CFA Petitions the FCC to block the Comcast-Time Warner merger

Consumer Federation of America believes “Online Video Competition is the Last and Only Hope to Break the Stranglehold of Cable.”

Information posted in press release:

Washington, DC (August 25, 2014) – The Consumer Federation of America (CFA) and its member groups today filed a petition calling on the Federal Communications Commission (FCC) to block Comcast’s acquisition of Time Warner Cable and the swap of additional systems with Charter Communications.  The petition shows that the Comcast-Time Warner merger poses a much greater threat to competition, consumers and the public interest than the Comcast-NBCU merger, which has not benefited the public.

“The inevitable result of this merger will be higher prices, worse service, and less innovation,” Mark Cooper, CFA’s director of research said. “Just four years ago the FCC and the Department of Justice (DOJ) found that Comcast has market power, as the nation’s largest buyer of professional video content and the largest provider of both multichannel video programming and broadband Internet access service.

“The acquisition of Time Warner would increase Comcast’s market power by at least 50% and create a Goliath that would tower over the industry.  Comcast would be:

  • 1.5 times as large as the next largest multichannel video program distributor (MVPD),
  • 2 times as large as the next largest Internet access service provider,
  • 3 times as large as the next largest service provider with the capacity to deliver an integrated bundle of video and broadband,
  • the dominant cable and broadband operator in 24 of the nation’s largest 25 video markets, including the addition of the most important media markets, New York and Los Angeles.”

‘As Seen on TV’ firm sued for taking high-pressure sales tactics too far

CONSUMER FORUM

Posted Aug. 24, 2014, at 10:26 a.m.

click image to access NJ attorney general’s complaint

New Jersey’s attorney general and that state’s Division of Consumer Affairs have filed a complaint against Telebrands, the company known for its “As Seen on TV” series of offers.

The agencies allege Telebrands violated the state’s Consumer Fraud Act through its vigorous “upselling” via the company’s automated phone system and websites. When customers tried to place orders by phone or online, they received repeated prompts to order more goods and few ways to decline.

The five-count lawsuit also accuses Telebrands of shipping and billing for goods customers did not order and for running what the suit says were misleading ads, among other violations. The agencies also claim the company’s ordering system kept some callers tied up for a half hour or more, didn’t allow customers to verify their orders before authorizing charges, didn’t provide total costs of orders and wouldn’t give customers a clear way to decline additional products.

The Division of Consumer Affairs had plenty of complaints — 340 of them from 2012 through July of this year. It also did several months’ worth of undercover work, buying items that included “Instabulbs,” the “Pocket Hose” and the “Olde Brooklyn Lantern” through Telebrands websites and the toll-free numbers in the firm’s TV ads and infomercials.

“This action against Telebrands alleges that consumers were repeatedly pressured through gimmickry, misrepresentations and high-pressure sales tactics to buy products they didn’t want,” Steve Lee, the acting consumer affairs director, said.

He added that return policies were not as represented in ads and on the company’s website and called Telebrands’s actions “unconscionable.”

Telebrands founder and President A.J. Khubani said in a statement, “We take pride that for more than three decades, tens of millions of consumers have trusted TeleBrands for delivering innovative products.”

A search of the Better Business Bureau website for Telebrands reveals a list of more than 200 alternate business names based on products sold, from AB King Pro to Zero Pain.

Khubani’s statement also said consumer satisfaction is “always our top priority.”

“We are confident that this matter with the state of New Jersey will be resolved in short order,” Khubani added.

The lawsuit claims customers often received merchandise they had not ordered; there were no instructions on returning unwanted items; and if they did return items, they had to do so at their expense. The suit also charges that when callers tried to reach customer service people, they were placed on hold for long periods or were disconnected.

The Consumer Fraud Act provides restitution of up to $10,000 per violation. Because Telebrands was operating under a consent judgment in 2001 for similar violations, New Jersey is asking for penalties of up to $20,000 per violation.

Consumers who believe they have been cheated or scammed by a business or suspect any other form of consumer abuse can file a complaint with the New Jersey Division of Consumer Affairs by calling 1-800-242-5846 (toll free within New Jersey) or 973-504-6200. Consumers also can file online at https://www20.state.nj.us/LPSCA_COMPL/ or download a complaint form to fill out and mail. Include copies of as much supporting documentation as possible.

