The Office of Fair Trading and Trading Standards services across the country have received hundreds of complaints from businesses about the tactics of telesales staff who falsely claim links to charitable organisations or the emergency services.
They are also concerned about demands for payment for ad space that the caller says has already been booked when, in fact, no such agreement has been given.
Brian Johnson, Head of East Sussex Trading Standards, said: "Small firms are particularly vulnerable to these types of unfair business practice. We advise all businesses to be wary. Legitimate companies do exist, but don’t be pressured or tricked into agreeing to advertising you don’t want or paying for something you haven’t requested.”
To reduce the risk of businesses falling for cold call scams, Trading Standards has the following tips.
- Don’t take unsolicited calls when you are busy and can’t give the salesman your full attention. If you want to talk, ask them to call back at a convenient time.
- Don’t agree to something on the phone just to get rid of a persistent caller. Legally binding agreements can be made over the phone.
- Be wary of unsolicited callers suggesting or implying that you are placing an order or entering an agreement when you don’t wish to do so.
- Be wary of follow-up calls. You may think they’re just verifying details, but they may be trying to trick you into entering into an agreement.
- Don’t be rushed. If you’re not clear about details, ask questions.
- Don’t be pressurised into paying for services you haven’t agreed to, been provided with or don’t match those agreed to. If you are threatened with debt collectors or credit black-listing, remember that it is only a court that can decide whether you are liable to pay. Disputes with another business will not necessarily affect your credit rating.
For further advice, call Trading Standards on 01323 418200.
Notes to editors
1. The Control of Misleading Advertisements Regulations (CMARs) 1988 came into force on 20 June 1988 implementing an EC Directive on misleading advertising. The OFT can take action against anyone appearing to cause concern or likely to cause concern by the publication of a misleading advertisement. ‘Advertisement’ means any form of representation that is made in connection with a trade, business, craft or profession in order to promote the supply or transfer of goods or services, immovable property, right or obligations.
2. Only a court can decide whether a contract exists and whether a business is liable to pay a debt. If a claim is issued against a business, that business will have a fixed time period in which to respond by either disputing or admitting all or part of the claim. A disputed debt can only be enforced by a court. Only a court can instruct bailiffs. Debt collectors are not bailiffs and cannot attempt to collect payment by taking direct action, such as seizing goods.
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