jikMan Claims Restaurant Told Him To Leave Because He Has Facial Tattoosde

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(KHOU.com)

A Houston man says he was refused service at a local restaurant because the establishment has a policy barring people with facial tattoos, linking the ink with gang activity in the area. But he says he’s just a person, same as everyone else.

According to the man, he and a friend went to grab a bite at a local restaurant after a concert, reports KHOU.com (warning: link has video that autoplays). Instead, he says a police officer told them the restaurant wanted them to leave, and that people with facial tattoos weren’t allowed inside.

“I honestly thought he was joking, but he said he was serious,” the man says. “It makes you feel like less of a person when you’re escorted out for no reason.”

After he took to social media, the ensuing blitz against the restaurant prompted staff there to contact the man and apologize.

He says the company wrote that the area “has the largest gang concentration in Houston. One common factor with gangs are face and neck tattoos. We can’t allow gangs to overtake our establishment.”

But just because he’s got tattoos on his face doesn’t mean he’s a gang member, the man says, making what happened to him discrimination.

“I have no criminal record. I work hard at a plant. I have two cats. I’m the furthest thing from a gang member,” he says.

He hopes the restaurant will change its policy, pointing that if they’re discriminating against face tattoos, “what else are they discriminating against?”

Restaurant refuses service to man because of facial tattoos [KHOU.com]

by Mary Beth Quirk via Consumerist

jikMontel Williams Is No Longer Face Of Money Mutual; Company To Pay $2.1M Penaltyde

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You will no longer be seeing Montel Williams in ads for MoneyMutual following a deal between the company and the New York Dept. of Financial Services.

For years, TV personality Montel Williams has been the daytime TV face of payday loan lead generation service MoneyMutual, even as it faced investigations from federal and state agencies. Just a few days ago, Montel got into a Twitter spat with a woman who questioned why he was acting as a spokesperson the company, and showed that maybe he needed a refresher course on annual percentage rates. But that’s all in the past now, as he and MoneyMutual have parted ways and the company has agreed to pay a $2.1 million penalty to settle allegations that it illegally marketed payday loans to New York residents.

MoneyMutual and other purely lead-generation companies don’t offer the loans directly to consumers but instead operate online portals that connect loan applicants with lending services.

Since payday loans are illegal in New York, lead-generators should not be facilitating these loans. In 2013, the state issued subpoenas to more than a dozen of these companies to investigate whether they were marketing illegal loans to New York residents. The enforcement action against MoneyMutual (aka Selling Source) is the first of its kind for the state.

In addition to the $2.1 million penalty, MoneyMutual’s agreement [PDF] with the state Dept. of Financial Services requires that Montel cease appearing in ads for the company, and that MoneyMutual cease its lead-generation activities in New York. It must also provide new warnings and disclosures to consumers.

According to DFS, MoneyMutual sold leads containing the personal information of approximately 800,000 New York residents for the purpose of connecting them with loans with APRs ranging from, per MoneyMutual’s own words, “between 261% and 1304%.”

Not only did these loans have interest rates upwards of 82 times the state maximum, the majority of MoneyMutual customers were repeat borrowers stuck in a debt trap. By the CEO’s own admission, at least “55% of the people that come into MoneyMutual are ‘repeat clients;'” while the company’s lender clients reported a “60 to 70%” repeat borrower rate. The real money was in targeting so-called “Gold” customers who repeatedly took out new loans to pay off the old ones.

In ads, Montel referred to MoneyMutual as “the only source you can trust for finding a short term loan quickly and easily.” His status as a respected TV personality gave the company instant credibility for some borrowers.

“Using Mr. Williams’ reputation as a trusted celebrity endorser, MoneyMutual marketed loans to struggling consumers with sky-high interest rates – sometimes in excess of 1,300% – that trapped New Yorkers in destructive cycles of debt,” DFS Superintendent Benjamin Lawsky said in a statement.

Lawsky says DFS will continue investigating other payday lead-generators.

