Guard Against Telemarketing Scams

Consumers lose about $40 billion every year to telemarketing fraud. Although most sales pitches are legitimate, you should be on guard whenever you receive a phone solicitation. Fraudulent telemarketing can come in the form of a direct cold call to your home, or it can result from your call responding to a print or broadcast ad.

The Telemarketing Sales Rule

This federal law applies to most telemarketing calls. Pursuant to this law:

• It's illegal for a telemarketer to call you if you've asked not to be called.
• Calling times are restricted to between 8 a.m. and 9 p.m.
• You must be told if it's a sales call, and be told who is calling before the pitch.
• You must be told that no purchase or payment is needed to win a prize. Hang up if you're asked to pay for a prize.
• It's illegal for telemarketers to misrepresent any information about their goods or services. They can't lie in order to get you to buy!
• Telemarketers must tell you the total cost of the product or services.
• You do not have to pay for any credit repair, money recovery services, or loan services until these services have been delivered.

The Rule does not apply to calls made by you in response to a general media advertising, calls initiated by you not responding to any solicitation, catalog sales, sales not completed until there is a face-to-face meeting, business-to-business calls, and sales of pay-per-call services or sales of franchises.

Things You Can Do To Guard Against Telemarketing Fraud

• Keep the above information near the phone. Legitimate companies will follow the above rules. Don't deal with companies that won't!
• Take you time, and ask for written information before buying
• Be careful about what you say to a telemarketer. A verbal agreement may obligate you to buy.
• Don't send money by courier, overnight mail, or wire, to anyone who insists on immediate payment.
• Unless you are sure of who you are dealing with, don't give out sensitive information such as your Social Security number, credit card numbers, or bank account numbers.
• Call the Mayor's Office of Consumer Affairs and Licensing at 635-3834 if you have any questions.