Consumer Forum is a collaboration of the Bangor Daily News and Northeast CONTACT, Maine’s all-volunteer, nonprofit consumer organization. For assistance with consumer-related issues, including consumer fraud and identity theft, or for information, write Consumer Forum, P.O. Box 486, Brewer, ME 04412, visit http://necontact.wordpress.com or email contacexdir@live.com.

Two Deaths Reported with Ace Bayou Bean Bag Chairs; Recall Announced Due to Suffocation and Choking Hazards

Consumers should stop using this product unless otherwise instructed. It is illegal to resell or attempt to resell a recalled consumer product.

Recall date: August 22, 2014, Recall number: 14-261

Description

WASHINGTON, D.C. – The U.S. Consumer Product Safety Commission (CPSC) and Ace Bayou Corp., of New Orleans, La., are announcing the voluntary recall of about 2.2 million bean bag chairs following the deaths of two children.

The zippers on the bean bag chairs can be opened and children can then crawl inside, get trapped and suffocate or choke on the bean bag chair’s foam beads. The voluntary standard requires non-refillable bean bag chairs to have closed and permanently disabled zippers.

A 13-year old boy from McKinney, Texas died and a 3-year-old girl from Lexington, Ky. died after suffocating from lack of air and inhaling the chair’s foam beads. Both children were found inside the chairs.

The recalled bean bag chairs have two zippers that can be unzipped and opened, including one of the exterior cover and other directly underneath that zipper.  The recalled chairs with zippers that open were sold in a variety of sizes, shapes, colors and fabrics. They include round or L-shaped, vinyl or fabric, and are filled with polystyrene foam beads. They were sold in a variety of colors, including purple, violet, blue, red, pink, yellow, Kelly green, black, port, navy, lime, royal blue, turquoise, tangerine and multi-color.  The round bean bag chairs were sold in three sizes, 30, 32 and 40 inches in diameter. The L-shaped bean bag chair measures 18 inches wide by 30 inches deep by 30 inches high. “ACE BAYOU CORP” is printed on a tag sewn into the bean bag chair’s cover seam. They were made in China.

The recalled bean bag chairs were sold at Bon-Ton, Meijer, Pamida, School Specialty, Wayfair and Walmart stores and online at Amazon.com, Meijer.com and Walmart.com before July 2013 for between $30 and $100.

Consumers should check their bean bag chairs for any zippers that can open, take those that can open away from children immediately and contact Ace Bayou for a free repair kit to permanently disable the zippers so that they cannot be opened.

State Officials Issue Consumer Protection Alert Following Data Breach Announcement by Shaw’s Parent Company

Press Release

GARDINER – Governor Paul R. LePage joined officials at Maine’s Department of Professional and Financial Regulation to reassure consumers that state and federal laws are in place to protect them from major losses due to file breaches containing debit and credit card information, such as the one disclosed August 14 by AB Acquisition LLC, which operates Shaw’s supermarkets in Maine and other states.

 

Although it’s unknown whether consumers will be impacted by the data breach involving Shaw’s, the company indicates that stores in Maine were among those affected,” Governor LePage said. “I encourage people to closely monitor their credit and debit card statements, and to contact the financial institution that issued the card promptly if questionable charges appear.  Staff at Maine’s Department of Professional and Financial Regulation is also available to provide information and guidance.” 

The Bureau of Financial Institutions and Bureau of Consumer Credit Protection at the Department of Professional and Financial Regulation outlined the following information and guidance for consumers responding to news of a financial data breach:

