FTC Study: Mobile Shopping App Disclosures are Lacking
Black Enterprise Magazine September/October 2018 Issue

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The Federal Trade Commission released a report that shows many mobile shopping apps do not provide consumers with information such as how the apps handle disputes related to payment or manage consumer data before it is downloaded.

The report, entitled What’s the Deal? An FTC Study on Mobile Shopping Apps, analyzes 121 popular apps used by consumers to compare prices, shop for deals and redeem discounts, and make payments with their mobile devices.

Several recommendations were made to the companies who supply these apps to consumers. Among suggestions were to clearly describe the collection and use of consumer data, and to outline consumers’ rights and responsibilities when it comes to unauthorized transactions.

This report continues the FTC’s discussion on mobile payments and concerns raised during a 2012 workshop about consumer privacy and data security when paying for services via mobile devices. The FTC says this study is part of its efforts to make sure consumers are protected in the mobile space.

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