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Consumerinfo.com, doing business as Experian Consumer Direct, will pay $300,000 to settle Federal Trade Commission charges that ads for its “free credit report” offer failed to disclose adequately that consumers who signed up would be automatically enrolled in a credit- monitoring program and charged $79.95. The FTC alleged that the failure to clearly disclose the enrollment and charges violated a previous settlement.

In August 2005, Consumerinfo.com, paid $950,000 to settle FTC charges that it deceptively marketed “free credit reports.” According to the FTC, Consumerinfo offered consumers a free copy of their credit report and added that they would provide “30 FREE days of Credit Check Monitoring.” The FTC alleged that Consumerinfo’s advertising and Web sites failed to explain adequately that after the free trial period for the credit-monitoring service expired, consumers automatically would be charged a $79.95 annual membership, unless they notified the defendant within 30 days to cancel the service. Consumerinfo billed the credit cards that it had told consumers were “required only to establish your account” and, in some cases, automatically renewed memberships by re-billing consumers without notice. In addition to the $950,000 payment, the settlement required Consumerinfo to pay redress to deceived consumers, barred deceptive and misleading claims about “free” offers, and required clear and conspicuous disclosure of terms and conditions of any “free”offer.

The FTC alleges that Consumerinfo.com ran ads after the settlement that violated the disclosure requirement. The settlement requires Consumerinfo to give up $300,000 in ill-gotten gains, and bars it from misrepresenting any affiliation with the annual credit report available to consumers under the Fair Credit Reporting Act.

The stipulated judgment and order named Consumerinfo.com, Inc., doing business as Experian Consumer Direct, Qspace, Inc., and Iplace, Inc.

The Commission vote to accept the supplemental stipulated judgment and order was 5-0. It was filed in United States District Court for the Central District of California in Los Angeles.

NOTE: Stipulated judgments and orders for permanent injunction and monetary relief are for settlement purposes only and do not constitute an admission by the defendant of a law violation. Stipulated judgments have the force of law when signed by the judge.

Posted under Customer Service, Finance

NAFTA boosters are boosting their usefulness after EPA Assistant Administrator Jim Gulliford announced that the U.S. Environmental Protection Agency and the Canadian Pest Management Regulatory Agency have given the first joint approval of a “harmonized label” for a pesticide product. The pesticide product is called Far-Go Granular Herbicide in the United States (EPA reg. 10163-287) and Avadex MicroActiv Herbicide in Canada and is registered for use on wheat, barley, beets, lentils and peas.

“As a result of extraordinary collaboration and leadership on the part of governments, growers, and pesticide producers, now joint U.S./Canadian pesticide labels are a reality,” said EPA Assistant Administrator Jim Gulliford. “Joint approvals maintain high safety standards, help ensure producers have pest control tools available, and advance the goal of a North American market for pesticides.”

A harmonized label allows for cross-border movement of pesticide product since the harmonized package labeling satisfies the regulatory requirements in both countries with unique use directions to accommodate differences in the two countries’ use patterns. Thus, the harmonized labels safeguard public health protections in both the United States and Canada.

Currently, 12 more pesticide products are in the pipeline for NAFTA label development. Besides making more choices available, the end result could be lower prices for consumers says Consumer Help Web president Joan Bounacos. “More products mean more choice and that ultimately leads to a wider range of prices,” said the consumer advocacy company’s CEO. “NAFTA is just one mechanism that allows trade to flow freely between partner countries and increase the choices available. Higher end products will naturally move to that end of the cost scale while other products fight to be the low cost provider. This creates more job, saves consumers money and even brings about more jobs. It’s a win-win-win scenario.”

Posted under Products