The claims at issue, which appeared in television and internet advertising, were challenged as part of NAD’s routine monitoring program, and included:
- “I have a structured settlement and I need cash now. Call
- “I have an annuity but I need cash now. Call
- “Do you get regular payments from an insurance company, for example, from a personal injury settlement or a car accident? …. In exchange for some or all of your future payments, we give you a lump sum of cash now.”
This process takes approximately seven weeks. Once the court approves the petition, the consumer will usually receive their payment within two business days.
NAD determined that, in the context of the challenged advertising, one message reasonably conveyed by the advertiser’s “cash now” claims with respect to a structured settlement and any related annuity payment is that receipt of cash is immediate. NAD noted that consumers are not clearly informed that they receive the lump sum of cash only after a court approval process. Therefore, NAD recommended that
NAD noted that nothing in its decision prevents the advertiser from making visual references to their services, provided that disclosures communicating its limitations are sufficiently easy to notice, read and understand (i.e., appearing when the triggering claim is made).
In its advertiser statement,
About BBB National Programs: BBB National Programs is where businesses turn to enhance consumer trust and consumers are heard. The non-profit organization creates a fairer playing field for businesses and a better experience for consumers through the development and delivery of effective third-party accountability and dispute resolution programs. Embracing its role as an independent organization since the restructuring of the
About the National Advertising Division: The National Advertising Division (NAD) of BBB National Programs provides independent self-regulation and dispute resolution services, guiding the truthfulness of advertising across the
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SOURCE BBB National Programs