More Action Is Needed on Consumer Mail Order Problem
Gao ID: HRD-81-41 January 19, 1981Because many consumers are still subjected to mail order problems, mainly late delivery, GAO reviewed the Federal Trade Commission's (FTC) activities concerning the monitoring, enforcement, and evaluation of the mail order merchandise rule. The FTC mail order rule requires the seller to have a reasonable basis to expect shipment to consumers within the time advertised or, if no time was advertised, within 30 days of receipt of a properly completed order. If the advertised shipment time (or the 30-day limit) cannot be met, the seller must so notify the consumer.
In its review, GAO found that: (1) the monitoring and enforcement of the mail order rule by FTC could be substantially improved if FTC regularly obtained consumer mail order complaint data available at the U.S. Postal Service; (2) there was a substantial level of noncompliance among sellers with the mail order rule that needs attention; (3) FTC needs to improve its handling and processing of consumer mail order complaints; and (4) FTC could improve its computerized database by including all consumer mail order rule violation complaint data.
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