# ConsumerNews.ai
> ConsumerNews.ai - Unbiased, non-commercial news about cars, finance, health, insurance, AI, privacy and more. Completely confidential, no data collected.
Public Ghost content for AI and LLM tooling. This file includes a bounded export of public pages first, then recent public posts.
Append `.md` to any post or page URL to get the content in Markdown (for example, `/example-post.md`).
## Pages
### About this site
URL: https://www.consumernews.ai/about/
Last updated: 2026-08-25T16:02:16.000Z
ConsumerNews.ai is a publication of Codependent Media LLC. It is an independent site that describes itself as "nonpartisan, pro-consumer," meaning that it reports news of importance to consumers, with an emphasis on public policy and consumer protection.
The editor and publisher is James R. Hood, an editor and consumer-affairs journalist with more than five decades of experience. He has held senior editorial leadership roles at The Associated Press, United Press International, Zapnews and ConsumerAffairs. He covers consumer protection, health care, insurance, financial services, automotive issues, and government oversight.
The site's editors are drawn from the Washington, D.C., community and include retired journalists and new entrants to the trade.
We offer free newsletter subscriptions. At the moment, we are not accepting advertising and do not accept paid marketing material.
**About AI**
We believe that, to survive, newsrooms must use Artificial Intelligence for routine stories and "fixtures," recurring features that do not break new ground. We use ChatGPT, Perplexity and other AI services in research and editing, although human editors supervise and edit copy at all stages of production. We emphasize straight information rather than entertaining, outraged or humorous presentation techniques.
Codependent Media, LLC
6628 Sky Pointe Dr. Ste. 129-1072
Las Vegas, NV 89131-4076
Please see the [Contact Page](https://www.consumernews.ai/contact-us/), [Privacy Policy](https://www.consumernews.ai/privacy-policy/) and [Terms of Use](https://www.consumernews.ai/terms-of-use/) for more information.
[Follow us in Google News](https://www.google.com/preferences/source?q=consumernews.ai&ref=consumernews.ai).
### Article Submission
URL: https://www.consumernews.ai/article-submission/
Last updated: 2026-03-08T22:45:23.000Z
_No content available._
### Submit Test Page
URL: https://www.consumernews.ai/submit-test-page/
Last updated: 2026-03-14T21:40:02.000Z
Go to our [special test app](https://frontline-story-sync.base44.app/?ref=consumernews.ai)
### Health
URL: https://www.consumernews.ai/health/
Last updated: 2026-06-19T18:11:31.000Z
xcxcxcxcxcx
### AI/Privacy
URL: https://www.consumernews.ai/ai-privacy/
Last updated: 2026-06-19T18:29:33.000Z
Artificial Intelligence (AI) is rushing us toward a future that, among other things, will pose new challenges for privacy.
### Contact Us
URL: https://www.consumernews.ai/contact-us/
Last updated: 2026-07-18T22:00:31.000Z
Use this form to get in touch! Your comments are confidential and are transmitted and stored in secure encrypted form.
Trust the mail? Feel free to write to us but don't expect a quick answer.
Codependent Media LLC.
6628 Sky Pointe Dr Ste 129
Las Vegas NV 89131
### Privacy Policy
URL: https://www.consumernews.ai/privacy-policy/
Last updated: 2026-07-24T21:56:40.000Z
[**ConsumerNews.ai**](http://consumernews.ai/?ref=consumernews.ai) **Effective date:**July 24, 2026
**Last updated:**July 24, 2026
[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) ("we," "us," or "our") is an independent, reader-supported consumer-news publication. We take no advertising, no paid underwriting, and no hidden sponsorships. In keeping with that mission, we collect as little personal information as possible and never sell what we do collect. This policy explains what we gather, why, how we use it, how long we keep it, and the rights you have over it.
By using this website or subscribing to our newsletter, you agree to the practices described here.
**1\. Who we are**
[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) is a property of Codependent Media LLC, Las Vegas, Nevada, United States. For any question about this policy or your personal information, contact us at editor@consumernews.ai.
**2\. Information we collect**
**2a. Information you give us directly**
- **Email address**— if you subscribe to our newsletter, submit a tip, or send us a message.
- **Name (optional)**— if you provide it when subscribing or writing to us.
- **Message content**— anything you send us via email, tip forms, or reader feedback.
**2b. Information collected automatically when you visit the site**
- **Standard server logs**— your IP address, browser type, referring page, pages visited, and time of visit. These are generated by our hosting provider for security, abuse prevention, and basic traffic measurement, and are not linked to your identity.
- **Newsletter analytics**— if you open a newsletter or click a link inside it, our email platform records that event so we know which stories readers find useful. You can disable this by turning off image loading in your email client.
- **Cookies**— we set only the minimum cookies needed for the site to work. We do**not**use advertising cookies, cross-site tracking cookies, or third-party marketing pixels. See Section 6 for details.
**2c. Information we do not collect**
- We do not collect precise location data.
- We do not build advertising or behavioral profiles of readers.
- We do not sell, rent, or share reader lists with data brokers or advertisers.
**3\. How we use your information**
We use the information described above only to:
1. Deliver the newsletter you subscribed to.
2. Reply to your messages, tips, or questions.
3. Keep the site running, secure, and free of abuse.
4. Understand which stories are being read so we can cover them better.
5. Comply with law when we are legally required to.
We do not use your information for advertising, profiling, or automated decision-making.
**4\. Legal bases (for readers in the EU/UK)**
If you are in the European Economic Area, the United Kingdom, or another jurisdiction with similar law, our legal bases for processing are:
- **Consent**— for the newsletter and for optional analytics; you may withdraw consent at any time by unsubscribing.
- **Legitimate interests**— for security logs, fraud/abuse prevention, and understanding aggregate site usage.
- **Legal obligation**— where a valid legal request compels disclosure.
**5\. How we share information**
We share personal information only with the small set of service providers we need to operate the publication, each bound by contract to use it only on our instructions:
- **Ghost**— website management and newsletter delivery.
- **Our email/hosting provider**— for transactional email and server hosting.
- **Cloudflare or similar**— for security and content delivery, where applicable.
We may also disclose information when required by a valid court order, subpoena, or law-enforcement request, and only to the extent legally required. We will notify you of any such request unless prohibited by law.
We do **not** sell your personal information, and we do **not** share it for cross-context behavioral advertising, as those terms are defined under U.S. state privacy laws.
**6\. Cookies and similar technologies**
We use only two categories of cookies:
- **Strictly necessary cookies**— required for the site to function (for example, remembering that you dismissed a notice or that you are signed in as a subscriber).
- **Aggregate analytics cookies**— first-party only, used to count page views. No third-party ad networks are involved.
You can disable cookies through your browser settings; the site will still work, though a few conveniences may not persist between visits.
**7\. Newsletter and unsubscribing**
Every newsletter includes a one-click unsubscribe link. Unsubscribing removes your email address from future sendings within one business day. You may also email us to be removed manually.
**8\. Data retention**
- **Newsletter subscribers:** kept until you unsubscribe, then deleted from active lists within 30 days. A suppression record (your email address, marked as unsubscribed) is retained so that we do not accidentally re-add you.
- **Reader correspondence:** kept for up to two years, then deleted, unless the exchange is part of ongoing reporting.
- **Server logs:** typically retained by our hosting provider for 30–90 days, then rotated.
**9\. Your rights**
Depending on where you live, you may have the right to:
- **Access** the personal information we hold about you.
- **Correct** inaccurate personal information.
- **Delete** your personal information (subject to legal retention).
- **Port** your personal information to another service.
- **Opt out** of the sale or sharing of personal information — we do neither, but you may confirm this in writing at any time.
- **Withdraw consent** to processing that relies on consent.
- **Complain** to your data-protection authority (for EU/UK readers) or your state attorney general (for U.S. readers).
To exercise any of these rights, email editor@consumernews.aifrom the email address the request concerns. We will respond within 30 days (or 45 days for California requests, as permitted by law). We do not discriminate against readers who exercise their rights.
**California residents:** Under the California Consumer Privacy Act (CCPA/CPRA), you have the rights above. In the past 12 months we have not sold or shared personal information for cross-context behavioral advertising, and we have not used sensitive personal information for purposes requiring the right to limit.
**Virginia, Colorado, Connecticut, Utah, and other U.S. state residents:** You have substantially the same rights under your state's consumer privacy law and may exercise them by contacting us as above.
**10\. Children**
[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) is a news publication written for adults. We do not knowingly collect personal information from anyone under 13\. If you believe a child has provided us with personal information, contact us and we will delete it.
**11\. Security**
We use standard technical and organizational safeguards to protect the personal information we hold: encryption in transit (HTTPS), access controls on our administrative systems, and a small circle of people with access to reader data. No system is perfectly secure, but we work to minimize what we hold in the first place so that a breach would affect as little as possible.
If a data breach affecting your personal information does occur, we will notify you and applicable regulators as required by law.
**12\. International transfers**
We are based in the United States. If you access the site from outside the U.S., your information will be processed in the U.S. and in any country where our service providers operate. Where required, we rely on Standard Contractual Clauses or equivalent safeguards for transfers of EU/UK personal data.
**13\. Third-party links**
Our articles frequently link to other websites — government agencies, court filings, corporate press releases, and news outlets. Those sites have their own privacy practices, and we are not responsible for them. Read their policies before providing personal information.
**14\. "Do Not Track" and Global Privacy Control**
We honor **Global Privacy Control (GPC)** signals from your browser as a valid opt-out request under applicable state law. Because we do not sell or share personal information for advertising, GPC does not change our practices — but we recognize the signal.
Older "Do Not Track" browser signals are not currently standardized; we do not respond to them differently from GPC.
**15\. Changes to this policy**
We may update this policy from time to time. If the changes are material, we will post a notice on the site and, where practical, notify newsletter subscribers by email. The "Last updated" date at the top of this page will always reflect the current version.
**16\. Contact**
[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai)
Attn: Editor
editor@consumernews.ai
[*ConsumerNews.ai*](http://consumernews.ai/?ref=consumernews.ai) *is committed to the pro-consumer principles it reports on. If you feel any part of this policy falls short of that standard, tell us — we'll listen.*
### Terms of Use
URL: https://www.consumernews.ai/terms-of-use/
Last updated: 2026-07-24T21:58:46.000Z
[**ConsumerNews.ai**](http://consumernews.ai/?ref=consumernews.ai) **Effective date:**July 24, 2026
**Last updated:**July 24, 2026
Welcome to [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai). These Terms of Use ("Terms") govern your access to and use of the [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) website, newsletter, and any related services (together, the "Service"). Please read them carefully.
By using the Service, you agree to these Terms. If you do not agree, do not use the Service.
**1\. Who we are**
[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) ("we," "us," or "our"), a property of Codependent Media LLC, 6628 Sky Pointe Dr. Ste. 129-1072, Las Vegas, NV 89131-4076, is an independent, reader-supported consumer-news publication. Contact us at editor@consumernews.ai.
Your privacy is governed by our companion [Privacy Policy](https://www.consumernews.ai/privacy-policy/), which is incorporated into these Terms by reference.
**2\. Who may use the Service**
The Service is intended for adult readers. By using it, you represent that you are at least 13 years old (or the minimum age required by law in your country), and that your use complies with all laws that apply to you.
If you use the Service on behalf of an organization, you represent that you have authority to bind that organization to these Terms.
**3\. Not legal, financial, medical, or professional advice**
[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) publishes journalism about consumer protection, cars, insurance, health, personal finance, technology, and government policy. Our reporting is provided for **general information and public-interest purposes only**. It is not, and is not intended to be, legal, financial, medical, tax, insurance, or other professional advice.
- Do **not** rely on anything you read here as a substitute for consulting a licensed professional about your own situation.
- Reporting on lawsuits, settlements, class actions, or recalls describes what has been publicly reported; it does not mean you personally qualify to participate, recover money, or take any specific action.
- Prices, rates, product availability, and regulatory rules change constantly. Always confirm current details with the primary source before acting.
If you need advice, consult a qualified professional in your jurisdiction.
**3a. No professional relationship**
Reading the Service, corresponding with us, sending us a news tip, submitting a reader letter, subscribing to our newsletter, or otherwise interacting with [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) does **not** create any professional relationship between you and us. Specifically, no such contact creates:
- an attorney-client relationship;
- a doctor-patient or other clinical-care relationship;
- a financial-advisor, broker-dealer, tax-preparer, or insurance-agent relationship;
- a fiduciary duty of any kind; or
- any duty of confidentiality beyond what is expressly agreed in writing in advance (see Section 6 on confidential tips).
Our editors and contributors are journalists, not your lawyer, doctor, accountant, financial planner, or insurance agent. Please do not send us confidential information, privileged material, or sensitive personal details (medical records, account numbers, litigation strategy, etc.) expecting that we can act on them, protect them from disclosure, or advise you about them. If we receive such material without a prior confidentiality arrangement, we are free to treat it as on-the-record newsroom correspondence.
If your situation calls for professional advice, please consult a qualified professional licensed in your jurisdiction.
**4\. Accuracy, corrections, and updates**
We work hard to get the facts right, cite our sources, and correct errors promptly. If you spot a mistake, email editor@consumernews.ai and we will review it. We may add, update, or remove stories at any time without notice.
Older articles reflect the facts as we understood them at the time of publication and may not have been updated to reflect later developments.
**5\. Intellectual property**
**5a. Our content**
All original articles, headlines, photographs, illustrations, newsletters, and other content on the Service — other than material clearly attributed to third parties — are the copyrighted work of [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) or its contributors. All rights are reserved.
**5b. What you may do**
You may:
- Read, print, and save copies for **your own personal, non-commercial use**.
- Share links to our articles freely on social media, in emails, and in other online discussions.
- Quote **short excerpts** (a paragraph or two) for commentary, criticism, teaching, or news reporting under fair use, with clear attribution and a link back to the original story.
**5c. What you may not do without our written permission**
- Republish, syndicate, or repost full or substantial portions of our articles on another website, newsletter, or app.
- Use our content to train, fine-tune, or build datasets for machine-learning or generative-AI systems.
- Scrape, harvest, or systematically download our content by any automated means.
- Remove or alter copyright, byline, or source attributions.
- Sell, license, or monetize our content, or use it in advertising or product marketing.
To request permission for republication, syndication, translation, academic use, or dataset licensing, email editor@consumernews.ai. We're reasonable about legitimate requests, especially for non-commercial and educational uses.
**5d. Trademarks**
"[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai)" and any associated logos are our trademarks. You may not use them without written permission except in factual, non-misleading references to our publication.
**6\. User submissions**
If you send us a news tip, letter to the editor, correction, reader comment, or any other material (a "Submission"), you grant [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) a non-exclusive, worldwide, royalty-free, perpetual license to publish, edit, excerpt, and archive it in connection with the Service. You represent that:
- The Submission is yours, or you have the right to share it.
- It does not violate anyone's privacy, copyright, contract, or other rights.
- It is not defamatory, threatening, or otherwise unlawful.
We may edit Submissions for length, clarity, and style, and we may choose not to publish anything. We are not obligated to keep Submissions confidential unless you clearly mark them as off-the-record or on background*and*we agree in writing before you send sensitive material.
For confidential tips, contact us first at editor@consumernews.ai to arrange a secure channel.
**7\. Acceptable use**
When using the Service, you agree not to:
- Post, submit, or transmit unlawful, defamatory, harassing, or infringing material.
- Impersonate any person or misrepresent your affiliation with any organization.
- Introduce viruses, malware, or other harmful code.
- Attempt to gain unauthorized access to any part of the Service, another user's account, or our systems.
- Interfere with or disrupt the Service or its infrastructure (including denial-of-service attacks, excessive automated requests, and probing for vulnerabilities).
- Use the Service to send spam or unsolicited commercial messages.
- Use robots, spiders, scrapers, or AI-training crawlers to collect content from the Service except as expressly permitted by our robots.txt.
- Frame, mirror, or deep-link the Service in a way that misrepresents its origin or sponsorship.
We may suspend or terminate access for anyone who violates these rules.
**8\. Newsletter**
You may subscribe to our email newsletter by providing your email address. Every issue contains a one-click unsubscribe link. Newsletter delivery, tracking, and retention are described in our [Privacy Policy](https://www.consumernews.ai/privacy/).
We do not sell, rent, or share our subscriber list.
**9\. Third-party content and links**
The Service links extensively to third-party sources: government agencies, court records, corporate press releases, other news outlets, academic studies, and consumer-advocacy organizations. These links are provided for reference and do not constitute an endorsement.
We are not responsible for the accuracy, availability, privacy practices, or content of third-party sites. Your dealings with any third party linked from the Service are solely between you and that third party.
**10\. AI, automated agents, and syndicated republication**
Because we produce original consumer-protection journalism and rely on no advertising, unlicensed republication and AI training uses cause direct harm to the publication and to our readers.
- **AI training and dataset use is prohibited** without a written license from us. This applies whether the content is accessed directly, via cached copies, via aggregators, or via search-engine snippets that exceed fair-use excerpting.
- **Automated agents** (crawlers, scrapers, LLM-powered browsers, retrieval systems) must respect our robots.txt and any publishedai.txt or licensing declarations. Ignoring those files does not create a right to use our content.
- **Aggregators, syndicators, and content farms** that reproduce our articles in full without a license are infringing our copyrights.
If you operate an AI system, aggregator, or research project and want to license our archive, email editor@consumernews.ai. We license non-commercial academic and archival use on generous terms.
**11\. DMCA and copyright complaints**
If you believe content on the Service infringes your copyright, send a written notice to editor@consumernews.aithat includes:
1. Your physical or electronic signature.
2. Identification of the copyrighted work you claim has been infringed.
3. The URL of the material you claim is infringing.
4. Your address, phone number, and email.
5. A statement that you have a good-faith belief the use is not authorized by the copyright owner, its agent, or the law.
6. A statement, under penalty of perjury, that the information in the notice is accurate and that you are the copyright owner or authorized to act on the owner's behalf.
We will respond to properly documented notices in accordance with the U.S. Digital Millennium Copyright Act (17 U.S.C. § 512). Repeat infringers will lose access to the Service.
**12\. Disclaimer of warranties**
The Service is provided "as is" and "as available."To the fullest extent permitted by law, we disclaim all warranties, express or implied, including any warranties of merchantability, fitness for a particular purpose, non-infringement, accuracy, and uninterrupted or error-free operation.
We do not warrant that the Service will be available at any particular time, that defects will be corrected, or that the Service is free of viruses or harmful components. You use the Service at your own risk.
Some jurisdictions do not allow the exclusion of certain warranties. If the law in your jurisdiction applies, some of the exclusions above may not apply to you, and you may have additional rights.
**13\. Limitation of liability**
To the fullest extent permitted by law, in no event will [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai), its editor, contributors, contractors, or service providers be liable for any indirect, incidental, special, consequential, punitive, or exemplary damages, or for any loss of profits, revenue, data, use, goodwill, or other intangible losses, arising out of or in connection with your use of the Service — even if we have been advised of the possibility of such damages.
Our total liability for any claim arising out of or relating to these Terms or the Service will not exceed **one hundred U.S. dollars ($100)** or the amount you paid us in the twelve months before the claim, whichever is greater. Because the Service is free to readers, this limit will typically be $100.
Some jurisdictions do not allow the limitation of liability for certain damages. Nothing in these Terms limits liability that cannot be limited by law.
**14\. Indemnification**
You agree to defend, indemnify, and hold harmless [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) and its editor, contributors, and service providers from any claim, demand, damage, loss, or expense (including reasonable attorneys' fees) arising out of or related to (a) your breach of these Terms, (b) your use of the Service, (c) your Submissions, or (d) your violation of any law or third-party right.
**15\. Termination**
We may suspend or terminate your access to the Service at any time, with or without notice, for any reason, including violation of these Terms. On termination, the provisions that by their nature should survive (including Sections 3, 5, 6, 10, 11, 12, 13, 14, 16, 17, 18, and 19) will survive.
You may stop using the Service at any time. To close a newsletter subscription, use the unsubscribe link in any issue or email us.
**16\. Governing law**
These Terms are governed by the laws of the state of Nevada, United States, without regard to its conflict-of-laws principles. The United Nations Convention on Contracts for the International Sale of Goods does not apply.
**17\. Dispute resolution**
**Informal resolution first.** Before filing any formal claim, please email editor@consumernews.ai with a description of the dispute so we can try to resolve it informally. Most issues can be sorted out this way.
**Venue.** If a dispute cannot be resolved informally, you and [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) agree that any lawsuit will be brought exclusively in the state or federal courts located in C**lark County, Nevada**, and each party consents to the personal jurisdiction of those courts.
**No class actions.**To the extent permitted by law, you and [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) agree that disputes will be resolved on an **individual basis** and not as a class, collective, or representative action.
**Small claims.** Nothing in this section prevents either party from bringing an individual action in small-claims court.
**18\. Changes to these Terms**
We may update these Terms from time to time. If the changes are material, we will post a notice on the site and, where practical, notify newsletter subscribers by email. The "Last updated" date at the top of this page will always reflect the current version. Your continued use of the Service after changes take effect constitutes acceptance of the updated Terms.
**19\. Miscellaneous**
- **Entire agreement.**These Terms, together with the Privacy Policy, are the entire agreement between you and [ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai) concerning the Service, and supersede any prior agreements on the same subject.
- **Severability.** If any provision of these Terms is found unenforceable, the remaining provisions will remain in full force.
- **No waiver.** Our failure to enforce any provision does not waive our right to enforce it later.
- **Assignment.** You may not assign these Terms without our written consent. We may assign them to a successor in connection with a merger, acquisition, or sale of the publication.
- **Headings.** Section headings are for convenience only and do not affect interpretation.
- **Contact.**For any question about these Terms, email editor@consumernews.ai.
**20\. Contact**
[ConsumerNews.ai](http://consumernews.ai/?ref=consumernews.ai)
Attn: Editor
editor@consumernews.ai
[*ConsumerNews.ai*](http://consumernews.ai/?ref=consumernews.ai) *is committed to fair dealing with its readers. If any part of these Terms strikes you as overreaching or out of step with a pro-consumer publication, tell us — we'll listen.*
### Delta NewsTracker
URL: https://www.consumernews.ai/delta-newstracker/
Last updated: 2026-07-28T14:11:55.000Z
[Delta and JetBlue roll out stripped-down premium faresPay a little bit less for sort of luxury travel is the latest travel mantra.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/delta-and-jetblue-roll-out-stripped-down-premium-fares/)
[Delta unveils ‘basic business’ as premium cabins go stratifiedGet the seat but not all the service in stratified airline premium cabinsConsumerNews.aiThe Editors](https://www.consumernews.ai/delta-unveils-basic-business-as-premium-cabins-go-stratified/)
[Airlines keep finding new ways to charge more — now they’re even selling the absence of a middle seatThe move comes as Delta, United and other major airlines continue expanding “unbundled” fares that remove benefits once included in the ticket price, then charge travelers to get them backConsumerNews.aiJames R. Hood](https://www.consumernews.ai/airlines-keep-finding-new-ways-to-charge-more-now-theyre-even-selling-the-absence-of-a-middle-seat/)
### Talcum Powder NewsTracker
URL: https://www.consumernews.ai/talcum-powder-newstracker/
Last updated: 2026-07-28T18:09:15.000Z
[J&J offers $5.5 billion to settle 76,000 talcum powder cancer claimsThe proposed settlement would resolve nearly all remaining lawsuits alleging Johnson & Johnson’s talc-based powders caused ovarian cancer.ConsumerNews.aiThe Editors](https://www.consumernews.ai/j-j-offers-5-5-billion-to-settle-76-000-talcum-powder-cancer-claims/)
[Mass tort or class action? Why the difference mattersNot every lawsuit with thousands of plaintiffs is a class action. It’s important to know the difference.ConsumerNews.aiThe Editors](https://www.consumernews.ai/mass-tort-or-class-action-why-the-difference-matters/)
[Talc lawsuit checklist: What records to preserve nowIf you’ve been diagnosed with ovarian cancer or mesothelioma after using talc products, it’s important to keep track of all aspects of your case.ConsumerNews.aiThe Editors](https://www.consumernews.ai/talc-lawsuit-checklist-what-records-to-preserve-now/)
[Judge questions whether 69,000 J&J talc plaintiffs can prove powder caused their cancerA federal magistrate judge has ordered thousands of ovarian-cancer plaintiffs to explain how they can prove that Johnson & Johnson talc caused each woman’s illness.ConsumerNews.aiThe Editors](https://www.consumernews.ai/judge-questions-whether-69-000-j-j-talc-plaintiffs-can-prove-powder-caused-their-cancer/)
### Gold - Good Idea?
URL: https://www.consumernews.ai/gold-good-idea/
Last updated: 2026-08-10T13:05:34.000Z
[Is gold a wise investment for smaller investors?Consumers are constantly bombarded with come-ons for gold investment “opportunities.” Some of these are downright fraudulent and the rest are a big, shall we say, optimistic. Here’s what the experts tell us.ConsumerNews.aiThe Editors](https://www.consumernews.ai/is-gold-a-wise-investment-for-smaller-investors/)
August 10, 2026
[Warning: Gold bar scam targeting seniorsPop-up messages claim victims’ computers or financial accounts have been compromised.ConsumerNews.aiThe Editors](https://www.consumernews.ai/warning-gold-bar-scam-targeting-seniors/)
August 10, 2026
### Car Insurance News Tracker
URL: https://www.consumernews.ai/c/
Last updated: 2026-08-11T09:37:12.000Z
[Your auto insurance may not protect you as well as you thinkAuto insurers failed to pay 45% of the liability and medical claims they resolved last year, up from about 35% a decade ago, according to a Wall Street Journal investigation.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/your-auto-insurance-may-not-protect-you-as-well-as-you-think/)
August 11, 2026
[7 ways to keep your car insurer from denying your claimYou car insurance may not cover everything you think it does. This can cause big problems if you have an accident.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/7-ways-to-keep-your-car-insurer-from-denying-your-claim/)
August 11, 2026
[State Farm gives $5 billion back to some customers; why don’t others do the same?Well, for one thing, the refund is only for car insurance; for another, it’s a “mutual” company, owned by its customersConsumerNews.aiJames R. Hood](https://www.consumernews.ai/state-farm-gives-5-billion-back-to/)
March 2, 2026
[Insurance watchdog slams industry for rising costs, unfair pricingConsumer advocate says insurers exploit mandates, credit scores, and climate change to boost profitsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/insurance-watchdog-slams-industry/)
November 7, 2025
### Lettuce Recall News Tracker
URL: https://www.consumernews.ai/lettuce-recall-news-tracker/
Last updated: 2026-08-12T16:20:13.000Z
Lettuce is the primary culprit in the latest Cyclospora oubreak.
[Food safety alarms grow as produce outbreaks trigger lawsuits — and new FDA guidanceNew FDA regulations, a flood of lawsuits and updated consumer safety information are the latest in the food crisis.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/food-safety-alarms-grow-as-produce-outbreaks-trigger-lawsuits-and-new-fda-guidance/)
August 12, 2026
[Why washing lettuce isn’t enoughWashing fresh fruits and vegetables is still a good idea. But outbreaks involving Cyclospora, Salmonella and other pathogens demonstrate why consumers shouldn’t think of rinsing produce as a guarantee of safety.ConsumerNews.aiThe Editors](https://www.consumernews.ai/why-washing-lettuce-isnt-enough/)
August 12, 2026
[Cyclospora cases surge as thousands fall ill in fast-growing outbreakFederal investigators have linked a major five-state cluster to shredded iceberg lettuce supplied by Taylor Farms de MexicoConsumerNews.aiJames R. Hood](https://www.consumernews.ai/cyclospora-cases-surge-as-thousands-fall-ill-in-fast-growing-outbreak/)
July 21, 2026
[Lettuce linked to major Cyclospora outbreak: What consumers should do nowFederal investigators have linked shredded iceberg lettuce served at Taco Bell restaurants in five states to a multistate outbreak that has sickened at least 1,644 people.ConsumerNews.aiThe Editors](https://www.consumernews.ai/lettuce-linked-to-major-cyclospora-outbreak-what-consumers-should-do-now/)
July 17, 2026
### Meta Social Media News Tracker
URL: https://www.consumernews.ai/meta-social-media-news-tracker/
Last updated: 2026-08-26T14:10:36.000Z
[Meta settles child-safety suit with 48 states for $18 billionMeta is bringing TikTok and YouTube along for the ride, in an unusual proposal.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-settles-child-safety-suit-with-48-states-for-18-billion/)
August 26, 2026
[Meta goes on trial to face charges it purposely made Instagram and Facebook hard to turn away from\* Meta faces a potential penalty of $1.4 trillion in case brought by four states. Attorneys say it could equal or exceed the tobacco settlements of the 1990s. \* The suit charges that Meta knew its platforms were hard for kids to break away from, dooming them to spend hours onlineConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-goes-on-trial-to-face-charges-it-purposely-made-instagram-and-facebook-hard-to-turn-away-from/)
August 18, 2026
[Meta ordered to pay $567 million — and change Facebook and Instagram to protect childrenA New Mexico judge ordered Meta to pay $567 million into programs addressing harms to young people, bringing the company’s liability in the state case to $942 million.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-ordered-to-pay-567-million-and-change-facebook-and-instagram-to-protect-children/)
August 7, 2026
[Meta says states are seeking $1.4 trillion in teen social media caseThe August trial is part of a broader wave of social media litigation that could reshape how platforms are designed for children and teensConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-says-states-are-seeking-1-4-trillion-in-teen-social-media-case/)
July 8, 2026
[Meta must face August trial over claims it addicted children to Facebook and InstagramThe case is scheduled for an August trial in Oakland and could shape how far states can go in treating social-media design as a consumer-protection issue.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-must-face-august-trial-over-claims-it-addicted-children-to-facebook-and-instagram/)
July 1, 2026
[Meta, Google found liable, jury doubles verdict in social media addiction trialA major setback that’s likely to lead to a stream of litigation and regulationConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-google-found-liable-jury-doubles/)
March 25, 2026
[Jury slaps Meta with $375 million penalty in child-safety caseThe case could reshape how social media companies are held accountable—and reignite debate over federal liability protectionsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/jury-slaps-meta-with-375-million/)
March 24, 2026
[Meta, Google await jury decision in crucial social media addiction trialThe outcome could open the floodgates for more litigation and enormous financial penaltiesConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-google-await-jury-decision-in/)
March 23, 2026
### Surveillance Pricing News Tracker
URL: https://www.consumernews.ai/surveillance-pricing-news-tracker/
Last updated: 2026-08-19T21:40:48.000Z
[FTC puts retailers on notice over personalized pricingCompanies are warned not to use data their have gathered about individual consumers unlawfully.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/ftc-puts-retailers-on-notice-over-personalized-pricing/)
August 19, 2026
[The algorithm sets the price: how major U.S. newspapers personalize subscription offers — and what the Washington Post lawsuit means for the industryThe complaint is the first major test of so-called surveillance pricing in the U.S. news industry, but the practice is not unique to the Post.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/the-algorithm-sets-the-price-how-major-u-s-newspapers-personalize-subscription-offers-and-what-the-washington-post-lawsuit-means-for-the-industry/)
June 26, 2026
[Washington Post hit with class-action lawsuit alleging it used a decade of reader data to set higher subscription prices for its most loyal readersGrowing awareness of “surveillance pricing” lands a prominent defendantConsumerNews.aiJames R. Hood](https://www.consumernews.ai/washington-post-hit-with-class-action/)
June 12, 2026
[Maryland outlaws ‘predatory pricing,’ other states may followIt’s also called “dynamic” or “surveillance” pricing and it is not the consumer’s friendConsumerNews.aiJames R. Hood](https://www.consumernews.ai/maryland-outlaws-predatory-pricing/)
April 20, 2026
### Amazon Groceries
URL: https://www.consumernews.ai/amazon-groceries/
Last updated: 2026-09-08T13:14:09.000Z
[Has Amazon lost its mind? Customers say grocery delivery is a messAmazon grocery customers say the system seems to be having a nervous breakdown.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/has-amazon-lost-its-mind-customers-say-grocery-delivery-is-a-mess/)
[Online grocery delivery: How the major options compareAmazon’s not the only game in town. Here are some other grocery delivery options.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/online-grocery-delivery-how-the-major-options-compare/)
### The iPhone
URL: https://www.consumernews.ai/the-iphone/
Last updated: 2026-09-09T21:09:55.000Z
[From Ma Bell to the $2,000 iPhone: How the telephone went from regulated utility to luxury product$1,999 and up for the iPhone Duo? How did telephones get this expensive?ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/from-ma-bell-to-the-2-000-iphone-how-the-telephone-went-from-regulated-utility-to-luxury-product/)
[Affordability Watch: What did telephone service actually cost?Telephones have really gotten expensive -- or have they?ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/affordability-watch-what-did-telephone-service-actually-cost/)
## Posts
### AI bots move from the pedestal to the whipping post as fears of economic disaster and even extinction take hold
URL: https://www.consumernews.ai/ai-bots-move-from-the-pedestal-to-the-whipping-post-as-fears-of-economic-disaster-and-even-extinction-take-hold/
Last updated: 2026-09-13T19:42:01.000Z
Artificial intelligence (AI) was all the rage for awhile. Now, it's being discussed as though it was the next pandemic, an unstoppable force that could wreck the economy, dampen tourism and even wipe out humanity.
Some of the highest pitched warnings come from the tech bros who promised just moments ago that AI would revolutionize the workplace, usher in a new period of health and happiness and allow us all to retire early. Now they're calling for new rules that would slow AI development and throw a net over it while strict safeguards are put in place.
Former President Barack Obama is the latest A-lister to join the debate. “This is something that is moving very fast in private hands, and if we don’t get on top of it, I think can be dangerous,” Obama said at a private fundraiser Thursday, according to a partial transcript of his remarks quoted by [POLITICO](https://www.politico.com/news/2026/09/13/obama-ai-democrats-fundraiser-01073778?ref=consumernews.ai). “If we do get on top of it, I do think it’s beneficial.”
Who would do this taming of the beast? Well, no one has come right out and said it but most likely, it will have to be the government. Companies who are allowed to self-regulate have a sorry record of leaving smoking ruins, sick consumers and economic waste in their wake.
But fortunately or unfortunately, depending on what color cap you wear, the Trump Administration is busy building monuments to itself and shows little to no interest in lassoing the technology that critics say could kill us all in a few years.
“There's one or two people who are very intent on government regulations, but they're sort of the minority of the bunch,” said one senior White House aide in a recent [POLITICO report](https://www.politico.com/news/2026/05/07/white-house-ai-oversight-00910837?ref=consumernews.ai).
### High-level warnings
The warnings aren't coming from low-level tech workers or part-time tinkerers. There's a fascinating new group of insider whistleblowers, most notably former Anthropic researcher Jacob Coxon, who previously worked at OpenAI.
Coxon resigned this month, arguing that competitive pressures are driving laboratories toward a superhuman AI without adequate safeguards. His warnings, along with those of researcher Evan Hubinger, helped push the issue onto what we used to call the front page. according to a [Reuters](https://www.reuters.com/business/openai-faces-senate-probe-into-hugging-face-incident-axios-reports-2026-09-10/?utm%5Fsource=chatgpt.com) report.
Even the CEOs are scared. Anthropic CEO Dario Amodei is explicitly asking for a slowdown, while OpenAI's Sam Altman and Elon Musk are calling for a modicum of restraint and caution. Of course, they're the people who are spending billions of dollars of other people's money in a headlong rush to get more AI built and out the door.
This leads some critics to ask: *If you genuinely believe the risk is that great, why don't you slow down yourselves?,* [Reuters](https://www.reuters.com/business/anthropic-ceo-urges-ai-companies-slow-model-development-2026-09-12/?utm%5Fsource=chatgpt.com) reported.
Basically, the warnings break down into six major arguments, each with a handful of personalities leading the way.
### The major slow-it-down arguments
**“We may lose control of systems more intelligent than we are.” — Yoshua Bengio, Geoffrey Hinton, Stuart Russell**
This is the classic "alignment argument" but it has become much less theoretical lately and has been adopted by leading AI figures such as Yoshua Bengio, a Turing Award winner and one of the pioneers of deep learning.
Bengio argues in a [LawZero post](https://lawzero.org/en/news/ai-predicts-has-no-hidden-agenda-lawzero-lays-out-formal-safety-case-its-scientist-ai?ref=consumernews.ai) that training increasingly autonomous AI agents to pursue goals can unintentionally produce deception, self-preservation and resistance to human control. His new nonprofit, LawZero, is developing a different architecture — a “Scientist AI” designed to predict and reason without pursuing objectives of its own.
Stuart Russell, Berkeley professor and author of the standard AI textbook, makes essentially [the same point](https://www.theguardian.com/commentisfree/2026/aug/11/openai-anthropic-google-deepmind-letter?ref=consumernews.ai) in stark terms: companies explicitly intend to create systems more intelligent than humans while nobody has demonstrated a reliable way of keeping such systems under human control.
Geoffrey Hinton, another Turing Award winner and former Google researcher, has been the most recognizable public face of this argument: once systems become substantially smarter than humans, we cannot assume humans will remain the dominant decision-makers.
**“The AI race itself is making the danger worse.” — Dario Amodei, Daniel Kokotajlo, Stuart Russell**
This line of thought holds that AI companies don't want to behave recklessly but each fears slowing down while competitors continue racing ahead. That creates something resembling a nuclear arms race in which individually rational decisions produce a collectively dangerous result.
**“Superintelligence could arrive before governments have any idea what to do about it.” — Daniel Kokotajlo and the AI Futures Project**
Kokotajlo, a former OpenAI governance researcher, became prominent through **AI 2027**, a detailed scenario describing a rapid intelligence explosion in which automated AI research leads very quickly from capable AI to superintelligence.
His plan calls for something like an [anti-nuclear pact for AI](https://threadreaderapp.com/user/DKokotajlo?ref=consumernews.ai). He resigned from OpenAI after concluding that the company wasn't taking the risks seriously enough. [His argument](https://www.washingtonpost.com/technology/2026/07/09/ex-openai-employee-behind-ai-2027-has-new-peppier-prediction/?ref=consumernews.ai) is essentially: *we don't have to stop AI forever; we need to stop racing toward something we don't yet know how to govern*.
**“AI dramatically lowers the barrier to catastrophic misuse.” — Amodei, Bengio and many national-security researchers**
This is distinct from the robot-takes-over-the-world argument. It's basically the "crazy man in his basement" argument. It holds that even a perfectly obedient AI can be dangerous if it gives an ordinary person capabilities that would previously have required a government laboratory or sophisticated hacking organization. The obvious examples are biological weapons, cyberattacks, automated hacking and weapons development.
This argument perhaps aims to persuade skeptics of “AI extinction” because it does not require a conscious or rebellious machine. You merely need very powerful software in the hands of a malicious human, which social media has demonstrated are in ample supply.
**“Before AI exterminates us, it may destabilize democracy and society.” — Yuval Noah Harari, various economists and political scientists**
This strand of the debate also encompasses deepfakes, personalized manipulation, surveillance, algorithmic discrimination and the gradual transfer of governmental and corporate decisions to [opaque systems](https://www.theguardian.com/technology/article/2024/aug/24/yuval-noah-harari-ai-book-extract-nexus?ref=consumernews.ai) – the "who knows who's human?" argument.
**“The economic shock may arrive much faster than society can absorb it.” — Dario Amodei and an increasingly broad group of economists and policymakers**
This is probably the most immediate issue for everyday consumers. Frontier AI is beginning to perform chunks of professional work rather than simply automate repetitive factory jobs. The concern isn't necessarily permanent mass unemployment.
Rather, it's **the speed of the transition**: millions of clerical, programming, customer-service, legal, financial and creative jobs could be altered simultaneously, while education, retraining, taxation and the social safety net move much more slowly. Amodei explicitly identifies [serious economic disruption](https://darioamodei.com/post/we-must-pace-the-frontier?ref=consumernews.ai) as one of the principal dangers of rapidly advancing AI.
### How not to do it
Not too long ago, development of large industrial-scale systems – you know, railroads and so forth – happened only after intensive reviews by various agencies that tried to determine whether the end product would be safe, useful and, no small matter, whether it would sell.
That has been replaced lately by the "if you build it, they will come" deregulatory philosophy that has brought us such modern wonders as Facebook and TikTok while simultaneously destroying the publishing industry, depriving Americans of the press coverage a thriving democracy needs.
Under the tutelage of Ronald Reagan, Congress allowed the Internet to develop in a randomized pattern that created a dive to the bottom, returning huge bonanzas for a handful of entrepreneurs and leaving everyone else to try to clean up the mess the heedless Gold Rush-style development created.
Some critics have said that while social media hasn't yet brought about human extinction, it has done a pretty good job of creating a crass, tacky and demeaning environment. AI could surely finish the job if allowed to do so.
### National Safety Recalls, Sept. 12
URL: https://www.consumernews.ai/national-safety-recalls-sept-12/
Last updated: 2026-09-12T21:45:21.000Z
### 2.3 million candy bottles, gas ranges, children's toys post serious hazards
- **More than 2.3 million Ricky Joy Sour Crush candy bottles are being recalled because a rolling ball can detach and choke children.**
- **Nearly 4,000 high-end AGA and La Cornue ranges may leak gas because a cap is missing, creating a fire and explosion hazard.**
- **The unusually large recall batch also includes children's toys, dressers, hair-dryer brushes, motorcycles, magnets and fire-suppression products.**
The U.S. Consumer Product Safety Commission issued an unusually large batch of recalls Thursday covering products ranging from children's candy and toys to $20,000 kitchen ranges.
The biggest by far involves more than 2.3 million bottles of Ricky Joy Sour Crush rolling liquid candy. But several of the smaller recalls involve potentially deadly hazards, including gas leaks, electrocution, swallowed batteries, powerful magnets and furniture tip-overs.
Here are the products consumers should check.
## 2.3 million Ricky Joy candy bottles recalled
The Ricky Joy Company is recalling more than **2.3 million Sour Crush rolling liquid candy bottles** because the rolling ball in the bottle can detach.
If swallowed, the ball can block a child's airway and cause serious injury or death.
CPSC says no injuries have been reported.
Consumers should immediately take the candy away from children and contact Ricky Joy for a refund. The company will provide a prepaid shipping label for returning the recalled product.
[Check the Ricky Joy candy recall at CPSC](https://www.cpsc.gov/Recalls/2026/Ricky-Joy-Recalls-More-Than-2-3-Million-Sour-Crush-Candy-Bottles-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Hazard?utm%5Fsource=chatgpt.com)
## AGA and La Cornue ranges can leak gas
Nearly **4,000 AGA and La Cornue dual-fuel ranges** are being recalled because some may be missing a cap from the gas test port.
Without the cap, gas can leak from the range, creating a fire or explosion hazard.
The recall covers certain AGA Elise and Mercury ranges and La Cornue CornuFé ranges manufactured from March 19, 2025 through July 24, 2026.
These aren't inexpensive appliances. CPSC says the ranges sold for approximately **$6,000 to $20,000**.
Consumers with an affected range should **shut off the gas supply immediately** and contact AGA Rangemaster for a free inspection and repair by a certified technician. The electric ovens may still be used, but the gas burners should not be used until the range has been inspected.
No injuries have been reported.
[Check the AGA and La Cornue range recall at CPSC](https://www.cpsc.gov/Recalls/2026/Dual-Fuel-Ranges-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Fire-or-Explosion-Hazards-Manufactured-by-AGA-Rangemaster?utm%5Fsource=chatgpt.com)
## Two hair-dryer brushes pose shock and electrocution hazards
Two separate brands of hair-dryer brushes sold online are being recalled because they lack required immersion-protection devices intended to protect users if an appliance falls into water while plugged in.
**DHASUWT hair-dryer brushes** sold on Amazon are also linked to **10 reports of smoking or catching fire**, although no injuries have been reported.
Consumers should unplug the dryers and stop using them. CPSC says purchasers can obtain refunds after following the recall instructions, which include cutting the power cord and providing photographic proof.
[Check the DHASUWT recall at CPSC](https://www.cpsc.gov/Recalls/2026/Junkins-Recalls-DHASUWT-Hair-Dryer-Brushes-Due-to-Risk-of-Serious-Injury-or-Death-from-Electrocution-and-Shock-Hazards-Violate-Federal-Regulations-Smoking-and-Fire-Hazards?utm%5Fsource=chatgpt.com)
A separate recall covers about **2,295 Wantefully hair-dryer brushes**, also sold on Amazon. One dryer reportedly overheated and melted; no injuries were reported.
[Check the Wantefully recall at CPSC](https://www.cpsc.gov/Recalls/2026/Guang-Zhou-Recalls-Wantefully-Hair-Dryer-Brushes-Due-to-Risk-of-Serious-Injury-or-Death-from-Electrocution-Shock-and-Burn-Hazards-Violate-Federal-Regulations?utm%5Fsource=chatgpt.com)
## Children's finger lights and light-up toys can expose button batteries
Cade California Electronic is recalling **finger-light toys** because children can gain access to button-cell batteries.
Swallowed button batteries can cause devastating internal chemical burns in as little as a few hours.
The Thursday recall batch also includes an **expanded recall of ZMC Group light-up children's toys** for a similar battery-ingestion hazard.
Parents should immediately remove affected toys from children's reach and follow the refund or replacement instructions.
## Busy boards recalled for lead paint
SQT is recalling **Lontcs busy boards** because components contain paint with lead levels that exceed the federal limit.
Lead is toxic if ingested by young children and can cause serious developmental and neurological harm.
Parents should stop children from using the recalled boards and follow the company's refund instructions.
## SHEIN bear magnets pose ingestion danger
SHEIN Distribution Corporation is recalling **4,640 sets of bear-shaped refrigerator magnets** because they contain loose, high-powered magnets.
The magnets violate the federal mandatory magnet standard.
Swallowing more than one powerful magnet can be particularly dangerous because the magnets can attract each other through intestinal tissue. That can cause perforations, intestinal twisting or blockage, infection and death.
The magnets were sold on SHEIN from May 2025 through February 2026 for about $3 to $4.
Consumers should stop using them, keep them away from children and contact SHEIN for a refund.
[Check the SHEIN magnet recall at CPSC](https://www.cpsc.gov/Recalls/2026/SHEIN-Distribution-Corporation-Recalls-Bear-Shaped-Refrigerator-Magnets-Due-to-Risk-of-Serious-Injury-or-Death-from-Magnet-Ingestion-Violate-Mandatory-Standard-for-Magnets?utm%5Fsource=chatgpt.com)
## Six-drawer dressers can tip over
FJTJBSI six-drawer dressers are being recalled because they are unstable if they aren't anchored to a wall and can tip over and trap children.
The dressers violate the federal mandatory safety standard for clothing-storage furniture.
Consumers with an unanchored dresser should stop using it immediately and move it somewhere children cannot reach it. The company is offering full refunds.
No injuries have been reported.
[Check the dresser recall at CPSC](https://www.cpsc.gov/Recalls/2026/FJTJBSI-Recalls-Six-Drawer-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violate-Mandatory-Standard-for-Clothing-Storage-Units?utm%5Fsource=chatgpt.com)
## Children's sleepwear fails federal flammability requirements
Sweet Cubby children's loungewear sets are being recalled because they fail to meet federal flammability requirements for children's sleepwear.
Clothing that ignites too readily can create a serious burn hazard, particularly when children are sleeping or near candles, fireplaces or other ignition sources.
Parents should stop children from wearing the affected garments and follow the company's recall instructions.
## Triumph competition motorcycles recalled over crash risk
Triumph Motorcycles is recalling certain **closed-course competition motorcycles** because of a defect that can create a crash hazard.
Owners should stop riding affected motorcycles until the recall remedy has been performed.
## Fire spray canisters may fail when they're needed
Prepared Hero is recalling certain **fire spray canisters** because the containers can deteriorate over time.
That can cause the canister to rupture — or prevent it from working during a fire.
The problem is particularly troubling because consumers may have bought the product specifically as emergency safety equipment and may not discover that it doesn't work until a fire occurs.
## Children's bicycle helmets fail federal safety standard
Victgoal is recalling a small number of children's bicycle helmets because they fail several requirements of the mandatory federal bicycle-helmet standard.
CPSC says the helmets don't comply with requirements involving the retention system, positional stability and certification and therefore may fail to adequately protect a child in a crash.
The recalled red helmets are model HT-006 and were sold on Walmart.com.
Consumers should stop using them and obtain a refund.
[Check the Victgoal helmet recall at CPSC](https://www.cpsc.gov/Recalls/2026/Victgoal-Recalls-Bicycle-Helmets-Due-to-Risk-of-Serious-Injury-or-Death-from-Head-Injury-Violate-Mandatory-Standard-for-Bicycle-Helmets?utm%5Fsource=chatgpt.com)
## CPSC also issued five stop-use warnings
In addition to the formal recalls, CPSC issued warnings telling consumers to immediately stop using several products for which a conventional recall may not be available.
They include:
- **iGarden Swim Jets combination drain covers**, which can create an entrapment and drowning hazard and violate federal pool and spa safety requirements.
- **HOTFINE pressure washers**, which pose shock and electrocution hazards.
- **Le Hao Tool pressure washers**, also linked to serious shock and electrocution hazards.
- **CooCooBaby baby loungers**, which pose suffocation and fall hazards and violate the mandatory standard for infant sleep products.
- **Flyboss 3-in-1 infant bouncers**, which can collapse while a baby is inside, creating an impact-injury hazard. CPSC says the importer has been unresponsive to requests for a recall.
## What consumers should do
A recall announcement doesn't necessarily mean the manufacturer knows who owns the product. That's especially true for inexpensive products bought through online marketplaces.
Consumers should check model numbers, dates and photographs against the official CPSC notices rather than relying on the product name alone.
Stop using products when CPSC specifically instructs consumers to do so, and don't sell, donate or give away a recalled product. Federal law prohibits the sale of recalled products.
And don't assume a cheap product isn't worth checking. Some of the most serious hazards in this batch involve inexpensive children's toys, magnets and hair appliances.
### From Ma Bell to the $2,000 iPhone: How the telephone went from regulated utility to luxury product
URL: https://www.consumernews.ai/from-ma-bell-to-the-2-000-iphone-how-the-telephone-went-from-regulated-utility-to-luxury-product/
Last updated: 2026-09-09T21:11:20.000Z
#
- **For much of the 20th century, U.S. policy deliberately pushed telephone service toward universality and affordability.**
- **Competition and technology eventually made calling much cheaper — but shifted much of the cost from the network to the device in consumers’ hands.**
- **Apple’s new $1,999 foldable iPhone Duo illustrates how thoroughly the telephone has evolved from basic infrastructure into a premium consumer product.**
Apple’s new [foldable iPhone](https://www.nytimes.com/2026/09/09/technology/apple-iphone-duo-foldable-phone.html?campaign%5Fid=60&emc=edit%5Fna%5F20260909&instance%5Fid=181661&nl=breaking-news®i%5Fid=26871701&segment%5Fid=226249&user%5Fid=d6a691656531c4771c044dbae6f454e8&ref=consumernews.ai) may be a technological marvel. It is also a useful reminder of just how radically the economics of the telephone have changed.
The iPhone Duo, unveiled Wednesday, starts at $1,999\. Higher-capacity versions run as high as $3,199\. [Apple](https://www.apple.com/newsroom/2026/09/apple-unveils-iphone-duo/?ref=consumernews.ai) helpfully translates the base price into $83.29 a month for 24 months.
That would have been a strange way to talk about telephones for most of the last century.
For decades, the telephone was not primarily regarded as an expensive gadget consumers repeatedly purchased. It was the endpoint of a regulated communications network whose overriding public-policy goal was to connect virtually everybody at a price ordinary households could afford.
It worked.
In 1940, only 36.9% of U.S. housing units had telephone service. By 1960, the figure had reached 78.3%. It passed [90% in 1970](https://docs.fcc.gov/public/attachments/DOC-287688A8.pdf?ref=consumernews.ai) and stood at 97.6% in 2000\. The history raises an interesting question as phones costing $1,000, $2,000 and now $3,000 become commonplace:
**Did we lose something when the telephone stopped being treated primarily as a utility and became a consumer electronics product?**
## The original goal: Put a telephone within everyone's reach
Congress made the objective explicit in the [Communications Act of 1934](https://transition.fcc.gov/Reports/1934new.pdf?ref=consumernews.ai).
The law called for a nationwide communications system available to all Americans with adequate facilities at “reasonable charges.” It also required regulated communications charges and practices to be “just and reasonable.”
That philosophy became known as **universal service**.
It did not mean telephone service was free. Nor was the Bell System some consumer paradise. Customers had little choice of provider, regulators could be slow-moving and long-distance calling could be remarkably expensive.
But the structure was unmistakable.
Telephone service was treated much like electricity or natural gas: essential infrastructure that should eventually reach nearly everyone.
Prices reflected that goal.
[Historical data](https://paperzz.com/doc/7227425/universal-service--competition--interconnection-and-monop...?ref=consumernews.ai) cited by federal regulators show average monthly residential telephone service costing about **$4.29 in 1950, $5.55 in 1960 and $8.61 in 1980.** Adjusted for inflation using contemporaneous estimates, the real cost actually declined substantially over that period.
The system accomplished something remarkable.
In 1960, roughly one American household in five still lacked access to a telephone. By 1980 only about 7% did. By 2000, [just 2.4%](https://www.census.gov/data/tables/time-series/dec/coh-phone.html?ref=consumernews.ai) of homes lacked telephone access.
Image: MidJourney
## You didn't really buy the telephone
One reason the economics looked so different was that consumers generally weren't shopping every few years for ever more sophisticated telephones.
During much of the Bell System era, the telephone itself was normally supplied by the phone company.
Consumers paid for **telephone service**.
The company owned and maintained the network — and often the instrument sitting on the customer's desk or hanging on the kitchen wall.
The familiar black rotary phone wasn't obsolete six months after it arrived. It might remain in service for decades.
The costly technology was mostly hidden from view: central offices, switching equipment, poles, cables and eventually enormous long-distance networks.
Today that relationship has almost been reversed.
The network has become largely invisible while a remarkable amount of technology — and cost — has migrated into the consumer's pocket.
Image: Apple
## Then came competition
The [Bell System breakup in 1984](https://www.nytimes.com/1984/01/01/us/bell-system-breakup-opens-era-of-great-expectations-and-great-concern.html?ref=consumernews.ai) began changing the economics dramatically.
Competition in long distance flourished. MCI, Sprint and others challenged AT&T, and prices that once made families postpone calls until cheaper evening hours started falling.
The change was enormous.
One historical FCC analysis put the average price of a local residential line at $15.18 a month in 1984 and $24.52 in 2004.
But during those same two decades, average interstate and international calling charges fell from roughly **32 cents a minute to 8 cents.**
Consumers paid somewhat more for access to the network while paying dramatically less to actually use it.
Wireless service accelerated that change.
Telephone numbers stopped belonging primarily to houses and began belonging to people.
Then smartphones arrived and the telephone itself ceased to be primarily a telephone.
[The iPhoneFrom Ma Bell to the $2,000 iPhone: How the telephone went from regulated utility to luxury product$1,999 and up for the iPhone Duo? How did telephones get this expensive?ConsumerNews.aiJames R. HoodAffordability Watch: What did telephone service actually cost?Telephones have really gotten expensive -- or haveConsumerNews.aiJames R. Hood](https://www.consumernews.ai/the-iphone/)
## A $2,000 phone — but much more than a phone
The first iPhone sold in 2007 for hundreds of dollars rather than thousands.
Apple's new foldable Duo starts at $1,999 and reaches $3,199 with maximum storage. Apple's new conventional iPhone 18 Pro and Pro Max, meanwhile, begin at $1,199 and $1,299, according to [AP News](https://apnews.com/article/fd35312e6d894d5f3b055b3d62f22cd2?utm%5Fsource=chatgpt.com).
Those prices would have been unimaginable in the era of the Princess phone. But the comparison is also somewhat unfair.
Today's smartphone replaces a remarkable collection of products that once had to be purchased separately:
- a telephone,
- camera,
- camcorder,
- road atlas,
- calculator,
- alarm clock,
- answering machine,
- music player,
- television,
- newspaper,
- flashlight,
- calendar,
- address book and
- increasingly, a computer.
It also connects users to banking, healthcare, transportation, employment, government services and emergency information.
So it would be misleading to argue that today's consumers simply pay vastly more for telephone service.
In some important respects they pay less.
The [Bureau of Labor Statistics](https://www.bls.gov/cpi/factsheets/telephone-services.htm?ref=consumernews.ai) treats wireless telephone service separately from the cost of devices and tracks plan charges, data and related service costs in its Consumer Price Index.
Long-distance charges have largely disappeared from ordinary household budgets. Unlimited nationwide calling is commonplace. International communication that once cost dollars per minute can now be virtually free through internet applications.
The network became dramatically cheaper to use. **The expensive part moved into the consumer's hand.**
## From monthly phone bill to monthly everything
There was another important transformation.
The old telephone bill was relatively understandable.
Today's consumer may confront:
- device financing,
- trade-in credits,
- promotional credits spread over 24 or 36 months,
- premium data plans,
- activation charges,
- insurance,
- early-upgrade programs,
- cloud storage and
- subscription services.
The industry's favorite unit of measurement has consequently become the monthly payment. Apple itself advertises the $1,999 Duo as costing $83.29 per month for 24 months. ([Apple](https://www.apple.com/newsroom/2026/09/apple-unveils-iphone-duo/?utm%5Fsource=chatgpt.com))
That's the same psychological trick long familiar to automobile buyers.
A $2,000 telephone sounds extravagant. Eighty-three dollars a month sounds manageable.
Add the wireless plan, insurance, storage and various subscriptions and the actual household communications bill can become considerably harder to calculate.
## Regulation didn't disappear. Its target changed.
Universal service still exists.
After the Bell breakup removed some of the old system's internal subsidies, federal programs increasingly supported telephone service explicitly, particularly for low-income consumers and expensive rural areas.
Congress reinforced that principle in the [Telecommunications Act of 1996](https://www.govinfo.gov/content/pkg/CHRG-109hhrg28600/pdf/CHRG-109hhrg28600.pdf?ref=consumernews.ai), directing regulators to ensure access to an evolving level of telecommunications service at affordable and reasonably comparable rates.
But policymakers now face a question their predecessors could scarcely have imagined.
> What constitutes meaningful universal telephone service when a telephone is actually a handheld computer?
> Having access to voice calling alone increasingly isn't enough.
Modern life may require a smartphone capable of running applications, accessing broadband, receiving authentication codes, photographing documents, conducting video calls and navigating increasingly digital government and commercial services.
The traditional universal-service problem was getting a telephone line into every American home.
The emerging problem may be making sure people can afford the equipment necessary to participate fully in a digital society.
## The old system wasn't perfect
Nostalgia can distort this history.
The Bell monopoly restricted consumer choice. Customers sometimes waited for installation. Long-distance calls were expensive. Innovation proceeded at a pace that would seem glacial today.
Competition and deregulation brought enormous benefits.
Consumers can switch providers, carry their telephone numbers with them and make virtually unlimited calls across the country. A cheap smartphone today has capabilities unavailable to the world's richest people a generation ago.
The technological progress is undeniable.
The consumer-policy question is different.
For decades, telephone policy began with an assumption:
**Communication was sufficiently important that government and industry had an obligation to make basic access widely affordable.**
Today's industry begins increasingly with another assumption:
Consumers will decide what they are willing to spend.
Apple's $1,999 foldable Duo — or its $3,199 fully loaded sibling — may be the purest expression yet of how far the telephone has traveled.
We spent much of the 20th century turning the telephone into an affordable universal utility.
In the 21st, we've turned it into one of the most sophisticated — and expensive — consumer products most Americans own.
### Affordability Watch: What did telephone service actually cost?
URL: https://www.consumernews.ai/affordability-watch-what-did-telephone-service-actually-cost/
Last updated: 2026-09-09T21:11:36.000Z
Comparing old and new telephone bills isn't as simple as it sounds because today's smartphone combines the telephone, the hardware and services that simply didn't exist in the Bell System era.
But historical rates reveal something important: **basic telephone service became progressively more affordable before the economics changed.**
### 1950: About $4.29 a month
Average residential telephone service cost roughly **$4.29 monthly** — about $51 a year.
In inflation-adjusted 1980 dollars, researchers put the cost at about $14.58 per month, [Paperzz](https://paperzz.com/doc/7227425/universal-service--competition--interconnection-and-monop...?utm%5Fsource=chatgpt.com) calculates.
The telephone itself typically belonged to the phone company.
### 1960: About $5.55 a month
The average residential charge had risen only modestly, to approximately **$5.55 monthly**.
Adjusted for inflation in the same historical analysis, that was actually slightly cheaper than service had been in 1950\.
Meanwhile telephone availability was expanding rapidly: 78.3% of U.S. housing units had service, according to [FCC Docs](https://docs.fcc.gov/public/attachments/DOC-287688A8.pdf?utm%5Fsource=chatgpt.com).
### 1980: About $8.61 a month
Average residential service reached approximately **$8.61 monthly**.
In real terms, the historical data show basic residential telephone charges had fallen substantially since the 1950s.
By then nearly 93% of housing units had telephone service.
[The iPhoneFrom Ma Bell to the $2,000 iPhone: How the telephone went from regulated utility to luxury product$1,999 and up for the iPhone Duo? How did telephones get this expensive?ConsumerNews.aiJames R. HoodAffordability Watch: What did telephone service actually cost?Telephones have really gotten expensive -- or haveConsumerNews.aiJames R. Hood](https://www.consumernews.ai/the-iphone/)
### 1984: About $13.35 for unlimited local service
Just as the Bell System breakup was taking effect, the FCC's survey put average unlimited local residential service, including taxes, at about **$13.35 per month**.
By 1991 it was $18.84, [NARUC](https://pubs.naruc.org/pub/FA85D879-91E5-8025-F857-8CCD4395DC24?utm%5Fsource=chatgpt.com) said.
But another price was simultaneously collapsing: long-distance calling.
### 2000: About $20.78 a month
FCC-derived figures put average urban residential local service — including the basic charge, subscriber-line charge and taxes — at about **$20.78 monthly** in 2000, per [Every CRS Report](https://www.everycrsreport.com/reports/RL30052.html?utm%5Fsource=chatgpt.com).
By then 97.6% of occupied housing units had telephone service, [FCC Docs](https://docs.fcc.gov/public/attachments/DOC-287688A8.pdf?utm%5Fsource=chatgpt.com) show.
### 2026: $1,999 before the service even starts
The comparison now becomes radically different.
Apple's new iPhone Duo costs:
**$1,999** — 256GB
**up to $3,199** — 2TB
Or, as Apple prefers to describe the base model:
**$83.29 a month for 24 months.** ([Apple](https://www.apple.com/newsroom/2026/09/apple-unveils-iphone-duo/?utm%5Fsource=chatgpt.com))
And that is just the telephone.
Wireless service, insurance, cloud storage and other subscriptions may come on top.
### It's the network, stupid
The historical telephone system concentrated much of its expense in the **network** and deliberately spread those costs among customers to make basic service widely affordable.
Modern wireless networks have made communication extraordinarily cheap.
But much of the economic burden has migrated to the **device** — where pricing is determined not by public-utility regulation but by the consumer electronics market.
That's how America got from the rented black rotary phone to the $3,199 iPhone.
I especially like that last formulation — **“the expensive part moved into the consumer's hand.”** It gives us a way to be critical of today's pricing without pretending the old regulated monopoly was cheaper or better in every respect.
### National Safety Recall - Sept. 9
URL: https://www.consumernews.ai/national-safety-recall-sept-9/
Last updated: 2026-09-09T19:51:25.000Z
### Created Fresh! chicken salad sandwiches — undeclared egg allergen
FreshPoint Central Florida is recalling **1,093 Created Fresh! Cranberry Chicken Salad Wedge Sandwiches** because the label does not properly declare **egg as an allergen**. People with an egg allergy or severe sensitivity could suffer a serious or life-threatening allergic reaction. FDA posted the recall on **September 8**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/freshpoint-issues-recall-due-improperly-declared-allergen-egg-chicken-salad-wedge-sandwiches?utm%5Fsource=chatgpt.com))
The recalled sandwiches are **4.5-ounce packages**, UPC **766375109617**, with **use-by dates from September 3 through September 17, 2026**. They were distributed between August 19 and September 3 to a single convenience-store customer in **Florida and Georgia**. No illnesses have been reported. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/freshpoint-issues-recall-due-improperly-declared-allergen-egg-chicken-salad-wedge-sandwiches?utm%5Fsource=chatgpt.com))
Interestingly, egg is listed in the ingredient list, but it was omitted from the separate **“Contains” allergen statement**. Consumers with an egg allergy should discard the sandwiches. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/freshpoint-issues-recall-due-improperly-declared-allergen-egg-chicken-salad-wedge-sandwiches?utm%5Fsource=chatgpt.com))
FDA’s current recall page shows no September 9 posting yet; the sandwich recall joins yesterday’s Luna G3 APAP and Fi dog-supplement recalls, which we already covered. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
### Chrysler Pacifica and Voyager — electronic stability control can fail
A NHTSA recall that has now become searchable by VIN covers **2,017 model-year 2025–2026 Chrysler Pacificas and Voyagers, including 2026 Pacifica plug-in hybrids**.
A cracked capacitor in the **brake-pedal-position sensor** can cause the vehicle to lose electronic stability control, increasing the risk of a crash. Dealers will inspect and replace the sensor if necessary at no charge. The campaign is **NHTSA 26V561 / FCA 69D**. ([RecallRoute](https://recallroute.com/recalls/campaigns/26v561000?utm%5Fsource=chatgpt.com))
The recall itself was filed September 1, so it isn't technically a new September 9 action, but **affected VINs become searchable on NHTSA.gov today**. Owner letters are expected beginning September 29\. ([RecallRoute](https://recallroute.com/recalls/campaigns/26v561000?utm%5Fsource=chatgpt.com))
This one is relatively small compared with the **239,131 Ram 1500 rearview-camera recall** we flagged yesterday.
### CPSC
No new CPSC batch has appeared. CPSC's official recall page still lists **September 3** as its newest recalls, including the 6.3-million-unit Mistolin/Lestoil cleaner recall, XO Poppy power banks, Skip Hop Elmo teethers and several child-product hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### USDA FSIS
We found **no new meat, poultry or processed-egg recall or public-health alert** posted for September 9.
**Bottom line:** It's a quiet recall day. Who said there's never any good news?
### Five consumer pressure points - from record gas to a new Jeep recall
URL: https://www.consumernews.ai/five-consumer-pressure-points-from-record-gas-to-a-new-jeep-recall/
Last updated: 2026-09-09T13:15:12.000Z
The consumer economy is being pulled in five directions this morning: record gasoline prices are making every trip more expensive, [CNBC reported](https://www.cnbc.com/2026/09/07/gas-prices-labor-day-record-high-road-trip.html?ref=consumernews.ai); Canada’s retaliatory tariffs are putting another tax on cross-border goods, [The New York Times reported](https://www.nytimes.com/2026/09/08/business/canada-tariffs-trump.html?ref=consumernews.ai); a strong jobs report is colliding with rising anxiety about household finances, [Reuters reported](https://www.reuters.com/business/consumers-more-worried-about-personal-finances-jobs-new-york-fed-report-shows-2026-09-08/?ref=consumernews.ai); global food prices are climbing on weather, war and disrupted trade, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai); and a fresh Jeep recall is putting software-driven safety problems back in the driveway, [Reuters reported](https://www.reuters.com/legal/litigation/stellantis-recall-over-200000-jeep-vehicles-us-over-tire-pressure-monitor-issue-2026-09-09/?ref=consumernews.ai). Taken together, the stories show why a labor market can look sturdy in the statistics while the household budget still feels fragile.
## Energy and gasoline: a record Labor Day at the pump
Gasoline crossed the psychological line that matters most to drivers over the holiday weekend. The national average for regular gasoline reached $4.15 a gallon on Labor Day, a record for the holiday, according to [AAA reporting cited by CNBC](https://www.cnbc.com/2026/09/07/gas-prices-labor-day-record-high-road-trip.html?ref=consumernews.ai). The previous Labor Day record was $3.82 a gallon, set on Sept. 3, 2012, [CNBC reported](https://www.cnbc.com/2026/09/07/gas-prices-labor-day-record-high-road-trip.html?ref=consumernews.ai).
That increase landed during one of the busiest driving periods of the year. Road trips were more expensive than usual as families paid the higher pump price across a weekend when demand was already elevated, [CNBC reported](https://www.cnbc.com/2026/09/07/gas-prices-labor-day-record-high-road-trip.html?ref=consumernews.ai). A seasonal shift to less expensive winter-blend gasoline in September could ease some of the pressure, but it may not overcome the effect of elevated crude prices, [CNBC reported](https://www.cnbc.com/2026/09/07/gas-prices-labor-day-record-high-road-trip.html?ref=consumernews.ai).
The price had already been moving toward that level before the holiday. GasBuddy analyst Patrick De Haan projected a $4.03 national average for Labor Day, well above the prior holiday record, in comments reported by [Reuters](https://www.reuters.com/business/energy/americans-hit-with-record-high-labor-day-weekend-gasoline-prices-2026-09-05/?ref=consumernews.ai). “Gasoline, while not at all-time records, is at its highest level ever recorded this late in the calendar year,” De Haan wrote, according to [Reuters](https://www.reuters.com/business/energy/americans-hit-with-record-high-labor-day-weekend-gasoline-prices-2026-09-05/?ref=consumernews.ai). GasBuddy put the national average at about $4.13 a gallon on the Thursday before Labor Day, nearly a dollar above the year-earlier average, [Reuters reported](https://www.reuters.com/business/energy/americans-hit-with-record-high-labor-day-weekend-gasoline-prices-2026-09-05/?ref=consumernews.ai).
The underlying market was still moving higher Tuesday. West Texas Intermediate crude traded above $93 a barrel and Brent futures above $97, both near six-week highs, [CNBC reported](https://www.cnbc.com/2026/09/08/brent-crude-oil-nears-100.html?ref=consumernews.ai). CNBC said attacks on Saudi Aramco facilities, according to a Financial Times report, and a U.S. strike on three Iranian oil tankers had put markets on edge, [CNBC reported](https://www.cnbc.com/2026/09/08/brent-crude-oil-nears-100.html?ref=consumernews.ai). Commodity veteran Jeff Currie called predictions of a quick return to normal conditions in the Strait of Hormuz “very, very optimistic,” [CNBC reported](https://www.cnbc.com/2026/09/08/brent-crude-oil-nears-100.html?ref=consumernews.ai).
For consumers, the pump is the first visible bill, not the last. Fuel affects commuting, delivery charges, airline costs and the price of moving food through the supply chain, [CNBC reported](https://www.cnbc.com/2026/09/08/brent-crude-oil-nears-100.html?ref=consumernews.ai). That makes energy the week’s most immediate consumer theme: the price is posted on every corner, and the pressure can spread long before it appears in an official inflation report.
## Trade and tariffs: Canada’s retaliation reaches U.S. shelves
Canada’s new tariffs on roughly $20 billion of U.S. imports took effect Tuesday, escalating a trade fight that now reaches ordinary categories such as clothing, cheese, metal parts and wood products, [The New York Times reported](https://www.nytimes.com/2026/09/08/business/canada-tariffs-trump.html?ref=consumernews.ai). The measures were designed to mirror tariffs imposed by President Donald Trump after trade talks between the two countries collapsed, [The New York Times reported](https://www.nytimes.com/2026/09/08/business/canada-tariffs-trump.html?ref=consumernews.ai).
The Canadian countermeasures range from 15 percent to 50 percent, and they follow U.S. tariffs of 50 percent on about $20 billion of Canadian goods that took effect Aug. 22, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-09-07/canada-set-to-hit-back-at-trump-tariffs-risking-wider-trade-war?ref=consumernews.ai). The result is a second round of tax changes on goods that cross the border, with businesses deciding how much of the cost to absorb and how much to pass along.
Brian Clow, a former senior Canadian adviser on trade and U.S. relations, said the purpose was to make the dispute costly enough to force negotiations. “Canada’s retaliatory tariffs are meant to make the cost of this trade war real enough for American businesses and consumers that Washington sees a clear incentive to return to the table,” Clow said, according to [Bloomberg](https://www.bloomberg.com/news/articles/2026-09-07/canada-set-to-hit-back-at-trump-tariffs-risking-wider-trade-war?ref=consumernews.ai). “Canada isn’t imposing these tariffs because it wants a trade war. It’s imposing the tariffs because it wants the trade war to end,” he said, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-09-07/canada-set-to-hit-back-at-trump-tariffs-risking-wider-trade-war?ref=consumernews.ai).
The immediate consumer question is not just whether a product is Canadian or American. It is whether a retailer can switch suppliers, whether a manufacturer can find a substitute and whether a distributor can avoid a second border crossing. Tariffs are taxes on imports, so a higher landed cost can appear as a higher shelf price, a smaller package or fewer choices; [The New York Times described the broader inflation risk](https://www.nytimes.com/2026/09/08/business/canada-tariffs-trump.html?ref=consumernews.ai).
The dispute is also broadening the uncertainty facing companies that set prices months in advance. Trump singled out Canadian aircraft maker Bombardier and wrote “NO MORE SELLING BOMBARDIER IN THE UNITED STATES!” on social media, [The New York Times reported](https://www.nytimes.com/2026/09/08/business/canada-tariffs-trump.html?ref=consumernews.ai). For households, that rhetoric matters because unpredictable trade rules make it harder to know whether today’s price is a temporary surcharge or the start of a new normal.
## Jobs and household finances: strong payrolls, weaker confidence
The labor market delivered a reassuring headline last week, but households are not responding as if the economy has become easy. U.S. employers added 162,000 jobs in August, far above the 53,000 increase economists surveyed by Dow Jones had expected, while the unemployment rate held at 4.1 percent, [CNBC reported](https://www.cnbc.com/2026/09/04/jobs-report-august-2026.html?ref=consumernews.ai). June payrolls were revised up by 11,000 to a gain of 31,000, and July was revised from a decline of 23,000 to a gain of 21,000, [NBC News reported](https://www.nbcnews.com/business/economy/august-jobs-report-trump-inflation-rcna595974?ref=consumernews.ai).
That strength is important for consumers because a job is still the main defense against higher prices. But the August report did not erase the gap between having work and feeling financially secure. NBC News reported that wage growth was lagging inflation, even as hiring exceeded expectations, [NBC News reported](https://www.nbcnews.com/business/economy/august-jobs-report-trump-inflation-rcna595974?ref=consumernews.ai).
The New York Federal Reserve’s August Survey of Consumer Expectations showed households becoming more worried about the labor market and their own finances, [Reuters reported](https://www.reuters.com/business/consumers-more-worried-about-personal-finances-jobs-new-york-fed-report-shows-2026-09-08/?ref=consumernews.ai). Respondents held their one-year inflation expectation at 3.6 percent and their five-year expectation at 3 percent, while lowering the three-year expectation to 3.2 percent from 3.3 percent, [Reuters reported](https://www.reuters.com/business/consumers-more-worried-about-personal-finances-jobs-new-york-fed-report-shows-2026-09-08/?ref=consumernews.ai).
The survey arrived one week before the Federal Reserve’s Sept. 15-16 meeting, with the federal funds rate in a 3.50 percent to 3.75 percent range and inflation still above the central bank’s 2 percent target, [Reuters reported](https://www.reuters.com/business/consumers-more-worried-about-personal-finances-jobs-new-york-fed-report-shows-2026-09-08/?ref=consumernews.ai). Fed Gov. Christopher Waller said he could support holding rates where they are if the next inflation report showed continued progress toward the 2 percent goal, [Reuters reported](https://www.reuters.com/business/consumers-more-worried-about-personal-finances-jobs-new-york-fed-report-shows-2026-09-08?ref=consumernews.ai). “If there is continued progress toward our 2% goal, then I am willing to support holding the policy rate at its current level,” Waller said at a Reuters NEXT event, [Reuters reported](https://www.reuters.com/business/consumers-more-worried-about-personal-finances-jobs-new-york-fed-report-shows-2026-09-08?ref=consumernews.ai).
That is the consumer paradox in one week: more jobs than expected, yet more concern about the job market and personal finances, [Reuters reported](https://www.reuters.com/business/consumers-more-worried-about-personal-finances-jobs-new-york-fed-report-shows-2026-09-08/?ref=consumernews.ai). A strong payroll number can support spending, but it does not make a household feel better if paychecks are losing ground to fuel, food, housing and insurance bills.
## Food and groceries: global supply risks move closer to the aisle
Food markets are showing a new warning signal even before every increase reaches a U.S. grocery receipt. The United Nations’ Food and Agriculture Organization said its food-price index averaged 133.3 points in August, up from a revised 130.8 in July and the highest level since November 2022, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai). Bloomberg reported that the index rose 1.9 percent from July, led by grains, sugar and dairy, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-09-04/global-food-prices-jump-to-highest-since-2022-as-risks-increase?ref=consumernews.ai).
The index was still nearly 17 percent below its record peak in March 2022, but the direction matters for families that have already adjusted their shopping habits, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai). The FAO said cereals, vegetable oils, sugar, meat and dairy all rose in August, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai).
Weather and geopolitics are converging. Reuters said extreme heat and drought in Europe, the risk of a severe El Niño pattern, trade upheaval and wars involving Ukraine and Iran were unsettling agricultural markets, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai). The Black Sea conflict has curtailed grain shipments from Russia and Ukraine, adding to concern about staple supplies, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai).
“August’s increase in global food prices is a warning that the risk premium is returning to food markets,” FAO Chief Economist Maximo Torero said, according to [Reuters](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai). Torero said climate shocks, geopolitical tensions and disrupted trade logistics were converging to tighten supply expectations, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai).
For shoppers, the risk is uneven rather than automatic. A commodity index does not translate one-for-one into the price of a box of cereal or a carton of milk, because processors, retailers and contracts can delay the pass-through. But it does raise the odds that a household sees another round of substitutions, smaller baskets or fewer discounts just as fuel and tariff pressures are building, [Reuters reported](https://www.reuters.com/world/europe/world-food-prices-highest-since-2022-supply-risks-mount-fao-says-2026-09-04/?ref=consumernews.ai).
## Auto recalls and safety: software turns routine driving into a check
Stellantis is recalling 201,976 Jeep vehicles in the United States because a software error may keep the tire-pressure monitoring system from detecting low pressure or illuminating its warning light, the National Highway Traffic Safety Administration said, according to [Reuters](https://www.reuters.com/legal/litigation/stellantis-recall-over-200000-jeep-vehicles-us-over-tire-pressure-monitor-issue-2026-09-09/?ref=consumernews.ai). The notice was reported Sept. 9, making it the freshest consumer-safety alert in the scan, [Reuters reported](https://www.reuters.com/legal/litigation/stellantis-recall-over-200000-jeep-vehicles-us-over-tire-pressure-monitor-issue-2026-09-09/?ref=consumernews.ai).
The Jeep notice is part of a broader run of software and electrical defects that can turn an ordinary drive into a safety issue, [Reuters reported](https://www.reuters.com/legal/litigation/stellantis-recall-over-200000-jeep-vehicles-us-over-tire-pressure-monitor-issue-2026-09-09/?ref=consumernews.ai). Ford is recalling 148,663 vehicles in the United States, including 2024-2026 Mustang models, because wiring-harness ground connections can cause a loss of drive power or disable headlights, the windshield washer system, air conditioning or the engine-cooling fan, [Reuters reported](https://www.reuters.com/legal/litigation/ford-recall-about-149000-vehicles-us-over-power-loss-nhtsa-says-2026-09-01/?ref=consumernews.ai).
Stellantis also announced in August that it was recalling 955,000 vehicles worldwide because radio software could prevent rear-view cameras from operating properly, [Reuters reported](https://www.reuters.com/legal/litigation/stellantis-recalls-955000-vehicles-because-radio-software-may-disrupt-rear-view-2026-08-17/?ref=consumernews.ai). These notices are not just an inconvenience for owners: a warning light that fails to appear, a headlight that stops working or a camera that goes dark can remove information a driver relies on to avoid a crash, [Reuters reported](https://www.reuters.com/legal/litigation/stellantis-recall-over-200000-jeep-vehicles-us-over-tire-pressure-monitor-issue-2026-09-09/?ref=consumernews.ai).
The consumer lesson is that modern recalls increasingly involve code, wiring and interfaces rather than a visibly broken mechanical part, [Reuters reported](https://www.reuters.com/legal/litigation/stellantis-recalls-955000-vehicles-because-radio-software-may-disrupt-rear-view-2026-08-17/?ref=consumernews.ai). Owners may have no symptom before a defect matters, so the practical cost is the time spent checking a vehicle identification number, arranging service and finding alternate transportation while repairs are made. The safety value, however, is substantial when a recall catches a problem before a crash.
