SCDCA Advises Consumers Of New Identity Theft Protection

The recently enacted Financial Identity Fraud and Identity Theft Protection Act (FIFITPA) enables South Carolina consumers to place a security freeze on their credit report free of charge.

Placing a freeze on your credit report prevents anyone from accessing it without your permission, reducing the risk of identity theft. Freezing your credit will not affect your credit score or rating and is completely free of charge.

Consumers considering freezing their credit report will still enjoy fast access to their report. You can temporarily “thaw” or permanently remove the freeze at any time, for any reason. Access to the report must be granted by the credit reporting agency within 15 minutes of your request.

To place a freeze on your credit report, you must contact each of the credit reporting agencies by either certified mail, telephone, or through their website. The credit reporting agency has up to 10 days to provide you with a PIN that will enable you to thaw or permanently lift the freeze as necessary.

Equifax

Phone: 1-800-685-1111

Mail:    Equifax Security Freeze

             P. O. Box     105788

             Atlanta, GA     30348

             Website:  www.freeze.equifax.com

Experian

Phone: 1-800-972-0322

Mail:     Experian

               P. O. Box 9554

               Allen, TX       75013

              Website: www.experian.com/freeze

Transunion

Phone: 1-888-909-8872

Mail:   Transunion

            P. O. Box 6790

            Fullerton, CA     92834

             Website: https://annualcreditreport.transunion.com/fa/securityFreeze/landing

For more information about FIFITPA or credit report freezes, contact the Public Information Division at (803) 734-4190, 1-800-922-1594 (toll-free in SC), or online at www.scconsumer.gov and click on Live Chat.

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South Carolina Department Of Consumer Affairs Warns Of Consumer/Business Fraud In The Food Service Industry

The South Carolina Department of Consumer Affairs (SCDCA) has been contacted by several consumers and food service vendors warning of a scam targeted to the Food Service Industry.

An organization calling itself the South Carolina Food Service Compliance Center, operating out of a mailbox rental center in Columbia, SC is sending out mass mailings to food service locations in the state. The official looking “Compliance Alert” implies that a “new” law in South Carolina requires a sign to be posted advising employees to wash their hands. The organization further offers to provide these signs at the low cost of on $19.95 each.

This is not a new law and has been in existence for years. However, no consumer or business has to purchase the hand washing requirement signs. These signs are provided free by the SC Department of Health and Environmental Control.

This scam is a “retread” and was first reported in South Carolina in 2006. This is also a variation on a scam that Consumer Affairs warned on last year. Small businesses were targeted with mail purporting to be from the US Government requiring that OSHA signs be placed in all employee areas and they were offering to sell the signs for varying fees. While not illegal, business owners could get those signs for free.

For more information on this scam or other consumer issues, contact the Public Information Division at (803) 734-4190, 1-800-922-1594, or online @ www.scconsumer.gov & click on Live Chat.

Consumers Should Dispute Erroneous Charges

A quarter is a quarter. In a tough economy, however, a quarter is worth a lot more, especially if multiplied millions of times over. Sadly, a group of scammers were quick to act on this fact. Using stolen credit card account numbers, scammers charged 25 cents to the accounts of millions of consumers across the nation. While the charges were erroneous, many consumers ignored the charge despite the fact that the company didn’t even exist. After all, it was only a quarter.

The South Carolina Department of Consumer Affairs (SCDCA) has received a number of similar calls from concerned consumers with inaccurate charges on their credit card or bank account numbers. Charges may be as small as a few dollars; others may be as much or more than $30.00. While invalid charges may be the result of scammers creating spoof companies, some mistaken charges may appear from legitimate companies. Regardless of the amount or the source, consumers should dispute incorrect or unidentified charges.

What Exactly Should You Do?

• Dispute the charge with your credit card company
• File complaints with the following federal agencies:

           1) Federal Trade Commission (FTC) at www.ftc.gov

           2) Internet Crime Complaint Center at www.ic3.gov

           3) Bureau of Justice Assistance

• Monitor your account at least once a week for charges

Consumers are also encouraged to report erroneous charges to the Department of Consumer Affairs to improve education and outreach efforts. For more information, contact the Public Information Division at (803) 734-4190, 1-800-922-1594 (toll-free in SC), or online at www.scconsumer.gov and click on Live Chat.

