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Tools to Fight Telemarketing Fraud

While many phone sales pitches come from legitimate organizations offering genuine products and services, every year thousands of consumers lose money — sometimes their life savings — to telemarketing fraud.

The Federal Trade Commission, the nation’s consumer protection agency, wants you to know that anyone can be the victim of a telemarketing scam. That’s why every sales call you get is an opportunity for a gut check. Ask yourself these questions, and if you doubt a caller’s intentions or don’t like the caller’s methods, end the call.

• Who's calling — and why? Telemarketers have to let you know it's a sales call. They also have to tell you the name of the seller and what it is they're selling — before they make their pitch. If they don't, say "no thanks," and hang up.
• What's their hurry? Fast talkers who use high-pressure tactics may be hiding something. Take your time. Most businesses will give you time to think it over, and most will have written information available.
• If it's free, why are they asking me to pay? You shouldn’t have to pay anything to redeem a prize or gift. Free is free. If you have to pay, it's a purchase.
• Why am I "confirming" my account information — or giving it out at all? Sometimes callers already have your billing information and just want you to say okay. They keep the recording as “proof” that you approved the charge. Other times, scammers are trying to get personal or financial information so they can steal your identity.
• What time is it? The law allows telemarketers to call only between 8 a.m. and 9 p.m. A seller calling earlier or later than that is ignoring the law.
• Do I want more calls like this one? If you don't want a business to call you again, say so. If they call back when you've asked them not to, they're breaking the law.
• Isn't there a National Do Not Call Registry? Yes, and putting your number on the Registry will stop most telemarketing calls. You’ll still get calls from charities and companies you already do business with, unless you ask them to stop calling you, too.

The FTC’s new consumer education campaign — Who’s Calling? Recognize & Report Phone Fraud — uses videos, articles, and links to other resources to educate consumers about how to recognize a telemarketing scam. To learn more about how to protect yourself from phone fraud and report a scam, visit ftc.gov/phonefraud, or www.ftc.gov/fraudetelefonico for a Spanish version of the site. You’ll also learn how to place your number on the National Do Not Call Registry to get fewer unwanted telemarketing calls.

This article was developed by the FTC as part of its ongoing work to educate consumers about telemarketing fraud. It can be reprinted, posted, or adapted by any business, community, or social organization to help its members, employees, or audiences learn more about fraudulent telemarketing.

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