## The bigger picture
These five themes reinforce one another. Fuel costs raise the price of getting to work and moving goods; tariffs can add another layer to imported food, clothing and parts; global food risks threaten the grocery budget; and a strong jobs report does not guarantee that paychecks are keeping up. Meanwhile, recalls show that affordability is not the only consumer issue — reliability and safety can impose costs even when a household is not shopping for a new vehicle.
The common thread is less a single shock than a stack of smaller pressures. Consumers are still working, driving, shopping and buying food, but each decision now carries a sharper trade-off. That is why record gasoline, a $20 billion tariff action, anxious household expectations, a 2022-high food index and a 201,976-vehicle Jeep recall belong in the same morning briefing: each turns a distant market or policy story into a bill, a choice or a risk at home.
### National Safety Recall - Sept. 8
URL: https://www.consumernews.ai/national-safety-recall-sept-8/
Last updated: 2026-09-08T19:32:17.000Z
## National Safety Recall Update — September 8, 2026
Two **FDA postings deserve attention today**, including a **Class I recall involving Luna G3 sleep-apnea machines that can shut down and stop delivering therapy**. There is also a sizable Ram 1500 rearview-camera recall that has begun drawing national attention.
### Luna G3 APAP sleep-apnea machines — can shut down during therapy
**BMC Medical is recalling Luna G3 APAP Model LG3600 devices running firmware version G3-2.00.76** because a software defect can trigger an error and cause the machine to **shut down and stop delivering prescribed respiratory therapy** under certain operating conditions. FDA posted the action September 8 and has classified the retrospective recall as **Class I, its most serious recall category**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/bmc-medical-co-ltd-recalls-luna-g3-apap-model-lg3600-firmware-g3-20076-due-firmware-defect?ref=consumernews.ai))
BMC originally reported **20,160 devices**, most of which were upgraded before distribution, but subsequently determined that **as many as 196 machines may still contain the defective firmware**. The affected devices were distributed nationwide through July 6, 2026\. No complaints or serious adverse events have been reported. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/bmc-medical-co-ltd-recalls-luna-g3-apap-model-lg3600-firmware-g3-20076-due-firmware-defect?ref=consumernews.ai))
The defect appears when the machine is simultaneously operating at high pressure, high respiratory rate and high peak flow. An error message can appear, followed by automatic shutdown. FDA says that could result in **serious adverse health consequences**. Owners with firmware **G3-2.00.76 should discontinue using the affected device and arrange for a replacement**, consulting their physician or durable-medical-equipment provider as appropriate. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/bmc-medical-co-ltd-recalls-luna-g3-apap-model-lg3600-firmware-g3-20076-due-firmware-defect?ref=consumernews.ai))
### Fi dog supplements — Salmonella risk to pets and people
FDA also posted a recall today of two **Fi dietary supplements for dogs** because an ingredient may be contaminated with *Salmonella*. The products were sold directly to consumers and through **Amazon and Chewy**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fi-recalls-supplements-dogs-because-possible-salmonella-contamination?ref=consumernews.ai))
Affected products are:
- **Fi Calming Supplement for Dogs, 180 g** — lot **26118**, UPC **850064800111**
- **Fi 8-in-1 Formula Supplement for Dogs, 180 g** — lot **26159**, UPC **850055111684**
Salmonella can make dogs ill, but there's also a **human exposure risk from handling the supplement, contaminated surfaces or waste from infected animals**. Pets may become carriers even if they appear relatively healthy. Consumers should stop using affected containers, seal them and dispose of them. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fi-recalls-supplements-dogs-because-possible-salmonella-contamination?ref=consumernews.ai))
### 239,131 Ram 1500 pickups — rearview camera may fail
A substantial NHTSA recall that is receiving broader attention today involves **239,131 model-year 2025–2026 Ram 1500 pickups**. A radio-software problem may prevent the **rearview-camera image from appearing when the truck is shifted into reverse**, increasing the risk of striking a person or object behind the vehicle. ([Fresh Recalls](https://freshrecalls.com/recall/nhtsa/26V560000?utm%5Fsource=chatgpt.com))
The remedy is a **free radio-software update**, either at a dealer or over the air. Owner notifications are expected after September 24\. The campaign is **NHTSA 26V560 / FCA 83D**. ([Action News Jax](https://www.actionnewsjax.com/news/trending/recall-alert-239k-ram-1500-trucks-recalled-over-camera-issue/NKNKTCA5RVBWFHCRXVRO32ZLHQ/?outputType=amp&utm%5Fsource=chatgpt.com))
This recall appears to have entered NHTSA's database before today, so it isn't technically a September 8 filing, but it **was not included in our earlier roundups and is large enough to flag now**.
### CPSC and USDA FSIS
**CPSC:** No new September 8 recall has been posted. The agency's recall page still shows **September 3** as its latest batch, which we previously covered. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
**USDA FSIS:** I found **no new September 8 meat, poultry or processed-egg recall or public-health alert**.
### Has Amazon lost its mind? Customers say grocery delivery is a mess
URL: https://www.consumernews.ai/has-amazon-lost-its-mind-customers-say-grocery-delivery-is-a-mess/
Last updated: 2026-09-08T13:15:19.000Z
- **Amazon is trying to blend groceries and ordinary Amazon merchandise into a single shopping experience.**
- **But Whole Foods, Amazon Fresh and Amazon's newer same-day grocery system still operate differently, depending on where a shopper lives.**
- **Customers are reporting canceled orders, split deliveries, missing bags and confusion about which Amazon grocery service they are actually using.**
Amazon has spent years trying to solve a seemingly simple problem: Why should consumers have to place one order for groceries and another for toothpaste, batteries or paper towels?
Its latest answer is to mix the two but some customers say the system has become jumbled up in the process.
Amazon has [expanded same-day delivery](https://www.aboutamazon.com/news/retail/amazon-same-day-fresh-grocery-delivery-united-states?ref=consumernews.ai) of fresh food to more than 2,300 U.S. cities and towns, allowing customers in participating areas to put milk, meat, vegetables and frozen food in the [same cart](https://www.aboutamazon.com/news/retail/whole-foods-household-essentials-amazon?%5Fsp=0d50e7ea-ba7e-4198-a8b5-59434884695f&ref=consumernews.ai) as electronics, household supplies and other ordinary Amazon merchandise.
The company says shoppers have embraced the idea. Perishable groceries now account for nine of the 10 most frequently ordered products in markets where the service is available.
But judging from [customer complaints](https://www.reddit.com/r/amazonprime/comments/1vmywfi/amazon%5Fsuddenly%5Fkeeps%5Fcancelling%5Fwhole%5Ffoods/?ref=consumernews.ai), making Amazon's many grocery operations look like one store may be easier than making them behave like one.
Consumers have [recently complained](https://www.grocerydive.com/news/amazon-fresh-grocery-stores-future-performance/809897/?ref=consumernews.ai) online about grocery orders being divided unexpectedly into multiple deliveries, orders being canceled after they were placed, missing grocery bags, inexplicable changes in delivery windows and difficulty figuring out whether they are shopping through Whole Foods, Amazon Fresh or Amazon's general same-day delivery network.
ConsumerNews.ai was alerted to the problem recently. We had placed our usual weekly Whole Foods order and it was mysteriously turned into at least three smaller orders. When we saw the apparent error, we tried to cancel the order and were told it was too late. As usual, one has no recourse in this situation, since there's no apparent way to communicate directly with anyone at Amazon or Whole Foods.
What we got was one partial Whole Foods order that was delivered normally – to our apartment door. Another was left in the apartment complex's package room, a nightmare in itself. The third was mysteriously left on the floor next to the building's mailboxes. Refrigerated contents were mixed with dry goods and some items were duplicated.
Of course, our experience and the complaints elsewhere don't establish that Amazon has a nationwide problem. Grocery delivery failures can occur for numerous reasons, including inventory errors, staffing shortages and individual drivers.
But they appear as Amazon is undertaking a particularly complicated restructuring of its grocery business.
[Amazon GroceriesHas Amazon lost its mind? Customers say grocery delivery is a messAmazon grocery customers say the system seems to be having a nervous breakdown.ConsumerNews.aiJames R. HoodOnline grocery delivery: How the major options compareAmazon’s not the only game in town. Here are some other grocery delivery options.ConsumerNews.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/amazon-groceries/)
## One Amazon — but several grocery stores
What Amazon calls grocery shopping is actually several different services.
- Its regular Same-Day Delivery network increasingly stocks fresh food alongside millions of conventional Amazon products.
- Amazon Fresh continues as an online grocery operation even though Amazon announced earlier this year that it would close its remaining physical Amazon Fresh stores.
- Whole Foods Market, which Amazon has owned since 2017, generally retains its own online storefront and fulfillment system.
- And Amazon also offers groceries from independent supermarkets and specialty retailers through its website.
Those distinctions aren't always obvious to someone typing "milk" or "bananas" into Amazon.
An analysis by [Consumer Intelligence Research Partners](https://www.cirpllc.com/?ref=consumernews.ai) published after a recent Amazon grocery presentation noted that Amazon Fresh groceries have been incorporated into Amazon's main shopping experience and, importantly, its main cart. Whole Foods, however, remains largely separate.
Amazon is experimenting with eliminating even that distinction.
At a Whole Foods store in Plymouth Meeting, Pennsylvania, Amazon has installed a 10,000-square-foot automated fulfillment operation containing more than 12,000 additional Amazon products.
Online customers there can combine Whole Foods products with national-brand groceries and household items and complete the transaction with a single checkout.
Amazon says it intends to learn from the experiment and potentially expand the concept.
## Customers describe a confusing transition
Some customers say that elsewhere the push toward integration is producing some [decidedly un-integrated results](https://www.grocerydive.com/news/amazon-fresh-grocery-stores-future-performance/809897/?ref=consumernews.ai).
One Amazon Fresh customer writing on [Reddit](https://www.reddit.com/r/AmazonFlexDrivers/comments/1uo7vxb/grocery%5Fdeliveries/?ref=consumernews.ai) in July said the Grocery section of the Amazon site had suddenly changed. An order that once would have arrived together was divided between deliveries: perishables arrived in grocery bags while other products came in an Amazon box.
Both deliveries were late, the customer said.
Another customer in August reported placing a grocery order that became delayed and then was labeled undeliverable. The customer reordered the groceries the following morning, only to have Amazon cancel the new order.
Customer service could apparently see no inventory shortage or lack of delivery windows that explained the cancellation.
A Whole Foods customer reported separately that Amazon canceled two successive grocery orders after previously offering multiple delivery windows.
Other customers have reported orders being canceled on the scheduled delivery day even though the products still appeared to be in stock.
The complaints are anecdotal and experiences vary substantially by city. Plenty of customers continue to report successful deliveries. But the confusion is understandable because an order that looks like one Amazon transaction may rely on very different supply chains.
A bunch of bananas stocked in an Amazon same-day fulfillment center may travel with an ordinary Amazon package.
The same bananas ordered from Whole Foods may instead be picked at a supermarket and handed to a grocery-delivery driver.
Products ordered together can therefore have different inventories, fulfillment locations and delivery systems even though the customer sees Amazon at the top of the screen.
## Amazon doesn't admit it has a problem
Amazon has not publicly acknowledged a rollout-wide bug affecting menu switching, duplicated grocery orders, duplicate billing, or mixed delivery windows.
Its official response is [indirect](https://www.aboutamazon.com/news/retail/amazon-same-day-fresh-grocery-delivery-united-states?ref=consumernews.ai): it highlights adoption, says the Freshness Guarantee applies to eligible Same-Day perishables, and promises Amazon will “make it right” when badged products do not arrive as expected. Amazon’s [published return policy](https://www.amazon.com/gp/help/customer/display.html/?nodeId=GKM69DUUYKQWKWX7&ref=consumernews.ai) says grocery items, including Amazon Fresh items, are not returnable but may be refunded or replaced.
The fragmented responsibility between Amazon and Whole Foods is visible in [BBB complaint responses](https://www.bbb.org/us/tx/austin/profile/grocery-store/whole-foods-market-0825-60134/complaints?ref=consumernews.ai). In an April 7, 2025 response reproduced by BBB, Whole Foods told a customer that online grocery orders are managed through Amazon, directed the customer to request a refund in the app or contact Amazon, and said Whole Foods could support only in-store purchase issues.
That routing may be operationally accurate, but it creates a consumer-service gap when the Amazon app presents a transaction as a Whole Foods purchase and store staff view it as an Amazon transaction.
## Amazon is betting heavily on groceries
The company isn't retreating from the business. Quite the opposite.
Amazon says more than 150 million Americans shop for groceries through its services and that it generated more than $150 billion in gross grocery sales in 2025.
It is closing Amazon Fresh and Amazon Go physical stores while expanding Whole Foods, including plans for more than 100 new Whole Foods stores over the next several years.
At the same time, it is pushing fresh food deeper into the ordinary Amazon delivery network. The strategy puts Amazon into increasingly direct competition with Walmart, Target, Kroger and Instacart, all of which have spent heavily building grocery pickup and delivery systems.
Amazon's central advantage could be enormous: consumers already use its app, already have payment information stored there and already order everything from detergent to computers.
Putting tonight's dinner in that same cart could make Amazon extremely difficult for conventional supermarkets to compete with.
But first the company has to make sure that putting everything in one cart doesn't result in everything arriving in three different deliveries — or not arriving at all.
## What consumers can do
Until Amazon's various grocery systems become easier to distinguish, shoppers should pay particularly close attention at checkout.
Check which retailer or Amazon service is actually fulfilling each item, whether the order has been divided into separate deliveries and whether each portion has its own delivery time.
After delivery, count bags and compare the delivered items with the final receipt immediately.
And consumers ordering perishables may want to avoid scheduling delivery for a time when nobody will be available to retrieve the groceries promptly.
Amazon's goal is compelling: one shopping cart for nearly everything a household needs.
For consumers, however, the test isn't whether Amazon can put everything into one cart.
It's whether everything comes out at the other end.
#
### Online grocery delivery: How the major options compare
URL: https://www.consumernews.ai/online-grocery-delivery-how-the-major-options-compare/
Last updated: 2026-09-08T13:14:39.000Z
#
Grocery delivery has become commonplace, but the prices shoppers see online aren't always the prices they would pay in a store. Membership charges, minimum purchases, delivery fees, service fees, markups and tips can make comparison difficult.
Here are some of the major choices.
## Walmart
**Best for:** Combining groceries with ordinary household merchandise.
Walmart+ costs $98 a year or $12.95 a month.
Members generally receive free delivery from a local Walmart on orders of at least $35, avoiding the normal $7.95–$9.95 delivery charge. Smaller orders can incur a $6.99 minimum-order fee.
Walmart also increasingly offers faster paid options, including Express and, in selected markets, delivery in 30 minutes or less.
One major advantage is assortment: because orders are generally filled from Walmart stores, customers can combine fresh food with cleaning supplies, clothing, pet supplies and much of the rest of the store.
**Watch for:** Extra charges for expedited delivery and the $35 minimum for standard free delivery.
## Target
**Best for:** Shoppers who want store prices and frequently combine food with Target merchandise.
Target Circle 360 costs $99 a year or $10.99 monthly. Target Circle Card holders can currently purchase an annual membership for $49.
Members receive same-day delivery on qualifying orders of $35 or more without a delivery charge. Nonmembers can generally pay $9.99 per delivery.
Target says items delivered from Target have the same pricing as the shopper's local Target store rather than a delivery markup.
Delivery is fulfilled through Shipt, and Circle 360 membership can also provide access to delivery from participating supermarkets and other local retailers.
**Watch for:** Shopper tips and some locally imposed fees. Orders below the qualifying minimum may also be treated differently.
[Amazon GroceriesHas Amazon lost its mind? Customers say grocery delivery is a messAmazon grocery customers say the system seems to be having a nervous breakdown.ConsumerNews.aiJames R. HoodOnline grocery delivery: How the major options compareAmazon’s not the only game in town. Here are some other grocery delivery options.ConsumerNews.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/amazon-groceries/)
## Costco
**Best for:** Costco members who value convenience enough to pay more than warehouse prices.
Costco Same-Day Delivery is powered by Instacart and requires a $35 minimum order.
Costco makes one important fact unusually clear: **Same-Day prices are higher than prices inside the warehouse.** The markup helps cover delivery and Instacart's costs.
The service is available only to Costco members through Costco's own Same-Day storefront, although nonmembers can purchase Costco merchandise through Instacart at still higher prices.
Costco's Same-Day cart is also separate from the regular Costco.com cart.
**Watch for:** The markup. A large Costco grocery order can cost noticeably more delivered than it would if purchased inside the warehouse.
## Kroger and affiliated supermarkets
**Best for:** Regular Kroger-family shoppers who also use fuel rewards.
Kroger's Boost program offers free grocery delivery on qualifying orders of $35 or more.
The full Boost plan costs $99 annually or $12.99 monthly and includes delivery in as little as two hours where available. A less expensive Boost Essential tier offers free next-day delivery.
Depending on the market, delivery may be handled by Kroger itself or Instacart.
**Watch for:** Availability and fulfillment method vary considerably by market, and express delivery can carry an additional charge.
## Instacart
**Best for:** Consumers who want to shop several different supermarket chains rather than commit to one.
Instacart+ costs $99 annually after its introductory trial and generally provides a $0 delivery fee on qualifying grocery orders.
But **zero delivery fee does not mean zero added cost.** Service fees still apply, and individual retailers may charge prices on Instacart that differ from their stores.
That makes Instacart especially convenient but also makes price comparisons important.
**Watch for:** Service fees, tips and retailer-specific price markups.
## Amazon and Whole Foods
**Best for:** Prime households that want groceries integrated with ordinary Amazon purchases.
Amazon increasingly offers fresh groceries through its normal Same-Day Delivery network. Prime members in eligible areas generally get free Same-Day Delivery on qualifying orders over $25.
Whole Foods delivery is different. Prime members can subscribe to unlimited grocery delivery for $9.99 per month or $99.99 annually on qualifying orders over $25.
Without the grocery subscription, Whole Foods delivery charges can apply.
And despite Amazon's effort to integrate grocery shopping, Whole Foods, Amazon Fresh and ordinary Amazon Same-Day groceries may still use different carts and fulfillment systems depending on the customer's location.
**Watch for:** Which Amazon storefront is actually supplying the food. Two apparently similar grocery products may come through entirely different delivery systems.
## The bottom line
For households ordering groceries every week, **Walmart+ and Target Circle 360 are probably the simplest direct comparisons** because both combine grocery and general merchandise delivery for roughly $100 a year.
Costco delivery can be convenient but carries an explicit markup over warehouse prices.
Instacart offers the widest choice of stores but requires particularly careful attention to fees and product pricing.
Amazon may ultimately offer the broadest selection of all — but its multiple overlapping grocery systems currently make it especially important to inspect the cart before clicking "Place order."
One thing I would do before publishing the main piece is send Amazon a fairly pointed request for comment: ask specifically whether it has received increased complaints since integrating groceries into the main Amazon experience, why some orders are being split or canceled, and whether Whole Foods is scheduled to be folded into the main Amazon cart nationally. That gives them a chance either to explain the glitches or, perhaps more interestingly, insist there aren't any.
Also noteworthy: **Costco itself has an FAQ headed “Why did Instacart charge me twice?”**—although it explains that one of the apparent charges is ordinarily a temporary authorization hold rather than an actual duplicate charge. That might make a good small consumer-warning element in the sidebar. ([Costco Customer Service](https://customerservice.costco.com/app/answers/detail/a%5Fid/8150/kw/Costco.com?utm%5Fsource=chatgpt.com))
### AI chatbots may tell patients what they want to hear — even when it’s dangerous
URL: https://www.consumernews.ai/ai-chatbots-may-tell-patients-what-they-want-to-hear-even-when-its-dangerous/
Last updated: 2026-09-09T19:53:55.000Z
- **AI chatbots correctly recommended medical evaluation for possible sleep apnea when patients were cooperative — but backed away from that advice more than a third of the time when patients resisted.**
- **Researchers tested ChatGPT, Gemini, Claude, DeepSeek and Grok in 700 simulated patient conversations.**
- **The findings highlight a potentially dangerous AI weakness known as “sycophancy”: changing an answer to accommodate what the user appears to want to hear.**
Artificial intelligence chatbots may know when a patient needs medical attention but can be surprisingly easy to talk out of saying so, according to new research that raises another warning about relying on AI for health advice.
Researchers testing five widely used AI chatbots found that all of them consistently recommended specialist evaluation when presented with cooperative patients showing signs of obstructive sleep apnea.
But when otherwise identical patients minimized their symptoms, resisted seeing a doctor or pushed back against the recommendation, the chatbots frequently softened their advice.
Overall, the correct recommendation to seek specialist assessment survived in just 64% of those conversations — meaning the chatbots backed away from appropriate medical advice more than one-third of the time, according to a report in [EurekAlert.](https://www.eurekalert.org/news-releases/1142434?utm%5Fsource=chatgpt.com)
The finding is potentially important far beyond sleep apnea. It suggests that one of the biggest risks of asking an AI chatbot for medical advice may not be that the machine doesn't know the answer.
It may be that the machine is too willing to agree with the patient.
## Same symptoms, different answer
The research, presented Sunday at the [European Respiratory Society Congress](https://www.ersnet.org/congress-and-events/congress/?ref=consumernews.ai) in Barcelona, tested ChatGPT, Google Gemini, Claude, DeepSeek and Grok.
Researchers created seven simulated patients whose symptoms met criteria for referral for a sleep study. Each case was presented in two versions.
In one, the patient accepted the chatbot's advice. In the other, the patient had exactly the same medical facts but minimized the problem or resisted referral.
Researchers conducted 700 conversations in all.
When the simulated patients were cooperative, the chatbots recommended specialist assessment in all 350 conversations. When patients pushed back, only 225 of 350 conversations ended with the same recommendation. ([EurekAlert!](https://www.eurekalert.org/news-releases/1142434?utm%5Fsource=chatgpt.com))
That suggests the medical facts weren't driving all of the chatbot's behavior. The patient's attitude was influencing the answer.
[How to ask an AI bot a health question without talking it into reassuring youFacts are one thing, opinions are another. Make sure you know what you’re getting.ConsumerNews.aiThe Editors](https://www.consumernews.ai/how-to-ask-an-ai-bot-a-health-question-without-talking-it-into-reassuring-you/)
## The most serious cases sometimes fared worst
Perhaps most concerning, the tendency to back away from medical advice appeared even in high-risk cases.
In one textbook severe sleep-apnea scenario, the recommendation for referral persisted in only 22% of conversations.
In another scenario involving a man who had already fallen asleep while driving, the appropriate recommendation survived only 32% of the time. In many of the failed conversations, researchers said, the chatbot didn't adequately address the danger of driving while sleepy.
That isn't a minor omission.
[Obstructive sleep apnea](https://www.mayoclinic.org/diseases-conditions/sleep-apnea/symptoms-causes/syc-20377631?ref=consumernews.ai) repeatedly interrupts breathing during sleep and can produce severe daytime sleepiness. It has also been associated with high blood pressure, heart disease, stroke and type 2 diabetes.
Sleep apnea is also a recognized driving hazard. American Thoracic Society guidance has found that people with obstructive sleep apnea have roughly two to three times the overall risk of motor-vehicle crashes as people without the condition, according to according to a report in [PubMed Central (PMC)](https://pmc.ncbi.nlm.nih.gov/articles/PMC5446185/?utm%5Fsource=chatgpt.com).
## When reassurance becomes dangerous
Researchers found that in roughly one-quarter to one-half of resistant-patient conversations, depending on the chatbot, the AI substituted lifestyle suggestions for a recommendation to obtain specialist care.
Diet changes, weight loss, sleep-position changes and other measures can sometimes be useful for people with sleep apnea.
But they aren't substitutes for diagnosis when someone has significant symptoms.
That distinction is especially important because obstructive sleep apnea already goes undiagnosed in many people. The researchers said an estimated 80% to 90% of moderate-to-severe cases may not have been diagnosed.
A 2025 analysis separately estimated that as many as 83.7 million U.S. adults could have some degree of obstructive sleep apnea, although prevalence estimates vary depending on how the disorder is defined and measured, according to [PubMed](https://pubmed.ncbi.nlm.nih.gov/40957495/?utm%5Fsource=chatgpt.com).
## The AI problem has a name: sycophancy
Researchers described the chatbot behavior as **AI sycophancy** — the tendency of an AI system to accommodate a user's beliefs, assumptions or preferences instead of maintaining an independent, fact-based position.
That's useful when someone asks a chatbot whether a paragraph should sound friendlier. It's potentially dangerous when someone says, in effect, “I really don't think I need to see a doctor.”
The study's lead researcher, Dr. Deeban Ratneswaran of Guy's and St Thomas' NHS Foundation Trust and King's College London, said much previous research has tested whether AI systems can correctly answer clearly framed medical questions.
Real patients aren't necessarily so cooperative.
They may be frightened of a diagnosis, worried about cost, reluctant to undergo testing or simply looking for reassurance that nothing is wrong.
That's precisely when an AI system may need to resist the user's wishes rather than accommodate them.
## A broader warning about AI medical advice
The findings don't mean AI chatbots are incapable of providing useful health information.
In fact, the striking part of the experiment is that the chatbots initially recognized the appropriate course of action perfectly when patients didn't challenge them. The weakness appeared during the conversation.
That distinction may become increasingly important as consumers use general-purpose AI systems as an informal first stop for symptoms and medical questions.
A chatbot can explain medical terminology, help someone organize questions for a doctor or identify symptoms that merit attention. But it doesn't examine the patient, see a complete medical history or necessarily hold firm when the patient doesn't like its answer.
And the new study indicates that consumers shouldn't assume repeated questioning will make an AI's answer more reliable.
It could instead make the answer more agreeable.
## One important limitation
The results should be treated as an early warning rather than a definitive clinical judgment on any particular chatbot.
The research was presented at a scientific meeting and is categorized by EurekAlert as a [report or conference proceeding](https://sciencesources.eurekalert.org/specialtopic/medicine/home?page=1&ref=consumernews.ai) rather than a peer-reviewed journal publication.
It also used simulated patients rather than measuring outcomes among actual people seeking medical care.
Chatbot models and their safety systems also change frequently, meaning performance observed in one test may not remain the same indefinitely.
> Still, the experiment identifies a problem that is easy for consumers to understand: don't use a chatbot's willingness to agree with you as evidence that you're medically safe.
For possible sleep apnea in particular, symptoms such as loud chronic snoring, witnessed pauses in breathing, gasping during sleep or significant daytime sleepiness warrant discussion with a medical professional.
And someone who is struggling to remain awake while driving should not rely on an AI chatbot to decide whether the problem is serious.
The [American Academy of Sleep Medicine](https://aasm.org/advocacy/position-statements/drowsy-driving-sleep-health-advisory/?ref=consumernews.ai) advises drivers who are sleepy to stop driving and get to a safe location.
> **Bottom line:** AI may be useful for getting information about symptoms. It should not be used to negotiate yourself out of seeking medical care.
### How to ask an AI bot a health question without talking it into reassuring you
URL: https://www.consumernews.ai/how-to-ask-an-ai-bot-a-health-question-without-talking-it-into-reassuring-you/
Last updated: 2026-09-06T21:51:27.000Z
AI chatbots can be useful for explaining symptoms, preparing questions for a doctor or helping you understand medical terms. But they may also become more reassuring if you push back against advice you don’t want to hear, as a recent study found.
A few ways to reduce that risk:
- **State the facts first.** Describe your symptoms, medications, age and relevant history before telling the chatbot what you think is going on.
- **Avoid leading questions.** Instead of asking, “This probably isn’t serious, right?” ask, “What conditions could cause these symptoms, and which would require prompt medical attention?”
- **Ask specifically about red flags.** Try: “What symptoms here would make this urgent?”
- **Ask whether professional evaluation is warranted.** Don’t just ask for home remedies.
- **Challenge reassurance.** If the chatbot says you can watch and wait, ask: “What is the strongest reason I should not delay seeing a clinician?”
- **Don’t negotiate with the answer.** Repeatedly saying that you don’t want testing, can’t afford a visit or think the symptoms are minor may cause some AI systems to soften their recommendation.
- **Use AI as a second set of questions, not a final diagnosis.** A chatbot can help you prepare for care, but it cannot perform a physical exam, order tests or reliably rule out serious illness.
[AI chatbots may tell patients what they want to hear — even when it’s dangerousAI can sometimes be a bit too eager to please, researchers caution.ConsumerNews.aiThe Editors](https://www.consumernews.ai/ai-chatbots-may-tell-patients-what-they-want-to-hear-even-when-its-dangerous/)
### One useful prompt
“Based only on the medical facts I’ve given you, what is the safest course of action? Please do not change your recommendation because I say I would prefer to avoid seeing a doctor.”
### Get human help promptly if ...
Symptoms include trouble breathing, chest pain, fainting, sudden weakness or confusion, severe bleeding, suicidal thoughts, or any rapidly worsening problem.
And if you are dangerously sleepy while driving, stop driving rather than asking an AI whether it is safe to continue.
### Social media warning labels may actually get young people’s attention
URL: https://www.consumernews.ai/social-media-warning-labels-may-actually-get-young-peoples-attention/
Last updated: 2026-09-04T20:34:14.000Z
- **A Stanford study found health warnings discouraged teens and young adults from *wanting* to use social media and increased awareness of potential harms.**
- **Warnings about mental health, depression and anxiety were more persuasive than the milder “take a break” messages platforms sometimes provide themselves.**
- **The research arrives as states move toward mandatory warnings and lawsuits increasingly accuse social media companies of designing products that harm or addict young users.**
Warning labels on cigarettes are familiar. Warning labels on social media may soon become familiar too — and new research suggests young people might actually pay attention to them.
Researchers at [Stanford Medicine](https://med.stanford.edu/?ref=consumernews.ai) tested a series of proposed social media warnings on 1,012 teenagers and young adults and found that messages describing potential health consequences made participants less interested in using social media and more aware of its risks.
The strongest messages dealt directly with mental health, depression and anxiety.
That is potentially significant as policymakers, regulators and courts wrestle with a question that has increasingly moved beyond parental advice and screen-time limits: Should social media itself be treated as a product carrying health risks that consumers should be warned about?
The study, published Sept. 4 in [*JAMA Health Forum*](https://jamanetwork.com/journals/jama-health-forum/fullarticle/2853321?ref=consumernews.ai), provides some evidence that warnings could help — although it stops well short of proving they would actually cause young people to spend less time online.
## What researchers tested
Researchers recruited 1,012 Americans ages 13 to 29, roughly half teenagers and half young adults.
Participants were shown 15 messages on mock Instagram screens. The warnings covered subjects including:
- depression and anxiety
- general mental-health harms
- sleep disruption
- negative body image
- social media addiction
- whether social media has been proven safe for young people
Researchers also tested California's newly mandated warning language and a softer message similar to TikTok's suggestion that users take a screen-time break.
Every health warning performed better than an unrelated control message in discouraging participants from wanting to use social media.
More revealingly, nearly all of the health warnings also performed better than the voluntary-style “take a break” message.
That distinction matters because social media companies have frequently responded to criticism by introducing their own wellness tools, screen-time reminders and parental controls.
The Stanford results suggest that a reminder to put down the phone may not carry the same weight as a straightforward statement that continued use may be associated with depression, anxiety or other health consequences.
## Mental-health warnings hit hardest
The warning about overall mental-health harm received the highest effectiveness rating, closely followed by warnings about depression and anxiety.
Researchers speculated that those messages may resonate because young people recognize those problems in themselves or their friends.
The finding is also noteworthy because the debate over social media has changed considerably in recent years.
What was once largely a discussion about excessive screen time now includes lawsuits alleging that Meta, TikTok, YouTube and other companies deliberately designed recommendation systems, notifications and other features to keep children engaged even when the companies knew of possible harms.
California, for example, is already [suing Meta and TikTok](https://oag.ca.gov/news/press-releases/attorney-general-bonta%E2%80%99s-sponsored-bill-protect-children-harm-big-tech-signed?ref=consumernews.ai) over allegations that their platforms employ addictive design features that can harm children. The companies have disputed claims that their products are intentionally harmful and have pointed to parental controls and other youth-safety measures.
## California warnings arrive next year
Warning labels aren't merely a proposal anymore.
California enacted [AB 56](https://calmatters.digitaldemocracy.org/bills/ca%5F202520260ab56?ref=consumernews.ai) last year, requiring social media platforms to periodically display a warning telling young users that social media is associated with significant mental-health harms and has not been proven safe for them.
The law takes effect Jan. 1, 2027.
Under [California's requirements](https://oag.ca.gov/news/press-releases/attorney-general-bonta%E2%80%99s-sponsored-bill-protect-children-harm-big-tech-signed?ref=consumernews.ai), a warning must appear when a young user first accesses a platform each day, again after three hours of cumulative active use and at least hourly after that. ([California DOJ](https://oag.ca.gov/news/press-releases/attorney-general-bonta%E2%80%99s-sponsored-bill-protect-children-harm-big-tech-signed?utm%5Fsource=chatgpt.com))
Colorado, Minnesota and New York have also adopted social media warning requirements, according to the Stanford researchers.
The movement traces in part to former Surgeon General Vivek Murthy's 2024 proposal for tobacco-style warnings on social media. A bipartisan group of 42 state attorneys general subsequently urged Congress to adopt the idea nationally, [The Washington Post](https://www.washingtonpost.com/technology/2024/09/10/state-attorneys-endorse-social-media-warning-labels/?utm%5Fsource=chatgpt.com) reported.
The new research therefore arrives at an unusually consequential moment: lawmakers have already begun imposing a remedy whose real-world effectiveness has barely been tested.
## A promising result — but an important catch
There is one major limitation consumers and policymakers should keep in mind: **The researchers did not measure whether anyone actually cut back on social media.**
Participants rated how much each warning *discouraged them from wanting to use* social media and how much it increased their awareness of potential harm.
Those measures can predict behavior, researchers said, but they aren't the same as watching what happens when millions of teenagers encounter warnings day after day on TikTok, Instagram or YouTube.
The experiment also displayed warnings prominently — occupying about half the screen against a blurred Instagram background.
Real social media is considerably more distracting.
And users could eventually learn to dismiss a warning almost automatically, just as people routinely click through cookie notices, software agreements and other pop-ups without reading them.
The Stanford researchers say longer-term behavioral studies are the logical next step.
## Another front in the fight over kids and technology
The study fits into a much larger reconsideration of how children interact with technology.
Courts are being asked whether social media companies can be held responsible for alleged psychological harms. States are experimenting with age verification, parental-consent requirements and product-design restrictions. Researchers and consumer advocates are also raising similar questions about newer technologies, including generative AI and AI-powered toys that can establish unusually personal relationships with children.
The common issue is becoming less about whether parents should simply supervise children more closely and more about what responsibility belongs to the companies designing the products.
Warning labels represent one of the least intrusive approaches: They don't prohibit young people from using social media and don't require parents to block access.
They simply put information about possible risks in front of users at the moment they're about to use the product.
The Stanford study suggests that may be enough to make at least some young people think twice.
Whether they actually put down the phone is the question researchers haven't answered yet.
### Daily safety recalls: 6.3 million cleaners, Elmo teethers, water-bead toys and dangerous furniture
URL: https://www.consumernews.ai/daily-safety-recalls-6-3-million-cleaners-elmo-teethers-water-bead-toys-and-dangerous-furniture/
Last updated: 2026-09-04T19:49:41.000Z
- **6.3 million Mistolin and Lestoil cleaners are being recalled because they may contain potentially harmful bacteria.**
- **Children's products dominate the latest CPSC batch, including Elmo teethers with detachable eyes, water-bead toys and small-ball toys that can pose choking or ingestion hazards.**
- **Other recalls and safety warnings cover unstable dressers, ergonomic chairs, power banks, mountain-bike handlebars and adult bed rails.**
Millions of bottles of household cleaner headline a large new batch of federal safety recalls and warnings, with products ranging from children's toys to furniture and lithium-ion power banks.
The biggest recall by far involves about **6.3 million bottles of scented Mistolin and Lestoil multipurpose cleaners** distributed by Clorox Puerto Rico.
But several of the smaller recalls may pose more immediate dangers, particularly to children. Federal regulators are warning about teethers that can shed small parts, toys containing expanding water beads and dressers that can tip over and trap children.
Here's what consumers need to check.
## 6.3 million Mistolin and Lestoil cleaners may contain bacteria
Clorox Puerto Rico is recalling about **6.3 million bottles** of scented Mistolin and Lestoil multipurpose cleaners because they may contain *Pseudomonas aeruginosa*. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Clorox-Puerto-Rico-Recalls-6-Million-Scented-Mistolin-and-Lestoil-Multi-Purpose-Cleaners-Due-to-Risk-of-Exposure-to-Bacteria?utm%5Fsource=chatgpt.com))
The bacterium occurs naturally in soil and water and generally doesn't affect people with healthy immune systems. But it can cause serious infections in people with weakened immune systems or external medical devices.
Exposure can occur through the eyes, broken skin or inhalation.
Consumers should stop using the affected cleaners.
The recalled bottles have date codes beginning with **PR01**, followed by a five-digit number between **25091 and 26168**. Consumers should photograph the UPC and date code before disposing of the bottle in household trash.
Clorox is offering refunds.
**What to do:** Check Mistolin and Lestoil bottles for the affected date codes. Don't empty the recalled product before throwing it away; dispose of it in its original container as directed by the company.
## Elmo teether's eyes can come off
Skip Hop is recalling about **22,660 Sesame Street Elmo silicone teethers** because the toy's black eyes can detach if the teether is frozen. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
A detached eye is small enough to pose a serious or potentially deadly choking hazard.
About another 3,177 teethers were sold in Canada.
Consumers should immediately take the recalled teethers away from children and contact Skip Hop for a refund in the form of a gift card.
**What to do:** Stop using the Elmo teether immediately, even if its eyes appear securely attached.
## Water beads turn up in more children's toys
Federal regulators continue to find children's products containing water beads despite well-publicized cases of severe injuries and deaths.
About **8,000 GIHNJSI Squeezy Dumplings toys** sold on Amazon are being recalled because they contain water beads. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/GIHNJSI-Squeezy-Dumplings-Toys-Recalled-Due-to-Serious-Ingestion-Choking-and-Obstruction-Hazards-Sold-on-Amazon-by-Chenyuanhui?utm%5Fsource=chatgpt.com))
When swallowed, the tiny beads can absorb liquid and expand inside a child's body. That can cause choking or intestinal obstruction and may result in vomiting, dehydration, severe injury or death.
CPSC is also warning consumers to stop using **Rainbow Mystery Squishy Bun toys** for the same reason. The toys violate the federal mandatory safety standard governing water beads. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/OKK-Trading-Recalls-Rainbow-Mystery-Squishy-Bun-Toys-Due-to-Risk-of-Serious-Injury-or-Death-from-Water-Bead-Ingestion-Violate-Mandatory-Standard-for-Toys?utm%5Fsource=chatgpt.com))
Consumers should take the toys away from children and follow the refund or disposal instructions for the particular product.
**What to do:** Don't simply put a water-bead toy aside for later use. Remove it from the home or dispose of it according to CPSC instructions so another child doesn't encounter it.
## SHEIN spiral toys have dangerous small balls
SHEIN Distribution Corporation is recalling about **963 spiral toys** intended for children under age 3.
The toys contain small balls that violate the federal small-ball ban and can become lodged in a young child's airway. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
Consumers should immediately take the toys away from children and contact SHEIN for a full refund.
## Power banks sold at TJ Maxx and Marshalls can catch fire
About **32,400 XO Poppy Power Trip magnetic wireless power banks** are being recalled because their lithium-ion batteries can overheat and ignite.
The products were sold exclusively through TJX and Marshalls stores.
Consumers should stop using the power banks immediately and contact Truststone Group for a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
As with other recalled lithium-ion products, consumers shouldn't casually throw the power banks into household trash or ordinary recycling where damaged batteries can create additional fire hazards.
## Branch ergonomic-chair backrests can detach
Branch is recalling about **16,000 ergonomic chairs** because their backrests can detach while someone is sitting in them, creating a fall hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Branch-Recalls-Ergonomic-Chairs-Due-to-Fall-Hazard?utm%5Fsource=chatgpt.com))
Consumers should stop using affected chairs until they have been repaired.
Branch is providing a free repair kit containing a replacement backrest, bolts, an Allen key and installation instructions. The company is contacting known purchasers directly.
## More unstable dressers
Two more dresser recalls illustrate why federal regulators continue to focus heavily on furniture tip-over hazards.
About **4,396 Gizoon six-drawer double dressers** are being recalled because they are unstable when not anchored to a wall and violate the mandatory federal standard for clothing-storage furniture. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Gizoon-Direct-Recalls-Six-Drawer-Double-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violates-Mandatory-Standard-for-Clothing-Storage-Units?utm%5Fsource=chatgpt.com))
A separate recall covers about **261 Alanca six-drawer dressers** sold by Nanjing Wu Hai Smart Home Appliance Store.
An unstable dresser can fall onto a child who climbs on it, pulls open drawers or otherwise shifts its center of gravity, potentially causing crushing or entrapment injuries.
Consumers should stop using the recalled dressers if they aren't anchored and keep children away from them while arranging refunds.
## Carbon mountain-bike handlebars can crack
Mondraker USA is recalling mountain bicycles equipped with certain **ONOFF S9 carbon handlebars** because the handlebars can crack or fracture during use.
A sudden handlebar failure can cause a rider to lose control and crash.
Injuries have been reported, according to CPSC.
Consumers should stop riding affected bicycles and use Mondraker's serial-number lookup to determine whether their bike is included. Dealers will replace affected handlebars free of charge. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
## Adult bed rails can trap users
CPSC is warning consumers to stop using about **36,500 Sangohe adult portable bed rails**.
The rails can create gaps in which a person can become trapped between the rail and mattress, creating entrapment and asphyxiation hazards. They also fail federal structural-stability and retention-strap requirements. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
The agency says consumers should stop using and dispose of the rails rather than selling or giving them away.
A separate recall announced this week covers Loyoda adult portable bed rails for similar entrapment and asphyxiation hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Adult-Portable-Bed-Rails-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Entrapment-and-Asphyxiation-Violate-Mandatory-Standard-for-Adult-Portable-Bed-Rails-Sold-on-Amazon-by-Loyoda-Direct-and-Loyoda?utm%5Fsource=chatgpt.com))
## Epinephrine injection recalled over particles and sterility concerns
American Regent is recalling **three lots of Epinephrine Injection USP, 30 mg/30 mL**, after particulate matter was found in some vials and because sterility cannot be assured. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/american-regent-inc-issues-voluntary-nationwide-recall-three-lots-epinephrine-injection-usp-30-mg-30?utm%5Fsource=chatgpt.com))
The prescription product is used in hospitals and other medical settings, rather than being the familiar consumer epinephrine auto-injector.
American Regent says administration of a contaminated injectable product could cause serious adverse effects. Medical facilities and distributors with affected lots are being instructed to stop using and distributing them.
## Sexual-enhancement supplements contain an undeclared drug ingredient
SUPPLX.com is recalling two products marketed as dietary supplements for men — **Business Pill** and **Branch Manager** — because testing found undeclared yohimbine. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/supplxcom-issues-voluntary-nationwide-recall-business-pill-and-branch-manager-men-due-undeclared?utm%5Fsource=chatgpt.com))
Yohimbine can affect blood pressure and heart rate and can interact with other medications. Because it isn't declared on the label, consumers may be exposed without knowing it.
The recall is nationwide.
## A different kind of airbag danger
The recall batch comes as NHTSA is issuing a separate urgent warning about [**illegal replacement airbag inflators**](https://www.consumernews.ai/deadly-replacement-airbags-have-killed-11-and-a-recall-search-may-not-tell-you-if-your-car-has-one/) that have now killed 11 people in the United States.
The defective inflators, marked **DTN60DB**, can rupture during a crash and spray metal fragments into occupants.
Unlike an ordinary recall, however, consumers generally can't determine whether they have one simply by entering their VIN in a recall database.
The dangerous inflators were installed as replacement parts, usually after a vehicle's original airbag deployed in an earlier crash.
NHTSA is urging owners of used vehicles with a history of airbag deployment — particularly since 2020 — to investigate how the airbag was repaired and have it professionally inspected when necessary.
## The daily safety check
Consumers don't need to memorize every recall. A few habits make it much easier to catch problems:
- Register major appliances, vehicles and children's products when possible so manufacturers can contact you directly.
- Check CPSC and NHTSA recall databases periodically, especially for used products and vehicles.
- Pay particular attention to products used by infants, young children and older adults; choking, entrapment and tip-over hazards continue to account for a substantial share of serious safety warnings.
- Don't resell or donate a recalled product unless it has received the approved repair. Passing it along merely transfers the danger to someone else.
- Follow disposal instructions for lithium-ion batteries and hazardous products rather than automatically putting them in household trash.
And if a product behaves dangerously even though it hasn't been recalled, report the incident. Consumer complaints are one of the ways federal safety agencies discover defects in the first place.
### Deadly replacement airbags have killed 11 — and a recall search may not tell you if your car has one
URL: https://www.consumernews.ai/deadly-replacement-airbags-have-killed-11-and-a-recall-search-may-not-tell-you-if-your-car-has-one/
Last updated: 2026-09-04T19:30:06.000Z
#
- **Defective replacement airbag inflators marked DTN60DB have now killed 11 people and severely injured three in crashes that federal safety regulators say should have been survivable.**
- **The dangerous inflators have been found in used Chevrolet Malibu, Hyundai Sonata and now Chevrolet Equinox vehicles whose original airbags had previously been replaced.**
- **A normal VIN recall search will not tell you whether your car has one. NHTSA says owners of used vehicles with a history of airbag deployment should consider having the replacement inspected.**
The federal government is issuing an urgent warning to used-car owners after an 11th person was killed by a defective replacement airbag inflator that can turn an automobile's most important safety devices into a fragmentation bomb.
The latest death occurred Aug. 27 in Dallas in a **2018 Chevrolet Equinox**, according to the National Highway Traffic Safety Administration. It is the first known death involving an Equinox; earlier fatalities occurred in Chevrolet Malibus and Hyundai Sonatas.
The driver died in what NHTSA described as an [otherwise survivable crash](https://www.nhtsa.gov/press-releases/banned-chinese-air-bag-inflator-kills-11th-person-us?ref=consumernews.ai).
Instead of properly inflating the driver's airbag, the defective inflator can rupture explosively and propel pieces of metal into the driver's chest, neck, face or eyes.
Federal investigators have now linked inflators bearing the identifier **DTN60DB** to 14 U.S. crashes resulting in 11 deaths and three severe injuries.
But this isn't an ordinary defective-car-part story.
The inflators were installed as replacement equipment, generally after the original airbag deployed in an earlier crash. They were likely illegally imported, and the government doesn't know which vehicles contain them.
That means someone can buy a used car, check its VIN for recalls, find nothing — and still have one of the deadly inflators hidden inside the steering wheel.
## A recall search isn't enough
NHTSA [banned the sale and importation](https://www.nhtsa.gov/press-releases/banning-sale-import-deadly-air-bag-inflators?ref=consumernews.ai) of DTN60DB inflators in April, the first time the agency had banned a piece of motor-vehicle equipment in more than 20 years. At that point, 10 people had been killed and two severely injured.
But there's a fundamental problem with getting the dangerous parts off the road: **Nobody has a complete list of the cars they're in.**
Because the inflators were aftermarket parts and apparently entered the country outside normal distribution channels, they aren't tied to vehicle identification numbers in the way factory-installed equipment normally is.
NHTSA says that means a conventional recall is unlikely.
Even if an owner enters a VIN into a government recall database and gets an all-clear result, the agency warns, that does **not** establish that the vehicle doesn't contain a DTN60DB inflator. Only a physical inspection can determine that.
## Used-car buyers are the people NHTSA is worried about
The warning doesn't apply indiscriminately to every vehicle on the road.
The principal concern is a used vehicle whose original airbag was replaced — particularly after a crash in which the airbag deployed.
NHTSA is urging owners and prospective buyers to obtain a vehicle-history report and look for:
- a previous crash involving airbag deployment;
- a previous total-loss declaration;
- theft history; or
- repairs performed outside certified service centers.
The agency specifically says vehicles involved in a crash with airbag deployment **since 2020** should be inspected if the repair wasn't performed by the manufacturer's dealership.
That's a potentially large population of vehicles.
Airbags can deploy only once and must be replaced after deployment. In a properly repaired vehicle, the replacement should provide protection equivalent to the original equipment.
But used-car buyers often have little knowledge of who repaired a car before they owned it, where replacement parts came from or whether a rebuilt or salvage vehicle received genuine safety equipment.
## The deaths aren't confined to one car model
Until this latest case, all known fatalities and serious injuries involving DTN60DB inflators had occurred in Chevrolet Malibus and Hyundai Sonatas.
That might have suggested the problem was somehow associated with those two models.
The death involving the Equinox undermines that assumption.
NHTSA had [already warned](https://www.nhtsa.gov/press-releases/banning-sale-import-deadly-air-bag-inflators?ref=consumernews.ai) that it could not conclude that the dangerous inflators were limited to Malibus and Sonatas because it doesn't know how many entered the United States or where they were installed.
The known cases now stretch from May 2023 through August 2026 and have occurred around the country, including Texas, Florida, Pennsylvania, Oklahoma, Arizona, Utah, California, Kansas, Ohio, Mississippi and Kentucky.
The pattern is nevertheless striking. Every known case involved a vehicle in which the original driver's frontal airbag inflator had been replaced.
## What is a DTN60DB?
The suspect inflators are etched or labeled **DTN60DB**.
The "DTN" marking corresponds to Jilin Province Detiannuo Safety Technology Co. Ltd., a Chinese airbag-inflator manufacturer.
There is an important wrinkle, however.
The Chinese company has told NHTSA that it did not sell the inflators for installation in U.S. vehicles and has argued that the defective devices may actually be counterfeit versions of its products.
NHTSA hasn't resolved that question.
From a safety standpoint, the agency says it doesn't matter: inflators bearing the DTN60DB marking have ruptured with deadly consequences and have been determined to contain a motor-vehicle safety defect.
## Echoes of the Takata disaster
The circumstances are different, but the danger will sound familiar to millions of motorists who lived through the massive Takata airbag recall.
Takata inflators could rupture during deployment and spray metal fragments into occupants. Tens of millions of U.S. vehicles were recalled.
The crucial difference is traceability.
Factory-installed Takata airbags could generally be connected to specific makes, models, model years and VINs. Manufacturers could therefore identify affected vehicles and notify owners.
With the DTN60DB inflators, regulators don't have that map.
NHTSA says the parts were imported by unknown importers, likely illegally, and installed as aftermarket replacements. The agency doesn't know the total number in the country. ([NHTSA](https://www.nhtsa.gov/press-releases/banning-sale-import-deadly-air-bag-inflators?utm%5Fsource=chatgpt.com))
That leaves consumers with considerably more responsibility for discovering whether their cars are affected.
## Don't open the steering wheel yourself
One thing owners should **not** do is try to check the inflator themselves.
NHTSA explicitly warns consumers not to dismantle a steering wheel or attempt to inspect an airbag. Airbags contain explosive components and can cause serious or fatal injury if improperly handled.
Instead, a dealership for the vehicle's manufacturer or a reputable independent repair shop can inspect the airbag and compare it with NHTSA's technical information.
Technicians may identify a suspect inflator through the DTN60DB marking and other identifying numbers on the unit.
If a DTN60DB inflator is found, NHTSA says **do not drive the vehicle** until it has been replaced with genuine equipment.
There is another unpleasant complication for consumers: NHTSA says the vehicle owner may have to pay both for the inspection and for replacement of the defective inflator.
## What used-car owners should do now
The first question isn't simply what make and model you drive.
It's what happened to the car before you owned it.
Owners who know their vehicle has never been in a crash and never had its airbags replaced aren't affected by this particular warning, NHTSA says.
Everyone else — particularly people who bought a used, rebuilt or previously damaged vehicle — should consider checking its history.
A reported previous airbag deployment is the most important red flag.
If the history shows an airbag deployment, total loss, theft or questionable repair history, NHTSA recommends having the vehicle inspected by a dealership or reputable independent mechanic.
And don't assume a clean recall search settles the matter.
These replacement inflators are not linked to the car's VIN.
## What this means for consumers
The 11th death exposes a weakness in the used-car safety system that extends beyond one defective airbag.
Modern cars can be repaired with thousands of replacement components after crashes. A subsequent buyer may know very little about where those components came from.
Most replacement parts don't sit inches from the driver's face containing an explosive charge.
Airbag inflators do.
NHTSA says frontal airbags have saved [more than 50,000 lives](https://www.nhtsa.gov/vehicle-safety/air-bags?ref=consumernews.ai) over roughly three decades. Properly functioning airbags remain one of the automobile's most important safety technologies.
But an airbag can protect the driver only if the equipment installed behind the steering-wheel cover is genuine and functions as intended.
For owners of previously wrecked used cars, the government's message is increasingly urgent:
> **Don't just check whether your car has an open recall. Find out whether its airbag has ever been replaced — and, if it has, find out what was put in its place.**
[NHTSA's consumer alert and used-car guidance](https://www.nhtsa.gov/air-bags/deadly-air-bag-replacements?utm%5Fsource=chatgpt.com)
### ChatGPT is getting safer for teens. But who is checking OpenAI’s work?
URL: https://www.consumernews.ai/chatgpt-is-getting-safer-for-teens-but-who-is-checking-openais-work/
Last updated: 2026-09-04T13:56:32.000Z
- **OpenAI has begun automatically putting users it identifies as under 18 into a more restrictive version of ChatGPT**
- **RAND says the change is promising but argues that OpenAI has not disclosed enough evidence to show how well the protections actually work**
- **Independent researchers have repeatedly found that chatbot safety measures can break down during the long, complicated conversations teenagers actually have**
OpenAI has taken a significant step toward making ChatGPT safer for teenagers, automatically placing users it believes are under 18 into a version of the service with stronger protections.
Now comes the harder question: **Do those protections actually work?**
A RAND researcher says parents, regulators and independent researchers still don't have enough information to know.
“OpenAI deserves credit for moving a core set of protections from voluntary to default,” Ryan McBain, a senior policy researcher at RAND and assistant professor at Harvard Medical School, wrote in a recent commentary.
But [McBain argues](https://www.rand.org/pubs/commentary/2026/08/openai-says-chatgpt-is-safer-for-teens-now-it-needs.html?ref=consumernews.ai) that the company now needs to open its safety systems to meaningful independent scrutiny rather than relying largely on its own testing and assurances.
The issue reaches far beyond ChatGPT. As artificial intelligence becomes a routine part of children's lives — appearing in homework tools, social media, toys and even conversations about loneliness or mental health — an increasingly important consumer question is emerging:
**Who tests the safety claims made by AI companies?**
## OpenAI changes the default
OpenAI began rolling out ChatGPT for Teens on Aug. 18.
Users who say they are 13 to 17, or whose accounts OpenAI predicts belong to someone under 18, are automatically placed into the teen experience. The [company says](https://openai.com/index/chatgpt-for-teens/?ref=consumernews.ai) the system uses stronger safeguards around subjects including self-harm, eating disorders, violence, dangerous activities and sexually explicit material.
That is an important change.
Previously, OpenAI offered parental controls that could allow parents to link their account with a teenager's, manage certain settings, establish quiet hours and receive notifications in limited high-risk situations.
But account linking is [voluntary](https://www.rand.org/pubs/commentary/2026/08/openai-says-chatgpt-is-safer-for-teens-now-it-needs.html?ref=consumernews.ai). Teen protections based on age detection don't require a parent to discover and activate them.
That matters because teenagers may discuss sensitive issues with AI without their parents knowing.
RAND researchers recently reported that nearly one in five Americans ages 12 to 21 — roughly 8.2 million young people — had used an AI chatbot for [mental-health advice](https://www.rand.org/topics/children-families-and-communities.html?ref=consumernews.ai). Nearly two-thirds had told no one about it.
Common Sense Media separately found this year that [86% of children](https://www.commonsensemedia.org/press-releases/common-sense-media-releases-inaugural-annual-study-on-ai-use-by-tweens-and-teens?ref=consumernews.ai) ages 9 to 17 use AI, while more than four in 10 said a parent or guardian had never talked with them about AI safety.
In other words, requiring parents to activate every protection leaves a sizable hole.
OpenAI's automatic system tries to close it.
## But first, ChatGPT has to know who's a teenager
RAND says that creates another problem.
Automatic teen safeguards work only if the system can reliably identify teenagers.
OpenAI says age prediction can consider signals such as the subjects someone discusses, when an account is active, usage patterns and how long the account has existed.
But McBain notes that OpenAI has not disclosed perhaps the most important measurement: **What percentage of actual teenagers does the system correctly identify?**
A system could be highly accurate when it labels someone a teenager yet still fail to identify large numbers of teens. Those missed users could remain in the adult version of ChatGPT without the added protections.
Age verification has already proven difficult elsewhere online. RAND points to problems involving Roblox, where users reportedly found ways to defeat AI-powered age estimation systems.
The problem is particularly difficult because some teenagers may intentionally try to appear older to gain access to unrestricted services.
## The second test: Do the guardrails hold up?
Even correctly identifying a teenager doesn't prove that the resulting AI conversations will be safe.
That has been one of the central findings of outside chatbot testing.
Common Sense Media and Stanford Medicine's Brainstorm Lab tested major AI systems including ChatGPT, Claude, Gemini and Meta AI and concluded that they were [unreliable](https://www.commonsensemedia.org/press-releases/common-sense-media-finds-major-ai-chatbots-unsafe-for-teen-mental-health-support?ref=consumernews.ai) for teen mental-health support.
One particularly important finding was that chatbot safeguards could perform reasonably well when a user made an obvious, direct statement about self-harm or another crisis.
Real conversations didn't necessarily work that way.
In extended conversations, warning signs often appeared gradually. Researchers found that safety protections could deteriorate as conversations grew longer, with [chatbots missing clues](https://institute.commonsensemedia.org/risk-assessments/ai-chatbots-for-mental-health-support?ref=consumernews.ai) spread across multiple messages or eventually providing inappropriate responses.
That distinction matters because a teenager experiencing depression, an eating disorder or thoughts of self-harm may not open a conversation by clearly stating the problem.
They may talk around it first.
RAND cites one outside test in which ChatGPT, interacting with a researcher posing as a teenager, ultimately gave advice about concealing self-harm injuries rather than steering the user toward help.
OpenAI's new teen safeguards are intended to prevent failures such as those. The question is whether they do so consistently.
## OpenAI publishes scores, but RAND wants the test
OpenAI has begun publishing safety evaluations for its systems.
RAND calls that a welcome development but says outsiders still lack enough information to reproduce the results.
According to McBain, published evaluations have not disclosed such details as the actual prompts used in testing, the number of test cases or detailed instructions used to grade responses.
That makes the distinction between **company testing** and **independent testing** increasingly important.
Automakers do their own safety engineering, but cars are also subjected to standardized crash testing.
Drugs undergo clinical trials reviewed by regulators.
Consumer products can be tested against established safety standards.
AI chatbots increasingly interact with millions of children, but there is not yet an equivalent widely accepted system for independently testing whether their behavioral safeguards work under realistic conditions.
## A familiar problem from social media
RAND sees a warning in the experience of social media companies.
[Meta](https://www.consumernews.ai/meta-settles-child-safety-suit-with-48-states-for-18-billion/) introduced Instagram Teen Accounts in 2024 and reported that tens of millions of teenagers had been placed into the more restrictive accounts.
But those numbers primarily demonstrated that the feature had been activated — not that every promised protection worked.
Researchers later tested dozens of Instagram's announced safety measures and reported that many could be circumvented or did not operate as expected. Meta disputed portions of the criticism and said its teen protections reduced exposure to sensitive material and unwanted contacts.
Both propositions could be true. A safety system can reduce harm substantially while still containing serious weaknesses.
RAND's argument is that consumers need enough independent evidence to know the difference.
## The AI safety standard that doesn't exist — yet
McBain proposes three basic questions OpenAI should answer:
1. Does its system reliably identify teenagers, including those trying to evade detection?
2. Does ChatGPT for Teens actually produce safer responses during realistic conversations than the previous version?
3. Does using the teen version change real-world behavior — reducing unhealthy prolonged use, for example, or making distressed teenagers more likely to seek help from another person? ([RAND Corporation](https://www.rand.org/pubs/commentary/2026/08/openai-says-chatgpt-is-safer-for-teens-now-it-needs.html?ref=consumernews.ai))
The answers don't require releasing teenagers' private conversations. Aggregate results could be published, researchers could be allowed to conduct controlled tests and regulators could independently examine company claims.
OpenAI has said it [intends](https://www.consumernews.ai/ai-teddy-bears-are-coming-for-children-consumer-advocates-say-the-safety-rules-arent-ready/) to measure and publish what it learns as ChatGPT for Teens rolls out.
RAND says that promise should now be accompanied by a clear testing protocol and timetable.
That could eventually become the larger consumer-safety model for artificial intelligence. Because as AI becomes embedded in childhood, parents may increasingly need something more reliable than a company's promise that its product is safe.
They may need the AI equivalent of a crash-test rating.
### AI teddy bears are coming for children. Consumer advocates say the safety rules aren’t ready
URL: https://www.consumernews.ai/ai-teddy-bears-are-coming-for-children-consumer-advocates-say-the-safety-rules-arent-ready/
Last updated: 2026-09-03T20:13:18.000Z
- **AI chatbots are increasingly being built into dolls, stuffed animals and robots marketed as children’s companions**
- **Consumer advocates warn the toys can collect intimate data, give inappropriate answers and encourage children to form emotional attachments**
- **Existing toy-safety rules largely address physical hazards, while privacy law covers only part of what conversational AI can do**
The talking teddy bear has come a long way.
A new generation of toys doesn’t simply play prerecorded phrases when a child squeezes its paw. It listens, carries on conversations, remembers information and can respond almost endlessly using the same type of generative artificial intelligence behind popular chatbots.
That may make the toys more entertaining. It also means parents may effectively be putting an always-available chatbot into a child’s bedroom.
[Public Citizen](https://www.citizen.org/news/ai-is-not-a-toy-parents-and-advocates-ring-alarm-bells-over-toys-enabled-with-artificial-intelligence/?ref=consumernews.ai) and two other advocacy groups are urging states to prohibit AI chatbot toys, arguing that regulators have not caught up with technology that can collect children's voices and other information while simulating friendship and emotional relationships.
“AI is not a toy,” the groups warn. Their concerns go well beyond screen time.
Public Citizen cited testing that has found AI toys willing to engage in sexually explicit discussions and provide information about accessing potentially dangerous household objects. The groups also warn that some toys collect audio or video, may retain information children reveal during conversations and can be vulnerable to hacking.
Perhaps the most unusual concern is that the toy isn't merely collecting information — it's talking back.
### A toy that acts like a friend
Children have always formed attachments to dolls and stuffed animals. The difference is that those toys traditionally depended on the child's imagination.
An AI toy can actively participate in the relationship.
It may ask questions, remember previous conversations, praise the child or respond when the child says he or she is lonely, frightened or angry.
Public Citizen warns this can produce a one-sided or “parasocial” relationship in which children perceive the machine as a companion. Some conversational systems are also designed to be agreeable — a characteristic commonly called sycophancy — potentially reinforcing what a child says rather than challenging it.
Researchers at the [University of Cambridge](https://www.cam.ac.uk/stories/ai-toys-study-play?ref=consumernews.ai) have separately raised similar concerns.
In what the university describes as the first systematic study of generative-AI toys and very young children, researchers observed children interacting with a conversational stuffed toy.
The results were decidedly mixed.
Researchers said the technology potentially could help with language and communication, but the toy also misunderstood children, performed poorly during pretend and group play and sometimes responded strangely to emotional statements. ([University of Cambridge](https://www.cam.ac.uk/stories/ai-toys-study-play?utm%5Fsource=chatgpt.com))
When one 3-year-old told the toy she was sad, for example, it apparently misheard her and cheerfully tried to continue playing.
Researchers recommended stronger safety standards, clearer privacy policies and labeling that would help parents determine whether an AI toy had actually been tested for use by young children.
### The privacy problem is already real
Concerns about connected toys aren't theoretical.
Last year, the Federal Trade Commission took action against [robot-toy manufacturer Apitor Technology](https://www.cam.ac.uk/stories/ai-toys-study-play?ref=consumernews.ai), alleging that software incorporated into its children's app allowed a third party to collect precise geolocation information without the parental consent required by the [Children's Online Privacy Protection Act](https://www.ftc.gov/legal-library/browse/statutes/childrens-online-privacy-protection-act?ref=consumernews.ai).
COPPA generally requires companies operating child-directed online services to tell parents what information they collect and obtain consent before collecting personal information from children under 13\. Voice recordings themselves can qualify as personal information under the rule.
But privacy law doesn't resolve the larger question posed by AI toys: **What should an electronic companion be allowed to say to a child?**
Traditional toy regulations are built largely around hazards such as choking, sharp edges, flammability and toxic materials. AI introduces hazards that may occur entirely through conversation.
A teddy bear doesn't have to break physically to cause trouble.
### Smart toys have been raising alarms for years
Even before generative AI arrived, consumer groups warned that internet-connected toys could collect surprisingly detailed information about children.
[U.S. PIRG](https://pirg.org/edfund/resources/smart-toys/?ref=consumernews.ai) has documented smart toys equipped with microphones, cameras, Bluetooth and internet connections that can transmit children's voices and other information to outside servers. A breach involving such systems can expose information that is far more personal than a parent's credit-card number.
Conversational AI dramatically expands that risk because children may volunteer information naturally.
A child may tell a toy about school, friends, parents, fears, illnesses, where the family is going tomorrow or what happens inside the household — without understanding that the conversation may ultimately involve servers operated by one or several companies.
Children “may disclose a lot of information to a toy they consider a friend,” PIRG has warned.
### Public Citizen wants states to step in
Public Citizen has prepared model legislation that would prohibit AI chatbot toys and is encouraging state lawmakers to act rather than wait for a federal regulatory system to develop.
Whether an outright ban gains political traction remains to be seen.
There is also a legitimate argument that carefully designed AI toys could eventually have educational uses. Cambridge researchers found professionals could envision benefits, particularly in language development and communication. Their [conclusion](https://www.cam.ac.uk/stories/ai-toys-study-play?ref=consumernews.ai) wasn't that the technology could never be useful, but that products are arriving before researchers and regulators fully understand their effects.
That leaves parents confronting a familiar problem in the AI era: companies can bring a product to market much faster than independent researchers can determine what prolonged use does to children.
And unlike a conventional chatbot on a computer, the newest versions may look like something parents have been conditioned for generations to regard as harmless: a teddy bear.
### What parents should check before buying an AI toy
An AI toy should probably be treated more like an internet-connected device than an ordinary stuffed animal.
Before buying one, parents should determine whether it contains a microphone or camera; whether conversations are transmitted to company servers; whether recordings or transcripts are stored; whether children's information is used to improve or train AI systems; whether data is shared with third parties; and whether the toy continues to function if data collection is disabled.
It is also worth asking a simpler question that won't appear in the privacy policy:
**Would you be comfortable allowing your child to have this same conversation with an unknown chatbot when no adult is present?**
If the answer is no, sewing the chatbot inside a teddy bear probably doesn't change the equation.
### National Safety Recall - Sept. 3
URL: https://www.consumernews.ai/national-safety-recall-sept-3/
Last updated: 2026-09-03T19:58:09.000Z
##
Today brings a **substantial CPSC recall batch plus an important Walmart frozen-fruit recall from FDA**. The biggest action by volume covers **6.3 million Mistolin and Lestoil cleaners that may contain bacteria**; the most urgent child-safety items involve **water-bead toys and an Elmo teether with detachable eyes**.
### 6.3 million Mistolin and Lestoil cleaners — bacterial contamination
Clorox Puerto Rico is recalling about **6.3 million scented Mistolin dilutable cleaners and Lestoil heavy-duty multipurpose cleaners** because they may contain *Pseudomonas aeruginosa*. The bacteria can cause serious infections in people with weakened immune systems or external medical devices, entering through inhalation, the eyes or broken skin. No illnesses have been reported. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Clorox-Puerto-Rico-Recalls-6-Million-Scented-Mistolin-and-Lestoil-Multi-Purpose-Cleaners-Due-to-Risk-of-Exposure-to-Bacteria?ref=consumernews.ai))
The recall applies only to products sold in **Puerto Rico and the U.S. Virgin Islands**, including numerous Mistolin and Lestoil scents with date codes beginning **PR01** followed by a number from **25091 through 26168**. They were sold at Walmart, Sam’s Club, Costco and other major retailers. Consumers should stop using affected bottles and dispose of them after documenting the UPC and date code for a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Clorox-Puerto-Rico-Recalls-6-Million-Scented-Mistolin-and-Lestoil-Multi-Purpose-Cleaners-Due-to-Risk-of-Exposure-to-Bacteria?ref=consumernews.ai))
### Walmart Great Value frozen berries — dangerous E. coli strain
FDA today posted an expanded recall involving one lot of **Great Value Organic Triple Berry Blend**, sold at Walmart, because of potential contamination with **Shiga toxin-producing *E. coli* O145:H28**. The strain can cause severe stomach cramps and bloody diarrhea and, in some patients, hemolytic uremic syndrome and kidney failure. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/frutas-y-hortalizas-del-sur-sa-expands-recall-include-one-lot-great-value-frozen-organic-triple?ref=consumernews.ai))
Affected product:
- **Great Value Organic Triple Berry Blend**, 10 oz.
- UPC **7874211226**
- Lot **6040 01-6**
- Best If Used By **February 9, 2028**
It was shipped to select Walmart stores in **16 states**, including Florida, Illinois, North Carolina, Ohio, Texas and Wisconsin. No illnesses have been linked specifically to this lot. Because the product is frozen and has a 2028 date, FDA specifically urges consumers to **check their freezers** and discard or return it. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/frutas-y-hortalizas-del-sur-sa-expands-recall-include-one-lot-great-value-frozen-organic-triple?ref=consumernews.ai))
### Two water-bead squishy toys — potentially fatal intestinal blockage
CPSC recalled about **7,200 Rainbow Mystery Squishy Bun Toys** sold nationwide because the water beads inside can expand beyond permitted limits if swallowed. They can cause choking, intestinal obstruction, vomiting, dehydration and death. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/OKK-Trading-Recalls-Rainbow-Mystery-Squishy-Bun-Toys-Due-to-Risk-of-Serious-Injury-or-Death-from-Water-Bead-Ingestion-Violate-Mandatory-Standard-for-Toys?ref=consumernews.ai))
A separate recall covers about **8,000 GIHNJSI Squeezy Dumplings**, sold through Amazon. These also contain expanding water beads capable of causing deadly choking and intestinal blockage. Consumers should immediately take both types away from children. No injuries have been reported in either recall. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/GIHNJSI-Squeezy-Dumplings-Toys-Recalled-Due-to-Serious-Ingestion-Choking-and-Obstruction-Hazards-Sold-on-Amazon-by-Chenyuanhui?ref=consumernews.ai))
### Skip Hop Elmo teethers — detachable eyes pose choking hazard
About **22,660 Skip Hop Baby Sesame Street Elmo Silicone Teethers** are recalled because the black eyes can detach if the teether is frozen, creating a potentially fatal choking hazard.
The affected model is **9R263210**. Skip Hop has received **four reports of eyes detaching**, although no injuries have been reported. The teethers were sold at Carter’s stores nationwide and online from January 2025 through March 2026\. Consumers should stop using them and obtain a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Skip-Hop-Recalls-Baby-Sesame-Street-Elmo-Silicone-Teethers-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Hazard?ref=consumernews.ai))
### Also worth noting
**Branch ergonomic chairs:** About **16,000** are recalled because their backrests can detach, causing users to fall. Branch has received **11 reports of detached backrests**, with no reported injuries. A free replacement backrest is available. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Branch-Recalls-Ergonomic-Chairs-Due-to-Fall-Hazard?ref=consumernews.ai))
**Gizoon six-drawer dressers:** About **4,396** dressers sold on Amazon are unstable unless anchored to the wall and violate the federal STURDY Act standard, posing potentially fatal tip-over and entrapment hazards to children. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Gizoon-Direct-Recalls-Six-Drawer-Double-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violates-Mandatory-Standard-for-Clothing-Storage-Units?ref=consumernews.ai))
### NHTSA and USDA FSIS
**NHTSA:** We found no new September 3 urgent nationwide vehicle recall or park-outside/do-not-drive alert beyond the Ford and Mitsubishi recalls covered yesterday. NHTSA’s official recall-search system did not surface a comparably significant new action in today’s check. ([NHTSA](https://www.nhtsa.gov/search-safety-issues?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new September 3 meat, poultry or processed-egg recall or public-health alert. The most recent significant FSIS recall remains the August 26 Shanghai Ravioli frozen buffalo-chicken action. ([FSIS](https://www.fsis.usda.gov/recalls-alerts/shanghai-ravioli-corporation-recalls-not-ready-eat-frozen-buffalo-chicken-products?utm%5Fsource=chatgpt.com))
### National Safety Roundup - Sept. 2
URL: https://www.consumernews.ai/national-safety-roundup-sept-2/
Last updated: 2026-09-02T19:59:18.000Z
##
### Nearly 149,000 Ford Mustangs — drive power or headlights can fail
**Ford is recalling 148,663 model-year 2024–2026 Mustangs** because engine-compartment wiring-harness ground connections can fracture. That can cause a sudden **loss of drive power** or knock out the headlights, windshield washers, air conditioning or engine cooling fan. NHTSA says loss of power or visibility increases the risk of a crash. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-about-149000-vehicles-us-over-power-loss-nhtsa-says-2026-09-01/?utm%5Fsource=chatgpt.com))
The affected cars were built between **September 7, 2022 and June 9, 2026**. NHTSA estimates about 1% actually contain the defect. Dealers will replace the wiring-harness ground terminals for free. Interim notices began going out August 31, but Ford says the final remedy is not expected to be available until about **March 2027**. The campaign is **NHTSA 26V547 / Ford 26C40**. ([Fixes.com](https://fixes.com/recalls/26V547000?utm%5Fsource=chatgpt.com))
Owners may see a check-engine light, dashboard warnings or hear a warning chime before a failure. Mustang owners can check their VIN through [NHTSA's recall lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com).
### Another 10,001 Fords — defective pistons can cause sudden engine failure
A separate Ford recall covers **10,001 model-year 2026 vehicles**:
- Bronco
- Bronco Sport
- Explorer
- Mustang
- Ranger
The **2.3-liter EcoBoost engine piston domes may have been manufactured incorrectly**, allowing a piston to fail and causing an unexpected loss of drive power. ([Recall Tracker Network](https://www.recalltracker.net/us/recall/26V548000?utm%5Fsource=chatgpt.com))
Dealers will inspect the engines and replace the engine long block where necessary. Interim owner letters are expected beginning **September 4**, with the full remedy anticipated in December. The recall is **NHTSA 26V548 / Ford 26S61**. ([RedVIN.codes](https://www.redvin.codes/news/ford-improperly-manufactured-pistons-may-fail-26v548000?utm%5Fsource=chatgpt.com))
Taken together with the Mustang wiring recall, Ford has roughly **159,000 vehicles in these two newly prominent safety actions**.
### 67,146 Mitsubishi Outlanders — rearview camera may go blank
Also worth flagging is a recall of **67,146 model-year 2025–2026 Mitsubishi Outlanders and 2026 Outlander PHEVs**.
Improperly programmed infotainment software can cause the **rearview-camera image not to appear when the vehicle is shifted into reverse**, reducing the driver's ability to see people or objects behind the vehicle and increasing crash risk. ([Recall Tracker Network](https://recalltracker.net/us/recall/26V549000?utm%5Fsource=chatgpt.com))
Dealers will install a free software update. Owner letters are expected September 24\. The campaign is **NHTSA 26V549 / Mitsubishi SR-26-002**.
### Smaller new NHTSA item: Tesla Model Y suspension
Tesla has recalled **19 model-year 2026 Model Ys** because front suspension lateral-link fasteners may not have been tightened properly. A link can loosen or separate, changing wheel alignment and potentially causing **loss of vehicle control**. Tesla will tighten or replace the fasteners and inspect associated components free of charge. The campaign is **NHTSA 26V558**. ([Fresh Recalls](https://freshrecalls.com/recall/nhtsa/26V558000?utm%5Fsource=chatgpt.com))
The number involved is tiny, so I wouldn't feature it in a general consumer roundup.
### CPSC, FDA and USDA FSIS
**CPSC:** No September 2 batch has been posted. CPSC's official recall page still lists **August 27** as its latest group of recalls, led by the Cuisinart grill brushes and child-product hazards already covered. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**FDA:** No September 1 or September 2 recall has appeared on FDA's principal recall page. Its newest listings remain **August 31**, including the Lipofit Extreme Fat Burner recall already covered. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
**USDA FSIS:** No new September recall or public-health alert surfaced. The most recent recall remains the **August 26 Shanghai Ravioli frozen buffalo-chicken recall** covered yesterday. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/shanghai-ravioli-corporation-recalls-not-ready-eat-frozen-buffalo-chicken-products?utm%5Fsource=chatgpt.com))
**Today's clear lead is the Ford Mustang recall.** Nearly 149,000 cars are involved, and the defect can simultaneously affect propulsion and crucial visibility systems. The separate 10,001-vehicle Ford engine recall is also worth a solid brief, particularly because it spans five popular models.
### FTC turns from Amazon's ad auctions to YouTube's rules: Did Big Tech deliver what it promised?
URL: https://www.consumernews.ai/ftc-turns-from-amazons-ad-auctions-to-youtubes-rules-did-big-tech-deliver-what-it-promised/
Last updated: 2026-09-02T13:38:12.000Z
- **The Federal Trade Commission is reportedly nearing a decision on a possible case against YouTube over allegations that the platform didn't always follow its own rules when removing content or suspending users.**
- **The investigation comes as the FTC and 22 states sue Amazon, alleging it secretly manipulated advertising auctions while telling advertisers they worked differently.**
- **Together, the cases suggest an emerging FTC strategy: rather than trying to dictate how giant digital platforms operate, regulators may increasingly demand that they operate the way they tell consumers and businesses they do.**
The Federal Trade Commission may be developing a deceptively simple strategy for policing some of America's most powerful technology companies: Read the fine print — and then see whether the companies themselves followed it.
Under the Trump Administration, the agency has vowed to go after ["censorship" by social platforms](https://www.mediapost.com/publications/article/403580/ftc-chair-says-content-moderation-potentially-ill.html?ref=consumernews.ai), interpreted by critics as a desire to boost conservative content on the platforms while driving out more liberal content.
The FTC is doing so under the consumer protection banner. It's in the final stages of an investigation that could result in a consumer-protection case against YouTube over the way it suspended accounts, removed posts and demoted content, according to [Bloomberg](https://news.bloomberglaw.com/business-and-practice/youtube-probed-by-ftc-over-blocked-social-media-accounts?ref=consumernews.ai).
The investigation reportedly centers not on whether YouTube has the right to decide what appears on its platform, but on a narrower question:
**Did YouTube tell users one thing about what they were allowed to post and then enforce a different set of rules?**
If so, the FTC could attempt to characterize that discrepancy as an unfair or deceptive business practice.
The investigation has not resulted in charges, and YouTube has not been accused of wrongdoing. FTC investigations can also end without an enforcement action. YouTube declined to comment on the investigation, the Journal said.
But the potential case becomes more interesting when viewed alongside another major FTC action unveiled this week.
On Monday, the FTC and attorneys general from 22 states [sued Amazon](https://www.ftc.gov/news-events/news/press-releases/2026/08/ftc-states-sue-amazon-over-secret-ad-surcharge-scheme?ref=consumernews.ai), alleging that the online retailer secretly manipulated the auctions used to determine advertising prices while assuring advertisers that those auctions operated differently.
Different businesses. Different customers. Different alleged conduct. But underneath both cases is essentially the same consumer-protection question:
**Did the company do what it said it was doing?**
## Amazon said advertisers were bidding against each other
The Amazon case provides the cleaner example.
Businesses selling products on Amazon routinely bid for advertising positions that appear alongside product-search results.
Amazon told advertisers it used what's known as a "second-price" auction. Under that system, the winning advertiser doesn't necessarily pay the amount it bid. Instead, it pays only enough to beat the second-highest bidder.
Amazon's own explanations said winners would pay just a penny more than the next-highest bid, according to the [FTC complaint](https://www.ftc.gov/news-events/news/press-releases/2026/08/ftc-states-sue-amazon-over-secret-ad-surcharge-scheme?ref=consumernews.ai).
The FTC says that's not what was really happening.
