Upromise Penalized for Violating FTC Privacy Order Over Rewards Program

Upromise found itself in front of the Federal Trade Commission answering very tough questions earlier this month. The inquiry was related to a 2012 order requiring that Upromise include disclosures about data collection practices and conduct third-party assessments about Upromise's data security safeguards.

The FTC alleged that Upromise failed to comply with the terms of the 2012 order while targeting consumers saving for college with a new toolbar called "RewardU."  In 2012, the FTC alleged that Upromise's TurboSaver toolbar collected information about users, including search terms, passwords, and credit card information, without disclosing the full extent of what was being collected.  The current order alleges that Upromise continued to engage in these practices.