Consumer News & Alerts

November 3, 2008

Martin H. Bosworth | ConsumerAffairs.com | News

AT LAST: BAILOUT TRICKLING DOWN TO HOMEOWNERS
The Washington Post'sDavid Broder says the McCain-Obama match-up has been the best presidential campaign he's ever covered. We're glad he's enjoyed himself. Too bad the candidates and their handlers have paid so little heed to the immediate plight of the millions of homeowners who are facing foreclosure.

It's hard to remember a campaign whose candidates and the trailing press hordes have been so oblivious to the crisis staring them and their presumed supporters and readers in the face. Had it not been for FDIC Chair Sheila Bair (of Kansas, by the way), troubled homeowners would still be on the sidelines.

It's lonely for a political appointee to take the lead on an issue everyone is trying to ignore, but James R. Hood reports that Bair has pushed through a plan that actually tries to do something for desperate taxpayers. AT LAST: BAILOUT TRICKLING DOWN TO HOMEOWNERS

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Like global warming before it, even the most ardent deniers have come around to accepting the reality that the global economy is in a recession. The question now becomes how long it will last, when things will turn around, and how much pain there will be in the meantime. Mark Huffman investigates the current economic gloom, and speaks to an expert who predicts that while the next few months will be tough, we can expect a recovery to begin sometime in mid-2009. Read more...

MORE PETS TURNED OVER TO SHELTERS IN AILING ECONOMY
There have been a lot of casualties of the economic crash, but the most innocent ones aren't even human--they're the pets consigned to shelters or given up for adoption by families who can't afford to take care of them. An increasing number of pet owners all across the country are saying goodbye to their pets due to rising costs--and shelters, animal rescue groups, and the Humane Society is struggling to keep up. Lisa Wade McCormick take a look at the sad story, and what you can do to help give a pet a new home in tough times. MORE PETS TURNED OVER TO SHELTERS IN AILING ECONOMY

This week's economic and financial news...

• "Flawed" 401(k) Laws Putting Retirement at Risk Defined-contribution plans not meant to replace pensions.

• In Times of Tight Credit, Retailers Revive Layaway "Buy now, pay later" becomes "Pay a bit at a time."

• Consumer Confidence Plunges to Record Low Survey of 5,000 households shows bleak sentiments.

• New Home Sales Rise in September Another sign of a shifting market.

CHRYSLER NIXES HYBRID SUVs
Sport utility vehicles aren't exactly known for setting land speed records, but Chrysler made an exception this week -- canceling production of its much-heralded Aspen and Dodge Durango Hemi hybrid SUVs, and closing the plant scheduled to produce them, only two months after announcing the new products. Truman Lewis reports that GM is also scaling back production of its own hybrid trucks. The question is, are drivers going to go back to regular gas-guzzlers now that prices are falling, or have we turned the corner permanently towards wanting fuel-efficient cars? CHRYSLER NIXES HYBRID SUVs

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Speaking of GM and Chrysler, the two are nervously edging towards one another like lonely high schoolers at the prom, gingerly teasing towards a merger. Giving them a boost is none other than Uncle Sam, as sources report that the Treasury Department might buy as much as $3 billion in stock as part of a series of moves to provide a cash cushion for the carmakers. Much like Wall Street, the auto industry may now be considered simply "too big to fail." Read more...

This week's automotive news...

• Gas Prices Settle Still Lower for Weekend Average drops to $2.50 a gallon for regular unleaded.

• Toyota Land Cruiser Earns High Marks inConsumer ReportsTests SUV lauded for comfort, while other brands get low grades.

• ATV Injuries and Deaths Continue to Rise Consumer groups say hazards from all-terrain vehicles "unabated."

• Americans Drove 15 Billion Fewer Miles Than One Year Ago 5.6 percent drop between August 2007 and August 2008.

The week's recalls....

ADVISORY PANEL BLASTS FDA'S BISPHENOL-A STANCE
In the wake of the Food and Drug Administration's (FDA) assertion that the chemical bisphenol-A (BPA) was safe in small amounts for both children and adults, a scientific panel convened by that very same agency took issue with that stance. The panel said that the FDA ignored research showing that BPA was dangerous and did not have enough samples of infant formula to test for any potential problems. Many retailers have not waited for the FDA and have already pulled products made with BPA from the shelves, while manfacturers want more guidance from the agency before making a decision. ADVISORY PANEL BLASTS FDA'S BISPHENOL-A STANCE

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Another merger with potentially huge consequences for consumers completed this week. Delta and Northwest Airlines merged into a single entity operating under the Delta name, serving customers in 66 countries and more than 375 worldwide cities. It will have 75,000 worldwide employees, and is expected to yield $2 billion in new revenue. Critics of the merger said that the new "world's biggest airline" could lead to higher prices and reduced competition for traveler dollars. Read more...

The week's consumer protection news...

• Minnesota Extendicare Properties Face Class Action Vulnerable elderly patients misled, mistreated, suit charges.

• Educational Research Center Settles Privacy Suit Nonprofit sold data on students to commercial marketers.

&$149; Mexican "Vanilla" May Be Anything But Plain Flavoring product contains toxic substance banned in U.S.

• Public Citizen Seeks Avandia Ban Consumer group says diabetes drug is too dangerous for use.

• Going Out of Business Sales Not Always a Bargain Do your homework before putting cash down for clearance offers.

• Mars Recalls Cat Food Sold at Wal-Mart due to Salmonella 15 states see recall of "Special Kitty" product.

• States And FTC Crack Down On Credit Repair Scams 33 operations accused of deceiving consumers.

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It was merger madness this week as Verizon was given the green light by the Justice Department to gobble up rural wireless carrier Alltel. But at the same time, the DOJ is suing Verizon and Alltel in civil court to prevent the merger, and set a series of conditions that would require the merged company to get rid of assets in 22 states, in order to ensure customers can still enjoy a choice of providers of phone service rather than be sucked into a one-company monopoly. Read more...

More technology news...

• Email Breach Yields Nude Photos New Jersey man faces jail term.

• New Jersey Indicts Alleged Online Scammers Consumers paid but didn't get the goods.

• Shopping Around Online Can Drive Down Prices Internet browsing can force more competition among retailers.

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Giving up smoking isn't always as easy as slapping a patch on your arm and chewing lots of gum. It can often take a lot of assistance from your doctor--and many doctors are not effectively trained to help guide their patients through the withdrawal process. New research presented at the 74th annual assembly of the American College of Chest Physicians (ACCP) shows that 87 percent of physicians and other medical professionals receive less than 5 hours of training on tobacco dependence, which can greatly affect whether or not their patients regress into the smoking habit. Read more...

More health news...

• Can Your Doctor Read a Critical Heart Test Correctly? Lack of uniform standards for EKGs can cause mistakes.

• Hospitals Score Low in Patient Survey Patients prefer higher quality of care than what they receive.

• Grapes Might Help Manage Blood Pressure Preliminary research shows fruit improves heart health.

• Should Seniors Get Their Teeth Whitened? Procedure can be costly if preemptive steps aren't taken.

• Stress Affects Older Adults More than Young Adults Tests explore roots of decision-making under trying circumstances.

• Green Neighborhoods May Reduce Childhood Obesity More natural environs encourage healthier development and behavior.

• Duke Researchers: B Cells Can Fight Nerve Disease But caution required, as treatment could cause problems in some patients.

• Is Arthritis A Warning of Heart Trouble? Researchers find evidence of link, but no conclusions.

• "Rotten Egg" Gas Linked to Blood Pressure Researchers explore hydrogen sulfide's role as "gastrotransmitter."

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