  • Consumers should always thoroughly review credit and debit card statements from the card issuer, and also review all other account statements from their bank or credit union.
  • If consumers have online access to their credit or debit card information, they should review account activity as soon as possible, rather than waiting for the statement to arrive in the mail.
  • If a credit or debit card was used at a business that has experienced a data security breach, or there is uncertainty about whether a card was used, consumers should be especially diligent in evaluating charges or withdrawals on their statement.
  • Since the data breach involving Shaw’s reportedly began in June, consumers should review statements covering June to the present.
  • If unknown charges or other suspicious activity appear on the account, consumers should notify the financial institution that issued the credit or debit card.
  • Consumers do NOT need to contact the company that experienced the data breach, such as Shaw’s.
  • Consumers’ liability for unauthorized use of a CREDIT CARD is limited to $50.  If account numbers have been stolen, consumers have no liability for unauthorized use.  
  • Consumers noticing unauthorized activity on their DEBIT CARD resulting from a data breach have sixty (60) days from when the bank or credit union sent the statement to report it.  If consumers fail to notify the bank or credit union of unauthorized transactions within this time, they are liable for the amount of the unauthorized transactions. This 60 day timeframe applies ONLY when the card’s data has been compromised through a data breach, as in the Shaw’s case.  See below for details about when a DEBIT CARD has been lost or stolen.
  • When a DEBIT CARD has been lost or stolen, consumers have two (2) business days after learning of the loss or theft to notify their financial institution in order to limit their liability to $50. If they do not notify their bank or credit union about the lost or stolen DEBIT CARD within two (2) business days, consumers may be liable for up to $500 of the unauthorized transactions. If consumers do not notify their financial institution within sixty (60) days after being provided a monthly statement that lists a fraudulent debit, they can be liable for unauthorized withdrawals of any amount that occur after that 60 day period.
  • To be safe, DEBIT CARD holders should act immediately if they notice unauthorized withdrawals.
  • If impacted by unauthorized charges or withdrawals, consumers should first call the bank or credit union that issued the credit or debit card, and then follow up in writing to explain the problem.
  • Some banks and credit unions may issue new cards to customers whose credit or debit card numbers are known to have been compromised through a data breach.
  • Consumer may ask a financial institution to re-issue a new card if they have concerns about their account.
  • Again, consumers do NOT need to contact the business that was subject to the data breach; and they need to contact the bank or credit union that issued their credit or debit card ONLY if they notice suspicious activity on their statement.
  • For more information, contact the Bureau of Financial Institutions toll-free at 1-800-965-5235, or the Bureau of Consumer Credit Protection is 1-800-332-8529.

###

Flooded Vehicle Resale – WABI-TV

Posted Monday, August 18th, 2014 at 9:02 am.

VIDEO Russ and Joy discussed the precautionary measures you can take when looking at used cars, especially due to all of the recent flash flooding.

Some hints to look out for when purchasing a new vehicle to see if it was ever flooded include:

  • Pull out the seat belts. The portion of the belt that’s been retracted inside the seat may be muddy, mildewed or water-spotted if it has been flood-damaged.
  • Check for water rings on the engine block or radiator, mud and dirt under the dashboard, and corrosion, rust or flaking metal on the undercarriage.
  • Smell for mildew; lift carpets and floor mats, check inside the glove box, and look for dew or droplets in instrument clusters on the dashboard, as well as the inside and outside lights.
  • Look for water stains, silt or mud, mineral deposits, even sticks and twigs.
  • Feel the wiring – check for stiffness.

 

You can get a vehicle history for a fee from Carfax (www.carfax.com), Auto Check (www.autocheck.com) and Consumer Guide (www.auto.consumerguide.com).

On the home page of the National Insurance Crime Bureau website (www.ncib.org), VINCheck lets you check a Vehicle Identification Number (VIN) to see if a vehicle has been reported as salvage by its member insurance companies.

For more information on titles and title searches, including applicable fees, contact Maine’s Bureau of Motor Vehicles at (207)624-9000 or visit http://www.maine.gov/sos/bmv

Don’t plunge into buying a vehicle without a careful check for water damage

CONSUMER FORUM

Posted Aug. 17, 2014, at 12:17 p.m.

A truck drives through a flooded area of Poplar Street near Pushaw Lake after the spring melt in Maine caused flooding across the state in April 2014. Brian Feulner | BDN

If you’re offered a deal on a used vehicle that seems too good to be true, pull out the seat belts.

The portion of the belt that’s been retracted inside the seat may contain some surprises: muddy spots, mildew or other clues that the vehicle has spent some time immersed in water. Flood-damaged vehicles may contain a number of other surprises, none of them pleasant.

Last week’s heavy rains brought new warnings from consumer advocates and auto clubs about vehicles’ lives after the storm. Insurance companies will often “total” storm-damaged vehicles, then sell them to salvage companies.

Instead of being dismantled for parts, some of those vehicles may be resold to people who, in the words of an official from AAA, “bring varying levels of expertise to the restoration process.”