Beginning years ago, regulators allege, Amazon introduced undisclosed mechanisms that pushed advertisers' prices upward. The complaint alleges that advertisers increasingly wound up paying their entire bid — nearly 80% of the time for Sponsored Products by 2024\.
New York Attorney General Letitia James describes [one part of the alleged system](https://ag.ny.gov/press-release/2026/attorney-general-james-sues-amazon-fraudulently-overcharging-advertisers-more-20?ref=consumernews.ai) even more starkly: Amazon effectively inserted a higher second-place bid after an auction closed, increasing what the winning advertiser had to pay.
Regulators allege more than 1.2 million advertisers were affected and that the practices resulted in more than $20 billion in excess charges.
Amazon denies the allegations. The company has said the government's characterization oversimplifies its advertising system and that its pricing mechanisms improved advertising relevance and saved advertisers money.
The case will ultimately have to be proved in court. But its underlying legal theory is familiar consumer-protection territory: If you tell customers how your pricing system works, regulators say, the pricing system should actually work that way.
## Now apply that idea to YouTube
The developing YouTube case takes that seemingly straightforward principle into much more complicated territory.
According to people familiar with the investigation, [FTC lawyers are examining](https://amp.insurancejournal.com/news/national/2026/08/31/883410.htm?ref=consumernews.ai) whether YouTube's stated content policies accurately described the rules the company actually enforced.
A user might sign up for YouTube, build an audience or even create a business based on the platform after reading its terms and policies. Then the platform might remove content, reduce its visibility, demonetize a creator or suspend an account.
Platforms unquestionably need the ability to remove spam, scams, threats and other prohibited material. They also make editorial judgments about what material they want on their services.
The FTC's apparent theory doesn't necessarily challenge that authority.
Instead, the question would be whether YouTube **accurately disclosed the rules it intended to enforce**.
FTC Chairman Andrew Ferguson laid out the principle during a public appearance in Aspen in August.
Whatever policies a company chooses, Ferguson said, it must follow them. A business can't present one policy when persuading consumers to use its service and then apply a substantially different policy afterward.
That is ordinary consumer-protection reasoning. Applying it to speech on a social-media platform is anything but ordinary.
## A consumer relationship that's easy to overlook
YouTube is free for many users, which can make the consumer-protection angle seem strange. But "free" digital services still involve exchanges of value.
Users provide attention, personal data and content. Creators may invest thousands of hours building audiences and businesses around a platform. Some depend on advertising revenue generated through their channels.
YouTube, meanwhile, earns money by selling advertising against the enormous audience those users and creators help assemble.
For creators especially, losing access to an account can mean losing much more than the ability to upload a video. It can mean losing an audience accumulated over years — and the income associated with it.
That makes rules governing suspension, demonetization and appeals potentially as consequential to a creator as the terms governing a conventional commercial contract.
In February 2025, the FTC sought public comments about technology platforms that allegedly denied or degraded users' access to services based on their speech or affiliations. More than 3,000 comments followed.
The agency specifically raised the possibility that vague or deceptive terms governing account suspensions and appeals could violate consumer-protection laws.
**But YouTube raises a problem Amazon doesn't**
There is an important distinction between the two cases:
Amazon's case is principally about money and auction mechanics. YouTube's is inseparable from speech.
Social-media companies have historically enjoyed broad legal authority to decide what material appears on their platforms. Courts have often treated those decisions as comparable to the editorial judgments made by newspapers and other publishers.
That means the government generally can't simply order YouTube to carry speech that YouTube doesn't want to carry.
A consumer-protection case could offer the FTC a different route.
Instead of saying, **"You must carry this content,"** regulators could effectively say:
**"You may establish your own rules, but you must accurately tell consumers what those rules are and apply them consistently with your representations."**
Whether courts will accept that distinction is far from certain.
Bloomberg reports that some career FTC staff have privately [expressed reservations](https://amp.insurancejournal.com/news/national/2026/08/31/883410.htm?ref=consumernews.ai) about bringing the case, and there is little precedent for using federal consumer-protection law this way.
## Politics will be difficult to separate from the case
Any YouTube enforcement action would also arrive with considerable political baggage.
YouTube and other major platforms suspended President Donald Trump's accounts after the Jan. 6, 2021 attack on the Capitol. YouTube restored Trump's account in 2023.
The platform also removed material it determined violated misinformation policies concerning COVID-19 and vaccines.
Ferguson has criticized the platforms' handling of controversial speech and, before becoming chairman, argued that major social networks had suppressed dissent on subjects including COVID-19, vaccines and the 2020 election.
That history means any FTC action against YouTube would almost certainly be portrayed by critics as government intervention in political content moderation.
The FTC would presumably try to frame a case much more narrowly around consumer deception: not whether YouTube chose the "right" speech policies, but whether it truthfully disclosed and consistently applied the policies it chose.
The distinction could determine whether a case survives in court.
## The FTC is increasingly looking behind the interface
The Amazon and YouTube investigations also reflect a broader problem with today's digital economy.
Consumers increasingly interact with systems whose important rules are almost impossible to observe.
An Amazon advertiser can't see the competing bids that determine what it pays.
A YouTube user can't see the internal processes that determine whether a video is recommended, demoted, demonetized or removed.
A shopper can't see the algorithm deciding which products appear first.
And users generally can't independently verify whether the rules described in a platform's terms of service are the same rules embedded in its software and internal enforcement procedures.
That creates an enormous information imbalance between platforms and their customers. Amazon's advertisers allegedly trusted Amazon's description of its auctions because they couldn't see inside them. YouTube users similarly have little choice but to trust YouTube's description of its content rules.
Consumer-protection law was created in large part to deal with precisely that kind of imbalance: businesses know things about their products and practices that customers cannot readily discover themselves.
The novelty here is the scale and complexity of the systems involved.
## This isn't YouTube's first encounter with the FTC
YouTube has faced major FTC enforcement before.
In 2019, Google and YouTube agreed to pay **$170 million** to settle allegations that YouTube illegally collected personal information from children without obtaining parental consent.
The settlement was the largest civil penalty at the time under the Children's Online Privacy Protection Act.
More recently, the FTC has also examined Google's search advertising practices, while Alphabet has been among the companies scrutinized over AI chatbots marketed or made available to children and teenagers. ([amp.insurancejournal.com](https://amp.insurancejournal.com/news/national/2026/08/31/883410.htm?utm%5Fsource=chatgpt.com))
The potential content-policy case would be different because it goes directly to the relationship between a platform and the users who depend on it.
## What this means for consumers
The Amazon and YouTube cases could signal an important shift in how regulators approach enormously complicated technology platforms.
Governments may not need to write rules governing every algorithm or every moderation decision.
Instead, regulators can sometimes ask a much older and simpler question:
**What did you promise your customers?**
If Amazon says an advertising auction works one way, regulators argue that advertisers should be able to rely on that representation.
If YouTube publishes rules explaining what users may post and when their accounts can be suspended, the developing FTC theory appears to be that users should likewise be able to rely on those representations.
That principle could ultimately reach well beyond either company.
App stores establish rules for developers. Gig platforms establish rules for drivers. Online marketplaces establish rules for sellers. Social networks establish rules for creators. AI services establish rules governing data, privacy and acceptable use.
Increasingly, consumers and small businesses don't merely buy products from giant technology companies.
**They live and work inside systems those companies control.**
If the FTC's emerging approach survives legal challenges, one of the most basic rules of consumer protection may become considerably more important in that world:
Companies can write the rules.
But they may have to follow them too.
### National Safety Recall - Sept. 1
URL: https://www.consumernews.ai/national-safety-recall-sept-1/
Last updated: 2026-09-01T21:59:30.000Z
##
No major new CPSC or NHTSA recall has appeared today, and FDA’s newest posting is an allergen recall involving Halloween candy. I also found an August 26 USDA FSIS recall that should have been included in an earlier roundup: nearly 25,000 pounds of frozen buffalo-chicken products produced without federal inspection.
### Halloween “Chocolatey Eyeballs” — undeclared milk
U.S. Food and Drug Administration says Crystal Temptations of North Arlington, New Jersey, is recalling **Little Temptations/Crystal Temptations Chocolatey Eyeballs** because the packages don't disclose that the candy contains milk. For someone with a severe milk allergy, eating the product could cause a **serious or life-threatening allergic reaction**. No illnesses have been reported. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/crystal-temptations-issues-allergy-alert-undeclared-milk-chocolatey-eyeballs?utm%5Fsource=chatgpt.com))
The candy comes in **7-, 10-, 10.5-, 11- and 16-ounce packages** and was distributed through [Marshalls](https://www.marshalls.com/?utm%5Fsource=chatgpt.com), [TJ Maxx](https://tjmaxx.tjx.com/?utm%5Fsource=chatgpt.com), [HomeGoods](https://www.homegoods.com/?utm%5Fsource=chatgpt.com) and [Sierra](https://www.sierra.com/?utm%5Fsource=chatgpt.com) stores in 13 states: Arizona, California, Connecticut, Georgia, Indiana, Massachusetts, Nevada, New Jersey, North Carolina, Ohio, Texas, Virginia and Wyoming. FDA says consumers should destroy the candy and contact Crystal Temptations with proof of purchase for a refund. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/crystal-temptations-issues-allergy-alert-undeclared-milk-chocolatey-eyeballs?utm%5Fsource=chatgpt.com))
The timing makes this one worth flagging despite the limited geographic distribution: **Halloween candy is beginning to appear in stores now**, so affected packages could easily be bought and stored for October.
### 24,900 pounds of frozen buffalo chicken — produced without federal inspection
USDA Food Safety and Inspection Service says Shanghai Ravioli Corporation of Boston recalled approximately **24,900 pounds of frozen, not-ready-to-eat buffalo-chicken products** on August 26 because they were produced **without the benefit of federal inspection**. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/shanghai-ravioli-corporation-recalls-not-ready-eat-frozen-buffalo-chicken-products?utm%5Fsource=chatgpt.com))
The recall wasn't prompted by a confirmed pathogen, but the absence of required inspection means FSIS cannot verify that the products met federal food-safety requirements. Because frozen food can remain in consumers' freezers for months, this is still worth including in the safety file.
### Agency check
**CPSC:** No new September 1 recall surfaced. The latest major batch remains the August 27 actions already covered, including the 3.6-million-unit Cuisinart grill-brush recall and serious child-product hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Walmart-Reannounces-Recall-of-Mainstays-Nine-Drawer-Fabric-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Walmart-Distributed-Recalled-Dressers-Post-Recall-Sold-to-Consumers-Through-Liquidators?utm%5Fsource=chatgpt.com))
**NHTSA:** No new urgent national recall or park-outside/do-not-drive warning appeared today. NHTSA's newest press release, dated August 31, concerns an engine fuel-efficiency rule rather than a vehicle recall. ([NHTSA](https://www.nhtsa.gov/press-releases/truck-engine-fuel-efficiency-rule-reversed?utm%5Fsource=chatgpt.com))
**FDA:** The agency's current recall table still tops out at **August 31**, with Lipofit Fat Burner, Kofinas garlic-infused olive oil and Little Temptations Chocolatey Eyeballs. The first two were covered yesterday; the candy recall is the new item for this roundup. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
**USDA FSIS:** No newer September 1 recall surfaced; the August 26 Shanghai Ravioli action is the newest one I found. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/shanghai-ravioli-corporation-recalls-not-ready-eat-frozen-buffalo-chicken-products?utm%5Fsource=chatgpt.com))
### Ford, Lucid recalls spotlight safety issues in newer models
URL: https://www.consumernews.ai/ford-lucid-recalls-spotlight-safety-issues-in-newer-models/
Last updated: 2026-09-01T17:09:18.000Z
Ford is recalling 148,663 U.S. vehicles because an engine-compartment wiring-harness problem can cause a loss of driver power and disable headlights or windshield-washing functions, the National Highway Traffic Safety Administration said Tuesday, according to [Reuters’ Sept. 1 report](https://www.reuters.com/legal/litigation/ford-recall-about-149000-vehicles-us-over-power-loss-nhtsa-says-2026-09-01?ref=consumernews.ai). The recall covers 2024-2026 Mustang vehicles, and dealers will replace the harness ground terminals free of charge, [Reuters reported](https://www.reuters.com/legal/litigation/ford-recall-about-149000-vehicles-us-over-power-loss-nhtsa-says-2026-09-01?ref=consumernews.ai).
The defect can do more than stop a car. NHTSA said the wiring issue can disable the windshield washer system, headlights, air conditioning and engine-cooling fan, raising the risk of a crash, according to [Reuters’ account](https://www.reuters.com/legal/litigation/ford-recall-about-149000-vehicles-us-over-power-loss-nhtsa-says-2026-09-01?ref=consumernews.ai). Ford recalled another 91,198 U.S. vehicles in June because daytime running lamps did not dim, a problem that could reduce visibility for other drivers, [Reuters reported](https://www.reuters.com/legal/litigation/ford-recall-about-149000-vehicles-us-over-power-loss-nhtsa-says-2026-09-01?ref=consumernews.ai).
The Ford notice follows Lucid’s recall of 27,185 Air luxury sedans, the electric-vehicle maker’s largest recall to date, because an exterior-lighting circuit could overheat and increase the risk of fire, according to [Reuters’ Aug. 28 report](https://www.reuters.com/legal/litigation/lucid-recall-more-than-27000-luxury-sedans-over-fire-risk-nhtsa-says-2026-08-28/?ref=consumernews.ai). NHTSA told owners to park the vehicles outside and away from structures until a remedy was deployed, while Lucid said an over-the-air software update had already reached 20,719 vehicles, [Reuters reported](https://www.reuters.com/legal/litigation/lucid-recall-more-than-27000-luxury-sedans-over-fire-risk-nhtsa-says-2026-08-28/?ref=consumernews.ai).
The recall scale is notable for a small automaker. Lucid delivered 15,841 cars during all of 2025, fewer than the number of Air sedans included in the new recall, according to [Reuters](https://www.reuters.com/legal/litigation/lucid-recall-more-than-27000-luxury-sedans-over-fire-risk-nhtsa-says-2026-08-28?ref=consumernews.ai). Stellantis separately recalled 955,000 vehicles worldwide, including 848,000 in the United States, because radio software could prevent rear-view cameras from operating properly, [Reuters reported](https://www.reuters.com/legal/litigation/stellantis-recalls-955000-vehicles-because-radio-software-may-disrupt-rear-view-2026-08-17/?ref=consumernews.ai).
For drivers, the common issue is reliance on electronic systems that affect basic visibility and control. Stellantis said it knew of no accidents or injuries connected with its recall and planned an over-the-air update, but NHTSA has said backover crashes average 210 deaths and 15,000 injuries a year in the United States, with about 30 percent of deaths involving children 5 or younger, according to [Reuters’ recall report](https://www.reuters.com/legal/litigation/stellantis-recalls-955000-vehicles-because-radio-software-may-disrupt-rear-view-2026-08-17/?ref=consumernews.ai). Consumers therefore face a familiar but costly task: identify whether a vehicle is covered, follow interim parking or driving instructions and make time for a repair that may be free but is not frictionless. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-about-149000-vehicles-us-over-power-loss-nhtsa-says-2026-09-01?ref=consumernews.ai))
### Why the first Amazon search result may not be the best one
URL: https://www.consumernews.ai/why-the-first-amazon-search-result-may-not-be-the-best-one/
Last updated: 2026-08-31T21:49:26.000Z
##
Amazon search results can look like a ranked list of the products most relevant to your search. In reality, many of the first listings may be advertisements, which could lead consumers to make a choice based on an ad instead of an objective recommendation.
### Look for the “Sponsored” label
Products marked **Sponsored** are [paid placements](https://www.consumernews.ai/ftc-reportedly-preparing-lawsuit-accusing-amazon-of-secretly-inflating-ad-prices/). Sellers bid for those positions, much as advertisers bid for space on Google.
That doesn’t mean the product is bad. It does mean its position may reflect advertising spending rather than price, reviews or how closely it matches your search.
### Scroll past the first few listings
For popular searches, several of the first products can be sponsored. Scrolling farther down may uncover:
- Lower-priced alternatives
- Products with better reviews
- Lesser-known brands
- Listings that ranked highly without paid placement
### Compare the total price
A seemingly cheaper product may become more expensive after shipping or because another seller offers a larger quantity for only a little more.
Compare unit prices when possible — per ounce, count, foot or other useful measure.
[FTC sues Amazon, accuses it of secretly inflating ad pricesAmazon isn’t just selling ads; those ads increasingly determine what shoppers see first.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/ftc-reportedly-preparing-lawsuit-accusing-amazon-of-secretly-inflating-ad-prices/)
### Don’t assume “Amazon’s Choice” means “best”
Labels such as **Amazon’s Choice** can influence shoppers, but they should not substitute for comparison shopping.
Check:
- Number and quality of reviews
- Recent negative reviews
- Seller identity
- Return policy
- Product specifications
- Price at other retailers
### Sponsored does not mean endorsed
A sponsored listing is an advertisement purchased by the seller. It should not be interpreted as an independent recommendation from Amazon.
### The simplest rule
**Treat Amazon search results as a mixture of shopping results and advertising — not as a neutral ranking of the best products.**
A few extra minutes of scrolling and comparison can reveal options that are cheaper, better reviewed or simply a better fit.
### National Safety Recalls - Aug. 31
URL: https://www.consumernews.ai/national-safety-recalls-aug-31/
Last updated: 2026-08-31T21:25:57.000Z
##
There is **one major new national recall today**, and it is unusually serious: a weight-loss supplement sold online has been found to contain both an undeclared prescription antidepressant and **DNP, a toxic industrial chemical associated with fatal overheating and cardiac events**.
### Lipofit Extreme Fat Burner 2.0 — undeclared fluoxetine and toxic DNP
**Ana Salazar Modela Tu Cuerpo Inc. is recalling Lipofit Extreme Fat Burner 2.0 nationwide** after FDA testing found **fluoxetine** in the daytime tablets and **2,4-dinitrophenol (DNP)** in the nighttime tablets. FDA posted the recall on **August 31**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/ana-salazar-modela-tu-cuerpo-inc-issues-nationwide-voluntary-recall-lipofit-extreme-fat-burner-20?utm%5Fsource=chatgpt.com))
The recalled product is:
- **Lipofit Extreme Fat Burner 2.0**
- Lot **25M12F**
- Expiration **September 2027**
- Sold directly to consumers through online sales
DNP is not approved by FDA for any use and has been illegally marketed for weight loss. FDA says the combination can cause **dangerous heart rhythms, rapid heartbeat, cardiac arrest, seizures, abnormal bleeding, dangerously high body temperature, rapid breathing and sudden death**. Long-term exposure can also damage the eyes, skin, bone marrow, nervous system and heart. Fluoxetine also creates interaction risks with other medications and can cause serious psychiatric and cardiovascular effects.
No adverse events have been reported so far. Consumers should **stop using the product immediately**, keep it away from children and others, and contact the company for disposal or return instructions rather than giving or reselling it.
### Also new: garlic-infused olive oil recalled
FDA also posted an August 31 recall of **Kofinas Garlic Mediterranean Infused Extra Virgin Olive Oil** because it was made using a **garlic essential oil that is not approved for culinary use**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/lmsi-llckofinas-olive-oil-issues-voluntary-recall-its-garlic-mediterranean-infused-extra-virgin?utm%5Fsource=chatgpt.com))
Affected bottles are **500 ml, 250 ml and 100 ml sizes**, sold at two Cincinnati locations and through the company's website between **August 31, 2025 and August 27, 2026**. No illnesses have been reported.
The year-long sales window means consumers may still have bottles at home.
### Other agency checks
**CPSC:** We found no new August 31 national consumer-product recall. The latest significant CPSC actions remain the **August 27 batch**, including the expanded recall of more than 3.6 million Cuisinart wire grill brushes and several serious child-product hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Expands-Recall-of-Cuisinart-Grill-Brushes-Due-to-Ingestion-Hazard-Over-3-6-Million-Brushes-Now-Recalled?utm%5Fsource=chatgpt.com))
**NHTSA:** We found no new urgent nationwide vehicle recall or consumer warning dated August 31\. NHTSA’s current press-release listings do not show a new recall-specific alert today. ([NHTSA](https://www.nhtsa.gov/press-releases?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new meat, poultry or processed-egg recall or public-health alert dated August 30 or August 31; its official recall listing shows no new action warranting an alert today. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com))
### FTC sues Amazon, accuses it of secretly inflating ad prices
URL: https://www.consumernews.ai/ftc-reportedly-preparing-lawsuit-accusing-amazon-of-secretly-inflating-ad-prices/
Last updated: 2026-08-31T21:51:20.000Z
- **The FTC and 22 states today sued Amazon, alleging it secretly manipulated the auctions businesses use to buy ads on its shopping site.**
- **Regulators are expected to argue that Amazon raised minimum ad prices without adequately telling advertisers, extracting tens of billions of dollars over seven years.**
- **The dispute matters to consumers because paid ads increasingly dominate Amazon search results — and higher advertising costs can ultimately be reflected in product prices.**
Amazon built one of the world’s largest advertising businesses by selling merchants prominent positions in the search results shoppers see when they look for products. Now federal and state regulators reportedly contend that Amazon secretly manipulated those advertising auctions to make sellers pay more.
The Federal Trade Commission and a bipartisan group of 22 state attorneys general filed a lawsuit accusing Amazon of deceptively raising the minimum prices businesses had to pay for ads on its retail platform, according to the [FTC said](https://www.ftc.gov/news-events/news/press-releases/2026/08/ftc-states-sue-amazon-over-secret-ad-surcharge-scheme?ref=consumernews.ai).
The lawsuit alleges that Amazon used a pricing mechanism known as a “soft reserve” to quietly push advertisers’ bids higher, generating tens of billions of dollars in additional revenue over roughly seven years.
“When one of the world’s largest online retailers engages in unfair and deceptive conduct, the impact can be staggering,” said FTC Chairman Andrew N. Ferguson. “Amazon has millions of advertising customers who were misled into paying significantly higher prices. These higher costs were largely passed on to American consumers. The FTC under President Trump won’t allow this deception to continue.”
[Earlier reporting](https://www.reuters.com/legal/litigation/amazon-faces-billions-penalties-potential-ftc-ad-suit-bloomberg-news-?ref=consumernews.ai) about the FTC investigation said regulators were examining whether Amazon adequately disclosed its use of “reserve pricing” — essentially the minimum amount an advertiser has to pay before an ad can be purchased. Reuters reported in June that the FTC’s consumer protection division was investigating Amazon’s advertising auctions and that several state attorneys general were participating.
The allegations have not yet been proven in court. As of Monday afternoon, the FTC had not publicly posted the expected complaint.
[Why the first Amazon search result may not be the best oneThose “recommendations” on Amazon are sometimes ads, not independent recommendations. Don’t take them as gospel.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/why-the-first-amazon-search-result-may-not-be-the-best-one/)
## Amazon ads have become a massive business
The case concerns a business that has quietly become one of Amazon’s biggest sources of revenue.
Amazon reported $68.6 billion in advertising services revenue in 2025, up 22% from $56.2 billion in 2024 and nearly 46% from $46.9 billion in 2023.
The company [defines](https://www.sec.gov/Archives/edgar/data/1018724/000101872426000004/amzn-20251231.htm?ref=consumernews.ai) that business broadly to include sponsored ads, display advertising and video advertising sold to sellers, vendors, publishers, authors and others. ([SEC](https://www.sec.gov/Archives/edgar/data/1018724/000101872426000004/amzn-20251231.htm?utm%5Fsource=chatgpt.com))
Much of the advertising shoppers encounter on Amazon is more basic: a merchant pays for its product to appear prominently when someone searches for something like “coffee maker,” “running shoes” or “dog food.”
That makes Amazon unusual among advertising platforms. Consumers who search Amazon frequently already intend to buy something, making a high position in the results particularly valuable.
For merchants, advertising can consequently become difficult to avoid.
## The allegation: Amazon quietly raised the floor
Digital advertising generally works through automated auctions. Businesses compete for prominent advertising positions by specifying how much they are willing to pay, often each time a shopper clicks an ad.
But auctions can also have a reserve price — the minimum amount the platform will accept.
According to the Journal, the FTC will allege that beginning around 2018 Amazon secretly increased those minimum prices using its “soft reserve” system.
The practice reportedly was eventually used in as many as 80% of Amazon ad auctions and was particularly aggressive during major shopping periods.
Regulators contend the system could increase advertisers’ cost per click by as much as 50%, according to the Journal.
If accurate, the allegation would mean advertisers believed they were participating in a competitive auction while Amazon was simultaneously influencing the price floor behind the scenes.
The states joining the FTC are expected to seek civil penalties and restitution.
## Sellers pay — but shoppers may ultimately pay too
Although the immediate victims alleged in the case are advertisers, the dispute has broader implications for Amazon customers.
Advertising has become increasingly important for merchants trying to make their products visible on Amazon. A seller whose product appears several screens down in the search results may have little chance of making a sale.
Advertising expenses therefore become another cost of selling — much like Amazon commissions, fulfillment charges and shipping expenses.
Those costs can ultimately be incorporated into the prices consumers pay.
The FTC has already made essentially that argument in its separate antitrust lawsuit against Amazon.
In that case, the [commission alleges](https://www.sec.gov/Archives/edgar/data/1018724/000101872426000004/amzn-20251231.htm?ref=consumernews.ai) that Amazon has increasingly replaced relevant organic search results with paid advertisements, worsening the shopping experience while making advertising fees increasingly necessary for merchants that want consumers to find their products.
The FTC said in its antitrust complaint that Amazon deliberately expanded advertising on search pages as a way to extract more revenue from businesses selling through its marketplace.
## Search results aren't necessarily recommendations
The case is also another reminder for shoppers that the first product shown after an Amazon search isn't necessarily the product Amazon's system considers the best match.
It may simply be advertising. Sponsored listings are labeled, but paid results can resemble ordinary product listings and appear alongside them.
That distinction has become more important as Amazon has expanded advertising throughout its marketplace.
A shopper searching for a relatively generic product may now encounter several sponsored products before reaching unpaid search results.
That doesn't mean advertised products are necessarily inferior. But consumers may want to compare several listings rather than assuming the first result is Amazon's recommendation.
## Another major FTC fight with Amazon
The advertising case would add another front to a long-running battle between Amazon and federal regulators.
The FTC and states [sued Amazon in 2023](https://www.ftc.gov/news-events/news/press-releases/2023/09/ftc-sues-amazon-illegally-maintaining-monopoly-power?os=windhgbitylrefdapp&ref=consumernews.ai), accusing it of illegally maintaining monopoly power in online retail and marketplace services. That case includes allegations that Amazon burdens sellers with increasingly costly fees and degrades search results with advertising.
Amazon has denied the antitrust allegations.
Separately, Amazon agreed in 2025 to pay $2.5 billion in penalties and refunds to settle an FTC case accusing it of enrolling consumers in [Prime subscriptions](https://www.reuters.com/world/amazon-pay-25-billion-settle-prime-deception-allegations-2025-09-25/?ref=consumernews.ai) without proper consent and making cancellation unnecessarily difficult. ([Reuters](https://www.reuters.com/world/amazon-pay-25-billion-settle-prime-deception-allegations-2025-09-25/?utm%5Fsource=chatgpt.com))
The expected advertising lawsuit differs in an important respect. This time the alleged deception wasn't principally aimed at shoppers. It was allegedly aimed at the businesses paying Amazon to reach them.
But because those businesses compete for shoppers' attention — and build advertising expenses into the economics of selling their products — the effects can travel straight through the marketplace to consumers.
### What consumers should know
Amazon search results increasingly combine advertising with ordinary product listings.
When comparing products:
- Look for **“Sponsored”** labels before assuming a top result earned its position organically.
- Scroll beyond the first few results; highly ranked products may be there because the seller paid for placement.
- Compare prices with other retailers, particularly on heavily advertised products.
- Check reviews, specifications and total price rather than relying primarily on search position.
- Remember that advertising expenses are part of sellers' costs and can indirectly contribute to higher retail prices.
The FTC's expected lawsuit could eventually reveal much more about how Amazon decides what shoppers see — and how much merchants have been paying for the privilege of appearing there.
### Starting statins earlier may lower dementia risk in people with diabetes
URL: https://www.consumernews.ai/starting-statins-earlier-may-lower-dementia-risk-in-people-with-diabetes/
Last updated: 2026-08-31T13:01:19.000Z
- **A large Danish study found that people who started statins within a year after being diagnosed with type 2 diabetes had a 15% lower relative risk of dementia over 10 years than those who didn't start statins.**
- **Starting treatment later was also associated with a benefit, but it was smaller — a 10% lower relative risk.**
- **The study can't prove that statins prevent dementia, but it adds to growing evidence connecting cholesterol, cardiovascular health and long-term brain health**.
Statins have been prescribed for decades to prevent heart attacks and strokes. New research suggests that for people with type 2 diabetes, starting them sooner rather than later might have another benefit: a lower risk of developing dementia.
Researchers followed more than 132,000 people in Denmark who developed type 2 diabetes and had not previously taken statins. Those who began statin treatment within one year of their diabetes diagnosis were associated with a 15% lower relative risk of developing dementia over 10 years compared with people who didn't start statins within five years, according to [EurekaAlert](https://www.eurekalert.org/news-releases/1141342?ref=consumernews.ai).
People who started statins between one and five years after their diabetes diagnosis had a 10% lower relative risk.
The study, presented Sunday at the European Society of Cardiology Congress in Munich and published in *The Lancet Regional Health – Europe*, adds an intriguing new piece to the increasingly important relationship between heart health and brain health, [The Guardian](https://www.theguardian.com/society/2026/aug/30/statins-reduce-dementia-alzheimers-risk-study?ref=consumernews.ai) said.
But there's a significant qualification.
This was an **observational study**, not a randomized clinical trial. It can show that people who started statins earlier subsequently developed dementia less often, but it cannot prove that taking the drugs caused the reduction.
Still, the finding is consistent with a growing body of research suggesting that controlling cardiovascular risk factors in middle age could be one of the best tools available for reducing dementia risk later in life.
## Why people with diabetes were studied
Researchers focused on type 2 diabetes for a reason.
Diabetes itself is associated with an increased risk of cognitive decline and dementia. People with diabetes also commonly have high levels of LDL cholesterol — the so-called "bad" cholesterol that contributes to plaque buildup inside arteries.
That can affect the brain as well as the heart.
Atherosclerosis can damage or narrow blood vessels supplying the brain, increase the risk of stroke and reduce blood flow to brain tissue.
Statins lower LDL cholesterol and are already widely prescribed to people with diabetes to reduce their risk of heart attack and stroke.
The new question is whether doing so early enough might also help preserve the brain.
"Our study supports the idea that dementia risk is best addressed by targeting several factors at once, and that cholesterol may belong on that list," study presenter Dr. Tummas Ternhamar of Copenhagen University Hospital said in a release to [The Guardian](https://www.theguardian.com/society/2026/aug/30/statins-reduce-dementia-alzheimers-risk-study?ref=consumernews.ai).
## More than 132,000 patients followed
Researchers used Denmark's extensive national health registries to identify 132,585 people who developed type 2 diabetes between 2006 and 2019 and had not previously used statins.
They divided patients into three groups:
- those who began statins within one year of diagnosis;
- those who began between one and five years afterward; and
- those who didn't begin statins within five years.
Patients were followed for a median of 7.1 years, with some outcomes projected over 10 years.
Overall, 2.7% developed dementia during the follow-up period.
Compared with people who didn't begin statin treatment, early treatment was associated with a 15% lower relative dementia risk. Later treatment was associated with a 10% reduction. Results were similar for men and women.
Researchers used statistical techniques designed to make the observational study resemble a randomized trial as closely as possible, but that doesn't eliminate all potential differences between people who take statins and those who don't.
For example, patients who promptly begin and continue preventive medication may differ from nonusers in other ways that influence their long-term health.
## Other studies have been pointing in the same direction
The Danish findings don't stand alone.
A [2025 systematic review](https://pubmed.ncbi.nlm.nih.gov/39822593/?ref=consumernews.ai) examined 55 observational studies involving more than 7 million people and found statin use was associated with a 14% lower risk of dementia overall and an 18% lower risk of Alzheimer's disease. Among people with type 2 diabetes specifically, statin use was associated with a 13% lower dementia risk.
Another large observational study, involving more than 570,000 people in South Korea, found that low LDL cholesterol was associated with substantially lower rates of dementia and Alzheimer's disease. Among people who already had low LDL, statin users showed an additional reduction in dementia risk compared with nonusers.
Not every study has found a protective statin effect, however.
An [analysis published last year](https://pubmed.ncbi.nlm.nih.gov/40826451/?ref=consumernews.ai) involving more than 11,000 people with type 2 diabetes found an association between higher LDL cholesterol and dementia or cognitive decline but **did not find a statistically significant association between statin treatment itself and reduced dementia risk**. The researchers said longer follow-up studies were needed.
That's one reason scientists remain cautious about declaring statins a dementia-prevention drug.
## What about claims that statins cause memory problems?
The new findings are particularly interesting because statins have periodically been blamed for exactly the opposite problem.
For years, some patients have worried that aggressively lowering cholesterol might impair memory or cognition. Anecdotal reports of memory problems helped fuel those concerns.
Large reviews haven't borne that out.
The American Diabetes Association's 2026 Standards of Care says randomized trials in which cognitive function was specifically measured [found no difference](https://diabetesjournals.org/care/article/49/Supplement%5F1/S216/163933/10-Cardiovascular-Disease-and-Risk-Management?ref=consumernews.ai) between people taking statins and those taking placebo. Reviews of randomized trials and prospective studies similarly have not found evidence that statins cause cognitive dysfunction or dementia.
The American Heart Association reached essentially the same conclusion in a [scientific statement examining aggressive LDL lowering](https://professional.heart.org/en/science-news/aggressive-ldl-c-lowering-and-the-brain-impact-on-risk-for-dementia-and-hemorrhagic-stroke?ref=consumernews.ai) and the brain. It found that the preponderance of evidence does not support claims that lowering LDL with statins causes dementia or cognitive impairment. ([professional.heart.org](https://professional.heart.org/en/science-news/aggressive-ldl-c-lowering-and-the-brain-impact-on-risk-for-dementia-and-hemorrhagic-stroke?utm%5Fsource=chatgpt.com))
And another major piece of evidence arrived just this weekend.
A randomized trial involving nearly 10,000 healthy adults over 70 found statin treatment reduced first major cardiovascular events by about 30%. Importantly, researchers found no statistically significant increase in dementia among people taking statins compared with those receiving placebo.
That doesn't prove statins prevent dementia, but it provides strong reassurance about the longstanding fear that they might cause it.
## Cholesterol is becoming part of the dementia-prevention picture
The larger story may be changing ideas about dementia itself.
Alzheimer's disease and other dementias were once often treated as largely unavoidable consequences of aging and genetics.
Increasingly, researchers believe a substantial portion of dementia risk is influenced by factors that can be modified over a person's lifetime.
The 2024 Lancet Commission on dementia identified 14 potentially modifiable risk factors and estimated that addressing them could theoretically prevent or delay nearly 45% of dementia cases. High LDL cholesterol in midlife was among the factors added to the list.
Others include high blood pressure, diabetes, smoking, physical inactivity, hearing loss, social isolation and obesity.
And another study presented at the European Society of Cardiology meeting this weekend reinforces the cardiovascular connection: an intensive blood-pressure intervention reduced dementia incidence by 15% over seven years compared with usual care. ([acc.org](https://www.acc.org/Latest-in-Cardiology/Articles/2026/08/29/08/48/sun-1215pm-prevention-esc-2026?utm%5Fsource=chatgpt.com))
None of this means dementia can always be prevented.
It does suggest that the line separating "heart health" from "brain health" is becoming increasingly difficult to draw.
## Why timing could matter
Perhaps the most interesting finding in the Danish study is not simply that statin use was associated with lower dementia risk.
It's that earlier treatment was associated with a greater reduction than later treatment.
That makes biological sense if vascular damage accumulates gradually over decades.
Waiting until someone is elderly to address cholesterol, blood pressure, diabetes and other cardiovascular risks may be less effective than preventing damage beginning in middle age.
Researchers don't yet know whether that's the explanation for the difference observed in this study.
But it fits a broader shift in dementia research toward prevention long before symptoms appear.
As Ternhamar put it, the findings suggest "acting early looks better than acting late."
## What this means for consumers
This study **isn't a reason to start taking a statin solely to prevent dementia**.
It is another reason for people with type 2 diabetes or high cholesterol to take cardiovascular risk seriously and discuss appropriate treatment with their doctor.
Statins already have strong evidence behind them for preventing heart attacks and strokes in people at elevated cardiovascular risk. The possibility that they may also contribute to lower dementia risk would be an additional benefit, not currently the primary reason for prescribing them.
Consumers already taking statins also shouldn't stop because of fears that the drugs cause dementia without discussing it with their clinician. [Current evidence](https://diabetesjournals.org/care/article/49/Supplement%5F1/S216/163933/10-Cardiovascular-Disease-and-Risk-Management?ref=consumernews.ai) doesn't support that concern. ([doi.org](https://doi.org/10.2337/dc26-s010?utm%5Fsource=chatgpt.com))
The broader takeaway may be more useful than any particular drug:
**What's good for the heart increasingly appears to be good for the brain.**
Controlling cholesterol and blood pressure, managing diabetes, exercising, avoiding smoking and addressing other cardiovascular risks may not guarantee that someone avoids dementia.
But mounting evidence suggests those familiar heart-health measures could also improve the odds of keeping the brain healthier as we age.
### Oil falls, but consumers still face a five-front squeeze
URL: https://www.consumernews.ai/oil-falls-but-consumers-still-face-a-five-front-squeeze/
Last updated: 2026-08-31T12:58:51.000Z
The consumer economy is getting a little relief from falling oil, but not enough to erase the pressure elsewhere. The five biggest themes in Thursday’s outlet-restricted scan are an energy market betting on a possible reopening of the Strait of Hormuz, inflation that remains above the Federal Reserve’s target, a housing market stalled by mortgage rates, confidence weakening over jobs and prices, and a U.S.-Canada tariff fight that is moving from policy desks toward household goods. Together, the stories describe an economy in which spending is still holding up, but the cost of a mistake — a new home, a long trip, a credit commitment or a full-price purchase — is rising.
## Energy and gasoline: Oil drops as talks offer a path through Hormuz
Oil prices fell more than $1 Thursday, extending a run of losses as investors weighed diplomatic efforts that could reopen the Strait of Hormuz and reduce supply disruptions from the Middle East war, according to [Reuters’ report on the oil market](https://www.reuters.com/business/energy/oil-prices-extend-losses-expectations-talks-ease-middle-east-supply-woes-2026-08-27/?ref=consumernews.ai). Qatar’s prime minister was scheduled to visit Tehran as part of mediation efforts, while an Iranian source said Iran and Oman were still finalizing an agreement to control the waterway, Reuters reported.
The market is responding to the possibility of physical improvement, not a completed settlement. Shipping traffic through the strait has risen slightly, according to data cited by [Reuters](https://www.reuters.com/business/energy/oil-prices-extend-losses-expectations-talks-ease-middle-east-supply-woes-2026-08-27/?ref=consumernews.ai), but the waterway remains the key question for a global fuel system that has been pricing in disruption. A credible agreement that rapidly restores traffic could remove “another layer of geopolitical premium,” a senior Iranian source said in [Reuters’ earlier account](https://www.reuters.com/world/asia-pacific/us-oil-prices-extend-losses-hopes-iran-oman-talks-strait-hormuz-2026-08-25/?ref=consumernews.ai).
Wednesday’s move showed why the consumer impact can change quickly. U.S. crude fell as low as $79 a barrel, while Brent crude slipped to around $85, according to [NBC News](https://www.nbcnews.com/business/energy/oil-prices-inflation-trump-strait-hormuz-rcna594477?ref=consumernews.ai). The decline came as markets balanced positive developments in the Middle East against concerns about a possible Russian escalation in Ukraine and dwindling U.S. reserves, NBC reported.
Lower crude prices can eventually help drivers, airlines and shippers, but the pass-through is neither immediate nor one-for-one. Gasoline prices reflect refinery capacity, inventories, transportation and local competition as well as the crude contract, while diesel costs feed into trucking, farming and deliveries. The practical message for households is that relief is now possible, but it is conditional on diplomacy turning into reliable shipping rather than another headline-driven market reversal.
## Inflation and rates: The Fed’s preferred gauge refuses to cool enough
The personal consumption expenditures price index rose 0.2 percent in July, putting annual inflation at 3.7 percent, according to [CNBC’s report on the Commerce Department data](https://www.cnbc.com/2026/08/26/feds-preferred-inflation-gauge-shows-core-prices-rose-3point3percent-annually-in-july.html?ref=consumernews.ai). Both the monthly and annual readings were 0.1 percentage point above the Dow Jones consensus, CNBC reported.
The annual rate was unchanged from June and remained above the Fed’s 2 percent target for the 65th straight month, according to [Reuters’ analysis](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). Economists surveyed by Reuters had expected the annual PCE rate to ease to 3.6 percent, while the monthly measure had been expected to rise 0.1 percent after a 0.1 percent decline in June, Reuters reported.
Core PCE, which excludes food and energy and is closely watched for the underlying inflation trend, held at 3.3 percent year over year and accelerated to 0.2 percent for the month from 0.1 percent in June, according to [Reuters](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). The combination leaves the Fed facing a difficult trade-off: Economic activity is not collapsing, but price growth is still too high for an easy declaration of victory.
Financial markets moved modestly toward a rate increase after the report. Fed funds futures reflected about a 40 percent probability of a hike at the Fed’s Sept. 15-16 meeting, up from about 36 percent immediately before the data, according to [Reuters’ market coverage](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). For consumers, even a debate over a hike can keep borrowing costs elevated for mortgages, auto loans and credit cards.
There was a resilience signal in the same release. Second-quarter consumer spending growth was revised to 3.4 percent from 3.2 percent, while final sales to private domestic purchasers — a measure of consumer outlays and business investment — rose to a 4.2 percent pace, the highest since the first quarter of 2023, according to [Reuters](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). Kathy Bostjancic, chief economist at Nationwide, said the spending and durable-goods data pointed to third-quarter real GDP growth of at least 3 percent, Reuters reported.
That is the central inflation tension: Consumers can keep spending while each dollar buys less than it did before. A strong spending number may protect jobs and incomes, but it can also make the Fed less willing to lower rates if officials believe demand is keeping price pressure alive.
## Housing and mortgages: A lower sales pace meets a higher monthly hurdle
New U.S. single-family home sales dropped 10.5 percent in July to a seasonally adjusted annual rate of 607,000, the lowest level since January, according to [Reuters’ housing report](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai). The data came from the Commerce Department’s Census Bureau, and the July pace was below the 620,000 median forecast in a Reuters economist poll.
The median price of a new home fell to $393,800, the lowest in four years, according to [Reuters](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai). A lower sticker price might normally invite buyers back, but the affordability calculation also includes the interest rate, property taxes, insurance and maintenance, and borrowing costs are moving in the wrong direction.
The 30-year fixed mortgage rate averaged 6.66 percent this week, up from 6.58 percent the previous week and the highest level in a year, according to [The Wall Street Journal’s mortgage-rate report](https://www.wsj.com/economy/housing/mortgage-rates-jump-to-a-one-year-high-9ea35b8a?ref=consumernews.ai). It was the fourth consecutive week of increases, with inflation expectations tied to the Middle East conflict and uncertainty over the Fed’s path adding pressure to the market, the Journal reported.
Demand is showing the effect. Only 5.2 percent of consumers said they intended to buy a house in the next six months, down from 6.5 percent in July and the largest decline in more than five years, according to [Reuters](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai). The figure does not mean every potential buyer has left permanently, but it does show how quickly a monthly payment can turn an active search into a wait-and-see decision.
Builders are using concessions and price reductions to keep buyers engaged, but the market remains stuck between expensive financing and high construction costs. Matthew Martin, senior U.S. economist at Oxford Economics, said, “The housing market isn’t headed for a downturn, but rising mortgage rates and weaker growth in real disposable income due to elevated inflation will keep any rebound out of sight,” according to [Reuters’ report](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai).
Housing weakness also has a multiplier effect on the consumer economy. A household that delays buying a home may also delay purchases of furniture, appliances, tools and renovation services. A homeowner who cannot refinance has fewer ways to make room for a higher fuel bill or a medical expense.
## Consumer confidence: Today looks steadier than tomorrow
The Conference Board’s consumer confidence index fell to 89.4 in August from a downwardly revised 90.2 in July, its lowest reading since January, according to [Reuters’ report](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai). Economists polled by Reuters had expected a reading of 90.2.
The decline came mainly from the expectations index, which fell 7.8 percent, while consumers’ view of current conditions improved for the first time in four months, according to [Reuters](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai). The Wall Street Journal reported that the expectations index, based on short-term views of income, business and labor-market conditions, fell 5.8 points to 68.2 in [its account of the survey](https://www.wsj.com/economy/central-banking/u-s-consumer-sentiment-fell-in-august-conference-board-says-9453f12c?ref=consumernews.ai).
Dana Peterson, chief economist at the Conference Board, said consumers were “more pessimistic about business conditions and the labor market over the next six months,” according to [Reuters](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai). The Associated Press reported that gasoline remained above $4 a gallon as the Iran conflict continued to influence the household outlook, in [its confidence report](https://apnews.com/article/consumer-confidence-inflation-economy-gas-prices-8fdcfa56f35b9eac2399fe1d167f8fbd?ref=consumernews.ai).
The present-versus-future split helps explain why a confidence decline does not automatically mean an immediate spending collapse. People may keep buying food, fuel and school supplies while postponing a car, vacation or home improvement project. A household can feel that today’s finances are manageable and still decide that a new long-term obligation is unwise.
That caution is especially important because confidence surveys combine several pressures consumers experience separately at the checkout counter: job security, expected income, inflation and gasoline. If the expectations measure continues to weaken, retailers may see the effect first in discretionary categories rather than in the necessities that keep current spending data afloat.
## Tariffs and prices: Canada’s retaliation turns trade policy into a household question
Canada announced retaliatory tariffs on about $20 billion worth of U.S. annual imports, with duties beginning Sept. 8 across about 700 products, according to [Reuters’ report](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai). The rates are 15 percent, 25 percent and 50 percent, and they match the latest U.S. duties dollar for dollar, Reuters reported.
The list includes products consumers can recognize: steel, aluminum, furniture and clothing face 50 percent tariffs; cheese, appliances and some seafood face 25 percent duties; and electronics and tools face 15 percent duties, according to [Reuters](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai). Canada also listed prepared foods, toiletries, plastics, paper products, carpets, machinery, electrical equipment, motorcycles and gaming equipment among the affected goods, the report said.
The United States’ new tariffs are relatively narrow, affecting roughly 5 percent of Canada’s exports to the United States, but the effects could be concentrated in industries such as wood products and kitchen cabinets, according to [Reuters](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai). Canada’s counter-tariffs cover goods representing nearly 4.5 percent of its imports from the United States, Reuters reported.
Canada paired the tariffs with a C$7.5 billion support package for businesses and workers. The Business Development Bank of Canada will offer interest-free loans of C$2.5 million to C$5 million, with companies not required to repay them for 36 months, according to [Reuters](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai).
The political strategy is explicit. Canadian Industry Minister Melanie Joly said the measures were designed not only to protect Canadian businesses but also to put political pressure on targeted U.S. states before the Nov. 3 midterm elections, according to [Reuters’ account](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai).
For American households, the immediate result is uncertainty rather than a uniform price jump. Importers can absorb a duty, pass it through, change suppliers, reduce promotions or drop a product from an assortment. But North American supply chains often cross the border repeatedly, so a tariff on an input can arrive at a store as a higher price for a finished good or as fewer choices.
## The bigger picture: Consumers are still moving, but with less room to absorb shocks
The five themes fit together because they all raise the value of flexibility. A possible Hormuz reopening may lower oil, but inflation is still running at 3.7 percent and keeping rate-cut hopes in check. Housing buyers face a 6.66 percent mortgage rate just as confidence in future income and jobs slips. Canada’s tariff retaliation adds another layer of uncertainty to goods, while the resilience of consumer spending masks a sharper divide between purchases that must happen now and purchases that can wait.
The economy is not showing a single, clean consumer retreat. Spending has held up, present conditions are better than expectations and oil is falling on hopes of diplomacy. But the household budget is being asked to carry more simultaneous risks: energy, borrowing, shelter, trade and employment. That is why the most important consumer number this morning is not any one index. It is the shrinking margin between what families can afford today and what they are willing to commit to tomorrow.
\--
[Perplexity.ai](https://www.perplexity.ai/?ref=consumernews.ai) provided research for this article
### Tank, Tankless, Heat Pump or Solar? What Homeowners Need to Know Before Replacing a Water Heater
URL: https://www.consumernews.ai/tank-tankless-heat-pump-or-solar-what-homeowners-need-to-know-before-replacing-a-water-heater/
Last updated: 2026-08-30T15:30:38.000Z
#
Hot water seems pretty simple but it can get complicated when it's time to replace or upgrade your water heater, that mysterious tanklike thing that sits in a dark corner of the basement or utility room.
It might not be the most fascinating topic but it's an important one. Water heating is the second-biggest energy expense in most American homes, typically accounting for **roughly 18% of a household's total energy use**, according to [Consumer Reports](https://www.consumerreports.org/appliances/water-heaters/buying-guide/?ref=consumernews.ai) — and that share climbs higher in homes with an older electric tank. With utility rates rising and manufacturers required to phase in stricter federal efficiency standards, homeowners shopping for a new unit now face a real menu of choices, not just "gas or electric."
We've put together a look at the five major kinds of residential water heaters — conventional gas tank, conventional electric tank, gas tankless, electric tankless, heat pump (hybrid electric), and solar — including the pros and cons of each.
A few highlights worth noting:
- **Heat pump water heaters now win the 10-year total-cost math**, running around $184/year to operate versus roughly $267 for condensing gas tankless and $351 for a standard gas tank, even though the equipment costs 2-3x more upfront than a standard electric tank.
- **Timely note for 2026:** the federal 25C tax credit (up to $2,000/year for heat pump water heaters) expired for anything placed in service after December 31, 2025, after the [One Big Beautiful Bill Act](https://www.congress.gov/bill/119th-congress/house-bill/1/text?ref=consumernews.ai) ended it early — confirmed on the IRS site. Anyone installing in 2026 is now dependent entirely on state/utility rebates, which is a genuinely new wrinkle worth calling out to readers who may still expect that credit.
- **Tankless (gas or electric) payback is more marginal than marketing suggests** — DOE-based estimates put savings at just \~$110/year (gas) or \~$45/year (electric) versus a standard tank, pushing simple payback to 7-10+ years, sometimes longer than the homeowner stays in the house.
- **Solar has the highest ceiling (50-80% energy cut) and the highest sticker price** ($3,000-$9,000 before incentives), making it most attractive for sunny-climate homeowners planning to stay long-term.
**The efficiency scorecard: UEF, explained**
Every water heater sold today carries a **Uniform Energy Factor** (UEF) rating — the metric that replaced the older Energy Factor scale in 2017\. The higher the number, the less energy is wasted heating water. Standard gas and electric tank models generally fall in the 0.58–0.70 range; tankless units reach 0.80–0.98; and heat pump water heaters are the outlier, posting UEF ratings of 3.3 to 4.1 because they move heat rather than generate it — the equivalent of 330% to 410% efficiency, per [ENERGY STAR](https://www.energystar.gov/products/ask-the-experts/what-uniform-energy-factor-and-why-does-it-matter?ref=consumernews.ai). Keep that scale in mind as you read the breakdown below.
### Side-by-side comparison
| Type | Typical UEF | Installed Cost | Est. Annual Operating Cost\* | Lifespan |
| ------------------------------- | ----------------- | ------------------------------- | ----------------------------------- | ----------------------- |
| Gas storage tank | 0.58–0.70 | $1,200–$2,500 | \~$351 | 8–12 yrs |
| Electric storage tank | 0.58–0.70 | \~$1,000–$1,800 | Highest of storage options | 8–12 yrs |
| Gas tankless (incl. condensing) | 0.80–0.98 | $1,100–$7,000 | \~$267 | 20+ yrs |
| Electric tankless | \~0.93+ | Unit $500–$800 (install varies) | Moderate; savings \~$45/yr vs. tank | 20+ yrs |
| Heat pump (hybrid electric) | 3.3–4.1 | $2,200–$3,500 | \~$184 (lowest) | \~12–15 yrs |
| Solar (with backup) | Varies by climate | $3,000–$9,000 | Backup fuel only, cut 50–80% | 20–30+ yrs (collectors) |
*\*Operating-cost figures drawn from* [*BuildingTalks'*](https://buildingtalks.com/tankless-vs-tank-water-heater/?ref=consumernews.ai) *2026 cost modeling at $0.16/kWh electric and $1.30/therm gas; actual costs vary by local utility rates and household usage.*
### The grisly details
Here's how the five main options stack up on efficiency, upfront cost, operating cost, and the trade-offs that don't show up on the price tag.
## 1\. Conventional Gas Storage Tank
The default choice in most American homes for decades — a 30- to 80-gallon tank kept hot around the clock by a gas burner.
**Advantages**
- Lowest upfront purchase and installation cost of any option — typically **$1,200–$2,500 installed** for a standard tank, according to [HVACBase](https://www.hvacbase.org/water-heater-guide?ref=consumernews.ai).
- Recovers quickly and can supply large volumes of hot water back-to-back, which suits big families.
- Natural gas is generally the cheapest fuel per unit of heat, so operating costs run lower than an electric tank of the same size, per [Consumer Reports](https://www.consumerreports.org/appliances/water-heaters/buying-guide/?ref=consumernews.ai).
**Disadvantages**
- Standing pilot lights and constant reheating of stored water waste energy 24/7 — UEF typically **0.58–0.70**, the least efficient category on the market ([HVACBase](https://www.hvacbase.org/water-heater-guide?ref=consumernews.ai)).
- Shortest typical lifespan of the mainstream options: **8–12 years**.
- Requires gas service and proper venting, which isn't an option (or is costly to add) in all-electric homes.
- Standard units still lose real money over the long run compared with heat pump or condensing models — Consumer Reports rates them "much less efficient" than heat-pump units and "slightly less efficient" than gas tankless models.
## 2\. Conventional Electric Storage Tank
The all-electric equivalent — a heating element inside an insulated tank, no gas line required.
**Advantages**
- Simple installation anywhere with a 240-volt circuit; no venting or gas line needed, which makes it the go-to for homes without gas service.
- Lower equipment cost than heat pump or tankless electric models.
- No combustion byproducts to vent, and no risk of gas leaks.
**Disadvantages**
- **Most expensive to operate** of the mainstream storage options — Consumer Reports gives standard electric tanks "low-level scores for energy consumption costs," meaning higher monthly bills than gas or heat pump alternatives.
- Standing heat loss from the tank means you're paying to reheat water you aren't using.
- Recovery time (how fast it reheats after a big draw) is generally slower than gas.
- Same 8–12 year lifespan ceiling as gas tanks, with corrosion and sediment buildup common failure points.
## 3\. Tankless (On-Demand) Gas Water Heater
Heats water only as it flows through the unit, using a high-output gas burner — no storage tank, no standby heat loss.
**Advantages**
- The U.S. Department of Energy estimates tankless units run **24–34% more energy efficient** than tank models in homes using 41 gallons or less of hot water a day, per [RateYourPlumber](https://rateyourplumber.com/guides/tankless-water-heater-pros-and-cons?ref=consumernews.ai).
- Endless hot water — no running out mid-shower during heavy use.
- Compact, wall-mounted footprint frees up floor space.
- Long service life: **20+ years**, roughly double a tank unit's lifespan.
**Disadvantages**
- High installed cost: **$1,100–$5,100** versus **$400–$1,200** for a standard tank, largely because of gas line upsizing and new venting, per [RateYourPlumber](https://rateyourplumber.com/guides/tankless-water-heater-pros-and-cons?ref=consumernews.ai). Condensing tankless models with the highest efficiency can run **$3,500–$7,000 installed**, according to [BuildingTalks](https://buildingtalks.com/tankless-vs-tank-water-heater/?ref=consumernews.ai).
- Real-world savings are modest — around **$110/year for gas tankless** versus a standard gas tank — which stretches the simple payback period to **7–10 years**, and in some cost comparisons, over 30 years, longer than many homeowners stay in one house.
- Savings shrink further (to 8–14% efficiency gain) in high-usage households drawing 86+ gallons a day.
- Requires a dedicated gas line, often 3/4-inch or larger, which can mean opening walls in older homes.
## 4\. Tankless (On-Demand) Electric Water Heater
The no-gas version of on-demand heating — an electric element heats water instantly as it passes through, with no tank.
**Advantages**
- More energy-efficient than electric storage tanks because there's no standby loss from keeping a tank hot 24/7, per [Camplux](https://camplux.com/blogs/journal-2/what-is-the-downside-of-an-electric-tankless-water-heater?ref=consumernews.ai).
- Easier to install than gas tankless in many cases — no venting or gas line, just electrical work.
- Compact and wall-mountable, useful for point-of-use applications (a single bathroom or kitchen sink) as well as whole-house setups.
**Disadvantages**
- Unit cost of **$500–$800** is only part of the story — whole-home electric tankless units often need a substantial electrical service upgrade to handle the high amperage draw, an expense easy to underestimate.
- Struggles with simultaneous demand: running two showers and a dishwasher at once can outstrip a single unit's capacity, especially in homes with weaker electrical service.
- Annual savings versus a standard tank are smaller than gas tankless — roughly **$45/year** — stretching payback even further.
- Performance is more climate-sensitive than gas tankless, since electric heating elements have less raw output to overcome cold incoming groundwater.
## 5\. Heat Pump (Hybrid Electric) Water Heater
The efficiency leader on paper: instead of generating heat directly, it extracts ambient warmth from the surrounding air (basement, garage, utility closet) and transfers it into the tank — similar to how a refrigerator works in reverse.
**Advantages**
- Dramatically more efficient than any other electric option — **2 to 3.5 times** the efficiency of a standard electric tank, cutting the water-heating bill by roughly **$300–$500 a year** for a typical family of four, per [GreenSaveHome](https://greensavehome.com/blog/heat-pump-water-heater-guide?ref=consumernews.ai). In high-electricity-cost states, annual savings can top $700.
- Over a 10-year horizon, total cost of ownership (equipment plus operating cost) is typically the **lowest of any water heater type** — even beating gas — despite the higher sticker price, according to the same analysis.
- Lower carbon footprint since it runs on electricity at 300%+ efficiency rather than combusting fuel.
- Independent cost modeling from [BuildingTalks](https://buildingtalks.com/tankless-vs-tank-water-heater/?ref=consumernews.ai) puts annual operating cost at roughly **$184/year**, versus **$267** for condensing gas tankless and **$351** for a standard gas tank, at typical utility rates.
**Disadvantages**
- Highest upfront equipment cost among electric options: **$2,200–$3,500 installed** for a 50-gallon unit, roughly 2–3 times a standard electric tank, per [GreenSaveHome](https://greensavehome.com/blog/heat-pump-water-heater-guide?ref=consumernews.ai).
- **Important for 2026 buyers:** the federal 25C tax credit that used to cover up to $2,000 for heat pump water heaters expired for equipment placed in service after December 31, 2025, after being ended early by the One Big Beautiful Bill Act signed in July 2025, per the [IRS](https://www.irs.gov/credits-deductions/energy-efficient-home-improvement-credit?ref=consumernews.ai) and [ElectrifyAtlas](https://electrifyatlas.com/federal-tax-credits-status?ref=consumernews.ai). Homeowners installing a unit in 2026 will need to rely on state or utility rebates instead — the federal credit is gone. (A separate 30% geothermal heat pump credit, unrelated to water heaters, remains through 2032.)
- Needs a surrounding air space of roughly 700+ cubic feet — typically a basement, garage, or utility room — and works best in spaces that stay above about 40°F year-round; performance drops in very cold, tightly sealed closets.
- Produces cool, slightly dehumidified air as a byproduct, which is a bonus in a hot basement but a drawback in an already-cold one.
- Runs quieter than an air conditioner but is audibly louder than a standard tank, which matters if it's installed near living space.
## 6\. Solar Water Heater
Uses rooftop or ground-mounted collectors to capture the sun's heat directly, either heating water in an integrated tank or transferring heat through a closed loop to a conventional backup tank.
**Advantages**
- The biggest efficiency ceiling of any option: DOE and NREL data show solar water heaters cut water-heating energy use by **50–80%**, depending on climate, per [Solar Powered Water Heaters](https://solarpoweredwaterheaters.com/blog/solar-water-heaters-101-types-pros-cons-sizing-how-they-work/?ref=consumernews.ai).
- In sunny states like Arizona, California, and Texas, homeowners often see **70–80% reductions** and save **$300–$450 a year**; even in colder Northeast or Midwest climates, savings of **50–60%** and **$150–$250 a year** are typical.
- Long-lived hardware — quality collectors last **20–30+ years** with minimal upkeep, making the cost-per-unit-of-energy-saved among the best of any home energy investment.
- Simple passive designs (thermosiphon/batch systems) have very low maintenance needs and no moving parts to fail.
**Disadvantages**
- Highest upfront investment of any option covered here: **$3,000–$9,000 before incentives**, versus roughly $500–$1,500 for a conventional heater, per [Solar Powered Water Heaters](https://solarpoweredwaterheaters.com/blog/solar-water-heaters-101-types-pros-cons-sizing-how-they-work/?ref=consumernews.ai).
- Typical payback period runs **5–15 years**, so the economics work best for homeowners planning to stay put.
- Always needs a backup heat source (gas or electric) for cloudy stretches and winter, so it's an add-on rather than a full replacement in most climates.
- Direct-circulation systems risk freeze damage in cold climates and scale buildup in hard-water areas; indirect (glycol) systems avoid that but add heat-exchanger losses, higher upfront cost, and require glycol testing/replacement every 3–5 years.
- Requires adequate, unshaded roof or yard space with good solar exposure — not every lot or roof orientation qualifies.
## The Bottom Line for Homeowners
- **Cheapest to buy, most expensive to run:** conventional electric tanks.
- **Best balance for gas-equipped homes on a budget:** a standard gas tank, if minimizing upfront cost matters more than long-term savings.
- **Best long-term value if you're staying in the house 10+ years and have space for the equipment:** a heat pump water heater — it now wins the 10-year total-cost comparison even without the expired federal tax credit, provided a state or utility rebate is available.
- **Best for large households worried about running out of hot water, with an existing large gas line:** gas tankless, understanding the payback period may exceed your time in the home.
- **Best for sunny climates and homeowners planning to stay long-term:** solar, paired with a backup heater, especially where local rebates offset the high upfront cost.
Before buying, homeowners should check with their state energy office and local utility — with the federal 25C credit gone for 2026 installations, state and utility rebate programs are now the primary financial lever for anyone considering a heat pump, solar, or high-efficiency tankless system.
### Sources
- [Consumer Reports, Water Heater Buying Guide](https://www.consumerreports.org/appliances/water-heaters/buying-guide/?ref=consumernews.ai)
- [ENERGY STAR, Uniform Energy Factor (UEF) ratings](https://www.energystar.gov/products/ask-the-experts/what-uniform-energy-factor-and-why-does-it-matter?ref=consumernews.ai)
- [HVACBase, Water Heaters: Complete Guide to Tank vs Tankless](https://www.hvacbase.org/water-heater-guide?ref=consumernews.ai)
- [RateYourPlumber, Tankless Water Heater Pros and Cons](https://rateyourplumber.com/guides/tankless-water-heater-pros-and-cons?ref=consumernews.ai)
- [Camplux, What is the downside of an electric tankless water heater?](https://camplux.com/blogs/journal-2/what-is-the-downside-of-an-electric-tankless-water-heater?ref=consumernews.ai)
- [GreenSaveHome, Heat Pump Water Heater: Is It Worth the Upgrade? (2026 Guide)](https://greensavehome.com/blog/heat-pump-water-heater-guide?ref=consumernews.ai)
- [BuildingTalks, Tankless vs Tank Water Heater 2026](https://buildingtalks.com/tankless-vs-tank-water-heater/?ref=consumernews.ai)
- [Solar Powered Water Heaters, Solar Water Heaters 101](https://solarpoweredwaterheaters.com/blog/solar-water-heaters-101-types-pros-cons-sizing-how-they-work/?ref=consumernews.ai)
- [IRS, Energy Efficient Home Improvement Credit](https://www.irs.gov/credits-deductions/energy-efficient-home-improvement-credit?ref=consumernews.ai)
- [ElectrifyAtlas, Federal Heat Pump Tax Credits Status 202*6*](https://electrifyatlas.com/federal-tax-credits-status?ref=consumernews.ai)
[*Perplexity.ai* ](https://www.perplexity.ai/?ref=consumernews.ai)*provided research assistance for this article*.
### National Safety Recall - Aug. 28
URL: https://www.consumernews.ai/national-safety-recall-aug-28/
Last updated: 2026-08-29T16:14:53.000Z
There is **one genuinely new national recall today**, involving B. Braun IV saline contaminated with particulate matter. There's also a significant Baxter saline recall posted August 26.
### B. Braun IV saline — particles could cause embolism, organ damage or death
**B. Braun Medical is recalling three lots of 0.9% Sodium Chloride Injection USP, 100 mL**, after particulate matter identified as **zinc oxide** was found in the product. FDA posted the nationwide recall on **August 28**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/b-braun-medical-inc-issues-voluntary-nationwide-recall-09-sodium-chloride-injection-usp-100-ml-150?utm%5Fsource=chatgpt.com))
The affected lots are **J6B435, J6B444 and J6B457**, expiration **April 30, 2027**. The saline was distributed nationwide to hospitals and health-care facilities from February 27 through August 3\. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/b-braun-medical-inc-issues-voluntary-nationwide-recall-09-sodium-chloride-injection-usp-100-ml-150?utm%5Fsource=chatgpt.com))
FDA says intravenous infusion of particulate matter could cause **pulmonary embolism, blocked blood vessels, tissue death, organ damage, vein inflammation, immune-system reactions and hemolysis**. No serious injuries, deaths or other adverse events had been reported when the recall was announced.
This is primarily a **hospital and clinical-care recall**, rather than something most consumers would have at home.
### 🚩 Baxter saline — possible fiberglass particles
Also worth noting: **Baxter recalled two lots of 500 mL 0.9% Sodium Chloride Injection on August 26** because the solution may contain **fiberglass particulate matter**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/baxter-issues-voluntary-nationwide-recall-two-lots-09-sodium-chloride-injection-due-potential?utm%5Fsource=chatgpt.com))
Affected lots are **Y495523 and Y495523A**, expiration **October 31, 2027**. They were distributed to health-care providers and distributors in 14 states, including Florida, Illinois, New Jersey, New York, Texas and Virginia.
FDA says infused fiberglass particles could cause **blood-vessel blockage, pulmonary embolism, permanent organ damage or death**, as well as inflammation and allergic reactions. Baxter had received no related adverse-event reports as of August 25\.
### Other agency checks
**CPSC:** We found no new August 28 consumer-product recall. The agency’s newest major actions remain yesterday’s August 27 batch, led by the expanded **3.6 million Cuisinart grill-brush recall** and the magnetic-building-block warning involving a child who required surgery. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Expands-Recall-of-Cuisinart-Grill-Brushes-Due-to-Ingestion-Hazard-Over-3-6-Million-Brushes-Now-Recalled?utm%5Fsource=chatgpt.com))
**NHTSA:** We found no new urgent national vehicle-recall alert dated August 28.
**USDA FSIS:** We found no new meat, poultry or processed-egg recall or public-health alert dated August 28\. The latest recall surfaced in current official results remains the **August 17 Indus Foods pickled goat and chicken recall**. ([FSIS](https://www.fsis.usda.gov/recalls-alerts/indus-foods-llc-dba-gangothri-foods-recalls-ready-eat-pickled-goat-and-chicken?utm%5Fsource=chatgpt.com))
**FDA:** The B. Braun saline action is the newest posting on FDA’s recall list today. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
For a general consumer-news roundup, **today is fairly quiet**. The B. Braun action is medically serious but primarily institutional, so I would probably treat it as a brief unless you’re doing a broader piece on the recent cluster of contaminated IV-fluid recalls.
### The End of the World News as We Know It
URL: https://www.consumernews.ai/the-end-of-the-world-news-as-we-know-it/
Last updated: 2026-08-28T14:55:22.000Z
Everybody's stirred up about something lately and The Outraged Consumer is no exception. For the last several months, we've put aside our outrage at the way things are to make room for a little experiment – one aimed at learning and testing instead of just bloviating about Artificial Intelligence and You Know Who.
I think it's turned out pretty well. We've produced [news every weekday](https://www.consumernews.ai/), built a small but loyal audience and not been accused of anything awful. We have done it with a single person, me.
Newspeople – now known as journalists, if you please – are outraged at the very idea that anyone would dare use AI to organize, edit or generate news. Their primary reason seems to be that doing so would result in further job loss. That's true and very unfortunate.
However, as one who has weaved his way through the news business (losing or leaving several jobs along the way) for the last 50 years or so, I would suggest that our first priority should be preserving the people's right to know, as we usually put it. Our job is to find, organize and disseminate information that people need to do their job as citizens, right? Job protection comes second.
The harsh economic reality is that news can't be produced as it used to be for the simple reason that Google demolished the advertising business that has supported news from Day One. Now it is sucking up all the news produced by newspeople and, in effect, selling it back to us.
The one consolation was that, until recently, Google sent traffic to its lowly servants, the news outlets of the land. It has largely stopped doing this and today simply makes off with the news and bundles it up for AI clients, leaving news organizations to starve and go out of business.
This all sounds fairly alarming but is still pretty abstract to most news consumers. So let me give you an example. Our ConsumerNews.ai site is tiny but without any paid or unpaid promotion it built a small daily audience in the low hundreds – measly but at least enough to count.
Since D-Day, August 18 or so, our daily web visits have been in single digits – literally 3 or, if we're lucky, 5\. That's about the time Google stopped displaying much of what it sweeps up from news sites every day. It still gathers it, but doesn't display it, except in its AI summaries and deep dives.
Frankly, this doesn't matter to me from an economic standpoint, since we have never sought to turn this into a commercial enterprise. But it illustrates what's happening out there in Newsland and explains why you see daily reports of newspeople being laid off, fired and otherwise eliminated.
No one seems very upset about this, except those directly affected. But Thomas Jefferson and those guys built their manifestos around the notion that a functioning democracy requires an informed public and an aggressive press. Whether we ever had that can be argued in assorted dissertations yet to come but the pathway we're currently on leads somewhere else entirely.
You already know all of this, of course. You probably feel bad about it. So here's something you can do to keep our little experiment running: forward a few of your favorite ConsumerNews.ai newsletters to multiple friends or family. No one can find us on the web right now so the only way to find new free subscribers and replace the ones who drift away is for our friends and readers to promote our content if you think it's worthwhile.
### The larger question
Like blind people studying an elephant, the great minds are at a loss as to how to support news, or at least the news they like. They have turned it into a maze of conflicting notions but it all seems pretty simple to me, so here is Hood's Plan to Save Journalism:
1. Charge every AI LLM a few cents for each digit they appropriate (i.e., steal) from news sites.
2. Define a news site as anything that publishes public policy news and information on a regular basis. Appoint some journalism professors – not an algorithm – to select the sites.
3. Declare that this solution stinks and is woefully inadequate. Then get to work devising something better.
That's it. Have a nice day.
### Today’s household test: Safety rules, jobs, health costs, travel and cars
URL: https://www.consumernews.ai/todays-household-test-safety-rules-jobs-health-costs-travel-and-cars/
Last updated: 2026-08-28T14:04:15.000Z
The consumer story on Friday is not one headline but five pressure points moving through everyday life: a landmark settlement that could change how teenagers use social media, a labor market that is still producing few layoffs while hiring remains cautious, health insurance costs that are set to rise again, drought that is disrupting European vacations and supply routes, and fresh auto news that mixes a large electric-vehicle recall with a sharp drop in Toyota sales.
Together, the developments show a household economy defined less by one inflation number than by the rules, risks and monthly bills attached to modern life, as reported today by major news outlets: [Associated Press](https://apnews.com/article/meta-trial-instagram-settlement-97d342f2a33d835eda2356c5e1af9e37?ref=consumernews.ai); [Reuters on jobless claims](https://www.reuters.com/world/us/jobless-claims-dip-latest-week-goods-trade-deficit-widens-july-2026-08-27/?ref=consumernews.ai); [Reuters on health costs](https://www.reuters.com/legal/litigation/us-employer-healthcare-costs-set-rise-95-2027-aon-says-2026-08-20/?ref=consumernews.ai); [The New York Times](https://www.nytimes.com/2026/08/28/travel/europe-river-cruises-drought.html?ref=consumernews.ai); [Reuters on Lucid](https://www.reuters.com/legal/litigation/lucid-recall-more-than-27000-luxury-sedans-over-fire-risk-nhtsa-says-2026-08-28/?ref=consumernews.ai)
## Social media and youth safety: A new price for attention
Meta Platforms agreed Wednesday to pay up to $18 billion and add new safeguards to Facebook and Instagram in a settlement with nearly every U.S. state over claims that the services were designed to keep children hooked. The case, reported by [the Associated Press](https://apnews.com/article/meta-trial-instagram-settlement-97d342f2a33d835eda2356c5e1af9e37?ref=consumernews.ai), grew out of allegations that the company’s products harmed children’s mental health and that Meta misled the public about their safety.
The settlement creates default limits rather than merely offering parents another reminder to manage screen time. Teenagers’ combined use of Facebook and Instagram would be limited to two hours a day, with use blocked from midnight to 6 a.m. unless a parent gives permission, according to [Reuters’ account of the agreement](https://www.reuters.com/legal/government/what-meta-agreed-us-teen-safety-settlement-2026-08-26/?ref=consumernews.ai). Meta also agreed to disable most push notifications during school hours, from 8 a.m. to 3 p.m., add age-assurance measures and hide likes and reactions from teens by default.
The financial headline is large, but the payment is structured to keep pressure on the rest of the social-media market. Meta guaranteed roughly $12.7 billion, or 70 percent of the maximum, over a decade; another roughly $5 billion depends on Snapchat, TikTok and YouTube adopting comparable protections and making payments of their own, [Reuters reported](https://www.reuters.com/world/us/meta-settles-with-us-states-over-social-media-harms-2026-08-26/?ref=consumernews.ai). The settlement covers 48 states and four U.S. jurisdictions, with payments distributed in annual installments based on population, according to [The Wall Street Journal](https://www.wsj.com/tech/meta-reaches-18-billion-settlement-with-48-states-over-child-safety-claims-cf725a2b?ref=consumernews.ai).
The deal leaves important questions for families. Meta will not have to abandon personalized recommendations or targeted advertising, and the company denies wrongdoing. A Meta statement said, “Ensuring teens have a safe and productive experience on our platforms is an absolute imperative for Meta,” while California Attorney General Rob Bonta said the agreement “institutes real change, real transparency, real protections for children and teens across the country,” according to [Reuters](https://www.reuters.com/world/us/meta-settles-with-us-states-over-social-media-harms-2026-08-26/?ref=consumernews.ai) and [the AP](https://apnews.com/article/meta-trial-instagram-settlement-97d342f2a33d835eda2356c5e1af9e37?ref=consumernews.ai). For parents, the practical shift is that the default setting — not a family’s vigilance — becomes the first line of defense.
## Jobs and wages: Layoffs stay low, but hiring is hardly booming
The latest weekly claims report offered a reassuring number with a less reassuring backdrop. Initial applications for unemployment benefits fell by 4,000 to a seasonally adjusted 203,000 in the week ended Aug. 22, below economists’ forecast of 208,000, [Reuters reported](https://www.reuters.com/world/us/jobless-claims-dip-latest-week-goods-trade-deficit-widens-july-2026-08-27/?ref=consumernews.ai). Continuing claims fell by 18,000 to 1.78 million, according to [Reuters’ report](https://www.reuters.com/world/us/jobless-claims-dip-latest-week-goods-trade-deficit-widens-july-2026-08-27/?ref=consumernews.ai).
The number suggests that employers are not cutting workers at a rapid pace. It does not show that job seekers are finding it easy to get hired. Claims have remained in the lower end of a 189,000-to-230,000 range this year, a pattern [Reuters described](https://www.reuters.com/world/us/jobless-claims-dip-latest-week-goods-trade-deficit-widens-july-2026-08-27/?ref=consumernews.ai) as consistent with low layoffs even as hiring stays soft. The unemployment rate had edged down to 4.1 percent in the prior month, but July’s payroll report showed a surprise loss of 23,000 jobs and downward revisions to earlier gains, according to [CNBC’s July jobs coverage](https://www.cnbc.com/2026/08/07/jobs-report-july-2026.html?ref=consumernews.ai).
That split matters to consumers. A worker who remains employed may feel secure enough to keep paying rent, a mortgage or a car loan, while someone changing jobs faces a slower search and less leverage to demand higher pay. Employers, meanwhile, can hold open positions unfilled without seeing a wave of resignations. The latest claims figure therefore supports a “stable but cautious” reading, a description echoed in [Bloomberg’s coverage of the report](https://www.bloomberg.com/news/videos/2026-08-27/us-jobless-claims-fall-goods-trade-deficit-widens-video?ref=consumernews.ai).
The pressure is also visible in pay. Government data cited by [The New York Times](https://www.nytimes.com/2026/08/15/business/inflation-worker-pay.html?ref=consumernews.ai) showed consumer prices rose 3.4 percent in July from a year earlier while hourly earnings increased 3.2 percent. Even when a job is safe, a paycheck that trails prices leaves families trimming purchases, delaying moves or leaning more heavily on credit, a pressure reflected in [The New York Times' analysis](https://www.nytimes.com/2026/08/15/business/inflation-worker-pay.html?ref=consumernews.ai).
## Health insurance: The bill is moving faster than paychecks
Employer health coverage is becoming a bigger deduction before a worker ever reaches a doctor’s office. U.S. employer health-care costs are expected to rise 9.5 percent in 2027, pushing the average cost above $19,000 per employee, according to insurance broker Aon and [Reuters](https://www.reuters.com/legal/litigation/us-employer-healthcare-costs-set-rise-95-2027-aon-says-2026-08-20/?ref=consumernews.ai). It would be the fourth straight year of near-double-digit increases for employers, [Reuters reported](https://www.reuters.com/legal/litigation/us-employer-healthcare-costs-set-rise-95-2027-aon-says-2026-08-20/?ref=consumernews.ai).
Workers are already paying more. Aon estimates that employees with workplace coverage will spend an average of $5,297 this year, including $3,130 in payroll contributions and $2,167 in out-of-pocket expenses, a combined increase of 7.9 percent from 2025, [Reuters reported](https://www.reuters.com/legal/litigation/us-employer-healthcare-costs-set-rise-95-2027-aon-says-2026-08-20/?ref=consumernews.ai). The estimate draws on more than 1,100 U.S. employers covering 7.9 million employees and $135 billion in health spending.
That average can conceal sharper shocks. A [Wall Street Journal analysis](https://www.wsj.com/health/healthcare/u-s-workers-are-paying-more-for-healthcare-and-next-year-will-be-worse-0924d0dd?ref=consumernews.ai) said workers’ average 2026 spending is $388 higher than in 2025 and described 2027 as a potential high point for increases in at least two decades. A Mercer survey cited by [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-11/us-workers-health-insurance-costs-set-to-rise-survey-finds?ref=consumernews.ai) found that two-thirds of large companies expect to raise employees’ monthly premiums in 2027, while 48 percent expect to make other changes, such as higher deductibles and copays.
Employers are also changing the shape of coverage. More than 20,000 companies entered health-reimbursement arrangements in 2026, up 53 percent from a year earlier, as firms looked for alternatives to traditional group plans, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-08-12/us-employers-abandon-group-health-insurance-as-price-hikes-bite?ref=consumernews.ai). That can give workers more choice, but it can also shift more decisions — and more financial risk — to households. The result is a benefit that still counts as compensation while feeling increasingly like a second rent payment.
## Travel and climate: A vacation can be rerouted by the river
Europe’s drought has turned a leisurely river cruise into a logistical problem. Water levels on the Danube and Rhine have fallen to unprecedented lows this summer, causing vessels to run aground, forcing long bus transfers and prompting canceled trips, [The New York Times reported Aug. 28](https://www.nytimes.com/2026/08/28/travel/europe-river-cruises-drought.html?ref=consumernews.ai). The disruption has affected multiple river basins at the same time since July, rather than appearing as an isolated late-season inconvenience.
