FTC crackdown on illegal robocalls praised

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Thursday, November 1, 2012

Consumers Union praises FTC crackdown on “Cardholder Services” robocalls

WASHINGTON, D.C. – Consumers Union, the policy and advocacy division of Consumer Reports, today praised the Federal Trade Commission (FTC)’s legal action against five companies accused of making millions of illegal pre-recorded calls to pitch allegedly deceptive offers of reducing credit-card interest rates in exchange for upfront fees.
The FTC said the firms may identify themselves as being with “Cardholder Services,” suggesting they are associated with the consumer’s bank or credit card company.
Ellen Bloom, Director of Federal Policy for Consumers Union, said, “These calls aren’t just annoying.  The government says they’re illegal.  Good for the FTC.  We’re glad they’re taking a hard line against shady robocalls that may be trying to scam you with phony offers. These are serious allegations of telemarketers preying on people, even people on the do-not-call lists.  The complaints against these companies suggest a level of deception that is absolutely shameless.”

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Media contacts: David Butler, dbutler@consumer.org, or Kara Kelber, kkelber@consumer.org,202-462-6262