WASHINGTON, D.C. – John D. (Jay) Rockefeller IV, Chairman of the U.S. Senate Committee on Commerce, Science, and Transportation today announced a Senate Commerce Committee investigation into certain e-commerce marketing practices that generate thousands of mysterious monthly charges to consumer credit cards. 

KEY BACKGROUND INFORMATION

• The source of these puzzling monthly fees appears to be from a group of marketing companies that acquire consumers’ billing information through agreements with popular online retail sites. 

• On many well-known websites, including Fandango.com and Orbitz.com, after consumers make a purchase, a hyperlink or “pop up” window appears and offers consumers a cash back reward if they sign up for a company’s online membership service.  If consumers accept the offer by providing an e-mail address and clicking a “yes” button, their credit card or debit card account information is automatically forwarded to the company and they are automatically enrolled in the service.  And unless the consumer cancels this online membership service, their credit card or debit card is indefinitely charged $9-$12 on a monthly basis.   

• These deceptive online “mystery charges” have generated thousands of complaints from internet consumers who were unaware they were signing up for a monthly service that charged a fee. 

• Examples of the “pop up” or hyperlinked windows that appear on well-known websites can be found attached below.

CHAIRMAN ROCKEFELLER ACTIONS

• Chairman Rockefeller issued the attached letters to two of the leading “post-transaction” e-commerce marketing companies, Vertrue Inc. and Webloyalty.com, Inc, to extract more information about these controversial practices. 

CHAIRMAN ROCKEFELLER STATEMENT

“The economy is hurting so many families today and we need to provide them as much relief as possible.  Thousands of American consumers have been complaining about these deceptive practices and asking for answers – and rightly so,” Rockefeller said. “There could be many more affected by these hidden mystery charges - we must do all we can to protect the hard working Americans relying on us to look out for their wallets and well-being.”

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