In a statement from the PR firm representing Montel, the celebrity puts a little bit of distance between himself and the company’s operations while still voicing support for MoneyMutual and for short-term loans in general.

“The DFS has made no finding of a violation of law by Mr. Williams, and the agreement does not require him to pay any fines or penalties,” reads the statement. “Mr. Williams and his staff have cooperated fully with the DFS throughout the course of the investigation.”

It continues, “As is typical of an endorsement agreement, Mr. Williams has no role whatsoever in the business operations of Selling Source, and his role is limited to that of a celebrity endorser.”

The statement also notes that Montel, during his time at the U.S. Naval Academy, took out short-term loans “on more than one occasion and paid those loans back on time.”

What the statement doesn’t point out is that this would now likely be illegal, as the Military Lending Act of 2007 effectively bans active-duty military personnel from taking out high-interest loans; specifically because it can trap soldier in debt that may make them a security risk.

“Mr. Williams is not blind to the problems of the industry – his endorsement of Money Mutual is reflective of its efforts to lead the industry in self-regulation,” concludes the statement. “Naturally, we are deeply concerned any time a consumer reports an issue with any product or service with which he is associated and, as we always have, we will fully investigate and attempt to resolve any issue brought to our attention.”

by Chris Morran via Consumerist

jikIn Wake Of Arbitration Report, Consumer Advocates Ask CFPB To Revoke Banks’ “License To Steal”de

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While fewer than 8% of all banks put arbitration clauses on deposit accounts, those few banks account for nearly half of all insured deposits in the U.S. (source: CFPB)

This morning, the Consumer Financial Protection Bureau released its final report on forced arbitration, showing how banks and credit card companies use contractual clauses to short-circuit class-action lawsuits from their customers. Now that the Bureau has done its research, consumer advocates are calling on regulators to use their authority to end the practice.

The CFPB report found that 75% of Americans don’t know if their credit card, checking account, student loan, or cellphone contract includes a forced arbitration clause. Even worse, of the tens of millions of consumers restricted by arbitration, fewer than 7% actually know that they no longer can sue these companies in open court.

Additionally, most arbitration clauses include a ban on class actions, even if the group of wronged consumers hope to seek joint arbitration. As the report pointed out, these bans have become an important tool for credit card companies who frequently cite their arbitration clauses as a way to preempt group litigation.

In recent years, these clauses have been repeatedly upheld by the nation’s highest court. First came the 2011 Supreme Court ruling in AT&T Mobility v. Concepcion, in which a narrowly divided court ruled that the inclusion of a few paragraphs of text in a cellphone contract that can’t be altered by the end user, but which is frequently altered by the wireless company, is a completely legal way to prevent consumers from joining together in a class action lawsuit.

In 2013, SCOTUS went even further in affirming the difficulty of challenging arbitration clauses. In the matter of American Express v. Italian Colors Restaurant, a group of AmEx-accepting merchants claimed that the only way they could afford to mount an antitrust lawsuit against the credit card giant was to pool their resources in a class action. On an individual basis, the costs would be too high and the rewards too little to justify the expense. But the SCOTUS majority held there was no “effective vindication” exemption, even if it allowed companies to break the law.

To the folks at Public Citizen, this effectively granted businesses a “license to steal” from their customers, at least in instances where it would be too expensive to prove a case in arbitration.

“The predatory practice is particularly severe in the consumer financial sector, where low-dollar abuses – such as illegal charges and add-on fees – are common,” explains Public Citizen in a statement. “Small-dollar illegal charges can lead to significant profits for companies because they affect large numbers of consumers. Class actions often are the only economically feasible way for consumers to seek remedies for these losses and systemic violations of the law.”

The group, along with several other advocates have called on the CFPB to follow up its report with meaningful action that makes arbitration a choice; not the only option.

“Basic legal protections have no meaning if companies can’t be held accountable under the law,” explains our colleague George Slover, senior policy counsel at Consumers Union. “We hope the CFPB will now use its authority to prohibit forced arbitration from being a pre-condition for getting a credit card or a bank account.”

