1. The purpose of this presentation is to help consumers understand the rights & responsibilities of buyers and sellers under consumer protection laws, as well as what factors to consider when making buying decisions. Be a Wise Consumer

2. In your Journal Take notes on the information in Blue

3. Consumer Protection: Where it all started Consumer Bill of Rights (State of the Union Address of 1962-President John F. Kennedy)  The right to safety & protection against practices that result in noncompetitive prices for goods and services available  The right to be informed and protected against false and misleading advertising  The right to be heard & guaranteed consumer representation when using government policies and enforcement of consumer protection laws

4. Fair Credit Reporting Act of 1970 Stipulates how Consumers and Creditors resolve disputes. Consumers have the right to receive one free credit report per year (annualcreditreport.com) Consumers can write a 1 page explanation if information in your credit report is incorrect.

5. Truth in Lending Act Creditors must make a complete account of credit costs and terms.

6. The Equal Credit Opportunity Act Creditors cannot discriminate on the basis of the following: Sex Marital Status Race Religion Age

7. The Fair Credit Billing Act If you think there is an error on a bill, you must complain in writing within 60 days after the bill is mailed

8. Better Business Bureau (BBB) A nonprofit, business-sponsored agency, dedicated to educating consumers, helping to resolve disputes, and promoting honest business practices (www.bbb.org)

9. Federal Trade Commission (FTC) A federal agency which protects consumers against false advertising, illegal sales schemes, and unfair trade practices (www.ftc.gov)www.ftc.gov

10. Pyramid scheme A type of illegal and fraudulent system which requires an endless stream of recruits in which people pay to join and organization in exchange to the right to sell memberships to others.

11. Bureau of Consumer Protection (A division of the FTC) A federal agency which provides state and local consumer protection to help answer consumer problems and enforce consumer protection and fraud laws

12. Consumers Union (Consumer Product-Testing Organizations) A non-profit organization that helps guide consumers in the market-place with testing. Through its monthly magazine, Consumer Reports. Consumer Union gives tests results and product ratings. (www.consumerreports.org) Other consumer magazines and web sites are Consumers’ Research and Changing Times.www.consumerreports.org

13. Food & Drug Administration (FDA) A federal agency which sets and enforces safety standards for consumable products such as food, drugs, and cosmetics (www.fda.gov)

14. Warranty A company’s promise that its product will meet specific standards over a given time period or replace or refund

15. Limited Warranty May require the consumer to pay labor or handling charges

16. Implied Warranty of Merchantability The product does what its name implies. ie: Advertising snow tires, but they aren’t actually good in the snow.

17. Monopoly A company that has an unfair advantage over competitors in an area of business

18. CONSUMER RIGHTS AND RESPONSIBILITIES RIGHT: To Get Reliable Help Food and Drug Administration (FDA) Consumer Product Safety Commission (CPSC)  BBB  FTC RESPONSIBILITY: To use products safely read information, use care booklets & products properly To speak up  Complaint letters

19. Consumer Product Research Project What Criteria should you consider when making a buying decision?

20. Things to consider What features do you want? What products are available in your price range? Where should you purchase it? What happens if it doesn’t work as indicated? USE CONSUMERREPORTS.ORG Username: WarriorsPFin Password: Edmonds2014

21. After you have done the Research Now, collaborate with another student (2-3 in a group) who researched the same product and create a “Best Buy” product flyer. It should be well designed (Publisher) & Informative for the Consumer – use rubric & be ready to present Friday