S C Department of Consumer Affairs Issues Tips About Fitness Club Memberships

The New Year offers everyone an opportunity for a fresh start.

 For many consumers, the first step is joining a fitness club to drop those holiday pounds. The convenience, accountability, and resources of fitness clubs is an attractive offer. Unfortunately, the economic climate has caused a number of facilities to close in the last year. The South Carolina Department of Consumer Affairs (SCDCA) works diligently to ensure refunds to consumers in these scenarios.

Consumers can, however, reap all the benefits of a fitness club membership without the worry of lost dollars by asking the following questions before signing on the dotted line.

Does the fitness club have a certificate issued by SCDCA displayed?

Fitness facilities must be licensed by SCDCA and must renew their certificate of authority every year. If the facility does not have a certificate posted or the certificate has an expired date, steer clear.

Does the fitness club have a surety bond or letter of credit?

Ensure the money invested in a long-term contract is backed, should the facility have financial difficulties down the road. Fitness facilities must have a surety bond or letter of credit for contracts that obligate the consumer for longer than three months or greater than $200.

Does your contract include an automatic renewal clause?

Automatic renewal clauses may be included in your contract allowing the fitness club to extend the contract and continue to draft or require payments. By law, the prospective member must sign or initial the automatic renewal clause when finalizing the original contract. The member must sign or initial the clause again 30 days before the original contract expires. Automatic renewal clauses may also be called “tacit renewals” and may be associated with phrases like “continuous,” “at current rates” or “until I cancel.”

Have you read and understood the contract word for word?

Fitness club contracts longer than three months or greater than $200 may only be cancelled in four situations:

1. Three-day right to cancel
2. Relocation at least 50 miles away
3. Permanent disability
4. Death

The club may offer better cancellation provisions in your contract. Ask a representative before signing. Consumers should also keep in mind that items such as aerobic classes or child care may incur extra costs. Make sure you understand the terms and conditions of your contract, including payment method and schedule, as well as cancellation policies.

By keeping these tips in mind, consumers will be on their way to losing pounds and not dollars in 2009.

For more information, contact the Public Information Division at (803) 734-4190, 1-800-922-1594 (toll-free in SC), or online at www.scconsumer.gov & click on Live Chat.

South Carolina Department of Consumer Affairs Issues Critical Warning Regarding Tax Rebate Scam

The possibility of another economic stimulus check for consumers has led to a resurgence in the tax rebate scam. The scam initially appeared a year ago when the first economic stimulus package was proposed by President George W. Bush, which included a tax rebate check for consumers.

Pretending to be government officials, scammers attempted to solicit personal information, including social security and bank account numbers from consumers.

The South Carolina Department of Consumer Affairs warns consumers a new variation of this scam has been uncovered in South Carolina. The scam begins with a fake check and the promise of thousands of dollars in the form of a “secondary stimulus check” if you take the time to register. A telephone number is provided for more information and if you call the number it takes you to a pre-recorded message pitching an information packet consumers can purchase. The packet instructs consumers how to make money on “foreclosed homes.” The scammers claim you can receive thousands of dollars in properties.

This is a scam. There is no second stimulus check at this time. There are no government programs that will pay you thousands of dollars to buy foreclosed properties.

If you receive one of these letters or telephone calls, report it to the South Carolina Department of Consumer Affairs or destroy it. If you have already fallen prey to this scheme, please contact the Department immediately.

Consumers are reminded:

• Any unsolicited check in the mail from a business, organization, lottery or sweepstakes is fraudulent.
• You should never give out your personal information over the phone to unknown callers or businesses.
• No one from the government will ever call you to verify any personal information or to “qualify” you for a stimulus check.

For more information, contact the Public Information Division at (803) 734-4190, 1-800-922-1594 (toll-free in SC), or online at www.scconsumer.gov & click on Live Chat.