Exam 39: Consumer Protection

Millie ordered clothes from a mail order catalog.No time was specified as to when the goods would be shipped.In such a case the FTC requires that the company must ship the goods to Millie

Don received in the mail merchandise he never ordered.The package was addressed to him,and when he opened it he saw a brochure stating he could keep the products for only $19.95.If he chose not to keep the products he was instructed to mail them back within five days.Which of the following is correct?

The Fair Debt Collection Practices Act prohibits which of the following practices?

Richard received his credit card bill and noticed an error.He wrote to the company the next week,pointing out the error in his bill.Under the law,what is the credit card's obligation once it receives Richard's letter?

Consumers may keep as a gift any unordered merchandise that they receive in the mail.

If a consumer cancels a door-to-door sale within the required time,how many days does the seller have to return the buyer's money?

Under the TILA,a qualified mortgage (QM)

Consumers have a right to

For the FTC to consider a practice to be unfair,it must meet a three-part test.Which of the following is NOT one of those tests?

Ron's Furnace Repair advertised it would inspect any homeowner's furnace for free.Janet had Ron's come to inspect her furnace.The servicewoman dismantled the entire furnace then refused to put it back together unless Janet paid her $250.The FTC considers such a practice to be

Mabel is a single 40-year-old who has borrowed money on numerous occasions.Her payment record has been good,except she has been delinquent in paying a few bills.Which of the following is true regarding credit information gathered on Mabel?

The Consumer Financial Protection Bureau (CFPB)was created to represent consumers by filing suit in federal court asking for damages on behalf of the injured consumer.

Brooke uses her credit card to purchase a lawn mower at the local "big box" hardware store,but when she tries to use the mower for the first time,she finds it is not self-propelled as advertised.Does she have any recourse?

"Bait and switch" tactics are not a violation of FTC rules if the merchant does not have enough stock on hand to meet reasonable demand for the advertised product.

Under FTC rules,a customer can cancel a door-to-door sales contract within

Tweeted ads must clearly indicate that they are,in fact,ads by including some equivalent of "ad" or "sponsored."

Discuss the major provisions of the Credit CARD Act.

The Federal Trade Commission Act considers the terms "deceptive" and "unfair" to be synonymous when determining what practices should be prohibited.

An employer cannot request a consumer report on a potential employee without that person's permission.

Commonground Collections has been hired to collect past-due medical bills for Lakeview Physicians.List some activities that Commonground may not do pursuant to the FDCPA.