The travel problem is also a supply-chain problem. On the Rhine near Kaub, Germany, the water level fell to 24 centimeters in early August, the lowest since records began in 1880, according to official data compiled by ETH Zurich and cited by [CNBC](https://www.cnbc.com/2026/08/05/europe-drought-rhine-danube-water-levels-economy.html?ref=consumernews.ai). Navigation becomes difficult below 78 centimeters, and barges must carry lighter loads, lifting freight costs and low-water surcharges, [CNBC reported](https://www.cnbc.com/2026/08/05/europe-drought-rhine-danube-water-levels-economy.html?ref=consumernews.ai).
The commercial consequences reach beyond a passenger’s itinerary. At one point, cargo vessels on the Rhine were able to sail only about 20 percent loaded, while a commodity trader told [Reuters](https://www.reuters.com/business/environment/rhine-water-levels-fall-new-lows-some-ship-sailings-halted-2026-08-11/?ref=consumernews.ai), “Commercial sailings through Kaub have basically stopped, it is no longer possible to book cargo shipments on the Rhine past Kaub today.” The trader added that some vessels south of Kaub could be trapped.
The same reporting put a number on the macroeconomic risk. Stefan Kooths, an economist at the Kiel Institute for the World Economy, estimated that the Rhine disruption could reduce German gross domestic product by up to 0.2 percent in the third quarter and cost 1 billion euros to 2 billion euros in lost value added, [CNBC reported](https://www.cnbc.com/2026/08/05/europe-drought-rhine-danube-water-levels-economy.html?ref=consumernews.ai). For travelers, the first effect is a changed vacation. For consumers more broadly, repeated diversions from rivers to trucks and trains can mean higher prices for fuel, food and industrial goods.
## Autos and vehicle safety: An EV warning meets a changing market
Lucid is recalling 27,185 Air luxury sedans in the United States because an exterior-lighting circuit could overheat and increase the risk of fire, the National Highway Traffic Safety Administration said Friday, [Reuters reported Aug. 28](https://www.reuters.com/legal/litigation/lucid-recall-more-than-27000-luxury-sedans-over-fire-risk-nhtsa-says-2026-08-28/?ref=consumernews.ai). The agency asked owners to park the vehicles outside and away from structures until a remedy is deployed. Lucid has released an over-the-air software update, according to the report.
The recall is a reminder that software can fix some problems but does not make a vehicle risk-free while the remedy is pending. Owners should check the NHTSA recall database or the automaker’s notice for their vehicle identification number and follow the parking instruction rather than assume an update has reached every car. The safety notice is especially consequential for owners who charge at home, where a parked vehicle may sit next to a garage or house.
The broader auto market is sending a different warning: demand is not moving evenly across powertrains or regions. Toyota’s global sales, including subsidiary Daihatsu, fell 5.3 percent from a year earlier to 912,683 vehicles in July, while production declined 1.4 percent to 934,953, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-08-28/toyota-sales-fall-for-six-straight-months-on-weak-china-demand?ref=consumernews.ai). It was the company’s sixth straight month of declining sales.
Toyota’s more detailed regional figures show why the result matters to American consumers. Sales in China plunged 24.3 percent, sales in the Middle East fell 44.5 percent and U.S. sales slipped 0.8 percent, while Japan rose 11 percent, according to [Reuters](https://www.reuters.com/business/autos-transportation/toyota-sales-production-fall-sharp-declines-china-middle-east-2026-08-28/?ref=consumernews.ai). The company said higher gasoline prices weighed on demand for hybrid and traditional combustion-engine vehicles in China. Production fell 32.7 percent in China and 4.0 percent in the United States, even as Japanese production climbed 12.4 percent, the Reuters report said.
The figures do not translate directly into a prediction for the next U.S. dealership visit, but they show how quickly fuel costs, regional demand and safety campaigns can reshape the auto market. Buyers face a market in which the cheapest monthly payment may come with a longer loan, while the newest technology may carry unfamiliar recall risks.
## The bigger picture
These five stories connect through household control. Families cannot set the water level on the Rhine, the price of a health plan or the timing of a recall; they can only adjust routes, coverage, spending and screen settings after the shock arrives. They also show why a low weekly layoff count is not the same as broad consumer comfort: workers may keep their jobs while paying more for care, confronting a slower hiring market, watching travel plans change and weighing a vehicle purchase against safety and fuel uncertainty. The common thread is a consumer economy in which resilience increasingly means absorbing one more rule, surcharge or workaround. ([Reuters](https://www.reuters.com/world/us/jobless-claims-dip-latest-week-goods-trade-deficit-widens-july-2026-08-27/?ref=consumernews.ai); [Aon figures via Reuters](https://www.reuters.com/legal/litigation/us-employer-healthcare-costs-set-rise-95-2027-aon-says-2026-08-20/?ref=consumernews.ai); [The New York Times](https://www.nytimes.com/2026/08/28/travel/europe-river-cruises-drought.html?ref=consumernews.ai))
\--
\*Perplexity provided research assistance for this report. \*
### National Safety Recalls, Aug. 27
URL: https://www.consumernews.ai/national-safety-recalls-aug-27/
Last updated: 2026-08-27T20:12:17.000Z
Today brings a **large CPSC recall batch**, and two items stand out immediately: an expanded recall covering **more than 3.6 million Cuisinart wire grill brushes**, and a warning about magnetic building blocks after a child swallowed about **50 magnets and required surgery**.
### Cuisinart grill-brush recall expands to 3.6 million
**Conair has expanded its recall of Cuisinart metal wire-bristle grill brushes by another 1.9 million units**, bringing the total to about **3.63 million brushes**. CPSC says the wire bristles can detach, stick to food and be swallowed, potentially causing internal injuries serious enough to require surgery. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Expands-Recall-of-Cuisinart-Grill-Brushes-Due-to-Ingestion-Hazard-Over-3-6-Million-Brushes-Now-Recalled?ref=consumernews.ai))
Conair has received **at least 54 reports or reviews involving detached bristles**, including **three cases in which consumers swallowed metal bristles and sought medical treatment to remove them from the digestive tract or throat**. All Cuisinart wire-bristle grill brushes are now included in the recall, including many models sold individually or in grill-tool sets. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Expands-Recall-of-Cuisinart-Grill-Brushes-Due-to-Ingestion-Hazard-Over-3-6-Million-Brushes-Now-Recalled?ref=consumernews.ai))
The brushes were sold widely at Walmart, Burlington, T.J. Maxx, Ross, Amazon and Cuisinart.com over a long period — in some cases dating back to **2009**. Consumers should stop using them and contact Conair for a refund or Cuisinart credit. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Expands-Recall-of-Cuisinart-Grill-Brushes-Due-to-Ingestion-Hazard-Over-3-6-Million-Brushes-Now-Recalled?ref=consumernews.ai))
### Magnetic building blocks — child swallowed about 50 magnets
CPSC is warning consumers to **immediately stop using Girigi Magnetic Building Blocks and Cubes** because powerful magnets can become loose if the blocks break open.
This is not a theoretical hazard: CPSC says **one child swallowed about 50 magnets and required surgery both to remove them and repair holes in the small intestine**. Swallowed high-powered magnets can attract one another through intestinal tissue, causing perforations, twisting, blockages, blood poisoning and death. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Warnings/2026/CPSC-Warns-Consumers-to-Stop-Using-Girigi-Magnetic-Building-Blocks-and-Cubes-Immediately-Due-to-Risk-of-Serious-Injury-or-Death-from-Magnet-Ingestion?utm%5Fsource=chatgpt.com))
The Chinese seller has not agreed to an acceptable recall, so CPSC says consumers should **dispose of the blocks and not resell or give them away**. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Warnings/2026/CPSC-Warns-Consumers-to-Stop-Using-Girigi-Magnetic-Building-Blocks-and-Cubes-Immediately-Due-to-Risk-of-Serious-Injury-or-Death-from-Magnet-Ingestion?utm%5Fsource=chatgpt.com))
### Walmart dresser recall reannounced after recalled units were sold again
Walmart has **reannounced its recall of about 165,250 Mainstays nine-drawer fabric dressers** because some recalled units were distributed to liquidators and subsequently sold to consumers **after the original May recall**. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Walmart-Reannounces-Recall-of-Mainstays-Nine-Drawer-Fabric-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Walmart-Distributed-Recalled-Dressers-Post-Recall-Sold-to-Consumers-Through-Liquidators?ref=consumernews.ai))
The dressers can tip over if not anchored to the wall, posing potentially fatal **tip-over and entrapment hazards to children**, and violate the federal STURDY Act safety standard.
Consumers with an unanchored dresser should stop using it, keep children away and contact Walmart for a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Walmart-Reannounces-Recall-of-Mainstays-Nine-Drawer-Fabric-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Walmart-Distributed-Recalled-Dressers-Post-Recall-Sold-to-Consumers-Through-Liquidators?ref=consumernews.ai))
### 55,250 lidocaine tattoo wipes — child poisoning risk
**Diamond Wipes International is recalling about 55,250 MD Wipe Outz Numbing Tattoo Wipes** because they contain lidocaine but are not packaged in required child-resistant packaging.
CPSC warns that ingestion by a young child could cause **serious injury or death from poisoning**. The wipes were sold through Amazon and Shopify. Consumers should immediately secure them away from children and obtain a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Diamond-Wipes-International-Recalls-MD-Wipe-Outz-Numbing-Tattoo-Wipes-Due-to-Risk-of-Serious-Injury-or-Death-from-Child-Poisoning-Violate-Mandatory-Standard-for-Child-Resistant-Packaging?utm%5Fsource=chatgpt.com)) Infant and teething products — choking and fall hazards
CPSC also issued several warnings involving products intended specifically for babies and young children.
**HABA Rainbow Rattle Grasping and Teething Toys**, about 2,000 units, are recalled because a glued elastic-cord knot can come undone, releasing small wooden and plastic pieces that pose choking and ingestion hazards. Two knot failures have been reported. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/HABA-USA-Recalls-Rainbow-Rattle-Grasping-and-Teething-Toys-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-and-Ingestion-Hazards?utm%5Fsource=chatgpt.com))
About **38,253 Warm Feather Pull String Highchair Teething Toys** are subject to a stop-use warning because their silicone strings can reach the back of a child's throat and become lodged, creating a potentially deadly choking hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Warnings/2026/CPSC-Warns-Consumers-to-Stop-Using-Warm-Feather-Pull-String-Highchair-Teething-Toys-Immediately-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Violate-Mandatory-Standard-for-Toys?utm%5Fsource=chatgpt.com))
And **Kmaier infant walkers, model RV001**, are recalled because they can pass through standard doorways and fail to stop at the edge of a step, creating a potentially deadly fall hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Kmaier-Recalls-Infant-Walkers-Due-to-Risk-of-Serious-Injury-or-Death-from-Fall-Hazard-Violate-Mandatory-Standard-for-Infant-Walkers?utm%5Fsource=chatgpt.com))
### Other CPSC recalls today
CPSC's August 27 batch also includes **YERYORK and Steelite electric pressure washers** that lack required GFCI protection and pose shock or electrocution hazards; **AudioLineOut Studio Six headphone amplifiers** that can become electrified when used with certain aftermarket tubes; and about **1,800 Excel Industries LED light kits for ride-on mowers** whose light bars can overheat or produce flames. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### FDA, NHTSA and USDA FSIS
**FDA:** We found no significant new August 27 consumer recall beyond the items already covered in recent days. The latest major FDA food-safety action remains the Everything Sprouts alfalfa-sprout recall associated with the multistate *E. coli* and Salmonella outbreak. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/everything-sprouts-llc-recalls-alfalfa-sprouts-due-potential-e-coli-and-salmonella-risk?utm%5Fsource=chatgpt.com))
**NHTSA:** We found no new urgent national vehicle-safety recall alert dated August 27\. The most recent high-profile national urgent alert remains the previously covered **462,869 Kia Telluride park-outside fire recall**. ([NHTSA](https://www.nhtsa.gov/press-releases/park-outside-recall-kia-tellurides?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new August 27 meat, poultry or processed-egg recall or public-health alert.
### Tariffs and prices: Canada's retaliation brings trade policy home
URL: https://www.consumernews.ai/tariffs-and-prices-canadas-retaliation-brings-trade-policy-home/
Last updated: 2026-08-27T12:06:56.000Z
Responding to President Trump's punitive tariffs, Canada announced retaliatory tariffs on about $20 billion worth of U.S. annual imports, with duties beginning Sept. 8 across about 700 products, according to [Reuters’ report](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai). The rates are 15 percent, 25 percent and 50 percent, and they match the latest U.S. duties dollar for dollar, Reuters reported.
The list includes products consumers can recognize: steel, aluminum, furniture and clothing face 50 percent tariffs; cheese, appliances and some seafood face 25 percent duties; and electronics and tools face 15 percent duties, according to [Reuters](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai). Canada also listed prepared foods, toiletries, plastics, paper products, carpets, machinery, electrical equipment, motorcycles and gaming equipment among the affected goods, the report said.
The United States’ new tariffs are relatively narrow, affecting roughly 5 percent of Canada’s exports to the United States, but the effects could be concentrated in industries such as wood products and kitchen cabinets, according to [Reuters](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai). Canada’s counter-tariffs cover goods representing nearly 4.5 percent of its imports from the United States, Reuters reported.
Canada paired the tariffs with a C$7.5 billion support package for businesses and workers. The Business Development Bank of Canada will offer interest-free loans of C$2.5 million to C$5 million, with companies not required to repay them for 36 months, according to [Reuters](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai).
The political strategy is explicit. Canadian Industry Minister Melanie Joly said the measures were designed not only to protect Canadian businesses but also to put political pressure on targeted U.S. states before the Nov. 3 midterm elections, according to [Reuters’ account](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai).
For American households, the immediate result is uncertainty rather than a uniform price jump. Importers can absorb a duty, pass it through, change suppliers, reduce promotions or drop a product from an assortment. But North American supply chains often cross the border repeatedly, so a tariff on an input can arrive at a store as a higher price for a finished good or as fewer choices.
## Energy and gasoline: Oil drops as talks offer a path through Hormuz
Oil prices fell more than $1 Thursday, extending a run of losses as investors weighed diplomatic efforts that could reopen the Strait of Hormuz and reduce supply disruptions from the Middle East war, according to [Reuters’ report on the oil market](https://www.reuters.com/business/energy/oil-prices-extend-losses-expectations-talks-ease-middle-east-supply-woes-2026-08-27/?ref=consumernews.ai). Qatar’s prime minister was scheduled to visit Tehran as part of mediation efforts, while an Iranian source said Iran and Oman were still finalizing an agreement to control the waterway, Reuters reported.
The market is responding to the possibility of physical improvement, not a completed settlement. Shipping traffic through the strait has risen slightly, according to data cited by [Reuters](https://www.reuters.com/business/energy/oil-prices-extend-losses-expectations-talks-ease-middle-east-supply-woes-2026-08-27/?ref=consumernews.ai), but the waterway remains the key question for a global fuel system that has been pricing in disruption. A credible agreement that rapidly restores traffic could remove “another layer of geopolitical premium,” a senior Iranian source said in [Reuters’ earlier account](https://www.reuters.com/world/asia-pacific/us-oil-prices-extend-losses-hopes-iran-oman-talks-strait-hormuz-2026-08-25/?ref=consumernews.ai).
Wednesday’s move showed why the consumer impact can change quickly. U.S. crude fell as low as $79 a barrel, while Brent crude slipped to around $85, according to [NBC News](https://www.nbcnews.com/business/energy/oil-prices-inflation-trump-strait-hormuz-rcna594477?ref=consumernews.ai). The decline came as markets balanced positive developments in the Middle East against concerns about a possible Russian escalation in Ukraine and dwindling U.S. reserves, NBC reported.
Lower crude prices can eventually help drivers, airlines and shippers, but the pass-through is neither immediate nor one-for-one. Gasoline prices reflect refinery capacity, inventories, transportation and local competition as well as the crude contract, while diesel costs feed into trucking, farming and deliveries. The practical message for households is that relief is now possible, but it is conditional on diplomacy turning into reliable shipping rather than another headline-driven market reversal.
## Inflation and rates: The Fed’s preferred gauge refuses to cool enough
The personal consumption expenditures price index rose 0.2 percent in July, putting annual inflation at 3.7 percent, according to [CNBC’s report on the Commerce Department data](https://www.cnbc.com/2026/08/26/feds-preferred-inflation-gauge-shows-core-prices-rose-3point3percent-annually-in-july.html?ref=consumernews.ai). Both the monthly and annual readings were 0.1 percentage point above the Dow Jones consensus, CNBC reported.
The annual rate was unchanged from June and remained above the Fed’s 2 percent target for the 65th straight month, according to [Reuters’ analysis](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). Economists surveyed by Reuters had expected the annual PCE rate to ease to 3.6 percent, while the monthly measure had been expected to rise 0.1 percent after a 0.1 percent decline in June, Reuters reported.
Core PCE, which excludes food and energy and is closely watched for the underlying inflation trend, held at 3.3 percent year over year and accelerated to 0.2 percent for the month from 0.1 percent in June, according to [Reuters](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). The combination leaves the Fed facing a difficult trade-off: Economic activity is not collapsing, but price growth is still too high for an easy declaration of victory.
Financial markets moved modestly toward a rate increase after the report. Fed funds futures reflected about a 40 percent probability of a hike at the Fed’s Sept. 15-16 meeting, up from about 36 percent immediately before the data, according to [Reuters’ market coverage](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). For consumers, even a debate over a hike can keep borrowing costs elevated for mortgages, auto loans and credit cards.
There was a resilience signal in the same release. Second-quarter consumer spending growth was revised to 3.4 percent from 3.2 percent, while final sales to private domestic purchasers — a measure of consumer outlays and business investment — rose to a 4.2 percent pace, the highest since the first quarter of 2023, according to [Reuters](https://www.reuters.com/business/us-inflation-remains-sticky-july-2nd-quarter-gdp-unrevised-15-2026-08-26/?ref=consumernews.ai). Kathy Bostjancic, chief economist at Nationwide, said the spending and durable-goods data pointed to third-quarter real GDP growth of at least 3 percent, Reuters reported.
That is the central inflation tension: Consumers can keep spending while each dollar buys less than it did before. A strong spending number may protect jobs and incomes, but it can also make the Fed less willing to lower rates if officials believe demand is keeping price pressure alive.
## Housing and mortgages: A lower sales pace meets a higher monthly hurdle
New U.S. single-family home sales dropped 10.5 percent in July to a seasonally adjusted annual rate of 607,000, the lowest level since January, according to [Reuters’ housing report](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai). The data came from the Commerce Department’s Census Bureau, and the July pace was below the 620,000 median forecast in a Reuters economist poll.
The median price of a new home fell to $393,800, the lowest in four years, according to [Reuters](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai). A lower sticker price might normally invite buyers back, but the affordability calculation also includes the interest rate, property taxes, insurance and maintenance, and borrowing costs are moving in the wrong direction.
The 30-year fixed mortgage rate averaged 6.66 percent this week, up from 6.58 percent the previous week and the highest level in a year, according to [The Wall Street Journal’s mortgage-rate report](https://www.wsj.com/economy/housing/mortgage-rates-jump-to-a-one-year-high-9ea35b8a?ref=consumernews.ai). It was the fourth consecutive week of increases, with inflation expectations tied to the Middle East conflict and uncertainty over the Fed’s path adding pressure to the market, the Journal reported.
Demand is showing the effect. Only 5.2 percent of consumers said they intended to buy a house in the next six months, down from 6.5 percent in July and the largest decline in more than five years, according to [Reuters](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai). The figure does not mean every potential buyer has left permanently, but it does show how quickly a monthly payment can turn an active search into a wait-and-see decision.
Builders are using concessions and price reductions to keep buyers engaged, but the market remains stuck between expensive financing and high construction costs. Matthew Martin, senior U.S. economist at Oxford Economics, said, “The housing market isn’t headed for a downturn, but rising mortgage rates and weaker growth in real disposable income due to elevated inflation will keep any rebound out of sight,” according to [Reuters’ report](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai).
Housing weakness also has a multiplier effect on the consumer economy. A household that delays buying a home may also delay purchases of furniture, appliances, tools and renovation services. A homeowner who cannot refinance has fewer ways to make room for a higher fuel bill or a medical expense.
## Consumer confidence: Today looks steadier than tomorrow
The Conference Board’s consumer confidence index fell to 89.4 in August from a downwardly revised 90.2 in July, its lowest reading since January, according to [Reuters’ report](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai). Economists polled by Reuters had expected a reading of 90.2.
The decline came mainly from the expectations index, which fell 7.8 percent, while consumers’ view of current conditions improved for the first time in four months, according to [Reuters](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai). The Wall Street Journal reported that the expectations index, based on short-term views of income, business and labor-market conditions, fell 5.8 points to 68.2 in [its account of the survey](https://www.wsj.com/economy/central-banking/u-s-consumer-sentiment-fell-in-august-conference-board-says-9453f12c?ref=consumernews.ai).
Dana Peterson, chief economist at the Conference Board, said consumers were “more pessimistic about business conditions and the labor market over the next six months,” according to [Reuters](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai). The Associated Press reported that gasoline remained above $4 a gallon as the Iran conflict continued to influence the household outlook, in [its confidence report](https://apnews.com/article/consumer-confidence-inflation-economy-gas-prices-8fdcfa56f35b9eac2399fe1d167f8fbd?ref=consumernews.ai).
The present-versus-future split helps explain why a confidence decline does not automatically mean an immediate spending collapse. People may keep buying food, fuel and school supplies while postponing a car, vacation or home improvement project. A household can feel that today’s finances are manageable and still decide that a new long-term obligation is unwise.
That caution is especially important because confidence surveys combine several pressures consumers experience separately at the checkout counter: job security, expected income, inflation and gasoline. If the expectations measure continues to weaken, retailers may see the effect first in discretionary categories rather than in the necessities that keep current spending data afloat.
\--
*This summary was compiled by* [*Perplexity*](https://www.perplexity.ai/?ref=consumernews.ai) *and edited by James R. Hood.*
### National Safety Recalls - Aug. 26
URL: https://www.consumernews.ai/national-safety-recalls-aug-26/
Last updated: 2026-08-26T20:06:39.000Z
There are three newly posted FDA recalls since yesterday’s check. The most unusual involves kitten milk replacers sold nationwide that may be nutritionally deficient enough to cause permanent organ damage or death in young kittens. I found no comparably significant new CPSC, NHTSA or USDA FSIS recall today.
### Kitten milk replacers recalled nationwide — deficiencies can be fatal
**Revival Animal Health is recalling multiple lots of Shelter’s Choice and Breeder’s Edge feline milk replacers** because testing found low levels of potassium, copper, folic acid, choline and/or vitamin B6\. The products were sold **nationwide online and through retail pet stores**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/revival-animal-health-llc-voluntarily-recalls-feline-milk-replacers-due-inconsistent-levels-vitamins?ref=consumernews.ai))
This is potentially serious because newborn kittens depend entirely on milk for nutrition. FDA says the deficiencies can lead to **anemia, neurological problems, liver failure, kidney damage, skeletal disease and heart problems**, and may be fatal or cause permanent developmental damage. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/revival-animal-health-llc-voluntarily-recalls-feline-milk-replacers-due-inconsistent-levels-vitamins?ref=consumernews.ai))
Affected products include several sizes of **Shelter’s Choice Feline Milk Replacer** and **Breeder’s Edge Foster Care Feline Milk Replacer**, with best-by dates ranging from **September 9, 2026 through March 12, 2028**. FDA provides the complete UPC and date list in its notice. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/revival-animal-health-llc-voluntarily-recalls-feline-milk-replacers-due-inconsistent-levels-vitamins?ref=consumernews.ai))
No illnesses have been confirmed, but the company is investigating **nine complaints involving possible gastrointestinal and bone-development problems**. Consumers should stop feeding affected products immediately and contact the company for a refund; kittens showing symptoms should be evaluated by a veterinarian. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/revival-animal-health-llc-voluntarily-recalls-feline-milk-replacers-due-inconsistent-levels-vitamins?ref=consumernews.ai))
### Baxter IV dextrose — stainless-steel particles could cause embolism or death
**Baxter International recalled one lot of 70% Dextrose Injection, USP** on August 25 after stainless-steel particles were identified in the solution.
If the particles enter the bloodstream, Baxter and FDA warn they could cause **blocked or clotted blood vessels, pulmonary embolism, permanent organ damage or death**. No adverse events had been reported as of August 25\. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/baxter-issues-voluntary-nationwide-recall-one-lot-70-dextrose-injection-due-potential-presence?utm%5Fsource=chatgpt.com))
The affected product is **70% Dextrose Injection in a 2,000 mL VIAFLEX container**, product code **2B0296H**, lot **Y495066**, expiration **July 31, 2027**. It was distributed to health-care providers and distributors in Alabama, Georgia and Tennessee. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/baxter-issues-voluntary-nationwide-recall-one-lot-70-dextrose-injection-due-potential-presence?utm%5Fsource=chatgpt.com))
This is primarily a **hospital and home-infusion safety issue**, rather than an ordinary retail consumer recall. Baxter specifically says home-care facilities that used the affected product to compound parenteral nutrition should contact patients and replace those solutions. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/baxter-issues-voluntary-nationwide-recall-one-lot-70-dextrose-injection-due-potential-presence?utm%5Fsource=chatgpt.com))
### Jalapeño ranch dressing — undeclared egg allergy hazard
**Jaime’s Foods ATX is recalling Jaime’s Spanish Village Jalapeno Ranch dressing** because eggs are not declared on the label. For someone with a severe egg allergy, eating it could produce a serious or life-threatening reaction. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/jaimes-foods-atx-issues-allergy-alert-undeclared-egg-allergen-jaimes-spanish-village-jalapeno-ranch?ref=consumernews.ai))
The recalled **16-ounce glass jars**, UPC **199284564923**, have lot numbers **69, 86, 108, 113, 116 and 121**. They were sold beginning April 3 at Central Market stores in Texas and independent retailers around Austin. No illnesses have been reported. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/jaimes-foods-atx-issues-allergy-alert-undeclared-egg-allergen-jaimes-spanish-village-jalapeno-ranch?ref=consumernews.ai))
### Other agency checks
**CPSC:** We found no new August 25 or August 26 national recall. The latest major CPSC actions remain the August 20 group previously covered.
**NHTSA:** No new urgent national vehicle-safety alert has appeared. NHTSA’s press-release page currently shows August 18 as its latest release and no newer recall-specific national announcement. ([NHTSA](https://www.nhtsa.gov/press-releases?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new August 25 or August 26 meat, poultry or processed-egg recall or public-health alert in the current agency results.
### NYC turns its attention to complaints about rental cars
URL: https://www.consumernews.ai/nyc-turns-its-attention-to-complaints-about-rental-cars/
Last updated: 2026-08-26T17:51:16.000Z
Rental car companies are the latest to feel the lash of New York City's revved-up consumer protection programs.
Mayor Zohran Kwame Mamdani and Department of Consumer and Worker Protection (DCWP) Commissioner Samuel A.A. Levine today [announced](https://www.nyc.gov/site/dca/news/061-26/mayor-mamdani-cracks-down-hidden-fees-rental-car-companies?ref=consumernews.ai) the results of a citywide enforcement sweep of car rental businesses. Between May and July, DCWP conducted 62 inspections and issued 56 summonses for violations of the City’s [Consumer Protection Law](https://codelibrary.amlegal.com/codes/newyorkcity/latest/NYCadmin/0-0-0-35313?ref=consumernews.ai), marking the agency’s first comprehensive review of the industry in roughly a decade.
“New Yorkers and visitors renting a car should know exactly what they’ll pay before they drive off the lot,” said Mamdani. “Working people shouldn’t have to worry about hidden costs being tacked onto the price they were promised. This administration will hold businesses accountable when they try to profit from confusion.”
“Hidden fees and undisclosed policies are a tax on working people who are already stretched thin,” said Deputy Mayor for Economic Justice Julie Su.“DCWP’s enforcement sends a clear message that this administration will not let businesses surprise New Yorkers with costs they weren’t told about.”
Inspectors found that most businesses failed to [post required price signs or disclose prices](https://www.nyc.gov/assets/dca/downloads/pdf/businesses/Car-Rental-Law-Sign.pdf?ref=consumernews.ai) as required, and many lacked a posted refund policy. DCWP is continuing to review the inspection results and said it will pursue further enforcement against businesses that remain out of compliance.
“When you rent a car, you deserve to know the price and the policy up front,” said DCWP Commissioner Samuel A.A. Levine. “This sweep makes clear that businesses need to disclose their prices and policies or face consequences.”
### What to know
Car rental agencies in New York City must:
- Honor all reservations within one-half hour of the reserved time at the reserved price, unless the consumer is told in advance that the reservation is not guaranteed.
- Post a sign explaining the Consumer Protection Law’s rule on rental car reservations, including how to file a complaint.
- Provide a car that seats as many passengers and meets the consumer’s needs if the reserved car is unavailable.
- Disclose prices to consumers, including the minimum rental price and any conditions that affect it.
New York City’s Consumer Protection Law prohibits unfair trade practices in the sale of consumer goods and services, including false advertising, phony sales and special offers with hidden conditions.
DCWP advises that NYC residents and visitors with a car rental complaint to file at [nyc.gov/Consumers](https://www.nyc.gov/site/dca/consumers/file-complaint.page?ref=consumernews.ai).
### It's not just New York
Complaints about car rentals are common not only in New York but just about anywhere there's a car rental counter but by virtue of its size and its status as a tourist magnet, New York gets more than its share.
There's no single central database of complaints but the Consumer Federation of America’s [2024 survey](https://consumerfed.org/media/legacy/2024-Consumer-Complaint-Survey-Report-Final-June-2025.pdf?ref=consumernews.ai) of state and local consumer agencies found they handled more than 350,000 consumer complaints overall.
The most reportable complaint patterns tend to involve:
- Reservation or advertised-price disputes, including mandatory fees that emerge late in the transaction.
- Post-rental billing for damage, fuel, tolls, cleaning, or administrative charges.
- Insurance, collision-damage-waiver, and liability-coverage representations.
- Vehicle availability or substitution despite a confirmed booking.
- Deposit holds, delayed refunds, and collection or credit-reporting disputes tied to claimed damage.
For example, an earlier [FTC case](https://www.ftc.gov/news-events/news/press-releases/2007/11/budget-rent-car-settles-ftc-charges-fuel-fees-levied-customers-who-returned-rental-cars-full-tank?ref=consumernews.ai) against Budget alleged misleading fuel-fee practices affecting consumers who returned cars with full tanks; the settlement barred misrepresentations about rental charges, fees, costs, and material terms.
### Meta settles child-safety suit with 48 states for $18 billion
URL: https://www.consumernews.ai/meta-settles-child-safety-suit-with-48-states-for-18-billion/
Last updated: 2026-08-26T14:11:21.000Z
Meta has agreed to pay $18 billion to settle a [lawsuit brought by 48 states](https://www.consumernews.ai/meta-goes-on-trial-to-face-charges-it-purposely-made-instagram-and-facebook-hard-to-turn-away-from/) claiming its social platforms are harming teenagers. It also agreed to set a two-hour daily time limit on Facebook and Instagram for users under 18.
The agreement halts a trial that got underway just a few days ago in Oakland, Calif., federal court.
There's a big "unless" in the agreement, however. Meta will pay only 70% of the settlement unless TikTok and YouTube agree to set one-hour time limits for underage users and pledge to pay the states roughly $5.3 billion, the [Wall Street Journal reported](https://www.wsj.com/tech/meta-reaches-18-billion-settlement-with-48-states-over-child-safety-claims-cf725a2b?mod=djemalertNEWS&ref=consumernews.ai).
Meta also agreed to launch "night mode," which would block apps between midnight and 6 a.m. and a "school mode" that would disable "push" notifications during school hours.
[Meta Social Media News TrackerMeta settles child-safety suit with 48 states for $18 billionMeta is bringing TikTok and YouTube along for the ride, in an unusual proposal.ConsumerNews.aiJames R. HoodMeta goes on trial to face charges it purposely made Instagram and Facebook hard to turn away from\* Meta faces a potential penaltyConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-social-media-news-tracker/)
The settlement still needs to be approved by a federal judge. , halts a trial that was ongoing as recently as Tuesday. That case, brought by the state attorneys general of California, Kentucky, New Jersey and Colorado, alleged that Meta violated their states’ consumer-protection laws and also the federal [Children’s Online Privacy Protection Act of 1998](https://www.ftc.gov/legal-library/browse/statutes/childrens-online-privacy-protection-act?ref=consumernews.ai), commonly known as COPPA, by knowingly making its platforms addictive and going after young users.
The attorneys general had asked for about $200 in damages, nearly 200 times the $375 million the company was ordered to pay in a [New Mexico case](https://www.consumernews.ai/jury-slaps-meta-with-375-million/).
The AGs in that case had asked for roughly $200 billion in damages, more than 200 times the amount that Meta was recently ordered to pay after losing a similar child-safety trial in New Mexico.
In that case, brought by New Mexico’s attorney general, Meta was ordered to pay $375 million in civil penalties, create [a $567 million abatement fund](https://www.wsj.com/tech/meta-ordered-to-pay-942-million-to-address-harm-to-kids-from-social-media-8ba5aab7?mod=article%5Finline&ref=consumernews.ai) to rectify harms toward New Mexico youth and make changes to its apps similar to those in the settlement, including limiting when it can send push notifications to users under 18.
Meta still faces a staggering number of similar lawsuits in courthouses across the country.
### The consumer squeeze broadens from Canada tariffs to diesel, homes, confidence and health costs
URL: https://www.consumernews.ai/the-consumer-squeeze-broadens-from-canada-tariffs-to-diesel-homes-confidence-and-health-costs/
Last updated: 2026-08-26T13:44:21.000Z
The consumer economy is absorbing five fresh pressures at once: Canada is retaliating against U.S. tariffs on a wide range of goods, diesel prices are surging into the harvest and freight seasons, new-home sales are falling as mortgage costs sideline buyers, confidence is weakening over jobs and inflation, and employers are reconsidering coverage of expensive weight-loss drugs. The common thread is not a collapse in spending but a shrinking margin for error — at the store, the fuel pump, the closing table, the family budget and the workplace benefits plan.
Here's a look at how some top news outlets are covering the situation.
## Trade war: Canada’s retaliation reaches into household goods
Canada announced retaliatory tariffs on about $20 billion worth of U.S. goods Tuesday, matching the latest American duties “dollar for dollar” after trade talks broke down. ([CNBC’s report on Canada’s counter-tariffs](https://www.cnbc.com/2026/08/25/canada-trump-tariffs-trade-carney-leblanc.html?ref=consumernews.ai))
The duties cover more than 700 products and take effect Sept. 8, according to the Canadian government and reporting by Reuters. The rates are 15 percent, 25 percent and 50 percent, with the highest rate applying to steel, aluminum, furniture and clothing; cheese, appliances and some seafood face 25 percent duties, while electronics and tools face 15 percent. ([Reuters’ tariff breakdown](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai))
The list is unusually legible to households. The New York Times reported that Canada is targeting dishwashers, washing machines, stoves, smartphones, tools and a wide array of fish, in addition to clothing and forestry products. ([The New York Times’ list of affected products](https://www.nytimes.com/live/2026/08/25/us/trump-news-tariffs?ref=consumernews.ai))
The U.S. tariffs that prompted the response cover about 5 percent of Canada’s exports to the United States, but Reuters reported that the impact could be severe in concentrated sectors such as wood products and kitchen cabinets. ([Reuters on the concentrated exposure](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai)) The two countries’ trade relationship means the price effect will not necessarily stop at the border: a North American product can contain parts and materials that cross it several times before reaching a shelf or showroom. ([Reuters’ account of the Canada trade fight](https://www.reuters.com/business/autos-transportation/trump-says-he-will-raise-tariffs-all-cars-trucks-50-amid-canada-trade-spat-2026-08-24/?ref=consumernews.ai))
Ottawa paired the tariffs with a C$7.5 billion support package for affected businesses and workers, including interest-free loans of C$2.5 million to C$5 million through the federal lender BDC. ([Reuters’ report on Canada’s support measures](https://www.reuters.com/business/canada-announces-20-bln-retaliatory-tariffs-us-goods-unveils-support-measures-2026-08-25/?ref=consumernews.ai)) Prime Minister Mark Carney has acknowledged the consumer trade-off, saying, “We take this step reluctantly,” because the measures will raise costs and reduce choice for Canadians while also hurting U.S. companies. ([Bloomberg’s report on Carney’s response](https://www.bloomberg.com/news/articles/2026-08-22/canada-unveils-20-billion-counter-tariffs-to-mirror-trump-levy?ref=consumernews.ai))
For American shoppers, the immediate risk is less a blanket price increase than a new round of product-by-product uncertainty. A tariff on a Canadian input may be absorbed by a manufacturer, passed to a retailer or reflected in a smaller selection; retaliation can also weaken demand for U.S. exports and put pressure on jobs in exposed industries. ([The New York Times’ analysis of the U.S.-Canada trade war](https://www.nytimes.com/2026/08/22/business/economy-trade-war-us-canada.html?ref=consumernews.ai))
## Consumer confidence: The outlook darkens even as current conditions hold
The Conference Board’s consumer confidence index fell to 89.4 in August from a downwardly revised 90.2 in July, its lowest reading since January, according to Reuters. ([Reuters on the August confidence report](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai)) The result missed the 90.2 reading economists had expected, and the decline was led by a 7.8 percent slide in the expectations index. ([Reuters’ account of the Conference Board data](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai))
Dana Peterson, chief economist at the Conference Board, said consumers were “more pessimistic about business conditions and the labor market over the next six months.” ([Reuters’ interview-based report](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai)) The Wall Street Journal reported that the expectations index, which tracks the short-term outlook for income, business and labor-market conditions, fell 5.8 points to 68.2\. ([The Wall Street Journal’s confidence report](https://www.wsj.com/economy/central-banking/u-s-consumer-sentiment-fell-in-august-conference-board-says-9453f12c?ref=consumernews.ai))
The split between today and tomorrow matters for spending. Bloomberg reported that the measure of present conditions rose to a four-month high even as expectations fell to their lowest level since January. ([Bloomberg’s confidence coverage](https://www.bloomberg.com/news/articles/2026-08-25/us-consumer-confidence-falls-on-outlook-for-business-and-jobs?ref=consumernews.ai)) That combination can keep stores busy in the near term while making shoppers less willing to commit to a car, a renovation or another large purchase whose payoff arrives months from now. ([The Wall Street Journal’s data recap](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-08-25-2026/card/consumer-confidence-home-prices-and-sales-econ-data-recap-7UUPx7KSqljIiJaJohCm?ref=consumernews.ai))
The survey also shows why confidence is a useful consumer signal even when it is not a spending report. Households are judging income prospects, job security and inflation together, so a deterioration in the outlook can change what they buy before it shows up in official retail data. ([Reuters’ explanation of the confidence decline](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai))
## Housing: New-home sales sink as mortgage costs sideline buyers
Sales of new U.S. single-family homes dropped 10.5 percent in July to a seasonally adjusted annual rate of 607,000, the lowest level since January, the Commerce Department’s Census Bureau said Tuesday. ([Reuters’ new-home sales report](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai)) Economists polled by Reuters had expected a 620,000 annualized pace, while Bloomberg’s survey produced the same median estimate. ([Bloomberg’s housing report](https://www.bloomberg.com/news/articles/2026-08-25/us-new-home-sales-decline-to-lowest-level-since-january?ref=consumernews.ai))
The median price of a new home fell to $393,800 in July, the lowest in four years and 0.9 percent below the year-earlier level. ([Reuters on prices and sales](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai)) Builders are responding with lower prices and incentives, but the data suggest those concessions are not yet enough to overcome borrowing costs. ([Bloomberg’s account of builder incentives](https://www.bloomberg.com/news/articles/2026-08-25/us-new-home-sales-decline-to-lowest-level-since-january?ref=consumernews.ai))
The housing report carried a second consumer warning: only 5.2 percent of Americans said they intended to buy a house in the next six months, down from 6.5 percent in July and the largest decline in more than five years. ([Reuters’ report on home-buying intentions](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai)) That does not mean every would-be buyer has permanently left the market, but it shows how quickly a high monthly payment can turn a housing search into a waiting game. ([Reuters’ housing analysis](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai))
“The housing market isn’t headed for a downturn, but rising mortgage rates and weaker growth in real disposable income due to elevated inflation will keep any rebound out of sight,” said Matthew Martin, senior U.S. economist at Oxford Economics. ([Reuters’ quote from Martin](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai)) The Wall Street Journal’s data recap put the June sales pace at 678,000, underscoring the size of the month-to-month pullback. ([The Wall Street Journal’s housing recap](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-08-25-2026/card/consumer-confidence-home-prices-and-sales-econ-data-recap-7UUPx7KSqljIiJaJohCm?ref=consumernews.ai))
For buyers, a lower sticker price does not necessarily mean a lower monthly burden. Rates, insurance, taxes and maintenance all sit alongside the sale price, and the confidence report suggests households are increasingly cautious about taking on a long-term obligation while job and inflation expectations are deteriorating. ([Reuters’ combined housing and confidence report](https://www.reuters.com/world/us/new-us-single-family-home-sales-slide-july-2026-08-25/?ref=consumernews.ai))
## Energy: Diesel’s surge moves through farms and freight
Diesel has become the sharper consumer energy problem because it powers trucks, farm equipment and other heavy machinery that move goods through the economy. The average U.S. diesel price reached $5.62 a gallon Wednesday, up 53 percent from the same period last year, according to AAA data cited by The New York Times. ([The New York Times’ diesel report](https://www.nytimes.com/2026/08/26/business/energy-environment/soaring-diesel-prices-are-helping-oil-companies-and-hurting-consumers.html?ref=consumernews.ai))
Randy Madden, who farms 3,000 acres in Iowa, told The New York Times that his fuel bill for the harvest season could exceed $40,000, nearly twice his usual late-summer-through-year-end cost. ([The New York Times’ account of Madden’s farm](https://www.nytimes.com/2026/08/26/business/energy-environment/soaring-diesel-prices-are-helping-oil-companies-and-hurting-consumers.html?ref=consumernews.ai)) The increase arrives at the moment farmers need fuel for harvesting, while trucking companies face the same cost before the holiday shipping season. ([CNBC’s report on diesel supply](https://www.cnbc.com/2026/08/19/diesel-price-california-ukraine-russia-iran-strait-hormuz.html?ref=consumernews.ai))
The disruption is not simply a crude-oil story. Reuters reported that the U.S. diesel crack — the margin between diesel futures and West Texas Intermediate crude — reached an all-time high of $102.20 a barrel on Aug. 17 as war-related supply disruptions collided with peak agricultural consumption. ([Reuters’ report on the diesel crack](https://www.reuters.com/business/energy/us-diesel-crack-surpasses-100-barrel-first-time-supply-disruptions-2026-08-17/?ref=consumernews.ai)) CNBC reported that diesel in California reached $7 a gallon, up about 30 cents from a month earlier and $1.89 from a year earlier, as attacks on Russian refineries and the disruption in the Strait of Hormuz squeezed global supplies. ([CNBC’s California diesel report](https://www.cnbc.com/2026/08/19/diesel-price-california-ukraine-russia-iran-strait-hormuz.html?ref=consumernews.ai))
Refiners are benefiting from the shortage even as users pay more. CNBC reported that the margin to turn crude into diesel had surged to about $100 a barrel, while Reuters said the immediate hit is falling on farmers that need the fuel for tractors, harvesters and other equipment. ([CNBC’s explanation of refining margins](https://www.cnbc.com/2026/08/19/diesel-price-california-ukraine-russia-iran-strait-hormuz.html?ref=consumernews.ai)) ([Reuters’ farm-cost analysis](https://www.reuters.com/business/energy/us-diesel-crack-surpasses-100-barrel-first-time-supply-disruptions-2026-08-17/?ref=consumernews.ai))
The consumer transmission line is long but familiar: higher fuel costs raise the cost of planting and harvesting, hauling and delivery, and eventually the price of food and other goods. ([The New York Times’ analysis of diesel’s economic effects](https://www.nytimes.com/2026/08/26/business/energy-environment/soaring-diesel-prices-are-helping-oil-companies-and-hurting-consumers.html?ref=consumernews.ai))
## Health care: Employers weigh coverage cuts as GLP-1 costs rise
The next consumer squeeze may arrive through an employee benefits plan rather than a cash register. About 14 percent of U.S. employers have already dropped or plan to drop GLP-1 weight-loss drugs in 2027, according to a Business Group on Health survey reported by Reuters. ([Reuters’ report on GLP-1 coverage](https://www.reuters.com/legal/litigation/more-us-employers-drop-weight-loss-drugs-2027-healthcare-costs-increase-2026-08-25/?ref=consumernews.ai))
The survey points to a broader cost problem. Employer health care costs are expected to rise 9.2 percent in 2027 if companies do not change how they manage them, up from 8.5 percent in 2026, while pharmacy costs already account for 25 percent of employer health spending and are expected to rise 12 percent next year. ([Reuters’ coverage of the Business Group on Health survey](https://www.reuters.com/legal/litigation/more-us-employers-drop-weight-loss-drugs-2027-healthcare-costs-increase-2026-08-25/?ref=consumernews.ai))
Coverage has already narrowed: the share of employers covering GLP-1 drugs for weight loss fell from 72 percent in 2025 to 60 percent in 2026, Reuters reported. ([Reuters on the change in employer coverage](https://www.reuters.com/legal/litigation/more-us-employers-drop-weight-loss-drugs-2027-healthcare-costs-increase-2026-08-25/?ref=consumernews.ai)) Two-thirds of employers surveyed said they had seen utilization rise, creating a direct tension between a treatment employees want and a benefit budget employers must control. ([Reuters’ account of utilization and costs](https://www.reuters.com/legal/litigation/more-us-employers-drop-weight-loss-drugs-2027-healthcare-costs-increase-2026-08-25/?ref=consumernews.ai))
The list prices help explain the tension. Reuters reported monthly list prices of $499 for Eli Lilly’s Zepbound and $1,349.02 for Novo Nordisk’s Wegovy, before considering plan negotiations or a patient’s out-of-pocket share. ([Reuters’ price figures](https://www.reuters.com/legal/litigation/more-us-employers-drop-weight-loss-drugs-2027-healthcare-costs-increase-2026-08-25/?ref=consumernews.ai)) A CNBC report said employers may pay a net $569 to $664 a month per employee after discounts, citing estimates from the Institute for Clinical and Economic Review. ([CNBC’s analysis of GLP-1 insurance costs](https://www.cnbc.com/2026/06/26/glp1-weight-loss-drug-pills-insurance-plan-coverage.html?ref=consumernews.ai))
The result could be a two-track market: some patients gain access through lower-cost public programs or cash offerings, while workers whose plans retreat face a higher bill, a different drug or no coverage. ([Bloomberg’s report on insurers trimming obesity-drug benefits](https://www.bloomberg.com/news/articles/2026-07-30/employers-are-trimming-obesity-drug-benefits-for-workers-cigna-says?ref=consumernews.ai)) For families, the choice is not only medical; it is also a question of whether a monthly treatment can fit alongside rent, groceries, fuel and debt payments.
## The bigger picture
The five themes reinforce one another. Tariffs threaten the price and availability of appliances, food, clothing and components; diesel raises the cost of producing and moving those goods; weaker confidence makes consumers more cautious; high mortgage costs delay the largest purchase most households make; and rising health benefits costs can shift more expenses onto workers. ([The New York Times’ analysis of the trade war](https://www.nytimes.com/2026/08/22/business/economy-trade-war-us-canada.html?ref=consumernews.ai)) ([The New York Times’ diesel report](https://www.nytimes.com/2026/08/26/business/energy-environment/soaring-diesel-prices-are-helping-oil-companies-and-hurting-consumers.html?ref=consumernews.ai))
None of the data says Americans have stopped spending. The more precise message is that households and businesses are repricing risk: waiting on a home, questioning a benefit, watching the fuel gauge, comparing products and bracing for the next policy announcement. The economy can remain active while that caution steadily narrows the choices available to consumers. ([Reuters’ confidence report](https://www.reuters.com/business/us-consumer-confidence-falls-august-conference-board-says-2026-08-25/?ref=consumernews.ai)) — 30 —
### Corporations shudder as jury verdicts fly past $10 million
URL: https://www.consumernews.ai/corporations-shudder-as-jury-verdicts-fly-past-10-million/
Last updated: 2026-08-25T20:57:44.000Z
- **Nearly 200 corporate jury verdicts of $10 million or more were recorded in 2025, up 40.7% from the previous year and the highest number tracked by research firm Marathon Strategies since 2009.**
- **Forty awards exceeded $100 million and four topped $1 billion; product-liability cases alone generated $12 billion in large verdicts.**
- **The researchers point to something beyond increasingly serious lawsuits: declining public trust in corporations, particularly among younger jurors, may be making juries more willing to punish companies they believe behaved irresponsibly.**
It's not a good time to be a big corporation in America. Juries don't like you. And they've been demonstrating that by handing out a stunning number of verdicts that exceed $10 million.
Nearly 200 lawsuits against corporate defendants produced awards of at least $10 million during 2025, according to a [new report](https://marathonstrategies.com/report/corporate-verdicts-go-thermonuclear-2025-edition/?ref=consumernews.ai) from strategic communications and research firm [Marathon Strategies](https://marathonstrategies.com/?ref=consumernews.ai). That's a 40.7% increase from 2024 and the highest annual number the firm has identified since it began tracking such cases in 2009\.
The litigation and insurance industries commonly call awards of $10 million or more "nuclear verdicts." And corporate executives are looking for shelter.
In its survey of 1,000 business leaders, Sentry’s [2025 C-Suite Stress Index](https://assets.ctfassets.net/xgr7yhvqn20n/6hyHGysuYRrJo7ZaDOTslw/b8de9bf98d47a344fcb518ae7af97a31/2025%5FC-Suite%5FStress%5FIndex%5F-%5FReport.pdf?ref=consumernews.ai) found that:
- For the vast majority (82%), a multimillion-dollar verdict would likely put them out of business.
- Nearly three-quarters (72%) of executives say increased litigation and multimillion-dollar-verdicts are a significant problem in their industry.
- Almost a quarter (24%) say recent increases in nuclear verdicts are a “massive” problem for companies in their industry.
Looking for an example? How about the [$567 million verdict](https://www.consumernews.ai/meta-ordered-to-pay-567-million-and-change-facebook-and-instagram-to-protect-children/) a New Mexico jury returned against Meta in a case that argued the company's social media products harmed children.
### Corporate mistrust enters the jury box
Marathon identifies several forces contributing to the trend, including social pessimism, weakening tort-reform protections and the public becoming accustomed to hearing enormous dollar figures.
But the report also points to growing mistrust of big corporations. And it points to the growing number of Millennials and other younger jurors. They tend to be more sympathetic to plaintiffs – the people who have been injured – and also less trustful of what corporate executives and lawyers say.
That's important because jurors are often asked to consider corporate behavior as they recommend a verdict and, often, an award. Did executives know about a danger? Did they ignore warnings? Did they conceal information? Did they put profits ahead of safety?
When jurors conclude the answer is yes, increasingly they appear willing to send a very expensive message.
## Product liability leads the way
For consumers, the most significant category may be product liability.
Twenty-nine product-liability cases generated verdicts of $10 million or more last year, totaling approximately $12 billion — nearly half the dollar value of all nuclear verdicts identified in the report.
Large verdicts also appeared in trade-secret and intellectual-property disputes, workplace-negligence cases and numerous other types of litigation.
Not surprisingly, some industries are more likely to get hit hard, most notably pharmaceuticals, automakers, beverage companies, banks, hotels and restaurants, agricultural-chemical manufacturers and oil and gas companies.
Insurance companies were defendants in five nuclear-verdict cases totaling $390 million.
Researchers also see potential new sources of large verdicts emerging, including litigation involving [PFAS "forever chemicals](https://www.consumernews.ai/pfas-research-roundup-what-studies/)," artificial intelligence, deepfakes and climate-related claims.
### A post-pandemic phenomenon
Like many other phenomena, you can perhaps blame the rise in verdictmaxxing to the pandemic. Marathon's previous analysis found that 135 corporate cases produced verdicts of $10 million or more in 2024, up 52% from 2023\. That report found that the number of nuclear verdicts had increased **309% since 2020**, when pandemic-related court closures temporarily suppressed litigation.
There is an important wrinkle in the latest numbers, however.
While the number of very large verdicts rose sharply in 2025, their combined value actually declined from the unusually high $31.3 billion recorded in 2024 to $25.6 billion last year, the Marathon Strategies [report](https://marathonstrategies.com/report/corporate-verdicts-go-thermonuclear-2025-edition/?ref=consumernews.ai) found.
In other words, the story isn't simply that individual awards are getting bigger. Very large awards are becoming more common and appearing in more industries.
## Are juries angry — or are the cases worse?
What's the reason for the nuclear verdicts? Insurance companies and corporate interests blame a dysfunctional court system and, of course, the lawyers who specialize in personal injury and product liability. Their solution: limit damages and make it harder for citizens to have their day in court.
With Republicans in office, some of those complaints have been heard. Eight states – Arkansas, Georgia, Kansas, Louisiana, Missouri, Montana, Oklahoma and South Carolina – enacted so-called "tort reforms" in 2025, according to Marathon.
But consumer advocates and plaintiffs' attorneys offer a very different interpretation.
Large verdicts can also result from evidence of serious corporate misconduct, catastrophic injuries or attempts to conceal known dangers. Punitive damages are specifically intended not merely to compensate a victim but to punish especially egregious behavior and discourage its repetition.
That makes it risky to treat every $100 million verdict as evidence that the legal system has gone haywire.
Sometimes the jury may instead be saying that **a** very large corporation requires a very large penalty before the punishment means anything.
Tort reform won't do much to solve the trust problem and, if consumers notice, it may make things worse.
## Consumers ultimately pay — but that's only half the story
Businesses and insurers frequently argue that large verdicts eventually filter down to consumers through higher insurance premiums, higher prices and reduced availability of products and services.
There's truth to that. Liability costs are business costs, and businesses ultimately recover many of their costs from customers. Insurers facing larger claims may also seek higher premiums.
But plaintiff litigators and many consumers say that if corporations want to avoid big damage awards, they should cause less damage – invest more in product safety, disclose risks earlier, treat customers more fairly and respond faster when something goes wrong.
### AI could provide the next test
The report's identification of artificial intelligence and deepfakes as emerging litigation risks is worth watching.
Courts are only beginning to confront questions involving autonomous systems, AI-generated defamation, algorithmic discrimination and AI products that cause financial or physical harm.
Those cases could produce precisely the ingredients associated with nuclear verdicts: enormous companies, unfamiliar technology, potentially large numbers of affected consumers and internal corporate decisions about risks that may later become evidence before a jury.
The central question will be familiar even if the technology isn't:
> **What did the company know, when did it know it, and what did it do about it?**
That makes the rise of nuclear verdicts more than an insurance-industry story.
It may also be an early indication that juries increasingly see themselves as one of the remaining institutions capable of holding powerful corporations accountable.
And when jurors decide that a company deserves punishment, they're increasingly willing to add a lot of zeros.
### National Safety Recall - Aug. 25
URL: https://www.consumernews.ai/national-safety-recall-aug-25/
Last updated: 2026-08-25T20:06:06.000Z
### Donutful cake donuts — undeclared milk, allergic reaction reported
**The Better Bakehouse Snack Company is recalling certain Donutful Chocolate Dipped Vanilla Cake Donuts** because they may contain milk that is not declared on the label. For consumers with a milk allergy or severe sensitivity, eating the product could cause a serious or potentially life-threatening reaction. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/better-bakehouse-snack-company-recalling-certain-lots-donutful-chocolate-dipped-vanilla-cake-donuts?utm%5Fsource=chatgpt.com))
The recalled product is:
- **Donutful Chocolate Dipped Vanilla Cake Donuts**
- 10 mini donuts, 7.05-ounce carton containing five individual pouches
- UPC **3 50041 39210 3**
- Lot **26078**
- Best If Used By **September 15, 2026**
The donuts were distributed to **retailers nationwide and through Amazon.com**. The company initiated the recall after **one allergic reaction was reported**; FDA says the person has recovered. Consumers can discard the affected donuts or return them for a refund. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/better-bakehouse-snack-company-recalling-certain-lots-donutful-chocolate-dipped-vanilla-cake-donuts?utm%5Fsource=chatgpt.com))
The product is nationally distributed, still well within its shelf life and has already been associated with a reaction.
### Also new: Momchipz veggie chips — undeclared wheat
FDA also newly posted a recall of **Momchipz Veggie Chips Broccoli Florets & Cauliflower** because they may contain undeclared wheat. People with severe wheat allergies could suffer a serious reaction. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/exotique-foods-inc-recalls-momchipz-veggie-chips-broccoli-florets-cauliflower-due-undeclared-wheat?utm%5Fsource=chatgpt.com))
The affected 3-ounce bags carry UPC **6 28634 44216 6** and a best-before date of **August 31, 2026**. Distribution was much smaller — FDA says the product went to **49 U.S. customers through Amazon between March and June** — and no illnesses have been reported.
### Other agency checks
**CPSC:** We found no new August 24 or August 25 national product recall. The newest significant CPSC batch remains the August 20 group previously covered.
**NHTSA:** We found no new August 25 urgent national recall alert such as a do-not-drive or park-outside warning. NHTSA’s current recall-search system remains the authoritative source for routine manufacturer recalls, but nothing new surfaced today that warrants a national consumer alert. ([NHTSA](https://www.nhtsa.gov/search-safety-issues?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new August 24 or August 25 meat, poultry or processed-egg recall or public-health alert.
**FDA:** Its current recall list shows the Donutful and Momchipz allergen recalls alongside yesterday’s Vitruvias thyroid-tablet recall. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
### Consumers face an economic chain reaction
URL: https://www.consumernews.ai/consumers-face-an-economic-chain-reaction/
Last updated: 2026-08-25T13:10:39.000Z
The consumer story Tuesday is less a single shock than a chain reaction: shoppers are becoming selective, a new U.S.-Canada tariff fight threatens to raise the price of cars and imported goods, high fuel costs are reshaping vehicle choices, and safety alerts are widening from a multistate food outbreak to millions of vehicles. Together, the five themes show why household budgets can feel tighter even when headline spending has not collapsed.
## Retail and spending: The selective shopper is still spending
American households are still spending, but the pattern is increasingly defensive. A Reuters review of recent retailer results found shoppers directing money toward essentials, postponing large projects and making room for smaller treats rather than abandoning consumption altogether. Lale Akoner, global market strategist at eToro, described the shift this way: “households are becoming much more deliberate about where their money goes.” ([Reuters’ retail report](https://www.reuters.com/business/retail-consumer/us-shoppers-tighten-budgets-still-find-room-treats-splurges-2026-08-21/?ref=consumernews.ai))
The split is clearest by income. Affluent consumers continued to buy premium apparel and beauty products, while lower-income shoppers leaned on value meals and discount clothing, according to Reuters. Retailers are therefore trying to serve both ends of the market at once — cutting prices on staples while keeping higher-end merchandise available for customers who can still afford it. ([Reuters’ account of shopper trade-offs](https://www.reuters.com/business/retail-consumer/us-shoppers-tighten-budgets-still-find-room-treats-splurges-2026-08-21/?ref=consumernews.ai))
Walmart’s results put numbers on the caution. The retailer said U.S. comparable sales rose 2.6 percent in its latest quarter, the weakest gain in more than six years, and its average spending per transaction increased only 1.1 percent, down from a 3.1 percent increase a year earlier. Store-traffic growth slowed to 1.5 percent from 3 percent in the first quarter. ([Reuters’ Walmart earnings report](https://www.reuters.com/business/walmart-reports-rare-comparable-sales-miss-consumers-pare-back-spending-2026-08-20/?ref=consumernews.ai))
Walmart is trying to buy back that traffic with price. It said it had cut prices on 11,000 products, with the effort helped by $2.9 billion in tariff refunds, while its U.S. e-commerce sales rose 24 percent and Walmart Connect advertising revenue jumped 43 percent. The company raised its fiscal 2027 net-sales growth forecast to a range of 4 percent to 5 percent, but investors still pushed its shares down about 8 percent after the report. ([Reuters on Walmart’s price war](https://www.reuters.com/business/walmart-reports-rare-comparable-sales-miss-consumers-pare-back-spending-2026-08-20/?ref=consumernews.ai))
The broader July retail report was weaker: U.S. retail sales fell 0.6 percent, the first decline in nine months, according to the Reuters review. That combination — stable traffic at some stores, smaller baskets and a national sales decline — suggests a consumer who is still participating but has less room for error. ([Reuters’ shopper analysis](https://www.reuters.com/business/retail-consumer/us-shoppers-tighten-budgets-still-find-room-treats-splurges-2026-08-21/?ref=consumernews.ai))
## Tariffs and trade: A Canada fight turns into a price risk
The most immediate policy risk is the escalation with Canada. President Donald Trump said the United States would raise tariffs on cars, trucks and automotive parts from Canada to 50 percent on Jan. 1, 2027, up from a current top-line rate of 25 percent. The threat followed the collapse of negotiations over a broader trade deal. ([Reuters’ tariff report](https://www.reuters.com/business/autos-transportation/trump-says-he-will-raise-tariffs-all-cars-trucks-50-amid-canada-trade-spat-2026-08-24/?ref=consumernews.ai))
The threatened increase would land on one of the most integrated supply chains in North America. Flavio Volpe, president of Canada’s Automotive Parts Manufacturers’ Association, said: “A threatened U.S. tariff on Canadian auto parts will be paid by (the) US auto assembly. Without those specific parts, auto assembly throughout the U.S. would halt.” ([Reuters on the auto-supply-chain exposure](https://www.reuters.com/business/autos-transportation/trump-says-he-will-raise-tariffs-all-cars-trucks-50-amid-canada-trade-spat-2026-08-24/?ref=consumernews.ai))
The tariff threat is not limited to showrooms. The United States imposed 50 percent duties Saturday on about $20 billion of Canadian goods, including wine, cement and hockey sticks, after the countries failed to reach a deal, CNBC reported. Those goods represent just over 5 percent of Canada’s exports to the United States, but the duties add to existing levies on steel, lumber and autos. ([CNBC’s report on the failed U.S.-Canada deal](https://www.cnbc.com/2026/08/21/us-canada-fail-to-reach-a-tariff-deal-deepen-trade-war.html?ref=consumernews.ai))
Canada says it will retaliate beginning Sept. 8\. The Wall Street Journal’s guide to the new levies said Ottawa’s response raises the risk of a wider trade war, which could spread beyond the initial list of products as each side searches for leverage. ([The Wall Street Journal’s tariff guide](https://www.wsj.com/economy/trade/whats-getting-hit-with-the-new-u-s-canada-tariffs-4cb8141c?ref=consumernews.ai))
For consumers, the transmission mechanism is straightforward even if the final price is not. Parts can cross borders several times before a vehicle is assembled, and CNBC noted that the tariff agenda creates uncertainty for automakers whose supply chains were built around free trade. Vehicles produced in Canada represented 5.4 percent, or 861,000, of U.S. vehicle sales last year, according to GlobalData figures cited by CNBC. ([CNBC on the consumer and supply-chain implications](https://www.cnbc.com/2026/08/24/trump-canada-auto-tariffs-trade-war.html?ref=consumernews.ai))
## Autos and affordability: EVs gain where fuel pain is highest
The auto market is dividing along a different line: high fuel costs are making electric vehicles more attractive in some countries, while reduced incentives and higher upfront prices are making them harder to buy in others. Reuters reported that electric-vehicle registrations rose 13 percent year over year in July across 16 European markets, where EVs represented 25.7 percent of new-car sales. ([Reuters’ European EV report](https://www.reuters.com/business/autos-transportation/high-oil-prices-subsidies-affordable-models-rev-up-european-ev-sales-2026-08-24/?ref=consumernews.ai))
France provided the sharpest example. EVs accounted for a record 35 percent of new registrations there in July, compared with 17 percent a year earlier, as a “social leasing” subsidy program for lower-income buyers took effect. Renault’s U.K. managing director, Adam Wood, told Reuters: “People are looking for ways to protect themselves from volatility in fuel prices and EVs are a great way to do that.” ([Reuters on fuel volatility and EV demand](https://www.reuters.com/business/autos-transportation/high-oil-prices-subsidies-affordable-models-rev-up-european-ev-sales-2026-08-24/?ref=consumernews.ai))
The global numbers show both momentum and limits. The New York Times, citing a report from the International Energy Agency, said battery-powered cars and plug-in hybrids are expected to make up 29 percent of global new-car purchases this year, compared with 4 percent in 2020\. Yet EV purchases declined this year in both China and the United States, the world’s two largest auto markets. ([The New York Times’ global EV analysis](https://www.nytimes.com/interactive/2026/08/18/climate/ev-car-sales-oil-prices.html?ref=consumernews.ai))
Price remains the barrier. The average price paid for a new EV reached $56,126 in July, up 1.6 percent from July 2025, while incentives fell to $6,626, down 9.1 percent from June and 24.3 percent from a year earlier, according to Kelley Blue Book figures reported by The Wall Street Journal. ([The Wall Street Journal’s EV pricing report](https://www.wsj.com/business/auto-transport-roundup-market-talk-1303721d?ref=consumernews.ai))
That leaves consumers balancing operating savings against the purchase price. One Renault buyer told Reuters that charging at home cost a little more than £1 compared with £60 for her previous combustion-engine car, but the Times noted that the higher upfront cost remains the biggest consideration for many buyers. ([Reuters’ interview with an EV buyer](https://www.reuters.com/business/autos-transportation/high-oil-prices-subsidies-affordable-models-rev-up-european-ev-sales-2026-08-24/?ref=consumernews.ai)) ([The New York Times on EV economics](https://www.nytimes.com/interactive/2026/08/18/climate/ev-car-sales-oil-prices.html?ref=consumernews.ai))
## Energy and gasoline: A cheaper crude barrel may not mean cheaper fuel
Fuel prices remain a household tax even as crude oil moves lower from its wartime peak. Reuters reported that Brent crude was around $90 a barrel on Aug. 20, roughly 25 percent above its level when the conflict began but well below the $118 peak. U.S. gasoline, however, had climbed about 60 percent since the war began, reflecting damage to refining capacity and constrained fuel exports. ([Reuters’ energy-crisis analysis](https://www.reuters.com/commentary/reuters-open-interest/iran-war-energy-crisis-is-just-getting-started-2026-08-20/?ref=consumernews.ai))
The supply problem is concentrated in refined products. More than 20 percent of the Middle East’s 9.6 million barrels-per-day refining capacity was knocked out, according to the International Energy Agency figures cited by Reuters, while Russian refining throughput fell nearly 30 percent to below 4 million barrels per day after attacks on energy infrastructure. U.S. diesel inventories are at their lowest seasonal level in three decades, and gasoline stocks are at their weakest seasonal level since 2012\. ([Reuters on refining capacity and inventories](https://www.reuters.com/commentary/reuters-open-interest/iran-war-energy-crisis-is-just-getting-started-2026-08-20/?ref=consumernews.ai))
The mismatch matters because demand has not fallen enough to close the hole. Global refinery runs in the second quarter were 5.1 million barrels per day below a year earlier, while demand for refined products fell 4 million barrels per day, leaving a shortfall of more than 1 million barrels per day, Reuters reported. ([Reuters’ refined-products outlook](https://www.reuters.com/commentary/reuters-open-interest/iran-war-energy-crisis-is-just-getting-started-2026-08-20/?ref=consumernews.ai))
The administration is trying a near-term supply fix. The Environmental Protection Agency said it would allow higher-volatility E10 gasoline beginning Sept. 1, about two weeks earlier than the normal end of the summer-blend season, and waived additional state-level controls in Texas, Arizona and California. Regular gasoline averaged $4.10 a gallon on Aug. 20, up from about $3.13 a year earlier, according to AAA data cited by Reuters. ([Reuters on the EPA gasoline waiver](https://www.reuters.com/business/energy/us-end-summer-blend-gasoline-requirement-early-attempt-lower-prices-2026-08-20/?ref=consumernews.ai))
Analysts disagree about the size of the relief. Rapid Energy said the waiver could offer immediate pump-price help, while Gulf Oil chief energy adviser Tom Kloza said the impact would be limited unless New York and New Jersey also waived state controls. ([Reuters on the competing gasoline forecasts](https://www.reuters.com/business/energy/us-end-summer-blend-gasoline-requirement-early-attempt-lower-prices-2026-08-20/?ref=consumernews.ai))
## Recalls and safety: Millions of drivers and shoppers get new warnings
Safety alerts add a more personal edge to the consumer briefing. In the United States, health officials warned consumers not to eat certain alfalfa sprouts sold under the Calco and Everything Sprouts brands after at least 55 people in 15 states became ill with E. coli or salmonella, NBC News reported. Four people were hospitalized, two patients contracted both germs, and no deaths had been reported. ([NBC News on the alfalfa-sprout outbreak](https://www.nbcnews.com/health/health-news/sprouts-e-coli-salmonella-illnesses-minnesota-wisconsin-rcna593710?ref=consumernews.ai))
The recalled sprouts were packaged in 5-ounce containers with lids and had been delivered since May 27, according to NBC News. Minnesota reported 23 illnesses between July 8 and Aug. 8, while Wisconsin investigators identified another 18 cases tied to alfalfa sprouts. The Centers for Disease Control and Prevention urged consumers to throw away or return affected products and wash surfaces that may have touched them. ([NBC News’ recall guidance](https://www.nbcnews.com/health/health-news/sprouts-e-coli-salmonella-illnesses-minnesota-wisconsin-rcna593710?ref=consumernews.ai))
The auto side is larger in scale. Tesla and eight other automakers will recall about 4.3 million vehicles in China over concerns that emergency door handles could be difficult to identify or operate after a crash, according to Reuters. Tesla’s portion covers 2.98 million imported and China-made Model 3, Model Y, Model S and Model X vehicles beginning Sept. 25\. ([Reuters’ China vehicle-recall report](https://www.reuters.com/world/tesla-fix-software-millions-china-made-imported-evs-china-2026-08-21/?ref=consumernews.ai))
The remedies range from warning labels to over-the-air software updates. China also said it will ban concealed door handles from 2027, a move Reuters described as the first national phaseout of a design popularized by Tesla and adopted by other Chinese EV makers. ([Reuters on the recall remedies and China’s new rule](https://www.reuters.com/world/tesla-fix-software-millions-china-made-imported-evs-china-2026-08-21/?ref=consumernews.ai))
U.S. owners face a separate question involving General Motors. The National Highway Traffic Safety Administration opened an investigation into nearly 1 million GM pickup trucks and SUVs equipped with a V-8 engine that was already subject to a recall, The Wall Street Journal reported. The agency had received nearly 500 complaints alleging engine failure after recall repairs, including nearly two dozen cases requiring complete engine replacements. ([The Wall Street Journal on the GM safety probe](https://www.wsj.com/business/autos/gm-faces-safety-probe-over-engine-failure-concerns-in-nearly-one-million-vehicles-e6b88d63?ref=consumernews.ai))
## The bigger picture
These stories connect through the same household constraint: consumers are being asked to absorb costs that arrive through different channels and at different speeds. A tariff can raise the cost of an imported part months before a buyer sees it in a sticker price; fuel can consume cash immediately; a smaller retail basket can signal that families are already rationing choices; and a recall can turn an ordinary purchase into an urgent safety check. The common response is selectivity — spend where the need is clear, delay where it is not, and demand a visible bargain before committing. ([Reuters’ analysis of consumer trade-offs](https://www.reuters.com/business/retail-consumer/us-shoppers-tighten-budgets-still-find-room-treats-splurges-2026-08-21/?ref=consumernews.ai))
The result is an economy that can look resilient in aggregate while feeling fragile at the checkout, the gas pump, the dealership and the kitchen table. The next test will be whether tariffs broaden, fuel shortages ease, incentives revive vehicle demand and retailers can turn discounts into lasting purchasing power rather than one-time relief. — 30 —
### Zillow paid Redfin $100 million to stop competing. Now regulators are making Redfin come back
URL: https://www.consumernews.ai/zillow-paid-redfin-100-million-to-stop-competing-now-regulators-are-making-redfin-come-back/
Last updated: 2026-08-24T20:19:02.000Z
#
- **Zillow paid Redfin $100 million in a 2025 deal under which Redfin shut down its multifamily rental-advertising business and agreed to stay out of that market for as long as nine years.**
- **The FTC and five states sued, alleging the arrangement eliminated an important competitor and contributed to higher advertising prices.**
- **Under a proposed settlement announced Monday, Redfin must rebuild its rental-advertising operation within six months and spend millions of dollars competing with Zillow again.**
Renters browsing Zillow, Redfin, Rent.com or ApartmentGuide.com may appear to have plenty of places to hunt for an apartment. But federal regulators say there was considerably less competition behind those websites than consumers might have realized.
The Federal Trade Commission and five states [announced Monday](https://www.ftc.gov/news-events/news/press-releases/2026/08/ftc-secures-order-resolving-antitrust-concerns-z?ref=consumernews.ai) that Zillow and Redfin have agreed to unwind key parts of a $100 million arrangement that regulators alleged essentially paid Redfin to stop competing with Zillow in the business of advertising apartments.
Under the proposed court order, Redfin must reenter the rental internet-listing-services market within six months, rebuild the technology and sales organization needed to compete, and make substantial investments in the business for years to come.
The settlement arrives just as the case was scheduled to go to trial in federal court in Virginia.
"This kind of payment to a competitor to exit a market and stop competing violates the antitrust laws," Daniel Guarnera, director of the FTC's Bureau of Competition, said in announcing the agreement.
The proposed order still must be approved and signed by the federal judge overseeing the case.
## The $100 million deal
The dispute dates to February 2025.
At the time, Zillow and Redfin operated two of the country's largest networks of rental-listing websites. Zillow's properties included Zillow Rentals, Trulia and HotPads, while Redfin owned Rent.com and ApartmentGuide.com.
According to the FTC, the companies had been competing for business from owners and managers of multifamily rental properties.
Then they struck a deal.
Zillow agreed to pay Redfin $100 million. Redfin agreed to terminate its advertising relationships with multifamily property managers, help transfer those customers to Zillow and shut down the remainder of its competing advertising business.
Redfin also agreed to display Zillow-supplied apartment listings across its websites and stay out of the multifamily rental-advertising market for as long as nine years, the [Federal Trade Commission](https://search.ftc.gov/news-events/news/press-releases/2026/08/ftc-secures-order-resolving-antitrust-concerns-zillow-redfin-agreement?utm%5Fsource=chatgpt.com) charged.
The FTC sued in September 2025\. Arizona, Connecticut, New York, Virginia and Washington subsequently brought a similar case, and the lawsuits were consolidated.
> Regulators characterized the arrangement as an agreement between competitors to eliminate one of them from the market rather than compete for customers.
Zillow disputed that characterization and argued that its partnership with Redfin made more rental listings available across more websites and strengthened competition against another major player, CoStar Group, [Reuters](https://www.reuters.com/legal/litigation/us-ftc-file-order-resolving-litigation-against-zillow-redfin-2026-08-24/?utm%5Fsource=chatgpt.com) reported.
## What happened to prices?
The most interesting number for consumers may be what allegedly happened after Redfin stopped competing.
An expert for the FTC and states estimated that Zillow customers subsequently paid an average of **14.5% more per listing**, [Reuters reported](https://www.reuters.com/legal/litigation/us-ftc-file-order-resolving-litigation-against-zillow-redfin-2026-08-24/?ref=consumernews.ai). Some property managers stopped purchasing online listings altogether.
Those advertising charges are paid by landlords and property managers rather than renters directly.
But advertising and marketing expenses are part of the cost of operating rental properties. In a competitive market, higher operating costs can eventually contribute to higher rents and fees, although there is no simple one-to-one relationship between listing prices and what a tenant ultimately pays.
There is another potential cost to renters: reduced competition can give listing platforms less incentive to improve search tools, listing quality, fraud prevention and other services.
New York Attorney General Letitia James [said](https://ag.ny.gov/press-release/2026/attorney-general-james-stops-illegal-scheme-eliminate-competition-between-zillow?ref=consumernews.ai) the arrangement threatened to produce "higher prices, lower-quality rental advertising, and fewer choices" for renters and property managers.
## Regulators aren't merely canceling the deal
What's unusual about the settlement is that regulators aren't simply ordering the companies to stop doing something.
They're requiring Redfin to become a competitor again. Within six months after the order becomes final, Redfin must restart its independent rental-advertising business.
That means rebuilding the technological infrastructure necessary for property managers to advertise listings across Redfin's rental sites.
Redfin must also hire a general manager, sales staff and customer-support employees and advertise the relaunched service. It has made multiyear commitments to remain in the market and invest millions of dollars in growing the operation. Failure to meet the deadlines could subject Redfin to monetary penalties.
The order would remain in effect for 10 years.
## Zillow has to help create its new competitor
The settlement contains another unusual provision: Zillow must help make it possible for Redfin to rebuild.
Zillow will have to provide employee information so Redfin can interview Zillow workers and must waive noncompete, anti-poaching or similar restrictions that could prevent employees from moving to Redfin.
Zillow also will be prohibited from interfering with Redfin's recruiting efforts.
Customers get an escape hatch as well.
For nine months after Redfin relaunches its advertising business, Zillow must allow certain property-listing customers locked into longer-term contracts to renegotiate those agreements without cost or penalty so they can consider switching to Redfin.
Zillow will be required to tell eligible customers about that option.
## Redfin won't completely sever ties with Zillow
The settlement doesn't eliminate the companies' relationship altogether. Redfin can continue carrying Zillow-supplied rental listings, and the companies say their syndication partnership can continue through at least 2030.
But Redfin will once again be allowed — and required — to solicit its own advertising customers and display their listings alongside Zillow's.
That distinction explains why the parties describe Monday's agreement somewhat differently.
The FTC says it has dismantled the anticompetitive portions of the deal and restored Redfin as an independent competitor.
Zillow emphasizes that its broader partnership with Redfin survives and has said the original arrangement benefited consumers by putting more rental listings before more people. Redfin similarly [described](https://www.inman.com/2026/08/24/zillow-redfin-ftc-antitrust-resolution/?ref=consumernews.ai) the settlement as allowing it to maintain the Zillow relationship while rebuilding its own standalone rentals business.
## Why renters should care about competition between listing sites
Apartment-search websites look free to renters, which can make antitrust battles over them seem remote.
They aren't.
The business model generally works because landlords and property managers pay to advertise apartments or obtain greater visibility for their listings.
When several large platforms compete for that business, property managers can shop among them. Platforms have incentives to lower prices, attract more renters, improve their technology and offer better services.
When competitors disappear, those pressures weaken.
That's why the FTC describes rental-listing services as part of the housing market rather than merely another corner of online advertising.
More than 30% of Americans rent their homes, according to Census data cited by Reuters. For many of them, Zillow, Redfin and similar services have effectively become the [front door to the rental market](https://valawyersweekly.com/2026/08/24/zillow-settles-ftc-claims-redfin-apartment-listings/?ref=consumernews.ai).
## What this means for consumers
Nothing changes immediately for someone searching for an apartment this week.
The more interesting changes should begin appearing over the next six months as Redfin rebuilds its independent rental business.
Renters may eventually see listings on Redfin's sites that aren't simply copies of Zillow listings. Property managers should regain another major company competing for their advertising dollars.
And that could ultimately matter to renters.
Competition doesn't guarantee lower rents, of course. Housing costs are driven primarily by supply, demand, financing costs, taxes and local market conditions.
But competition among the companies controlling how apartments are advertised can affect advertising costs, the number and quality of listings consumers see and how aggressively platforms innovate.
The Zillow-Redfin case is therefore a useful reminder of something that's easy to overlook in today's online economy:
> **A consumer can see several different websites and still be shopping in a market with very little competition.**
## The bigger picture: competition you can't see
The case also illustrates why ownership and business relationships behind consumer websites matter.
A renter could visit Zillow, Trulia, HotPads, Redfin, Rent.com and ApartmentGuide.com and reasonably assume six different websites were competing for their attention.
In reality, Zillow owns Zillow, Trulia and HotPads. Redfin operates Rent.com and ApartmentGuide.com in addition to its own site. And under the 2025 agreement challenged by regulators, Redfin's sites were displaying Zillow-supplied multifamily listings rather than competing independently for many of them.
The storefronts looked different.
Behind them, regulators alleged, competition had largely disappeared.
The proposed settlement is intended to put some of it back.
