ICFE eNEWS #11-21 - July 15, 2011
Home Tell a Friend! Contact ICFE Link Exchange Search ICFE Subscribe ICFE About the ICFE
ICFE News Releases ICFE in the News Children and Money Financial Education Personal Financial Counseling with Paul S. Richard, RFC Credit Card Tips Credit File Correction Mending Spending Links and Resources Order Options
 

News from the Federal Trade Commission - Jult 2011

Penn Corner July 2011

Slim Chance

Fat Foe Weight Loss Website

To settle FTC charges, Beiersdorf, Inc., must stop claiming that people who regularly use its Nivea My Silhouette! skin cream can reduce their body size significantly. Beiersdorf marketed the cream in nationwide television ads, including one featuring a woman applying My Silhouette! cream to her stomach and thighs, and then fitting into an old pair of jeans. The company has agreed to pay $900,000 for refunds. Find the skinny on weight loss ads at FatFoe.

 

A Real Bad Deal

A Real Bad Deal

Ruling in favor of the FTC, a federal judge has ordered Real Wealth, Inc., and Lance Murkin, its owner, to pay $10.4 million â€" the amount people spent for the work-at-home and grant schemes the company sold. The defendants' direct mail campaign baited at least 100,000 people into buying products that supposedly would have allowed them to "collect up to $9,250" with a "simple 3 minute form," or "rake in up to $1,500+ per week" by learning "secrets" about the "$700 billion banking industry bailout." But few, if any, of the customers made the promised income with the defendants' products. The court also banned Real Wealth and Murkin from marketing o! r selling work-at-home or grant-related products and from helping others do so.

 

Modification Masquerade

Modification Masquerade

Three men who allegedly used their company to deceive more than 13,000 desperate homeowners have been ordered to pay nearly $19 million to provide refunds. According to the FTC, the trio behind First Universal Lending told homeowners that the company would negotiate with lenders to modify their mortgages to make them more affordable. They even encouraged the homeowners to stop making mortgage payments so the lenders would negotiate. But, the agency said, the defendants charged the homeowners up to $7,000 in advance fees and then did little or nothing to help them. The settlement order also bans the defendants from the mortgage relief services bus! iness. If you're having trouble making your mortgage payments, see ftc.gov/yourhome.

 

Not For Sale

Not For Sale

Teletrack, Inc., a company that sells credit reports to payday lenders, rent-to-own stores, and certain auto lenders, among other businesses, has agreed to pay $1.8 million to settle FTC charges that it violated the Fair Credit Reporting Act (FCRA). The FTC's complaint alleges that Teletrack created a database with information mined from its credit reporting business, and then sold the information to marketers looking to target potential customers. But a sales pitch isn't a "permissible purpose" under FCRA, said the FTC. Credit reports are supposed to help companies make decisions about whether to provide credit to their customers, and on what t! erms â€" not to serve as marketing tools.

 

Stopping Immigration Services Scams

Stopping Immigration Services Scams

The FTC has shut down a company for allegedly scamming immigrants. The agency claimed that the couple behind Loma International Business Group, Inc., lied about being authorized by the U.S. government to provide immigration services. This follows an earlier FTC action against Immigration Center, one of several associated companies allegedly masquerading as a U.S. government website, and tricking people into paying fees the company falsely claimed would cover processing fees charged by U.S. Citizenship and Immigration Services. Navigating U.S. immigration laws can be complex, and missing a deadline or choosing the wrong form can jeopardize a per! son's immigration status â€" or make it hard to remain in the U.S. legally. Immigrants with limited English language proficiency often are the target of scammers who call themselves "immigration consultants" or "notarios" or who falsely claim that they're attorneys. That's why the FTC is distributing education materials in English, Spanish, Chinese, and Korean, and rolling out six new radio public service messages in English, Spanish, and Mandarin Chinese about immigration scams.

 

Avoiding High Drug Prices

Avoiding High Drug Prices

The FTC has approved a final order settling charges that Hikma pharmacuticals PLC's acquisition of certain Baxter Healthcare Corp. assets was anticompetitive. According to the FTC, Hikma pharmacuticals' $111.5 million purchase of rival Baxter Healthcare would likely have led to higher prices for two generic injectable drugs used to control seizures and treat allergies, nausea, pain, and anxiety. To settle the charges, Hikma has agreed to sell the two drugs â€" phenytoin and promethazine â€" to X-Gen pharmacuticals, a firm with 40 products and an active product development pipeline. The FTC agrees that X-Gen can replace the competition tha! t would have been lost due to the merger.

