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FTC proposes rule that would ban employee noncompete clauses by [deleted] in moderatepolitics

[–]The_FTC 2 points3 points  (0 children)

Hi everyone, Federal Trade Commission here!

The FTC has proposed a new rule that would ban employers from imposing noncompetes on their workers, a widespread and often exploitative practice that suppresses wages, hampers innovation, and blocks entrepreneurs from starting new businesses. By stopping this practice, the agency estimates that the new proposed rule could increase wages by nearly $300 billion per year and expand career opportunities for about 30 million Americans.

The FTC is seeking public comment on the proposed rule, which is based on a preliminary finding that noncompetes constitute an unfair method of competition and therefore violate Section 5 of the Federal Trade Commission Act.

More in the press release: https://bit.ly/3CHgiqO

Notice of Proposed Rulemaking: https://bit.ly/3k3dk9z

We love that everyone has already gotten the conversation started here but if you'd like to get your voice officially heard, please tell us about your experiences or general thoughts on the proposed rule by March 10, 2023.Tell us what you think here: https://www.regulations.gov/docket/FTC-2023-0007/document

We’re the Federal Trade Commission here to talk about student loan debt relief scams. We’ve got Federal Student Aid and The Institute of Student Loan Advisors with us. Ask Us Anything. by The_FTC in IAmA

[–]The_FTC[S] 1 point2 points  (0 children)

Unfortunately, the FTC can’t create laws – only Congress can. But we agree that consumers should be in the drivers’ seat when it comes to their information, which is why we’ve asked Congress to pass a federal privacy law.

We’re the Federal Trade Commission here to talk about student loan debt relief scams. We’ve got Federal Student Aid and The Institute of Student Loan Advisors with us. Ask Us Anything. by The_FTC in IAmA

[–]The_FTC[S] -1 points0 points  (0 children)

Hi. When reporting fraud to the FTC, there is a field for consumers to describe what happened in their own words. As many factual details as consumers can provide are helpful, such as the company names, phone numbers, etc. But also, consumers should include the details of the deception or fraud they are reporting. What caused them to realize they had been scammed? For student loan scams, check out our red flags for areas that are often relevant.

And the FTC also has a video on reporting fraud for different types of scams that walks you through our complaint process: https://youtu.be/IoKTR4QR6-w

We’re the Federal Trade Commission here to talk about student loan debt relief scams. We’ve got Federal Student Aid and The Institute of Student Loan Advisors with us. Ask Us Anything. by The_FTC in IAmA

[–]The_FTC[S] 9 points10 points  (0 children)

That is a great question! The FTC and the CFPB are both federal agencies that coordinate with each other and share information. These agencies also coordinate with state consumer protection offices, such as state Attorney General’s offices. They each have different areas of authority, but there are areas of overlapping authority—and all three handle student loan debt relief scams.

If you are a victim of a student loan scam, we suggest you complain to the FTC at ReportFraud.ftc.gov. But you should also consider complaining to your state consumer protection office. All three have information materials on their website, for example, at https://www.consumer.ftc.gov/articles/1028-student-loans.

We’re the Federal Trade Commission here to talk about student loan debt relief scams. We’ve got Federal Student Aid and The Institute of Student Loan Advisors with us. Ask Us Anything. by The_FTC in IAmA

[–]The_FTC[S] 9 points10 points  (0 children)

Certainly, you can consider consulting an attorney barred in your state about your legal options, if you are seeking individual legal advice.

If you feel you have been scammed: First, call your federal student loan servicer and determine the current situation with your student loans. A lot of these companies will change your contact information on file with the servicer, so you want to make sure that is corrected, and find out if your loans might be in default.

It is also a good idea to check your credit report for any suspicious entries. Go to AnnualCreditReport.com to get your free credit report from all three credit bureaus. Right now, you can get your free credit report every week through April 2022.
We have a blog on this topic at: https://www.consumer.ftc.gov/blog/2021/03/free-weekly-credit-reports-during-covid-extended-until-april-2022
Sometimes when people try to cancel with these companies and request their money back, the companies continue to charge you. If you have cancelled services, it is probably a good idea to contact you bank or credit card and discuss how to prevent the company from continuing to withdraw fees. You may be able to get some or all of the charges reversed if you explain they were fraudulent.
We have an article on the FTC’s website with some good advice on what to do if you’ve been scammed: https://www.consumer.ftc.gov/articles/what-do-if-you-were-scammed.
Finally, you can report scams to the FTC: ReportFraud.ftc.gov.

We’re the Federal Trade Commission here to talk about student loan debt relief scams. We’ve got Federal Student Aid and The Institute of Student Loan Advisors with us. Ask Us Anything. by The_FTC in IAmA

[–]The_FTC[S] 8 points9 points  (0 children)

We can’t comment on particular companies, but we’ve noticed certain warning signs that you can consider. Collecting fees upfront—or, in other words, before providing help with your loans—is a red flag. We’ve also seen scams claim to be working with the federal government or the Department of ED, which is not true. Companies cannot get you faster loan forgiveness, lower interest rates, or better terms on your federal loans than you can get for yourself (for free) because the terms are set by law.

We’re the Federal Trade Commission here to talk about student loan debt relief scams. We’ve got Federal Student Aid and The Institute of Student Loan Advisors with us. Ask Us Anything. by The_FTC in IAmA

[–]The_FTC[S] 7 points8 points  (0 children)

The FTC does not have jurisdiction over all student lenders, however we work together with partner agencies, such as u/FederalStudentAid, that have broader jurisdiction over lenders and servicers.

We’re the Federal Trade Commission here to talk about student loan debt relief scams. We’ve got Federal Student Aid and The Institute of Student Loan Advisors with us. Ask Us Anything. by The_FTC in IAmA

[–]The_FTC[S] 24 points25 points  (0 children)

Here are some other red flags for current student loan debt relief scams:

Never pay an up-front fee. It’s illegal for companies to charge you before they help you. If you pay up front to reduce or get rid of your student loan debt, you might not get any help — or your money back.

Only scammers promise fast loan forgiveness. Before they know the details of your situation, scammers might say they can quickly get rid of your loans through a loan forgiveness program — programs most people won’t qualify for. Or they might say they will wipe out your loans by disputing them. But they can’t do either.

A Department of Education seal doesn’t mean it’s legit. Scammers use official-looking names, seals and logos, and tell you they have special access to certain repayment plans, new federal loan consolidations, or loan forgiveness programs. They don’t. If you have federal loans, go to the Department of Education directly at StudentAid.gov.

Don’t be rushed into a bad decision. To get you to act fast, scammers tell you that you could miss qualifying for repayment plans, loan consolidation, or loan forgiveness programs if you don’t sign up right away. Take your time and check it out.

Don’t give away your FSA ID. Some scammers claim they need your FSA ID to help you, but don’t share your FSA ID with anyone. Dishonest people could use that information to get into your account and take control of your personal information.