The FTC gets Rachel the Robocaller… again

June 14, 2016

Andrew Johnson

Division of Consumer and Business Education

Have you gotten pre-recorded sales calls from Rachel from Cardholder Services? Or Bank Card Services or Credit Assistance Program? You’ve been reporting these illegal calls, and the FTC continues to take action.

Today, the FTC and the state of Florida announced a lawsuit against Life Management Services, a company that the FTC says is behind hundreds of thousands of these calls.

According to the FTC, Life Management Services swindled people out of their money by offering two types of phony debt relief: credit card interest rate reduction services and credit card debt elimination services. The company promised lower interest rates or government funds to pay off debt, and asked people to make initial payments ranging from $500 to $20,000. But almost no one got the help that was promised.

This is one of six recent FTC cases that focus on illegal robocalls. How does the FTC build these cases? One critical tool is the FTC’s honeypot -- a large bank of phone lines designed to attract robocalls. That lets FTC investigators interact with robocallers, record the calls, and make undercover purchases. The FTC uses its honeypot to identify companies placing illegal calls and collect evidence of their illegal activities. It was particularly useful in the Life Management case announced today.

Hate Robocall Scams? The FTC Does, Too

An illegal robocall could be a scam. Learn what the FTC is doing to stop illegal robocalls, what to do if you get one, and how to block the number.

So, what do you do if you get another unwanted robocall?

Hang up. Don’t respond in any way. Pressing buttons to get you taken off a list could result in more unwanted calls.
Block the caller’s number. You have a few options forblocking unwanted calls, including call-blocking devices, mobile apps, cloud-based services, and services provided by your phone carrier.
Report it to the FTC at www.donotcall.gov or 1-888-382-1222.

Read on for more info and tips about robocalls.

Wednesday, June 15, 2016