New York Attorney General Letitia James this morning said internet-related scams led a list of the top fraud complaints registered by New Yorkers in 2020 with her office.
The highest number of complaints, 9,832, dealt with use of the internet and encompassed internet services and service providers, data privacy and security, digital media, data breaches and fraud through internet manipulation.
The release of the fraud complaints came as part of National Consumer Protection Week, which runs through March 6.
Following internet-related scams, the next highest number of complaints, 7,701, concerned Covid-19 price gouging. The complaints dealt with profiteering by both internet and brick-and-mortar sellers for items such as hand sanitizer, masks, gloves, toilet paper and food.
James noted that New York”™s price gouging statute prohibits selling goods and services during periods of abnormal market disruption for unconscionably excessive prices.
James”™ office was notified about 2,752 landlord and tenant disputes, mainly involving complaints that security deposits were not being returned and tenants were being harassed by landlords.
There were 2,621 complaints about health clubs. These included consumers being charged fees even though the clubs were closed because of Covid-19, consumers being unable to cancel memberships, refunds not being provided and club operators never responding to consumers.
James”™ office noted that state law authorizes gym members to cancel their memberships under certain circumstances, including “after the services are no longer available or substantially available as provided in the contract because of the (gym”™s) permanent discontinuance of operation or substantial change in operation,” and requires gym owners to provide prorated money refunds for such cancellations within 15 days. Additionally, the law further prohibits misrepresentations about consumers”™ cancellation rights.
Fifth on the list for consumer complaints was the automobile field, including sales, service, financing and repairs with 2,561 complaints.
Consumer services ranked sixth with 2,512 complaints in areas such as security systems, technology repairs, immigration services and employment training.
There were 1,609 complaints about retail sales in general, including food, clothing, rent-to-own and online orders.
The eighth highest number of complaints, 1,436, concerned the area of credit, including debt collection, credit card billing, debt settlement and debt relief, payday loans, credit repair, credit reporting agencies and identity theft.
There were 1,378 complaints against utilities including wireless and residential phone service, energy servicers and suppliers and cable TV and satellite operators.
Tenth on the list with 1,251 complaints were travel operators who consumers alleged would not allow them to cancel trips or did not provide refunds when there were cancellations because of Covid-19 travel restrictions.
“The havoc unleashed by the Covid-19 pandemic, in addition to the numerous other ways consumers were defrauded in 2020, sadly resulted in my office receiving a record number of consumer fraud complaints in 2020,” James said.
“Consumers who have helped identify and report issues to our office have been invaluable partners in our efforts to stop deceptive scams and will continue to be vital partners going forward.”
