Markets Wired

The staff of the Federal Trade Commission filed a comment in response to the Consumer Financial Protection Bureau’s request for information on the use of mobile financial systems by consumers and their potential benefits for the financial lives of underserved consumers.  The FTC staff’s comment highlights five consumer protection issues posed by mobile financial services and the steps taken by the FTC to address them.

The issues highlighted in the comment include the potential liability for unauthorized charges using prepaid or stored value products; unfair billing practices on mobile carrier bills; the privacy of consumers’ personal and financial data; the security of consumers’ personal and financial data; and the potential use of consumers’ information by data brokers and other third parties. The comment notes the FTC’s authority and activity in the area of mobile commerce, including enforcement actions, public workshops and reports issued by the Commission.

The Commission vote authorizing staff to file the comment was 5-0.

The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair business practices and to provide information to help spot, stop, and avoid them. To file a complaint in English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-382-4357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website provides free information on a variety of consumer topics. Like the FTC on Facebook, follow us on Twitter, and subscribe to press releases for the latest FTC news and resources.