A reminder that nobody from @FTC will ever give you a badge number, ask you to confirm your Social Security number, ask how much money you have in your bank account, transfer you to a CIA agent, or send you texts out of the blue.
2. Scams where fraudsters pose as the government are highly common. Last year Americans lost $2.7 billion to impersonator scams.
The rule @FTC just finalized will let us levy penalties on these scammers and get back money for those defrauded. ftc.gov/news-events/ne…
@FTC 2. We are also finalizing the government & business impersonator rule. This will let us tackle scams where fraudsters pretend to be the IRS or other entities and demand money on threat of arrest or loss of benefits. These scams defraud Americans out of billions of dollars a year.
@FTC 3. As we note in a statement, this marks the first time @FTC has finalized a new consumer protection rule since 1980.
This took two years from proposal to final rule, finally putting lie to the idea that FTC rulemaking must be an impossibly long process. ftc.gov/legal-library/…
1. Too often, data brokers track & sell Americans' location data—revealing not just where someone lives, but which doctors they visit and where they worship.
@FTC has taken action to ban data broker X-Mode/Outlogic from selling sensitive location data.
3. As noted in @FTC's complaint, X-Mode/Outlogic quietly sold people's raw location data to marketers, retailers, and government contractors. Even where people opted out of having their location data used for marketing, X-Mode sometimes failed to honor their requests.
1. @FTC and the Connecticut AG have sued auto dealer Manchester City Nissan, as well as its owners and managers, for systematically deceiving customers about the price of cars and saddling them with junk fees for bogus add-ons.
2. The dealer doubly charged customers for services already covered. For example, a customer came in looking to buy a certified pre-owned car advertised for $15,700—but then the dealer added a $5,295.65 junk “inspection fee” for a car it had already inspected.
3. The dealer frequently charged people for bogus add-ons they did not agree to pay and deceived them by overstating costs stemming from government taxes. One consumer was charged over $9,000 for four warranties that she had specifically declined.
2. Millions of Americans rely on inhalers to control their asthma. And even though some of the most popular inhalers have been on the market for decades, they can still cost patients hundreds of dollars a month.
3. Part of why inhalers have remained is expensive is because they’ve faced limited generic competition—likely in part because of Orange Book abuse. The public pays, with $5.7 billion in gross spending per year for Medicare for this category of inhalers.
2. All too often, people face junk fee shock when firms tack on mystery charges they did not know about, consent to, or factor into the purchase.
We see unnecessary fees for worthless products; unavoidable fees imposed on captive consumers; and surprise fees snuck in at the end.
3. We received over 12k comments on people's experience with junk fees. People shared how they routinely encounter these bait-and-switch tactics—where firms initially show one price, but then add all sorts of unexpected fees that inflate the overall cost. regulations.gov/document/FTC-2…
1. Today @FTC and 17 state AGs filed a lawsuit detailing how Amazon uses punitive & coercive tactics to unlawfully maintain its monopolies. Amazon is exploiting its monopoly power to enrich itself while raising prices & degrading service for its customers. ftc.gov/news-events/ne…
2. The complaint details a set of allegations spanning a variety of unlawful tactics by Amazon.
Amazon deploys all of these tactics to pursue a common overarching goal: deprive rivals of the scale needed to meaningfully compete against Amazon.
3. A critical mass of customers is key to powering what Amazon calls its “flywheel.” Controlling access to significant shopper traffic allows Amazon to draw more sellers—and benefit from the accelerated growth that network effects & scale economies can fuel.