Exam 41: Consumer Protection

Sue has a major store's credit card. On Monday she charged a $47.90 sweater and then lost the card. Myra found it Monday and charged a $100 scarf and $400 purse. Sue missed her card at 8 A) $47.90. A)m. Tuesday and called the store. That day, Myra charged a coat for $4,000. Sue's bill was $4,547.90. Sue owes: B) $547.90. C) $97.90. D) $4,547.90.

Most state attorneys general:

The Magnuson-Moss Warranty Act applies to all sales of goods covered by the Uniform Commercial Code.

Ronald Beeb, who lives in Cleveland, receives a mailing from Florida from the SwampLand Reclamation Project. It states that the Beebs can purchase one-acre sites as part of a newly planned development of 200 lots located in Leon County, Florida. The Beebs contact the company and are given a purchase agreement but no additional information. They sign the purchase agreement and send it back. Then, a week later they decide they would prefer to winter in either New Zealand or Australia. Can the Beebs get out of the contract?

Federal regulation prohibits a credit seller or lender from obtaining a nonpossessory security interest in household goods if the interest is not a purchase money security interest.

The Fair Credit Reporting Act applies to consumer reporting agencies.

Ellen, age 25, was recently divorced and has applied to Mayberry Bank for a loan. The bank, as regulated by the Equal Credit Opportunity Act:

The Fair Debt Collection Practices Act defines the following practices as abusive, EXCEPT: A) a non-lawyer bill collector representing himself as a lawyer. A)m. B) a creditor, using his own name, telephoning the debtor at 7 C) a debt collector telephoning the debtor at inconvenient hours. D) using obscene language.

The Federal Trade Commission Act allows the FTC to:

In order for a full warranty to be given for a consumer product, the manufacturer must provide that:

Which of the following best expresses the policy behind the Truth-in-Lending Act?

If a debtor defaults on the minimum payment of a credit contract, all states would allow the creditor to:

The Credit Card Fraud Act does not contain criminal penalties for violations of its provisions.

The Fair Debt Collection Practices Act prohibits:

The Magnuson-Moss Warranty Act contains disclosure and labeling requirements for sellers of consumer products containing a written warranty.

A business, according to the FTC:

What are the remedies available for the Federal Trade Commission?

One difference between a full and a limited warranty is that in a limited warranty, the manufacturer may, if reasonable, limit the warranty of merchantability to two years.

If an advertising statement is technically true but may tend to mislead, the FTC can still require a company to stop using it.

The Fair Debt Collection Practices Act requires a debt collector to provide the consumer with a written notice. What information must be contained in this notice?