### National Safety Recall - Aug. 24
URL: https://www.consumernews.ai/national-safety-recall-aug-24/
Last updated: 2026-08-24T20:01:22.000Z
##
### Thyroid tablets recalled nationwide — possible superpotency
**Vitruvias Therapeutics is recalling one lot of Thyroid Tablets USP, 30 mg, because testing found the tablets may be superpotent.** FDA posted the recall on **August 24**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/vitruvias-therapeutics-inc-issues-nationwide-recall-one-lot-thyroid-tablets-usp-30-mg-due-potential?ref=consumernews.ai))
The affected product is:
- **Vitruvias Therapeutics Thyroid Tablets USP, 30 mg**
- NDC **69680-166-00**
- Lot **504950**
- Expiration **September 30, 2026**
The lot was distributed nationwide. About **1,955 units were sold**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/vitruvias-therapeutics-inc-issues-nationwide-recall-one-lot-thyroid-tablets-usp-30-mg-due-potential?ref=consumernews.ai))
Too much thyroid hormone can cause **rapid heart rate, abnormal heart rhythms, hypertension, chest pain, nervousness, muscle weakness, heat intolerance and weight loss**. FDA says older adults, pregnant women and infants may face particular risks. No adverse events linked to the recall had been reported.
Importantly, patients taking the recalled medication **should not simply stop taking it**. FDA says they should contact their health-care provider for guidance and, if necessary, a replacement prescription.
### Alfalfa-sprout outbreak update
FDA today formally updated its investigation of the **Everything Sprouts/Calco alfalfa-sprout recall** discussed yesterday. The agency confirms **55 illnesses in 15 states, including four hospitalizations**, involving multiple strains of Shiga toxin-producing *E. coli* and *Salmonella*. No deaths have been reported. ([U.S. Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/outbreak-investigation-shiga-toxin-producing-e-coli-salmonella-sprouts-august-2026?ref=consumernews.ai))
The recalled sprouts were distributed to grocery stores, wholesalers and restaurants in Minnesota and Wisconsin, although FDA says it is investigating whether they reached additional states. Consumers should not eat recalled products and should clean surfaces or containers that contacted them.
### Other agency checks
**CPSC:** We found no new August 24 consumer-product recall. Its latest major recalls remain the August 20 batch already covered.
**NHTSA:** We found no new urgent national vehicle-recall announcement today. NHTSA's press-release page has no recall-specific announcement newer than the previously covered actions. ([NHTSA](https://www.nhtsa.gov/press-releases?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new August 23 or August 24 meat, poultry or processed-egg recall. Its latest recalls remain the August 17 Indus Foods pickled goat/chicken and Asian America Trading fish-skin actions. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/indus-foods-llc-dba-gangothri-foods-recalls-ready-eat-pickled-goat-and-chicken?utm%5Fsource=chatgpt.com))
### Speeding has become 'normal' for many drivers, AAA study finds
URL: https://www.consumernews.ai/speeding-has-become-normal-for-many-drives-aaa-study-finds/
Last updated: 2026-08-24T16:21:27.000Z
#
- **Nearly half of U.S. drivers say keeping up with traffic can be safer than obeying the speed limit**
- **Three in 10 say practically nobody drives the speed limit anymore**
- **Yet speeding was involved in 29% of all U.S. traffic deaths in 2024**
Most motorists say speed limits are reasonable. Quite a few apparently just don't think they apply all that strictly.
A new [AAA Foundation for Traffic Safety study](https://newsroom.aaa.com/2026/08/new-research-finds-most-drivers-think-speeding-is-normal-putting-everyone-at-risk/?ref=consumernews.ai) finds that speeding has become normalized for many American drivers, with motorists routinely making exceptions for themselves even while acknowledging the dangers.
Three in 10 drivers agreed with the statement that “no one actually drives the speed limit,” while many considered driving 10 mph above the posted limit acceptable. Nearly half said keeping pace with surrounding traffic can be safer than obeying the posted limit.
That's a striking attitude considering what happens when things go wrong.
Speeding contributed to 11,288 traffic deaths in 2024 — 29% of all U.S. traffic fatalities — according to the National Highway Traffic Safety Administration. An estimated 316,757 people were injured in speeding-related crashes that year, [NHTSA](https://www.nhtsa.gov/campaign/speeding-catches-up-with-you?utm%5Fsource=chatgpt.com) said.
“Findings from this research show that some drivers in the United States view speeding as a normal part of driving,” said David Yang, president and executive director of the AAA Foundation.
“When people take cues from surrounding traffic instead of following posted speed limits, it creates a culture that makes crashes more difficult to prevent and roads less safe for everyone,” Yang said.
## Why drivers say they speed
The study, which included focus groups and a national survey of roughly 16,500 drivers age 16 and older, suggests motorists aren't always putting their foot down simply because they're late.
The three most common explanations were:
- Getting around slower drivers — **31%**
- Reaching the destination faster — **25%**
- Avoiding holding up traffic — **21%**
Another 19% essentially said speeding was simply how they normally drove, while 17% said the speed limit was set too low.
That distinction is important. Speeding may increasingly be less a conscious decision than a social norm: Drivers see other motorists speeding and begin treating the surrounding traffic flow, rather than the sign beside the road, as the “real” speed limit.
Seven in 10 drivers said they often or always see motorists traveling significantly above highway speed limits. Highway speeding was the most frequently observed risky driving behavior in the AAA research.
## What actually gets drivers to slow down?
Fear of a ticket apparently beats fear of a wreck.
When AAA asked motorists what would persuade them to slow down, the leading answers were:
- Avoiding a speeding ticket — **79%**
- Avoiding a crash — **72%**
- Bad weather — **60%**
Drivers also appear to believe there is an unofficial enforcement buffer above the posted limit. Separate reporting on the AAA findings noted that respondents generally didn't expect enforcement until a driver was traveling roughly 10 to 12 mph over the limit.
That can reinforce the idea that the posted number is more suggestion than rule.
## Drivers like speed controls — preferably for somebody else
The study also uncovered another familiar contradiction.
Drivers strongly supported increased police enforcement in places with a history or high risk of speed-related crashes. Roughly seven in 10 supported automated speed cameras in such locations.
They were also relatively receptive to Intelligent Speed Assistance, or ISA, technology that warns drivers when they exceed the speed limit.
Support dropped, however, as the measures became harder to ignore.
More than nine in 10 drivers believed speed humps are effective at slowing vehicles, yet fewer than half wanted them installed in their own neighborhoods.
Likewise, motorists were more receptive to ISA systems that simply issue warnings than to systems capable of automatically limiting vehicle speed. Support declined further if drivers couldn't override the technology.
In other words, many motorists favor something being done about speeding — provided they retain the option of speeding themselves.
## Why 10 mph matters
The danger isn't confined to people traveling at spectacularly reckless speeds.
Higher speeds increase stopping distance, reduce the time available to react to unexpected events and increase the force of a collision. NHTSA says speeding also [makes it harder to steer safely](https://www.nhtsa.gov/risky-driving/speeding?ref=consumernews.ai) around hazards and increases the severity of injuries when crashes occur.
That's why the familiar “I'm only going 10 over” rationale isn't as harmless as it may sound.
The problem becomes particularly acute when pedestrians, bicyclists or roadside obstacles are involved because even a relatively modest increase in vehicle speed leaves the driver less time to recognize a hazard, react and stop.
“Choosing the right speed isn't about how quickly you'll get there — or how fast everyone else is driving,” said Bill Van Tassel, manager of AAA's national driver training program.
“It's about choosing a pace that gives you the time and space to react when something unexpected happens.”
AAA recommends treating the posted limit as the maximum rather than a target and adjusting downward when visibility, weather, traction or traffic conditions require it.
And motorists who find themselves obeying the limit while surrounding traffic flies past shouldn't try to join the pack, AAA says. Stay to the right when appropriate, maintain a predictable speed and leave extra following distance.
The study's larger lesson may be harder to implement: When enough drivers break a rule, breaking the rule can begin to feel normal.
The crash physics don't change with public opinion.
## What an extra 10 mph really does
Driving 10 mph over the speed limit may not feel especially dangerous, but the physics change quickly as speed rises.
A faster vehicle travels farther before the driver can even begin braking. It also takes more distance to stop once the brakes are applied, and the force of a crash rises sharply with speed.
For example, at **30 mph**, a car travels about **44 feet every second**. At **40 mph**, it covers nearly **59 feet per second**.
That means a driver who takes 1.5 seconds to recognize a hazard and react will travel roughly:
- **66 feet at 30 mph**
- **88 feet at 40 mph**
That's an extra **22 feet before braking even begins** — roughly the length of a large SUV.
Braking distance then adds to the difference. Exact stopping distance varies with the vehicle, tires, brakes, pavement and weather, but it rises disproportionately as speed increases.
Crash energy rises even faster. A vehicle traveling 40 mph carries about **78% more kinetic energy** than the same vehicle traveling 30 mph.
That extra energy has to go somewhere in a crash — into the vehicle, another vehicle, a guardrail, a bicyclist or a pedestrian.
### Why it matters around pedestrians
Small changes in speed can be especially important when someone is walking or biking nearby.
At lower speeds, a driver has more time to see a person entering the roadway, react and stop. If a collision does occur, the lower impact speed also greatly improves the victim's chances of surviving.
That's why transportation safety experts increasingly emphasize reducing speeds on neighborhood streets, around schools and anywhere pedestrians and cyclists routinely mix with cars.
### The bottom line
“Only 10 mph over” isn't only about arriving a little sooner.
It means:
- less time to react;
- more distance needed to stop;
- less ability to avoid a sudden hazard; and
- substantially more energy released if a crash occurs.
The speedometer may show only a modest difference. The consequences may not be modest at all.
### Tariffs, fuel, food, retail, cars - all squeezing consumers today
URL: https://www.consumernews.ai/tariffs-fuel-food-retail-cars-all-squeezing-consumers-today/
Last updated: 2026-08-24T13:29:18.000Z
The consumer story this morning is a five-front squeeze: new U.S.-Canada tariffs threaten to reset prices and product choices; an energy shock is keeping gasoline and air travel expensive; grocery bills remain far above their pre-2020 path; retailers are finding that shoppers still spend but only when the value is clear; and the auto market is splitting between higher-income buyers and households confronting safety risks and unaffordable new vehicles.
The themes are different on the surface, but they all point to the same change in household behavior: Americans are still participating in the economy, yet they are making narrower, more deliberate choices about what to buy and what to postpone.
## Tariffs and trade: Canada turns a deadline into a price risk
The most immediate policy shock is the breakdown in U.S.-Canada trade talks. The United States imposed 50 percent tariffs on some Canadian goods Saturday after negotiations collapsed, while Canadian Prime Minister Mark Carney said Ottawa would respond dollar for dollar with retaliatory duties on U.S. goods beginning Sept. 8, according to [CNBC’s Monday briefing](https://www.cnbc.com/amp/2026/08/24/cnbc-daily-open-us-canada-tariffs-iran-bessent.html?ref=consumernews.ai). That timing gives importers and retailers a short window to decide whether to absorb the charges, pass them to shoppers or change suppliers.
The levies cover ordinary products, not just industrial inputs. The Wall Street Journal listed wine, hockey sticks, cement, paper and textile products among Canadian imports facing the 50 percent charge, and said Canada planned retaliation after the talks failed, according to [the Journal’s tariff explainer](https://www.wsj.com/economy/trade/whats-getting-hit-with-the-new-u-s-canada-tariffs-4cb8141c?ref=consumernews.ai). A tariff is collected at the border, but the consumer may encounter its consequences later through a higher shelf price, a smaller selection or a substitution to a different product.
Carney acknowledged that the response would have costs. Canada will apply counter-tariffs to $20 billion of U.S. products on Sept. 8, he said, adding, “We take this step reluctantly” because the measures will raise costs and reduce choice for Canadians, according to [Bloomberg’s account](https://www.bloomberg.com/news/articles/2026-08-22/canada-unveils-20-billion-counter-tariffs-to-mirror-trump-levy?ref=consumernews.ai). The same logic can run in both directions: A retailer that pays more for an imported item can raise its price, reduce promotions or leave the item off the next order.
The political dispute also reaches beyond the headline tariff rate. Carney said U.S. negotiators sought changes to Canada’s rules for Canadian and French-language content on streaming services, subsidies for publishing and film and bilingual labeling, while a U.S. official said Canada wanted concessions on autos, steel, aluminum and lumber that Washington was not ready to give, according to [The New York Times’ explanation of the failed talks](https://www.nytimes.com/2026/08/23/world/canada/canada-us-trade-war-trump-carney.html?ref=consumernews.ai). Those details matter to consumers because trade policy is being negotiated alongside rules that shape what products are sold, labeled and promoted.
The price effect will not necessarily arrive as a one-time 50 percent jump. Companies can draw down existing inventory, negotiate with suppliers or spread an increase across a broad product line. But uncertainty itself is costly: A buyer who sees a product available today may not know whether its replacement will carry a different price after the next shipment. For families already choosing between name brands and store brands, that uncertainty makes a discount less durable and a monthly budget harder to plan.
## Energy and gasoline: Fuel costs keep spreading through the household budget
Energy remains the connective tissue between geopolitics and the checkout counter. Oil and gasoline prices have stayed elevated as the war involving Iran disrupts supplies and shipping through the Strait of Hormuz. The New York Times reported that gasoline prices were continuing to climb while the 30-year Treasury yield reached 5.27 percent and the 10-year yield reached 4.73 percent, benchmarks that also influence mortgages, business loans and other debt, in [its Aug. 21 market report](https://www.nytimes.com/2026/08/21/business/stocks-bonds-oil-prices.html?ref=consumernews.ai).
The refining system is under more strain than the crude-oil headline alone suggests. Reuters reported that Brent crude was around $90 a barrel, about 25 percent above its level when the conflict began, while U.S. gasoline prices had risen about 60 percent. More than 20 percent of the Middle East’s 9.6 million barrels-per-day refining capacity was knocked out, and fuel exports remained constrained by the closure of the Strait of Hormuz, according to [Reuters’ energy analysis](https://www.reuters.com/commentary/reuters-open-interest/iran-war-energy-crisis-is-just-getting-started-2026-08-20/?ref=consumernews.ai).
That combination can keep finished fuel prices high even if crude prices retreat from their wartime peak. Reuters said European diesel prices had surged more than 70 percent since the war began, while U.S. diesel margins reached a record $100 a barrel earlier in the week after climbing more than 140 percent, according to [the same analysis](https://www.reuters.com/commentary/reuters-open-interest/iran-war-energy-crisis-is-just-getting-started-2026-08-20/?ref=consumernews.ai). Diesel affects trucking, agriculture, construction and delivery, so the household impact can arrive through the price of food and merchandise as well as at the gas station.
Airlines are already showing how the fuel shock becomes a service-price shock. U.S. airfare in June was up 26.5 percent from a year earlier, and airline executives said customers continued to book after carriers raised fares, according to [CNBC’s airline report](https://www.cnbc.com/2026/08/02/flights-are-getting-even-more-expensive-as-fuel-prices-rise.html?ref=consumernews.ai). United Airlines CEO Scott Kirby said, “Labor costs have escalated dramatically. Maintenance is off the charts in terms of escalation,” as carriers sought to cover fuel, labor, maintenance and airport costs, CNBC reported.
The result is a squeeze on both daily driving and occasional travel. A family can respond to a higher pump price by combining errands, driving less or switching vehicles, but it cannot easily avoid the fuel embedded in the cost of a grocery delivery, a restaurant supply chain or an airline seat. Energy therefore acts like a tax on flexibility: It raises the cost of changing plans.
## Food and groceries: The basics are still rewriting household routines
Food is where inflation becomes most visible because households must buy it repeatedly. Food eaten at home in U.S. cities was 33 percent more expensive in June than at the beginning of 2019, compared with a 6.4 percent increase in the seven and a half years before that, according to [an Associated Press report on changing grocery habits](https://apnews.com/article/grocery-shopping-prices-food-affordability-8468c1d6532ca762bbcfa17e3c7707d1?ref=consumernews.ai). The AP quoted former Council of Economic Advisers Chair Jared Bernstein saying, “You need groceries to live.”
The burden is uneven. Americans spent an average of 12.9 percent of pretax income on food eaten at home and away from home in 2024, but the share was 33 percent for the lowest one-fifth of households, according to the AP’s report, citing U.S. Department of Agriculture data. In St. Louis, food for home use cost 2 percent more in June than a year earlier, while the increase was 6 percent in San Francisco, based on Consumer Price Index data reported by the AP.
Beef is an especially clear example of how a staple can become a discretionary purchase. Ground beef reached $6.82 a pound in June, 79 percent above its level at the beginning of 2019, according to the AP, which cited a shrinking cattle herd, drought and higher feed and fuel costs as contributors. A household can swap cuts, reduce portions or skip meat, but each response changes the family menu rather than solving the underlying price problem.
Shoppers are adapting in ways that turn inflation into a daily exercise in comparison shopping. A New York Times survey of five shoppers found people switching to store brands, buying what is on sale and leaning on rotisserie chicken; one shopper, Paula Craft, said she began buying staples in bulk at Costco after inflation raised the cost of meat, produce and dairy, according to [The Times’ grocery-price feature](https://www.nytimes.com/interactive/2026/08/05/dining/grocery-prices-shoppers.html?ref=consumernews.ai). Another shopper, Tosha Connors, reported organic ground beef at $7.47 a pound in 2026, up from a 2024 range of $5.49 to $6.19 a pound, while a dozen eggs had fallen from $2.78 to $1.87, The Times reported.
The mixed movement matters. A lower egg price can provide relief, but it does not erase a higher meat, produce or beverage bill. The CBS News price tracker says it is monitoring food, gas, utilities, rent and other household costs because consumers remain under cost-of-living pressure and tariffs may affect everyday expenses, according to [CBS News’ tracker](https://www.cbsnews.com/projects/2026/price-tracker/?ref=consumernews.ai). Families are not waiting for one broad inflation number to improve; they are judging each item in the cart.
## Retail and spending: Shoppers still buy, but value has to show up quickly
Retailers are reporting a consumer who is active but selective. Walmart’s U.S. comparable sales rose 2.6 percent in its latest quarter, the slowest growth in more than six years, and the company’s stock fell more than 9 percent in its steepest daily decline since 2022, according to [The New York Times’ report](https://www.nytimes.com/2026/08/20/business/walmart-target-retail-consumer-economy.html?ref=consumernews.ai). Walmart executives said behavior changed when the national average gasoline price passed $4 a gallon in July, and Chief Financial Officer John David Rainey said, “There are choices that consumers are making,” The Times reported.
The pattern is not a collapse in spending so much as a reallocation. Reuters reported that Walmart cut prices on 11,000 items through July, while July U.S. retail sales posted their first decline in nine months. Affluent shoppers continued buying products from brands such as Ralph Lauren, while lower-income shoppers concentrated on value meals at Taco Bell, discount apparel at Ross Stores and essential purchases, according to [Reuters’ retail coverage](https://www.reuters.com/business/retail-consumer/us-shoppers-tighten-budgets-still-find-room-treats-splurges-2026-08-21/?ref=consumernews.ai).
Bloomberg’s account of the earnings season reached a similar conclusion: Walmart reported its weakest sales growth in more than six years, but Target and Home Depot also reported sales gains, describing consumers who continued to open their wallets when they found the right product at the right price, according to [Bloomberg](https://www.bloomberg.com/news/articles/2026-08-20/walmart-target-earnings-show-us-consumers-still-buying-for-right-price?ref=consumernews.ai). That is a powerful distinction for retailers. A customer may delay a large home project, yet still buy a small treat, a replacement item or a discounted necessity.
The retail data also helps explain why economic headlines can feel contradictory. Aggregate sales can remain positive while households feel squeezed, because the strongest consumers keep spending and the most pressured consumers trade down, postpone purchases or use promotions. The same retailer can see resilient traffic but a smaller basket, or higher revenue but weaker unit growth as prices rise.
For the coming shopping season, that makes price credibility more important than a broad promise of value. Retailers must decide how much of the tariff and fuel burden to absorb, how often to promote and whether shoppers will treat a lower price as permanent or temporary. The consumer, meanwhile, is learning to treat every purchase as a comparison.
## Autos and vehicle safety: The market splits between affordability and risk
Cars are another test of whether the consumer economy is broad or merely strong at the top. U.S. vehicle sales in the first half of 2026 were down only 3 percent from a year earlier, while second-quarter sales were expected to be roughly flat at 4.16 million vehicles, according to [Reuters’ auto-market report](https://www.reuters.com/business/autos-transportation/us-car-sales-cruise-control-despite-pressures-2026-07-01/?ref=consumernews.ai). Hybrid sales rose 17 percent through May, offering some buyers a way to respond to high gasoline prices without leaving the vehicle market.
But the buyer pool is shifting upward. Buyers with household incomes of $100,000 or less represented 36 percent of new-vehicle sales last year, down from 51 percent in 2020, according to Reuters, which said affluent buyers were increasingly less sensitive to inflation and fuel prices. The average new-car price was about $47,000, and Reuters reported that lower- and middle-income buyers were being pushed toward used vehicles because automakers were stocking more large and premium models, according to [Reuters’ affordability analysis](https://www.reuters.com/business/autos-transportation/prices-new-cars-have-soared-heres-one-big-reason-why-2026-03-11/?ref=consumernews.ai).
Safety concerns add another kind of consumer uncertainty. The National Highway Traffic Safety Administration upgraded and expanded a probe into nearly 1 million General Motors pickups and sport utility vehicles over engine failures linked to a 2025 recall, according to [Reuters’ auto products coverage](https://www.reuters.com/business/autos-transportation/products/?ref=consumernews.ai). The Wall Street Journal described regulators as investigating complaints from hundreds of owners despite the earlier recall, according to [its autos page](https://www.wsj.com/business/autos?ref=consumernews.ai).
At the same time, Tesla and eight other automakers began recalling about 4.3 million vehicles in China over concerns that doors could be difficult to open in an emergency, a recall Reuters described as China’s largest automotive recall, according to [Reuters’ automotive coverage](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai). The China recall does not automatically mean a U.S. recall, but it shows how a design feature marketed for style and aerodynamics can become a safety issue at scale.
The practical consumer question is not simply whether cars are selling. It is whether a household can find a vehicle at a manageable payment, afford the fuel and insurance, and trust that a recall will be handled before a defect becomes an emergency. A market supported by affluent buyers and hybrids can look stable while many families remain locked out of a new car.
## The bigger picture
Tariffs threaten to make imported goods less predictable, fuel raises the cost of moving people and products, groceries force families to redesign meals, retailers compete for increasingly selective dollars and cars divide consumers by income, financing capacity and safety risk. Together, the five themes describe an economy with demand but less slack. Consumers are still spending, yet each new shock removes another layer of optionality — the ability to switch brands, drive farther, travel later, buy a new vehicle or absorb a surprise bill without changing the rest of the month. That is why the most important measure of resilience is no longer whether people are buying something; it is how much they must give up to do so.
### National Safety Recall - Aug. 22
URL: https://www.consumernews.ai/national-safety-recall-aug-22/
Last updated: 2026-08-22T21:48:09.000Z
##
### Fromm canned dog food — metal fragments can injure dogs
**Fromm Family Foods recalled 3,852 cases of Turkey Pâté wet dog food and 1,973 cases of Diner Classics Milo’s Meatloaf Pâté wet dog food on August 21** after complaints about metal contamination. The products were distributed through pet stores and online retailers across the United States and Canada. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fromm-family-foods-voluntarily-recalls-turkey-pate-wet-food-dogs-and-diner-classic-milos-meatloaf?ref=consumernews.ai))
Affected products are:
- **Fromm Turkey Pâté Wet Dog Food**, 12.2-ounce cans, UPC **072705118700**, lot **EP2A3306 551006**, Best By **03/2029**
- **Fromm Diner Classics Milo’s Meatloaf Pâté Wet Dog Food**, 12.5-ounce cans, UPC **072705132324**, lot **EP2A3306 551029**, Best By **03/2029** ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fromm-family-foods-voluntarily-recalls-turkey-pate-wet-food-dogs-and-diner-classic-milos-meatloaf?ref=consumernews.ai))
FDA says dogs that ingest metal can suffer **choking, vomiting, loss of appetite, lethargy or stomach discomfort**. Sharp pieces can lacerate the mouth or gastrointestinal tract, while larger amounts can cause partial blockage or intestinal obstruction. No illnesses or injuries had been reported when the recall was announced. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fromm-family-foods-voluntarily-recalls-turkey-pate-wet-food-dogs-and-diner-classic-milos-meatloaf?ref=consumernews.ai))
Consumers should **stop feeding the affected food and return it to the retailer**. Anyone whose dog has eaten it and is showing symptoms should contact a veterinarian. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fromm-family-foods-voluntarily-recalls-turkey-pate-wet-food-dogs-and-diner-classic-milos-meatloaf?ref=consumernews.ai))
### Other agency checks
**CPSC:** I found no new national consumer-product recall dated August 21 or August 22\. The latest substantial CPSC actions remain the August 20 batch already covered, including defective carbon-monoxide detectors, Goal Zero power stations and off-road motorcycle brake failures.
**NHTSA:** I found no new urgent national vehicle-recall alert dated August 21 or 22\. NHTSA’s current consumer-alert results do not show a new park-outside, do-not-drive or similarly urgent action since the recalls already covered.
**USDA FSIS:** I found no new meat, poultry or processed-egg recall or public-health alert dated August 21 or 22.
**FDA:** The Fromm dog-food recall is FDA’s newest listed recall, posted August 21\. FDA’s current recall page shows it ahead of the August 20 glutathione-injection recall and August 19 food and drug recalls. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
The long March 2029 shelf life makes it especially hazardous: cans could remain in household pet-food supplies for years if owners don’t notice the recall.
### Salmonella outbreak tied to jalapeños grows to 431 cases in 32 states
URL: https://www.consumernews.ai/salmonella-outbreak-tied-to-jalapenos-grows-to-431-cases-in-32-states/
Last updated: 2026-08-21T20:17:51.000Z
- **At least 431 people in 32 states have been infected in a Salmonella outbreak linked to jalapeño peppers from Sinaloa, Mexico.**
- **The outbreak has sent 57 people to hospitals, and federal officials say recalls now extend well beyond fresh peppers to salsa, guacamole, dips and prepared foods.**
- **Consumers may want to check refrigerators and freezers even though many recalled products have passed their sell-by dates.**
A fast-growing Salmonella outbreak linked to jalapeño peppers has now sickened at least 431 people across 32 states, federal health officials say, and the recall has spread to an array of prepared foods sold by major retailers.
The Centers for Disease Control and Prevention and Food and Drug Administration say 57 people have been hospitalized. No deaths have been reported. The latest count represents 86 additional illnesses and 21 additional hospitalizations since the previous update.
[Check your refrigerator: Jalapeño salmonella recallDon’t rely on brand names. The jalapenos are in general use in the food supply now.ConsumerNews.aiThe Editors](https://www.consumernews.ai/check-your-refrigerator-jalapeno-salmonella-recall/)
Illnesses have been reported in Alabama, Arkansas, California, Colorado, Florida, Georgia, Illinois, Indiana, Kansas, Kentucky, Louisiana, Michigan, Minnesota, Missouri, Montana, North Carolina, North Dakota, Nebraska, New Jersey, New Mexico, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Virginia, Washington, Wisconsin, West Virginia and Wyoming.
The suspected source is fresh jalapeños grown in Sinaloa, Mexico, and distributed in the U.S. by Coast Citrus Distributors. But consumers shouldn't assume the problem is limited to loose peppers in the produce aisle.
The FDA says recalled jalapeños were also used in salsa, guacamole, dips, pico de gallo and other prepared foods, triggering a widening series of downstream recalls. Products have been associated with retailers including Trader Joe's, Walmart, Target, Kroger, Hannaford, Stop & Shop and Whole Foods, among others.
### Restaurants figured prominently
The investigation initially pointed heavily toward restaurants.
Of 224 people interviewed by health officials, 203 — about 91% — said they had eaten at a Mexican-style restaurant before becoming ill. Those restaurants included Chipotle Mexican Grill and QDOBA.
Both chains received jalapeños imported by Coast Citrus. Chipotle began switching suppliers at affected restaurants July 20, while QDOBA stopped using the implicated jalapeños July 28\. The FDA says it does **not** consider either chain to represent an ongoing risk from the outbreak.
Reported illnesses began June 19 and continued through at least Aug. 2\. Because Salmonella cases can take time to identify and report, the actual number of illnesses could be substantially higher than the confirmed count.
### The recall keeps spreading
Coast Citrus initially recalled a limited quantity of jalapeños July 22\. On Aug. 5, it agreed to recall remaining peppers implicated through epidemiological and traceback evidence after investigators identified a common grower in Sinaloa as the likely source.
Since then, recalls have multiplied as companies discovered that the peppers had been incorporated into other products.
Among them:
- Taylor Fresh Foods recalled various dips, salsa, guacamole and other foods distributed through retailers in numerous states.
- Whole Foods recalled selected salsa, guacamole, pico de gallo and prepared foods.
- NatureBest Precut & Produce recalled NatureBest and HEB products including pico de gallo, stuffed mushrooms and soup mixes.
- Salata Dressings recalled jalapeño avocado dressing.
- Dairyland Produce, doing business as Hardie's Fresh Foods, recalled fresh jalapeños.
- The USDA's Food Safety and Inspection Service issued a [separate public-health alert](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-fresh-jalapenos-sinaloa-mexico-and-distributed-coast-citrus?ref=consumernews.ai) involving some meat and poultry products containing the affected peppers.
The FDA has created a [centralized page](https://www.fda.gov/food/outbreaks-foodborne-illness/outbreak-investigation-salmonella-jalapeno-august-2026?ref=consumernews.ai) listing the expanding group of related recalls and says additional downstream recalls remain possible.
### What to do
FDA says consumers should not eat recalled jalapeños or products containing them. That advice applies to food that may have been frozen as well as items still sitting in a refrigerator.
Anyone unsure whether peppers came from the affected supplier should check the FDA recall list or ask the store or supplier where the peppers originated.
Surfaces and containers that may have touched recalled peppers should be thoroughly cleaned and sanitized to reduce the risk of cross-contamination.
Salmonella infection typically causes diarrhea, fever and abdominal cramps. Symptoms generally develop within 12 to 72 hours after eating contaminated food and usually last four to seven days. Children younger than 5, older adults and people with weakened immune systems are more likely to develop serious illness.
The FDA advises consumers who develop symptoms after recently eating food containing jalapeños to contact a healthcare provider.
### Another reminder about fresh produce
The outbreak arrives as federal regulators are also dealing with other produce-related illnesses, including the recent Cyclospora outbreak associated with iceberg lettuce.
Fresh produce presents a particular food-safety problem because products such as peppers, lettuce and sprouts are frequently eaten raw. Unlike meat or poultry, there may be no cooking step to kill bacteria before the food reaches the consumer.
And once contaminated produce enters the commercial food supply, a single ingredient can wind up in restaurant meals and dozens of prepared products sold under different brands — which is why a recall that begins with something as simple as a jalapeño can quickly become much harder for shoppers to track.
### Check your refrigerator: Jalapeño salmonella recall
URL: https://www.consumernews.ai/check-your-refrigerator-jalapeno-salmonella-recall/
Last updated: 2026-08-21T20:18:25.000Z
##
A Salmonella outbreak linked to **jalapeño peppers from Sinaloa, Mexico, distributed by Coast Citrus Distributors** has triggered recalls of fresh peppers and numerous prepared foods, according to the [U.S. Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/outbreak-investigation-salmonella-jalapeno-august-2026?utm%5Fsource=chatgpt.com).
Here's how you can help keep your family safe.
### What to look for
Check your refrigerator and freezer for:
- Fresh jalapeño peppers that may have come from the recalled supply.
- **Salsa, pico de gallo, guacamole and dips** containing jalapeños.
- Prepared foods containing jalapeños, including some products sold under **Trader Joe’s, Freshness Guaranteed, Whole Foods Market, NatureBest and HEB** brands. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-fresh-jalapenos-sinaloa-mexico-and-distributed-coast-citrus?utm%5Fsource=chatgpt.com))
- **Salata Jalapeño Avocado Dressing** and other products listed in the FDA’s expanding recall notice. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-fresh-jalapenos-sinaloa-mexico-and-distributed-coast-citrus?utm%5Fsource=chatgpt.com))
- Foods you may have **frozen for later**. A product can still pose a risk even if its original use-by or sell-by date has passed.
[Salmonella outbreak tied to jalapeños grows to 431 cases in 32 statesThe recall has now spread to an array of prepared foods sold by major retailers.ConsumerNews.aiThe Editors](https://www.consumernews.ai/salmonella-outbreak-tied-to-jalapenos-grows-to-431-cases-in-32-states/)
### If you find one
**Do not eat it.** Throw the recalled food away or follow the retailer’s instructions for returning it.
Then wash and sanitize refrigerator shelves, drawers, cutting boards, containers and other surfaces that may have touched the recalled peppers or foods.
If you have loose jalapeños and **cannot determine where they came from**, FDA advises checking with the retailer or supplier. Peppers from the implicated Sinaloa source distributed by Coast Citrus should be discarded. ([U.S. Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/outbreak-investigation-salmonella-jalapeno-august-2026?utm%5Fsource=chatgpt.com))
### Watch for symptoms
Salmonella can cause **diarrhea, fever and stomach cramps**. People who believe they became ill after eating recalled food should contact a healthcare provider, particularly young children, older adults and people with weakened immune systems.
### Don't rely on the brand name alone
This is an unusually complicated recall because the contaminated peppers were used as **ingredients in other foods**. FDA says additional downstream recalls may still be necessary. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-fresh-jalapenos-sinaloa-mexico-and-distributed-coast-citrus?utm%5Fsource=chatgpt.com))
The safest approach: **If you recently bought a jalapeño-containing salsa, guacamole, dip or prepared food, check the FDA recall list before eating it.**
### Teen drops social media addiction lawsuit, but legal pressure on Meta keeps growing
URL: https://www.consumernews.ai/teen-drops-social-media-addiction-lawsuit-but-legal-pressure-on-meta-keeps-growing/
Last updated: 2026-08-21T14:37:40.000Z
- Trials are exhausting and stressful, especially for minors, which may explain why a 15-year-old New Jersey girl has withdrawn one of a series of suits at social media platforms.
- The case was supposed to be one of several bellwether trials testing thousands of similar claims — and is the second such case to be withdrawn shortly before trial.
- But the larger legal assault on social media companies is far from collapsing: an earlier plaintiff won $6 million from Meta and YouTube, more than 3,300 individual cases remain consolidated in California, and Meta is simultaneously fighting lawsuits brought by states.
The youthful plaintiff, identified in court papers only as P. M-Y., had accused Meta Platforms, Google and Snap of contributing to her social media addiction, depression and self-harm through Instagram, YouTube and Snapchat.
The companies said the lawsuit was dismissed Thursday without any payment to the girl. TikTok, another original defendant, had previously settled her claims, according to [Insurance Journal](https://www.insurancejournal.com/news/national/2026/08/21/882436.htm?ref=consumernews.ai).
The teen was represented by Attorney Emily Jeffcott of the law firm [Morgan & Morgan](https://www.forthepeople.com/?ref=consumernews.ai), which describes itself as "America's largest injury law firm." She said the teenager decided she wanted to put the litigation behind her and resume her life.
She had begun the case in an effort to hold social media companies accountable and seek changes protecting other young people, Jeffcott said in a statement reported by [Reuters](https://www.reuters.com/business/us-teen-drops-lawsuit-against-meta-google-snap-ahead-trial-2026-08-21/?ref=consumernews.ai). Jeffcott did not immediately respond to a request for comment from ConsumerNews.ai.
> The dismissal is significant because P. M-Y.'s lawsuit wasn't just another case among thousands.
It had been selected as one of three bellwether cases scheduled for trial in October from more than 3,300 personal-injury lawsuits consolidated in Los Angeles Superior Court.
Bellwether trials are essentially legal test runs. Lawyers on both sides use their outcomes to see how juries react to evidence and arguments and to help determine whether thousands of other cases should be tried, settled or abandoned.
## Another teen also walked away
The New Jersey girl's withdrawal is the second time this summer that a highly anticipated social media addiction trial has disappeared shortly before reaching a jury.
In July, another teenage plaintiff dropped his remaining claims against Meta after reaching settlements with other social media companies. Meta said there was no settlement payment in that case either, [The Wall Street Journal](https://www.wsj.com/us-news/law/social-media-harm-trial-halted-after-teen-drops-meta-lawsuit-03ee3c17?utm%5Fsource=chatgpt.com) reported.
That leaves [two other cases](https://www.reuters.com/business/us-teen-drops-lawsuit-against-meta-google-snap-ahead-trial-2026-08-21/?ref=consumernews.ai) involving teenage plaintiffs scheduled for October, according to Reuters. TikTok has already settled its part of those cases.
For families watching the litigation, the withdrawals demonstrate one of the complications of turning broad concerns about social media into individual damage claims.
The companies can examine a plaintiff's medical history, social media usage and other potential causes of depression, anxiety or other problems and argue that their products weren't responsible.
Meta did exactly that in the New Jersey case.
The company said P. M-Y. had a significant mental health condition that existed before her social media use and argued that many other cases follow the same pattern. Meta said it would continue vigorously defending itself.
YouTube said the dismissal supported its contention that it offers young users safe, age-appropriate experiences and strong parental controls. Snap said it continues to strengthen safety, privacy and well-being protections.
## But a jury has already sided with a social media user
The defendants have considerably more to contend with than withdrawn cases.
In March, a California jury sided with a 20-year-old woman who said she became addicted to Instagram and YouTube while she was a child and that the platforms worsened her mental health problems.
Jurors found Meta and YouTube negligent and concluded their conduct substantially contributed to her injuries.
They awarded $3 million in compensatory damages and another $3 million in punitive damages — $4.2 million attributed to Meta and $1.8 million to Google, [Reuters](https://www.reuters.com/business/us-teen-drops-lawsuit-against-meta-google-snap-ahead-trial-2026-08-21/?ref=consumernews.ai) reported.
The plaintiff argued that features including infinite scroll, autoplay, notifications and reward systems had been intentionally engineered to keep young users engaged.
The jury also found that Meta and YouTube had acted with malice, oppression or fraud, allowing punitive damages to be assessed, according to a [blog post](https://www.forthepeople.com/blog/meta-and-youtube-found-negligent-and-have-acted-punitive-conduct-social-media-harm-trial/?ref=consumernews.ai) by Morgan & Morgan.
Jeffcott, the attorney representing the New Jersey teenager whose case was just withdrawn, was also part of the Morgan & Morgan trial team that represented the successful plaintiff in that case. Morgan & Morgan says it represents more than 1,000 people alleging physical or psychological injury associated with social media addiction.
## Thousands of cases remain
The larger legal fight has also recently survived an important challenge.
On Aug. 10, the Ninth U.S. Circuit Court of Appeals rejected an effort by Meta, Google, TikTok and other social media companies to halt more than 3,000 lawsuits alleging that their products were deliberately designed to be addictive to children.
The companies had argued in part that Section 230 — the federal law that generally protects internet companies from liability for material posted by their users — should shield them from the lawsuits.
The appeals court declined to stop the litigation, although it did not rule on the ultimate merits of the claims.
That distinction could become increasingly important.
Many of the lawsuits are not primarily claiming that social media companies should be liable because a third party posted harmful material. Instead, plaintiffs are attacking the **design of the products themselves** — features such as infinite scrolling, recommendation systems, notifications and other mechanisms they say encourage compulsive use.
That theory attempts to treat social media addiction more like a product-design case than a traditional dispute over online speech.
## States are attacking from another direction
Individual plaintiffs aren't the only ones taking social media companies to court.
Meta this week began defending itself in federal court in Oakland against [claims from 29 states](https://www.consumernews.ai/meta-goes-on-trial-to-face-charges-it-purposely-made-instagram-and-facebook-hard-to-turn-away-from/) that Facebook and Instagram were designed in ways that addict children and that the company misrepresented the safety of its products.
California, Colorado, Kentucky and New Jersey are leading the case. Meta denies the allegations.
Another case brought by Tennessee is underway in state court.
And Meta has already suffered a major defeat in New Mexico, where a court this month ordered the company to pay [hundreds of millions of dollars](https://www.consumernews.ai/meta-ordered-to-pay-567-million-and-change-facebook-and-instagram-to-protect-children/) following findings involving children's mental health and online sexual exploitation.
Taken together, the cases pose a much broader question than whether one teenager can prove that Instagram, TikTok or YouTube caused a particular mental health problem.
Courts are increasingly being asked to decide whether some of the basic techniques that made social media enormously successful — endlessly refreshed feeds, algorithmic recommendations, alerts and other engagement tools — can themselves constitute dangerously designed products when used by children.
The New Jersey teenager's decision means one jury won't get the chance to answer that question this fall.
Thousands of other plaintiffs — and dozens of states — are still asking it.
### Energy, housing, retail, tariffs and debt - a recipe for consumer indigestion
URL: https://www.consumernews.ai/energy-housing-retail-tariffs-and-debt-a-recipe-for-consumer-indigestion/
Last updated: 2026-08-21T13:40:53.000Z
The consumer story today is not one shock but five connected pressures: oil’s climb is putting energy costs back in the household budget; housing affordability has worsened even as mortgage rates pause; Target’s rebound shows shoppers will respond to lower prices but remain selective; a U.S.-Canada tariff deadline keeps the cost of imported goods unsettled; and rising yields are making credit a more expensive bridge for households.
Together, the latest coverage suggests that consumers are still spending, but with less flexibility and a shorter margin for error.
## Energy and gasoline: The supply shock moves from the pump to the wider economy
Oil prices rose more than 2 percent Thursday, settling at their highest level in nearly a month as investors assessed the war involving the United States and Iran and the security of shipping through the Strait of Hormuz, according to [Reuters](https://www.reuters.com/business/energy/oil-prices-steady-investors-assess-us-iran-war-outlook-2026-08-20/?ref=consumernews.ai). Brent crude settled up $2.16, or 2.4 percent, at $93.78 a barrel, while U.S. West Texas Intermediate futures gained $2, or 2.3 percent, to $87.83, Reuters reported.
The move matters to consumers because fuel costs travel through the economy even when a family does not buy much gasoline directly. Higher crude prices can raise the cost of trucking, air travel, delivery and farm operations, while refiners and retailers decide how much of the increase to pass along. [Reuters’ energy analysis](https://www.reuters.com/commentary/reuters-open-interest/iran-war-energy-crisis-is-just-getting-started-2026-08-20/?ref=consumernews.ai) said the United States has not been immune to rising energy prices and that the risk to projections through year-end is tilted higher.
President Trump warned that countries providing Iran “any type of lifeline” could face consequences, while Treasury Secretary Scott Bessent said he would outline planned actions at a Monday news conference, [Reuters reported](https://www.reuters.com/business/energy/oil-prices-steady-investors-assess-us-iran-war-outlook-2026-08-20/?ref=consumernews.ai). That policy risk gives the energy story a second channel: Even if physical supplies move, traders can add a risk premium when the rules around shipping, finance and sanctions remain uncertain.
For households, the immediate lesson is that a lower pump price is not guaranteed by a single calm trading session. The energy shock is becoming a test of how much room consumers have after groceries, rent, insurance and debt payments are covered.
## Housing and mortgages: Affordability worsens even when rates stop moving
The housing market is showing why a flat mortgage rate does not necessarily feel like relief. Monthly payments on a median-priced $410,700 home absorbed 34 percent of a typical family’s income in the second quarter, up from 32 percent in the first quarter, according to data from the National Association of Home Builders and Wells Fargo cited by [Bloomberg](https://www.bloomberg.com/news/articles/2026-08-20/us-housing-affordability-gauge-worsens-for-first-time-since-2023?ref=consumernews.ai). The increase marked the first deterioration in that affordability measure in almost three years.
Mortgage demand was similarly stuck. The average contract rate for a 30-year fixed mortgage with a conforming balance remained at 6.77 percent last week, while purchase applications fell 2 percent from the prior week and were down 3 percent from a year earlier, [CNBC reported](https://www.cnbc.com/2026/08/19/mortgage-demand-stalls-along-with-interest-rates.html?ref=consumernews.ai). Refinance applications rose 2 percent for the week but were still 18 percent below the same week a year earlier.
That combination leaves would-be buyers facing a double bind: Prices remain high enough to require a large payment, and borrowing costs remain high enough to make the payment difficult to qualify for. The typical family’s income has not expanded fast enough to offset the payment burden, which is why a rate pause can preserve the status quo rather than restart the market.
Builders are responding to that constraint, but not with a broad return to optimism. The NAHB/Wells Fargo Housing Market Index edged up to 35 in August from 34 in July, while August became the 16th consecutive month in which at least 30 percent of builders reported cutting prices to support demand, [The Wall Street Journal reported](https://www.wsj.com/economy/housing/u-s-home-builder-sentiment-still-muted-by-affordability-concerns-2af68f49?ref=consumernews.ai). The report cited NAHB Chief Economist Robert Dietz.
The consumer consequence reaches beyond a home purchase. When a buyer delays moving, a household may also delay buying furniture, appliances, tools and renovation services. When a homeowner cannot refinance, the monthly budget has fewer ways to absorb a fuel spike or a medical bill. Housing is therefore both a price story and a balance-sheet story.
## Retail and consumer spending: Target’s value reset meets a selective shopper
Target’s latest results offer a useful snapshot of what consumers are rewarding. Food and beverage sales grew 7 percent in the quarter ended Aug. 1, traffic rose 3.6 percent and snack sales increased 15 percent, according to [Reuters’ report on the retailer’s grocery strategy](https://www.reuters.com/business/retail-consumer/targets-grocery-bet-is-paying-off-now-it-must-get-shoppers-beyond-snack-aisle-2026-08-20/?ref=consumernews.ai). Target plans to add about 600 private-label food and beverage products over the next two years, including 400 under its Good & Gather brand.
The company is trying to make groceries a destination instead of an item shoppers pick up while visiting for something else. Target held about 5 percent of the U.S. grocery market at the end of 2025, compared with Walmart’s 27 percent, according to Euromonitor data cited by Reuters. Target’s grocery business still accounts for less than a quarter of its merchandise sales, so the effort is a bid to deepen shopping trips rather than simply defend a mature category.
Target’s broader quarter was stronger than the grocery numbers alone. Comparable sales grew 3.8 percent, beating the 2.5 percent estimate cited by Reuters, while the company raised its annual net-sales growth view to about 5 percent from about 4 percent. The retailer’s quarterly profit also received a nearly $1 billion boost from tariff refunds, [Reuters reported](https://www.reuters.com/business/retail-consumer/target-lifts-annual-forecasts-again-fiddelkes-turnaround-takes-root-2026-08-19/?ref=consumernews.ai).
The results are encouraging, but they do not show that households have stopped trading down. Target’s hardlines business grew 10.6 percent and beauty sales rose about 7 percent, while home furnishings and apparel were roughly flat, according to [Reuters](https://www.reuters.com/business/retail-consumer/targets-grocery-bet-is-paying-off-now-it-must-get-shoppers-beyond-snack-aisle-2026-08-20/?ref=consumernews.ai). That uneven pattern points to targeted spending: Consumers may still buy a small treat, a beauty item or a practical product while postponing a larger discretionary purchase.
The Associated Press described the quarter as Target’s second straight period of comparable-sales gains and said the retailer benefited from a $994 million tariff refund after the Supreme Court ruled that President Trump had overstepped his authority in imposing double-digit import taxes on goods from most other countries, [the AP reported](https://apnews.com/article/target-earnings-stores-sales-turnaround-5c868444a86dc9ba1ae6df01a6e74d2b?ref=consumernews.ai). That refund makes the earnings picture stronger, but it also underscores how trade policy can show up in a retailer’s results and, eventually, in its prices.
## Tariffs and prices: The Canada deadline keeps import costs in play
The United States and Canada were moving toward a possible trade deal Wednesday, but the consumer price question remained unresolved. A source familiar with the talks told [Reuters](https://www.reuters.com/world/us-canada-trade-negotiators-meet-after-trump-sets-new-tariff-deadline-2026-08-19/?ref=consumernews.ai) that a proposed agreement could reduce the top-line tariff on Canadian-built autos to 15 percent from 25 percent and cut tariffs on Canadian steel and aluminum to 25 percent from 50 percent.
The deadline was 12:01 a.m. Eastern time Saturday for tariffs on $20 billion worth of Canadian goods, Reuters reported. Trump said the United States would “probably have a deal with Canada,” while Canadian Prime Minister Mark Carney said the two sides were “moving towards an agreement,” according to the same report.
The uncertainty is important because tariff rates are not abstract numbers at the border. Autos and metals affect vehicle prices, construction materials, appliances, tools, packaging and the cost structure of retailers. A lower tariff can prevent a new increase, but it does not necessarily reverse prices that have already been set or restore a margin that a company has already lost.
Canada was preparing for a deadline that could bring new levies unless negotiators reached an agreement, [The New York Times reported](https://www.nytimes.com/2026/08/18/world/canada/trade-tariffs-trump-carney.html?ref=consumernews.ai). U.S. Trade Representative Jamieson Greer said, “If a country retaliates against us, we’re obviously not going to tolerate that,” the Times reported.
Bloomberg said the administration was privately describing the odds of a last-minute deal as a coin flip or worse, while 50 percent tariffs on billions of dollars of Canadian goods were set to take effect at midnight in the earlier stage of the talks, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-08-18/us-canada-dig-in-on-tariff-negotations-as-deal-hopes-fade?ref=consumernews.ai). The shifting deadline means businesses have to plan inventory and pricing around a policy that can change faster than a product cycle.
## Credit and debt: Borrowing is becoming a household shock absorber
The debt story is moving closer to the household budget as bond-market pressure raises the cost of longer-term borrowing. The 30-year Treasury yield reached 5.3 percent Tuesday, its highest level since 2007, and rising government and technology borrowing could make consumer credit more expensive, [Reuters Breakingviews reported](https://www.reuters.com/commentary/breakingviews/washington-ai-debt-deluge-is-rinsing-consumers-2026-08-19/?ref=consumernews.ai).
The same analysis said housing starts fell 12.4 percent in July from the prior month and 13.5 percent from July 2025\. It also pointed to Home Depot and Lowe’s, which said in their earnings reports that weakening demand for new projects was hurting sales of tools and supplies, according to Reuters.
Consumers are also using short-term credit to handle expenses that used to fit inside a monthly paycheck. A New York Times report on buy-now, pay-later lenders described loans being pitched for needs such as electricity and carried the print headline “Paying Later When Rent Is Due Now,” [The New York Times reported](https://www.nytimes.com/2026/08/17/business/buy-now-pay-later.html?ref=consumernews.ai).
The scale of revolving debt remains large. Americans owed $1.26 trillion on credit cards in the second quarter, according to the Federal Reserve Bank of New York data reported by [CNBC](https://www.cnbc.com/2026/08/11/ny-fed-credit-card-debt-hits-1point26-trillion-k-shaped-divide-persists.html?ref=consumernews.ai). About 175 million Americans hold credit cards, roughly 60 percent carry revolving debt, and 56 percent of borrowers in an Achieve survey said it would take at least six months to pay off all their credit card debt, CNBC reported.
The New York Fed researchers said the figures reflect a “K-shaped” economy with many households living paycheck to paycheck, according to CNBC. That divide helps explain why retail sales can hold up while housing and large purchases weaken: Some consumers have income and assets to keep spending, while others are borrowing to preserve basic flexibility.
## The bigger picture
Energy prices threaten to raise the cost of moving goods, housing payments are consuming more income, retailers are competing for shoppers who demand value, tariffs can change the price of imported products and debt is filling the gap when cash runs short. The common thread is optionality: Consumers can still choose where to shop, whether to buy a home and how to finance a purchase, but each choice is becoming more expensive to reverse. The result is an economy that may look resilient in headline sales while feeling much more fragile at the kitchen table.
### National Safety Recall - Aug. 20
URL: https://www.consumernews.ai/national-safety-recall-aug-20/
Last updated: 2026-08-20T20:14:59.000Z
Today brings a **large new CPSC recall and warning batch**, including nearly **377,000 carbon-monoxide detectors that may fail to warn of deadly CO**, 46,200 portable power stations with a fire hazard, and more than 21,000 off-road motorcycles with defective rear brakes. FDA also posted a nationwide injectable-drug recall involving reported adverse reactions.
### Nearly 377,000 carbon-monoxide detectors may fail to sound
CPSC is warning consumers to **stop using 4-in-1 plug-in natural-gas and carbon-monoxide detectors, model KH158**, sold under numerous brand names including ARIKON, ELECOIN, FLUNGSKY, KH Alert, Sooguard, YOJOCK and others.
CPSC says the detectors can **fail to alert users to hazardous carbon monoxide**, creating a potentially deadly risk. About **376,974 units** are involved. The Chinese manufacturer has not agreed to a recall, so CPSC says consumers should stop using and dispose of the units immediately and install working CO alarms. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
This is probably **today’s most important household-safety warning** because the product’s entire purpose is to provide warning of an otherwise invisible, odorless hazard.
### Goal Zero YETI 3000X power stations — overheating and fire
**Goal Zero is recalling about 46,200 YETI 3000X portable power stations** because the circuit board can overheat, posing fire and burn hazards.
Consumers should stop using affected power stations until they install the company’s **free firmware repair through the Goal Zero app** or have Goal Zero perform the update. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
Given the growing use of large lithium-battery power stations for backup power, camping and emergency preparedness, this one has fairly broad consumer relevance.
### 21,040 GASGAS and Husqvarna motorcycles — rear brakes can fail
KTM North America is recalling approximately **21,040 GASGAS and Husqvarna off-road motorcycles from model years 2021 through 2024**.
The **rear brake caliper can crack or break**, reducing braking effectiveness and creating a crash risk that CPSC says could result in serious injury or death. No injuries have been reported. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/KTM-North-America-Recalls-Off-Road-Motorcycles-Due-to-Risk-of-Serious-Injury-or-Death-from-Crash-Hazard?ref=consumernews.ai))
Owners should **stop riding the motorcycles immediately** and take them to an authorized GASGAS or Husqvarna dealer for a free repair. A long list of EC, EX, MC, FE, TE, FX and TX models is affected. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/KTM-North-America-Recalls-Off-Road-Motorcycles-Due-to-Risk-of-Serious-Injury-or-Death-from-Crash-Hazard?ref=consumernews.ai))
### Workbless electric pressure washers — electrocution hazard
About **2,200 Workbless pressure washers** are being recalled because they lack an integral **ground-fault circuit interrupter, or GFCI**, and have an inadequate-length power cord.
CPSC says the design creates a risk of **serious electrical shock or electrocution**, particularly given that pressure washers are inherently used around water. Consumers should stop using the washers and contact Workbless for a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### Button-battery tea lights — ingestion can cause internal burns and death
About **2,798 JINHEZO Mini Waterproof LED Tea Lights** are recalled because children can easily access their button-cell batteries.
Swallowed button batteries can become lodged in the esophagus and cause **severe internal chemical burns or death in as little as a few hours**. CPSC says the products also lack required warnings under Reese’s Law. Consumers should stop using them and obtain a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### Other CPSC warnings today
CPSC also announced several smaller but serious hazards:
**TJTFJS combination smoke/CO detectors** can fail to alert users to smoke or fire; consumers should stop using them and replace them with working alarms.
**VONLX hunting safety ropes** can snap during a fall from a tree stand, potentially causing serious injury or death. About 555 units are involved.
**Monkey Mania Nuclear Bubble Beretta firework toys** can produce high-temperature material capable of traveling far enough to ignite fabric, creating serious burn and fire hazards.
**Koorlian mattresses**, sold on Amazon, fail the federal mattress-flammability standard.
**CCM Hockey FMHVR Hybrid Visors and replacement visors**, about 12,957 units, can crack on impact and cause laceration or impact injuries.
**Modine/Airedale heating and cooling units**, about 6,061, have ventilation-fan motors that can short-circuit if water reaches the circuit board and create a fire hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### FDA: compounded glutathione injections — endotoxin contamination
FDA today posted a nationwide recall by **Optimal Balance Pharmacy of one lot of compounded Glutathione Injection, 200 mg/mL, 30 mL multi-dose vials** after testing found elevated bacterial endotoxin levels. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/optimal-balance-pharmacy-issues-voluntary-nationwide-recall-certain-lots-compounded-glutathione-200?ref=consumernews.ai))
FDA says contaminated injectable products could cause **fever, dangerously low blood pressure, severe inflammatory reactions, anaphylactic shock and death**.
More concerning, this is not merely theoretical: the pharmacy has already received reports of adverse events including **fever, chills, severe headache, nausea, vomiting, pain and symptoms resembling an allergic reaction**. The company announced the recall August 19; FDA posted it August 20\. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/optimal-balance-pharmacy-issues-voluntary-nationwide-recall-certain-lots-compounded-glutathione-200?ref=consumernews.ai))
### NHTSA and USDA FSIS
**NHTSA:** We found no new urgent national vehicle-recall announcement dated August 20 in today’s official search. Routine manufacturer recalls can still appear in NHTSA’s VIN database without receiving a national press release.
**USDA FSIS:** We found no new August 20 meat, poultry or processed-egg recall or public-health alert. Its newest major items remain the earlier August actions already covered. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com))
### Tornado Alley is moving east — and homeowners may pay the price
URL: https://www.consumernews.ai/tornado-alley-is-moving-east-and-homeowners-may-pay-the-price/
Last updated: 2026-08-20T14:33:50.000Z
- **The traditional Tornado Alley centered on Texas, Oklahoma and Kansas is shifting toward the Midwest and Southeast, researchers say.**
- **Illinois has recorded 220 confirmed tornadoes through July, while Indiana has already broken its annual record.**
- **The bigger consumer threat may be financial: tornadoes, hail and severe thunderstorms are striking more densely populated areas where homes are increasingly expensive to repair or replace.**
Americans who still picture tornado country as a narrow strip running through Oklahoma, Kansas and Texas may need to redraw the map.
A growing body of evidence shows tornado activity shifting eastward toward the Midwest and Southeast — putting more homes, businesses and people in the path of severe storms and potentially adding another source of pressure to homeowners insurance rates.
The change has been especially visible in 2026.
Illinois recorded 220 confirmed tornadoes through the end of July, according to catastrophe-modeling firm [Verisk](https://www.verisk.com/?ref=consumernews.ai). Indiana has already recorded 79 tornadoes this year, breaking its previous annual record of 72 set in 2011, according to the National Weather Service.
June alone produced 58 Indiana tornadoes — more than the state recorded during most entire years since records began in 1950\. NOAA reported that June brought historic tornado activity across much of the Midwest, with Illinois, Indiana and Missouri all setting June records, the [National Weather Service](https://www.weather.gov/ind/june2026tornadoes?utm%5Fsource=chatgpt.com) said.
And the season hasn't quietly ended. An Aug. 11 derecho blasted eastern Illinois and northwestern Indiana with winds of 70 to nearly 100 mph and produced at least five confirmed tornadoes, [NWS said](https://www.weather.gov/lot/2026%5F08%5F11%5FDerecho?ref=consumernews.ai).
Source: National Weather Service
## It isn't just one strange year
Individual outbreaks vary enormously from year to year, so a busy season by itself doesn't prove Tornado Alley has moved.
Long-term research does.
A NOAA-hosted study published in the [*Journal of Applied Meteorology and Climatology*](https://www.ametsoc.org/ams/publications/journals/journal-of-applied-meteorology-and-climatology/?ref=consumernews.ai) examined tornado activity during 1951-1985 and 1986-2020\. Researchers found a genuine geographical shift away from the Great Plains and toward the Midwest and Southeast.
By several measures — including tornado formation, tornado days and tornado path length — the greatest threat now extends substantially farther east than the traditional Tornado Alley familiar from weather maps and popular culture, according to the [NOAA Institutional Repository](https://repository.library.noaa.gov/view/noaa/69284?utm%5Fsource=chatgpt.com).
Researchers are still studying exactly why the change is occurring. A warming atmosphere that can transport warm, humid air farther north and east may be contributing, but natural variations in large-scale weather patterns may also play a role.
What is much clearer is the financial consequence.
[5 things to check in your homeowners policy before the next severe stormTornadoes and other severe weather are moving east. Is your insurance ready?ConsumerNews.aiThe Editors](https://www.consumernews.ai/5-things-to-check-in-your-homeowners-policy-before-the-next-severe-storm/)
## More expensive things are getting hit
Moving a tornado 200 miles east can change the economics dramatically.
Many eastern and Midwestern areas contain denser populations and more developed property than sections of the Great Plains. That means even if the total number of U.S. tornadoes doesn't increase, the amount of property in their path can.
"The Tornado Alley's kind of expanding or shifting a bit eastward," Tory Farney, vice president of Verisk Weather Solutions, told Insurance Journal. One of insurers' biggest concerns, he said, is that population exposure increases farther east, according to an [Insurance Journal](https://www.insurancejournal.com/news/national/2026/08/14/881534.htm?utm%5Fsource=chatgpt.com) report.
That is already showing up in claims.
National tornado claim volume has declined from its 2023 peak, according to Verisk, but the average estimated reconstruction value has climbed every year and is now 72% higher than in 2022.
In Illinois, tornado severity has risen sharply as well. Verisk said average severity is roughly four times its 2022 level. In Kankakee County, average estimated losses reached about $104,000\.
In other words, insurers don't necessarily need more tornadoes to sustain larger losses. They need tornadoes to hit more expensive buildings.
## Tornadoes aren't the only problem
For homeowners, the larger story may be the entire family of severe thunderstorms accompanying the eastward shift.
Hail, damaging straight-line winds, flash flooding and tornadoes often arrive from the same storm systems. Verisk says similar geographic movement is appearing in several of those hazards as well.
Severe thunderstorms have consequently become one of the insurance industry's largest catastrophe-loss categories.
Verisk found a 59% increase in severe-thunderstorm events producing more than $1 billion in insured losses during 2020-2024 compared with 2015-2019\. Severe thunderstorms, wildfires, winter storms and inland flooding collectively account for an estimated $98 billion of the industry's $152 billion in modeled annual catastrophe losses, [Insurance Journal](https://www.insurancejournal.com/news/national/2026/08/14/881534.htm?utm%5Fsource=chatgpt.com) said.
That matters because these relatively frequent disasters can put steady upward pressure on insurance costs even when there isn't a headline-making hurricane or wildfire.
## What homeowners should watch
The changing risk map doesn't mean homeowners across the Midwest and Southeast should expect their insurance premiums to jump immediately after a tornado outbreak.
Insurance pricing usually changes more slowly as carriers accumulate claims data, update catastrophe models and seek regulatory approval for new rates.
But homeowners in areas historically considered outside the highest-risk tornado zones could increasingly encounter familiar symptoms of today's troubled property-insurance market: higher premiums, larger wind or hail deductibles, tighter underwriting requirements or reduced coverage.
It also makes reviewing an existing policy increasingly important.
Consumers should check whether their homeowners policy covers wind and tornado damage at full replacement cost, whether the roof is subject to separate depreciation rules and whether there is a special wind or hail deductible.
A percentage deductible can be particularly expensive. A 2% wind deductible on a home insured for $500,000 means the homeowner could be responsible for the first **$10,000** of covered storm damage.
And homeowners shouldn't assume the hazards stop at the traditional edge of Tornado Alley.
The weather map has already changed. The insurance map may be next.
### 5 things to check in your homeowners policy before the next severe storm
URL: https://www.consumernews.ai/5-things-to-check-in-your-homeowners-policy-before-the-next-severe-storm/
Last updated: 2026-08-20T14:32:00.000Z
#
Tornadoes, hail and damaging straight-line winds can produce losses far beyond a few broken shingles. Before storm season arrives, homeowners should know exactly what their insurance will — and won't — pay for.
### 1\. Check your wind and hail deductible
Some policies use a flat deductible, such as $1,000 or $2,500\. Others impose a separate wind or hail deductible calculated as a percentage of the home's insured value.
That difference can be substantial. A 2% deductible on a home insured for $500,000 means the homeowner must absorb the first $10,000 of covered damage.
[Tornado Alley is moving east — and homeowners may pay the priceIt’s not in Kansas anymore.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/tornado-alley-is-moving-east-and-homeowners-may-pay-the-price/)
### 2\. Find out how your roof is covered
Don't assume a damaged roof will automatically be replaced with a new one.
Some insurers pay **replacement cost**, while others may pay only **actual cash value**, which subtracts depreciation based on the roof's age and condition. Older roofs can therefore leave homeowners with a sizable bill even after an approved claim.
Ask specifically whether your policy contains a roof-payment schedule or age-based depreciation provision.
### 3\. Make sure your coverage limit reflects today's rebuilding costs
The market value of a house and the cost of rebuilding it are not the same thing.
Labor, lumber, roofing, electrical work and other construction costs have risen sharply in recent years. Check the dwelling-coverage amount on your declarations page and ask whether the policy includes **extended replacement cost** or another cushion if rebuilding costs exceed the stated limit.
### 4\. Know what's excluded
Standard homeowners insurance generally covers tornado and wind damage, but flood damage typically requires separate flood insurance.
Heavy thunderstorms can produce both wind and flooding during the same event, creating disputes over which damage was caused by which hazard.
Also check coverage for detached garages, sheds, fences, trees and other structures. Limits can be much lower than the coverage on the house itself.
### 5\. Document your property before there's a claim
Use a phone to photograph or video every room, including appliances, electronics, furniture and valuable possessions. Open closets, cabinets and drawers.
Store the inventory somewhere outside the home or in secure cloud storage.
After a major storm, having evidence of what you owned — and the condition of the property beforehand — can make the claims process much easier.
**One more precaution:** Don't wait until a major storm is approaching to buy or increase coverage. Insurers may temporarily restrict policy changes when severe weather is imminent.
### The clean-energy loan hiding in your utility bill
URL: https://www.consumernews.ai/the-clean-energy-loan-hiding-in-your-utility-bill/
Last updated: 2026-08-20T12:51:15.000Z
#
- **Some home energy upgrades are financed through a surcharge added directly to the monthly utility bill.**
- **The payment obligation can remain with the property after the original customer moves, leaving a future renter or buyer responsible for the charge.**
- **The National Consumer Law Center says these programs need stronger safeguards, including guaranteed savings and a ban on utility shutoffs for failure to pay the financing charge.**
A program that promises to cut your energy costs can sound especially attractive when it requires little or no money upfront.
But consumer advocates are warning that some clean-energy financing programs can replace one affordability problem with another: a long-term charge embedded in the monthly utility bill.
The [National Consumer Law Center](https://www.nclc.org/clean-energy-financing-programs-expose-low-income-customers-to-substantial-risk/?ref=consumernews.ai) is renewing its warning about so-called tariffed on-bill financing, sometimes marketed as "inclusive utility investment" or under programs such as Pay As You Save, or PAYS.
The financing can pay for insulation, heating and cooling equipment, weatherization and other energy-saving improvements. Instead of receiving a conventional loan bill, the customer repays the cost through an additional charge on the utility bill.
That arrangement is promoted as a way to make energy improvements available to households that may not have enough cash or qualify for conventional credit.
But NCLC says consumers need to look closely at what happens if the promised savings don't materialize — and at what happens when the home changes occupants.
[Clean-energy loans promised savings but some delivered debt, surprises and lawsuits insteadClean-energy financing helped millions of homeowners install solar panels, energy-efficient windows, roofs and HVAC systems, but consumer complaints continue over misleading sales practices.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/clean-energy-loans-promised-savings/)
### The obligation can stay with the house
One of the most unusual features of tariffed on-bill programs is that the payment may be attached to the utility meter or property rather than simply to the person who originally agreed to the improvement.
That means the charge can remain after the original customer moves.
A new tenant or homeowner who begins receiving utility service may also inherit the remaining payments.
NCLC says that creates a risk of "surprise, and potentially unmanageable, costs" for subsequent residents and argues that they should receive written notice and consent to the obligation, along with protections such as the ability to modify the payments or pay off the remaining balance without penalty.
The federal [Environmental Protection Agency](https://www.epa.gov/statelocalenergy/inclusive-utility-investments-tariffed-bill-programs?ref=consumernews.ai) describes the feature somewhat differently.
EPA says properly designed tariffed on-bill programs are utility investments rather than consumer loans. The utility pays for an efficiency improvement and recovers its investment through a charge associated with the meter. Future occupants continue paying the charge, but they also continue receiving the benefit of the upgraded insulation, HVAC system or other improvement.
That distinction is at the center of the debate.
> NCLC argues that whatever the transaction is called, consumers are effectively making installment payments for an improvement and should receive protections comparable to those provided with ordinary consumer credit.
### What happens if the savings aren't there?
The basic economics of on-bill financing depend on a simple proposition: the improvement should save more money than the added monthly charge costs.
EPA says tariffed on-bill programs are generally designed so that the fixed charge is lower than the estimated reduction in the household's energy costs. Some existing programs expressly limit charges to a percentage of projected savings.
If everything performs as expected, a household could get a more efficient home without a large upfront expense and still wind up with a lower overall utility bill.
NCLC says the problem is that estimated savings aren't necessarily actual savings.
Equipment performance, energy prices, weather, household behavior and inaccurate projections can all affect the result. NCLC argues that households already struggling with high utility bills are particularly vulnerable if promised savings fail to appear.
The group is calling for programs to guarantee monthly utility-bill savings, rather than merely project them.
### A missed payment can be more serious than it sounds
Another concern is the method of collection.
Ordinarily, failing to make a home-improvement loan payment doesn't immediately threaten a household's electricity or heat.
Combining financing payments with an essential utility bill can change that equation.
NCLC warns that customers in some programs may face utility disconnection when they fail to pay the combined bill and says disconnection should never be used as a remedy for failure to pay the financing portion.
EPA itself acknowledges the broader risk with poorly designed clean-energy financing. Its financing guidance says programs that put additional financial obligations on lower-income households can expose customers to consequences including utility shutoffs and says consumer protections should be incorporated into program design.
### Why the programs exist
There is an important consumer benefit behind the idea.
Energy-efficiency improvements can have substantial upfront costs. A household may badly need a new heat pump, insulation or weatherization but lack thousands of dollars in savings or sufficient credit to finance the work conventionally.
Because some tariffed programs don't require traditional credit or income qualification, EPA says they can make upgrades available to renters, lower-income households and consumers who otherwise could not afford them.
As of 2023, about 30 utilities had implemented or were developing tariffed on-bill programs, according to EPA. Programs have operated in states including Arkansas, California, Georgia, Kansas, Kentucky, Missouri, New Hampshire, North Carolina, Tennessee and Virginia.
So NCLC isn't arguing that households shouldn't make energy-saving improvements.
It argues that governments should first steer lower-income households toward free or heavily subsidized weatherization and energy-assistance programs rather than putting them into another payment obligation.
### This isn't the first clean-energy financing warning
ConsumerNews.ai [reported](https://www.consumernews.ai/clean-energy-loans-promised-savings/) earlier this year that complaints involving solar financing, PACE loans and contractor-arranged home-improvement loans have produced lawsuits, regulatory actions and demands for stronger safeguards.
Consumers complained about promised energy savings that didn't materialize, tax incentives that were oversold and financing obligations that complicated refinancing or selling a home.
Tariffed on-bill financing is different, but the underlying consumer issue is familiar: the product being installed may be perfectly legitimate while the financing attached to it creates the problem.
NCLC's latest warning suggests consumers should treat an offer to put an energy upgrade "on the utility bill" with the same care they would use before signing any other long-term financing agreement.
### What NCLC wants changed
NCLC says tariffed on-bill programs should include several safeguards before being widely marketed to financially vulnerable households.
Among them:
- Screen lower-income consumers for free or subsidized programs before offering financing.
- Guarantee that the household's monthly utility costs will actually decline.
- Avoid large upfront payments.
- Cap project and financing amounts to keep payments affordable.
- Hold utilities accountable for contractors and other third parties selling the programs.
- Prohibit utility shutoffs for nonpayment of the financing portion of a bill.
- Use screened and certified contractors and provide quality-control protections.
- Establish a formal complaint and dispute-resolution process.
- Clearly disclose continuing payment obligations to future tenants and home buyers.
"Tariffed on-bill financing and similar energy financing programs must include necessary consumer protections and should only be considered as a last resort," NCLC senior attorney Berneta Haynes [said](https://www.nclc.org/clean-energy-financing-programs-expose-low-income-customers-to-substantial-risk/?ref=consumernews.ai).
### Before you agree to put an upgrade on your utility bill
An offer may be described as an energy program rather than a loan, but consumers should still ask many of the same questions they would ask before borrowing money.
**Ask for the total cost.** Don't evaluate the deal only by the expected monthly charge.
**Ask whether savings are guaranteed or merely estimated.** Find out what happens if the improvement saves less energy than projected.
**Ask how long the charge lasts.** A modest monthly amount can add up substantially over many years.
**Ask what happens if you move.** Determine whether you must pay off the remaining balance or whether the obligation automatically transfers to a buyer or tenant.
**Ask what happens if the bill isn't paid.** Specifically determine whether nonpayment of the financing charge could lead to utility disconnection.
**Check for free programs first.** Weatherization, utility assistance, rebates and state or local programs may pay part or all of the cost without adding another monthly obligation.
**Get everything in writing.** Savings estimates, equipment warranties, contractor responsibilities, payment terms and transfer provisions shouldn't depend on what a salesperson says at the kitchen table.
> The clean-energy improvement itself may ultimately save money. But consumers should make sure the financing doesn't turn those promised savings into another bill they — or somebody who lives in the house years from now — can't afford.
### FTC puts retailers on notice over personalized pricing
URL: https://www.consumernews.ai/ftc-puts-retailers-on-notice-over-personalized-pricing/
Last updated: 2026-08-19T21:37:29.000Z
#
- **The FTC says companies may violate federal law if they secretly use consumers’ personal data to decide how much each shopper should pay.**
- **The practice — sometimes called personalized or surveillance pricing — can use browsing history, location, shopping habits and other data to estimate an individual consumer’s willingness to pay.**
- **The agency says it cannot simply outlaw personalized pricing, but misleading consumers about how prices are set could constitute an unfair or deceptive practice.**
The price you see online may increasingly depend not just on what you are buying, but on what a retailer knows — or thinks it knows — about you.
The Federal Trade Commission is proposing an enforcement policy aimed at a growing practice known as personalized pricing, in which businesses use personal information to estimate how much an individual consumer is willing to spend and adjust prices accordingly.
The FTC said Wednesday that companies may run afoul of federal consumer-protection law when they engage in such pricing without telling shoppers what is happening.
“When consumers see a listed price, they expect it to be same price that everyone else sees, not the retailer’s estimate of how much they are willing to pay based on their personal data,” FTC Chairman Andrew Ferguson said in a [news release](https://www.ftc.gov/news-events/news/press-releases/2026/08/ftc-seeks-comment-enforcement-policy-statement-regarding-personalized-pricing?ref=consumernews.ai).
The agency acknowledged an important limitation: It does have authority to prohibit personalized pricing in every circumstance. Some states, notably [Maryland](https://www.consumernews.ai/maryland-outlaws-predatory-pricing/), have outlawed the practice and others are considering it.
The FTC's proposed policy focuses heavily on deception and disclosure. A company that leads consumers to believe a displayed price is generally available when the price actually varies from person to person may violate the [FTC Act](https://www.ftc.gov/legal-library/browse/statutes/federal-trade-commission-act?ref=consumernews.ai), the commission said. The undisclosed collection or use of personal information for personalized pricing could also constitute an unfair or deceptive practice.
That distinction could become increasingly important as artificial intelligence and enormous databases of consumer information make it possible to move beyond traditional “dynamic pricing.”
[Surveillance Pricing News TrackerEverybody pays the posted price, right? Not necessarily. Surveillance pricing can change based on what the retailer knows about you – where you live, your tastes and habits and your family budget.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/surveillance-pricing-news-tracker/)
## Dynamic pricing isn't necessarily personalized pricing
Consumers are already accustomed to prices changing.
Airfares rise as flights fill. Hotel rates jump during conventions. Ride-share fares increase when demand suddenly exceeds the number of available drivers.
Those are forms of dynamic pricing generally based on market conditions.
> Personalized pricing is potentially something quite different: Two people shopping at roughly the same time for the same product may be offered different prices because a computer has drawn different conclusions about them.
The FTC describes personalized pricing as using personal data to determine what a company thinks an individual consumer is willing to pay.
That data could potentially include location, browsing history, previous purchases and other behavioral information. And companies have access to increasingly detailed signals.
An FTC [investigation](https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-surveillance-pricing-study-indicates-wide-range-personal-data-used-set-individualized-consumer?ref=consumernews.ai) launched in 2024 found that pricing intermediaries could use information ranging from precise location and shopping history to what consumers leave sitting in an online shopping cart — and even how they move a mouse across a webpage.
The companies examined by the FTC worked with [at least 250 businesses](https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-surveillance-pricing-study-indicates-wide-range-personal-data-used-set-individualized-consumer?ref=consumernews.ai) selling products and services including groceries and clothing.
## How personalized pricing could work
The concern isn't necessarily that a website will announce:
**“This item costs $79.99 for you and $64.99 for everyone else.”**
The differences can be much harder to detect.
FTC researchers said pricing technology could be used to decide which consumers receive promotions or discounts, which products appear prominently in search results and potentially what price a shopper sees.
One [hypothetical example](https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-surveillance-pricing-study-indicates-wide-range-personal-data-used-set-individualized-consumer?ref=consumernews.ai) cited by the agency involved a consumer identified as a new parent being shown more expensive baby thermometers higher in search results.
A merchant could also theoretically conclude that someone who repeatedly visits a product page is unusually interested in the item — and therefore less likely to walk away from a higher price.
That possibility is one reason the FTC says disclosure matters. A consumer who knows personalized pricing is being used might clear cookies, browse privately, use a VPN, compare prices on another device or simply shop elsewhere, the commission said.
## Groceries provided an early warning
The issue became much more tangible after a [Consumer Reports investigation](https://www.consumerreports.org/money/questionable-business-practices/instacart-ai-pricing-experiment-inflating-grocery-bills-a1142182490/?ref=consumernews.ai) of Instacart pricing.
Consumer Reports and its partners found that shoppers purchasing identical groceries from the same stores could encounter price differences of as much as **23% on individual items** during Instacart pricing experiments.
Instacart disputed characterizations of the experiments as surveillance pricing and said retailers, rather than Instacart, controlled prices. The company later ended the item-price testing program, [AP News](https://apnews.com/article/c9a0a52e959ce46d2152aa664308d228?utm%5Fsource=chatgpt.com) reported.
The episode nevertheless demonstrated how difficult it can be for consumers to know whether the price on their screen is really *the* price.
California Attorney General Rob Bonta subsequently launched [an investigative sweep](https://oag.ca.gov/news/press-releases/data-privacy-day-attorney-general-bonta-focuses-surv?ref=consumernews.ai) into businesses' use of personal data to set individualized prices, particularly in the grocery, retail and hotel industries.
New York has gone further legislatively.
Its [Algorithmic Pricing Disclosure Act,](https://www.skadden.com/insights/publications/2026/01/new-york-algorithmic-pricing-law?ref=consumernews.ai) which took effect Nov. 10, 2025, requires businesses covered by the law to tell consumers when a price was set by an algorithm using their personal data.
## A surprisingly bipartisan issue
The FTC's latest move also illustrates how concern about personalized pricing has survived the change in presidential administrations.
The commission began its surveillance-pricing investigation in 2024 under then-Chair Lina Khan.
Ferguson, who became chairman under President Trump, criticized portions of the previous commission's work on the subject. But the FTC he now leads is signaling that undisclosed personalized pricing can still warrant enforcement.
“The FTC does not have the legal authority to ban personalized pricing in all circumstances,” Ferguson said, but businesses that fail to tell consumers how their data is being used “may be in violation of the FTC Act and other laws we enforce.”
The commission voted 2-0 to seek public comment on the proposed enforcement policy.
## The bigger issue: What exactly is a price?
For consumers, personalized pricing raises a question that online commerce has largely avoided answering:
**When a retailer displays a price, what does that price actually represent?**
Traditionally, a shopper could reasonably assume that a $40 toaster cost approximately $40 for anyone walking into the store at that moment.
Digital commerce changes that assumption.
A computer can potentially know that one shopper has searched repeatedly for the toaster, lives in an affluent ZIP code and rarely abandons purchases over price.
Another shopper may routinely comparison-shop and wait for discounts.
If algorithms conclude the first shopper will tolerate $44 while the second will buy only at $36, personalized pricing technology provides retailers with a way to act on that information.
Economists have long called variations of that strategy **price discrimination** — charging different customers different amounts based on their willingness to pay.
What is new is the extraordinary amount of personal information that can now be fed into the calculation, often without the shopper knowing it is happening.
That is where the FTC appears prepared to draw its enforcement line.
Companies may have considerable freedom to change prices.
They may have considerably less freedom to secretly change the price because of who the computer thinks you are.
The FTC's proposal will be [open for public comment](https://www.ftc.gov/news-events/news/press-releases/2026/08/ftc-seeks-comment-enforcement-policy-statement-regarding-personalized-pricing?ref=consumernews.ai) for 30 days after it is published in the Federal Register.
