The Survive and Thrive Boomer Guide

Online grocery retailers heavily promote unhealthy foods, analysis shows

Online grocery platforms often undermine Americans’ efforts to eat well, according to a review of retailers’ promotions, pricing, placement, and delivery by the Center for Science in the Public Interest, a consumer advocacy group. More than half of food and beverage promotions on online retailers’ home pages and search result pages were for unhealthy products, and more than three-quarters of the food- and beverage-related emails that retailers sent promoted unhealthy products.

The center evaluated the practices of six national retailers operating in the Washington, D.C., area: Amazon Prime Now, FreshDirect, Peapod (Ahold Delhaize), Safeway, Target, and Walmart Grocery. (The latter two weren’t delivering in the District of Columbia during the early 2019 study period, so weren’t included in the ordering and delivery parts of the assessment.)

The center’s researchers created two customer accounts and collected promotional data on each retailer’s home page, and promotional, pricing, and search result data on each retailer’s search result pages for five staple products: milk, bread, cereal, drinks, and chicken. The researchers also scored the quality of the produce delivered.

FDA bans e-cigarettes that appeal to children, including fruit and mint

The U.S. Food and Drug Administration issued an enforcement policy Thursday against some flavored e-cigarette products that appeal to kids, including fruit and mint flavors. Under this policy, companies that don’t stop the manufacture, distribution, and sale of unauthorized e-cigarettes, other than tobacco or menthol, within 30 days risk FDA enforcement actions.

“As we work to combat the troubling epidemic of youth e-cigarette use, the enforcement policy we’re issuing today confirms our commitment to dramatically limit children’s access to certain flavored e-cigarette products we know are so appealing to them – so-called cartridge-based products that are both easy to use and easily concealable,” said FDA Commissioner Stephen M. Hahn, M.D.

Hahn said the action along with the recent legislation increasing the minimum age of sale of tobacco to 21 will address the public health threat of youth use of e-cigarettes.

Court orders mortgage relief fraudsters to pay $18.5 million

A federal court ruled in favor of the Federal Trade Commission Monday in a case against the operators of a scheme that deceived financially distressed homeowners by falsely promising to make their mortgages more affordable. The defendants also charged consumers illegal advance fees and unlawfully told consumers not to pay their mortgages to or communicate with their lenders.

The case was filed by the FTC in January 2018, and the court issued a temporary restraining order against the company then.

In granting the FTC’s motion for summary judgment, the court found that the defendants’ practices violated the FTC Act and the Mortgage Assistance Relief Services Rule.

Tips for buying gift cards

Gift cards are a popular, convenient gift for the holidays. This holiday season, more than half of Americans plan to buy gift cards, according to the National Retail Federation. They’ll purchase an average of four gift cards worth about $49 each. Spending on gift cards is expected to reach $29.9 billion, up from last year’s $27.6 billion.

Although gift cards seem straightforward, it’s important that both the giver and the recipient read the details for each card to avoid problems, and to find out if additional requirements have been put on by the merchant or bank issuing the card, according to the Federal Deposit Insurance Corporation.

Protections

Federal law provides protections for consumers who purchase gift cards, including store and restaurant gift cards, known as merchant cards. These cards can only be redeemed at the stores and restaurants that sell them. Bank gift cards – which carry the logo of a payment card network, for example, Visa or MasterCard – are also subject to federal law protections and can be used wherever the brand is accepted.

Proposed model annuity regulation benefits industry, not consumers, consumer groups say

State insurance regulators on the National Association of Insurance Commissioners’ Life Insurance and Annuities Committee should reject a proposed industry friendly, anti-consumer annuity model regulation, the Center for Economic Justice and Consumer Federation of America said in a letter to the committee. They should continue work to create a true “best interest” standard of care for insurers, agents, and brokers to use when selling complex annuity products to consumers.

“The fact that all the industry trade associations of insurers and agents selling annuities are euphoric about the proposed revisions while consumer groups are aghast at the anti-consumer nature of the proposal is stark evidence of how biased the proposal is in favor of industry interests over consumers,” said Birny Birnbaum, executive director for the center. “By allowing insurers and producers to falsely claim to be acting in consumers’ best interest when there is no such requirement and when there is no meaningful constraint on conflicts of interest that would compromise advice given to a consumer, the proposal will mislead consumers into expecting protections the rule does not provide.”

The center and federation point to shortcomings in the current draft:

University of Phoenix settles with FTC for $191 million over deceptive ads

The University of Phoenix and its parent company, Apollo Education Group, will settle for a record $191 million to resolve Federal Trade Commission charges that they used deceptive advertisements, which falsely described their relationships and job opportunities with companies such as AT&T, Yahoo!, Microsoft, Twitter, and The American Red Cross.

Under the settlement approved by the FTC, UOP will pay $50 million in cash as well as cancel $141 million in debts owed to the school by students who were harmed by the deceptive ads.

"This is the largest settlement the Commission has obtained in a case against a for-profit school,” said Andrew Smith, director of the FTC’s Bureau of Consumer Protection. “Students making important decisions about their education need the facts, not fantasy job opportunities that do not exist."

Watch out for scammers saying they’re from the FTC

Did you recently get an official letter from the Federal Trade Commission?

Be careful. Scammers have been faking official-looking FTC letterhead to write frightening messages to people, threatening them.

A Pennsylvania man received a letter saying his online and financial activities put him under suspicion of money laundering and terrorism. And, all his activities would “be under review.”

Attorneys generals ask FTC to protect consumers from bogus ‘free trial offer’ deals

Twenty-three attorneys general urged the Federal Trade Commission Tuesday to adopt regulations to prevent consumers from being tricked by negative option marketing schemes. In a letter to the agency, they argue that the FTC should use its rulemaking authority to expand existing regulations. 

“We’re urging the FTC to take action and use its power to protect consumers from the harm of predatory marketers,” said New York Attorney General Letitia James.

With negative option marketing, a marketer makes an offer and the consumers’ silence or failure to respond is considered acceptance.

What to buy and not buy in December

Black Friday and Cyber Monday have come and gone, but there are still deals to be had. Watch the sales, and you can find bargains. However, there are some items you want to avoid buying in December. Here’s what Dealnews.com recommends you look for and avoid in December:

What to buy before Christmas

• DVDs and blu-rays
• Gift cards
• Jewelry
• Headphones

What to buy after Christmas

• Toys, but particularly video games
• Holiday decor

What not to buy in December

• Exercise equipment
• Bedding
• Winter clothing

For details, see “The Six Best Things to Buy in December (Including After Christmas Sales).”

Copyright 2019, Rita R. Robison, Consumer and Personal Finance Journalist

Use caution when donating to a charity on Giving Tuesday

Giving Tuesday, a day that follows Thanksgiving on Thursday, Black Friday, Small Business Saturday, and Cyber Monday, is designated for giving to charities and organizations.

It’s a good reminder that charitable organizations need funding as Americans are caught up in the frenzy of holiday spending. However, caution is needed so that your money goes to worthwhile charities.

Here are tips so that your Giving Tuesday donations go to effective organizations: