Credit card issuers and other financial companies are bombing you for credit cards, mortgages and other financial products you don’t want. Tired of junk mail, you throw lots of unopened envelopes into the trash. The problem is, in doing so, you may also be eliminating the chance to eliminate unwanted marketing offers.
Financial companies often share information about their customers with their affiliates, which may send you offers for additional products or services. Under a federal law that went into effect on October 1, 2008, the companies you do business with must give you a “simple” way to opt out of receiving additional marketing offers from those affiliates.
“One thing is that financial transactions you make with a branch or a division of a company can be very valuable to another department,” says Chi Chi Wu, an attorney at the National Consumer Law Center in Boston.
For example, your credit card account may show a transaction in which you purchased a plane ticket. If your card issuer is owned by a large holding company, this information may be shared with affiliates selling travel insurance, hotel reservations and other services in the city you plan to visit. Affiliates will contact you by email, phone, mail or other means, aiming to interest you in their products.
“Someone’s credit card or bank account transactions provide quite a wealth of information for targeted marketing,” says Wu.
Choosing to stay out of the scope of affiliate marketing
The legal landscape was tilted slightly in consumers ‘ favor in October 2008. That’s 214 of the U.S. Fair and proper Credit Transactions Act, which companies often refer to as the FACT Act. It was the deadline for them to comply with the Department. A 2007 amendment to the law requires that credit card companies and other financial institutions make it easier for customers to choose to share their information.
Affiliates are not allowed to make sales speeches unless they are “explicitly and conspicuously informed” that consumers can have such sales conversations, and “the consumer is offered an opportunity and a simple method to prohibit the making of such requests,” the companies said.
There is no standard form sent to customers from all these companies. Often, they send letters explaining the opt-out procedure and offering a phone number you can call if consumers choose to opt out of coverage. Others may provide Web-based deactivations. Still others can provide a form to fill out and send back to the institution, including a box to check coverage ( see a sample form ).
For example , Bank of America said it notified customers over the summer that it had an option to limit marketing information from companies affiliated with Bank of America. Through letters sent to customers, the affiliate provided a toll-free number to call if they chose to stay outside the scope of their marketing. Most companies have offered customers similar options.
Renunciation lasts 5 years
If the consumer deactivates, the company’s associates will not be able to use this information to market to the consumer for five years from the date the form was taken. After five years, the company must submit another opt-out form so the consumer can decide whether to opt-out again.
Companies hope you choose not to be out of scope. After all, affiliate marketing is more than frustrating mail. This is big business.
Online affiliate marketing spending will reach $ 3.3 billion by 2012, according to a study by research firm Jupiter Research Corporation. That doesn’t count the expense of traditional mail, which reaches millions of consumer mailboxes each year.
Online publisher E-consultancy, Linus Gregoriadis head of research and affiliate marketing networks buyer’s guide 2008 author, “merchants on both sides of the Atlantic, affiliate marketing, customer acquisition, ensuring cost-effective continues to see itself as a channel,” he says.
What information can they share?
If you don’t bother to opt out, you’re providing lots of personal information for affiliates to analyze. Companies can share information “based on the creditworthiness of the consumer, credit status, credit capacity, character, General reputation, personal characteristics or lifestyle,” says Wu. This includes your name, address, Social Security number, employer, date of birth, credit score, what type of credit accounts you have, your payment record on those accounts (such as your late payment history), your credit limits and the amount of credit you use.
Even information that isn’t on your credit report, such as where you use your credit card, your income, assets, or the value of your home or car, can be shared, Wu said.
There are few limitations on the information that can be shared between affiliates for marketing purposes if it falls outside the scope of the consumer.
CHI CHI WU, NATIONAL CONSUMER LAW CENTER
“There are very few limitations on information that can be shared between affiliates for marketing purposes if the consumer is out of scope,” says Wu. “Medical information or race, gender, religion, etc. Only different categories of information can be restricted, such as information prohibited by fair lending laws.”
The term” subsidiaries ” is very important because this rule only covers companies that are considered subsidiaries. According to FACT law, subsidiaries are subsidiaries (such as a mortgage company owned by a bank) and sister companies (two companies owned by the same firm). Those not involved are third parties: independent companies that are not owned by or owned by the same firm. For example, if a mortgage lender has an affair with an insurance company but does not belong to the same parent company, the information they share does not fall under these opt-out rules.
Third-party sharing is covered by the Gramm-Leach-Bliley Act, not the affiliate marketing rule . Creditors are allowed to use a partnership marketing plus Gramm Leach Bliley Act opt-out notice.
How is disabled
If you do not want your information in the hands of affiliate marketing companies, follow these steps:
1st. Please check your mailbox
There is no guarantee that every company you do business with complies with the authority to give up, but make sure you do your part before you call a lawyer. Open every email you receive and read it before sending it to junk stacks. You don’t want to make a request that you don’t want to open up.
2. baskı. Şirketinizi arayın
LA,beş kredi kartı ve ipotek sahibi olduğunu ve çok sayıda bağlı kuruluş pazarlama teklifi aldığını söylüyor. Hatırlamadığı şey, tüm postalarını okuduğunu söylese bile, istenmeyen teklifleri bile reddetme postası almaktır.
“” I don’t remember a box like that, ” ” he says. ””It was probably a hard-to-read sized text, “” Stauffer says.
Consumers like Stauffer should first contact all credit card issuers and other financial institutions where they do business. When you choose to opt out, the company will tell you the appropriate procedure, such as whether you can do it by phone or mail.
There’s no one-stop shop to make sure your opt-out requests are properly received and filed.
Consumer Raymond Estes Of Hingham, Mass. She said she ticked the exit boxes in the Mail she received, but isn’t sure if her six credit cards and three store-specific cards all worked.
“I know I’ve chosen to quit before, but apparently I keep getting offers from the same companies,” says Estes. “Sometimes it bothers me to get multiple offers or repeat offers from the same companies.”
If, like Estes, you have chosen to stay out of scope but continue to receive unsolicited affiliate marketing requests , file a complaint with the Federal Trade Commission . If you think a bank is ineligible, you can also file a complaint with your state banking regulator .
- Know the exceptions
Not every claim you receive is subject to a opt-out rule. For example, if you’ve contacted a lender for information about products or services, it doesn’t have to give you a opt-out notice. Also, if you have a pre-existing relationship with a firm, such as the company that holds your mortgage, that firm can still send you claims.
The other exception is online transactions. Wu says that during the process, the consumer may have to decide whether to opt out.