A preacquired account refers to any information that allows a seller or telemarketer to charge a customer's or donor's account without directly obtaining the account number during the telemarketing transaction. This practice is regulated to protect consumers from unauthorized charges.
The term "preacquired account" is primarily used in the context of telemarketing and consumer protection law. It is relevant in civil law, particularly in cases involving consumer fraud and deceptive practices. Understanding this term is essential for businesses engaged in telemarketing to ensure compliance with federal regulations, such as the Telemarketing Sales Rule.
Here are a couple of examples of abatement:
For instance, a telemarketer may have access to a customer's bank account information obtained from a previous transaction. They can use this information to initiate a new charge without asking the customer for their account number again. (hypothetical example)
The primary regulation governing preacquired accounts is the Telemarketing Sales Rule (TSR), codified at 16 CFR Part 310. This rule establishes guidelines for telemarketing practices, including the prohibition of unauthorized charges.
| Term | Definition | Key Differences |
|---|---|---|
| Preacquired Account | Information allowing charges without direct account number acquisition. | Specific to telemarketing and consumer protection. |
| Direct Billing | Charging a customer's account with their explicit consent. | Requires direct acquisition of account information. |
| Recurring Payment | Automatic charges made to a customer's account on a scheduled basis. | Involves ongoing authorization from the customer. |
If you are a consumer and believe you were charged without your consent, you should first contact the seller or telemarketer to dispute the charge. If necessary, consider filing a complaint with the Federal Trade Commission (FTC). For businesses, ensure compliance with the Telemarketing Sales Rule and consider using US Legal Forms' templates to create compliant telemarketing scripts and disclosures.
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