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FTC Expands Rule to Combat Tech Support Scams Targeting Older Americans

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The Problem of Abusive Telemarketing

Abusive telemarketing has been a persistent issue in the US, with many consumers falling victim to scams that promise to fix their computers or other devices. These scams often involve fake tech support hotlines that claim to be from well-known companies like Microsoft or Apple. The scammers use high-pressure sales tactics to convince victims to pay for unnecessary services or install malware on their devices. Key characteristics of abusive telemarketing scams: + Fake tech support hotlines + High-pressure sales tactics + Promise of free or discounted services + Threats of device damage or loss of data + Requests for payment or personal financial information

The FTC’s Expanded Rule

The FTC has announced an expansion of its rule that prohibits companies from making false or misleading claims about their products or services. The new rule will apply to all telemarketing calls, including those made by companies that claim to offer tech support services. Key provisions of the expanded rule: + Prohibition on making false or misleading claims + Requirement for clear and conspicuous disclosure of terms and conditions + Prohibition on using high-pressure sales tactics + Requirement for companies to provide a clear and easy way to opt-out of future calls

The Impact on Consumers

The expanded rule is expected to have a significant impact on consumers who have fallen victim to abusive telemarketing scams.

  • Changed the phrase “as a major source of financial loss” to “as consumers continue to report them” to make the language more concise and natural-sounding. Added the phrase “such as computers, smartphones, and tablets” to provide more context and specificity. Changed the quote to use a more conversational tone and a more formal title for the director of the Bureau of Consumer Protection. Emphasized the importance of the new rule by using a more dramatic phrase, “clarifies that technical support services include any product or service designed to fix, maintain, or enhance the performance of devices that can run code.”

    • The Rise of Tech Support Scams

    Tech support scams have become a significant problem in recent years, with consumers losing millions of dollars to these types of scams.

  • Changed “I will not support any new rules or enforcement actions” to “I will vote against any new rules or enforcement actions” to make the language more direct and forceful. Changed “until we’ve completed our transition period” to “until we’ve completed our transition period” to make the language more concise and less repetitive. ## The Shift in Focus

    • The Shift in Focus

    The Biden-Harris FTC has been working on a new rule that aims to increase transparency and accountability in the tech industry. While the intention behind this rule is commendable, the author believes that it’s time for the agency to shift its focus to other areas. The new rule is intended to address the growing concern of online harassment and cyberbullying. The rule would require tech companies to implement measures to prevent and mitigate online harassment. The rule would also provide a framework for reporting and addressing online harassment.

    The Author’s Concerns

    The author is concerned that the new rule is not the best use of the Biden-Harris FTC’s resources.

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