National Consumer Law Center attorney David Seligman, says the CFPB findings on arbitration are “crystal clear.”

“These clauses are written by corporations to set up a secret and lawless process that prevents

consumers from holding corporations accountable for unlawful conduct” he says in a statement. “The CFPB should act quickly to ban forced arbitration in consumer financial contracts.”

The Financial Services Roundtable, which counts many of the nation’s largest banks and credit credit issuers among its members, has come out in defense of the process.

“Arbitration makes it possible for American consumers to resolve disputes in a cost-effective, fair and timely manner that often benefits all parties involved,” said FSR Senior Vice President of Legal and Regulatory Affairs Richard Foster. “This is an important tool for the customers of financial institutions that helps keep costs down and keeps financial products, including credit cards and checking accounts, affordable. While FSR is still reviewing the full report, we urge the CFPB to continue working with the industry to educate consumers about this important benefit.”

But, CU’s Slover has a counter argument: “Banks and other financial services companies claim that arbitration is somehow better for consumers than going to court. But if that were really true, the banks and lenders wouldn’t need to force consumers to agree to it.”

by Chris Morran via Consumerist

jikTheft Of Truck Trailer Prevents Multiple Tons Of Mozzarella From Achieving Delicious Pizza Fatede

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(me and the sysop)

Admittedly, a truck full of cheese would be a tempting sight for many, yours truly included. But some dastardly villain took things a step too far, swiping a tractor-trailer filled with multiple tons of mozzarella cheese, keeping it from heading off into the delicious pizza sunset it was destined for. That’s just wrong.

The truckload of shredded mozzarella was originally bound for a pizza distribution center in Florida, reports Ocala.com. The amount swiped is enough cheese for tens of thousands of pizza pies, the site notes, making the crime that much more real.

According to the police, the driver left the locked trailer in a truck parking lot while he was having the hauler checked out by a mechanic. The next day when his girlfriend drove by the lot to check on the refrigerated trailer, she saw it was missing.

Police found that a hauler attached to another trailer had also been taken, presumably to have something to haul the trailer with. While the cheese is estimated to be worth about $85,000, the trailer itself is valued at $62,000 and the missing hauler is worth $130,000, according to reports.

Truck, trailer, tons of mozzarella stolen from parking lot in Summerfield [Ocala.com]

by Mary Beth Quirk via Consumerist

jikMcDonald’s Reportedly Adding Kale To The Menu After Bashing The Vegetable Earlier This Yearde

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A McDonald’s ad earlier this year denounced kale, but new reports how the fast food giant may be adding the vegetable to its menu.

McDonald’s latest attempt to transform itself into a “modern, progressive burger company” that can attract a younger consumer base apparently includes adding everyone’s (okay, maybe not everyone) favorite superfood to the menu: kale.

Business Insider reports that the Golden Arches’ plan to add the leafy green is part of its push to embrace consumers’ evolving tastes.

Analysts with Janney Capital Markets revealed the addition of kale to the menu in a recent report, saying the vegetable could be used in salads or smoothies.

The analysts, who cite unnamed sources, say including kale could be a step in the right direction when it comes to consumers’ not-so-affectionate feelings for the fast-food company.

A spokesperson for McDonald’s was coy when asked to confirm the leafy vegetable’s forth-coming menu status.

“As we continue to listen to our customers, we’re always looking at new and different ingredients that they may enjoy,” the spokeswoman told Business Insider.

Over the past several years kale has gained popularity among health-conscious consumers because of its nutritional value and plethora of uses, where as McDonald’s has suffered slumping sales and challenges attracting younger generations.

According to Business Insider, McDonald’s reported embrace of kale is a stark contrast to the company’s previous standpoint on the vegetable.

Earlier this year, the company released an ad called “The Unapologetic Big Mac,” that shared a decidedly anti-kale attitude. The spot included jabs at foodies who prefer healthier food options like greek yogurt and kale.