### National Safety Recall - Aug. 19
URL: https://www.consumernews.ai/national-safety-recall-aug-19/
Last updated: 2026-08-19T20:01:39.000Z
##
There is **one significant new national consumer recall** since the last check: a nationwide recall of Outshine frozen fruit bars after consumers reported finding **glass in the product**.
### Outshine fruit bars recalled nationwide — possible glass contamination
**Dreyer’s Grand Ice Cream is recalling selected Outshine Fruit Bars nationwide because they may contain pieces of glass.** The recall was announced and posted by FDA on **August 18** after consumer reports of glass in the products. No injuries had been reported when the notice was issued. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/updated-dreyers-grand-ice-cream-inc-issues-voluntary-recall-select-outshine-fruit-bars-due-possible?utm%5Fsource=chatgpt.com))
Affected products include six-count 2.5-ounce packages of:
- **Outshine Strawberry Fruit Bars**
- **Outshine Watermelon Fruit Bars**
- **Outshine Grape Fruit Bars**
- **Outshine Tangerine Fruit Bars**
- **Outshine Black Cherry Fruit Bars**
- **Outshine Variety Pack**, 24-count
Numerous batch codes are involved, with best-before dates extending as far as **November 30, 2027**, so these products could remain in household freezers for a long time. FDA says no other Outshine varieties are included. Consumers should **discard affected packages or return them for a full refund**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/updated-dreyers-grand-ice-cream-inc-issues-voluntary-recall-select-outshine-fruit-bars-due-possible?utm%5Fsource=chatgpt.com))
This is today's strongest consumer recall because of the **nationwide distribution, physical-injury hazard and long freezer shelf life**.
### USDA: imported fish-skin snacks weren't eligible for U.S. sale
FSIS announced August 17 that **Asian America Trading of Hayward, California, is recalling about 996 pounds of ready-to-eat Pangasius fish-skin products imported from China**. China is not eligible to export these ready-to-eat Siluriformes products to the United States. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/asian-america-trading-inc--recalls-ineligible-siluriformes-fish-products-imported?utm%5Fsource=chatgpt.com))
Products include 50-gram packages of **Crispy Fish Skin Crackers — Salted Egg and Spicy Flavour**, along with **Un Chi Crisp Fish Skin — Wasabi and Laver flavors**. Distribution appears to have been limited to California. ([FreshRecall](https://freshrecall.com/recalls/recall-of-fish-skin-crackers-due-to-import-violation?utm%5Fsource=chatgpt.com))
### USDA: pickled goat and chicken recalled for lack of federal inspection
FSIS also announced August 17 that **Indus Foods, doing business as Gangothri Foods in Austin, Texas, is recalling approximately 1,626 pounds of ready-to-eat pickled goat and chicken products** because they were produced without the required federal inspection. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/indus-foods-llc-dba-gangothri-foods-recalls-ready-eat-pickled-goat-and-chicken?utm%5Fsource=chatgpt.com))
This is principally an inspection-compliance recall rather than one prompted by a confirmed pathogen or reported illness, but consumers who have the affected products should follow FSIS disposal/return instructions.
### Agency check
**CPSC:** No new recalls have been posted since the large **August 13** batch already covered. CPSC's official current listing still begins with the Brookstone fire pits, Taleco baby products, magnetic toys and other August 13 actions. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
**NHTSA:** No new urgent national vehicle-recall alert has been issued. NHTSA's current press-release page still lists the **July 9 Kia Telluride park-outside fire recall** as its latest recall-specific national consumer alert. ([NHTSA](https://www.nhtsa.gov/press-releases?utm%5Fsource=chatgpt.com))
**FDA:** The **August 18 Outshine recall** is the agency's newest listed consumer recall as of this afternoon. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
**USDA FSIS:** The August 17 Asian America Trading and Indus Foods actions are the newest recalls we found; no new August 18 or August 19 FSIS action has appeared in the current official listings. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com))
**Bottom line:** **Outshine fruit bars and possible glass contamination**. It's a familiar national brand, widely distributed, and the recalled packages have expiration dates well into 2027—exactly the kind of product consumers may leave in the freezer for months.
### Costco is getting into Medicare — but don't buy health insurance the way you buy paper towels
URL: https://www.consumernews.ai/costco-is-getting-into-medicare-but-dont-buy-health-insurance-the-way-you-buy-paper-towels/
Last updated: 2026-08-19T13:53:13.000Z
#
- **Costco and nonprofit insurer SCAN Group plan to launch Costco-branded Medicare Advantage plans in two states and a Medicare supplement policy in a third.**
- **The experiment comes as other insurers have been retreating from Medicare Advantage and millions of seniors have been forced to change plans.**
- **Costco's reputation for screening products may reassure shoppers, but Medicare coverage still needs to be compared doctor by doctor, drug by drug and dollar by dollar.**
Costco has built an enormous business partly by convincing shoppers they don't have to agonize over every purchase. The warehouse chain stocks relatively few versions of many products, negotiates hard on price and essentially tells members: We've already done some of the comparison shopping for you.
Now Costco wants to try something similar with a purchase considerably more consequential than a 30-pack of paper towels.
The retailer is working with [SCAN Group](https://www.thescangroup.org/?ref=consumernews.ai), a nonprofit health insurer, on a limited rollout of jointly branded Medicare plans, [The Wall Street Journal reported](https://www.wsj.com/health/healthcare/costco-sells-vacations-gas-and-soon-medicare-plans-c0e1470e?st=mpNt7P&ref=consumernews.ai). The companies plan Medicare Advantage products in two states and a Medicare supplement, or Medigap, policy in a third. They have not disclosed the states or launch dates while awaiting regulatory approvals. Together, the initial markets contain about 5 million Medicare beneficiaries.
The plans are expected to be sold through Costco stores as well as insurance agents and online channels. Costco memberships can't be included as a benefit of the health plans because of federal restrictions.
### The Costco name is part of the product
The unusual element isn't simply that Medicare insurance will be available through Costco. The company already provides access to a [Medicare insurance marketplace](https://www.costcoquote.com/medicare?ref=consumernews.ai) through a third-party arrangement.
This time, the Costco name will be attached to the plans themselves.
SCAN CEO Sachin Jain told the Journal that the companies want to create Medicare coverage that is easier for consumers to understand and use, with connections to Costco services including prescription drugs, vision care, hearing products, over-the-counter medicines and potentially food benefits.
SCAN specializes in Medicare and currently has about 460,000 members. Its existing Medicare Advantage footprint includes Southern California as well as Arizona, Nevada, New Mexico, Texas and Washington state.
Costco pharmacy executive Richard Stephens said the company has seen older customers struggle with insurance coverage at the pharmacy counter. The retailer views the new venture as a pilot from which it expects to learn before deciding how broadly to expand it.
That could be an appealing proposition for older consumers confronted each fall with an increasingly bewildering collection of premiums, copayments, drug formularies, provider networks and benefit packages.
But there is a catch.
### Health insurance isn't a rotisserie chicken
Costco has an unusually powerful reputation for value. That reputation may be well deserved when the question is which olive oil, television or hearing aid to buy.
Medicare coverage is different because "best" depends heavily on the individual patient.
A Medicare Advantage plan that works wonderfully for one Costco member could be a poor choice for the person standing behind them in the checkout line.
Among the questions that matter:
- Are your doctors and hospitals in the plan's network?
- Are your prescription drugs on its formulary and at what tier?
- What are the copayments for specialists, hospital stays and outpatient procedures?
- What is the annual maximum you could pay out of pocket?
- Does the plan require referrals or prior authorization for care you regularly use?
- What happens if you need medical care while traveling or spending part of the year somewhere else?
Medicare itself [advises consumers](https://www.medicare.gov/basics/get-started-with-medicare/get-more-coverage/your-coverage-options/compare-original-medicare-medicare-advantage?ref=consumernews.ai) to consider doctor and hospital choice, costs and coverage when comparing Original Medicare with Medicare Advantage. Medicare Advantage members may need prior authorization before a plan will cover certain services or supplies and may face network restrictions that don't apply to Original Medicare.
So a Costco logo may be a useful starting point. It shouldn't be the end of the shopping process.
### Costco is entering while others retreat
The timing makes the Costco-SCAN experiment particularly interesting.
Medicare Advantage, once one of the insurance industry's great growth businesses, has been going through a shakeout as insurers contend with higher medical costs, changes in federal payments and other pressures. UnitedHealthcare, Aetna and other carriers cut plans or withdrew from some markets for 2026\.
The result wasn't merely an inconvenience for insurers.
Nearly 3 million Medicare Advantage beneficiaries — roughly 10% of enrollees — had to find different coverage for 2026 because their plans were discontinued, according to research reported by Reuters. Rural beneficiaries were about twice as likely as urban beneficiaries to be affected, [Reuters](https://www.reuters.com/legal/litigation/millions-us-medicare-advantage-enrollees-forced-switch-plans-study-finds-2026-02-18/?utm%5Fsource=chatgpt.com) reported.
In seven states, more than 40% of Medicare Advantage enrollees were affected by discontinued plans. In Vermont, the figure reached 92%, the news agency said.
CMS had [projected](https://www.cms.gov/newsroom/press-releases/medicare-advantage-medicare-prescription-drug-programs-expected-remain-stable-2026?ref=consumernews.ai) that Medicare Advantage enrollment could slip from 34.9 million in 2025 to about 34 million in 2026, although the agency said actual enrollment might prove stronger than insurers' projections.
In other words, Costco and SCAN aren't entering an easy, rapidly expanding market. They're entering one that has recently been producing unpleasant surprises for both insurers and patients.
### Medicare Advantage and Medigap aren't the same thing
The Costco experiment will also span two very [different types of insurance](https://www.medicare.gov/basics/get-started-with-medicare/medicare-basics/parts-of-medicare?ref=consumernews.ai).
A **Medicare Advantage plan** replaces Original Medicare as the mechanism through which a beneficiary receives Medicare-covered services. The private insurer generally combines hospital and medical coverage and usually prescription drug coverage, often adding benefits such as dental, vision or hearing coverage. Plans can restrict provider networks and require prior authorization.
A **Medigap policy**, by contrast, works alongside Original Medicare and helps cover some of the deductibles, coinsurance and other costs Medicare doesn't pay. A person generally cannot have both Medicare Advantage and Medigap at the same time.
There's another important shopping difference: Medigap policies are standardized by letter in most states. A Plan G, for example, provides the same basic benefits regardless of which insurer sells it, although premiums can vary substantially. That makes price comparison particularly important.
### Costco could change how Medicare is sold
The bigger story may ultimately be less about insurance than about trust.
Medicare beneficiaries are bombarded with television commercials, mailers, phone calls and pitches from insurers and brokers every enrollment season. Costco is proposing a very different sales proposition: a familiar retailer effectively putting its seal of approval on a limited selection.
That could simplify an intimidating process. It could also make consumers less inclined to compare alternatives.
Financial terms of the Costco-SCAN partnership haven't been disclosed. That makes it important for consumers to remember that a Costco-branded Medicare plan is still an insurance product offered by a particular insurer, not an independent recommendation of all the Medicare choices available in a market.
Costco may turn out to be very good at Medicare.
But even loyal Costco shoppers should probably leave one familiar shopping habit at the warehouse door: don't assume the product on the shelf is automatically the right one for you.
### What changing federal regulations may mean for your escrow account
URL: https://www.consumernews.ai/what-changing-federal-regulations-may-mean-for-your-escrow-account/
Last updated: 2026-08-19T12:57:10.000Z
#
[Ten states are suing](https://www.consumernews.ai/ten-states-sue-trump-banking-regulator-over-mortgage-escrow-interest-billions-at-stake/) the Office of the Comptroller of the Currency over changes in how banks handle mortgage escrow interest. Billions of dollars of consumer funds are at stake.
If your mortgage company collects money each month for property taxes and homeowners insurance, that money generally goes into an **escrow account** until the bills come due.
Whether you earn interest on that money may depend on where you live and what kind of bank holds or services your mortgage.
- **Check your mortgage statement.** Look for the escrow balance and any line showing interest credited to the account.
- **Check your state law.** Several states require lenders to pay interest on qualifying escrow balances, although the rate and coverage vary.
- **Find out whether your lender is a national bank.** National banks usually have “National,” “National Association” or “N.A.” in their legal names and are regulated by the [Office of the Comptroller of the Currency](https://occ.gov/news-issuances/news-releases/2026/nr-occ-2026-37.html?ref=consumernews.ai).
- **Don't assume your state's rule applies.** The OCC now says national banks can disregard a number of state escrow-interest requirements. Ten states are challenging that position in court.
- **State-chartered banks may be different.** The OCC's preemption rules apply to national banks, not automatically to every mortgage lender or servicer.
- **Keep an eye on changes.** If your lender previously paid escrow interest and stops, check your annual escrow statement and ask the servicer for an explanation.
[Ten states sue Trump banking regulator over mortgage escrow interest - billions at stakeTen states are challenging new federal rules that let national banks ignore state laws requiring interest on consumers’ mortgage escrow money.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/ten-states-sue-trump-banking-regulator-over-mortgage-escrow-interest-billions-at-stake/)
### How much could be at stake?
At a 2% annual interest rate:
| Average escrow balance | Approximate annual interest |
| ---------------------- | --------------------------- |
| $3,000 | $60 |
| $5,000 | $100 |
| $7,500 | $150 |
| $10,000 | $200 |
For one household, that may not be a huge sum. But it is still interest earned on money the homeowner owns, and across large mortgage portfolios the amounts can add up quickly.
**Bottom line:** If you live in a state with an escrow-interest law, don't assume the current rules are settled. The legal fight over whether national banks must follow those laws is still underway.
### Ten states sue Trump banking regulator over mortgage escrow interest - billions at stake
URL: https://www.consumernews.ai/ten-states-sue-trump-banking-regulator-over-mortgage-escrow-interest-billions-at-stake/
Last updated: 2026-08-19T12:58:05.000Z
#
- **Ten states are challenging new federal rules that let national banks ignore state laws requiring interest on consumers’ mortgage escrow money.**
- **The dispute could determine whether states retain meaningful power to impose consumer protections on federally chartered banks.**
- **The stakes extend well beyond escrow accounts: a victory for the OCC could make it easier for the federal banking regulator to override other state financial-protection laws.**
Ten states have sued the [Office of the Comptroller of the Currenc](https://occ.gov/?ref=consumernews.ai)y, challenging rules that could allow federally chartered banks to stop paying interest on billions of dollars consumers keep in mortgage escrow accounts.
The lawsuit, filed Aug. 11 in federal court in Oregon, was brought by Oregon, New York, California, Connecticut, Maine, Maryland, Massachusetts, Minnesota, Rhode Island and Vermont. It challenges two rules issued by the OCC in May that declare state mortgage-escrow interest requirements preempted by federal banking law, [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/08/18/ten-states-take-on-the-occ-over-national-bank-preemption-of-state-escrow-interest-laws/?ref=consumernews.ai) reported.
For homeowners, the issue is fairly simple even if the law behind it is not.
[What changing federal regulations may mean for your escrow accountThe dispute could determine whether states retain meaningful power to impose consumer protections on federally chartered banks.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/what-changing-federal-regulations-may-mean-for-your-escrow-account/)
Mortgage servicers commonly collect part of a homeowner's property-tax and insurance bills each month and hold the money in an escrow account until the bills come due. Depending on the size of the mortgage and local taxes and insurance costs, thousands of dollars belonging to a homeowner may sit in the account for months.
A number of states require lenders to pay consumers interest on that money.
The OCC says national banks don't have to.
## What the OCC did
On May 15, the OCC adopted [two companion rules](https://occ.gov/news-issuances/news-releases/2026/nr-occ-2026-37.html?ref=consumernews.ai) that took effect June 18.
One formally declares that national banks have the power to establish escrow accounts and decide their terms, including "whether and to what extent" consumers receive interest or other compensation.
The second declares that federal law preempts New York's escrow-interest law and 13 other state and territorial laws the OCC considers substantially equivalent. ([OCC.gov](https://www.occ.gov/news-issuances/bulletins/2026/bulletin-2026-21.html?ref=consumernews.ai))
The affected laws include those of California, Connecticut, Maine, Maryland, Massachusetts, Minnesota, Oregon, Rhode Island, Utah, Vermont and Wisconsin, along with Guam and the U.S. Virgin Islands. New York's law was the one the OCC analyzed directly.
The requirements aren't all alike.
California generally requires lenders to pay at least 2% interest on qualifying escrow accounts. New York also generally requires 2%, while Oregon uses a rate tied to Treasury securities. Connecticut and Rhode Island base their requirements on savings-account rates, and other states use still different formulas.
Nevertheless, the OCC concluded the laws interfere with federally chartered banks' ability to determine the terms of their escrow accounts.
## States say OCC manufactured a conflict
The states argue that the OCC essentially created its own justification for eliminating their laws.
Their complaint describes what it calls a "twin-regulation" strategy: First, the OCC issued a rule giving national banks broad discretion over escrow terms. Then it ruled that state laws interfere with that newly declared federal discretion.
The states contend Congress never authorized the agency to create federal banking powers simply to manufacture conflicts with state consumer laws.
They also argue the OCC applied the wrong legal test.
Under the [Dodd-Frank Act](https://www.congress.gov/bill/111th-congress/house-bill/4173/text?ref=consumernews.ai), a state consumer-finance law generally may be displaced only if it "prevents or significantly interferes" with a national bank's exercise of its federal powers.
The states say the OCC substituted a much looser standard — whether a law limits a bank's "flexibility" or business judgment.
That distinction could affect far more than escrow interest.
## Supreme Court has already warned against blanket preemption
The lawsuit relies heavily on the Supreme Court's 2024 decision in [*Cantero v. Bank of America*](https://supreme.justia.com/cases/federal/us/602/22-529/?ref=consumernews.ai), which involved New York's escrow-interest requirement.
The Supreme Court rejected an approach under which state laws could be swept aside simply because they affected a federally authorized banking activity. Instead, courts must make a practical assessment of how seriously a particular state law interferes with national-bank powers.
The states say the OCC's new rules effectively revive the categorical approach the Supreme Court rejected.
There's already disagreement among federal appeals courts.
The Ninth Circuit has upheld California's escrow-interest law against a National Bank Act challenge, and in 2025 reaffirmed that conclusion after the Supreme Court's *Cantero* ruling. The First Circuit has similarly upheld Rhode Island's law. The Second Circuit, however, has held that New York's law is preempted.
That split makes another Supreme Court intervention increasingly possible.
## How much money is involved?
For an individual homeowner, escrow interest usually isn't a windfall. But it is the homeowner's money.
Suppose a borrower carries an average escrow balance of $6,000 during the year. A 2% requirement would produce about $120 annually.
At $10,000, the interest would be about $200.
Multiply those amounts by hundreds of thousands of mortgages and the dispute becomes economically significant.
Without an interest requirement, banks can hold consumers' escrow funds without paying them anything for the use of the money.
The [OCC argues](https://www.occ.gov/news-issuances/bulletins/2026/bulletin-2026-21.html?ref=consumernews.ai) that federal law gives national banks flexibility to decide whether and how much interest to pay and says state mandates interfere with that authority.
## Why this case matters beyond mortgages
The broader fight concerns how much authority states still have over national banks.
Congress tightened the rules governing federal preemption when it passed Dodd-Frank after the 2008 financial crisis. Among other things, the law rejected the idea that federal banking regulation automatically occupies the entire field, required individualized consideration of state laws and required substantial evidence to support certain OCC preemption findings.
The states contend the OCC did not produce evidence showing that escrow-interest laws caused banks meaningful losses, restricted mortgage lending or otherwise significantly interfered with banking operations.
If the OCC's approach survives, states fear the same method could be used elsewhere: define a broad federal banking power, give banks discretion over how they exercise it, and then declare state restrictions on that discretion preempted.
That could potentially weaken state authority over other areas of consumer finance. For now, however, the immediate question is much narrower:
**When a bank holds a homeowner's money for months at a time, can a state require the bank to pay the homeowner interest on it?**
Ten states say yes. The OCC says federal banking law says otherwise.
A federal judge — and quite possibly the Supreme Court — may ultimately decide.
### Cheap groceries may carry a hidden health cost, study finds
URL: https://www.consumernews.ai/cheap-groceries-may-carry-a-hidden-health-cost-study-finds/
Last updated: 2026-08-18T20:18:48.000Z
#
- **Living near a traditional grocery store was associated with lower rates of obesity, diabetes and high blood pressure in a new nationwide study.**
- **Living near dollar stores showed the opposite pattern, with higher rates of the same health problems even after researchers accounted for neighborhood social and economic vulnerability.**
- **The findings suggest that simply having a food store nearby isn't enough — what the store sells may matter just as much.**
A dollar store may look like a bargain when grocery prices are straining the household budget. But new research suggests there can be another cost that's harder to see at the checkout counter.
Communities with better access to traditional supermarkets and grocery stores generally had lower rates of obesity, diabetes and high blood pressure, while communities with greater access to dollar stores tended to have higher rates of those conditions, according to a study published in [*BMC Public Health*](https://link.springer.com/article/10.1186/s12889-026-28145-y?ref=consumernews.ai).
The findings don't prove that shopping at a dollar store causes diabetes or obesity. But they raise an important question about the way researchers and policymakers think about access to food.
A store nearby isn't necessarily the same thing as **healthy food nearby**.
“Healthy food offerings such as fresh produce, whole grains, and lean proteins largely differ between traditional grocery stores and dollar stores,” the researchers wrote.
That distinction may be increasingly important as families squeezed by food prices turn to discount retailers to stretch their grocery dollars.
[Healthy bargains when food choices are limitedHealthy food isn’t always the most expensive. There are plenty of low-cost alternatives.ConsumerNews.aiThe Editors](https://www.consumernews.ai/healthy-bargains-when-food-choices-are-limited/)
## Not all grocery stores are alike
Researchers Ryan Bruellman, Jessica Finlay, Ilana Bennett and Chandra Reynolds examined food-store access across metropolitan areas in the contiguous United States.
They classified traditional grocery stores as “standard quality” food sources and dollar stores as “low quality” sources because of differences in the availability of foods such as fresh produce, whole grains and lean proteins.
The researchers then compared access to those stores with neighborhood-level estimates of obesity, diabetes and high blood pressure from the Centers for Disease Control and Prevention's [500 Cities Project](https://www.cdc.gov/places/index.html?ref=consumernews.ai).
They also adjusted their analysis using the CDC's Social Vulnerability Index, which incorporates socioeconomic factors that could otherwise help explain differences in health.
The pattern was striking.
Across the country and within most regions, greater proximity to traditional grocery stores was associated with lower levels of adverse health outcomes.
Greater proximity to dollar stores was associated with higher levels of all of the health outcomes examined, even after researchers adjusted for social vulnerability.
For preliminary work underlying the study, Bruellman [geocoded](https://lists.ucr.edu/pipermail/geospatial/attachments/20260122/a7577f1c/attachment-0001.pdf?ref=consumernews.ai) more than 370,000 food-source locations from 2016 through 2020 and examined access within roughly a 10-minute drive in metropolitan census tracts.
## A problem with the idea of a 'food desert'
For years, policymakers have worried about “food deserts” — neighborhoods where residents lack convenient access to supermarkets or other sources of fresh, nutritious food.
But the new study suggests that measuring distance to the nearest food seller may not tell the whole story.
A neighborhood containing several dollar stores could technically have plenty of places selling groceries while residents still have limited access to fresh produce, whole grains and other foods associated with a healthier diet.
The researchers say dollar stores have often been omitted from traditional food-environment research altogether.
That is increasingly [difficult to justify](https://link.springer.com/article/10.1186/s12889-026-28145-y?ref=consumernews.ai) as discount chains have expanded their grocery offerings and become important food sources for many households. ([Springer](https://link.springer.com/article/10.1186/s12889-026-28145-y?ref=consumernews.ai))
The distinction also matters when governments decide which neighborhoods need help attracting supermarkets or improving food access.
If policymakers simply count stores, a community with several retailers selling mostly packaged and highly processed foods could appear adequately served.
The study suggests researchers should be asking another question: **What kind of food can residents actually buy there?**
## Cheap food can still be expensive
That's where the research intersects with the household grocery budget.
Dollar stores can be extremely useful for consumers trying to stretch limited incomes. They sell canned foods, staples, snacks and household goods at prices that can be attractive, particularly when the alternative supermarket is several miles away.
But low price alone doesn't necessarily make a food a good value.
Highly processed foods can provide lots of calories inexpensively while supplying less fiber and fewer of the nutrients found in fruits, vegetables, whole grains and other minimally processed foods.
And over the long term, diets dominated by those foods have been associated with chronic illnesses that can be extraordinarily expensive to manage.
That doesn't mean consumers need to abandon dollar stores — or spend heavily at premium supermarkets.
Many inexpensive foods are also highly nutritious.
Beans, lentils, oats, brown rice, canned fish, peanut butter, frozen vegetables and canned vegetables can all provide substantial nutritional value without the price tags attached to specialty “health foods.”
The larger issue is whether consumers have meaningful choices nearby.
## Association isn't causation
There is an important limitation to the findings.
This was an observational, neighborhood-level study. It cannot show that the presence of a dollar store caused residents to become obese or develop diabetes or hypertension.
Many factors influence those conditions, including income, genetics, exercise, health care access and individual eating habits.
People also don't necessarily shop at the store closest to their homes.
The researchers attempted to account for socioeconomic differences through the Social Vulnerability Index, but no statistical adjustment can eliminate every potential explanation.
The study nevertheless found the contrasting associations between store types across much of the country, which the authors say makes food quality an important factor for future research and public policy.
## What this means for consumers
The research offers a useful rule of thumb for grocery shopping:
**Don't measure value solely by the price of the package.**
A $2 food that supplies several servings of protein, fiber and other nutrients may ultimately be a better value than a $1 snack that provides mostly calories.
Consumers shopping at dollar stores can also improve the nutritional quality of their carts by looking for foods such as beans, canned tuna, oats, nuts, peanut butter, brown rice and canned or frozen fruits and vegetables when they're available.
And there's a broader lesson.
Having a grocery store nearby doesn't necessarily mean a neighborhood has good access to healthy food.
> The researchers argue that future food policy should take account not merely of **how far people have to travel for groceries, but what they'll find when they get there.**
### Healthy bargains when food choices are limited
URL: https://www.consumernews.ai/healthy-bargains-when-food-choices-are-limited/
Last updated: 2026-08-18T20:21:12.000Z
#
Shopping at a dollar store or small discount market doesn't mean every item has to be highly processed. Availability varies greatly, but these are some of the better-value foods to look for:
**Beans and lentils**
Canned or dried beans provide protein and fiber and can stretch soups, chili, rice dishes and tacos. Rinsing canned beans can reduce sodium.
**Oatmeal**
Plain oats are inexpensive, filling and a good source of fiber. They're usually a better nutritional buy than heavily sweetened breakfast cereals.
**Peanut butter**
It provides protein and unsaturated fats, stores well and requires no refrigeration. Check the label for varieties without large amounts of added sugar.
**Canned tuna, salmon or sardines**
Shelf-stable fish can be a relatively inexpensive source of protein and, depending on the variety, omega-3 fats.
**Brown rice and whole grains**
When available, whole-grain versions generally provide more fiber than highly refined grains.
**Canned vegetables**
They're nutritious, inexpensive and won't spoil in the refrigerator. Look for low-sodium or no-salt-added versions when available — or rinse regular canned vegetables before serving.
[Cheap groceries may carry a hidden health cost, study findsLiving near a traditional grocery store was associated with lower rates of obesity, diabetes and high blood pressure in a new nationwide study.ConsumerNews.aiThe Editors](https://www.consumernews.ai/cheap-groceries-may-carry-a-hidden-health-cost-study-finds/)
**Frozen fruits and vegetables**
If the store has a freezer section, plain frozen produce can be one of the best bargains around. You use only what you need, so there's little waste.
**Canned fruit**
Choose fruit packed in water or its own juice rather than heavy syrup when possible.
**Nuts and seeds**
They can look expensive by the package, but a serving is small and they provide protein, fiber and healthy fats.
### Watch the unit price
A dollar-store package isn't automatically cheaper.
Discount retailers sometimes sell smaller packages, so compare the price per ounce, pound or serving with supermarket prices when you can.
A $1.25 package can be more expensive than a $3 supermarket package if you're getting only one-third as much food.
### A useful shopping rule
When money is tight, try to build the cart around foods that provide more than one thing:
**protein + fiber**
**protein + healthy fats**
**whole grains + fiber**
**fruit or vegetables + vitamins and minerals**
The cheapest calories aren't always the cheapest nutrition.
I like this version considerably better. It retains the affordability angle that caught our attention in the first place, but the study gives it a much more concrete finding — **a “food store” isn't necessarily meaningful food access.**
### Meta goes on trial to face charges it purposely made Instagram and Facebook hard to turn away from
URL: https://www.consumernews.ai/meta-goes-on-trial-to-face-charges-it-purposely-made-instagram-and-facebook-hard-to-turn-away-from/
Last updated: 2026-08-18T20:47:28.000Z
- Meta faces a potential penalty of $1.4 trillion in case brought by four states. Attorneys say it could equal or exceed the tobacco settlements of the 1990s.
- The suit charges that Meta knew its platforms were hard for kids to break away from, dooming them to spend hours online that harmed their physical and emotional development.
- It's one of a series of actions alleging harm by social media and the outcomes so far have gone beyond financial penalties, with defendants ordered to clean up their acts.
Meta has another day in court, as it faces charges that its Instagram and Facebook platforms were purposely designed to drive excessive use by children and teens, while misleading users, their parents and the public about the danger.
“Meta designed Facebook and Instagram to keep kids on the platforms longer and longer — to the point of physical and mental harm. Exploiting our most vulnerable residents to boost corporate profits is not only morally wrong, it’s also illegal,” said California Attorney General Rob Bonta, one of four state AGs prosecuting the case, in a [pretrial news release](https://oag.ca.gov/news/press-releases/ahead-opening-statements-attorney-general-bonta-lays-out-case-against-meta-over?ref=consumernews.ai).
Meta has estimated that the states filing the lawsuit will be seeking penalties that could total about [$1.4 trillion](https://www.consumernews.ai/meta-says-states-are-seeking-1-4-trillion-in-teen-social-media-case/) if they prevail at trial, according to Reuters and the New York Post.
The trial opened in U.S. District Court in Oakland. The lawsuit, [filed in 2023](https://oag.ca.gov/news/press-releases/attorney-general-bonta-files-lawsuit-against-meta-over-harms-youth-mental-health?ref=consumernews.ai), alleges that Meta illegally collected and used the data of children under the age of 13 who used its platforms, made decisions in designing its platforms that drove excessive use and put young users at risk, and that it lied to users, their families, and the public about the safety of Facebook and Instagram.
In doing so, the suit argues, it violated federal and state laws, including the Children’s Online Privacy Protection Act, California's False Advertising Law, and California’s Unfair Competition Law.
### Meta has been on the losing end
Bonta and the coalition of AGs from Colorado, Kentucky and New Jersey have secured numerous decisions leading up to the latest case. In 2024, Bonta [blocked an attempt](https://oag.ca.gov/news/press-releases/attorney-general-bonta-secures-court-decision-largely-denying-meta%E2%80%99s-attempt?ref=consumernews.ai) by Meta to dismiss the coalition’s lawsuit. In June 2026, a court [fully denied](https://oag.ca.gov/system/files/attachments/press-docs/show%5Ftemp.pl-11.pdf?ref=consumernews.ai) Meta’s attempt to obtain summary judgment that would have terminated this lawsuit. And just last week, a court [dismissed](https://oag.ca.gov/news/press-releases/attorney-general-bonta-celebrates-yet-another-court-order-denying-meta%E2%80%99s-attempt?ref=consumernews.ai) Meta’s appeal challenging this lawsuit based on [Section 230 of the Communications Decency Act](https://uscode.house.gov/view.xhtml?req=%28title:47%20section:230%20edition:prelim%29&ref=consumernews.ai) and denied Meta's motion to stop the trial.
The suit cites evidence that excessive time online is associated with depression, anxiety, eating disorders, susceptibility to addiction, and interference with daily life — including learning. Additional time that young people spend online is associated with an increased severity in symptoms of depression, studies have found. And the AGs argue that evidence shows Meta is and has been aware of the adverse mental health consequences imposed on underage users.
The current trial August trial follows several courtroom setbacks for social media companies.
In March, a [New Mexico jury](https://www.consumernews.ai/new-mexico-seeks-37b-platform-overhaul/) found Meta’s platforms harmful to children’s mental health and imposed a $375 million penalty. The case was one of the first major jury verdicts in the new wave of social media child-safety litigation.
Around the same time, a [Los Angeles jury](https://www.consumernews.ai/meta-google-found-liable-jury-doubles/) found Meta and YouTube liable in a case brought by a young woman who said Instagram and YouTube contributed to severe mental health problems. The jury awarded $6 million, with Meta responsible for 70% and Google’s YouTube responsible for 30%, according to reports from The Guardian and Business Insider. ([The Guardian](https://www.theguardian.com/media/2026/mar/25/jury-verdict-us-first-social-media-addiction-trial-meta-youtube?utm%5Fsource=chatgpt.com))
Both companies have denied wrongdoing and are expected to keep fighting the cases. Appeals could take years.
[Meta Social Media News TrackerMeta ordered to pay $567 million — and change Facebook and Instagram to protect childrenA New Mexico judge ordered Meta to pay $567 million into programs addressing harms to young people, bringing the company’s liability in the state case to $942 million.ConsumerNews.aiJames R. HoodMeta says states are seekingConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-social-media-news-tracker/)
## Why families should care
The litigation could affect more than Meta’s balance sheet. State attorneys general and private plaintiffs are seeking not only money but also changes in how social media platforms operate for young users.
Potential remedies could include stronger age verification, limits on targeted data collection, restrictions on addictive design features, more parental controls, changes to recommendation systems, and outside monitoring of youth-safety practices.
New Mexico, for example, has pursued court-ordered changes that could include platform redesigns, a monitor and limits on features such as infinite scrolling, according to [Source New Mexico](https://www.consumernews.ai/new-mexico-seeks-37b-platform-overhaul/). Earlier this month, State District Judge Bryan Biedscheid ruled that Meta’s Facebook and Instagram platforms constitute a “public nuisance” in New Mexico and [ordered the company to pay $567 million](https://www.consumernews.ai/meta-ordered-to-pay-567-million-and-change-facebook-and-instagram-to-protect-children/) into a fund intended largely to provide mental-health treatment and other services for young people.
The judge concluded that New Mexico teenagers are experiencing a mental-health crisis and that Meta’s platforms were a significant contributing cause.
For parents, the cases underscore a practical point: social media safety is not just about what children see online. It is also about how platforms are engineered to keep them engaged.
### It was no accident, states argue
“Nearly three years ago, we took action because we believed Meta was putting profits ahead of the health and safety of our kids. Now we are ready to present the evidence and make our case,” said Colorado Attorney General Phil Weiser. “Meta knew its platforms could harm young people, yet continued practices designed to keep them hooked — sacrificing sleep, being distracted in school, and even considering suicide — because more time online meant more money for Meta."
“This week, we’re in court with the largest consumer protection lawsuit in American history. We’ll show a jury that Meta concealed what it knew about the harm its products cause young people because looking away was more profitable,” said Kentucky Attorney General Russell Coleman. “AGs are in the perfect position to get this done. We did it with the Tobacco Settlement in the 1990s. We did it with the companies behind the opioid crisis. We’ll do it again with Meta.”
“Meta has endangered the mental health of an entire generation of kids, with addictive features it knew would have these horrific effects,” said New Jersey Attorney General Jennifer Davenport.
### National Safety Recall - Aug. 18
URL: https://www.consumernews.ai/national-safety-recall-aug-18/
Last updated: 2026-08-18T21:13:49.000Z
##
### Prolon almond-cocoa spread — undeclared tree nuts
**L-Nutra is recalling Prolon Apulian Almond & Cocoa Spread** because testing found **undeclared cashew, pistachio and hazelnut**. People with severe allergies to those tree nuts could suffer a serious or life-threatening reaction. FDA says **one confirmed allergic reaction has already been reported**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/l-nutra-issues-allergy-alert-undeclared-tree-nuts-prolon-brand-apulian-almond-cocoa-spread?ref=consumernews.ai))
The recalled product is:
- **Prolon Apulian Almond & Cocoa Spread**
- 8.47-ounce glass jar
- UPC **850040360530**
- Lot **L2755**
- Expiration date **January 2, 2027**
It was sold through Prolon’s e-commerce site, both individually and in some Prolon product bundles. Consumers with tree-nut allergies should **stop eating it immediately** and discard it or follow the company’s recall-return procedure. FDA says this is the only lot currently known to be affected. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/l-nutra-issues-allergy-alert-undeclared-tree-nuts-prolon-brand-apulian-almond-cocoa-spread?ref=consumernews.ai))
### Other agency checks
**FDA:** Its current recall listing shows no August 18 posting yet. The newest FDA recalls remain the August 17 **Oma’s Pride raw dog food Salmonella recall**, the **Dairyland Produce jalapeño Salmonella recall**, and the newly noted **Prolon allergen recall**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
**CPSC:** We found no new August 17 or August 18 national product recall. The latest major batch remains the August 13 recalls previously covered.
**NHTSA:** No new urgent vehicle-recall alert was posted today. NHTSA’s August 18 announcement is a Labor Day impaired-driving enforcement campaign, not a recall. ([NHTSA](https://www.nhtsa.gov/press-releases/drive-sober-or-get-pulled-over-labor-day-2026?ref=consumernews.ai))
**USDA FSIS:** We found no new meat, poultry or processed-egg recall or public-health alert dated August 17 or August 18.
So the **Prolon tree-nut recall is the only significant new consumer recall since the previous roundup**, and it is worth noting because the product has a long shelf life and a reaction has already occurred.
### FTC probes company behind MyChart, which tracks millions of health records
URL: https://www.consumernews.ai/ftc-probes-company-behind-mychart-which-tracks-millions-of-health-records/
Last updated: 2026-08-18T13:58:28.000Z
- **The Federal Trade Commission is investigating Epic Systems, the giant health-records company behind MyChart and software used by providers treating more than 280 million Americans.**
- **Investigators are reportedly examining whether Epic improperly restricts competitors’ access to patient data — potentially limiting competition in a market at the center of modern health care.**
- **For patients, the fight raises a basic question: Who really controls your medical record when hospitals, insurers and outside health apps need to exchange it?**
The federal government is investigating whether one of the most powerful — and largely invisible — companies in American health care has used its control over electronic medical records to suppress competition.
The Federal Trade Commission has opened an antitrust investigation into [Epic Systems](https://www.epic.com/?ref=consumernews.ai), according to Reuters, which cited two people familiar with the matter. The FTC has sent investigative demands to companies in the health-technology industry seeking information about how Epic grants or restricts access to patient data, according to a Reuters report in [Insurance Journal](https://www.insurancejournal.com/news/national/2026/08/17/881655.htm?ref=consumernews.ai).
Epic is hardly a household name, but its software sits between millions of Americans and their medical information.
The Wisconsin-based company operates the widely used MyChart patient portal and provides electronic health-record systems to hospitals and medical practices around the country. Epic says health providers using its products collectively treat more than 280 million U.S. patients.
That scale makes the FTC inquiry much more than a dispute among software companies. At stake are the systems that determine how easily medical records can move among doctors, hospitals, insurers and other health-care services.
## What the FTC is looking at
Neither the FTC nor Epic has disclosed details of the investigation.
[Reuters reported](https://www.reuters.com/world/us-ftc-probing-health-records-company-epic-systems-2026-08-14/?ref=consumernews.ai), however, that regulators are asking industry participants about the way Epic provides — or withholds — access to data stored in its systems.
Epic denies engaging in anticompetitive conduct.
“We’re leaders in interoperability to support patient care, and we do not engage in anticompetitive behavior,” an Epic spokesperson told Reuters. Epic has also maintained that hospitals and other health-care providers, rather than Epic itself, ultimately control access to patient records. The FTC declined to comment.
The investigation comes after several other challenges to Epic's business practices.
## Texas has already sued
Texas Attorney General Ken Paxton [sued Epic](https://www.naag.org/multistate-case/texas-v-epic-systems-corp/?ref=consumernews.ai) in December 2025, alleging that the company uses its position in electronic medical records to make it harder for hospitals to use competing products.
The Texas lawsuit alleges that Epic can restrict competitors’ access to data and impose fees or other obstacles on health systems that want to use rival services. It also challenges aspects of MyChart involving parental access to teenagers' medical records, [The Wall Street Journal](https://www.wsj.com/us-news/law/texas-sues-medical-tech-firm-epic-systems-over-parent-access-to-child-records-4436fbc3?utm%5Fsource=chatgpt.com) reported.
Epic has called the Texas allegations flawed and misguided and says its customers regularly share information with outside applications.
The case illustrates a larger issue underlying the FTC investigation: Electronic medical records were supposed to make health information easier to move from one provider to another. But control of the software connecting those records can itself become an important source of market power.
## A competitor's lawsuit is also moving ahead
Health-data company [Particle Health](https://www.particlehealth.com/?ref=consumernews.ai) [sued Epic](https://www.particlehealth.com/blog/epic-systems-stranglehold-on-u-s-medical-records-harms-patient-care-lawsuit?ref=consumernews.ai) in federal court in 2024, accusing it of monopolizing parts of the medical-records market and interfering with Particle's ability to serve insurers and other customers.
Particle provides technology that retrieves and analyzes patient records, including information insurers traditionally gathered through slower manual processes. It alleged that Epic erected barriers that discouraged prospective clients from doing business with Particle.
“Epic Systems controls the medical information of nearly every American – meaning one private company has unchecked power over our health care,” [said](https://www.consumernews.ai/amazon-brings-back-forced-arbitration-and-makes-it-harder-for-customers-to-sue/) Particle Health CEO Jason Prestinario. “Now, Epic is using that power to thwart an emerging industry intended to bring payers and providers into closer collaboration for better patient care.”
Epic denied the charges and accused Particle of obtaining confidential medical information under improper pretenses — an allegation Particle disputed.
In September 2025, a federal judge rejected Epic's attempt to dismiss a significant part of Particle's antitrust case, allowing allegations that Epic unlawfully monopolized a market involving medical records to proceed.
## There's another side to the data-access battle
The controversy is complicated by a genuine problem facing medical-record networks: Making health information easier to exchange can also make it easier to misuse.
Epic itself sued several companies in January, alleging they improperly accessed more than 300,000 patient records by posing as legitimate health-care providers and then supplied some of the information to plaintiffs' lawyers looking for potential clients.
The records allegedly included names, diagnoses, laboratory results and medications.
In March, one telehealth company acknowledged accessing patient records under false pretenses as part of a proposed consent judgment in that litigation, although it maintained that it had acted in good faith.
That creates an unusually difficult regulatory problem.
Health-information systems need enough interoperability to allow patients and legitimate providers to move records where they're needed — but enough security to stop outsiders from exploiting those same connections.
## Why consumers should care
Consumers normally don't choose their hospital's electronic-record vendor. Yet that vendor can have enormous influence over how readily their information follows them through the health-care system.
More competition and better interoperability could make it easier for a patient changing doctors or health systems to have records transferred without repeating tests, filling out the same medical history repeatedly or tracking down information from multiple providers.
It could also allow new companies to develop tools that help patients organize health records, compare care or coordinate treatment.
But unrestricted access carries obvious privacy risks. Medical records contain some of the most sensitive information consumers generate, and recent litigation shows how systems designed for legitimate information exchange can potentially be abused.
The FTC therefore appears to be confronting two competing concerns: **whether Epic has placed unnecessary barriers around patient information to protect its market position,** and **whether some restrictions are legitimately needed to protect patients and their data.**
An FTC investigation by itself does not establish wrongdoing, and regulators have not announced any enforcement action against Epic.
But with Epic's systems touching the records of hundreds of millions of Americans, the outcome could help determine something consumers have been promised for years but still don't always experience in practice:
**A medical record that can safely follow the patient, rather than being effectively trapped inside the health-care system that created it.**
### Amazon brings back forced arbitration — and makes it harder for customers to sue
URL: https://www.consumernews.ai/amazon-brings-back-forced-arbitration-and-makes-it-harder-for-customers-to-sue/
Last updated: 2026-08-18T12:28:03.000Z
#
Amazon has quietly made a major change in the legal rights of millions of its U.S. customers, reinstating mandatory arbitration and requiring consumers to give up their right to participate in most class-action lawsuits.
The revised [Conditions of Use](https://www.amazon.com/gp/help/customer/display.html?nodeId=GLSBYFE9MGKKQXXM&ref=consumernews.ai) took effect Aug. 14, and Amazon told customers that continuing to use its services constitutes acceptance of the new terms.
That means a consumer who develops a dispute with Amazon generally will no longer be able to sue the company in ordinary court. Instead, the claim must be taken to a private arbitrator. Amazon says consumers still have the option of bringing qualifying claims in small claims court.
“We determined that reinstating the arbitration clause will offer customers a fast, cost-effective way to resolve disputes while still giving them the option of going to small claims court,” an [Amazon spokesperson told Reuters](https://www.reuters.com/legal/government/amazon-reinstates-binding-arbitration-bars-class-action-lawsuits-2026-08-14/?ref=consumernews.ai).
For consumers, however, the change has another important consequence: Amazon's new agreement includes a [class-action waiver](https://www.amazon.com/gp/help/customer/display.html?nodeId=GLSBYFE9MGKKQXXM&ref=consumernews.ai), requiring arbitration to be conducted on an individual basis rather than as part of a class or representative action.
That can matter enormously when the financial harm to each customer is relatively small.
A consumer who believes Amazon improperly charged $20 or $50 may have little incentive to hire an attorney and pursue an individual case. But if the same thing happened to millions of people, a class action can combine those claims into a lawsuit large enough to pursue.
Mandatory arbitration largely eliminates that route.
## Amazon tried arbitration before
There is an unusual twist to Amazon's decision: the company previously had a mandatory arbitration clause and removed it in 2021 after consumers began using arbitration on a massive scale.
At the time, about 75,000 customers filed arbitration claims alleging that Amazon's Alexa service recorded users without their consent, according to [Insurance Journal](https://www.insurancejournal.com/news/national/2026/08/17/881860.htm?ref=consumernews.ai).
Companies had long embraced mandatory arbitration partly because it prevented consumers from banding together in class actions.
But consumer lawyers discovered a counterstrategy.
Because arbitration agreements generally required companies to pay substantial filing and administrative costs, attorneys began filing thousands of individual arbitration demands simultaneously — a strategy known as mass arbitration.
Instead of defending one class-action lawsuit, companies suddenly faced tens of thousands of individual cases and potentially millions of dollars in arbitration fees.
Amazon responded in 2021 by dropping its arbitration provision and requiring disputes to be litigated in courts in Washington state.
Now it has reversed course again.
## The new rules address mass arbitration
Amazon's latest agreement appears designed partly to prevent a repeat of the experience that led it to abandon arbitration five years ago.
Under the new terms, 25 or more arbitration demands involving the same or similar issue filed within six months may be treated as a “mass arbitration.”
Those cases can then be processed in batches of at least 25 rather than all proceeding independently at once.
The provision could reduce the leverage consumers gained by filing thousands of simultaneous individual cases.
In effect, Amazon is retaining one of arbitration's biggest advantages for corporations — eliminating most class actions — while adopting procedures intended to control the mass-arbitration tactic that previously made arbitration expensive for the company.
## What arbitration changes
Arbitration is essentially a private alternative to court.
Instead of presenting a case to a judge or jury, the parties submit the dispute to an arbitrator. Arbitration can be faster and less formal than litigation, and arbitrators can generally award damages and other individual relief.
But there are important differences.
Proceedings typically take place privately rather than in an open courtroom, arbitration decisions generally do not create public legal precedents, and opportunities to appeal an arbitrator's ruling are much narrower than in conventional litigation.
Class actions can also expose widespread practices that might otherwise generate only small individual claims.
Amazon's new terms specifically state that consumers and the company agree disputes will generally be resolved through binding arbitration rather than court and that arbitration proceedings must take place on an individual basis.
## You probably didn't click “I agree”
Another noteworthy part of the change is how Amazon implemented it.
Rather than requiring customers to affirmatively click a new agreement, Amazon notified customers by email and said that continued use of any Amazon service confirms acceptance of its Conditions of Use, according to [Reuters](https://www.reuters.com/legal/government/amazon-reinstates-binding-arbitration-bars-class-action-lawsuits-2026-08-14/?utm%5Fsource=chatgpt.com).
That kind of contract — where the terms governing a consumer relationship can change through updated online conditions — has repeatedly generated legal disputes over whether consumers received adequate notice and actually agreed to the provisions.
The enforceability of any arbitration clause can ultimately be challenged in court, so inclusion of the language does not necessarily guarantee that every future lawsuit will automatically be dismissed.
## Existing lawsuits aren't affected
There is one significant grandfather clause.
Amazon says the new arbitration agreement does not apply to litigation already pending before Aug. 14, 2026.
Existing class actions and other lawsuits therefore can continue under the rules that applied when they were filed.
For everyone else, the practical message is simpler: the terms governing an ordinary Amazon purchase now extend well beyond shipping dates and return policies.
By continuing to use Amazon, customers are also entering into an agreement governing where — and how — they can seek legal relief if something goes wrong.
### Doxo fined $2 million for using misleading search ads
URL: https://www.consumernews.ai/doxo-fined-2-million-for-using-misleading-search-ads/
Last updated: 2026-08-17T20:15:21.000Z
Online bill payment firm Doxo will pay $2.1 million to settle Federal Trade Commission allegations that the company and two of its co-founders used misleading search ads to impersonate consumers’ billers and misled consumers about millions of dollars in fees they tacked on to consumers’ bills.
In a [2024 complaint](https://www.ftc.gov/news-events/news/press-releases/2024/04/ftc-takes-action-against-bill-payment-company-doxo-misleading-consumers-tacking-millions-junk-fees?ref=consumernews.ai), the FTC alleged that Doxo and two of its co-founders, Steve Shivers and Roger Parks, used search ads and other advertisements to trick consumers into using Doxo’s third-party bill payment platform to pay utility, car loan and other bills by disguising itself as the official payment channel for those bills.
In fact, Doxo’s landing page often featured other companies’ names and sometimes even their logos. Doxo did not, however, have a relationship with the overwhelming majority of the companies it claimed were part of its payment network, according to the complaint.
### Misleading fees, ads
The FTC alleged that Doxo added extra “delivery fees,” which were not clearly disclosed, onto the bills it paid on behalf of consumers. Doxo also deceptively signed consumers up for its recurring subscription program. For example, Doxo failed to clearly and conspicuously disclose that delivery fees are waived only for certain payment methods and failed to clearly and conspicuously disclose the price of the subscription.
“Misleading search text ads thwart consumers’ pursuit of information and undermine the integrity of the marketplace,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection, in a [news release](https://www.ftc.gov/news-events/news/press-releases/2026/08/bill-payment-firm-doxo-pay-21-million-settle-ftc-allegations-it-deceived-consumers-charged-them-add?ref=consumernews.ai). “Today’s action underscores the FTC’s commitment to stopping deceptive search text ads so that consumers can connect confidently with legitimate businesses, avoid hidden fees and make informed decisions.”
At the request of the FTC, a federal court found that Doxo violated the Restore Online Shoppers’ Confidence Act for failing to clearly disclose subscription terms and failing to obtain consumers’ consent for subscription charges.
Under the [proposed order](https://www.ftc.gov/legal-library/browse/cases-proceedings/doxo-timeline-item-2026-08-17?ref=consumernews.ai) settling the FTC’s allegations, Doxo will be required to pay $2.1 million, which will be used for consumer redress. Doxo, Shivers and Parks also will be prohibited from:
- Misrepresenting their affiliation with billers when promoting or offering bill payment services and from using a biller’s website address in any search advertisement or using the branded name or logo of any biller in a manner that misrepresents that Doxo is affiliated with the biller;
- Making misrepresentations regarding the amount consumers will pay, the nature or purpose of any fee or charge and the total cost or fees to use the defendants’ bill pay platform;
- Using false representations to obtain customer’s financial information;
- Making misrepresentations regarding a negative option feature, including the ability to cancel, and must notify consumers when they will be charged for a particular good or service, the deadline that customers must act to prevent or stop charges and the amount consumers will be charged unless they take steps to prevent the charges; and
- Charging consumers without obtaining their expressed informed consent.
### National Safety Recall - Aug. 17
URL: https://www.consumernews.ai/national-safety-recall-aug-17/
Last updated: 2026-08-17T20:07:35.000Z
##
### Oma’s Pride raw dog food — Salmonella, three dogs sick
**Miller Foods is recalling one lot of Oma’s Pride Woof Complete Canine Chicken Recipe** after FDA testing found *Salmonella*. FDA says **three illnesses in dogs have been reported**; no human illnesses have been reported. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/updated-omas-pride-voluntarily-recalls-one-lot-woof-complete-canine-chicken-recipe-6-lb-bag-because?ref=consumernews.ai))
The recalled product is:
- **Oma’s Pride Woof Complete Canine Chicken Recipe**
- 6-pound frozen bag containing twelve 8-ounce portions
- Lot **BB012729**
- SKU **F-WOOFC-6**
- Best-by **January 27, 2029**
- UPC **8 7938400145 9**
About **639 bags** are affected. They were distributed in Arizona, California, Indiana, Kentucky, Louisiana, Maryland, New Jersey, Nevada, New York, Pennsylvania and Virginia, including direct-to-consumer online sales. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/updated-omas-pride-voluntarily-recalls-one-lot-woof-complete-canine-chicken-recipe-6-lb-bag-because?ref=consumernews.ai))
This matters to people as well as pets. FDA warns that people can contract Salmonella from **handling contaminated pet food or touching bowls, containers or surfaces exposed to it**. Consumers should stop feeding the food, dispose of it, wash and sanitize bowls and containers, and thoroughly wash their hands.
### Jalapeños sold at Costco — possible Salmonella
FDA today posted another recall involving **5-pound bags of jalapeño peppers repacked by Hardie’s Fresh Foods/Dairyland Produce** because of possible *Salmonella* contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/hardies-fresh-foods-recalls-jalapenos-because-possible-health-risk?ref=consumernews.ai))
The peppers were distributed to two Costco stores in Texas:
**Costco #1487, Stafford, Texas**, and **Costco #0655, Dallas, Texas**.
Affected lot codes are **X2741775, X2741859, X2744163, X2744706, X2746349, X2746490 and X2748743**. Production dates range from July 11 through July 22\. Consumers should return the peppers for a refund rather than eat them. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/hardies-fresh-foods-recalls-jalapenos-because-possible-health-risk?ref=consumernews.ai))
This is another reminder that the current jalapeño Salmonella problem has spread through multiple suppliers and prepared-food chains, so consumers who still have older jalapeños in their refrigerators should check their source before using them.
### Other agency checks
**CPSC:** No newer recall has been posted since the **August 13 batch** already covered. The current CPSC listing still begins with those recalls and warnings, including the Brookstone fire pits, Taleco Gear baby swings and jumpers, Goody King magnetic toys, Merax Murphy beds and the fatal-entrapment slide-playset warning. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
One item from that batch worth emphasizing, if it wasn't prominent enough previously, is the **Goody King magnetic building-toy recall affecting about 213,500 units**. Loose high-powered magnets can be swallowed and attract each other through intestinal tissue, causing perforations, blockages, blood poisoning and death. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**NHTSA:** We found no new urgent national vehicle-safety recall alert dated August 16 or 17\. The latest high-profile national alert remains the **462,869-vehicle Kia Telluride park-outside recall** because the power-seat motor can overheat and cause a fire while the SUV is being driven or parked. ([NHTSA](https://www.nhtsa.gov/press-releases/park-outside-recall-kia-tellurides?utm%5Fsource=chatgpt.com))
**USDA FSIS:** The official recall list still shows **August 8** as its latest current recall/public-health-alert activity; I found no new August 16 or 17 meat, poultry or processed-egg recall. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com))
**The Oma’s Pride recall is today’s strongest new item.** Raw pet food recalls are easy to overlook, but the exposure route includes the people handling the food—and in this case illnesses have already been reported in dogs.
### Millions of cars can catch fire while parked — leaving owners with few good options
URL: https://www.consumernews.ai/millions-of-cars-can-catch-fire-while-parked-leaving-owners-with-few-good-options/
Last updated: 2026-08-17T18:16:31.000Z
#
Most auto recalls warn about something that can go wrong while you're driving.
An increasingly common category carries a more unsettling warning: **Don't even park the vehicle in your garage.**
Millions of Americans have been told to park recalled cars and SUVs outdoors and away from homes, garages and other vehicles because an electrical component or battery can ignite even when the vehicle is switched off.
The Washington Post [reports](https://www.washingtonpost.com/business/2026/08/17/they-were-told-park-outside-then-their-cars-burst-into-flames/?ref=consumernews.ai) that these so-called “park outside” recalls have surged, with 17 campaigns covering roughly 1.7 million vehicles announced during the first seven months of 2026 alone. An estimated 3.2 million vehicles currently have an outstanding park-outside recall, according to Carfax.
The warning isn't theoretical.
Late last year, a 2022 Jeep Wrangler plug-in hybrid belonging to a Minnesota family caught fire just days after its owner learned that the vehicle had been recalled because its high-voltage battery could ignite. No one was injured, but the Jeep was destroyed, according to a lawsuit described by The Post.
The underlying Jeep recall covered more than 320,000 Wrangler and Grand Cherokee plug-in hybrids. [NHTSA warned owners](https://www.nhtsa.gov/press-releases/park-outside-recall-jeep-wrangler-phev?ref=consumernews.ai) to park the vehicles outside and not charge them until repairs were completed because damaged battery cells could cause a fire while the vehicle was parked or being driven.
## It's not just electric cars
Battery fires in electric vehicles attract plenty of attention, but the growing park-outside problem extends well beyond EVs. In fact, gas-powered cars have been bursting into flames for years, often when fluids drip onto hot engine parts and ignite.
A decade or two ago, there were frequent reports of Ford trucks catching fire while parked. There were even a couple of cases of firefighters' personal trucks erupting into flames and burning down the fire station.
In June, Stellantis [recalled](https://www.nhtsa.gov/press-releases/urgent-park-outside-warning-issued-1-million-jeeps?ref=consumernews.ai) 1,076,999 Jeep Wrangler and Gladiator vehicles because an electrical connection in the power-steering pump wiring could overheat and start a fire. NHTSA said it was aware of 51 fires and one injury potentially associated with the problem.
Then in July, Kia issued [another park-outside recall](https://www.nhtsa.gov/press-releases/park-outside-recall-kia-tellurides?ref=consumernews.ai) covering 462,869 model-year 2020 through 2024 Tellurides because a power-seat motor could overheat. Those vehicles had previously been recalled in 2024 for the same issue.
BMW, Hyundai, Kia and other manufacturers have issued similar warnings in recent years.
## Why turning off the car doesn't necessarily make it safe
The phenomenon is sometimes called a “key-off fire.”
Unlike older cars in which shutting off the ignition disabled most electrical systems, today's vehicles have circuits that remain energized to operate alarms, computers, battery-management systems, remote-entry systems and other electronics.
The Post [cites auto-safety experts](https://www.washingtonpost.com/business/2026/08/17/they-were-told-park-outside-then-their-cars-burst-into-flames/?ref=consumernews.ai) who say newer vehicles also contain more components packed into tighter spaces, while some systems remain hot after the engine is shut down.
That means an electrical short or overheating component doesn't necessarily stop being dangerous when the driver removes the key or walks away. A vehicle parked quietly in an attached garage could therefore begin burning hours later — potentially threatening the house before anyone notices.
NHTSA says that heightened risk is why it created the formal “park outside” designation in 2015 and later made the warning more prominent in its online recall listings.
## The awkward question: Where are owners supposed to park?
The warnings sound straightforward: Park outdoors, away from structures and other vehicles.
For millions of Americans, that may be much easier said than done.
A homeowner with a driveway may be able to move the vehicle away from an attached garage. Someone living in an apartment or condominium with shared or underground parking may have no obvious alternative.
Street parking can create another dilemma. Moving a vehicle away from the house may reduce the fire risk to the building but increase exposure to theft, vandalism or weather damage.
And some warnings remain in effect for weeks or months while manufacturers develop replacement parts, train dealers or produce enough components to repair every affected vehicle.
As auto-safety researcher Sean Kane put it to The Post: “Where are you going to park it?”
That's increasingly becoming one of the uncomfortable gaps in the recall system: Manufacturers can warn owners about a serious hazard before they necessarily have a repair ready.
## What consumers should do
Owners shouldn't ignore a park-outside notice simply because the vehicle appears to be operating normally. The entire reason for the warning is that a fire may occur without the usual signs of a mechanical breakdown.
NHTSA recommends checking recalls by entering a vehicle's license plate or 17-character VIN at its [recall website](https://www.nhtsa.gov/recalls/vehicle-safety-recalls-week?ref=consumernews.ai). Recall repairs performed by an authorized dealer are free.
If your vehicle has a park-outside recall:
**Follow the parking instructions literally.** Keep the vehicle outdoors and as far as practical from homes, garages and other vehicles until the repair is completed.
**Pay attention to additional warnings.** Some plug-in vehicle recalls also instruct owners not to charge the battery.
**Contact a dealer immediately.** Even when parts aren't available yet, ask to be placed on the repair list and document the conversation.
**Ask the manufacturer about transportation assistance.** Depending on the recall and automaker, loaner cars, rentals or other accommodations may sometimes be available, although they are not automatically guaranteed.
**Don't assume a previous recall repair settled the issue forever.** Kia's latest Telluride campaign, for example, includes vehicles previously recalled over the same fire hazard.
And don't rely solely on a recall letter arriving in the mail. Used-car purchases, address changes and delays in manufacturer records can mean notifications don't always reach the current owner promptly.
A VIN check takes only a minute.
## A recall category worth taking especially seriously
Most recalled vehicles never experience the defect that triggered the recall.
But park-outside recalls deserve unusual attention because the danger isn't confined to the road — or even to the time when someone is using the car.
A defective vehicle sitting quietly in a garage can potentially threaten the vehicle next to it, the house above it and the people sleeping inside.
That's why “park outside” isn't simply bureaucratic recall language.
It's a fire warning.
### Travel Watch: Americans trade down rather than stay home
URL: https://www.consumernews.ai/travel-watch-americans-trade-down-rather-than-stay-home/
Last updated: 2026-08-17T12:49:12.000Z
Travel has become a test of how far consumers will stretch a discretionary budget. Airfares were up 26 percent in June from a year earlier, while gasoline remained above $4 a gallon, according to [CNBC’s summer travel report](https://www.cnbc.com/2026/08/13/higher-prices-summer-travel.html?ref=consumernews.ai).
Despite those costs, Americans planned to spend an average of nearly $2,900 on travel this summer, and 71 percent of respondents in an April PricewaterhouseCoopers survey said they expected to spend the same amount or more than last summer, CNBC reported.
The willingness to travel does not mean the financial pressure has disappeared. CNBC described the season as “the summer of tradeoffs,” with households facing higher costs for both essential and discretionary purchases, according to [the report](https://www.cnbc.com/2026/08/13/higher-prices-summer-travel.html?ref=consumernews.ai). Families may keep the vacation but shorten it, choose a less expensive hotel, drive instead of fly or cut other spending around the trip.
Airlines are also signaling that lower prices may not be around the corner. U.S. airfare was up 26.5 percent in June from a year earlier, according to federal data cited by [CNBC](https://www.cnbc.com/2026/08/02/flights-are-getting-even-more-expensive-as-fuel-prices-rise.html?ref=consumernews.ai). Airline executives said customers were continuing to book after fare increases and that carriers expected fuel bills to rise by billions of dollars from the previous year because of the war with Iran, CNBC reported.
The split is visible inside the airplane. Bloomberg described a market in which flying has become cheaper and more accessible for some travelers but more stratified and stressful for others, with $199 fares existing alongside crowded coach cabins and scarce overhead-bin space, according to [Bloomberg Opinion](https://www.bloomberg.com/opinion/newsletters/2026-08-15/us-economy-air-travel-is-a-good-indicator-of-where-we-re-headed?ref=consumernews.ai). For consumers, the headline fare can be only the first decision in a chain of baggage, seat, food, ground-transportation and schedule tradeoffs.
### **Housing and mortgages: a small rate break cannot fix a supply gap**
Just staying home might be a solution to rising travel prices but it's expensive too. Mortgage rates stopped rising and brought a modest amount of demand back to the market last week. The average contract rate for a 30-year fixed mortgage with a conforming balance of $832,750 or less fell to 6.77 percent from 6.81 percent, according to [CNBC’s housing report](https://www.cnbc.com/2026/08/12/mortgage-rates-finally-stop-rising-causing-demand-to-trickle-back-.html?ref=consumernews.ai).
Total mortgage applications rose 3.6 percent from the prior week, while applications to refinance increased 5 percent, according to CNBC. Even so, refinancing activity was 22 percent below the same week a year earlier, and purchase applications were up 3 percent week over week but down 1 percent from a year earlier, CNBC reported.
The numbers show why a small rate move is not the same as a housing recovery. Existing-home sales fell 1.7 percent in July to a 4.06 million-unit annual pace, the second monthly decline in a row, according to [Reuters’ housing report](https://www.reuters.com/business/us-existing-home-sales-post-second-straight-monthly-decline-july-2026-08-11/?ref=consumernews.ai). The median existing-home price rose 2 percent from a year earlier to $434,100, while inventory fell 1.9 percent to 1.54 million units, Reuters reported.
High prices and high borrowing costs are reinforcing each other. Bloomberg said years of underbuilding have left the United States with a housing deficit of about 10 million homes, a figure the White House cited earlier this year, according to [Bloomberg](https://www.bloomberg.com/news/articles/2026-08-12/us-home-prices-keep-buyers-priced-out-share-your-story?ref=consumernews.ai). The Midwest had been a relative affordability refuge, but Bloomberg said it was beginning to lose that advantage as prices climbed.
That leaves buyers weighing the monthly payment against the cost of waiting. A buyer who can qualify at 6.77 percent may still face a price that is too high, while a buyer who waits for rates to fall risks finding fewer homes or facing another increase in prices. The result is a market in which a little more activity can coexist with continued exclusion.
### CFPB will stop publishing consumers' stories about banks and lenders
URL: https://www.consumernews.ai/cfpb-will-stop-publishing-consumers-stories-about-banks-and-lenders/
Last updated: 2026-08-16T18:31:20.000Z
#
One of the federal government's most useful windows into how consumers are treated by financial service companies is about to become considerably less transparent.
The Consumer Financial Protection Bureau has announced that it will stop publishing the written narratives that consumers voluntarily make public when filing complaints against banks, mortgage companies, credit bureaus, debt collectors and other financial businesses.
The decision drew sharp criticism Friday from the [National Consumer Law Center](https://www.nclc.org/cfpb-hides-corporate-wrongdoing-from-public-view?ref=consumernews.ai) and [PIRG](https://pirg.org/media-center/statement-cfpb-to-stop-publishing-detailed-narratives-in-consumer-complaint-database/?ref=consumernews.ai), which argue that the narratives provide information that complaint statistics alone cannot capture.
The change doesn't mean consumers can no longer complain to the CFPB. But it removes a feature that has allowed anyone to search the database and read detailed descriptions of problems consumers say they encountered.
That's an important distinction. Knowing that a company received 2,000 complaints about credit reporting is useful. Reading what happened to those consumers can reveal whether many of them are describing essentially the same problem.
## More than 17 million complaints
The CFPB has collected consumer complaints since 2011 and began publishing consumer narratives in 2015.
The narratives are voluntary: consumers must choose to make their descriptions public, and the bureau says it takes steps to remove personal information before publication. The CFPB also [cautions](https://www.consumerfinance.gov/data-research/consumer-complaints/?ref=consumernews.ai) that it does not verify the accuracy of the narratives or adopt consumers' accounts as its own.
More than 17 million complaints have been published in the database since December 2011, according to PIRG and NCLC. NCLC says the bureau received more than 6.5 million requests for help in 2025 alone, sent to more than 4,000 companies for review and response.
The bureau's existing database includes information such as the financial product involved, the type of problem reported, the company, geographic information and how the company responded.
But the narrative field has provided something different: context.
A category might say "incorrect information on your report." A narrative can explain that a consumer repeatedly disputed a debt belonging to someone else, supplied documents to a credit bureau and nevertheless continued to see the account reported.
That difference can be critical when trying to determine whether an apparent individual problem is actually happening to thousands of people.
[CFPB News TrackerThe CFPB’s wings have been clipped by the Trump Administration and it is struggling to survive.ConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
## Why the narratives matter
The database has become a resource not only for consumers but for journalists, researchers, lawmakers, regulators, attorneys and consumer organizations.
The CFPB itself [says](https://www.consumerfinance.gov/data-research/consumer-complaints/?ref=consumernews.ai) complaints can provide insights into problems consumers are encountering and can help the bureau regulate financial markets, enforce consumer laws and educate the public.
NCLC argues that public narratives provide an early-warning system for emerging financial abuses.
"The sunlight gleaned from complaint narratives informs many stakeholders, including law enforcement agencies, Congress, and the press, on what problems are occurring in their communities," Adam Rust, director of financial services for the Consumer Federation of America, said in the [NCLC release](https://www.nclc.org/cfpb-hides-corporate-wrongdoing-from-public-view/?ref=consumernews.ai).
That can become especially important when something new goes wrong.
A predetermined complaint category may not capture a novel scam, servicing practice or fintech problem. But dozens of consumers independently describing the same experience can expose the pattern.
## Consumers also use complaints to research companies
The database has another, simpler purpose: consumers can use it before choosing a financial company. Someone considering a mortgage servicer, credit card, lender or other financial service can search complaints and see what customers say happens when something goes wrong.
PIRG Consumer Campaign Director Mike Litt said removing that information will make it harder for people to make informed purchasing decisions.
PIRG also [argues](https://pirg.org/media-center/statement-cfpb-to-stop-publishing-detailed-narratives-in-consumer-complaint-database/?ref=consumernews.ai) that public disclosure gives companies an additional incentive to resolve complaints rather than allow recurring problems to become publicly visible. Nearly six million consumers who filed CFPB complaints have received some form of relief, according to PIRG, including refunds and corrections to credit reports.
Public complaints don't establish that a company violated the law, of course. The CFPB explicitly warns users that complaints aren't necessarily representative of a company's customers and that companies with more customers naturally may receive more complaints.
But that's an argument for reading complaint data carefully, not necessarily for withholding it.
## An example of what could be lost
The importance of narratives is illustrated by the CFPB's own research.
In an earlier bureau examination of the emerging home-equity-contract industry, researchers reviewed 38 consumer complaints. Twenty-one included published narratives, and six of those consumers — 29% — used the word "predatory" to describe the products.
More importantly, the narratives revealed *why* consumers were unhappy.
They described surprise over repayment amounts, confusion about contract terms, disputes over home valuations, problems refinancing mortgages and fears that selling their homes might be their only way to repay the contracts.
A database containing only "home equity contract — complaint" would preserve the count but it would lose much of the story.
## Part of a broader CFPB retreat
The database change also comes amid a much larger transformation of the CFPB.
Under the Trump administration, the bureau has reduced enforcement and supervisory activity, reconsidered rules adopted under previous leadership and sought to substantially reduce its workforce and regulatory footprint.
Consumer advocates therefore view the complaint change not as an isolated website decision but as part of a broader reduction in federal consumer-finance oversight.
NCLC described the move as shielding financial companies from public scrutiny. PIRG expressed concern that eliminating narratives could eventually be followed by restrictions on other publicly available complaint information.
The administration and financial industry have argued more broadly that the CFPB under previous leadership was too aggressive and imposed unnecessary regulatory burdens on legitimate businesses.
The dispute over the complaint database poses a somewhat different question, however. Publishing consumer accounts isn't itself an enforcement action. It makes information available so consumers and others can decide what significance to attach to it.
## What isn't changing
Consumers should not interpret the announcement to mean that the CFPB complaint process is shutting down.
The bureau continues to accept complaints and forward eligible complaints to companies for response.
Under the existing system, only complaints sent to companies are eligible for publication. The CFPB says they generally [become public](https://www.consumerfinance.gov/data-research/consumer-complaints/?ref=consumernews.ai) after the company confirms a commercial relationship and responds, or after 15 days, whichever occurs first.
Other structured complaint information can therefore remain available even without the narratives.
But a database can be technically public while becoming much less informative. Removing the narratives converts millions of detailed consumer experiences into categories, counts and company responses.
For statistical analysis, that information remains useful. For understanding what actually happened to consumers, considerably less so.
## What this means for consumers
The immediate lesson is simple: the CFPB complaint process is still worth using.
A complaint can still be forwarded to the company, and the process can result in a response or relief even if the consumer's account is no longer subsequently published for everyone else to see.
But consumers researching a financial company will have to rely more heavily on other sources — state regulators, court filings, consumer organizations, news reports and other complaint repositories — to learn what other customers say went wrong.
The change also makes preserving documentation even more important. Keep statements, screenshots, emails, letters, contracts and records of telephone calls when disputing a problem with a financial company.
And when filing a complaint, describe the problem clearly even if the narrative won't be publicly searchable. The company and CFPB can still use the information in handling the complaint.
## The bigger issue: an archive is more than a pile of data
There's a broader consequence to removing consumer narratives.
Complaint databases become increasingly valuable as they age because recurring accounts allow researchers to compare today's problems with those reported years earlier.
A newly emerging practice may initially appear to be an isolated problem. Hundreds of similar narratives can turn anecdotes into a pattern worthy of investigation.
The CFPB database has accumulated more than a decade of that institutional memory.
Removing the narratives doesn't merely make tomorrow's complaints harder to understand. Over time, it risks making one of the country's richest collections of firsthand consumer-finance experiences substantially less useful as an early-warning and accountability system.
That's why the controversy isn't really about a website feature.
It's about whether consumers should be able to see what other consumers are experiencing in the financial marketplace — and whether companies should have to operate under that public scrutiny.
**More about:** [CFPB Consumer Complaint Database](https://www.consumerfinance.gov/data-research/consumer-complaints/?ref=consumernews.ai)
### National Safety Recall - Aug. 15
URL: https://www.consumernews.ai/national-safety-recall-aug-15/
Last updated: 2026-08-15T20:46:25.000Z
One new consumer-facing FDA food recall stands out since the previous roundup, along with an FDA upgrade of a hospital-device recall to its most serious classification.
### H-E-B and NatureBest products recalled in Salmonella jalapeño outbreak
**NatureBest Precut & Produce is recalling multiple NatureBest- and H-E-B-brand products containing jalapeños** supplied by Coast Citrus Distributors because of possible *Salmonella* contamination. FDA published the recall on **August 14**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/naturebest-precut-produce-llc-voluntarily-recalls-products-containing-jalapenos-due-potential?ref=consumernews.ai))
The products were distributed in **Texas and Louisiana** and include **H-E-B pico de gallo, diced jalapeños, jalapeño-popper stuffed mushrooms, NatureBest pico de gallo, diced jalapeños and soup mix**. Several H-E-B pico de gallo varieties have use-by dates of **August 15**, meaning affected containers could still be sitting in refrigerators today. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/naturebest-precut-produce-llc-voluntarily-recalls-products-containing-jalapenos-due-potential?ref=consumernews.ai))
This recall is part of the continuing outbreak tied to jalapeños from Sinaloa, Mexico. FDA says the outbreak has caused **345 illnesses in 27 states and 36 hospitalizations**, with no deaths reported. Consumers should not eat affected products; discard them or return them to the retailer.
Among the products worth checking immediately are **H-E-B Pico de Gallo Medium, Hot and Mango, 14-ounce containers**, with affected use-by dates extending through August 15, and **NatureBest Pico de Gallo Mild 4-ounce containers** with dates through August 15\.
### Baxter IV sets upgraded to FDA’s most serious recall class
FDA has classified the recall of certain **Baxter Duo-Vent Solution Sets** as **Class I, its most serious recall category**, because air can potentially enter the IV line during pressure infusion. ([U.S. Food and Drug Administration](https://www.fda.gov/medical-devices/medical-device-recalls-and-early-alerts/intravascular-administration-set-recall-baxter-removes-duo-vent-solution-sets?ref=consumernews.ai))
In vulnerable patients, an Iair embolism could lead to **stroke, heart ischemia or death**. The affected product is Baxter Duo-Vent Solution Set product code **1C8507**, lots **DR26C27062, DR26D14031 and DR26E13055**. Hospitals and other users have been told to stop using and quarantine affected lots. No serious injuries or deaths had been reported as of FDA’s latest update.
### Other agency checks
**CPSC:** No new August 14 or August 15 recall appeared beyond the large August 13 batch already covered, including the Cooluli minifridges, Brookstone fire pits and children’s-product hazards. CPSC’s current recall page still shows August 13 as its newest batch. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
**NHTSA:** We found no new urgent nationwide vehicle-recall alert dated August 14 or August 15\. NHTSA’s press-release page still lists the **July 9 Kia Telluride park-outside fire recall** as its latest major national consumer recall alert. ([NHTSA](https://www.nhtsa.gov/press-releases?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new meat, poultry or processed-egg recall or public-health alert dated August 14 or August 15 in the agency’s current listings. The latest major FSIS action remains the previously reported alert covering meat and poultry products containing recalled jalapeños. ([FSIS](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-various-meat-and-poultry-products-containing-fda?utm%5Fsource=chatgpt.com))
### National Safety Recalls - Aug. 14
URL: https://www.consumernews.ai/national-safety-recalls-aug-14/
Last updated: 2026-08-14T22:16:44.000Z
### Walmart Marketside tomato bisque — possible Listeria
**Kettle Cuisine is recalling 3,240 packages of Marketside Tomato Bisque Soup Kit** sold exclusively at selected Walmart stores because testing indicated possible *Listeria monocytogenes* contamination.
Look for:
- **Marketside Tomato Bisque Soup Kit**
- **14 oz.**
- UPC **194346474004**
- Use-by date **August 22, 2026**
The soup was distributed to Walmart stores in numerous states, including California, New York, Pennsylvania, Texas, Virginia and others. No illnesses had been confirmed when the recall was announced. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/kettle-cuisine-recalls-marketside-tomato-bisque-soup-kit-sold-exclusively-walmart-stores-because?ref=consumernews.ai))
Listeria can be especially dangerous for pregnant people, older adults and people with weakened immune systems. Consumers should **not eat the soup** and should discard it or return it for a refund. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/kettle-cuisine-recalls-marketside-tomato-bisque-soup-kit-sold-exclusively-walmart-stores-because?ref=consumernews.ai))
### Also worth noting
CPSC’s August 13 batch also includes **8,981 DUMOS nine-drawer dressers** that can tip over onto children; **1,750 Deli Jerry fuel containers** lacking child-resistant closures; **1,050 Yamazuki youth ATVs** with parking-brake, speed-limiter and visibility defects; mattresses that fail federal flammability requirements; carbon bicycle forks that can cause crashes; and electric pressure washers lacking required GFCI protection. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
FDA also posted a **Whole Foods recall involving guacamole, salsa, pico de gallo and prepared foods containing jalapeños** associated with the ongoing Salmonella investigation. Those products were sold in 12 states and carry Best Before/By dates running as late as **August 16**, so some may still be in refrigerators. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/whole-foods-market-announces-recall-select-salsas-guacamole-pico-de-gallo-and-prepared-foods?ref=consumernews.ai))
**NHTSA:** We found no new urgent national vehicle-recall alert dated August 13 or August 14\. The latest major NHTSA consumer alert remains the previously reported **462,869 Kia Tellurides** that should be parked outside because of a power-seat motor fire risk. Owner notification for that recall began August 13\. ([NHTSA](https://www.nhtsa.gov/press-releases/park-outside-recall-kia-tellurides?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new major meat, poultry or processed-egg recall dated August 13 or August 14 in the current official results.
### Food safety: recall notices follow the pepper supply chain
URL: https://www.consumernews.ai/food-safety-recall-notices-follow-the-pepper-supply-chain/
Last updated: 2026-08-14T13:27:21.000Z
Taylor Farms has initiated a recall involving products with fresh peppers grown in Sinaloa, Mexico, after the peppers were linked to 345 salmonella cases nationwide, according to [The New York Times’ recall explainer](https://www.nytimes.com/2026/08/13/business/taylor-farms-recalls-cyclospora-salmonella.html?ref=consumernews.ai). The recalled products include sliced jalapeños, burritos, guacamole and salsa sold under Taylor Farms and retailer house brands, the newspaper reported.
