Consumer issues

November 4, 2009 -- (WASHINGTON, D.C.) – Today, U.S. Congressman Jason Altmire (PA-04) voted for legislation that will protect consumers from being hit with costly credit card fees and interest rate increases right before the holidays. The Expedited CARD Reform for Consumers Act (H.R. 3639) would ensure that several credit card reforms signed into law earlier this year will go into effect as soon as the President signs H.R. 3639 into law, rather than early next year. This bill passed today by a vote of 331-92.    » read more »

Taxpayers have until Nov. 30 to take advantage of the tax savings

Nov. 5, 2009 -- CHARLESTON, W.Va.— West Virginia Governor Joe Manchin today reminded West Virginians that the last day to take advantage of the State’s second ENERGY STAR® Sales Tax Holiday is Nov. 30, 2009.

Since Sept. 1, West Virginians will not have to pay sales and use tax on certain ENERGY STAR® qualified products valued at $5,000 or less. Tangible personal property for use in a trade or business is not subject to this sales tax holiday.    » read more »

Hall co-sponsored legislation would end credit card companies' tricks on Dec 1

November 2, 2009 --
Washington, DC – With credit card companies doubling interest rates on consumers and ramping up other unfair practices in advance of the Credit Card Holders Bill of Rights taking effect in February, U.S. Rep. John Hall (D-Dover) is pushing to speed up the effective date to December 1st to give consumers badly needed relief in time for the holiday season.    » read more »

October 30, 2009 -- The National Highway Traffic Safety Administration (NHTSA) is alerting consumers to immediately stop using Mia Moda Viva and Viva Supreme infant child restraint systems due to safety defects. Owners will need to obtain another seat; young children should never be transported in a motor vehicle without a proper safety restraint system.

Lerado, the manufacturer, is recalling 5,540 seats and bases because they could fail to adequately restrain a child in the event of a crash. The restraint’s harness splitter plate located on the rear of the seat has sharp edges which could cut the harness straps. In addition, the restraint’s base is vulnerable to cracking during a crash.    » read more »

November 3, 2009 -- As part of a continuing effort to identify the latest cyber crime trends and warn the public, the FBI today released the following information:

Within the last several months, the FBI has seen a significant increase in fraud involving the exploitation of valid online banking credentials belonging to small and medium businesses, municipal governments, and school districts. In a typical scenario, the targeted entity receives a “spear phishing” e-mail which either contains an infected attachment, or directs the recipient to an infected website.    » read more »

Debt-strapped consumers would get relief from unscrupulous industry practices

November 3, 2009 -- Consumer Federation of America (CFA) and 18 other consumer organizations filed joint comments with the Federal Trade Commission (FTC) supporting amendments to the Telemarketing Sales Rule that would protect debt-strapped consumers from unscrupulous practices by companies that offer to arrange payment plans with their creditors, get their interest rates or fees reduced, or settle their debts for pennies on the dollar.

In their comments, the consumer groups agreed with the FTC that some debt relief companies mislead consumers about the results they can expect and the impact that such services can have on their credit.    » read more »

Computer crimes make headlines but thieves prefer low-tech, old-fashioned theft

HARTFORD, Conn. -- Nov. 2, 2009-- Identity fraud increased substantially in 2008, reversing a four-year trend of decreasing incidents. Researchers say identity fraud increased by 22 percent last year and they anticipate another 22 percent jump in 2009, attributing the increases to crimes of opportunity driven by the economic downturn1.

What’s more, despite recent headlines and growing fears about online security and data breaches, old-fashioned theft is the most popular way thieves steal identities and perpetrate identity fraud.    » read more »

November 2, 2009 -- WASHINGTON – U.S. Senator Debbie Stabenow (D-MI) today announced her support for the Credit Card Rate Freeze Act of 2009, by signing on as a co-sponsor. This legislation will immediately freeze credit card interest rates on all existing balances for consumers. The bill serves as a supplement to the consumer protection measure, the Credit CARD Act, which passed earlier this year.

