Author Archives: Allison Zieve

FTC sends $557,000 to consumers harmed by credit card rate reduction scam

The Federal Trade Commission is sending payments totaling more than $557,000 to consumers who paid money to GDP Network, LLC (YF Solution), a Florida-based telemarketing company that promised credit card interest rate reductions and regularly failed to deliver. The FTC and the State of Florida sued GDP Network and its owners in July 2020, alleging […]

Supreme Court case on CFPB’s funding – first round of briefs are in

In the payday lending industry’s case challenging the CFPB’s funding as unconstitutional, the agency’s opening brief in the Supreme Court and the many amicus briefs in support of the agency have been filed. You can read all of them on the Court’s website, here. Public Citizen’s amicus brief is also posted on our website, here.

FTC stops student-loan debt-relief schemes that bilked students out of $12 million

The Federal Trade Commission has stopped a pair of student loan debt relief schemes that it says bilked students out of approximately $12 million by using deceptive claims about repayment programs and loan forgiveness that did not exist. The agency also says the companies falsely claimed to be or be affiliated with the Department of […]

FTC examines companies’ environmental claims

Politico reports: “As demand for sustainable products has skyrocketed, so have concerns about greenwashing. Public comments were due yesterday on the FTC’s first update in 11 years of its “Green Guides,” which are essentially advice for how companies can make environmental marketing claims. The nearly 60,000 comments shed light on what companies, industry trade groups […]

FTC approves order against company for hijacking online product reviews

The Federal Trade Commission has approved a final consent order against The Bountiful Company for abusing a feature of Amazon.com to deceive consumers into thinking that its newly introduced supplements had more product ratings and reviews, higher average ratings, and “#1 Best Seller” and “Amazon’s Choice” badges. Details, including a link to the complaint, are […]

Regulatory Review: “Reviewing the Regulation of Fake Reviews”

The Regulatory Review blog reports that “With 77 percent of online shoppers using reviews to inform their purchase decisions, customer reviews play a crucial role in shaping international commerce. Fake reviews, which include manufactured and deceptive reviews, constitute about 4 percent of all reviews online. This 4 percent translates to a cost to consumers of […]

New rule on data collection on small business lending

The Consumer Financial Protection Bureau has finalized a rule required by Congress to increase transparency in small business lending, promote economic development, and combat unlawful discrimination. Lenders will collect and report information about the small business credit applications they receive, including geographic and demographic data, lending decisions, and the price of credit. A summary, with […]

FTC action leads to industry ban for operators of “extended vehicle warranty” scam

As a result of a Federal Trade Commission lawsuit, the operators of a telemarketing scam that called hundreds of thousands of consumers nationwide to pitch them expensive “extended automobile warranties” will face a lifetime ban from the extended automobile warranty industry and from all outbound telemarketing. The FTC’s press release is here.

CFPB charges Portfolio Recovery Associates with continued illegal debt collection practices and consumer reporting violations

The Consumer Financial Protection Bureau took action this week against Portfolio Recovery Associates, one of the largest debt collectors in the nation, for violating a 2015 CFPB order and engaging in other violations of law. The CFPB’s proposed order, if entered by the court, would require Portfolio Recovery Associates to pay more than $12 million […]