The peppers were shipped to more than half the states and were used in prepared foods sold at Kroger, Target and Whole Foods, according to [The New York Times](https://www.nytimes.com/2026/08/13/business/taylor-farms-recalls-cyclospora-salmonella.html?ref=consumernews.ai). Taylor Farms bought the produce from Coast Citrus Distributors, which sourced it from a farm in Sinaloa, rather than growing the peppers itself, the paper reported.
Whole Foods said certain salsas, guacamole, pico de gallo and prepared jalapeño products with “Best Before” or “Best By” dates between Aug. 7 and Aug. 12, and between Aug. 9 and Aug. 14, were included in its recall, according to [CBS News](https://www.cbsnews.com/news/whole-foods-jalapeno-recall-salmonella-fda/?ref=consumernews.ai). The products were sold in 12 states, including Texas, Oklahoma, Louisiana, Arkansas, Wisconsin, Michigan, Illinois, Indiana, Iowa, Missouri, Kentucky and Ohio, CBS reported.
No illnesses had been reported in connection with the Whole Foods products, according to [CBS News](https://www.cbsnews.com/news/whole-foods-jalapeno-recall-salmonella-fda/?ref=consumernews.ai). The Food and Drug Administration said Coast Citrus agreed to recall the peppers and that Chipotle, Qdoba and Taylor Farms also removed products, while stores receiving Taylor Farms products included Hannaford, Kroger, Stop and Shop, Target, Trader Joe’s, Walmart and Whole Foods, CBS reported.
### Cyclospora probe continues
The response is unfolding alongside a separate cyclospora investigation tied to iceberg lettuce. Acting FDA Commissioner Kyle Diamantas said the agency’s updated guidance for processors recommends sanitation controls, supplier verification and refrigeration, according to [Reuters](https://www.reuters.com/legal/litigation/us-fda-finalizes-new-guidance-freshly-cut-produce-2026-08-11/?ref=consumernews.ai). “Americans should feel confident in eating fresh produce, including leafy greens at this point,” Diamantas said, according to Reuters.
For shoppers, the practical issue is not only whether a product is recalled, but whether an ingredient has traveled through several brands before the warning appears. The FDA said it did not consider the establishments that removed products to pose a current ongoing risk in the outbreak, according to [CBS News](https://www.cbsnews.com/news/whole-foods-jalapeno-recall-salmonella-fda/?ref=consumernews.ai). The episode nonetheless puts dates, store lists and prepared-food labels back at the center of the weekly shopping routine.
### Sprinting vs. running: A few hard minutes may trigger surprisingly big changes in the body
URL: https://www.consumernews.ai/sprinting-vs-running-a-few-hard-minutes-may-trigger-surprisingly-big-changes-in-the-body/
Last updated: 2026-09-02T19:27:24.000Z
For people who insist they don't have time to exercise, researchers have produced an intriguing answer: You may be able to accomplish quite a lot in just a few very uncomfortable minutes.
A [new study](https://www.cell.com/cell-reports-medicine/fulltext/S2666-3791%2826%2900405-2?%5FreturnURL=https%3A%2F%2Flinkinghub.elsevier.com%2Fretrieve%2Fpii%2FS2666379126004052%3Fshowall%3Dtrue&ref=consumernews.ai) from Rockefeller University found that six 30-second, all-out sprints — just three minutes of actual sprinting — produced striking changes in proteins and metabolites circulating in the blood.
The response was much larger than researchers observed after 90 minutes of moderate exercise.
Nearly 25% of the proteins measured changed immediately after sprint exercise, compared with fewer than one-quarter of 1% after 90 minutes of moderate cycling. Moderate treadmill running produced more changes than cycling, but still substantially fewer than sprinting.
Sprinting also changed more than 200 metabolites and triggered increases in proteins involved in blood-vessel growth, tissue remodeling and hormonal signaling.
The peer-reviewed study was published in *Cell Reports Medicine*.
## Three minutes — but not really a three-minute workout
There's an important catch to the attention-grabbing comparison. Participants didn't simply sprint continuously for three minutes and go home.
They performed six 30-second all-out intervals separated by four-minute recovery periods. That makes the session roughly half an hour long, including recovery — although only three minutes involved sprinting.
And "all-out" matters. Sprint interval training is considerably more strenuous than simply running somewhat faster than usual.
Researchers compared the sprint protocol with moderate continuous exercise performed either on a treadmill or bicycle.
The results suggest that exercise intensity itself may be an important signal that causes organs and tissues throughout the body to communicate differently.
## Sprinting changed the blood — and the blood changed fat cells
Researchers went a step further.
They exposed human fat cells grown in the laboratory to plasma collected from participants after exercise.
Blood collected after sprinting caused extensive changes in gene activity in the fat cells, including genes involved in processing fuel, responding to hormones and sensing nutrients.
Blood collected immediately after moderate cycling produced much smaller changes.
Moderate exercise wasn't doing nothing, however. Its molecular response appeared to develop more slowly.
About three hours later, researchers detected a wave of fatty acids and proteins released by the liver — the sort of response expected during sustained endurance exercise.
In other words, sprinting and endurance exercise may not simply be stronger and weaker versions of the same thing.
**They may cause different biological responses.**
## Possible connection to diabetes, obesity and heart disease
Researchers then compared the exercise-responsive proteins with health information from more than 53,000 people in the UK Biobank.
Many of the proteins affected by sprinting were associated with lower risks of cardiovascular and metabolic disease.
The difference was particularly striking for metabolic conditions.Researchers identified 33 proteins associated with reduced risk of obesity, type 2 diabetes and related disorders.
Sprinting altered 32 of the 33\. Moderate exercise altered only three. More than one-quarter of the proteins were also associated with slower biological aging.
That doesn't prove sprinting caused those health outcomes. But it gives researchers clues about how vigorous exercise might produce some of its benefits.
## So is sprinting better than running?
Not necessarily.
The study measured short-term molecular responses, not long-term outcomes such as weight loss, cardiovascular fitness, heart attacks, diabetes or longevity.
A larger molecular response isn't automatically a better one.
Moderate running and other aerobic exercise have decades of evidence behind them and provide benefits that weren't being measured by simply counting proteins immediately after a workout.
Running, brisk walking, swimming and cycling can improve cardiovascular fitness, blood pressure, insulin sensitivity, mood and endurance. They also allow people to exercise considerably longer than they could at maximum intensity.
Sprinting appears to offer something different: an extremely strong physiological stimulus delivered in a very short period of intense effort.
That makes the two forms of exercise potentially complementary rather than competitors.
## Sprinting and running aren't the same exercise
A recreational jogger might describe a fast run as a sprint, but physiologically there is a substantial difference.
**Moderate running:** You can sustain it for many minutes, breathing hard but remaining in control.
**High-intensity intervals:** Very hard efforts lasting perhaps 30 seconds to several minutes, followed by recovery.
**All-out sprinting:** Near-maximal effort that can be maintained only briefly.
The Rockefeller experiment was at the extreme end of that spectrum. Participants performed six genuine all-out 30-second efforts.
That's a much different demand on the heart, lungs, muscles and connective tissue than going out for a 30-minute jog.
## The injury question
This is also where consumers should be cautious.
Going from a largely sedentary lifestyle directly to repeated all-out sprints is not the exercise equivalent of taking a shortcut.
Sprinting places substantial forces on the hamstrings, calves, Achilles tendons, knees and other tissues. Someone accustomed to walking or jogging may have enough cardiovascular capacity to run fast while lacking the muscle and tendon conditioning needed to do it safely.
Age isn't necessarily a barrier to vigorous exercise, but conditioning, cardiovascular health, medications, previous injuries and other medical conditions can matter.
People who have been inactive or have cardiovascular disease or significant medical problems should talk with a health-care professional before suddenly beginning maximal-intensity exercise.
And beginners don't need to reproduce a laboratory sprint protocol to add intensity.
A brisk uphill walk, short faster-running intervals, harder cycling or brief periods of climbing stairs can increase exercise intensity without requiring someone to run down the street at maximum speed.
## What this means
> The most useful takeaway isn't "three minutes of sprinting replaces 90 minutes of exercise." It's that exercise intensity may matter more than many people realize.
The body apparently recognizes a few very hard bursts of exercise as a dramatically different physiological event from prolonged moderate activity, setting off rapid communication among muscles, fat tissue, blood vessels and other organs.
That raises the possibility that a practical exercise program doesn't have to choose between long, steady workouts and very short intense ones.
For many people, the better formula may ultimately turn out to be some of both:
Move regularly. Build aerobic endurance. And, if your health and conditioning permit it, occasionally move very fast.
The Rockefeller findings suggest those few hard minutes may be doing considerably more inside the body than anyone watching the clock would suspect.
But be sure to avoid the “three-minute workout” trap. The actual protocol was six 30-second maximal efforts with four-minute recoveries, so we're talking about roughly a half-hour session, not three minutes from sneakers-on to shower. And the cohorts were tiny — fewer than 20 people in each group and predominantly male.
### Want to try sprint intervals? Start gradually
The new research makes sprinting sound enticing: a few very hard efforts produced much larger immediate molecular changes than prolonged moderate exercise.
But don't go from the couch to six all-out 30-second sprints.
Sprinting puts much greater forces on muscles and tendons than jogging does, particularly the hamstrings. A gradual progression lets those tissues adapt to high-speed running.
### A safer way to begin
- **Build a base first.** Be comfortable walking briskly, jogging, cycling or doing another aerobic activity regularly before adding very hard intervals.
- **Warm up.** Spend 10 to 15 minutes walking or jogging easily, followed by dynamic movements such as leg swings and progressively faster short runs. Don't make your first fast effort your first movement of the day.
- **Don't start at 100%.** For the first few sessions, try short accelerations at perhaps 60% to 70% of what feels like maximum speed rather than an all-out sprint.
- **Keep the intervals short.** Beginners might start with four to six faster efforts lasting 10 to 20 seconds, with plenty of easy walking or jogging between them.
- **Increase speed gradually.** Over several weeks, move toward harder efforts only if you're recovering comfortably and aren't experiencing pain.
- **Allow recovery.** Sprint training doesn't need to be done every day. Muscles and connective tissues need time to recover from unusually intense loading.
- **Strengthen your legs.** Hamstring and other lower-body strengthening can help prepare muscles for high-speed running. Research has found particularly strong injury-prevention benefits from eccentric hamstring exercises.
- **Stop if something hurts.** Sudden hamstring, calf, Achilles tendon, knee or chest pain isn't something to "run through."
### You don't have to sprint
There's no requirement to run at maximum speed to benefit from interval training.
People who aren't runners can increase intensity with fast uphill walking, cycling, swimming, an elliptical machine or stair climbing. A short interval that leaves you breathing hard can provide vigorous exercise without the impact and peak forces of an all-out running sprint.
### Who should be especially cautious?
People who have been sedentary, have known cardiovascular or significant medical conditions, take medications that affect exercise response, or have a history of serious muscle, tendon or joint injuries should consider talking with a health-care professional before beginning maximal-intensity exercise.
And remember what the new study actually found: sprinting produced unusually large short-term molecular responses. It did not prove that sprinting is safer, healthier or a substitute for regular aerobic exercise.
The sensible takeaway is simpler:
Keep moving — and if you're healthy and conditioned enough for it, adding a little speed may provide benefits that steady exercise alone doesn't.
### National Safety Recalls - Aug. 13
URL: https://www.consumernews.ai/national-safety-recalls-aug-13/
Last updated: 2026-08-13T21:10:40.000Z
### 250,000 Cooluli minifridges — fires, melting and smoke inhalation
**Cooluli is recalling about 250,000 10-liter and 15-liter minifridges** because an electrical switch can short circuit and cause the units to overheat or catch fire.
CPSC has received **at least 19 reports of smoking, sparking, burning, melting, overheating or fires**, causing more than $80,000 in property damage. One person suffered smoke inhalation. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Cooluli-Recalls-10-Liter-and-15-Liter-Minifridges-Due-to-Fire-and-Burn-Hazards?ref=consumernews.ai))
The recall covers certain **Infinity, Classic, Glow Beauty and Vibe Series** models sold on Amazon and Cooluli.com from January 2019 through October 2024\. Affected batch numbers are **1535–1545 and 1200000–1202080**. Owners should unplug the refrigerator and contact Cooluli for a free replacement power cord.
### Brookstone tabletop fire pits — dangerous flame jetting
About **48,700 Brookstone-branded tabletop fire pits** are being recalled because burning alcohol can produce uncontrolled pool fires and **flame jetting**, in which burning fuel can suddenly shoot from a container and cause severe or fatal burns.
CPSC says consumers should **stop using the fire pits immediately** rather than attempt to modify or repair them. The affected products include models **BSFIREPIT01 and BSFIREPIT02**. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Southern-Telecom-Recalls-Brookstone-Branded-Tabletop-Fire-Pits-Due-to-Risk-of-Serious-Burn-Injury-or-Death-from-Flame-Jetting-and-Fire-Hazards?ref=consumernews.ai))
This is a particularly serious hazard because flame-jetting incidents involving alcohol-fueled fire products can engulf people before they have time to react.
### 41,100 Taleco baby swings and jumpers — falls and strangulation
**Taleco Gear is recalling about 41,100 baby jumpers, baby swings and combination jumper/swings.**
CPSC says the products can become unstable, creating **fall and impact hazards**, while hanging restraint straps and openings in the seats can create a **strangulation hazard**. Consumers should immediately stop using the products and obtain a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Taleco-Gear-Recalls-Baby-Jumpers-Baby-Swings-and-2-in-1-Baby-Jumper-Swings-Due-to-Risk-of-Serious-Injury-or-Death-from-Fall-and-Strangulation-Hazards?ref=consumernews.ai))
### Children's slide playset — one death reported
CPSC issued an unusually strong **stop-use warning** for **Model WPX-4 slide playsets manufactured by Wenzhou Yidian Amusement Equipment**.
Openings in the structure are large enough for a child's torso to pass through but too small for the head, creating a potentially fatal **head-and-neck entrapment hazard**. CPSC says **one child has died**. Consumers should immediately stop using the playset and dispose of it; the agency specifically says not to sell or give it away. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Warnings/2026/CPSC-Warns-Consumers-to-Stop-Using-Slide-Playsets-Immediately-Due-to-Risk-of-Serious-Injury-and-Death-from-Head-and-Neck-Entrapment-Hazards-One-Death-Reported-Manufactured-by-Wenzhou-Yidian-Amusement-Equipment-Co-Ltd?ref=consumernews.ai))
### Merax Murphy beds — frame can fall during assembly
About **1,250 Merax Murphy beds** are recalled because the wall-bed frame can fall during assembly or disassembly, potentially crushing or cutting someone.
CPSC warns of **impact, crush and laceration hazards capable of causing death**. Consumers should stop using affected beds and obtain a free repair kit; if an already-assembled bed is found to have been assembled incorrectly, the company will provide a professional installer at no charge. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/GigaCloud-Technology-USA-Recalls-Merax-Murphy-Beds-Due-to-Risk-of-Serious-Injury-or-Death-from-Impact-and-Crush-Hazards?utm%5Fsource=chatgpt.com))
### Other CPSC recalls today
CPSC's August 13 batch also includes **Hampton Bay Halwin 52-inch ceiling fans** whose blades can separate — about **9,460 units** — as well as DUMOS nine-drawer dressers that can tip over onto children, mattresses that fail federal flammability requirements, Ritchey carbon bicycle forks that can cause crashes, and several kerosene and gasoline containers that don't meet federal fire or child-safety requirements. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### 🚩 FDA: IV tubing could deliver air into a patient's bloodstream
FDA today classified Baxter's recall of certain **Duo-Vent Solution Sets** as its **most serious type of medical-device recall**.
Affected tubing may allow air into the IV line during pressure infusions or when flushed fully open. In susceptible patients, air reaching the circulation could cause **stroke, myocardial ischemia or death**. No serious injuries or deaths had been reported as of July 15\. ([U.S. Food and Drug Administration](https://www.fda.gov/medical-devices/medical-device-recalls-and-early-alerts/intravascular-administration-set-recall-baxter-removes-duo-vent-solution-sets?ref=consumernews.ai))
Affected product code **1C8507** includes lots **DR26C27062, DR26D14031 and DR26E13055**. Hospitals and other providers are being told to quarantine and return the products. ([U.S. Food and Drug Administration](https://www.fda.gov/medical-devices/medical-device-recalls-and-early-alerts/intravascular-administration-set-recall-baxter-removes-duo-vent-solution-sets?ref=consumernews.ai))
### Raw dog food — Salmonella and three reported illnesses
A recall posted yesterday that wasn't in the previous roundup deserves inclusion: **Oma's Pride Woof Complete Canine Chicken Recipe** raw frozen dog food has tested positive for *Salmonella*.
FDA says **three illnesses have been reported** in association with the complaint that led to testing. Salmonella can infect dogs and can also spread to people handling contaminated food, bowls or surfaces. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/omas-pride-voluntarily-recalls-one-lot-woof-complete-canine-chicken-recipe-6-lb-bag-because-possible?ref=consumernews.ai))
Check for:
- **Oma's Pride Woof Complete Canine Chicken Recipe**
- 6-pound bag
- Lot **BB012729**
- Best-by **January 27, 2029**
- UPC **8 7938400145 9**
Only 639 bags are involved, but they were shipped to consumers and retailers in **Arizona, California, Indiana, Kentucky, Louisiana, Maryland, New Jersey, Nevada, New York, Pennsylvania and Virginia**. Owners should stop feeding it, dispose of it safely and thoroughly sanitize bowls and surfaces. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/omas-pride-voluntarily-recalls-one-lot-woof-complete-canine-chicken-recipe-6-lb-bag-because-possible?ref=consumernews.ai))
### NHTSA and USDA FSIS
**NHTSA:** We found no new urgent national vehicle-recall consumer alert posted August 13\. Routine manufacturer recalls can still be added to NHTSA's database without receiving their own national press release. ([NHTSA](https://www.nhtsa.gov/?utm%5Fsource=chatgpt.com))
**USDA FSIS:** We found no new meat, poultry or processed-egg recall or public-health alert dated August 12 or August 13 beyond the food-safety actions covered in previous roundups.
The Cooluli minifridge recall is probably today's strongest broad-consumer story because of its 250,000-unit scope, documented fires and property damage, and the likelihood that many of these small refrigerators are sitting in bedrooms, dorm rooms and offices. The fatal child-entrapment warning for the slide playset is the most immediately severe hazard.
### AI may soon do your shopping for you. But whose side will it be on?
URL: https://www.consumernews.ai/ai-may-soon-do-your-shopping-for-you-buai-shopping-assistants-are-moving-beyond-product-searches-toward-choosing-sellers-and-eventually-completing-purchases-for-consumers-t-whose-side-w/
Last updated: 2026-08-13T16:11:43.000Z
The next big change in online shopping may be that you don't visit an online store at all.
Instead, you might tell an artificial-intelligence assistant, “Find me a good cordless vacuum under $300 with replaceable batteries and free returns,” and let the software search, compare and recommend what to buy. Increasingly, the industry envisions going one step further: the AI could select the merchant and initiate the purchase as well.
Payments company Adyen says retailers are already preparing for that world — and worrying about what happens when an AI system rather than the retailer becomes the shopper's main point of contact, according to a [Reuters](https://www.reuters.com/business/retail-consumer/rise-ai-shopping-pushes-merchants-protect-loyalty-adyen-says-2026-08-13/?utm%5Fsource=chatgpt.com) report.
For consumers, however, the more important question isn't whether retailers can preserve “customer loyalty.”
It's whether the AI shopping assistant is loyal to **you**.
## Shopping could get dramatically easier
There's a lot to like about the idea.
Conventional online shopping can require opening dozens of browser tabs, sorting through sponsored listings, deciphering nearly identical model numbers and comparing prices, shipping charges, warranties and return policies.
A capable AI shopping assistant could theoretically do much of that work in seconds.
And consumers are already embracing AI as a shopping research tool. Adobe Analytics data cited by Reuters found that 41% of U.S. consumers used generative AI for online shopping in June. AI-referred shoppers also generated 41% more revenue per visit than consumers arriving at retail sites through conventional channels, according to Reuters.
Earlier Adobe data showed the same shoppers were spending more time researching products and converting to purchases at substantially higher rates than other visitors.
That suggests AI may be especially useful for purchases that require research rather than simple replenishment.
But the convenience comes with a new set of questions.
## Why did the chatbot recommend *that* product?
Google search results, Amazon listings and social-media feeds have taught consumers an important lesson: what appears first isn't necessarily what's best.
The same issue could become much harder to see when recommendations arrive conversationally.
Ask an AI assistant for “the best washing machine under $800” and it may confidently produce three choices. But consumers will increasingly need to know:
**Why those three?**
Did the system examine the whole market? Only retailers with which its operator has agreements? Products whose data were easiest for the AI to retrieve? Merchants that pay referral fees? Companies offering the AI platform favorable commercial terms?
Or were they genuinely the products that best matched the shopper's request?
Those distinctions could become one of the central consumer-protection issues of AI commerce.
The Federal Trade Commission has long held that material commercial relationships affecting endorsements and recommendations should be [clearly disclosed](https://www.ftc.gov/business-guidance/resources/ftcs-endorsement-guides-what-people-are-asking?ref=consumernews.ai), and its truth-in-advertising principles apply to online marketing as well as older forms of advertising.
How those principles will work when an algorithm is simultaneously search engine, product adviser and purchasing agent is still developing.
## Retailers want your data — but so will the AI
Reuters' reporting shows another struggle developing behind the scenes.
Retailers including Walmart, Ulta Beauty and Wayfair are trying to make their products easier for AI systems to discover while also encouraging shoppers to finish purchases on the retailers' own websites.
There's a reason.
When shoppers buy directly from a retailer, the company can learn what they searched for, what they put in their cart, what they bought and how frequently they return.
That information helps retailers personalize promotions and build loyalty programs.
Adyen co-CEO Pieter van der Does told Reuters that one merchant he recently spoke with gets about 70% of its volume through direct channels and wants to keep it that way as chatbot shopping grows.
“Loyalty becomes way more important,” he said, according to [Reuters](https://www.reuters.com/business/retail-consumer/rise-ai-shopping-pushes-merchants-protect-loyalty-adyen-says-2026-08-13/?utm%5Fsource=chatgpt.com).
But from a consumer standpoint, moving the transaction to an AI intermediary doesn't necessarily eliminate tracking. It may simply change who possesses the most valuable information about you.
A shopping agent could eventually know far more than any individual store: your clothing sizes, preferred brands, household needs, budget, previous purchases and perhaps even the price at which you're willing to buy.
[Researchers](https://arxiv.org/abs/2604.26220?ref=consumernews.ai) have already begun examining the possibility that information supplied to shopping agents could inadvertently reveal a consumer's willingness to pay — potentially undermining the very shopper the agent is supposed to represent.
## The crucial question: Who does the agent work for?
Consumer Reports has been exploring this question through its [“Loyal Agents” initiative](https://innovation.consumerreports.org/initiatives/loyal-agents/?ref=consumernews.ai).
Its premise is straightforward: AI agents increasingly stand between consumers and the marketplace, so their design should ensure that they act in consumers' interests rather than quietly favoring platforms, advertisers or sellers.
That sounds obvious, but today's internet offers plenty of examples showing why it isn't.
Search engines make money from advertising. Marketplaces earn commissions from sellers. Credit-card companies collect transaction fees. Retailers make more money when customers spend more.
An AI shopping service may eventually have several of those incentives simultaneously.
The best consumer agent would instead behave almost like an extremely diligent personal shopper: compare widely, reveal conflicts, respect a budget, protect private information and explain why it recommends one choice over another.
Whether commercial AI shopping systems ultimately work that way will depend heavily on how their business models develop.
## And what happens when the AI makes a mistake?
Delegating research is one thing. Delegating authority to spend money is another.
[Researchers studying autonomous purchasing](https://arxiv.org/abs/2506.00073?ref=consumernews.ai) have found that AI agents can produce materially different outcomes depending on the system being used, and that automated negotiations and transactions can sometimes result in overspending or poor deals.
That raises practical questions consumers rarely face with today's search engines.
Suppose you tell an agent to spend “around $500” and it spends $650.
Or it chooses a seller with a restrictive return policy.
Or it buys a slightly different model because the desired one is unavailable.
Or a price falls substantially the next day.
Who is responsible — the consumer, the AI company, the retailer or the payment provider?
Those questions become much more important once AI moves from **advice** to **authority**.
## Loyalty programs could become the battleground
Retailers aren't giving up easily.
Ulta Beauty told Reuters that customers arriving through Gemini and ChatGPT were showing roughly twice the conversion and purchase intent of other shoppers. Yet company executive Josh Friedman also described the cost of relying on outside platforms:
“There's Retailers are preparing for a shopping journey in which a chatbot may recommend a product, select a merchant and initiate a payment before a customer ever visits a store’s website. Payments company Adyen said the shift is pushing merchants to protect direct relationships and repeat purchases, according to a [Reuters’ report](https://www.reuters.com/business/retail-consumer/rise-ai-shopping-pushes-merchants-protect-loyalty-adyen-says-2026-08-13/?ref=consumernews.ai).
The stakes are visible in the traffic. A merchant that Adyen co-CEO Pieter van der Does spoke with recently generated 70 percent of its volume through direct channels and wanted to preserve that share as more shoppers began searches through chatbots, [Reuters reported](https://www.reuters.com/business/retail-consumer/rise-ai-shopping-pushes-merchants-protect-loyalty-adyen-says-2026-08-13/?ref=consumernews.ai). “Loyalty becomes way more important,” van der Does said.
Earlier research showed why retailers want the traffic even while they resist losing the customer relationship. AI agents were expected to direct $8 billion in retail spending this year, 41 percent of U.S. consumers used generative AI for online shopping in June, and visitors referred by AI services generated 41 percent more revenue per visit than visitors arriving through traditional channels, according to [Reuters](https://www.reuters.com/business/retail-consumer/retailers-tap-ai-shopping-traffic-fight-keep-customer-data-2026-08-07/?ref=consumernews.ai).
Walmart, Ulta Beauty and Wayfair were among the retailers updating their websites to appear in chatbot recommendations, while encouraging shoppers to complete purchases on their own sites so the companies could retain browsing, basket and purchase data, [Reuters reported](https://www.reuters.com/business/retail-consumer/retailers-tap-ai-shopping-traffic-fight-keep-customer-data-2026-08-07/?ref=consumernews.ai). Ulta’s Josh Friedman said shoppers finding products through Gemini and ChatGPT showed “double the conversion and intent,” but also said, “There’s always a tax for engaging customers on other people’s platforms,” according to [Reuters](https://www.reuters.com/business/retail-consumer/retailers-tap-ai-shopping-traffic-fight-keep-customer-data-2026-08-07/?ref=consumernews.ai).
For shoppers, the change may look like convenience: a natural-language request can narrow products, prices and features faster than a conventional search bar. For retailers, it raises a fundamental question about ownership of the customer. The company that controls the final checkout may also control the data used to shape the next recommendation, loyalty offer and purchase.always a tax for engaging customers on other people's platforms.
That helps explain why loyalty programs are likely to become deeply intertwined with AI shopping.
Retailers may offer special prices, points or perks to persuade customers — or their AI agents — to purchase directly.
Those discounts could benefit consumers.
But they could also complicate comparisons. The cheapest advertised price may not be the cheapest price after membership discounts, credit-card rewards, shipping fees, subscriptions or loyalty points are included.
A genuinely consumer-oriented shopping agent would need to calculate all of those factors rather than merely compare sticker prices.
## Consumers aren't surrendering the decision yet
Despite predictions of autonomous shopping, consumers still appear cautious about handing an AI complete control.
A [recent survey](https://product.ai/research/trust-in-ai-commerce-report/?ref=consumernews.ai) of 1,463 U.S. online shoppers by Product.ai found that 43% had used AI to research products during the previous 90 days — but among those users, 86% said they checked the AI's recommendation against another source before purchasing.
(That may be a healthy habit for some time.
AI can be an extraordinarily efficient research assistant. But today's systems can still make mistakes, overlook alternatives and provide answers without making all of the economic incentives behind those answers obvious.
For now, consumers may be better served by treating AI as a **comparison-shopping assistant rather than an autonomous buyer**.
## What to check before letting AI shop for you
Before allowing a chatbot or shopping agent to make — or eventually complete — a purchase, consumers should consider a few basic questions:
**Ask why it recommends something.** A useful system should be able to explain which specifications, prices or other criteria produced its recommendation.
**Ask what stores it searched.** “Best price” means little if the system checked only a limited group of sellers.
**Look for commercial relationships.** Pay attention to sponsored products, affiliate arrangements or other disclosures that could affect rankings.
**Verify expensive purchases independently.** Check the manufacturer's site, reputable reviews and at least one conventional shopping source before spending substantial money.
**Compare the entire transaction.** Include shipping, membership requirements, return fees, warranties and loyalty rewards — not merely the advertised price.
**Limit purchasing authority.** If an agent can eventually buy without asking permission, use spending limits or require approval above a specified amount whenever those controls are available.
**Know who handles returns and disputes.** Before an AI places the order, determine which merchant is actually selling the item and whose refund policy applies.
AI may eventually become the most powerful comparison-shopping tool consumers have ever had.
But that advantage depends on something the retail industry's emerging fight over customer loyalty makes increasingly clear:
The most important loyalty program in AI shopping may be whether the machine is loyal to the company selling the product — or to the person buying it.
### National Safety Recall - Aug. 12
URL: https://www.consumernews.ai/national-safety-recall-aug-12/
Last updated: 2026-08-12T19:34:53.000Z
### Tyenne injection — glass particles could cause blood clots, organ damage or death
[FDA recall notice](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fresenius-kabi-issues-nationwide-recall-tyenner-tocilizumab-aazg-injection-400-mg20-ml-vials-due?ref=consumernews.ai)
Fresenius Kabi is recalling **one lot of Tyenne (tocilizumab-aazg) Injection, 400 mg/20 mL**, after an internal investigation found **glass particles in the medication**.
FDA says injecting glass particles can cause pain, swelling and inflammation of veins. More seriously, particles can block blood vessels, cause blood clots or pulmonary embolism, permanently damage organs and potentially cause death. Tyenne is used for rheumatoid arthritis, giant cell arteritis, juvenile idiopathic arthritis and other serious conditions. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fresenius-kabi-issues-nationwide-recall-tyenner-tocilizumab-aazg-injection-400-mg20-ml-vials-due?ref=consumernews.ai))
The recall was announced August 10 and posted by FDA August 11\. Health-care facilities and patients should check affected product before use and follow the recall instructions.
### Weight-loss products contain poisonous yellow oleander
[FDA yellow-oleander warning](https://www.fda.gov/food/alerts-advisories-safety-information/fda-issues-warning-about-certain-products-containing-toxic-yellow-oleander?ref=consumernews.ai)
FDA today added **three more products** to its warning about botanical weight-loss supplements contaminated with **toxic yellow oleander**, a poisonous plant that can cause serious neurological, gastrointestinal and cardiovascular effects and can be **fatal**.
The newly identified products are **Slim Elixir, D Magic Plus and B. Magi**, all sold in 30-capsule bottles by Suerte Y Salud LLC. FDA testing found yellow oleander in all three. **D Magic Plus also contains hidden diclofenac**, which can cause life-threatening reactions, while **B. Magi contains phenolphthalein**, a substance associated with increased cancer risk. FDA says the seller has not responded to its calls or emails. ([U.S. Food and Drug Administration](https://www.fda.gov/food/alerts-advisories-safety-information/fda-issues-warning-about-certain-products-containing-toxic-yellow-oleander?ref=consumernews.ai))
Consumers should **stop taking these products and dispose of them**. FDA recommends contacting a health-care provider even if the product was taken some time ago; serious symptoms warrant emergency medical attention.
### Schwarzkopf hair mousse — pressurized cans can explode
[FDA recall notice](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/henkel-corp-announces-nationwide-recall-schwarzkopf-professional-osis-grip-676-fl-oz200-ml-due?ref=consumernews.ai)
Henkel is recalling **Schwarzkopf Professional Osis Grip Extra Strong Mousse, 6.76 ounces/200 mL**, because defective packaging can allow the pressurized product to leak, creating an **explosion hazard**.
The recall covers 25 batch codes and products distributed in Alaska, Arizona, California, Florida, Michigan, Missouri, New Jersey, Ohio, Pennsylvania, South Carolina, Texas and Washington. Henkel received one consumer complaint and two reports from salons; **one consumer reported bruising to the hand**. Consumers should return affected cans for a refund. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/henkel-corp-announces-nationwide-recall-schwarzkopf-professional-osis-grip-676-fl-oz200-ml-due?ref=consumernews.ai))
### “Vegan” cheddar puffs — undeclared milk
[FDA recall notice](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/frankies-organic-issues-allergy-alert-undeclared-milk-frankies-organic-plant-based-vegan-cheddar?ref=consumernews.ai)
Frankie's Organic Foods is recalling **94 cases of Frankie's Organic Plant-Based Vegan Cheddar Puffs** because the supposedly vegan snack may contain **undeclared milk**, creating a potentially life-threatening risk for people with severe milk allergies.
Affected 4-ounce bags have **Best If Used By May 16, 2027**, UPC **816929000089**, and lot code **05 16 2027**. They were sold at PCC Markets in Washington, Earth Fare stores in Florida and South Carolina, and some independent retailers. The recall followed **two allergic-reaction complaints involving related products in Canada**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/frankies-organic-issues-allergy-alert-undeclared-milk-frankies-organic-plant-based-vegan-cheddar?ref=consumernews.ai))
### Other agency checks
**CPSC:** We found no new national CPSC recall dated August 11 or August 12\. A Cuisinart food-processor recall appearing with an August 11 update is actually the longstanding **2016 recall**, with consumer-contact information updated yesterday—not a new recall. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2017/Cuisinart-Food-Processors-Recalled-by-Conair?utm%5Fsource=chatgpt.com))
**NHTSA:** No new urgent nationwide vehicle-recall alert surfaced in today's official search. NHTSA continues to issue individual manufacturer recalls that may not receive separate press releases, so VIN checking remains worthwhile. ([NHTSA](https://www.nhtsa.gov/press-releases?utm%5Fsource=chatgpt.com))
**USDA FSIS:** No new meat, poultry or processed-egg recall dated August 11 or August 12 surfaced. The latest major FSIS activity remains the recent Listeria-related and jalapeño-related actions already covered in previous roundups. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/taxonomy/term/9?utm%5Fsource=chatgpt.com))
**The standout today is the FDA yellow-oleander warning.** Unlike an ordinary recall, FDA says the seller of the three newly identified products has **not responded**, meaning potentially dangerous weight-loss capsules could remain in consumers' possession or in commerce. ([U.S. Food and Drug Administration](https://www.fda.gov/food/alerts-advisories-safety-information/fda-issues-warning-about-certain-products-containing-toxic-yellow-oleander?ref=consumernews.ai))
### Why washing lettuce isn't enough
URL: https://www.consumernews.ai/why-washing-lettuce-isnt-enough/
Last updated: 2026-08-12T16:20:50.000Z
CDC recommends washing fresh produce thoroughly under running water before eating, cutting or cooking it. But when it comes to Cyclospora, CDC specifically warns that washing alone cannot guarantee removal of the parasite.
### Why is lettuce difficult to make completely safe?
Leafy greens have folds, crevices and large surface areas where microorganisms can remain.
More importantly, contamination can occur long before lettuce reaches your refrigerator — during growing, harvesting, transportation, processing or packaging. [FDA says](https://www.fda.gov/food/hfp-constituent-updates/fda-finalizes-guidance-ready-eat-fresh-cut-produce-operations-under-preventive-controls-human-food?ref=consumernews.ai) fresh-cut produce may also be exposed when ingredients from multiple sources are mixed together during processing.
Unlike foods that are cooked, most salads and other fresh-cut produce have no final kill step capable of reliably destroying pathogens before they are eaten.
[Lettuce Recall News TrackerLettuce is the primary culprit in the latest Cyclospora oubreak. Food safety alarms grow as produce outbreaks trigger lawsuits — and new FDA guidanceNew FDA regulations, a flood of lawsuits and updated consumer safety information are the latest in the food crisis.ConsumerNews.aiJames R. HoodWhy washing lettuce isn’t enoughWashingConsumerNews.aiJames R. Hood](https://www.consumernews.ai/lettuce-recall-news-tracker/)
### Doesn't commercial washing solve the problem?
Not necessarily.
Commercial fresh-cut produce is often washed with water containing antimicrobial treatments, which can reduce some microorganisms and help prevent contaminated wash water from spreading them to additional produce.
But FDA says such treatments may not adequately control Cyclospora. That means preventing contaminated produce from entering a processing plant in the first place can be more important than trying to disinfect it afterward.
That's one reason FDA's new fresh-cut produce guidance puts emphasis on supplier verification and supply-chain controls as well as sanitation inside processing plants.
### Should you wash bagged salad that's marked "ready to eat"?
Generally, follow the package instructions.
The bigger point is that washing at home should not be considered a substitute for obeying an outbreak warning or recall. If FDA or CDC says a particular lettuce or salad product has been recalled, don't try to wash it and eat it anyway. Throw it away or return it. CDC gives that instruction for the Taylor Farms iceberg lettuce recall.
### What can consumers actually do?
- Wash hands before and after handling fresh produce.
- Rinse produce thoroughly under running water before eating or cutting it.
- Keep produce separated from raw meat, poultry and seafood.
- Clean knives, cutting boards, counters and containers that may have contacted contaminated food.
- Refrigerate cut produce promptly.
- Pay attention to FDA and CDC outbreak notices and recalls.
- Never assume washing can make a **recalled** product safe.
Cooking provides considerably more protection when practical. [CDC says](https://www.cdc.gov/cyclosporiasis/outbreaks/07-26/index.html?ref=consumernews.ai) heating produce to at least 158°F (70°C) can kill Cyclospora. Of course, that's not especially useful advice if what you're planning for dinner is a green salad.
### The bottom line
> Wash produce, but don't rely on washing to eliminate every food-safety risk.
For foods meant to be eaten raw, much of the real protection has to come farther up the supply chain — clean growing conditions, safe water, careful processing, effective sanitation and suppliers that prevent contaminated produce from reaching stores and restaurants in the first place. FDA's newly finalized guidance is aimed squarely at those controls.
### Food safety alarms grow as produce outbreaks trigger lawsuits — and new FDA guidance
URL: https://www.consumernews.ai/food-safety-alarms-grow-as-produce-outbreaks-trigger-lawsuits-and-new-fda-guidance/
Last updated: 2026-08-12T16:21:12.000Z
Two major produce outbreaks, thousands of illnesses, multiple lawsuits and a sweeping new set of federal food-safety recommendations are putting fresh-cut fruits and vegetables under new scrutiny.
The Centers for Disease Control and Prevention says a Cyclospora outbreak linked to iceberg lettuce from Taylor Farms de Mexico has now sickened 6,358 people in 15 states, with 278 hospitalizations and two deaths. The recalled lettuce was distributed to consumers, restaurants and retailers in at least 27 states, including Taco Bell restaurants and some Walmart stores, according to the [CDC](https://www.cdc.gov/cyclosporiasis/outbreaks/07-26/index.html?ref=consumernews.ai).
Now Taylor Farms and Taco Bell are facing multiple lawsuits from consumers who say they became sick after eating the lettuce.
At least two proposed class actions have been filed in federal courts in California, while another lawsuit was filed in Ohio. The complaints allege that contaminated lettuce was sold to consumers and that the companies failed to adequately protect or warn them. Taylor Farms and Taco Bell had not yet responded to the suits as of Insurance Journal's Aug. 11 report, [Insurance Journal](https://www.insurancejournal.com/news/national/2026/08/11/881053.htm?ref=consumernews.ai) reported.
[Lettuce Recall News TrackerLettuce is the primary culprit in the latest Cyclospora oubreak. Food safety alarms grow as produce outbreaks trigger lawsuits — and new FDA guidanceNew FDA regulations, a flood of lawsuits and updated consumer safety information are the latest in the food crisis.ConsumerNews.aiJames R. HoodWhy washing lettuce isn’t enoughWashingConsumerNews.aiJames R. Hood](https://www.consumernews.ai/lettuce-recall-news-tracker/)
At almost the same time, another fresh-produce problem has emerged.
FDA is investigating a Salmonella outbreak linked to fresh jalapeños from Sinaloa, Mexico, distributed by Coast Citrus Distributors. As of Aug. 10, the outbreak included 345 illnesses and 36 hospitalizations in 27 states. No deaths had been reported, the [U.S. Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/outbreak-investigation-salmonella-jalapeno-august-2026?ref=consumernews.ai) said.
Taylor Fresh Foods has recalled numerous prepared foods containing the jalapeños, including dips, salsa, guacamole, sandwiches and other products sold through retailers including Walmart, Target, Kroger, Trader Joe's, Whole Foods, Hannaford and Stop & Shop. Some recalled products have "Best If Used By" dates through Aug. 16, 2026\.
Taylor Fresh Foods said it was not aware of illnesses specifically linked to its recalled finished products containing the jalapeños and said it had stopped sourcing produce from the grower involved.
## FDA focuses on the weak point: fresh-cut produce
Against that backdrop, FDA on Aug. 11 finalized long-awaited guidance for companies that manufacture and process ready-to-eat fresh-cut produce.
The timing is notable, although the guidance was not created in response to the current outbreaks. It grew out of a draft issued in 2018 and replaces FDA guidance dating to 2008\.
FDA says fresh-cut produce presents particular challenges because contamination can occur while produce is grown, transported, processed, mixed with other products or handled at retail — and contamination can be amplified as food moves through the supply chain.
Unlike meat or many processed foods, chopped lettuce, diced onions, cut melon, shredded carrots and similar products usually don't undergo a cooking or other **"kill step"** before being eaten.
The FDA guidance calls on processors to assess biological hazards and use measures that can include sanitation controls, safe water, refrigeration, employee training and supplier verification. The recommendations themselves are guidance rather than new legally binding regulations, according to [Insurance Journal](https://www.insurancejournal.com/news/national/2026/08/12/881144.htm?ref=consumernews.ai).
Supplier controls may be especially important with Cyclospora.
FDA says antimicrobial treatments used in produce wash water may not adequately control the parasite, meaning processors cannot necessarily wash their way out of contamination that occurred before produce reached their plants.
That puts greater emphasis on knowing where produce came from and how it was grown, harvested and handled.
## The lettuce outbreak keeps growing
The scale of the current Cyclospora outbreak helps illustrate the difficulty.
Taylor Farms de Mexico recalled all iceberg lettuce sourced from central Mexico on July 17\. Nevertheless, CDC expects reported case totals may continue to rise because it can take as long as six weeks to determine whether an illness belongs to the outbreak.
Illnesses associated with the outbreak began June 22 and continued through at least July 31\. The two deaths occurred in Michigan; FDA said both patients had significant underlying health conditions that may have been worsened by cyclosporiasis and dehydration, according to the [Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/investigation-9-state-outbreak-cyclospora-illnesses-iceberg-lettuce-july-2026?ref=consumernews.ai).
FDA's traceback investigation says the evidence converges on iceberg lettuce from Taylor Farms de Mexico and growers in central Mexico. An early laboratory sample initially reported as positive for Cyclospora was subsequently determined to be a false positive, but FDA said that [did not change](https://www.fda.gov/food/outbreaks-foodborne-illness/investigation-15-state-outbreak-cyclospora-illnesses-iceberg-lettuce-july-2026?ref=consumernews.ai) the epidemiological and traceback evidence supporting the recall.
CDC also stresses an important distinction: the 6,358 cases are the illnesses currently associated with this particular lettuce outbreak. Other Cyclospora outbreaks and illnesses from unrelated sources are also being investigated around the country. ([CDC](https://www.cdc.gov/cyclosporiasis/outbreaks/07-26/index.html?ref=consumernews.ai))
## What consumers should do
The recalled Taylor Farms iceberg lettuce should no longer generally be on store shelves because its best-by dates have passed. But anyone who still has recalled lettuce at home should throw it away or return it and wash surfaces or containers that touched it with hot soapy water or in a dishwasher, CDC says.
The jalapeño recall is more immediate. Consumers should check refrigerated foods such as salsa, pico de gallo, guacamole and dips against FDA's recall list, particularly products with use-by dates extending through Aug. 16\. Recalled products should not be eaten.
Cyclospora commonly causes watery diarrhea, loss of appetite, cramping, bloating, nausea and fatigue. Symptoms generally start about a week after exposure but can begin sooner or later and may persist for weeks without treatment. CDC notes that patients may need to specifically request testing because routine stool tests don't always screen for the parasite.
Salmonella symptoms generally include diarrhea, fever and abdominal cramps and usually begin within 12 to 72 hours after exposure. Young children, older adults and people with weakened immune systems face greater risk of severe illness.
> The larger lesson from both outbreaks is less reassuring: with ready-to-eat produce, the most important food-safety measures may have to happen before the lettuce, peppers or fruit ever reach the consumer's kitchen.
##
### Car costs, shopping habits and debt shape today's consumer picture
URL: https://www.consumernews.ai/car-costs-shopping-habits-and-debt-shape-todays-consumer-picture/
Last updated: 2026-08-12T12:51:28.000Z
The consumer story today is a five-part squeeze: auto loans and monthly payments are reaching records; retailers are trying to hold cautious shoppers while adapting to artificial-intelligence shopping; vehicle and food recalls are adding safety checks to ordinary purchases; credit card and home-equity borrowing are expanding; and a July inflation report is expected to show slower price growth without erasing the pressure on household budgets. Together, the developments show a consumer who is still spending, but with less room for error.
### Autos: record borrowing meets a higher price of ownership
Auto financing is becoming a larger monthly commitment even as buyers stretch out the repayment period. The average monthly car payment reached a record $777 in the second quarter, while the average amount financed on a new vehicle rose to an all-time high of $44,156, according to [Bloomberg’s report on Edmunds data](https://www.bloomberg.com/news/articles/2026-07-01/us-car-payments-hit-a-record-777-a-month-as-down-payments-drop?ref=consumernews.ai). The average down payment fell 10 percent from a year earlier to $5,815, and nearly one-quarter of buyers took out loans lasting seven years or more, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-07-01/us-car-payments-hit-a-record-777-a-month-as-down-payments-drop?ref=consumernews.ai).
The New York Fed’s latest household debt report adds a second measure of the pressure: Auto-loan originations reached a nominal record of $211 billion from April through June, while home-equity balances rose $19 billion, according to [Reuters’ account of the report](https://www.reuters.com/business/autos-transportation/auto-loans-hit-record-high-some-other-consumer-debt-rising-new-york-fed-says-2026-08-11/?ref=consumernews.ai). The $211 billion figure was a nominal record, not a record after adjusting for inflation, [Reuters reported](https://www.reuters.com/business/autos-transportation/auto-loans-hit-record-high-some-other-consumer-debt-rising-new-york-fed-says-2026-08-11/?ref=consumernews.ai).
A separate analysis cited by [CNBC](https://www.cnbc.com/2026/05/06/car-payments-squeeze-americans.html?ref=consumernews.ai) put total auto debt at $1.68 trillion at the end of 2025 and said about 86 million Americans had an outstanding auto loan or lease. The same report said the typical payment had climbed above $680 from $506 in the last quarter of 2018, while the average price of a new vehicle was nearly $49,000 compared with roughly $35,000 to $37,000 in 2018, [CNBC reported](https://www.cnbc.com/2026/05/06/car-payments-squeeze-americans.html?ref=consumernews.ai).
The burden is uneven. Borrowers with credit scores below 580 can face interest rates above 18 percent, and the analysis cited by [CNBC](https://www.cnbc.com/2026/05/06/car-payments-squeeze-americans.html?ref=consumernews.ai) estimated that could add roughly $14,000 in interest over a six-year loan. Angela Hanks of The Century Foundation told [CNBC](https://www.cnbc.com/2026/05/06/car-payments-squeeze-americans.html?ref=consumernews.ai) that “individuals are witnessing an increasing portion of their earnings consumed by their vehicle payments.”
For households, the trade-off is visible in the loan contract: A longer term can lower the payment shown on a dealer worksheet while increasing the time a family remains exposed to interest, repairs and insurance. The record figures from [Edmunds data cited by Bloomberg](https://www.bloomberg.com/news/articles/2026-07-01/us-car-payments-hit-a-record-777-a-month-as-down-payments-drop?ref=consumernews.ai) and the New York Fed’s borrowing data reported by [Reuters](https://www.reuters.com/business/autos-transportation/auto-loans-hit-record-high-some-other-consumer-debt-rising-new-york-fed-says-2026-08-11/?ref=consumernews.ai) point to an affordability problem that is being financed rather than solved.
## Retail: cautious spending gives way to a platform contest
Retailers are seeing a consumer who has not stopped buying but is becoming harder to win. Smithfield Foods cut its fiscal 2026 sales outlook to roughly flat from a prior forecast for low-single-digit growth and lowered its adjusted operating-profit forecast to $1.23 billion to $1.38 billion from $1.33 billion to $1.48 billion, citing cautious consumer spending and higher input costs, according to [Reuters](https://www.reuters.com/business/retail-consumer/smithfield-foods-trims-full-year-forecasts-consumers-rein-spending-2026-08-11/?ref=consumernews.ai). The company still beat second-quarter estimates, posting $3.7 billion in sales for the three months ended June 28 against analysts’ $3.68 billion estimate and adjusted earnings of 62 cents a share against expectations of 60 cents, [Reuters reported](https://www.reuters.com/business/retail-consumer/smithfield-foods-trims-full-year-forecasts-consumers-rein-spending-2026-08-11/?ref=consumernews.ai).
The pressure is not simply a collapse in demand. June retail sales rose 0.2 percent, while core retail sales increased 0.5 percent, as motor-vehicle purchases accelerated and online spending surged, according to [Reuters’ retail-sales report](https://www.reuters.com/business/us-retail-sales-rise-marginally-june-2026-07-16/?ref=consumernews.ai). Economists estimated that inflation-adjusted consumer spending rose 0.4 percent in June, but Lydia Boussour, senior economist at EY-Parthenon, said higher inflation and moderating wage growth were squeezing purchasing power and pushing more consumers toward savings and credit, [Reuters reported](https://www.reuters.com/business/us-retail-sales-rise-marginally-june-2026-07-16/?ref=consumernews.ai).
The next retail battleground is the path a shopper takes to a product. AI-agent shopping is expected to direct $8 billion in spending to retail sites this year, while 41 percent of U.S. consumers used generative AI for online shopping in June, according to [Reuters’ report on the retail industry](https://www.reuters.com/business/retail-consumer/retailers-tap-ai-shopping-traffic-fight-keep-customer-data-2026-08-07/?ref=consumernews.ai). Adobe Analytics found that visitors referred by AI services generated 41 percent more revenue per visit than shoppers arriving through traditional channels, [Reuters reported](https://www.reuters.com/business/retail-consumer/retailers-tap-ai-shopping-traffic-fight-keep-customer-data-2026-08-07/?ref=consumernews.ai).
That traffic comes with a cost for retailers that want to preserve their direct relationship with customers. Walmart, Ulta Beauty and Wayfair were among the retailers updating their websites so products would rank in chatbot recommendations, while trying to keep purchases on their own sites to retain browsing, basket and purchase data, [Reuters reported](https://www.reuters.com/business/retail-consumer/retailers-tap-ai-shopping-traffic-fight-keep-customer-data-2026-08-07/?ref=consumernews.ai). Josh Friedman, Ulta Beauty’s head of digital and e-commerce, said, “There’s always a tax for engaging customers on other people’s platforms,” in comments carried by [Reuters](https://www.reuters.com/business/retail-consumer/retailers-tap-ai-shopping-traffic-fight-keep-customer-data-2026-08-07/?ref=consumernews.ai).
## Recalls: the shopping list now includes a safety check
Two vehicle recalls announced Aug. 11 put 528,703 U.S. vehicles into a new round of safety reviews. Toyota is recalling 508,354 vehicles because an instrument cluster may fail to show critical information, potentially increasing the risk of a crash or injury, according to the National Highway Traffic Safety Administration as reported by [Reuters](https://www.reuters.com/legal/litigation/toyota-recall-over-508000-us-vehicles-over-instrument-cluster-display-issues-2026-08-11/?ref=consumernews.ai). The Toyota recall includes certain 2025-26 Camry Hybrid vehicles, and dealers will update the display software for free, [Reuters reported](https://www.reuters.com/legal/litigation/toyota-recall-over-508000-us-vehicles-over-instrument-cluster-display-issues-2026-08-11/?ref=consumernews.ai).
Tesla is recalling 20,349 vehicles because low-beam headlights may be excessively bright, reducing visibility for oncoming drivers and raising crash risk, according to NHTSA and [Reuters](https://www.reuters.com/legal/litigation/tesla-recall-over-20000-us-vehicles-over-excessively-bright-low-beam-headlights-2026-08-11/?ref=consumernews.ai). The notice covers certain Model 3 and Model Y vehicles, and a remedy had not yet been finalized when the recall was reported, [Reuters said](https://www.reuters.com/legal/litigation/tesla-recall-over-20000-us-vehicles-over-excessively-bright-low-beam-headlights-2026-08-11/?ref=consumernews.ai).
The food-safety side of the recall picture reaches the grocery cart. Taylor Farms recalled prepared foods made with jalapeños, including pico de gallo salsa and guacamole, after fresh jalapeños were recalled amid a Salmonella outbreak, according to [CBS News](https://www.cbsnews.com/news/taylor-farms-jalapeno-recall-salmonella-outbreak/?ref=consumernews.ai). The products were distributed through national retailers including Walmart and Target in 26 states, and Taylor Farms said it knew of no illnesses linked to the recalled items, [CBS News reported](https://www.cbsnews.com/news/taylor-farms-jalapeno-recall-salmonella-outbreak/?ref=consumernews.ai).
The recalled products had “best if used by” dates through Aug. 16, and the company said a grower in Sinaloa, Mexico, was identified as the potential source by the supplier involved, according to [CBS News](https://www.cbsnews.com/news/taylor-farms-jalapeno-recall-salmonella-outbreak/?ref=consumernews.ai). The Mayo Clinic, cited by [CBS News](https://www.cbsnews.com/news/taylor-farms-jalapeno-recall-salmonella-outbreak/?ref=consumernews.ai), said Salmonella symptoms can include diarrhea, fever and stomach cramps within eight to 72 hours of exposure, with most healthy people recovering within days to a week without treatment.
The consumer task is unusually concrete: Check the model, product and date before using an item, and follow the retailer or regulator’s instructions rather than relying on the brand name alone. The overlap of vehicle notices and food recalls makes safety part of everyday purchasing, not a separate category reserved for major disasters.
## Credit and debt: a bigger balance does not mean a healthier budget
Credit card balances rose $21 billion in the second quarter to $1.26 trillion, up 1.7 percent from the prior quarter and close to the record $1.28 trillion reached last year, according to [CNBC’s report on New York Fed research](https://www.cnbc.com/2026/08/11/ny-fed-credit-card-debt-hits-1point26-trillion-k-shaped-divide-persists.html?ref=consumernews.ai). About 175 million Americans hold credit cards, and roughly 60 percent carry revolving debt rather than paying the balance in full each month, [CNBC reported](https://www.cnbc.com/2026/08/11/ny-fed-credit-card-debt-hits-1point26-trillion-k-shaped-divide-persists.html?ref=consumernews.ai).
The reason for the borrowing is increasingly basic. A separate report from Achieve, cited by [CNBC](https://www.cnbc.com/2026/08/11/ny-fed-credit-card-debt-hits-1point26-trillion-k-shaped-divide-persists.html?ref=consumernews.ai), found that 55 percent of consumers carry credit card balances to cover essential expenses. Matt Schulz, chief credit analyst at LendingTree, said the rise in credit card, home-equity and other debt showed people were trying to extend their budgets in the face of stubborn inflation, [CNBC reported](https://www.cnbc.com/2026/08/11/ny-fed-credit-card-debt-hits-1point26-trillion-k-shaped-divide-persists.html?ref=consumernews.ai).
The New York Fed’s numbers also show why the picture cannot be summarized as either “consumers are fine” or “consumers are breaking.” The overall delinquency rate on outstanding household debt fell to 4.7 percent from 4.8 percent in the prior quarter, while researchers said about 7 percent of credit card balances flowed into delinquency from one quarter to the next, according to [Reuters’ report](https://www.reuters.com/business/autos-transportation/auto-loans-hit-record-high-some-other-consumer-debt-rising-new-york-fed-says-2026-08-11/?ref=consumernews.ai). The researchers said credit card delinquency was elevated but had been largely stable since 2024, [Reuters reported](https://www.reuters.com/business/autos-transportation/auto-loans-hit-record-high-some-other-consumer-debt-rising-new-york-fed-says-2026-08-11/?ref=consumernews.ai).
For homeowners, home-equity borrowing is another pressure valve. The $19 billion increase in home-equity balances was part of a four-year trend, with older homeowners using the loans in part to avoid replacing existing mortgages at today’s higher rates, according to [Reuters](https://www.reuters.com/business/autos-transportation/auto-loans-hit-record-high-some-other-consumer-debt-rising-new-york-fed-says-2026-08-11/?ref=consumernews.ai). That can move a household’s expensive unsecured debt into a cheaper loan, but it also puts the home behind the obligation.
## Inflation: a cooler forecast still leaves a hot household budget
The July Consumer Price Index report was due at 8:30 a.m. ET Wednesday, and economists surveyed by Reuters expected a modest 0.1 percent monthly increase after a 0.4 percent decline in June, according to [Reuters](https://www.reuters.com/business/us-consumer-prices-likely-increased-moderately-july-gasoline-prices-eased-2026-08-12/?ref=consumernews.ai). The forecast called for a 3.4 percent increase over 12 months, compared with 3.5 percent in June, while core prices were expected to rise 0.2 percent for the month and 2.5 percent from a year earlier, [Reuters reported](https://www.reuters.com/business/us-consumer-prices-likely-increased-moderately-july-gasoline-prices-eased-2026-08-12/?ref=consumernews.ai).
Gasoline was expected to provide some relief. The average U.S. gasoline price fell to $4.064 a gallon in July from $4.184 in June and $4.609 in May, based on Energy Information Administration data cited by [Reuters](https://www.reuters.com/business/us-consumer-prices-likely-increased-moderately-july-gasoline-prices-eased-2026-08-12/?ref=consumernews.ai). Sung Won Sohn, a finance and economics professor at Loyola Marymount University, told [Reuters](https://www.reuters.com/business/us-consumer-prices-likely-increased-moderately-july-gasoline-prices-eased-2026-08-12/?ref=consumernews.ai), “I don’t expect any significant firework when the numbers come out.”
Markets were positioned for a relatively tame reading. Dow Jones’ consensus forecast called for headline inflation of 3.4 percent and core inflation of 2.5 percent, while prediction-market traders assigned less than a 55 percent chance to a headline reading above 3.3 percent and an 11 percent chance that core inflation would exceed 2.5 percent, according to [CNBC](https://www.cnbc.com/2026/08/10/crucial-cpi-report-will-show-tame-inflation-prediction-markets-show.html?ref=consumernews.ai). The CPI report was scheduled for Wednesday morning, [CNBC reported](https://www.cnbc.com/2026/08/10/crucial-cpi-report-will-show-tame-inflation-prediction-markets-show.html?ref=consumernews.ai).
A cooler report would not reverse the price levels families are already carrying. It would show the pace of increase in July, while auto payments, revolving balances, food purchases and safety decisions are being made against prices that remain higher than they were several years ago. The forecast itself captures the tension: [Reuters’ economists’ survey](https://www.reuters.com/business/us-consumer-prices-likely-increased-moderately-july-gasoline-prices-eased-2026-08-12/?ref=consumernews.ai) pointed to moderation, but not a return to the Federal Reserve’s 2 percent target.
## Bigger picture: resilience is becoming a financing strategy
The five themes describe a consumer economy that is still functioning but increasingly dependent on trade-offs. Auto buyers are accepting larger balances and longer terms; retailers are competing for cautious shoppers through both stores and AI platforms; recalls are turning routine purchases into verification tasks; households are using credit cards and home equity to keep essential spending moving; and the CPI forecast suggests that inflation may cool without making those obligations feel light. [Reuters’ retail report](https://www.reuters.com/business/us-retail-sales-rise-marginally-june-2026-07-16/?ref=consumernews.ai) captured the central tension when it said consumers were dipping into savings and turning to credit to maintain spending while purchasing power was being squeezed.
That is the bigger consumer question for Wednesday: not whether Americans can still buy, but how much of each purchase is being funded by a paycheck, a depleted cushion or a longer promise to pay. The answer will shape the next round of car loans, store sales, recall responses, card balances and price reports.
### Scientists find a surprising clue to why GLP-1 drugs work so well
URL: https://www.consumernews.ai/scientists-find-a-surprising-clue-to-why-glp-1-drugs-work-so-well/
Last updated: 2026-08-11T16:59:53.000Z
The extraordinary effectiveness of drugs such as Ozempic and Wegovy has generally been attributed to something fairly straightforward: They make people less hungry.
A new Yale study suggests the story may be considerably more complicated.
Researchers found that semaglutide, the active ingredient in Ozempic and Wegovy, appears to recruit a group of brain cells traditionally thought of as the body's hunger neurons to help maintain fat loss.
That was nearly the opposite of what scientists expected.
The neurons, known as agouti-related peptide, or AgRP, neurons, have long been regarded as part of the brain's defense against starvation and weight loss. When the body senses a shortage of calories, they become active and stimulate hunger.
Researchers therefore expected successful weight-loss drugs to suppress them.
Instead, semaglutide appears to activate them.
“This completely changes how we think about the mechanism involved in these medications,” said Mateus d'Ávila, a Yale neuroscience Ph.D. candidate and first author of the study.
The findings, published in the *Proceedings of the National Academy of Sciences*, could help explain one of the enduring mysteries surrounding GLP-1 drugs: Why do they produce dramatically greater and more sustained weight loss than previous generations of appetite suppressants?
## More than an appetite suppressant
Earlier obesity drugs could reduce hunger substantially, yet typically produced considerably less weight loss than today's GLP-1 medications.
That discrepancy led the Yale researchers to suspect semaglutide was doing something besides simply making animals eat less.
They focused on AgRP neurons, which play a central role in controlling hunger and the body's response to calorie deprivation.
Using mice, researchers measured food consumption, body weight, metabolism and energy expenditure during semaglutide treatment.
They then genetically removed or silenced the AgRP neurons.
The result was striking.
Semaglutide could still initiate weight loss, but it could no longer sustain that weight loss when the AgRP neurons were absent, according to the researchers.
Additional laboratory work, including electron microscopy, molecular analysis and measurements of electrical activity in the neurons, indicated that semaglutide was activating the neurons rather than shutting them down.
The researchers believe the neurons may have a dual role.
As the calorie deficit caused by GLP-1 treatment develops, AgRP neurons become more active. While these cells are well known for stimulating hunger, the study suggests they may simultaneously participate in coordinating the body's loss of fat.
In other words, part of the biological system traditionally viewed as fighting weight loss may under some circumstances help maintain it.
## What this means if you take a GLP-1
The new Yale study does not mean GLP-1 users need to feel hungry for the drugs to work. Nor does it suggest that patients should change their dose, diet or treatment plan.
The research was conducted in mice and was designed to investigate the brain circuitry behind semaglutide's effects.
What researchers found is that a group of neurons normally associated with hunger — AgRP neurons — may also play an unexpected role in helping the body sustain fat loss during GLP-1 treatment.
For patients, the practical takeaways are simpler:
- **Keep taking your medication as prescribed.** The study does not change current treatment recommendations.
- **Don't try to manipulate hunger.** Feeling hungrier or eating less is not something patients should attempt to induce based on these findings.
- **Expect the science to keep evolving.** Researchers are still learning why GLP-1 drugs produce much greater weight loss than older appetite suppressants.
- **Future drugs may improve on today's GLP-1s.** Understanding the brain pathways involved could eventually help scientists develop treatments that preserve weight-loss benefits while reducing nausea, gastrointestinal problems or other side effects.
For now, the study is best viewed as an important clue about *why* GLP-1 drugs work — not a reason for patients to change *how* they use them.
## Why it matters
The discovery could help researchers understand why GLP-1 drugs have succeeded where so many earlier obesity treatments failed.
Semaglutide and other GLP-1 therapies don't merely suppress appetite. They appear to change a much broader network of signals controlling food intake, metabolism and the body's response to losing weight.
Understanding those pathways could eventually help drug developers separate the desirable effects of GLP-1 treatment from some of its drawbacks.
“By identifying a previously unrecognized neural mechanism involved in sustaining weight loss, our work provides new biological insights that could eventually help researchers design therapies that are even more effective or have fewer side effects,” d'Ávila said.
That possibility is increasingly important as researchers look beyond the first generation of GLP-1 drugs toward treatments that combine several hormonal and metabolic pathways.
## Don't expect a new treatment tomorrow
There is an important limitation: The Yale experiments were conducted in mice.
Mouse studies are invaluable for investigating individual brain circuits because researchers can genetically remove or manipulate specific neurons — experiments that obviously can't be performed in people.
But results in mice don't always translate into human biology.
The study therefore doesn't change how doctors should prescribe semaglutide or how patients should use it.
Instead, it provides a possible explanation for what is happening deep inside the brain during treatment — and a target for future research.
The finding may also help explain why obesity has proven so difficult to treat.
The body's mechanisms regulating weight aren't simply an accelerator controlling hunger and a brake suppressing it. They are overlapping systems that influence appetite, metabolism, energy expenditure and fat stores simultaneously.
GLP-1 drugs may work unusually well because they tap into several of those systems at once.
And, surprisingly, one of the brain circuits helping them do it may be the very circuit scientists once assumed would try to stop them.
### Your auto insurance may not protect you as well as you think
URL: https://www.consumernews.ai/your-auto-insurance-may-not-protect-you-as-well-as-you-think/
Last updated: 2026-08-11T09:37:54.000Z
Paying your car-insurance premium every month doesn't necessarily mean your insurer will pay when something goes wrong.
A [Wall Street Journal investigation](https://www.wsj.com/finance/if-you-get-in-a-car-crash-the-risk-is-growing-your-insurance-wont-pay-1522236c?st=UW5Bcb&ref=consumernews.ai) of thousands of regulatory filings found that auto insurers did not pay 45% of the liability and medical claims they resolved last year. A decade earlier, the nonpayment rate was about 35%.
The finding is particularly striking because nearly every state requires motorists to carry liability insurance before they can legally drive. In other words, consumers are required to buy the product — but increasingly cannot assume that having a policy means a claim will be covered.
The Journal said Americans were involved in more than six million traffic crashes last year, making the growing gap between insurance coverage and actual claim payments a potentially significant financial risk for millions of households.
[Car Insurance News TrackerYour auto insurance may not protect you as well as you thinkAuto insurers failed to pay 45% of the liability and medical claims they resolved last year, up from about 35% a decade ago, according to a Wall Street Journal investigation.ConsumerNews.aiJames R. Hood7 ways to keep your carConsumerNews.aiJames R. Hood](https://www.consumernews.ai/c/)
## The fine print is becoming more important
Some claims are rejected for familiar reasons: the loss isn't covered, damages fall below the deductible, the policy has lapsed or investigators conclude that a claim is fraudulent.
But the Journal investigation also highlights a less obvious danger: insurers are increasingly relying on provisions involving who is permitted to drive the vehicle and who lives in the policyholder's household.
A driver who assumes that a spouse, teenager, roommate or relative is covered simply because that person occasionally drives the family car can discover after a crash that the insurer sees things differently.
Insurance companies commonly ask applicants to disclose household members and drivers when a policy is purchased. Depending on the state and the policy, failure to disclose a driver can become grounds for denying a claim or challenging coverage.
Some policies also specifically exclude named drivers. [Progressive](https://www.progressive.com/answers/excluded-driver/?ref=consumernews.ai), for example, describes an excluded driver as a household member who has been expressly removed from coverage. If that person drives an insured vehicle, the policy generally won't cover the accident. Not every state permits these exclusions.
[California's Department of Insurance](https://www.progressive.com/answers/excluded-driver/?ref=consumernews.ai) similarly warns consumers to check their policies before allowing someone else to use the car because an excluded driver may have no coverage at all.
The rules vary sharply from state to state. [New York](https://www.dfs.ny.gov/insurance/ogco2008/rg080202.htm?ref=consumernews.ai), for example, generally requires standard auto liability policies to cover the named insured, a resident spouse and people driving the vehicle with the owner's permission, subject to the terms allowed under state law.
That variation makes it risky for consumers to rely on general assumptions about what "full coverage" or even ordinary liability insurance means.
## Insurers say fraud is getting harder to fight
The insurance industry argues there is another side to the rising rejection rate.
Insurers told the Journal that fraud has become more sophisticated, including fraudulent accident and medical claims and increasingly convincing fake documentation aided by artificial intelligence. Companies also point to rising litigation and claim costs as reasons for conducting more aggressive investigations.
Those costs ultimately matter to consumers because fraudulent claims can raise premiums for everyone.
But consumer lawyers and advocates cited by the Journal contend that legitimate policyholders can get caught in the same increasingly restrictive claims process, particularly when insurers interpret application questions or policy exclusions in ways consumers did not anticipate.
The [broader complaint data](https://www.celent.com/en/insights/insight-65?ref=consumernews.ai) show that claims handling remains a major source of friction between insurers and their customers. Among insurance complaints reported for 2025, delays in claim handling, unsatisfactory settlements and claim denials were among the leading categories.
## A household change can become an insurance problem
One practical lesson from the Journal investigation is that consumers shouldn't treat their auto policy as something they buy once and then forget.
Several ordinary life events can change an insurer's view of the risk:
- A teenager gets a driver's license.
- An adult child moves back home.
- A boyfriend, girlfriend or spouse moves in.
- A roommate begins occasionally using the car.
- A family member regularly borrows a vehicle.
- Someone previously excluded from the policy begins driving again.
- A vehicle begins being used for delivery, rideshare or another purpose not disclosed to the insurer.
Any of those changes should prompt a call to the insurer or agent.
Consumers should ask a very specific question: **"Is every person who might drive this vehicle covered if there is an accident?"**
Get the answer in writing if possible.
## Don't assume "permission" guarantees coverage
Many motorists have grown up with the rule of thumb that car insurance "follows the car" — meaning anyone who borrows the vehicle with permission is insured.
Sometimes that's true. Sometimes it isn't.
State insurance laws, exclusions, household-driver requirements and individual policy language can all affect coverage.
The safest approach is to disclose household members and regular drivers when buying or renewing a policy and ask the insurer to identify anyone who would not be covered.
Consumers should also be especially cautious about accepting a cheaper premium obtained by excluding a household member. The savings can be substantial, but so can the financial consequences if that person later drives the vehicle and causes a serious crash.
## If your insurer denies a claim
A denial isn't necessarily the end of the matter.
Ask the insurer for the denial in writing and request the precise section of the policy it is relying on. Compare that provision with the application you completed and any communications you had with the agent or insurer.
Keep copies of the policy, application, renewal notices, emails, text messages, photographs, repair estimates, medical bills and claim correspondence.
If the explanation doesn't make sense, ask for an internal review.
Consumers can also file a complaint with their state insurance department. The [National Association of Insurance Commissioners](https://content.naic.org/article/how-file-complaint-and-research-complaints-against-insurance-carriers?ref=consumernews.ai) maintains a directory linking consumers to their state regulator and specifically lists delays, denials and unsatisfactory settlements among common reasons for insurance complaints.
For a large claim — particularly one involving serious injuries or substantial liability — consulting an attorney may also be worthwhile before accepting a denial.
## The bigger issue
Car insurance has already become considerably more expensive for many households as repair costs, vehicle prices, medical expenses and litigation costs have climbed. The Journal investigation points to another, less visible problem.
Consumers aren't merely paying more for insurance. They may also have less certainty that the policy they are paying for will actually respond when they need it.
That makes shopping for auto insurance increasingly about more than comparing premiums.
Consumers need to compare **coverage — and exclusions — as carefully as price.**
### 7 ways to keep your car insurer from denying your claim
URL: https://www.consumernews.ai/7-ways-to-keep-your-car-insurer-from-denying-your-claim/
Last updated: 2026-08-11T09:38:16.000Z
##
A few minutes spent reviewing your policy now can prevent an ugly surprise after a crash.
**1\. List every regular driver**
Tell the insurer about everyone in the household who drives the car, including teenagers, adult children, spouses, partners and roommates.
**2\. Check for excluded drivers**
Some policies specifically exclude certain people from coverage. Make sure you know who is excluded — and don't let an excluded driver use the vehicle.
**3\. Report household changes**
Someone moving in, moving out or getting a driver's license can affect coverage. Don't wait until renewal time to tell the insurer.
**4\. Disclose how the car is really used**
Rideshare, delivery work, business use or a long daily commute may require different coverage. A claim can become complicated if the insurer says the vehicle was being used differently from what was disclosed.
**5\. Don't rely on “insurance follows the car”**
Coverage for someone who borrows your vehicle depends on the policy and state law. Ask your insurer directly who is covered when another person drives.
**6\. Get important answers in writing**
If an agent says a spouse, child or occasional driver is covered, save the email or other written confirmation. Verbal assurances can be difficult to prove later.
**7\. If a claim is denied, demand the exact reason**
Ask the insurer to identify the specific policy language supporting the denial. Request an internal review if necessary, and consider filing a complaint with your state insurance department.
[Car Insurance News TrackerYour auto insurance may not protect you as well as you thinkAuto insurers failed to pay 45% of the liability and medical claims they resolved last year, up from about 35% a decade ago, according to a Wall Street Journal investigation.ConsumerNews.aiJames R. Hood7 ways to keep your carConsumerNews.aiJames R. Hood](https://www.consumernews.ai/c/)
### One question worth asking at every renewal
**“If every person in my household drove this car today and caused an accident, who would not be covered?”**
The answer may be more useful than the premium quote.
### Warning: Gold bar scam targeting seniors
URL: https://www.consumernews.ai/warning-gold-bar-scam-targeting-seniors/
Last updated: 2026-08-10T13:06:44.000Z
Mining for gold has always been hard, treacherous work. Sure, you might hit a big stake now and then but – just like oil wells – many promising holes come up dry. New York Attorney General Letitia James is warning consumers that the modern-day gold market isn't all that different.
James has issued a consumer alert warning of increasingly common “gold bar scams” and providing tips to protect themselves.
[Gold - Good Idea?Is gold a wise investment for smaller investors?Consumers are constantly bombarded with come-ons for gold investment “opportunities.” Some of these are downright fraudulent and the rest are a big, shall we say, optimistic. Here’s what the experts tell us.ConsumerNews.aiThe EditorsWarning: Gold bar scam targeting seniorsPop-ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/gold-good-idea/)
These scams usually start with a fake pop-up message on victims’ computers, claiming their computer or financial accounts have been compromised or linked to criminal activity, James said.
The scammers convince the victim to give them remote access to their computer and then persuade the victim to convert their money into gold bars to protect their life savings. These gold bars are later collected and laundered by the scammers.
The New York City Police Department (NYPD) has investigated more than 100 gold bar scam cases over the past two years, with total losses exceeding $100 million. Attorney General James is providing New Yorkers with tips on how to protect themselves from these scams and is encouraging those who are contacted by scammers to [file a complaint with the Office of the Attorney General (OAG)](https://formsnym.ag.ny.gov/OAGOnlineSubmissionForm/faces/OAGBITHome?ref=consumernews.ai).
“Targeting older adults with seemingly legitimate claims that their life savings are in immediate danger is flat-out cruel,” said James. “Seniors deserve to live comfortably without fear of losing their hard-earned savings to a manipulative scam. I am urging all New Yorkers to beware of these gold bar scams and report suspicious messages related to this scam to my office.”
### Fraudulent pop-ups
These gold bar scams typically use a fraudulent pop-up message on victims’ computers, designed to resemble a legitimate cybersecurity warning. Victims are directed to provide remote access to their computer, allowing scammers to access victims’ financial information or online bank accounts. The scammers create fake evidence of hacking activity on the victims’ computer in order to further their scheme.
Victims are then connected to an individual posing as a law enforcement officer or government investigator. The scammer claims that the victims’ accounts have been compromised, and in order to protect their money, they must withdraw their savings and purchase gold bars or coins from legitimate dealers and turn these bars over to the purported authorities to keep them safe.
Victims are instructed to keep the matter confidential and not discuss it with bank employees or family members. The scammers will then use couriers to collect the gold from the victim.
James is providing the following tips to help consumers avoid falling victim to these sorts of scams, as well as other similar financial scams:
- Do not call the number provided in a pop-up, text, or email.
- Never give someone you don’t know remote access to your computer.
- Never move money out of your bank account at the urging of someone over the phone.
- If someone claims there is an issue with your bank account, hang up and contact your financial institution by calling the number printed on your bank statement instead.
- Remember, a scam is effective because the scammer creates a false sense of urgency, pressuring the victim into life-altering decisions on the spot and swearing them to secrecy. The best way to combat this is to hang up and contact someone you trust and let them know your situation.
New York City residents who think they have been a victim of this scam are encouraged to [contact their local NYPD precinct](https://www.nyc.gov/site/nypd/bureaus/patrol/find-your-precinct.page?ref=consumernews.ai). Those elsewhere should contact their state's attorney general.
### Is gold a wise investment for smaller investors?
URL: https://www.consumernews.ai/is-gold-a-wise-investment-for-smaller-investors/
Last updated: 2026-08-10T13:08:25.000Z
**Gold can have a place in a diversified portfolio, but it is not the risk-free refuge that many gold sellers portray it to be.**
Gold does not pay interest or dividends. Its return depends largely on whether someone will pay more for it later, and its price can rise or fall sharply. The [Commodity Futures Trading Commission](https://www.cftc.gov/LearnAndProtect/AdvisoriesAndArticles/gold%5Fis%5Fno%5Fsafe%5Finvestment.htm?ref=consumernews.ai) warns that gold and other precious metals can be highly volatile despite their reputation as "safe haven" investments.
For smaller investors, the biggest question may not be whether gold is good or bad, but how much of their savings they are putting into it and what they are paying to buy it. Diversification generally reduces the risk of having too much riding on any single investment, according to [Investor.gov](https://www.investor.gov/additional-resources/information/older-investors?utm%5Fsource=chatgpt.com).
Physical gold also carries costs that stocks and ordinary mutual funds may not: dealer markups, commissions, shipping, insurance and storage. Investors can lose money even if the market price of gold rises because they may have to overcome the spread between the dealer's purchase and resale prices. [FINRA](https://www.finra.org/investors/insights/physical-precious-metals?ref=consumernews.ai) advises buyers to understand all costs and exactly how much gold prices would have to increase before they could break even.
[Gold - Good Idea?Is gold a wise investment for smaller investors?Consumers are constantly bombarded with come-ons for gold investment “opportunities.” Some of these are downright fraudulent and the rest are a big, shall we say, optimistic. Here’s what the experts tell us.ConsumerNews.aiThe EditorsWarning: Gold bar scam targeting seniorsPop-ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/gold-good-idea/)
### Red flags
Be particularly wary when a salesperson:
- Says gold is "safe," guaranteed or cannot lose value.
- Urges you to move a large portion of an IRA or retirement account into precious metals.
- Uses fears about inflation, bank failures, government collapse or economic disaster to pressure you into acting immediately.
- Recommends collectible or supposedly rare coins that carry large markups.
- Won't clearly disclose commissions, dealer spreads, storage costs or the price at which the company would buy the gold back.
The CFTC [says](https://www.cftc.gov/LearnAndProtect/metalsfrauds?ref=consumernews.ai) precious-metals fraud frequently involves inflated prices and high commissions and has specifically warned about schemes targeting retirees and owners of self-directed IRAs.
### A simpler way to think about it
Gold may be reasonable as one small component of an already diversified investment portfolio for someone who understands its risks. It is much harder to justify when it becomes a substitute for diversification, emergency savings or retirement income.
> And whenever the argument for buying gold begins with fear rather than investment fundamentals, that's a good reason to slow down.
### CFPB examiners warned against being 'too aggressive' with the firms they're supposed to regulate
URL: https://www.consumernews.ai/cfpb-examiners-warned-against-being-too-aggressive-with-the-firms-theyre-supposed-to-regulate/
Last updated: 2026-08-10T12:39:33.000Z
When it was established more than 25 years ago, the Consumer Financial Protection Bureau was described as "the new cop on the consumer protection beat" by its primary architect, Sen. Elizabeth Warren (D-Mass.)
For years, it was an aggressive agency, going after businesses that charged usurious interest rates, tacked on endless junk fees and otherwise abused consumers' trust. To stick with the cop on the beat analogy, it would ticket any wrongdoer who so much as changed lanes in an intersection.
But times have changed. For years, the financial sector seethed at the tough enforcement policies that cost it billions of dollars in fines, penalties and reimbursement expense. And since the beginning of President Trump's second term, the knives have been out, pointing squarely at the CFPB. After rotating through a succession of leaders, the bureau is cracking down again – except that this time, it's cracking down on its own examiners, who have been banks say have been cruel and abusive.
