[Federal Register Volume 62, Number 127 (Wednesday, July 2, 1997)]
[Notices]
[Page 35819]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-17361]


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FEDERAL TRADE COMMISSION

[Dkt. C-3735]


The Money Tree, Inc., et al.; Prohibited Trade Practices, and 
Affirmative Corrective Actions

AGENCY: Federal Trade Commission.

ACTION: Consent order.

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SUMMARY: In settlement of alleged violations of federal law prohibiting 
unfair or deceptive acts or practices and unfair methods of 
competition, this consent order requires, among other things, the 
Georgia company and its officer to offer customers the chance to cancel 
the credit-life, credit-disability, or accidental death and 
dismemberment insurance they purchased, and to obtain cash refunds or 
credit which could amount to as much as $1.2 million. The consent order 
prohibits the respondents from requiring consumers to sign statements 
that such purchases are voluntary, if they are required to obtain the 
loan; from referring to credit-related insurance or auto club 
membership without telling consumers their loan applications have been 
approved and the amount of the approved loans; and requires the 
respondents to disclose to consumers that such coverage is optional and 
to have those consumers sign a form acknowledging that fact and the 
amount the extras will cost if they choose to purchase them. The 
consent order also prohibits violations of the Fair Credit Reporting 
Act provisions regarding disclosures to consumers when their credit 
reports influence the denial of credit.

DATES: Complaint and Order issued April 28, 1997.\1\

    \1\ Copies of the Complaint and the Decision and Order are 
available from the Commission's Public Reference Branch, H-130, 6th 
Street & Pennsylvania Avenue, N.W., Washington, D.C. 20580.
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FOR FURTHER INFORMATION CONTACT: Thomas Kane or Rolando Berrelez, FTC/
S-4429, Washington, D.C. 20580. (202) 326-3224.

SUPPLEMENTARY INFORMATION: On Tuesday, February 18, 1997, there was 
published in the Federal Register, 62 FR 7232, a proposed consent 
agreement with analysis In the Matter of The Money Tree, Inc., et al., 
for the purpose of soliciting public comment. Interested parties were 
given sixty (60) days in which to submit comments, suggestions or 
objections regarding the proposed form of the order.
    No comments having been received, the Commission has ordered the 
issuance of the complaint in the form contemplated by the agreement, 
made its jurisdictional findings and entered an order to cease and 
desist, as set forth in the proposed consent agreement, in disposition 
of this proceeding.

(Sec. 6, 38 Stat. 721; 15 U.S.C. 46. Interpret or apply sec. 5, 38 
Stat. 719, as amended; 82 Stat. 146, 147; 84 Stat. 1128-36; 15 
U.S.C. 45, 1601, et seq., 1681-1681(f))
Benjamin I. Berman,
Acting Secretary.
[FR Doc. 97-17361 Filed 7-1-97; 8:45 am]
BILLING CODE 6750-01-M