The New York State Consumer Protection Board's (CPB) Consumer Advisors use voluntary mediation to reach satisfactory resolutions of marketplace complaints for consumers. The CPB's Consumer Advisors work closely with the CPB's other divisions to help assure that any complaints indicating potential fraud are investigated and that the public is alerted to prevent additional victimization. This past year, the Advisors responded to thousands of individual complaints and queries received via the Agency's website, fax or mail, and through our bilingual hotline.

Hotline/Restitution

During 2009, the CPB received more than 44,000 calls to its bilingual consumer assistance hotline from New Yorkers seeking information, direction, and assistance on myriad issues.

Despite the high call volume, calls to the CPB's hotline are answered by trained experts in an average of 23 seconds. This stellar response time compares favorably with the telecommunication industry, where the average hold time is 3.17 minutes.

The Agency continues to generate positive feedback from New Yorkers who are pleased with the outcome of their complaint or inquiry. Through our intervention, the Agency achieved significant savings for consumers in the form of refunds, rebates, credits, and avoided costs, which in 2009 totaled more than $1.5 million. These savings impact the lives of consumers who are faced with significant financial challenges. Moreover, an average of 99% of our cases was closed within 90 days.

Of the complaints and inquiries received by the CPB, more than a quarter were related to Do Not Call, which continues to top the list of subjects raised by the public. Next on the list, were credit and credit cards, which represented approximately 21% of complaints and inquiries received by the CPB over the year-long period. The following is the complete Top Ten List of CPB complaints and inquiries for FY 2009-2010:

Do Not Call Law
Credit/Credit Cards
Business Policies/Practices
Automobiles -- Used
Merchandise/Product
Banking/Lending Institutions
Internet/On-Line Services
Automobiles -- New
Insurance
Home Improvement

Consumer Stories

In these tough economic times, the CPB has redoubled its efforts to make sure that consumers know their rights and get their money's worth in the marketplace. The following is a sample of successfully resolved consumer cases demonstrating the breadth and scope of the Agency's reach.

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The CPB was contacted in August 2009 by a Brooklyn resident who was being harassed for a debt that he did not owe. This individual suffered injuries in a car crash several years ago. The insurance company of the person who hit him paid his medical bills resulting from the automobile accident. However, two years later, the Brooklynite began receiving debt collection notices from a law firm based in Minnesota that was attempting to collect on an outstanding balance for physical therapy visits. The consumer informed the debt collection company that he had proof of payment of these bills. On several occasions, he asked the collection company to remove this false debt from their records. Unfortunately, the company ignored his requests and continued to demand payment. The situation worsened when the consumer was notified that his long-standing credit card company was cancelling his account. The closure was attributed to the alleged outstanding medical debt, not because of late payments on any credit card bill. When the consumer reached out to the CPB for assistance, he was very distraught. He had worked his entire life to pay his bills on time and earned an outstanding credit score yet he was now having his credit worthiness and score negatively affected by a false debt. A CPB Consumer Advisor intervened immediately and with assistance from the Agency's Bureau of Legal Affairs succeeded in having the debt collection company formally remove the false debt from its records. Additionally, pursuant to the CPB's request, the company documented that it had notified the national credit reporting agencies to remove any reference to this account. The consumer contacted the Agency to express his relief and gratitude.

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A New York State Legislator forwarded a complaint to the CPB involving a woman from Olean who received notice that she had a "Serious Delinquency" of more than $650.00 related to a retail credit account. The consumer knew this was not accurate because she had never opened an account with this retailer. She ordered copies of her three credit reports and found that this fraudulent account was listed. The entry was negatively affecting her credit score. After many frustrating phone calls to the credit card issuer, the consumer subsequently called the CPB's hotline and completed a complaint form authorizing us to mediate on her behalf. An Advisor successfully resolved her complaint by having the bank/ credit card issuer remove the false debt from its records. Subsequently, the Agency was able to have the erroneous debt listing removed from reports of the three credit reporting agencies. The consumer wrote a personal note of gratitude to our Consumer Advisor praising the CPB.

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The CPB received a complaint via its Spanish hotline from a consumer whose luggage was badly damaged and personal items stolen during transit from New York to Colombia. The consumer had originally complained to the airline and exhausted its complaint process without resolution. After learning of our bilingual consumer complaint services, he filed a complaint with the CPB. Our bilingual Advisor translated his complaint into English and submitted it to the airline. Within two weeks, the CPB was able to successfully resolve his complaint. He received full reimbursement to cover his losses.

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In January 2010, a consumer from Otsego County contacted the CPB for help in addressing a $21,000 bill she received from AT&T for three months of service. AT&T was her phone carrier for more than eight years and she never received a bill that was this high. The consumer was advised by AT&T that the exorbitant charges were assessed due to the fact that she kept her Internet connection running continuously. She explained to the carrier that because her husband was deployed to Iraq and in order to receive his e-mails, she kept her Internet account open. She feared that if the connection was turned off she would miss her husband's messages.

The consumer did not realize that she was being charged for each minute that her Internet connection was open, causing her to incur charges of $21,000 over a three month period. The distraught consumer contacted the AT&T billing department to urge them to renegotiate her bill, but was unsuccessful. Because she did not have the finances to pay this large bill, the consumer contacted the CPB. A CPB Consumer Advisor immediately filed a complaint with AT&T and upon receipt of our first letter, the company advised the Agency that "the disputed charges were correctly billed and no adjustment is warranted." This answer was unacceptable to the CPB. Therefore, our Consumer Advisor went the extra mile and contacted the executive department to explain the circumstances of this case. Through her advocacy, the CPB was able to mediate a credit of $16,207.57 for the consumer. With her husband away in Iraq, the consumer communicated to the CPB's Advisor that she was suffering from a great deal of stress and felt a tremendous sense of relief and gratitude when we were able to successfully resolve her complaint and reduce a financial burden.

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