 

"The real skinny on weight loss is that no cream is going to help you fit into your jeans. The tried and true formula for weight loss is diet and exercise."

— Jon Leibowitz, FTC Chairman

 

Free Delivery â€" to Your Inbox

If you like getting Penn Corner each month, you also might like some new email subscription options: you can sign up for email updates when we publish a new blog post or press release. Need the information in Spanish? We've got new Spanish-language email updates, too.

IN OTHER News:

·         FTC Testifies on Protecting Consumers' Privacy

 

·         FTC Roundtable to Focus on Motor Vehicle Sales and Financing


more >

Share This:

·         Downloading cool apps for your phone or other devices is easy, but who gets your information when you do? http://go.usa.gov/Zfw

 

·         Watts don't tell you how bright a light bulb is. Learn about lumens and the Lighting Facts label in this new video: http://go.usa.gov/Zfd


ICFE eNEWS is available FREE upon request by visiting our Web site and filling out the contact form, with the words "eNews request" included in the comments field. Please pass this eNEWS on to your peers and interested others and invite them to subscribe for free.

Sent by:

Paul S. Richard
President - Executive Director
Institute of Consumer Financial Education (ICFE)

About the ICFE:

The Institute of Consumer Financial Education (ICFE) was founded in 1982 by the late Loren Dunton (creator of the Certified Financial Planner (CFP) designation).  The ICFE is dedicated to helping consumers of all ages to improve their spending, increase savings and use credit more wisely. 
The ICFE is an award winning, nonprofit, consumer education organization that has helped millions of people through its education programs and Resources. It publishes the Do-It-Yourself Credit File correction Guide, which is updated annually. The ICFE has distributed over one million Credit/Debit Card Warning Labels and Credit/Debit Card Sleeves world wide.

The ICFE became an official partner with the Department of Defense/Financial Readiness Campaign in June of 2004.The ICFE was an active partner in the California Student Debt Resource Awareness Project (CASDRAP) which resulted in a new web site: (studentdebthelp.org).  CASDRAP disbanded in 2010, shortly after the web site project was completed.  In 2011 the ICFE assumed the single sponsorship of the (studentdebthelp.org) web site and is now responsible for its content and operation.

The ICFE is also an on-line help for consumers who spend too much.  ICFE's spending help was featured in PARADE Magazine in the Intelligence Report section. The money helps and tips are from the ICFE's Money Instruction Book, our course in personal finance.

Visit the ICFE's other web sites at: www.financial-education-icfe.org and studentdebthelp.org.  Both sites helps consumers and students with mending spending, learning about the proper use of credit, budget and expense guidelines, how to set up and implement a spending-plan and also how to access financial education courses and how to teach children about money. Other ICFE services include: Ask Mr. G,  a free eNews, and an online resource center for students, parents and educators, plus financial education learning tools and a book store.

Home ] ICFE News Releases ] ICFE in the News ] Children and Money ] Financial Education ] Resource Center ] Credit Card Tips ][ Credit File Correction ] Mending Spending ] Links and Resources ]  [ Online Store ]

 

Copyright ©  1997 - by Paul S. Richard
and the Institute of Consumer Financial Education, All Rights Reserved.
View our
Privacy Policy Our Terms and Conditions

Institute of Consumer Financial Education
PO Box 34070
San Diego, Ca 92163
Paul S. Richard, Executive Director
Phone 619-239-1401

FAX 619-923-3284

Questions for www.financial-education-icfe.org Click to go to Website Contact Us or 
Website Design Donated by Desgn School Programs

Please Tell An Associate, Friend or Family Member About the ICFE

Home ] ICFE News Releases ] ICFE in the News ] Children and Money ] Financial Education ] Resource Center ] Credit Card Tips ][ Credit File Correction ] Mending Spending ] Links and Resources ]  [ Online Store ]

 

Copyright ©  1997 - by Paul S. Richard
and the Institute of Consumer Financial Education, All Rights Reserved.
View our
Privacy Policy Our Terms and Conditions

Institute of Consumer Financial Education
PO Box 34070
San Diego, Ca 92163
Paul S. Richard, Executive Director
Phone 619-239-1401

FAX 619-923-3284

Questions for www.financial-education-icfe.org Click to go to Website Contact Us or 
Website Design Donated by Desgn School Programs