McDonald’s is having a huge identity crisis [Business Insider]

by Ashlee Kieler via Consumerist

jikHackers Can Now Use One Free Tool To Hijack Your Facebook-Linked Login For Pretty Much Any Sitede

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(Raymond Bryson)

Modern life means logging in to about a zillion different websites and apps every week, with about a zillion different accounts. But there are ways to streamline it all — for example, logging in to everything with your Facebook account, as millions do. That’s much more convenient not only for you, but for hackers who have a new way to target you: a free, easy-to-download tool that exploits a bug in those logins to let them hijack your account. Oops.

The researcher who discovered the bug and designed the tool set it loose in the wild last week, Vice’s Motherboard site reports, after claiming Facebook ignored his reports of the problem.

The tool basically works by allowing an attacker to worm their way into a user’s cookies for a specific website and then access their account on that site.

A representative for Facebook told Motherboard that the issue was indeed “well-understood” from last year, and that changes had been made in the past that should help prevent cross-site request forgery. However, Motherboard — with the aid of an outside security expert — tested the tool themselves on two different sites, with mixed results. In two instances it didn’t work; in a third, it did. As they explain:

To take over my account, Homakov [the researcher who wrote the tool] simply created a custom URL using the tool he created. He then he sent that link to me. I clicked on it, then clicked on “Start RECONNECT” on a page built by Homakov, and voila, my fake Mashable account was now linked to his Facebook account, giving him complete access to it. (The attack only works if the victim is logged into his or her Facebook account when clicking on the link, but that’s common for many people, who leave Facebook logged in at all times.)

The security expert Motherboard spoke with confirmed that the flaw is a serious issue, but there is good news: this vulnerability doesn’t just strike out of nowhere. In order to have their logins hijacked, users first need to have clicked on a malicious link, as in a phishing e-mail.

And so although this is a newly-reported vulnerability, age-old internet advice from twenty years ago still applies: be careful what you click. If it looks suspicious, assume it is.

Facebook-Linked Accounts Can Be Hijacked with This Tool [Vice Motherboard]

by Kate Cox via Consumerist

jikMan Accused Of Pointing Laser Beam Into Cockpits Of Several Planes At LaGuardia Airport, Injuring Pilotsde

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(photographybynatalia)

Because there isn’t already enough to worry about when piloting a giant piece of metal flying in the sky, law enforcement in New York say they busted a man accused of shining a powerful laser beam into the cockpits of several aircraft at LaGuardia Airport, injuring the eyes of three pilots.

The Federal Aviation Administration alerted police at LGA to the laser beam aimed into cockpits of several planes taking off and landing, as well as a New York Police Department helicopter last night, reports the New York Times.

That was enough to injure the eyes of three pilots, including the two NYPD officers in the helicopter, authorities said, prompting them to seek medical care after the incident.

Police were able to track the beam of light to its source in an apartment in the South Bronx, and were invited inside. After seeing a device on top of the refrigerator labeled “Laser 303″ and “Danger,” 36-year-old man then “admitted to officers that he is the owner of the laser and did use it that evening,” according to a statement from the NYPD.

He was arrested and charged with two counts of assault on a police officer, three counts of felony assault, reckless endangerment and criminal possession of a weapon.

Things are getting so dangerous in the skies that the Federal Bureau of Investigation launched a program last year, offering up $10,000 in rewards for information on people targeting planes with lasers.

In New York alone, laser episodes went from 52 in 2010 to 99 in 2013, with officials saying that pilots and their crews were injured in many of those instances.

“Interfering with a flight crew is a federal crime. So, the FBI has looked into these laser incidents over the last several years,” said Richard Kolko, special agent with the FBI in June. “We’ve located some of them. Several of them have been prosecuted.”

Bronx Man Is Charged in La Guardia Airport Laser Case [New York Times]

by Mary Beth Quirk via Consumerist