Those with lesser abilities may miss a few things, such as water rings that form on the engine block or radiator … mud and dirt under the dashboard (a tough place to clean) … and corrosion, rust or flaking metal on the undercarriage (a tip-off if the car is supposed to be new or “from a Southern state”).

Newer cars contain one or more computers, which are noted for running poorly (if at all) after a drenching. Water can make its way to the cylinders — through the exhaust system or air intakes — and resulting rust could mean lots of burned oil. If water gets into the transmission fluid via the dipstick tube, that transmission could soon be cooked.

If you’re suspicious, first trust your sense of smell. Wet carpets and seats will likely mildew, and the odor will be a tip-off. Look also for dew or droplets inside interior and exterior lights and dashboard instruments. Feel wiring under the dash and in the engine for unusual stiffness, and look for water stains or mineral deposits everywhere. Use a mirror to check under seats for rusty springs.

In March 2013, Eric Cioppa, Maine’s superintendent of insurance, warned consumers and businesses that roughly 250,000 vehicles were damaged in Hurricane Sandy. That figure reflected only insured vehicles; owners who dodge mandatory insurance laws may not be fussy about disclosing damage to a machine they’re trying to unload.

The National Association of Insurance Commissioners says most states require that titles indicate when a car or truck has sustained flood damage. However, the National Association of Insurance Commissioners says some wholesalers re-register vehicles in other states to avoid having damage noted and the value of the vehicles lessened. This process is called “title washing.”

Damaged cars registered in Arkansas, Colorado, Maryland, Mississippi, Montana, New Mexico and Utah may carry a “salvage title” with no indication that they’ve been flooded.

Dealers we’ve talked with locally say they have no worries about wholesalers in Maine being less than up-front about disclosing water damage. But they advise consumers to think carefully about private sales and investigate as fully as possible the history of vehicles before buying.

You can get a vehicle history for a fee from Carfax ( www.carfax.com), Auto Check ( www.autocheck.com) and Consumer Guide ( www.auto.consumerguide.com).

The homepage of the National Insurance Crime Bureau website ( https://www.ncib.org), VINCheck lets you check a Vehicle Identification Number (VIN) to see if a vehicle has been reported as salvage by its member insurance companies.

For more information on titles and title searches, including applicable fees, contact Maine’s Bureau of Motor Vehicles at 624-9000 or visit www.maine.gov/sos/bmv.

Consumer Forum is a collaboration of the Bangor Daily News and Northeast CONTACT, Maine’s all-volunteer, nonprofit consumer organization. For assistance with consumer-related issues, including consumer fraud and identity theft, or for information, write Consumer Forum, P.O. Box 486, Brewer, ME 04412, visit http://necontact.wordpress.com or email contacexdir@live.com.

Think it’s E-Z? – FTC Scam Alert

Love breezing through tollbooths with your E-Z Pass? A new scam is taking advantage of that.

Here’s how it works: You get an email that appears to be from E-Z Pass. It has the E-Z Pass logo, and says you owe money for driving on a toll road. It also provides a link to click for your invoice.

Guess what? The email isn’t from E-Z Pass. If you click on the link, the crooks running this scam may put malware on your machine. And if you respond to the email with your personal information, they’re likely to steal your identity.

This E-Z Pass email is the latest in a long line of phishing scams, where fraudsters pretend to be legitimate businesses as a way to get access to people’s personal information. But adopting a few online security habits can help you avoid phishing scams:

  • Never click on links in emails unless you’re sure who sent you the message.
  • Don’t respond to any emails that ask for personal or financial information. Email isn’t a secure way to send that information.
  • Type an organization’s URL yourself, and don’t send personal or financial information unless the URL begins with https (the “s” stands for secure).
  • If an email looks like it is from E-Z Pass, contact E-Z Pass customer service to confirm that it is really from them.
  • Keep your computer security software current.

If you might have been tricked by a phishing email:

  • Forward it to spam@uce.gov and to the company impersonated in the email.
  • File a complaint with the Federal Trade Commission at ftc.gov/complaint.
  • Visit the FTC’s Identity Theft website at ftc.gov/idtheft. Victims of phishing could become victims of identity theft, but there are steps to take to reduce your risk.

OnGuardOnline.gov has more information about phishing scams.

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