I could have told you so, based on the number of calls I get each week, but the attorney general recently announced that consumer complaints to his office rose sharply in 2009.
A total of 22,665 consumers filed complaints with the Consumer Protection Division of Attorney General Roy Cooper's office, up nearly 19 percent from 2008.
The ego in me wants to say, "You're welcome," because I always tell folks to file a complaint with the division when they call me. (I also tell them to call the Better Business Bureau.)
But the surge probably has more to do with the bad economy.
"During hard times, scammers crawl out from under rocks to take advantage of good people," Cooper told me this week. "They prey on people's needs for help, particularly with credit repair scams, foreclosure scams, in addition to lottery scams that are out there."
To bring attention to the problems, Cooper released a Top 10 list of the industries with the most complaints.
For the fifth straight year, the health care industry topped the list with 4,371 complaints. Next were complaints about lending: 3,357, up more than 1,000 from 2008. No. 3 was telemarketing fraud with 3,008 complaints, up more than 2,400 from 2008.
The complaints about health care included grievances involving health insurance, medical billing, collection practices, overcharging and weight loss products, he said. Cooper's office has a program specifically to help people navigate their insurance.
Cooper says his office can help those affected by lending and debt counseling scams, too.
"We can contact the lender if it's a violation of predatory lending law in North Carolina, and we get them to refund money," he said.
Upfront money
The division has also been able to rely on a recent state law that makes it illegal for anyone to take money upfront for foreclosure or debt counseling. Cooper says his team will go to court to stop outfits requiring money upfront.
"The nonprofits working well with consumers don't do this anyway," Cooper said.
Health club and gym memberships jumped into the Top 10 this year for the first time in a while. Cooper attributes the surge to Peak Fitness, which closed numerous gyms, tying up members' money in the process.
The attorney general helped create a law that makes gyms purchase a bond and file it with his office. If a club shuts down, then he can give people their money back.
Cooper offered tips to help folks avoid scams:
If an offer sounds too good to be true, it probably is.
Say "No" to high-pressure sales pitches. If the offer is "only good today," walk away. Always read contracts carefully, and never sign a document that you don't understand or that has blanks to be filled in later.
Be wary of unsolicited offers. Never give out your Social Security, credit card or bank account numbers to people who call or e-mail you.
Do business with companies you know or that are recommended to you. Check companies out with the Attorney General's Office or the Better Business Bureau.
Join the Do Not Call registry by calling 888-382-1222 from the number you wish to register. Once you're on the list, report violators to the Attorney General's Office.
Visit ncdoj.gov/ for more consumer tips and tools. To file a complaint, call 877-566-7226.
