BBB Warns of False Advertising, Price Gouging Scams During Coronavirus Outbreak

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Wednesday, March 18, 2020

GoLocalWorcester Business Team

As concerns about the coronavirus continue to grow in Rhode Island and across the country, the Better Business Bureau (BBB) is warning consumers about false advertising and price gouging.

“As government officials, news outlets and health officials are keeping the public appraised of the COVID-19 situation, consumers are finding the cost of high-demand items, such as hand sanitizers, tissues, face masks, and other products skyrocketing,” writes the BBB.

The BBB notes that they have received reports from consumers about the frequency of scam involving those items.

BBB  Offers Tips

Price gouging is a term referring to when a seller spikes the prices of goods, services or commodities to a level much higher than is considered reasonable or fair and is considered exploitative, potentially to an unethical extent. 

According to the BBB, the best way to avoid price gouging is to plan ahead and have the necessary supplies you need on hand.

BBB warns businesses to avoid the temptation to raise prices during a situation such as storm or a pandemic because it may be illegal to do so in certain states and because it erodes marketplace trust. 

Consumers will remember which businesses took advantage of them during a storm.

BBB offers the following:

• Be as specific about the transaction as possible, including the name and address of the business, names of any employees involved, and information detailing the spike in pricing.
• Gather together documentation supporting the price gouging (receipts, photos of products and their advertised pricing, invoices, etc.)
• Compare pricing of similar products with other sellers in the area as well as online.  It’s important to note similarities and differences between brands, size/quantity, manufacturers, model numbers, and prices.

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