Billing Services Group

As you know, consumer fraud cases have proliferated over the last few years triggering increased focus and collaboration from businesses, government entities, consumer groups and companies like BSG to protect consumers. We will be providing tips into various industries and what they are doing to mitigate fraudulent activity.

No one likes a shamster . . . and when they do it on your dime, it can damage your business and reputation.  Now that a lot of states are deregulating the energy supplier industry and opening it up to competition, fraud, unfortunately, has become a big concern. 

Here’s one good example.

The deregulated energy industry in states across the U.S. has heated up the competitive search for new customers.  As utility companies clamor for new customers, though, an unsavory practice has crept up.  Unfortunately, some door-to-door sales reps are forging customer signatures on the letter of authorization to drive up their commission or meet the high sales demands from their management.  Essentially, sales people are stealing customers by switching them to new energy services without their ok.  The management at these companies can’t possibly be on site to ensure their employees or sales contractors are following best practices, and often just take their word for it that the consumer really signed the agreement. 

That’s why many states and regulatory authorities are supporters of third party verification services (TPV) because it can stop disreputable sales guys in their tracks.  And if when consumers know a company has their back?  They have more confidence in making a purchase or signup up for a new service because they know a neutral party is confirming they understood the terms and conditions of the transaction before it can happen. 

There are similar problems in other industries which we want to hear about.  We all benefit from increased vigilance and sharing of ideas on how to further reduce fraud.