Consumer fraud are deceptive practices which result in financial losses of consumers. Common
fraud
In law, fraud is intent (law), intentional deception to deprive a victim of a legal right or to gain from a victim unlawfully or unfairly. Fraud can violate Civil law (common law), civil law (e.g., a fraud victim may sue the fraud perpetrato ...
ulent tactics include false promises and inaccurate claims, as well as outright
cheating
Cheating generally describes various actions designed to subvert or disobey rules in order to obtain unfair advantages without being noticed. This includes acts of bribery, cronyism and nepotism in any situation where individuals are given pr ...
.
Types of consumer fraud
The United States
Office of the Comptroller of the Currency
The Office of the Comptroller of the Currency (OCC) is an independent bureau within the United States Department of the Treasury that was established by the National Currency Act of 1863 and serves to corporate charter, charter, bank regulation ...
gives an advice on the fraud related to currency:
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Advance fee fraud
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Debt elimination fraud
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Nigerian fraud
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Cashier's check fraud
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Fictitious banking
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High yield investment fraud
*Personal data fraud; may result in credit or debit card fraud
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Identity theft
Identity theft, identity piracy or identity infringement occurs when someone uses another's personal identifying information, like their name, identifying number, or credit card number, without their permission, to commit fraud or other crimes. ...
**
Phishing
Phishing is a form of social engineering and a scam where attackers deceive people into revealing sensitive information or installing malware such as viruses, worms, adware, or ransomware. Phishing attacks have become increasingly sophisticate ...
Other types of consumer fraud include:
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Bait-and-switch
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Bank fraud
Bank fraud is the use of potentially illegal means to obtain money, assets, or other property owned or held by a financial institution, or to obtain money from depositors by fraudulently posing as a bank or other financial institution. In many ins ...
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Counterfeit consumer goods
Counterfeit consumer goods are goods illegally made or sold without the brand owner's authorization, often violating trademarks. Counterfeit goods can be found in nearly every industry, from luxury products like designer handbags and watches t ...
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Pharma fraud
**COVID 19 fraud
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Snake oil
Snake oil is a term used to describe False advertising, deceptive marketing, health care fraud, or a scam. Similarly, snake oil salesman is a common label used to describe someone who sells, promotes, or is a general proponent of some valueless ...
" fraud
Legislation
United States
The
Bureau of Consumer Protection of the United States
Federal Trade Commission
The Federal Trade Commission (FTC) is an independent agency of the United States government whose principal mission is the enforcement of civil (non-criminal) United States antitrust law, antitrust law and the promotion of consumer protection. It ...
is established to protect consumers against unfair or deceptive acts or practices in commerce.
The
Federal Trade Commission Act is the United states law, which, among other things, prohibits unfair or deceptive acts or practices affecting commerce. In particular, it legally defines the concepts of "unfairness" and "deception" with respect to consumers.
Illinois
The 1974 Consumer Fraud Act supplements the 1965 Uniform Deceptive Trade Practices Act.
(815 ILCS 510/) Uniform Deceptive Trade Practices Act
of Illinois Statutes
References
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Consumer fraud