📅 2026 Update: Changes in Telemarketing and Electronic Advertising

Since the original article was written, several important changes have taken place in the landscape of telemarketing and electronic advertising. These changes aim to enhance consumer protection and tackle deceptive practices. The information in the earlier article continues further down this page.

🚫 New Rules on Fake Reviews

In August 2024, the Federal Trade Commission (FTC) implemented a final rule. This rule bans the sale or purchase of fake reviews and testimonials. The FTC can now impose civil penalties on those who violate this rule.

This change is significant as it seeks to ensure that consumer reviews are authentic and trustworthy.

🎟️ Fair Pricing for Event Tickets

On May 12, 2025, the FTC's Rule on Unfair or Deceptive Fees took effect. This rule prohibits businesses from using bait-and-switch pricing tactics. Companies must clearly disclose total prices and fees for live-event tickets and short-term lodging.

This change helps consumers avoid unexpected costs when purchasing tickets.

📅 NextMed's Deceptive Marketing Penalty

In December 2025, the FTC approved a final order against NextMed, a telehealth provider. This order requires NextMed to stop misleading advertising for weight-loss programs. The company was also fined $150,000, which is expected to be used for consumer refunds.

This action highlights the ongoing efforts to protect consumers from deceptive advertising.

🛡️ Rising Cyber Threats

A study by Consumer Reports in October 2026 revealed that 9 in 10 Americans were targeted by a cyberattack or digital scam attempt. This statistic underscores the importance of being vigilant against deceptive advertising, particularly in digital spaces. Consumers should be aware of these risks when engaging with online services.

📌 Key Highlights of Recent Changes

  • 🚫 FTC rules now ban fake reviews and testimonials.
  • 🎟️ Businesses must disclose total prices for event tickets clearly.
  • 💰 NextMed was fined $150,000 for deceptive advertising practices.
  • 🛡️ 90% of Americans faced cyberattacks or scams in 2026.

💡 Tips for Navigating Consumer Protection Rights

Examine the details of your situation with your attorney. Understanding your rights can help you make informed decisions.

📄 Know Your Rights

Familiarize yourself with your consumer rights under the FTC regulations. Being informed can help you recognize deceptive practices when they occur.

🔍 Report Scams

If you encounter a scam, report it to the FTC. Reporting helps protect others while ensuring that action can be taken against deceptive businesses.

💬 Seek Refunds Promptly

According to the FTC's order against NextMed, companies must honor cancellation and refund requests quickly. Always keep records of your transactions to support your refund requests.

🛡️ Be Wary Online

With a high rate of cyberattacks, be cautious when sharing personal information online. Verify the legitimacy of websites and advertisements before engaging.

📞 Contact Consumer Protection Agencies

Reach out to local consumer protection agencies for assistance. They can provide guidance and support if you encounter deceptive practices.

🏆 Free Options Ranked by User Reviews (2026)

No national paid service in this area met the review threshold, so this section lists free government and nonprofit resources for consumer protection.

🥇 1. Federal Trade Commission (FTC)

The FTC offers resources for consumers regarding deceptive advertising and telemarketing practices. They provide information on how to report scams and understand consumer rights. The FTC's website includes tools and guidelines to help consumers navigate issues related to advertising and telemarketing.

🥈 2. Consumer Federation of America

The Consumer Federation of America works to protect consumer rights. They advocate for policies that promote fair practices in advertising and telemarketing. Their resources include educational materials and ways to take action against deceptive businesses.

🥉 3. Better Business Bureau (BBB)

The Better Business Bureau provides a platform for consumers to report complaints about businesses. They also offer ratings based on customer feedback. This can help consumers make informed decisions before engaging with a business.

4️⃣ State Consumer Protection Offices

Each state has consumer protection offices that assist residents with issues related to telemarketing and advertising. These offices can provide guidance on how to address complaints and protect consumer rights.

🔎 What to Check Before Paying for Help

  • 🏢 Verify the legitimacy of the organization.
  • 📜 Look for reviews and ratings from previous users.
  • 💰 Ensure there are no hidden fees involved.
  • 🕒 Check for a clear refund policy.

❓ Frequently Asked Questions

❓ What should I do if I receive a scam call?

If you receive a scam call, hang up immediately and report it to the FTC. Reporting helps track scams and protect others from similar experiences.

📞 How can I report deceptive advertising?

You can report deceptive advertising directly to the FTC through their website or a consumer hotline. They investigate claims and hold businesses accountable.

🛑 What are bait-and-switch tactics?

Bait-and-switch tactics involve advertising a product at a low price to lure customers and then pushing them to purchase a more expensive item. This practice is illegal under FTC regulations.

🔍 How can I protect myself from online scams?

To protect yourself from online scams, always verify the source of advertisements. Use reputable websites and be cautious with personal information.

💬 What happens if a company violates FTC rules?

If a company violates FTC rules, they may face civil penalties, including fines and orders to cease deceptive practices. The FTC actively investigates complaints to ensure compliance.

📈 Are consumer complaints effective in changing business practices?

Yes, consumer complaints are effective. They can lead to investigations by the FTC and result in changes to business practices to protect consumers.

⚖️ Recent Cases Related to Telemarketing and Advertising

Recent court rulings highlight the ongoing efforts to enforce consumer protection laws against deceptive advertising. These decisions reinforce the FTC's authority to take action against businesses that violate consumer rights.

Browse more rulings on the news page for recent updates on this topic.

End of October 2026 Update





Telemarketing is a business practice in which businesses solicit consumers through telephone calls to their homes or places of business. A telemarketing phone call may be placed by a person or a pre-recorded advertisement that will be replayed through automatic dialing.

Most people view telemarketing as an annoyance and an interference with their privacy. This is why there have been rules and regulations established by the Federal Trade Commission (FTC) that will restrict the practices of telemarketing companies. The National Do Not Call List, for example, allows consumers to add their telephone number to a list that cannot be accessed by telemarketing companies. A consumer is able to call a free telephone number and request to be added to the list. Once the phone number is added, a telemarketing company can continue to make phone calls for a period of 31 days. After this time, the restriction of this phone number is permanent.

Telemarketers usually will work from a business office or a call center. These calls will be made by people who receive a list of telephone numbers and are required to call a certain amount of consumers per day. They will usually have a pre-determined sales pitch that they are required to repeat during each telephone call.

Telemarketing & Electronic Advertising

Telemarketing calls that are made by automatic dialing are referred to as "robocalling". This can often be seen in political advertisements. If a telemarketer is able to find an interested consumer, they will often make several follow-up calls to ensure that a deal can be made. Telemarketers will obtain phone numbers from credit information, surveys, and the previous purchase history. This is often helped by the advancement of electronic advertising.

Many people will fill out information on the Internet that includes a telephone number. In this case, telemarketing companies can use this information. These companies will often purchase telephone numbers from other businesses' databases. With the aid of electronic advertising, these companies will be able to determine who will be most likely to purchase their product. This will be based on past purchase history, demographic, and other information. 

Electronic advertising has increased in popularity in recent years with technological advances, such as the Internet. It allows companies to reach their target demographic much easier than other forms of advertising. This is because electronic advertising can be based on the user's past history.

For example, electronic advertising companies will be able to match up specific consumers with companies that provide these products and services. This will be based on their purchase history, websites they have visited, or terms that they have searched online. Electronic advertising is a very effective method of selling to consumers.