Under that law, beginning February 2010, credit cards can no longer arbitrarly raise interest rates, fees and finance charges on a customer’s existing balance. Credit card companies are currently using the grace period as an opportunity to raise interest rates and fees before the Credit CARD Act goes into effect.    » read more »

Unveils New Plan To Make Credit Reporting Companies Advertising 'Free' Credit Reports Actually Give You A Credit Report For Free - Bust Up Scam Once And For All

November 3, 2009 -- Today, U.S. Senator Charles E. Schumer announced he is urging the Federal Trade Commission to bust up the long-running scam of credit reporting companies duping millions of New Yorkers into buying credit monitoring services by offering a so-called “free credit report” and then tacking on a costly monthly subscriptions charge that can cost hundreds of dollars a year.    » read more »

Mortgagee Review Board proposes to permanently withdraw FHA approval from Financial Mortgage USA

October 30, 2009 -- WASHINGTON - The U.S. Department of Housing and Urban Development today announced that its Mortgagee Review Board (MRB) is proposing to permanently withdraw the HUD/FHA approval of Financial Mortgage USA, Inc., a Home Equity Conversion Mortgage (HECM or reverse mortgage) lender based in Honolulu, Hawaii.

HUD's MRB alleges the Company failed to implement an FHA-required quality control plan; separate its lending operations from those of its affiliated insurance company; conform to prudent lending practices; and properly provide borrowers with housing counseling services.    » read more »

Congressman joins colleagues in urging bailed out Wall Street firms to stop taking advantage of responsible customers

WASHINGTON, Oct 30 - Today Congressman Mark Schauer (D-MI) co-sponsored the Credit Card Rate Freeze Act, legislation that would immediately freeze interest rates on consumer credit card accounts ahead of federal credit card reform legislation slated to go into effect early next year.

Earlier this week, Schauer joined 45 of his House colleagues in sending a letter to the CEOs of Bank of America and Citigroup, which together have received $45 billion in federal bailout funds, urging them to reconsider their decision to charge new credit card fees on customers in good standing.    » read more »

October 29, 2009 -- WASHINGTON, March 31 –The Senate banking committee today narrowly approved and sent to the Senate legislation to ban abusive credit card practices.

Senator Bernie Sanders (I-Vt.) cosponsored the bill that cleared committee, but he said that when the legislation reaches the Senate floor he will press for a nationwide cap on credit card interest rates.

Sanders on March 12 introduced a measure to place a 15 percent ceiling on interest rates on credit cards and loans to consumers and businesses.

Banks that have received the largest taxpayer bailout in U.S. history, he said, should not be allowed to slap consumers with heavy fees on top of interest rates that have shot up to 30 percent or more.    » read more »

Bill Aims to Prevent Credit Card Issuers from Squeezing Americans in Final Months Before New Consumer Protections Take Effect

October 29, 2009 -- WASHINGTON, D.C. – Although landmark legislation protecting consumers from abusive and predatory practices used by credit card companies was enacted in May, credit card companies across the nation have been jacking up rates in an effort to squeeze customers before all of the new bill’s provisions can take effect.

In response, U.S. Senator Sherrod Brown (D-OH) has joined his colleagues on the Senate Banking Committee in introducing a bill that would immediately freeze credit card interest rates, fees, and finance charges on existing balances.    » read more »

October 26, 2009 -- Today Senate Banking Committee Chairman Chris Dodd (D-CT) will introduce a bill to immediately freeze credit card interest rates on existing balances.

The Credit Card Accountability, Responsibility, and Disclosure (CARD) Act enacted in May prevents arbitrary interest rate, fee and finance charge increases on a customer’s existing balance. Unfortunately, credit card companies have been jacking up rates in a last ditch effort to squeeze customers before all of the bill’s provisions can take effect.    » read more »

Gillibrand Says Over 900 Food Products Have Been Recalled for Various Violations from New York City Shelves Since 2005

October 18, 2009 -- New York, NY - In response to a new report out this month from United States Department of Agriculture (USDA) showing nearly 1 out of every 300 samples of ground beef contains E. coli, U.S. Senator Kirsten Gillibrand, the first New York senator to sit on the Senate Agriculture Committee in nearly 40 years, joined today with consumers who have contracted E. coli from contaminated food, plus medical and food safety experts to announce the E. coli Eradication Act.    » read more »