

CREDIT-BASED INSURANCE SCORES. The FTC has released a study that found that credit-based insurance scores are effective predictors of the claims that consumers will file and the use of scores likely leads to African-Americans and Hispanics paying relatively more for automobile insurance than non-Hispanic whites and Asians. Press release: www.ftc.gov/opa/2007/07/facta.shtm.

NOT SO SWEET. A candy vending machine operation will pay $122,000 in consumer refunds to settle FTC charges that it violated federal laws by promising customers big incomes and prime machine locations, and hiring shills to reinforce the false earnings claims. Press release: www.ftc.gov/opa/2007/07/routewizard.shtm.

PHONE-Y CREDIT CARDS. A federal district court has stopped a cross-border advance-fee telemarketing scheme and ordered its corporate officers to pay nearly $10 million. According to the FTC, the defendants, Centurion Financial Benefits LLC, defrauded consumers with pitches for nonexistent credit cards. Press release: www.ftc.gov/opa/2007/07/centurion.shtm.

SUBPRIME LENDING. The FTC will work with two federal agencies and two associations of state regulators on an innovative pilot project to conduct compliance reviews of non-depository lenders with significant subprime mortgage operations. By coordinating the review, the agencies will be better able to evaluate subprime mortgage lending practices across a broad range of mortgage lenders and others in the industry. Press release: www.ftc.gov/opa/2007/07/subprime.shtm.

RECENT HOUSE TESTIMONY

FINANCIAL SERVICES, SUBCOMMITTEE ON OVERSIGHT AND INVESTIGATIONS. The FTC testified on its enforcement of laws against lending discrimination and predatory lending, its use of Home Mortgage Disclosure Act (HMDA) data, its lending enforcement program, its consumer education efforts, and interagency coordination. Press release: www.ftc.gov/opa/2007/07/hdma.shtm.

OVERSIGHT AND GOVERNMENT REFORM COMMITTEE. The FTC described how spyware or adware may come bundled with peer-to-peer file-sharing programs, and discussed the work the FTC has done to protect consumers from these risks. Press release: www.ftc.gov/opa/2007/07/p2p.shtm.

COMING EVENTS

DEBT COLLECTION PRACTICES. The FTC will host a workshop October 10-11 to examine how changes in the debt collection industry have affected consumers and businesses. Consumer advocates, industry representatives, and regulators will discuss the way technology and economic trends have changed how consumer debts are collected, and the extent to which the law has kept pace with developments during the past 30 years. The workshop is free and open to the public; it will be held at the FTC’s Conference Center, 601 New Jersey Avenue, NW, Washington, DC. Press release: www.ftc.gov/opa/2007/03/fdcpawkshop.shtm.

NEW AND REVISED CONSUMER AND BUSINESS PUBLICATIONS

NEW AND REVISED CONSUMER AND BUSINESS PUBLICATIONS
¡OJO! New issue (Vol. 3, No. 2) of bilingual Hispanic outreach newsletter which covers identity theft outreach, and gives tips about laptop security and protecting sensitive personal information. 8.5" x 11", 4 pages, color. www.ftc.gov/bcp/edu/pubs/newsletters/ojo/0302.pdf.

THE COOLING-OFF RULE: WHEN AND HOW TO CANCEL A SALE. Explains your three-business-day right to cancel purchases, if they’re $25 or more and made in your home or at a location that is not the seller’s permanent place of business. 8.5" x 11", 4 pages. www.ftc.gov/bcp/edu/pubs/consumer/products/pro03.shtm.

TIP OF THE MONTH – AUTO PILOT? RENTING A CAR

TIP OF THE MONTH – AUTO PILOT? RENTING A CAR
It’s the time of year to hit the road and get away. Renting a car can be confusing and expensive if you don’t understand industry terms and how fees are calculated. Here are some tips from the FTC when you're reserving a rental car:

For more information on how to choose a rental car company and understand the terms and conditions, visit www.ftc.gov/bcp/edu/pubs/consumer/autos/aut07.shtm.

NUMBERS TO KNOW

FTC'S OFFICE OF CONGRESSIONAL RELATIONS: 202-326-2195.

Check out the CONGRESSIONAL RESOURCES portion of our website at
www.ftc.gov/ftc/congress.htm. No password needed to access.

ORDERING FTC's FREE CONSUMER INFORMATION
-- For one to 49 copies of FTC publications, call 1-877-FTC-HELP (1-877-382-4357).
-- For 50 or more copies of publications, visit www.ftc.gov/bulkorder

-- If you need a copy of any publication immediately, you can view, download, and print from www.ftc.gov
-- For special orders, email Derick Rill at drill@ftc.gov

To file a fraud complaint, visit www.ftc.gov or call 1-877-FTC-HELP (1-877-382-4357).

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