Cooling Off Rule Gets Cooler

January 03, 2013
A person comes to your door selling magazines and you order them for $49.99. After you think about it, you decide you want to cancel that order. Right now you could do just that as long as you cancel the order within 72 hours. This rule could be changing.

Presently, the Cooling Off Rule protects consumers by giving them the right to cancel the sales contract within three business days if the sale was valued at more than $25and it was a door-to-door sale. The Federal Trade Commission (FTC) is proposing the $25 exempted dollar amount be changed to $130. They say this increase would reflect cumulative inflation since the Commission originally adopted the Rule in the early 1970s.

Your BBB receives complaints from consumers saying that they feel threatened or think misrepresentations are used in door-to-door sales. Consumers have stated that they signed the contracts or purchase products under false pretense or duress just to have the sales person leave. Most of the situations involve transactions of less than $130.

What do you think about this proposed change? The FTC says public comments on the proposed rule amendment will be accepted until March 4, 2013. Here’s the link should you choose to comment: