USOBA would like to update you on the status of The Federal Trade Commission’s (FTC) amendment to the Telemarketing Sales Rule (TSR) as it applies to debt relief services. In a press announcement earlier this afternoon, Chairman Jon Leibowitz of the FTC announced a final amendment to the TSR.
An initial review has revealed that despite many positive consumer protective measures taking effect September 27, 2010, the amendment also includes a provision banning advanced fees effectiveOctober 27, 2010. The USOBA legislative team has promoted and advocated for a pay-as-you-go fee model that allows small businesses to collect fees for services provided while protecting consumers from heavy, up-front fees. Unfortunately, fee provisions in the rule provide that, “you can’t collect any fees from a customer before you have settled or otherwise resolved the consumer’s debts.”
USOBA has scheduled a member-wide, legislative conference call to address your comments, questions and concerns. Please see conference details below:
Who: USOBA Legislative Team and Membership
What: FTC Amendment to the TSR as it related to the Debt Relief Industry
When: Friday, July 30 at 1:30CST
Where: 978-964-0031 Passcode: 6327487#
We request that all participants review the information provided below and submit questions prior to or during the call via email to khowerton@usoba.org. Due to a high volume of participants, all lines will be muted and all comments, questions and concerns can be communicated to call participants via this email address.
FTC Press Release: http://www.ftc.gov/opa/2010/07/tsr.shtm
FTC TSR Guide for Debt Relief Companies:http://www.ftc.gov/bcp/edu/pubs/business/marketing/bus72.pdf
FTC TSR Final Rule: http://www.ftc.gov/os/2010/07/R411001finalrule.pdf
Thank you for your immediate attention to this matter, and we look forward to tomorrow’s call.
Sincerely,
The USOBA Team
www.USOBA.org
1-877-76-USOBA
713-456-2837 fax
