Many state Attorneys General are celebrating Consumer Protection Week this week by releasing their top consumer complaint categories, summarizing their past year's successes, and/or providing consumer education. As the AG press releases show, some AGs use voluntary dispute resolution to obtain relief from consumer complaints, and others take a monitoring approach, often referring to other agencies as appropriate. Here are some of the top complaint categories the AGs pinpointed:
- Motor Vehicle Sales, Repairs, and Rentals
- Internet Sales and Scams
- Real Estate/Timeshares
- Banking
- Telemarketing, Phone Scams, and Unsolicited Text Messages
- Social Media
- Contractors/Home Repairs
- Landlord/Tenant
- Debt Collection (Note - Illinois Attorney General Raoul pointed out that the high number of finance sector complaints show the importance of state AGs standing up for the CFPB.)
- Identity Theft/Imposter scams
- Health Services
Why are the AGs so focused on consumer complaints? These complaints often serve as the basis for an investigation, or are the first place AG staff will look once they open an investigation, as they provide the best insight into what consumers are experiencing. For years, our own Beth Chun oversaw incoming complaints at the Texas Attorney General's Office, and in many instances was the front line identifying trends and potential enforcement targets. Given the importance of complaints, it is equally important for businesses to promptly and effectively respond to them. And if you don't receive complaints from some states, you can't assume they don't exist. Complaints may be available as public records in some states, but not in others – regardless, states all monitor them to help determine enforcement priorities.
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