Audio Recording of the Transaction: In a transaction where sellers and telemarketers have pre-acquired account information and are offering goods or services on a free-to-pay conversion basis, the entire telemarketing transaction must be recorded on audio. The audio recording must capture the material terms provided to the consumer, as well as the context and manner a installment loan Oklahoma in which the offer is presented, because this can be critical to demonstrate that a consumer’s consent is both express and informed. In a single-transaction call, this means taping the entire call; in a multi-purpose call it means recording the entirety of each transaction using pre-acquired account information coupled with a free-to-pay conversion offer.

In a situation where telemarketers are bound by state law to obtain consent to record the transaction, they may ask permission to tape before beginning to record; this is the only portion of the call that may be conducted without recording. If it is necessary to explain the purpose of the call or to identify the seller to obtain the customer’s permission to record, telemarketers must reiterate this information once the recording begins to demonstrate that the required prompt disclosures were made in the outbound call.

When pre-acquired account information is used but the offer does not include a free-to-pay conversion feature, telemarketers must:

• at a minimum, identify the account to be charged with enough specificity for the customer or donor to understand.
• obtain the customer or donor’s express agreement to be charged for the goods or services and to be charged using the account number the seller or telemarketer has identified.

The TSR’s requirements for obtaining express informed consent in these transactions are less strict than when a free-to-pay conversion feature is involved. That’s because while pre-acquired account information itself can lead to unauthorized billing, the record shows this is less likely when there’s no free-to-pay conversion offer.

Identifying the Account with Sufficient Specificity: A telee of the account and enough other distinguishing information about the account to ensure that the customer understands which account will be charged. For example, it is not good enough to tell the consumer only that a charge will be placed on his Visa credit card. You must identify the card more precisely, either by stating the name of the issuing bank, or some portion of the account number. As the telemarketer, you are obligated to ensure that the consumer knows exactly which account will be charged for the goods or services. The underlying intention of the TSR is that the telemarketer expressly inform the customer that the seller or telemarketer already has the number of the customer’s specifically identified account or has the ability to charge that account without getting the account number from the consumer.

Express Agreement to be Charged: The TSR does not specify a particular procedure for sellers and telemarketers to follow when using pre-acquired account information without a free-to-pay conversion so you can demonstrate that the customer has expressly agreed to be charged. To comply with this requirement, you must elicit an affirmative and unambiguous statement from the consumer that demonstrates his intention to agree to be charged, and to be charged on a specific account. . .” or “uh-huh.”

Protecting Consumers’ Privacy

The TSR prohibits sellers and telemarketers from engaging in certain abusive practices that infringe on a consumer’s right to be let alone. The TSR’s privacy protections include prohibitions on:

• calling a person whose number is on the National Do Not Call Registry or a person who has asked not to get telemarketing calls from a particular company or charity.