Marketing & Business Development Flashcards

A debt relief company runs a radio ad and consumers call in response. Under the FTC Telemarketing Sales Rule (TSR), how are these inbound calls treated?

Answer: They are covered by the TSR because the general media exemption does not apply to debt relief services

The 2010 TSR amendments removed the general media inbound-call exemption for debt relief services.

What is the earliest time a debt relief telemarketer may place an outbound sales call to a consumer under the TSR?

Answer: 8:00 a.m. the consumer's local time

The TSR restricts outbound telemarketing calls to between 8 a.m. and 9 p.m. at the called person's location.

How often must a telemarketer access the National Do Not Call Registry to qualify for the TSR safe harbor?

Answer: Every 31 days

Sellers must scrub calling lists against the registry at least every 31 days to rely on the safe harbor.

A consumer bought nothing but made an inquiry to a debt relief company. For how long does an established business relationship permit calls despite a DNC listing?

Answer: 3 months after the inquiry

An inquiry or application creates an established business relationship lasting three months under the TSR.

Which ad claim is most likely to be considered deceptive for a debt settlement program?

Answer: "Eliminate your debt for pennies on the dollar — guaranteed"

Guaranteed, exaggerated savings claims misrepresent likely outcomes and violate the FTC Act and TSR.

Before enrolling a consumer, which disclosure must a debt relief telemarketer make under the TSR?

Answer: The time frame to make a settlement offer to each creditor

The TSR requires disclosure of how long it will take to get results, including when offers will be made to each creditor.

Under the TSR, how long must a seller or telemarketer keep advertising and promotional materials?

Answer: 5 years from the date the record is produced

The 2024 TSR amendments extended the retention period for ads, scripts, and promotional materials from two years to five years.