Biden seeks new rules for subscriptions, customer service

The federal government is launching a new effort it says will crack down on "unfair" practices many companies follow with their customers.

The initiative, known as "Time Is Money," is a new governmentwide effort that will take place over the coming months. Key actions include:

• The Federal Trade Commission (FTC) has proposed a rule that, if finalized as proposed, would require companies to make it as easy to cancel a subscription or service as it was to sign up for one. The agency is currently reviewing public comments about its proposal. 
• To counteract customer service "doom loops" the Biden-Harris administration says put customers seeking assistance from a real person through a series of menu options and automated recordings, the Consumer Financial Protection Bureau (CFPB) will initiate a rulemaking process that would require companies under its jurisdiction to let customers talk to a human by pressing a single button. 
• The FTC has proposed a rule that, if finalized as proposed, would stop marketers from using illicit review and endorsement practices such as using fake reviews, suppressing honest negative reviews, and paying for positive reviews, which deceive consumers looking for real feedback on a product or service.
• The CFPB is planning to issue rules or guidance to crack down on chatbots used in lieu of customer service. The CFPB will identify when the use of automated chatbots or automated artificial intelligence voice recordings is unlawful, including in situations in which customers believe they are speaking with a human being.