FTC investigators find violations of funeral rule in undercover phone probe

  • Undercover phone probe finds that dozens of funeral homes fail to disclose prices properly
  • FTC sends warning letters to 39 funeral homes for violating the funeral rule
  • Funeral homes either refuse to answer pricing questions or provide inconsistent pricing
  • FTC considers requiring funeral homes to post prices online
  • Tips for consumers when working with funeral homes

The Federal Trade Commission (FTC) conducted an undercover phone investigation and discovered that dozens of funeral homes in the US fail to properly disclose prices. Violations of the FTC’s funeral rule, which requires funeral homes to provide accurate pricing information, can result in penalties of up to $51,744 per violation. The FTC sent warning letters to 39 funeral homes found to be in violation, urging them to take remedial action. The investigation also revealed that funeral homes either refused to answer pricing questions or provided inconsistent pricing. The FTC is considering requiring funeral homes to post prices online to improve transparency. Consumers are advised to ask funeral homes about services and prices, request written information, and compare options before making decisions.

Public Companies:
Private Companies: undefined
Key People: Rebecca Plett (Attorney in the FTC’s Bureau of Consumer Protection and co-coordinator for the funeral rule)

Factuality Level: 8
Justification: The article provides information about the Federal Trade Commission sending warning letters to 39 funeral homes for failing to provide accurate pricing information. It includes details about the violations of the funeral rule and the potential penalties. The article also mentions the first undercover phone probe of the industry conducted by the FTC. The information provided is specific and factual, without any obvious bias or opinion.

Noise Level: 7
Justification: The article provides information about the Federal Trade Commission sending warning letters to funeral homes for violating pricing regulations. It explains the violations and the consequences. The article also mentions the importance of funeral homes providing accurate information and the difficulty of finding prices for funeral services. It includes tips for consumers working with funeral homes. However, the article lacks in-depth analysis or exploration of long-term trends or antifragility. It also does not hold powerful people accountable or provide scientific rigor. Overall, it provides relevant information but lacks depth and actionable insights.

Financial Relevance: No
Financial Markets Impacted: No

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: This news article does not pertain to financial topics and does not describe any extreme events. It discusses the Federal Trade Commission sending warning letters to funeral homes for failing to provide accurate pricing information, which is a consumer protection issue.

Reported publicly: www.marketwatch.com