Home Consumer FTC Sending Refunds For “Buy One, Get One Free” Scam

FTC Sending Refunds For “Buy One, Get One Free” Scam

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(Image: allstarmg.com website "Welcome" video frame grab)

Love those “Buy one, get one free” deals you see on TV almost everyday?

The Feds say in many cases, they’re a total scam and one of the biggest is sending out millions in refunds to settle an investigation against it. Too bad the Broadcasters themselves can’t also be held responsible for allowing this scam to continue while THEY make $$$$ off it! Per the FTC: “Company often billed consumers without their consent.”

The Federal Trade Commission is mailing over 200,000 refund checks totaling more than $7.2 million to people who bought products deceptively marketed as “buy-one-get-one-free.”  These include items such as Snuggies, the Magic Mesh Door, and other “as-seen-on-TV” type products. Consumers who bought products marketed by Allstar Marketing Group, LLC will receive checks averaging $33.14.

In March 2015, the FTC alleged that since at least 1999, Allstar used direct marketing TV commercials to sell its products, many of which are familiar to consumers. While the products varied, Allstar’s pitch was often the same—a “buy-one-get-one-free” offer that did not disclose all the costs. Because the ordering process was confusing, some customers also were charged for more products than they wanted.

The court order settling the FTC’s charges barred Allstar from engaging in the allegedly illegal conduct and imposed a monetary judgment of $7.5 million to provide refunds to injured consumers. The New York Office of Attorney General, which filed a parallel action against Allstar, has assisted with the refund planning process.

Analytics, the refund administrator for this matter, will begin mailing refund checks today. Consumers should receive their refund checks this month, and they must be cashed within 60 days or they will become void. The FTC never requires consumers to pay money or provide information to cash refund checks. Consumers who have questions should call 1-877-982-1294.”

By Al Sunshine, SouthFloridaReporter.com, Consumer Investigator. Mar. 14, 2018

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Al Sunshine is a South Florida-based Broadcast and Digital Journalist whose career has spanned more than 40 years at the local and national levels. His award-winning investigations have triggered more than a dozen state and local consumer protection laws and his work’s been cited in Congressional Testimony before the U-S House of Representatives. He is best known for his “Shame On You” features for CBS Miami which sought to expose businesses, agencies and individuals defrauding or deceiving consumers, as well as endangering the safety and welfare of the general public. In 2013 Al retired from CBS Miami to set up his own Digital News Business, “Sunshine News, LLC” and Al continues to blog for the Radio, Television, Digital News Association, sponsors of the prestigious Edward R. Murrow Awards”. An avid environmentalist, Al is one of the founding members of the “Miami Pine Rocklands Coalition”. The Florida Non-Profit is fighting to save and restore the last 2% of Pine Rocklands found only in South Florida and nowhere else in the continental United States. Al was recently elected its President.