FCC Takes Action Against Auto Warranty Robocall Scams

What’s the story? 

• The Federal Communications Commission (FCC) authorized phone companies to cut off auto warranty robocall scams. The agency believes more than 8 billion such robocalls have been placed in an effort to scam consumers. Telecom companies received public notice from the regulator’s Enforcement Bureau advising them to block voice calls from these robocallers and be on the lookout for this traffic. 
• Ohio Attorney General David Yost (R) filed a lawsuit to end the robocalls that have bombarded American customers. According to Attorney General Yost, the defendants ran an elaborate and illegal robocalling system of up to 77 million calls per day to create leads for sales. Many calls were about illegitimate “auto warranty” agreements. 
• The FCC is sending cease and desist letters to targets in the case. Individuals Roy Cox, Jr., Aaron Michael Jones, and Stacey Yim, along with their Sumco Panama companies and international associates are believed to be behind the calls. This is the second lawsuit against Cox and Jones for making robocalls. 
• FCC Chairwoman Jessica Rosenworcel confirmed that the agency opened a case to investigate the potentially illegal activity:

“Billions of auto warranty robocalls from a single calling campaign… Auto warranty scams are one of the top complaints we get from consumers and it’s time to hold those responsible for making these junk calls.”

• The lawsuit accuses the defendants of multiple violations of the Telephone Consumer Protection Act and the Telemarketing Sales Rule.

How to protect yourself from scam calls?

• To reduce the amount of spam phone calls, the FCC advises not sharing personal information with unexpected callers, double-checking the legitimacy of companies making unexpected calls, and being aware of robocallers. 
• If you are receiving a robocall without your permission, it may be an illegal scam. The robocalls that are legal and do not require your permission include purely informational messages, debt collection calls, political calls, calls from healthcare providers, and messages from charities. 
• If you answer a robocall, the Federal Trade Commission (FTC) recommends you do not say anything or press any numbers, and hang up immediately. Report the call to the FTC at DoNotCall.gov with the number that received the call, the number that called, any number you are told to call back, and the exact date and time of the call. 

Are you glad the FCC is taking a stand against scam calls? 

-Jamie Epstein

(Photo credit: iStock.com/Bill Oxford)