Protection follows purchase

Most consumers know that telemarketers can’t call after 9 p.m. or before 8 a.m. And most likely know that sellers of unsolicited products and services such as time shares and vacation packages must quit calling once consumers tell them to stop.

But many consumers may not realize the same federal law protects them once they buy products or services sold over the phone, including investments such as stocks, oil and gas contracts and collectibles.

The federal communications law prohibits telephone sales representatives from misrepresenting the products and services they sell, including investment value, risk and liquidity, Houston consumer lawyer Dustin Fessler said.

That means a caller is prohibited from claiming precious metals outperform other types of investments or that someone who buys a business would earn a specific level of income, according to the Federal Trade Commission.

Nor can telemarketers misrepresent costs or quantities. Magazine sellers cannot tell consumers that they can buy a three-year subscription for $1.50 a month when the rate will expire after the first year, according to the commission.

And if a sales inducement, say a free hotel room, is only good on certain days or at certain hotels, the commission says that sellers aren’t permitted to tell buyers the free night can be used anytime, anywhere.

Buyers who believe they were enticed into a bad deal can call the commission. Or they can file a federal suit against the seller, claiming violations of the Federal Trade Commission’s telemarketing sales rule.