New Limitations for Telemarketers

The Federal Trade Commission (FTC) introduced the Telemarketing Sales Rule (TSR) in 1995 as a way to protect the consumers from mistreatment, abusive, and fraudulent behavior. If you are tired of receiving repeated, harmful, and unnecessary telemarketing calls, contact the Ohio consumer law attorneys with Luftman, Heck & Associates today at (888) 726-3181 to find out how we can help you.

About the Telemarketing Sales Rule

The TSR establishes guidelines by which telemarketers must operate. Unfortunately, many telemarketers are unaware of their restrictions.

The TSR has such provisions as:

• Requirements of telemarketers to disclose of certain information
• Prohibitions on telemarketers from misrepresenting themselves to consumers
• Limitations on the time period in a day in which a telemarketer may call consumers
• Prohibitions on unauthorized billing
• Requirements for specific business records to be kept on file for a two-year period

New Amendments to the Rule

The FTC amends the Rule occasionally as new scams are uncovered and new distasteful behaviors and actions from telemarketers emerge. The most recent amendment was enacted on June 13, 2016. The FTC amended the TSR to no longer allow telemarketers to request payment via remotely-created checks or remotely-created money orders, cash-to-cash transfers, and cash reload devices.

The FTC has made these changes as a way of keeping consumers safe from possible scam artists. Items that are created remotely, such as checks and money orders, aren’t signed by the account-holder, so scam artists are able to gain access to a consumer’s bank account easily. What’s more, once one of these transactions has completed, it can be difficult to get the bank to reverse it.

Cash-to-cash transfers from companies such as Western Union are also a payment method that scam artists like to use. These transfers are fast and anonymous. Once the money has been collected, it’s gone – it is difficult to trace and retrieve it.

Cards with cash reload abilities are another form of payment that telemarketers can no longer request. Companies like Vanilla Reload or MoneyPak are used to loan new funds to existing prepaid cards with a PIN. Scam artists have discovered that they can obtain the consumer’s PIN and apply funds to their own prepaid cards instead.

Many of the payment transactions described aren’t frequently used by professional telemarketing companies any longer. However, because these payment methods were available options at one time, and because they became viable ways for scam artists to rob consumers, the FTC isn’t taking any chances.

How the Ohio Consumer Law Attorneys Can Help

If you are contacted by a telemarketer who is urging you to pay a bill via remotely-created check or money order, a cash-to-cash transfer, or a cash reload card, you should be aware that these requests are illegal. You may want to contact a consumer law attorney to help you fight back against deceitful practices such as these from telemarketing agencies.

The Ohio consumer law attorneys at Luftman, Heck & Associates are familiar with the illegal practices of telemarketers and scam artists. They will fight for your rights. For a free consultation, call (888) 726-3181 or email us at advice@ohiodebthelp.com.