As a consumer, do you know what your rights are when things go wrong? Many companies count on the fact that most consumers don’t fully understand their legal protections, which allows businesses to get away with shady practices, hidden fees, and outright scams.
Understanding your rights can save you money and help you avoid financial traps. The law is on your side in many situations – you just need to know how to use it.
Here are some consumer rights you may not even realize you have.
- You Can Dispute Errors on Your Credit Report
Your credit report is one of the most important financial documents tied to your name. It affects your ability to get loans, rent apartments, and even qualify for certain jobs. But what if there’s incorrect information dragging down your score?
Thanks to the Fair Credit Reporting Act (FCRA), you have the right to dispute errors on your credit report and demand corrections. If a credit bureau reports inaccurate or outdated information, they must investigate your claim and either verify or remove the error within 30 days.
Many consumers don’t realize that credit bureaus aren’t perfect. (In fact, mistakes happen all the time.) If you find an error, you can submit a dispute online or in writing, and if the bureau fails to correct it, you may be entitled to compensation for any financial harm caused.
- You Can Stop Unwanted Robocalls and Spam Texts
If your phone constantly rings with robocalls or spam texts, you might think there’s nothing you can do. But the Telephone Consumer Protection Act (TCPA) gives you the right to opt out of unsolicited marketing calls and texts.
You can:
- Add your number to the National Do Not Call Registry at donotcall.gov to stop legal telemarketers from calling.
- Revoke consent for unwanted calls or texts – if you never gave permission, they’re already breaking the law.
- Sue telemarketers who violate the TCPA – many consumers have won settlements against companies that ignored their requests.
Scammers and shady businesses often ignore the law, but if you’re dealing with repeated violations, a consumer rights attorney can help you take legal action.
- You Have the Right to a Refund (in Many Situations)
Ever bought something only to realize it didn’t work, wasn’t what you expected, or came damaged? Many people assume they’re stuck with their purchase, but depending on where you shop and what you buy, you may be legally entitled to a refund, replacement, or repair.
Most states have consumer protection laws requiring businesses to offer refunds under certain conditions. And if a company advertises a satisfaction guarantee, they have to honor it. If a business refuses to issue a refund when you’re legally entitled to one, you can file a complaint with the Federal Trade Commission (FTC) or your state’s attorney general.
- You Can Opt Out of Pre-Approved Credit Card Offers
Under the Fair Credit Reporting Act, you have the right to opt out of pre-approved credit offers by visiting OptOutPrescreen.com or calling 1-888-5-OPT-OUT. By doing this, you remove yourself from marketing lists used by banks and credit card companies – cutting down on junk mail and reducing your risk of identity theft.
- You Have Protection Against False Advertising
Companies love to exaggerate claims about their products, but if they outright lie, they could be breaking the law. The FTC prohibits false advertising, which means businesses can’t:
- Make false claims about a product’s benefits.
- Use deceptive pricing to mislead consumers.
- Advertise “risk-free” trials that automatically enroll you in paid subscriptions.
If you’ve been misled by false advertising, you can report the company to the FTC or your state’s consumer protection office. In some cases, you may even be able to join a class-action lawsuit against the company.
- You Can Freeze Your Credit for Free
Identity theft is a growing problem, and one of the best ways to protect yourself is by freezing your credit. A credit freeze prevents new accounts from being opened in your name, making it much harder for fraudsters to steal your identity.
Many people assume that freezing their credit costs money or affects their score, but thanks to federal law, all three credit bureaus must offer credit freezes for free. You can freeze or unfreeze your credit at any time by contacting Experian, Equifax, or TransUnion.
- You Have the Right to Your Personal Data
In the age of big data, companies collect huge amounts of personal information – often without you realizing it. However, many privacy laws give you control over your data, including the right to request what information companies have on you and ask them to delete it.
For example, the California Consumer Privacy Act (CCPA) allows California residents to opt out of data collection and request that businesses delete their personal information.
If you’re concerned about your privacy, check a company’s privacy policy and exercise your right to limit data collection.
Get Familiar With Your Rights
You don’t have to be an expert in consumer law to understand your rights. By getting familiar with the basics, you’ll know which red flags to look out for so you can keep yourself protected in the future. Good luck!
