Telemarketers, Payment Processor To Pay $1.7 Million to FTC

Last Tuesday, a federal court in Orlando issued its final order in a years-long legal battle between the Federal Trade Commission (the "FTC" or "Commission"), a number of telemarketers and their payment processor. The ruling follows an order late last year that granted the Commission's motion for summary judgment against all remaining participants in the allegedly deceptive robocall credit card interest rate reduction venture.

Which of the defendants' alleged marketing, debt relief and payment processor activities caught the FTC's attention?

Debt Relief and Telemarketing Practices

According to the Commission, the defendants marketed their credit card interest rate reduction services to consumers throughout the country through use of prerecorded telemarketing calls. The FTC alleged that the subject defendants often claimed that their interest rate reduction services would provide savings of $2,500 or more and enable consumers to pay off their debt three to five