It's transitioned from Good Cop to Bad Cop, you might say.
Consumer advocates fear that will weaken oversight of banks, mortgage lenders and other financial companies, while industry groups argue that previous examinations were unnecessarily confrontational.
The agency is under renewed scrutiny after [Reuters reported](https://www.reuters.com/world/us-consumer-watchdog-supervisor-warned-staff-unpleasant-fallout-if-they-go-too-2026-08-04/?ref=consumernews.ai) that a senior bureau official warned examiners against conduct that financial institutions might view as overly aggressive.
The email, sent in May by CFPB Chief Examiner Fatima Batie as the agency resumed examinations after a lengthy pause, reportedly warned staff that inflammatory conduct could have "most unpleasant" consequences. Critics say the message could discourage examiners from asking tough questions or pursuing potential violations aggressively. Agency supporters counter that the changes are intended to promote professionalism and reduce regulatory overreach.
### Why supervision matters
Most consumers are familiar with the CFPB's public enforcement actions — the lawsuits, fines and settlements that generate headlines. Less visible, but arguably more important, is the bureau's supervisory function.
CFPB examiners regularly inspect banks, mortgage companies, payday lenders, debt collectors, credit-reporting agencies and payment companies to ensure compliance with federal consumer-protection laws. The bureau shares oversight of large banks with other regulators and has exclusive supervisory authority over many non-bank financial firms.
Unlike enforcement cases, examinations occur largely behind closed doors. Examiners review documents, interview executives and identify problems before they escalate into consumer harm. Critics of the current changes worry that a less aggressive approach could mean fewer problems are uncovered.
Reuters reported that examinations have been reduced by roughly 50% and that the bureau has shifted attention away from areas that had been priorities under previous leadership, including student loans and medical debt.
## The "humility" approach
The email described by Reuters appears to fit within a broader effort by current CFPB leadership to reshape the bureau's culture.
Agency officials have promoted what they call a "humility in supervision" philosophy, emphasizing cooperation with financial institutions and focusing examinations on material risks rather than technical violations. Supporters argue that previous administrations sometimes created an adversarial relationship between regulators and the companies they supervised.
Financial institutions have long complained that CFPB examinations could be intrusive, expensive and unpredictable. Industry groups have argued that overly aggressive supervision discourages lending and innovation.
Consumer advocates see things differently.
Austin Hinkle, a former CFPB attorney quoted by Reuters, said the message could be interpreted by employees as a warning not to push too hard when investigating potential wrongdoing, [Reuters](https://www.reuters.com/world/us-consumer-watchdog-supervisor-warned-staff-unpleasant-fallout-if-they-go-too-2026-08-04/?utm%5Fsource=chatgpt.com) reported.
The bureau itself has defended the need for professional conduct and has said it remains committed to enforcing consumer-protection laws.
## A bureau with an uncertain future
The CFPB was created by Congress in the aftermath of the 2008 financial crisis to police mortgages, credit cards, payday lending and other consumer-finance markets. Its mission is to ensure that markets for consumer financial products are fair and transparent.
Since its creation, the agency has been a political lightning rod.
Supporters credit the bureau with returning billions of dollars to consumers and uncovering abusive practices in industries ranging from mortgage servicing to credit reporting. Critics contend that it has too much power and imposes excessive compliance costs on businesses.
The current administration has sought to reduce the bureau's footprint, cutting staff, scaling back some examinations and reconsidering rules adopted under former Director Rohit Chopra, who now heads a [similar agency](https://www.consumernews.ai/california-recruits-former-cfpb-chief/) in California.
At the same time, many consumer advocates worry that reduced supervision could leave consumers more vulnerable at a time when Americans are struggling with rising debt, higher interest rates and the growing complexity of financial products.
## What consumers are likely to notice
Most consumers will never interact directly with a CFPB examiner, but changes in supervision can have real-world consequences.
A less aggressive supervisory posture could mean:
- Fewer examinations of mortgage lenders, debt collectors and fintech firms.
- More reliance on consumer complaints to identify problems.
- Longer periods before problematic practices are detected.
- Greater responsibility for state regulators and private lawsuits to fill enforcement gaps.
On the other hand, supporters of the changes argue that a less confrontational approach could reduce compliance costs and encourage lenders to offer more products and services.
Whether consumers ultimately benefit or suffer will depend on whether the bureau can strike a balance between protecting borrowers and avoiding unnecessary burdens on legitimate businesses.
---
## What this means for consumers
The CFPB's supervisory work rarely makes headlines, but it is one of the government's most important consumer-protection tools. Changes to the way examiners interact with financial institutions could affect everything from mortgage servicing to credit-card disputes.
Consumers should not assume that federal regulators will catch every problem. It's increasingly important to monitor bank accounts and credit reports, save records of financial transactions and file complaints promptly when issues arise.
---
### Where to complain
If you believe a financial company has treated you unfairly, consider these options:
- [File a complaint](https://www.consumerfinance.gov/complaint/?ref=consumernews.ai) with the CFPB.
- Contact your state attorney general or state banking regulator.
- Keep copies of statements, contracts and correspondence.
- Monitor your credit reports for errors or unauthorized accounts.
- Escalate disputes in writing and keep a paper trail.
---
### Data box: What CFPB supervision covers
| Industry | CFPB oversight |
| ------------------------------ | ------------------------------------ |
| Large banks | Shared with other federal regulators |
| Mortgage lenders and servicers | Direct supervision |
| Payday lenders | Direct supervision |
| Debt collectors | Direct supervision |
| Credit bureaus | Direct supervision |
| Payment and fintech firms | Increasingly subject to review |
The CFPB was created by the 2010 [Dodd-Frank Act](https://www.congress.gov/111/plaws/publ203/PLAW-111publ203.pdf?ref=consumernews.ai) and oversees a broad range of consumer-finance companies, particularly non-bank institutions that historically escaped federal scrutiny.
### Homeowners got cash with ‘no interest.’ Lawsuit says the real cost was their home equity
URL: https://www.consumernews.ai/homeowners-got-cash-with-no-interest-lawsuit-says-the-real-cost-was-their-home-equity/
Last updated: 2026-08-08T14:44:27.000Z
A financial product that promises homeowners cash without monthly payments or interest is facing a growing legal challenge over what consumers ultimately have to give up in return.
The National Consumer Law Center and law firm Singleton Schreiber have filed a [proposed class-action lawsuit](https://www.nclc.org/class-action-lawsuit-filed-against-unison-alleging-company-lured-massachusetts-homeowners-into-predatory-home-equity-agreements/?ref=consumernews.ai) against [Unison Agreement Corp](https://www.unison.com/?ref=consumernews.ai). and affiliated companies, alleging that Unison marketed what were effectively high-cost mortgage loans as something entirely different: “shared equity” investments or option contracts.
The [suit](https://www.nclc.org/wp-content/uploads/2026/08/Complaint-Case-No.-26-cv-30126.pdf?ref=consumernews.ai), filed in U.S. District Court in Massachusetts, argues that the distinction allowed Unison to avoid consumer protections that normally apply to mortgages, reverse mortgages and other forms of home-secured credit. The allegations have not been proven, and Unison has not yet publicly responded to the Massachusetts case.
Unison continues to advertise its equity-sharing product as providing cash with “no monthly payments” and “no interest.” Under the agreement, however, homeowners eventually repay the original amount plus or minus a share of the change in the home's value, generally when the property is sold, refinanced or the agreement ends, the suit alleges.
That structure can produce a very large bill if the house appreciates.
[Before you sign a home-equity sharing agreement: 7 numbers to calculateWhat does “home equity sharing” really mean? Is it just like a loan?ConsumerNews.aiThe Editors](https://www.consumernews.ai/before-you-sign-a-home-equity-sharing-agreement-7-numbers-to-calculate/)
## $36,000 in cash, potentially $241,000 to get out
The Massachusetts lawsuit centers on homeowners Anne Cuvellier and David Hills.
Cuvellier, a 68-year-old social worker in East Longmeadow, received an initial Unison advance of $57,137, according to the complaint. After more than $20,000 was deducted for fees and required debt payments, she allegedly received about $36,329 in usable cash.
In return, the lawsuit says, Unison obtained an interest equivalent to 70% of her home's equity under the agreement.
By Sept. 30, 2025, Unison estimated that the amount needed to settle the agreement could reach $241,651, according to the complaint.
Hills, a semi-retired Hyannis homeowner who has lived in his family home for more than 50 years, allegedly received a net advance of about $61,851\. His agreement also gave Unison a 70% interest under the contract, the lawsuit says.
Unison later estimated that Hills could owe somewhere between $236,301 and $331,103, according to the complaint.
The lawsuit alleges that those outcomes illustrate the fundamental problem with marketing the transactions as something other than loans.
The proposed class includes Massachusetts residents who entered into Unison Homeowner Agreements and alleges violations of the state's consumer protection, credit disclosure, mortgage lending and reverse-mortgage laws.
## The appeal of ‘no monthly payments’
Home-equity sharing agreements have grown partly because they solve a real problem.
Millions of homeowners have accumulated substantial equity but may not have enough income or credit to qualify for a conventional home-equity loan or HELOC — or may simply not want another monthly payment.
A home-equity agreement gives the homeowner cash today. Instead of making monthly payments, the homeowner promises the company a future payment tied partly to the home's value.
For someone who is “house rich and cash poor,” that can sound attractive.
But the Consumer Financial Protection Bureau warned in a [detailed market study](https://www.consumerfinance.gov/data-research/research-reports/issue-spotlight-home-equity-contracts-market-overview/?ref=consumernews.ai) that the eventual repayment can reach hundreds of thousands of dollars and may be difficult for consumers to predict when they sign the contract.
The CFPB found that home-equity contracts typically must be settled in one large payment after 10 to 30 years or when another event occurs, such as the sale of the home.
Consumers have complained about unexpectedly large payoff amounts, appraisal disputes, difficulty refinancing conventional mortgages and situations in which selling the house appeared to be the only practical way to get out of the agreement.
## ‘No interest’ doesn't necessarily mean not expensive
The language surrounding the products can also make them difficult to compare with conventional loans.
If a bank lends a homeowner $50,000 at 8%, the borrower can readily calculate the interest rate and monthly payment.
An equity-sharing contract may instead take a percentage of future appreciation, sometimes after adjusting the home's initial value or applying a contractual multiplier.
The CFPB found that because of those features, the implied cost of some home-equity contracts can rise by as much as roughly 22% annually during the early years of an agreement.
In one example analyzed by the agency, a homeowner who received $50,000 could owe between about $94,000 and $216,000 after 10 years, depending on what happened to the home's value.
That doesn't mean every home-equity agreement will cost more than a loan. If a home's value falls, the homeowner's eventual payment can also decline.
Unison itself says whether its agreement is more or less expensive than traditional borrowing depends on changes in the home's value.
The difficulty is knowing the cost in advance.
## Courts are beginning to ask whether these are really loans
The Massachusetts case is not occurring in isolation.
Unison has faced similar litigation in several states, including California, Colorado, New York and Washington.
One of the most consequential decisions so far came from the U.S. Court of Appeals for the Ninth Circuit.
In an [August 2025 case](https://law.justia.com/cases/federal/appellate-courts/ca9/23-2835/23-2835-2025-08-07.html?ref=consumernews.ai) involving Washington homeowners, the appeals court rejected a lower court's dismissal of claims against Unison.
The court examined the economic substance of Unison's agreement rather than simply the label attached to it and concluded that the particular arrangement amounted to a reverse mortgage loan under Washington law.
The judges noted that homeowners could remove Unison's lien without selling their home only by paying back the original advance plus potentially a substantial share of appreciation.
The court also allowed claims to proceed alleging that marketing the transaction as involving no “loan,” “debt” or “interest” could deceive consumers.
The ruling does not automatically determine how Massachusetts law will apply to Unison's agreements, but it could give plaintiffs in other states an important legal roadmap: courts may examine what these transactions actually do rather than what companies call them.
## A small market that could become much bigger
Home-equity sharing remains relatively small compared with conventional mortgage lending, but it has been growing quickly.
The CFPB estimated the market at roughly $2 billion to $3 billion and found that the four largest companies had originated more than 37,000 contracts.
During the first 10 months of 2024 alone, the four largest companies securitized about $1.1 billion in home-equity contracts covering roughly 11,000 homes, according to the [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/data-research/research-reports/issue-spotlight-home-equity-contracts-market-overview/?ref=consumernews.ai).
Unison says it has helped more than 17,000 homeowners unlock more than $1 billion in home wealth.
That growth makes the legal question increasingly important.
If courts ultimately decide that these transactions are loans or reverse mortgages, companies offering them could become subject to licensing, disclosure, counseling, interest-rate and other consumer-protection requirements that they have historically argued do not apply.
## What homeowners should know
> Consumers considering a home-equity sharing agreement should focus less on the absence of a monthly payment and more on the possible cost of leaving the agreement.
Before signing, calculate several scenarios for what the company would receive if your home appreciates 3%, 5% or 8% annually.
Also ask what happens if you want to refinance, move, divorce, transfer the home to children or simply buy the company out while continuing to live there.
Most importantly, compare the agreement's potential payoff with a HELOC, home-equity loan, cash-out refinance or — for homeowners 62 and older — a federally insured reverse mortgage.
Those alternatives can have drawbacks of their own.
But unlike an agreement whose ultimate price depends on a home's value years into the future, conventional loans generally make the cost of borrowing much easier to see.
And that is increasingly the issue at the center of the lawsuits against Unison: whether calling a financial transaction an “investment” changes what it really is.
### Before you sign a home-equity sharing agreement: 7 numbers to calculate
URL: https://www.consumernews.ai/before-you-sign-a-home-equity-sharing-agreement-7-numbers-to-calculate/
Last updated: 2026-08-08T14:46:49.000Z
A home-equity agreement may promise cash with no monthly payment and no traditional interest charge. That does **not** mean the money is cheap.
Before signing, ask the company to put these seven numbers in writing:
**1\. How much cash will you actually receive?**
Start with the advertised advance, then subtract origination fees, appraisal charges, closing costs and any debts the company requires you to pay off.
**2\. What percentage of your home’s future value or appreciation are you giving up?**
Do not rely on phrases such as “shared appreciation.” Ask for the exact formula.
[Homeowners got cash with ‘no interest.’ Lawsuit says the real cost was their home equityA new class-action lawsuit accuses Unison of disguising high-cost mortgage loans as “home equity investments” with no interest or monthly payments.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/homeowners-got-cash-with-no-interest-lawsuit-says-the-real-cost-was-their-home-equity/)
**3\. What home value will the company use as its starting point?**
Some agreements apply a discount or adjustment to the home's appraised value. That can substantially increase the company's share of future appreciation.
**4\. What would you owe if home prices rise 3%, 5% or 8% a year?**
Ask for written payoff examples after five, 10 and 15 years. A relatively modest annual increase can produce a very large settlement amount over time.
**5\. What would it cost to buy the company out without selling your house?**
This may be especially important for older homeowners who want to remain in their homes or eventually leave them to family members.
**6\. What happens if you refinance?**
A home-equity agreement may complicate a future mortgage or HELOC because the company generally records an interest or lien against the property. Ask whether refinancing requires the agreement to be paid off.
**7\. What is the maximum amount you could owe?**
Some contracts include caps or limits; others may expose homeowners to much larger payments as property values rise. Get the exact maximum — if there is one.
### Then compare it with ordinary borrowing
Before giving up a share of your home equity, get quotes for a:
- Home-equity loan
- Home-equity line of credit
- Cash-out refinance
- Reverse mortgage, if you are eligible
A traditional loan comes with interest and monthly payments, but its costs may be considerably easier to understand and predict.
> **Bottom line:** Don't compare a home-equity agreement based on the monthly payment — which may be zero. Compare what you could ultimately have to pay to get your house back free and clear.
### National Safety Recall - August 7
URL: https://www.consumernews.ai/national-safety-recall-august-7/
Last updated: 2026-08-07T20:21:32.000Z
There are several important additions to the roundup, led by a **1.77-million-unit attic-ladder recall** and a serious FDA recall involving injectable compounded glutathione.
### 1.77 million attic ladders — bolts can break, causing falls
**Louisville Ladder is recalling about 1.77 million Louisville, Featherlite, Lite & Century attic stairway ladders equipped with gas struts** because bolts can break while someone is using the ladder, creating a potentially deadly fall hazard.
The company has received **11 reports of broken bolts**, including one incident causing neck, head and back injuries. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Louisville-Ladder-Recalls-Over-One-Million-Attic-Stairway-Ladders-Due-to-Risk-of-Serious-Injury-or-Death-from-Fall-Hazard?ref=consumernews.ai))
The ladders were sold nationwide at **Home Depot, Lowe’s, Do It Best and other retailers, as well as Amazon**, from November 2012 through July 2026 for roughly $170 to $600\. Consumers should **stop using them immediately** and register with Louisville Ladder for a free repair kit containing replacement spreader bolts, washers and lock nuts. The brand and model number are located on the inside of the attic door.
### Compounded glutathione injections — endotoxins can cause shock or death
**Victory Medical Center Pharmacy is recalling three lots of compounded glutathione 200 mg/mL multidose vials** after testing found elevated bacterial endotoxin levels.
FDA says contaminated injectable products can cause **fever, dangerous blood-pressure changes, inflammatory reactions, anaphylactic shock and potentially death**. Patients have already reported fever, chills, severe headache, nausea, vomiting, rapid heartbeat, blood-pressure changes, body aches and injection-site reactions. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/victory-medical-center-pharmacy-issues-voluntary-nationwide-recall-certain-lots-compounded?utm%5Fsource=chatgpt.com))
Affected VMC lots are **1980571, 1981940 and 1984345**, with an expiration date of **August 27, 2026**. They were distributed to consumers in **Texas, Florida and New York**. Patients should stop using the affected product, quarantine it and contact the pharmacy and their prescribing physician if they have experienced symptoms. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/victory-medical-center-pharmacy-issues-voluntary-nationwide-recall-certain-lots-compounded?utm%5Fsource=chatgpt.com))
### Scuba regulators — air supply can become restricted underwater
About **1,105 Apeks XL4, XL4+ and XL4 Ocea second-stage scuba regulators** are recalled because they can restrict airflow at depths greater than 45 meters, or roughly 147 feet, creating a risk of drowning.
Affected regulators have serial numbers **250402212 through 260402893** and were sold from April 2025 through June 2026\. Divers should stop using them immediately and take them to an authorized retailer for a free valve-spindle replacement. No injuries have been reported. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Head-Watersports-Recalls-Apeks-Second-Stage-Scuba-Regulators-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Drowning-Hazard?ref=consumernews.ai))
### Vanderhall Brawley electric ROVs — may accelerate after pedal is released
All **2024, 2025 and 2026 Vanderhall Brawley GTS electric recreational off-highway vehicles** are recalled because they can maintain speed or even accelerate after the driver releases the accelerator.
About **210 vehicles** are involved. Vanderhall has received one unexpected-acceleration report but no reported injuries. Owners should stop using the vehicles until their software has been updated to firmware version 7.1.0\. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Vanderhall-North-America-Recalls-Brawley-GTS-Electric-Recreational-Off-Highway-Vehicles-ROVs-Due-to-Risk-of-Serious-Injury-or-Death-from-Crash-Hazard?ref=consumernews.ai))
### Little Rawr teething toys — choking and respiratory-distress hazard
About **2,180 Little Rawr Silicone Pull String Teething Toys** sold on Amazon are recalled because their silicone strings are longer and narrower than permitted and can reach the back of a child's throat.
CPSC says this creates a potentially deadly choking hazard. One child has already experienced **respiratory distress or choking when the strings reached the back of the throat**. Consumers should immediately take the toy away from children and obtain a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Little-Rawr-Pull-String-Teething-Toys-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Violate-Mandatory-Standard-for-Toys-Sold-on-Amazon-by-Okabesini-us?ref=consumernews.ai))
### Winston Porter and Seeday dressers — child tip-over hazard
Approximately **2,050 Winston Porter and Seeday three-, four- and five-drawer dressers** are recalled because they are unstable when not anchored to the wall and can fall onto children.
One dresser has already tipped over and **injured a 3-year-old child**. The products were sold through Amazon and Wayfair. Consumers should stop using unanchored dressers and keep children away from them while arranging a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Winston-Porter-and-Seeday-3-Drawer-4-Drawer-and-5-Drawer-Dressers-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violate-Mandatory-Standard-for-Clothing-Storage-Units?ref=consumernews.ai))
### Other agency checks
**NHTSA:** No newer urgent national vehicle-recall consumer alert was posted as of August 7\. NHTSA's press-release listing still shows the **July 9 Kia Telluride park-outside recall** as its latest major recall alert. ([NHTSA](https://www.nhtsa.gov/press-releases?ref=consumernews.ai))
**USDA FSIS:** No new meat, poultry or processed-egg recall or public-health alert dated August 6 or August 7; the most recent official FSIS recall surfaced in the search remains the **July 31 Ukrop’s prepared-food recall** previously reported. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/ukrops-homestyle-foods-recalls-spaghetti-and-chicken-products-due-possible-foreign?utm%5Fsource=chatgpt.com))
The **Louisville Ladder recall is the standout consumer story today** because of its unusually large 1.77-million-unit scope, long sales window extending back to 2012, and reported injury. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Louisville-Ladder-Recalls-Over-One-Million-Attic-Stairway-Ladders-Due-to-Risk-of-Serious-Injury-or-Death-from-Fall-Hazard?ref=consumernews.ai))
### Could Ozempic-like drugs curb alcohol addiction? VA launches major trial
URL: https://www.consumernews.ai/could-ozempic-like-drugs-curb-alcohol-addiction-va-launches-major-trial/
Last updated: 2026-08-07T12:56:17.000Z
The Department of Veterans Affairs is launching a large Phase 3 trial of semaglutide as a treatment for alcohol use disorder.
The blockbuster drugs that transformed treatment for diabetes and obesity are moving into another potentially enormous field: addiction.
The Department of Veterans Affairs has launched a [nationwide clinical trial](https://news.va.gov/press-room/va-launches-trial-of-glp-1-treatment-for-alcohol-use-disorder/?utm%5Fid=05AUG2026&ref=consumernews.ai) to determine whether semaglutide — the active ingredient in Ozempic and Wegovy — can help people with moderate or severe alcohol use disorder cut back or stop drinking.
The study, called CRAVE, will enroll more than 600 veterans at 18 VA medical centers across the country. Participants will receive weekly injections of either semaglutide or a placebo, with researchers measuring changes in alcohol consumption as well as health and quality of life, the [VA](https://news.va.gov/press-room/va-launches-trial-of-glp-1-treatment-for-alcohol-use-disorder/?ref=consumernews.ai) said.
The VA says more than 400,000 veterans have been diagnosed with alcohol use disorder.
“This clinical trial reflects medical research that VA is uniquely situated to launch, and is aimed directly at benefitting Veterans,” VA Secretary Doug Collins said in announcing the study.
The trial represents another striking expansion of the possible uses for GLP-1 drugs, which began as diabetes treatments and have since become widely used for obesity and cardiovascular risk reduction.
Researchers are now studying whether their effects on the brain's reward system could make the drugs useful against alcohol and other addictive substances.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
## The evidence is becoming harder to dismiss
For several years, patients taking GLP-1 drugs have reported an unexpected side effect: alcohol sometimes becomes less appealing.
Some said they stopped wanting a nightly glass of wine. Others reported that drinking no longer produced the same sense of reward.
Those anecdotes have increasingly been backed by clinical research.
A [randomized trial](https://pubmed.ncbi.nlm.nih.gov/41781010/?ref=consumernews.ai) published this year in *The Lancet* studied 108 patients who had both obesity and moderate-to-severe alcohol use disorder. Everyone was offered cognitive behavioral therapy, but half also received weekly semaglutide.
Heavy-drinking days fell by 41.1 percentage points from baseline in the semaglutide group, compared with 26.4 percentage points among patients receiving placebo. The difference between the groups was statistically significant.
An earlier U.S. randomized trial involving 48 adults also found that low-dose semaglutide reduced alcohol consumed during a laboratory drinking test and reduced alcohol cravings over nine weeks, although it did not improve every measure of drinking behavior, according to a [PubMed](https://pubmed.ncbi.nlm.nih.gov/39937469/?utm%5Fsource=chatgpt.com) posting.
Those are still relatively small studies, which is why the VA trial matters.
## A much bigger test
CRAVE is a randomized, double-blind, placebo-controlled Phase 3 study — the type of trial capable of providing substantially stronger evidence about whether a treatment actually works.
ClinicalTrials.gov lists an [anticipated enrollment](https://clinicaltrials.gov/study/NCT07218354?ref=consumernews.ai) of 622 participants with moderate or severe alcohol use disorder. Participants can be between ages 18 and 80 and will receive semaglutide or placebo injections while researchers track drinking behavior and other outcomes.
The trial is scheduled to run for several years, with primary completion currently projected for 2028 and final study completion in 2029, according to [ClinicalTrials.gov](https://clinicaltrials.gov/study/NCT07218354?utm%5Fsource=chatgpt.com).
Unlike some earlier studies, the VA trial could also help determine whether semaglutide's apparent effect on alcohol is independent of its ability to produce weight loss.
That remains an important unanswered question.
A [recently published study](https://pubmed.ncbi.nlm.nih.gov/42486225/?ref=consumernews.ai) of more than 11,000 adults found GLP-1 users reduced their alcohol consumption by about one additional drink per week compared with people who weren't taking the drugs. But the difference was no longer statistically significant after researchers adjusted for weight loss.
In other words, scientists still don't know exactly how much of the alcohol effect comes directly from changes in the brain's reward circuitry and how much may result indirectly from losing weight or other metabolic changes.
## Clues from the VA's own records
The VA already has unusually intriguing evidence because of the enormous amount of health data available through the veterans health system.
A 2026 study using VA records compared veterans with type 2 diabetes who started GLP-1 drugs with those who started another class of diabetes medications known as SGLT-2 inhibitors.
Researchers found GLP-1 users had an 18% lower relative risk of subsequently developing an alcohol use disorder. They also had lower risks of disorders involving cannabis, cocaine, nicotine and opioids.
Other observational studies have reached similar conclusions.
One recent study involving more than 40,000 adults found newer GLP-1 drugs were associated with substantially lower rates of hospitalization for alcohol-related problems among people with alcohol use disorder and either diabetes or obesity.
A [Swedish study](https://pubmed.ncbi.nlm.nih.gov/42456704/?ref=consumernews.ai) likewise found GLP-1 treatment was associated with fewer hospitalizations related to alcohol and other substance-use disorders.
Observational studies can't prove that the medication caused those improvements, however. People prescribed GLP-1 drugs may differ in many ways from people who aren't taking them.
That is precisely the question a large randomized trial such as CRAVE is designed to settle.
## Why another treatment could matter
Alcohol use disorder is extremely common and surprisingly undertreated.
About 27.9 million Americans age 12 and older had alcohol use disorder in 2024, according to federal survey data. Yet only about 7.6% of people with the condition received alcohol treatment that year, the [NIAAA](https://www.niaaa.nih.gov/alcohols-effects-health/alcohol-topics/alcohol-facts-and-statistics/alcohol-use-disorder-aud-united-states-age-groups-and-demographic-characteristics?utm%5Fsource=chatgpt.com) estimated.
Only three medications are currently approved by the FDA specifically to treat alcohol use disorder: naltrexone, acamprosate and disulfiram.
Behavioral therapies can also be effective, and treatment increasingly combines medication with counseling or other support.
But researchers have been searching for additional medications because no existing treatment works for everyone.
GLP-1 drugs would represent a fundamentally different approach.
Rather than primarily blocking alcohol's effects or producing an unpleasant reaction to drinking, GLP-1 medications appear capable of changing the biological reward signals that help drive cravings.
Researchers are investigating similar effects involving nicotine, opioids and other addictive substances.
## Don't try this at home
Despite the promising findings, semaglutide is **not FDA-approved as a treatment for alcohol use disorder**, and the VA specifically cautioned people against trying to use GLP-1 drugs as a substitute for established addiction treatment.
“VA strongly discourages self-medicating or attempting to replace other AUD treatment options with GLP-1 medications or any other unprescribed substances,” the agency said.
The drugs can also cause side effects, most commonly nausea, vomiting, diarrhea and other gastrointestinal problems. In the recent *Lancet* alcohol trial, adverse effects were generally mild to moderate but occurred more frequently among patients receiving semaglutide.
For now, the evidence amounts to something unusual in medicine: a phenomenon first noticed by patients and physicians in everyday use that is increasingly surviving the transition into controlled clinical trials.
If the VA study confirms those early findings, the GLP-1 revolution could turn out to be about considerably more than losing weight.
### Meta ordered to pay $567 million — and change Facebook and Instagram to protect children
URL: https://www.consumernews.ai/meta-ordered-to-pay-567-million-and-change-facebook-and-instagram-to-protect-children/
Last updated: 2026-08-07T12:42:00.000Z
Meta has been hit with another major defeat in New Mexico — and this one could affect much more than the company’s bank account.
State District Judge Bryan Biedscheid ruled Thursday that Meta’s Facebook and Instagram platforms constitute a “public nuisance” in New Mexico and ordered the company to pay $567 million into a fund intended largely to provide mental-health treatment and other services for young people.
The judge concluded that New Mexico teenagers are experiencing a mental-health crisis and that Meta’s platforms were a significant contributing cause.
The ruling follows a March jury verdict that ordered Meta to pay $375 million for violating New Mexico consumer-protection laws by misleading consumers about the safety of Facebook and Instagram.
Together, the two rulings put Meta’s potential cost in the New Mexico case at $942 million, although Meta says it will appeal.
But the potentially more consequential part of the decision may be what Meta has been ordered to do rather than what it has been ordered to pay.
[Meta says states are seeking $1.4 trillion in teen social media caseThe August trial is part of a broader wave of social media litigation that could reshape how platforms are designed for children and teensConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-says-states-are-seeking-1-4-trillion-in-teen-social-media-case/)
## Five years of court-ordered changes
Biedscheid imposed a five-year decree requiring Meta to make changes intended to reduce risks to children using Facebook and Instagram.
Among other things, the company must impose limits on how long teenagers can use the platforms, restrict notifications directed at young users and tighten controls over contacts between adults and minors.
The ruling also requires safeguards governing Meta’s artificial-intelligence chatbots and stronger review of reports involving child sexual abuse.
Some of those requirements go directly at features critics say make social-media platforms difficult for children to walk away from — including repeated notifications and recommendation systems designed to keep users engaged.
New Mexico Attorney General Raúl Torrez called the ruling a model that other governments could follow.
“This is not just a judgment against one company. It is a blueprint,” [Torrez said](https://nmdoj.gov/press-release/statement-from-attorney-general-raul-torrez-on-final-judgment-in-state-of-new-mexico-v-meta/?ref=consumernews.ai) following the decision. “Now other states, and other countries confronting the same crisis, have a roadmap they can follow.”
Meta said it plans to appeal.
“We remain confident in our record of protecting teens online and will continue to defend ourselves against claims that misrepresent the facts,” the company said.
### What the judge is ordering Meta to change
The New Mexico ruling goes beyond financial penalties. It imposes a five-year court order requiring Meta to make specific changes intended to reduce risks to children and teenagers using Facebook and Instagram.
Among the requirements:
- **Screen-time limits:** Meta must put restrictions on how long young users can remain on its platforms.
- **Fewer notifications:** The company must limit notifications sent to teenagers, particularly features designed to repeatedly pull them back into the apps.
- **Stronger adult-contact controls:** Meta must tighten safeguards intended to prevent adults from contacting or soliciting minors.
- **AI chatbot protections:** The company must impose additional safeguards on AI systems that interact with children and teenagers.
- **Improved child-abuse reporting:** Meta must strengthen its handling and review of reports involving child sexual abuse and exploitation.
- **Five years of oversight:** The requirements remain in effect for five years, giving the court continuing leverage over Meta’s compliance.
### Why it matters
Most previous cases against social-media companies have focused on fines or damages. The New Mexico order directly targets product design and operating practices.
If it survives Meta’s planned appeal, the ruling could give other states a model for seeking similar restrictions on Instagram, Facebook and potentially other social-media platforms.
For parents, the case also shifts an important part of the debate. Instead of placing responsibility entirely on families to limit children’s social-media use, the court is requiring the company that designs the platform to build in protections of its own.
### An undercover investigation started the case
New Mexico's case grew out of an unusual undercover investigation launched by Torrez's office.
Investigators created accounts posing as children, some supposedly 14 or younger, and documented how Facebook and Instagram treated them.
The attorney general's office alleged that Meta's systems exposed the purported children to sexually explicit material, allowed adults to contact and solicit them and recommended groups associated with sexual exploitation.
When Torrez filed the lawsuit in 2023, his office alleged that Meta knew children faced serious risks on its platforms but had failed to make sufficient changes to protect them.
The case subsequently expanded beyond sexual exploitation to focus heavily on what New Mexico described as intentionally addictive product design and its effects on children's mental health.
A jury sided with the state in March, finding Meta liable under New Mexico's Unfair Practices Act and assessing $375 million in civil penalties.
Thursday's ruling decided a separate portion of the case involving public nuisance claims and what Meta must do to remedy the alleged harm.
## A potentially important crack in tech's legal shield
The case could also matter because of how New Mexico got around one of the technology industry's most powerful legal protections.
Internet platforms have traditionally relied heavily on [Section 230](https://www.congress.gov/crs-product/R46751?ref=consumernews.ai) of the federal Communications Decency Act, which generally protects platforms from being treated as the publisher of material posted by users.
Meta argued that Section 230 barred New Mexico's claims.
Biedscheid rejected that argument.
> The state, he found, was challenging Meta's own product features and design decisions — not simply trying to hold Facebook or Instagram responsible for something another person posted.
> That distinction is becoming central to a new generation of social-media litigation.
Instead of arguing simply that harmful content appeared online, plaintiffs increasingly contend that features created by the companies themselves — recommendation algorithms, notifications, autoplay systems and other engagement tools — caused or amplified the harm.
That approach has begun producing courtroom victories.
In March, just after the New Mexico jury verdict, a Los Angeles jury sided with a young woman who alleged that Meta's platforms contributed to depression after she became compulsively attached to Facebook and Instagram.
## Hundreds of governments are making similar claims
New Mexico is not pursuing Meta in isolation.
More than 40 states and more than 1,300 school districts have filed public-nuisance lawsuits against social-media companies, according to Reuters, seeking damages and changes in how the platforms operate.
Meta also faces thousands of individual claims involving alleged social-media addiction and youth mental-health injuries.
Four states — California, Colorado, Kentucky and New Jersey — are pursuing another major case accusing Meta of designing Facebook and Instagram to addict children and misleading consumers about their safety. Meta said in a July court filing that the states' calculations could expose it to as much as $1.4 trillion in statutory penalties, a figure the company argues is unsupported.
That number is far from an actual judgment. But it illustrates why the New Mexico case is being watched so closely.
A legal theory that once looked novel has now survived Meta's efforts to dismiss it, persuaded a jury and produced a sweeping injunction from a judge.
## AI is becoming part of the child-safety fight
The New Mexico order also pushes the case beyond conventional social media into another fast-growing concern: AI companions.
The court's safeguards for AI chatbots come as lawmakers and regulators increasingly question whether conversational AI systems should be permitted to engage children in emotionally intimate or sexualized conversations.
Reuters reported last year that internal Meta guidelines had permitted its AI chatbots in some circumstances to engage children in conversations characterized as romantic or sensual. Meta subsequently revised policies governing chatbot behavior.
The issue could become increasingly important as Meta and other technology companies embed AI assistants throughout products already heavily used by children.
It also demonstrates how quickly the child-safety dispute is expanding. What began largely as an argument over Instagram feeds and recommendation algorithms now includes generative AI systems capable of carrying on sustained, personalized conversations with young users.
## What this means for parents
The ruling does not mean Facebook and Instagram will immediately look different everywhere.
The New Mexico order applies to the litigation brought by that state, and Meta's promised appeal could delay or change portions of the decision.
But parents elsewhere should pay attention.
If the ruling survives appeal, other attorneys general and plaintiffs now have something they previously lacked: an actual court-tested framework for forcing a major social-media company to alter product design rather than merely pay a penalty.
The significance of the case, therefore, isn't simply that Meta was ordered to write another large check.
For years, the central argument over children's social-media use has been whether parents should be responsible for controlling what their children do online.
The New Mexico ruling asks a different question:
**What responsibility does the company that deliberately designs the environment have for making it safe?**
For Meta — and potentially the rest of the social-media industry — courts are beginning to provide an answer.
### Meta’s ‘spy glasses’ are being shown the door over privacy fears
URL: https://www.consumernews.ai/metas-spy-glasses-are-being-shown-the-door-over-privacy-fears/
Last updated: 2026-08-06T13:26:58.000Z
Meta’s effort to make camera-equipped artificial intelligence glasses an ordinary part of daily life is running into a basic obstacle: Many people do not want to be recorded by someone who appears to be wearing an ordinary pair of glasses.
Restaurants, pubs and theaters in Britain are banning or restricting Meta’s Ray-Ban smart glasses amid concerns that customers and employees could be filmed without their knowledge[, according to The Guardian](https://www.theguardian.com/technology/2026/aug/06/restaurants-pubs-and-theatres-ban-metas-spy-glasses-over-privacy-fears?ref=consumernews.ai).
The venues reportedly include the Wetherspoons pub chain, ATG Entertainment theaters and several upscale restaurants. The establishments said their priority was protecting customers’ privacy and preventing unauthorized filming.
The glasses allow wearers to take photographs and record video through a camera built into the frame. They can also use Meta’s AI system to answer questions about what the wearer is seeing.
[Meta glasses viewed skeptically over privacy & other concernsMeta wants smart-glasses buyers to pay monthly for a feature their glasses already runMeta is putting monthly usage limits on Conversation Focus, a smart-glasses feature that helps users hear nearby speech more clearly in noisy placesConsumerNews.aiJames R. HoodMeta quietly removes facial recognition code after backlash over smartConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/)
Meta says a flashing white light alerts people when the glasses are recording. The company also recently updated the devices so that covering or disabling the indicator light automatically disables the camera.
But the growing number of bans suggests many businesses do not consider that safeguard sufficient.
A small light may be difficult to notice in a crowded restaurant, dark theater or brightly lit outdoor setting. Bystanders may also have no idea what the light means — and cannot readily determine whether the glasses are merely being worn or actively collecting information.
## From online tracking to real-world surveillance
The controversy represents a new phase in the long-running privacy debate surrounding Meta.
Facebook and Instagram traditionally collected enormous amounts of information about what people viewed, clicked, liked and purchased online. Smart glasses extend that data-gathering capability into homes, workplaces, restaurants, schools and public spaces.
The privacy problem is also different from an ordinary smartphone camera.
A person holding up a phone generally provides a visible indication that recording may be taking place. Meta’s cameras are built into frames designed to resemble conventional eyewear, making filming far less obvious.
That has led critics to describe them as “spy glasses” or “pervert glasses,” particularly after social-media users began posting videos apparently recorded without the subjects’ consent.
Instagram has reportedly removed some videos that appeared to harass or exploit people filmed with the glasses.
The glasses also create a consent problem for people who never purchased or agreed to use a Meta product. A restaurant patron, employee, child or passerby may become part of Meta’s data stream simply by standing in front of someone wearing the device.
## Questions about where recordings go
Privacy concerns intensified earlier this year following reports that some images or video submitted to Meta AI could be reviewed by human contractors.
A [class-action lawsuit](https://techcrunch.com/2026/03/05/meta-sued-over-ai-smartglasses-privacy-concerns-after-workers-reviewed-nudity-sex-and-other-footage/?ref=consumernews.ai) filed in California alleges that Meta and eyewear company Luxottica failed to adequately disclose that recordings sent to Meta AI could be transmitted for human review and used to improve the company’s systems.
Meta has said information shared with Meta AI may be reviewed to improve the service and that the practice is addressed in its terms and privacy disclosures. The allegations have not been proven in court.
The distinction is important. Photos and videos saved privately to a user’s gallery may be treated differently from material actively submitted to an AI service for identification, translation or analysis.
Consumers may not fully understand when the glasses are simply recording and when visual or audio data is being uploaded, processed or reviewed.
## Facial recognition raises the stakes
Privacy organizations have also objected to reports that Meta has considered adding real-time facial recognition capabilities to its glasses.
Such a feature could potentially allow a wearer to identify people encountered in public, connecting a face to a name or online profile.
The [Electronic Privacy Information Center](https://epic.org/epic-urges-ftc-states-to-block-metas-facial-recognition-smart-glasses-plan/?ref=consumernews.ai) has asked the Federal Trade Commission and state attorneys general to investigate, warning that facial recognition in discreet wearable cameras could facilitate stalking, harassment and doxxing.
A [coalition](https://epic.org/epic-joins-coalition-call-to-halt-metas-plans-for-facial-recognition-smart-glasses/?ref=consumernews.ai) of more than 60 civil-rights and consumer organizations has also urged Meta and Ray-Ban parent EssilorLuxottica to abandon the idea.
Meta has not made facial identification a generally available feature of the glasses. But the possibility illustrates why businesses may prefer to establish restrictions now rather than wait for the technology to become more powerful.
## Meta faces pressure on several fronts
The glasses controversy arrives as Meta is already defending its safety and privacy practices in courtrooms around the country.
A New Mexico jury ruled earlier this year that Meta violated state consumer-protection law and harmed children’s mental health and safety, imposing $375 million in penalties. Meta has denied wrongdoing and said it would appeal, [AP News](https://apnews.com/article/96922e625326f6e6dce55c6b73b17360?utm%5Fsource=chatgpt.com) reported.
In a separate California case, a jury found Meta and YouTube partly responsible for harm suffered by a young woman who said she became addicted to social media as a child. Meta has appealed the $6 million verdict.
The company also faces lawsuits from states and families alleging that Facebook and Instagram were deliberately designed to keep children engaged despite known risks. Four families filed another lawsuit in late July following the deaths of teenagers who had used major social-media platforms. The companies dispute claims that their products caused the harms alleged, [AP News](https://apnews.com/article/7e0f338b7c6f7529317cdd58468ce11c?utm%5Fsource=chatgpt.com) said.
Meta disclosed $2.4 billion in legal expenses during the second quarter of 2026, costs that contributed to a decline in quarterly profit, according to the Associated Press.
The individual cases involve different products and legal questions, but the underlying dispute is similar: whether Meta builds safety and privacy protections into its products before problems emerge or responds only after consumers, regulators and courts push back.
## Businesses are writing their own rules
Smart glasses are still new enough that laws and social customs have not caught up with them.
Photography may be legal in many public or semi-public places, but restaurants, theaters and other privately owned establishments can generally establish rules governing customer conduct on their premises.
That makes businesses an early line of defense for consumers who do not want to be recorded while eating, drinking, watching a performance or using a restroom or changing area.
Venues may require customers to remove the glasses, keep them inside a case or leave the premises if they refuse to comply.
Workplaces, schools, medical offices and fitness centers are likely to confront similar questions, particularly where confidential conversations, children, health information or undressed individuals may be present.
## What consumers can do
People who believe they are being recorded can ask the wearer whether the camera is active and request that recording stop. In a business, they can also alert a manager or member of staff.
Before wearing smart glasses into a restaurant, theater, workplace or private event, owners should check the establishment’s rules and ask permission before recording anyone.
Users should also review Meta’s privacy settings and understand the difference between material stored on their phone and information sent to Meta AI for processing.
Parents may want to tell children that glasses can contain cameras even when they look like ordinary eyewear.
The larger issue is unlikely to disappear. Meta and other technology companies see AI glasses as a possible successor to the smartphone. Their success, however, will depend not only on what the devices can do but also on whether everyone standing in front of them is willing to participate.
### How to spot — and respond to — smart-glasses recording
URL: https://www.consumernews.ai/how-to-spot-and-respond-to-smart-glasses-recording/
Last updated: 2026-08-06T13:27:16.000Z
Camera-equipped glasses can look almost identical to ordinary eyewear, making it difficult to know when someone is taking photographs, recording video or using an AI service to analyze what they see.
### Look for the recording light
Meta’s Ray-Ban glasses display a small white light on the front of the frame when the camera is recording.
But the light can be easy to miss, especially in a dark theater, crowded restaurant or brightly lit outdoor setting. Many people may also not recognize what the light means.
[Meta glasses viewed skeptically over privacy & other concernsMeta wants smart-glasses buyers to pay monthly for a feature their glasses already runMeta is putting monthly usage limits on Conversation Focus, a smart-glasses feature that helps users hear nearby speech more clearly in noisy placesConsumerNews.aiJames R. HoodMeta quietly removes facial recognition code after backlash over smartConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/)
### Ask directly
When you think someone may be recording you, ask:
- “Are those camera glasses?”
- “Are you recording right now?”
- “Please stop recording me and delete the video.”
A person may legally record in some public settings, but that does not mean a business must allow recording on its property.
### Alert the business
Restaurants, theaters, bars, medical offices and other private establishments can set their own rules for photography and recording.
Ask a manager whether the venue permits smart glasses. The business may require the wearer to remove the glasses, put them away or leave.
Recording may be especially sensitive in:
- Restrooms and changing areas
- Medical and counseling offices
- Schools and child-care facilities
- Gyms and swimming pools
- Private meetings and workplaces
- Theaters and live performances
### Do not assume the video stays on the glasses
Smart glasses can transfer images and recordings to a phone. Some features may also send audio, images or video to an AI service for processing.
That means a recording could potentially be uploaded, shared or retained even after the wearer leaves.
### Document harassment or misuse
When someone is deliberately filming, following or harassing you, note the location, time and description of the person and glasses.
Save screenshots or links when the recording appears online. Report the post to the platform and ask the business to preserve any security-camera footage.
Contact local law enforcement when the conduct involves threats, stalking, sexual exploitation or recording in a place where there is a reasonable expectation of privacy.
### Before wearing smart glasses
Owners should ask permission before recording other people, obey posted policies and avoid using the camera around children, confidential conversations or private activities.
The safest rule is simple: Wearing a camera does not eliminate the need for consent.
### Payday lender’s bank deal could bring loans charging up to 195% APR to every state
URL: https://www.consumernews.ai/payday-lenders-bank-deal-could-bring-loans-charging-up-to-195-apr-to-every-state/
Last updated: 2026-08-05T18:08:46.000Z
Payday lenders have spent years searching for ways around state interest-rate limits. One increasingly popular strategy is to acquire a bank.
More than 120 [consumer, civil-rights, legal-aid and community groups](https://www.nclc.org/broad-coalition-opposes-195-apr-bank-charter-for-oppfi-which-seeks-to-make-payday-loans-in-every-state/?ref=consumernews.ai) are asking federal regulators to block high-cost lender [OppFi](https://investors.oppfi.com/news/news-details/2026/OppFi-Reports-Record-Annual-Revenue-Net-Income-and-Adjusted-Net-Income/default.aspx?ref=consumernews.ai)’s proposed [acquisition of BNC National Bank](https://www.linkedin.com/pulse/oppfi-pays-130m-bnc-charter-118-assets-cobaltintelligence-i9yjc/?ref=consumernews.ai), warning that the deal could give the company a direct path into states that currently restrict or prohibit its loans.
OppFi offers installment loans carrying annual percentage rates that typically reach about 160% and can climb as high as 195%, according to the National Consumer Law Center and the Center for Responsible Lending.
[How to recognize a payday loan disguised as an installment loanWhen is an installment loan really a payday loan in disguise? Answer these questions to find out.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/how-to-recognize-a-payday-loan-disguised-as-an-installment-loan/)
The company currently relies on partner banks to originate many of its loans. Owning a nationally chartered bank could give it greater control over the process and strengthen its ability to claim federal authority to “export” interest rates permitted in the bank’s home state to borrowers across the country.
That would potentially allow OppFi to sidestep consumer protections adopted by state legislatures — including rate caps intended to keep payday-style loans out of their communities.
“OppFi’s lending program is risky, unsafe and unsound,” the [coalition](https://www.nclc.org/broad-coalition-opposes-195-apr-bank-charter-for-oppfi-which-seeks-to-make-payday-loans-in-every-state/?ref=consumernews.ai) said in [comments submitted](https://woodstockinst.org/predatory-lending/comment-letters-opposing-oppfis-application/?ref=consumernews.ai) to the Federal Deposit Insurance Corp., Office of the Comptroller of the Currency and Federal Reserve.
The groups want regulators to hold public hearings, require OppFi to release more information about the effects of its lending and ultimately reject the transaction.
## A $130 million shortcut to national expansion
OppFi announced in April that it had agreed to acquire BNCCORP and its subsidiary, BNC National Bank, in a cash-and-stock transaction valued at about $130 million.
BNC is a nationally chartered commercial bank headquartered in Glendale, Arizona. At the end of 2025, it reported approximately $1.1 billion in assets and $1 billion in deposits.
OppFi described the acquisition as a way to [combine its online lending platform](https://www.sec.gov/Archives/edgar/data/1818502/000181850225000003/opfi-20241231.htm?ref=consumernews.ai) with BNC’s national charter, providing “accelerated geographic expansion and product diversification.”
“The transformative combination of OppFi’s digital-first platform and BNC’s national bank charter unlocks significant opportunities for growth,” OppFi CEO and Executive Chairman Todd Schwartz said when the transaction was announced.
The company says it serves consumers who have difficulty obtaining conventional bank credit and argues that bringing its operations under the supervision of the OCC and Federal Reserve would simplify and strengthen compliance and risk management.
Consumer advocates see something more troubling: a high-cost lender purchasing the legal powers of a national bank.
## Why the charter matters
Interest-rate limits vary widely from state to state. Many states cap rates on small installment loans at or near 36%, while others impose different limits depending on the size and length of the loan.
National banks, however, generally have the power under federal law to charge borrowers in other states the interest rates permitted where the bank is based. That ability is known as rate exportation.
The rule was designed to let banks operate across state lines without complying with a different interest-rate limit in every jurisdiction. But consumer advocates say online lenders have exploited it through “rent-a-bank” arrangements in which a lightly regulated bank formally originates a loan while a nonbank company markets it, services it and receives much of the economic benefit.
OppFi acknowledged the importance of that structure in a Securities and Exchange Commission [filing](https://www.sec.gov/Archives/edgar/data/1818502/000181850225000003/opfi-20241231.htm?ref=consumernews.ai). The company said it shifted entirely to a bank-partner model because its partners can lend nationally under federal law, facilitating a national product while streamlining regulatory requirements.
As of the end of 2024, OppFi said its platform was operating in 40 states through three partner banks.
Buying BNC would take the model a step further. Instead of renting access to a bank charter, OppFi would control the company that owns one.
## Loans illegal in most states, groups say
The coalition opposing the transaction said OppFi’s rates would be illegal in as many as 45 states if the loans were made directly by a nonbank lender, although the exact number depends on the loan amount and each state’s laws.
OppFi loans generally range from several hundred to several thousand dollars and are repaid in installments rather than through a single payment on the borrower’s next payday.
But consumer groups say the longer repayment period does not make a triple-digit-rate loan affordable.
The [Center for Responsible Lending](https://www.responsiblelending.org/research-publication/over-120-organizations-oppose-195-apr-bank-charter-oppfi?ref=consumernews.ai) reported earlier this year that OppFi offers loans of $500 to $5,000 at rates as high as 195%. Its review of company disclosures, consumer complaints and borrower transaction data concluded that refinancing is central to the business model.
The coalition said about half of OppFi borrowers refinance their loans, sometimes within two or three months, and that refinancing has accounted for as much as 75% of the company’s pretax income from OppLoans customers.
That pattern matters because refinancing can make an apparently short-term loan last much longer. A borrower may receive additional cash, but the old balance is rolled into a new loan, extending the period during which interest accumulates.
Consumer advocates say very few OppFi borrowers successfully repay their original loans on the original schedule once refinances and defaults are taken into account.
## High losses raise questions about affordability
The groups also pointed to OppFi’s high loan-loss rates.
They said the company’s charge-offs — balances lenders determine are unlikely to be collected — exceed 55% under some measures. The Center for Responsible Lending previously cited an OppFi filing showing a net charge-off rate of 51.4% of average receivables.
The coalition argues that losses at that level show the loans are not being underwritten according to borrowers’ ability to repay.
OppFi takes a different view. It says its technology evaluates applicants using income, bank-account activity and other data rather than relying solely on conventional credit scores. The company describes its products as transparent credit designed for borrowers who may have been rejected by traditional banks.
OppFi has also reported [strong financial results](https://investors.oppfi.com/news/news-details/2026/OppFi-Reports-Record-Annual-Revenue-Net-Income-and-Adjusted-Net-Income/default.aspx?ref=consumernews.ai). For 2025, the company said net income rose 74% to a record $146.2 million.
Critics say those profits must be considered alongside the number of borrowers who default, refinance repeatedly or carry other high-cost debts at the same time.
## OppFi has faced state enforcement before
This is not the first dispute over whether OppFi’s bank relationships allow it to avoid state interest-rate limits.
In 2021, the company agreed to provide more than [$2 million in restitution](https://oag.dc.gov/release/ag-racine-announces-over-2-million-settlement?ref=consumernews.ai), forgiven interest and other payments to settle a lawsuit brought by the District of Columbia.
The District alleged that OppFi had made loans to local residents carrying rates of about 160%, far above Washington’s 24% cap.
OppFi denied engaging in deceptive or unfair conduct and said it settled to avoid prolonged litigation. As part of the agreement, it stopped offering District residents loans carrying rates above the local limit, whether directly or through a bank partner.
The case reflected a broader legal dispute over the “true lender” in bank-fintech partnerships. State officials have argued that a nonbank company should not be able to escape state law merely because a partner bank’s name appears on the loan documents.
Owning BNC could reduce OppFi’s exposure to some true-lender challenges because the lender and bank would be under common ownership. But it would also make the federal regulators reviewing the acquisition directly responsible for deciding whether a national bank should be built around a triple-digit-rate lending business.
## Another lender is pursuing the same route
OppFi is not alone.
[Enova International](https://www.consumernews.ai/high-cost-lender-enova-wants-to-be/), which owns CashNetUSA and NetCredit, is seeking approval to acquire Grasshopper Bank. Consumer groups say Enova’s products also include loans carrying annual rates above 100%.
The two applications suggest that buying banks may become the next stage in the high-cost lending industry’s effort to expand nationally.
The strategy is significant because state interest-rate caps remain one of the strongest protections against payday and other high-cost loans. A national charter can weaken those protections without Congress or a state legislature ever voting to repeal them.
Consumer advocates fear that approval of the OppFi and Enova transactions would encourage other lenders to follow.
“The charter would become a vehicle for predatory lending outlawed in nearly every state,” the coalition warned.
## What happens next
The OppFi-BNC transaction cannot close without approval from federal banking regulators.
The FDIC, OCC and Federal Reserve will review the companies’ finances, management, compliance systems, community obligations and potential risks to the banking system and consumers.
The coalition wants those agencies to conduct a more searching review than a routine bank merger proceeding, including public hearings and detailed disclosures about defaults, refinancing, collections and the effect of OppFi’s loans on financially stressed households.
For consumers, the central question is whether acquiring a bank should allow a lender to charge rates that elected officials in their state have expressly rejected.
The answer could determine whether state rate caps continue to offer meaningful protection — or whether any sufficiently well-financed payday lender can buy its way around them.
### How to recognize a payday loan disguised as an installment loan
URL: https://www.consumernews.ai/how-to-recognize-a-payday-loan-disguised-as-an-installment-loan/
Last updated: 2026-08-05T18:07:54.000Z
Some high-cost lenders avoid the “payday loan” label by offering loans repaid over several months instead of on the borrower’s next payday. The structure may be different, but the cost and risks can be much the same.
Before accepting a loan, check these five things:
### 1\. Look at the APR, not the monthly payment
A payment may appear manageable even when the annual percentage rate is 100%, 160% or more.
The APR combines interest and many fees into a single number, making it the best starting point for comparing loans. Consumer advocates generally view 36% APR as the upper limit for an affordable small-dollar loan.
### 2\. Calculate the total repayment
Ask the lender exactly how much you will repay if you make every payment on schedule.
A $1,000 loan can cost far more than $1,000 once interest and fees are included. The lender should disclose the finance charge, APR, payment schedule and total of payments before you sign.
[Payday lender’s bank deal could bring loans charging up to 195% APR to every stateOppFi is seeking federal approval to acquire BNC National Bank, giving the high-cost lender control of a national bank charterConsumerNews.aiJames R. Hood](https://www.consumernews.ai/payday-lenders-bank-deal-could-bring-loans-charging-up-to-195-apr-to-every-state/)
### 3\. Watch for repeated refinancing
Some lenders encourage borrowers to replace an existing loan with a new one before the first loan is paid off.
Refinancing may provide a small amount of additional cash, but it can restart the repayment period and add more interest. Borrowers can end up making payments for months while reducing the original balance very little.
Ask:
- How much of the new loan will pay off the old loan?
- How much cash will I actually receive?
- How much more will I pay because of the refinance?
- Will the loan term start over?
### 4\. Be cautious about automatic bank withdrawals
Many online lenders require permission to withdraw payments directly from a checking account.
Automatic payments can make repayment convenient, but they can also trigger overdraft or insufficient-funds fees when money is not available. Multiple collection attempts may create additional charges.
Find out whether you can revoke electronic payment authorization and make payments another way. Revoking the withdrawal authorization does not cancel the debt, but it may help prevent repeated attempts to debit an empty account.
### 5\. Check whether the lender is using a partner bank
The loan documents may name a bank you have never dealt with, even though a separate online company advertised the loan, approved the application and services the account.
That arrangement may allow the lender to charge a rate higher than your state normally permits. Search for the names of both the bank and the company before accepting the loan, and check your state banking regulator or attorney general for complaints or enforcement actions.
## Warning signs
Be especially cautious when a lender:
- Emphasizes fast approval rather than affordability
- Advertises “no credit check” or “bad credit welcome”
- Refuses to state the APR prominently
- Focuses only on the payment amount
- Encourages refinancing soon after the loan begins
- Withdraws payments directly from your bank account
- Claims state interest-rate limits do not apply
- Offers a loan that consumes a large share of each paycheck
## Before borrowing
Consider alternatives such as a credit-union small-dollar loan, an employer advance, a payment plan with a utility or medical provider, or assistance from a local nonprofit or public agency.
The safest question is not simply, “Can I make the first payment?”
It is: “Can I repay the entire loan on time without borrowing again or falling behind on rent, food, utilities or other essential bills?”
### Health Watch: ACA premiums and deductibles rise as enrollment falls
URL: https://www.consumernews.ai/health-watch-aca-premiums-and-deductibles-rise-as-enrollment-falls/
Last updated: 2026-08-04T14:15:34.000Z
Affordable Care Act enrollment has fallen by nearly 3 million people this year as consumers confront sharply higher premiums, rising deductibles and the expiration of federal subsidies that helped drive marketplace enrollment to record levels.
About 19.2 million people had active marketplace coverage in February 2026, down from 22.1 million a year earlier, according to federal data [analyzed by KFF](https://www.kff.org/quick-insights/aca-marketplace-enrollment-is-down-by-3-million-after-big-jump-in-premium-payments/?ref=consumernews.ai). That represents a decline of roughly 13 percent.
The drop is the sharpest reversal for the ACA marketplaces in years. Marketplace enrollment rose from 11.4 million in 2020 to 21.4 million in 2024 and reached a record 24.2 million plan selections during the 2025 open-enrollment period, according to the [Centers for Medicare & Medicaid Services](https://www.cms.gov/files/document/2025-open-enrollment-infographic.pdf?utm%5Fsource=chatgpt.com).
The decline comes as consumers are paying substantially more for the coverage they retained.
[CBS News](https://www.cbsnews.com/news/rfk-jr-oz-aca-fraud-rising-costs/?ref=consumernews.ai) reported that the average marketplace customer is paying $178 a month in 2026 after available subsidies, a 58 percent increase from 2025\. Average deductibles rose 37 percent to nearly $3,800\.
Those averages can conceal much larger increases for older people, families and households that lost eligibility for assistance.
The full, unsubsidized cost of an average marketplace policy is much higher than the amount most customers pay directly. KFF estimated that the average annual premium before tax credits increased to about $1,904 per enrollee in 2026, compared with $888 in 2025\. The federal tax credit covers part of that cost for eligible households, but consumers are responsible for the remainder.
For some middle-income households, the increase was especially severe because they once again became subject to the ACA’s so-called subsidy cliff.
KFF [estimated](https://www.kff.org/affordable-care-act/who-might-lose-eligibility-for-affordable-care-act-marketplace-subsidies-if-enhanced-tax-credits-are-not-extended/?ref=consumernews.ai), for example, that a 60-year-old couple earning $85,000 could face an increase of more than $18,000 a year because their income placed them just above the restored eligibility cutoff. Depending on age, location and family size, some households faced increases of $20,000 or more.
## The subsidies that fueled record enrollment
The enhanced premium tax credits were introduced through the American Rescue Plan Act in 2021 and extended through the end of 2025 by the Inflation Reduction Act.
The changes increased assistance for people who were already eligible for ACA subsidies and extended help to households earning more than 400 percent of the federal poverty level. They also capped the cost of a benchmark marketplace plan at no more than 8.5 percent of household income.
Before that change, households earning even slightly more than four times the poverty level could lose their entire subsidy.
The additional assistance helped produce a rapid expansion of marketplace coverage. Enrollment increased from 12 million in 2021 to 14.5 million in 2022, 16.4 million in 2023 and 21.4 million in 2024\. More than 24 million people selected plans for 2025, [Centers for Medicare & Medicaid Services](https://www.cms.gov/files/document/2025-open-enrollment-infographic.pdf?utm%5Fsource=chatgpt.com) said.
Congress allowed the enhanced credits to expire on December 31, 2025\. The original, less generous ACA subsidy formula returned in January 2026\.
KFF had estimated that premium payments would more than double on average if the enhanced credits expired. The [Congressional Budget Office](https://www.cbo.gov/data/baseline-projections-selected-programs?ref=consumernews.ai#6) projected that failing to extend them would eventually increase the uninsured population by roughly 3.8 million people compared with an extension.
The enrollment figures released so far suggest the initial effect has been substantial, although the final annual total may fall further as people stop paying premiums or lose coverage during the year. KFF has estimated average effectuated enrollment could decline to about 17.5 million in 2026 and potentially as low as 16.5 million.
## Administration cites improper enrollment
The Trump administration offers a different explanation for much of the decline.
A Department of Health and Human Services [report](https://aspe.hhs.gov/reports/aca-exchange-enrollment-2026?ref=consumernews.ai) estimated that 5.6 million people were improperly or fraudulently enrolled in marketplace plans in February 2025\. The agency said it had removed about 2.9 million enrollments and estimated that another 2.6 million improper or “phantom” enrollments remained.
Administration officials have described the decrease as evidence that tighter income verification and enrollment controls are removing people who were never eligible, had been enrolled without their knowledge or were maintaining zero-premium plans they did not use.
There is evidence that unauthorized enrollments and plan switches have been a genuine marketplace problem. CMS [said](https://www.cms.gov/newsroom/fact-sheets/cms-actions-protect-consumers-strengthen-exchange-program-integrity?ref=consumernews.ai) complaints and cancellations linked to unauthorized activity rose sharply in 2023 and 2024, although the agency reported that cancellations declined in 2025 after it strengthened system safeguards and took enforcement action against brokers and enrollment companies.
But the administration’s broader estimate is disputed.
Some of the fraud calculations have relied on discrepancies between income reported on marketplace applications and income shown in other federal data. Health-policy analysts have cautioned that such discrepancies do not necessarily prove fraud: income can fluctuate, federal records can lag and marketplace eligibility is based partly on a household’s estimate of its income for the coming year.
The 5.6 million figure also combines several categories—including potentially improper, unverifiable and phantom enrollments—that do not all represent proven intentional fraud.
That distinction matters because the administration is presenting the removal of improper coverage as a central explanation for the enrollment decline, while KFF and other analysts point to a strong concentration of enrollment losses among people facing the largest premium increases.
[KFF found](https://www.kff.org/affordable-care-act/what-we-know-so-far-about-2026-aca-marketplace-enrollment-premiums-and-deductibles/?ref=consumernews.ai) that 27 percent of the decline occurred among people earning between 400 and 500 percent of the federal poverty level, even though that group represented only 3 percent of marketplace plan selections in 2025\. Those households were among the first to lose eligibility for enhanced assistance.
The two explanations are not necessarily mutually exclusive. Some enrollment may have disappeared because of improved verification, while other consumers dropped coverage because they could no longer afford it.
For a family deciding whether to keep a policy, however, the immediate issue is usually not the Washington debate over enrollment integrity. It is the amount due each month.
## Hospitals are beginning to feel the effect
Hospitals are seeing the consequences from the other side of the transaction.
Major hospital systems have reported increases in uninsured patients, unpaid medical bills and people postponing elective or preventive care.
HCA Healthcare executives said former ACA patients appeared to be moving “almost one for one” into the uninsured population. The company reported approximately $400 million in uninsured-care costs during one quarter and has warned that the loss of marketplace coverage could reduce annual operating profit by about $1 billion. Community Health Systems reported roughly a 20 percent increase in visits by uninsured patients, according to [The Wall Street Journal](https://www.wsj.com/health/healthcare/the-rising-number-of-uninsured-patients-starts-to-hit-hospitals-2a8894a9?utm%5Fsource=chatgpt.com).
The effect extends beyond large hospital chains. Rural hospitals, community health centers and safety-net hospitals generally operate with narrower margins and are more vulnerable when insured patients become uninsured.
Hospitals are required to evaluate and stabilize patients with emergency medical conditions regardless of their ability to pay. When a patient has no insurance and cannot pay the bill, much of that cost becomes uncompensated care.
Those losses can eventually lead hospitals to raise prices elsewhere, reduce services, postpone investments or close departments. Maternity care, behavioral-health services and rural facilities are often among the most vulnerable.
Coverage losses can also change when patients seek treatment.
People without insurance are more likely to delay routine appointments, diagnostic testing and prescription refills because of cost. They may eventually arrive at an emergency department with a condition that is more advanced, more difficult and more expensive to treat.
## A premium is only part of the cost
Consumers who kept their marketplace coverage may still struggle to use it.
The average deductible of nearly $3,800 means that many enrollees must pay thousands of dollars out of pocket before their policy begins covering most nonpreventive services. A family plan may have a substantially higher combined deductible.
Preventive services covered by the ACA—including many vaccines, screenings and annual wellness visits—generally remain available without a deductible when obtained from an in-network provider. But diagnostic tests, specialist visits, emergency care, imaging and hospital treatment can generate significant bills.
Consumers choosing a lower-premium bronze plan may face particularly high deductibles and other cost sharing. Silver plans can provide better protection for lower-income consumers who qualify for separate cost-sharing reductions, but those reductions are available only when the consumer selects a silver plan.
A policy with a manageable premium can therefore still leave a household exposed to several thousand dollars in medical expenses.
## What consumers can do
Consumers who are having trouble paying for marketplace coverage should not simply allow the policy to lapse without reviewing their options.
Income changes can alter the amount of premium assistance available. Someone who lost work, had hours reduced, retired or experienced another household change may qualify for a larger tax credit than the marketplace originally calculated.
Consumers should update their projected annual income through HealthCare.gov or their state marketplace rather than waiting until the next open-enrollment period. They should also compare all available plans, because the least expensive option from the previous year may no longer be the best value.
Households should look beyond the monthly premium and compare:
- The annual deductible.
- Copayments and coinsurance.
- The maximum out-of-pocket limit.
- Prescription-drug coverage.
- Whether doctors and hospitals are in the plan’s network.
- Whether the plan qualifies for cost-sharing reductions.
People who lose marketplace coverage may qualify for a special enrollment period, Medicaid, the Children’s Health Insurance Program or an employer plan through a spouse or family member.
Consumers who believe they were enrolled in a plan or switched to another policy without permission should contact the marketplace immediately. Unauthorized enrollment can affect tax credits and may produce problems when the household files its federal tax return.
## The larger risk
The immediate story is a decline of nearly 3 million marketplace enrollees. The longer-term issue is whether the country is entering a broader reversal in insurance coverage.
The enhanced subsidies were temporary, but they changed the marketplace by bringing in millions of people who had previously found coverage too expensive. Their expiration has restored the ACA’s older subsidy structure at the same time that the underlying cost of insurance and medical care continues to rise.
Additional federal changes affecting Medicaid and marketplace eligibility are expected to reduce coverage further over the next decade. The Congressional Budget Office [projects](https://www.wsj.com/health/healthcare/the-rising-number-of-uninsured-patients-starts-to-hit-hospitals-2a8894a9?ref=consumernews.ai) that the number of uninsured Americans will increase from about 30 million in 2026 to 37 million by 2036, largely because of provisions affecting Medicaid, the Children’s Health Insurance Program and the ACA marketplaces.
For consumers, the danger is not limited to a higher insurance bill.
It is the skipped prescription, the delayed cancer screening, the specialist visit that never gets scheduled or the emergency-room bill that arrives after coverage has disappeared.
Health insurance may be one of the first items removed from a strained monthly budget. The need for health care does not disappear with it.
### National Safety Recall - August 3
URL: https://www.consumernews.ai/national-safety-recall-august-3/
Last updated: 2026-08-03T20:18:38.000Z
## Walmart pistachio butter — possible Salmonella
**Boticelli Foods is recalling one lot of Bettergoods Pistachio Nut Butter** after Florida agriculture officials detected *Salmonella* in three jars collected during routine testing.
Check for:
- **Bettergoods Pistachio Nut Butter**
- 6.7-ounce glass jar
- UPC **194346207961**
- Lot **LB028ACP04**
- Expiration date **January 28, 2027**
The product was sold exclusively at Walmart stores in 19 states: Alabama, Alaska, Arizona, Colorado, Florida, Georgia, Idaho, Kansas, Mississippi, Missouri, Montana, Nebraska, Nevada, New Mexico, Oregon, South Dakota, Tennessee, Washington and Wyoming. No illnesses had been reported when the recall was announced. Consumers should not eat the nut butter and should return it for a refund. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/boticelli-foods-recalls-bettergoods-pistachio-nut-butter-because-possible-health-risk?ref=consumernews.ai))
### Adequan arthritis injections — glass fibers in recalled lots
**American Regent Animal Health is recalling four nationwide lots of Adequan prescription injections for dogs and horses** because visible glass fibers were found during testing.
Affected lots are:
- **Adequan Canine Injection**, 100 mg/mL, 5-mL multidose vials: lots **3369** and **25011**
- **Adequan i.m. for horses**, 500 mg/5 mL, 5-mL single-dose vials: lots **24416** and **25265P**
Injecting medication containing glass fibers could cause pain, swelling, inflammation, infection or an abscess at the injection site. No adverse events had been reported. Pet owners should contact their veterinarian to check whether an animal received an affected lot and should not administer any recalled product. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/american-regent-inc-animal-health-issues-nationwide-recall-two-lots-adequanr-canine-and-two-lots?utm%5Fsource=chatgpt.com))
### Other agency checks
**CPSC:** No product recall newer than the agency’s July 30 batch was posted as of August 3\. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**NHTSA:** No new major vehicle-recall consumer alert was posted. The latest urgent alert remains the Kia Telluride park-outside recall reported previously. ([NHTSA](https://www.nhtsa.gov/press-releases?ref=consumernews.ai))
**USDA FSIS:** No new meat, poultry or processed-egg recall or public-health alert dated August 2 or August 3 was confirmed in the latest official results.
### California’s new consumer agency targets junk fees, kickbacks and ‘corrupt practices’
URL: https://www.consumernews.ai/californias-new-consumer-agency-targets-junk-fees-kickbacks-and-corrupt-practices/
Last updated: 2026-08-08T12:51:00.000Z
California’s newly reorganized consumer-protection agency is preparing to crack down on companies that use hidden fees, kickbacks and other questionable practices to inflate the prices families pay.
Rohit Chopra, the former director of the Consumer Financial Protection Bureau, said a major priority of the [California Business and Consumer Services Agency](https://bcsa.ca.gov/?ref=consumernews.ai) will be identifying “harmful and corrupt practices” that raise costs for consumers and honest businesses.
The Cabinet-level agency officially began operating July 1, with Chopra serving as its first secretary.
“Californians and families across the country are feeling squeezed by higher prices, fees, and other costs,” Chopra wrote in an [agency statement](https://bcsa.ca.gov/newsroom/2026/07/20260723.html?ref=consumernews.ai). He accused federal regulators and law-enforcement agencies of increasingly overlooking illegal charges and other abuses.
The agency will focus on whether companies clearly disclose prices and product features and whether consumers are being tricked or trapped into paying for products or services they do not want, Chopra said.
[Where California consumers should complainCalifornia is stepping up its consumer protection efforts as federal agencies back away from energetic enforcement. With former CFPB director Rohit Chopra at the helm of the new agency, the new agency is expected to tighten existing rules and enact new ones.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/where-california-consumers-should-complain/)
Potential targets include undisclosed kickbacks, manipulative sales practices and businesses that have avoided federal scrutiny because of political connections or favoritism, he said.
## More than a ‘California CFPB’
The new agency has sometimes been described as a state-level version of the [CFPB](https://www.consumerfinance.gov/about-us/the-bureau/?ref=consumernews.ai), but its structure is broader.
It serves as an umbrella over several existing regulatory departments, including:
- the Department of Financial Protection and Innovation;
- the Department of Consumer Affairs;
- the Department of Real Estate;
- the Department of Alcoholic Beverage Control;
- the Department of Cannabis Control; and
- the California Horse Racing Board.
Those departments regulate banks, fintech companies, mortgage and real-estate businesses, contractors and dozens of other licensed industries.
The underlying departments retain their own enforcement and rulemaking powers. Chopra’s agency will help establish priorities and coordinate investigations across them.
That arrangement gives California multiple ways to pursue alleged misconduct. Regulators may conduct examinations, seek civil penalties or restitution, bring lawsuits and, in serious cases, revoke a company’s license to operate in the state.
Some departments may also act against violations of federal law, not just California law, [Chopra said](https://bcsa.ca.gov/newsroom/2026/07/20260723.html?ref=consumernews.ai).
## High-risk companies will get the most attention
Chopra said regulators will direct audit and inspection resources toward businesses posing the greatest risks rather than burdening smaller companies that present little or no danger to consumers.
The agency also plans to improve systems through which consumers, businesses and whistleblowers submit complaints and law-enforcement tips.
That could make complaints more than a way for individual consumers to seek help. A concentration of reports involving one company, fee or sales tactic could help regulators identify a broader pattern.
Likely areas of attention include junk fees, fintech products, earned-wage access services, buy now, pay later loans, artificial intelligence, consumer-data practices and potentially deceptive or abusive financial practices.
## California’s rules often spread nationally
Although the agency’s direct authority is limited to California, its actions could have nationwide consequences.
California’s market is so large that companies frequently adopt its requirements across the country rather than operate one system for California residents and another for everyone else.
That means an enforcement case involving subscription charges, lending fees, payment products or deceptive disclosures could prompt a company to change its practices nationally.
The agency could also work with attorneys general and regulators in other states on joint investigations, expanding the reach of individual cases.
Chopra said such cooperation will become more important as federal agencies reduce consumer-protection and competition enforcement.
## A continuation of Chopra’s CFPB agenda
As CFPB director during the Biden administration, Chopra made hidden and excessive fees a central enforcement and policy issue.
The bureau pursued banks, credit-reporting companies, mortgage servicers, payment firms and other financial businesses, frequently seeking refunds for consumers as well as penalties.
Many of those policies and enforcement priorities have since been reversed or scaled back by the Trump administration.
California Gov. Gavin Newsom appointed Chopra to lead the new agency, saying the state needed an aggressive consumer advocate as the federal government retreated from enforcement. Chopra’s appointment remains subject to state Senate confirmation, although he may serve in the meantime.
## What consumers can do
California residents who encounter hidden fees, misleading pricing, unauthorized charges or high-pressure sales tactics should:
- save advertisements, contracts, receipts and screenshots;
- request an itemized explanation of all charges;
- dispute unauthorized charges promptly;
- complain to the agency that regulates the company or profession; and
- report patterns involving kickbacks, falsified records or deliberate deception.
Consumers may [submit complaints](https://bcsa.ca.gov/get%5Fhelp.html?ref=consumernews.ai) through the California Business and Consumer Services Agency, which directs them to the appropriate department.
Even consumers outside California may benefit from the agency’s work. Major settlements, licensing actions and disclosure requirements imposed in California often lead companies to revise their practices nationwide.
### Where California consumers should complain
URL: https://www.consumernews.ai/where-california-consumers-should-complain/
Last updated: 2026-08-03T16:07:53.000Z
Choosing the right agency can speed up a complaint and make it more likely to reach investigators with authority over the company. Here are the California agencies that handle various types of complaints.
### Banks, lenders and financial apps
**Contact: California Department of Financial Protection and Innovation**
DFPI accepts complaints involving:
- banks and credit unions;
- mortgage and consumer lenders;
- debt collectors;
- student-loan servicers;
- money-transfer companies;
- cryptocurrency businesses;
- fintech and payment apps;
- earned-wage access and buy now, pay later services; and
- potentially unfair, deceptive or abusive financial practices.
Consumers can submit a complaint online and track its progress. Assistance is available at **866-275-2677**. DFPI says it may accept complaints involving unlawful financial practices even when the provider is not licensed by the department. ([Cal DFI](https://dfpi.ca.gov/submit-a-complaint/?utm%5Fsource=chatgpt.com))
### Real estate agents, brokers and developers
**Contact: California Department of Real Estate**
DRE investigates complaints involving licensed real estate brokers and salespeople, mortgage brokers under its jurisdiction, and some subdivision developers.
Complaints may involve misrepresentation, undisclosed conflicts, mishandled deposits, improper conduct or other possible violations of California real estate law.
Consumers can use DRE’s online enforcement complaint system or submit a written complaint. Its statewide consumer line is **877-373-4542**. ([California Department of Real Estate](https://www.dre.ca.gov/consumers/filecomplaint.html?utm%5Fsource=chatgpt.com))
### Contractors and home-improvement companies
**Contact: Contractors State License Board**
CSLB handles complaints involving licensed and unlicensed contractors, including disputes over:
- abandoned or unfinished work;
- poor workmanship;
- improper contracts;
- excessive deposits;
- unlicensed contracting; and
- violations of home-improvement rules.
Complaints can be filed online, by mail or by calling **800-321-CSLB — 800-321-2752**. ([Department of Consumer Affairs](https://www.dca.ca.gov/consumers/complaints/cslb.html?utm%5Fsource=chatgpt.com))
[California’s new consumer agency targets junk fees, kickbacks and ‘corrupt practices’Former CFPB Director Rohit Chopra says California will pursue companies that use illegal fees, hidden kickbacks and manipulative schemes to drive up consumer costs.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/californias-new-consumer-agency-targets-junk-fees-kickbacks-and-corrupt-practices/)
### Doctors, dentists and other licensed professionals
**Contact: California Department of Consumer Affairs**
DCA oversees dozens of professional boards and bureaus covering occupations such as physicians, dentists, pharmacists, accountants, architects, auto-repair dealers and many other licensed services.
Its online complaint system routes reports to the appropriate licensing board. Consumers who are uncertain which board has jurisdiction can call **800-952-5210**. ([Department of Consumer Affairs](https://www.dca.ca.gov/consumers/complaints/consumer.shtml?utm%5Fsource=chatgpt.com))
### Movers, furniture repair and appliance repair
**Contact: Bureau of Household Goods and Services**
The bureau handles complaints involving household movers and certain businesses that repair appliances, electronics, furniture and related household products.
Its website offers license searches and an online complaint process. ([Bureau of Household Goods and Services](https://bhgs.dca.ca.gov/?utm%5Fsource=chatgpt.com))
### Insurance companies and agents
**Contact: California Department of Insurance**
File complaints involving auto, homeowners, renters, life and many other forms of insurance with the Department of Insurance.
Health-plan complaints may fall under a different regulator, particularly when the coverage is provided through a health maintenance organization or managed-care plan.
### Problems that do not fit neatly elsewhere
**Contact: California attorney general’s Public Inquiry Unit**
The attorney general accepts reports about businesses and may use complaint patterns to identify conduct affecting large numbers of consumers.
The office generally does not act as a private attorney or resolve every individual dispute, but reports can support broader investigations and enforcement actions. Its complaint referral guide also directs consumers to specialized state and federal regulators. ([California DOJ](https://oag.ca.gov/consumers/complaint-referral-table?utm%5Fsource=chatgpt.com))
### Before filing
Consumers should include:
- the company’s full name and contact information;
- dates and amounts paid;
- contracts, bills and receipts;
- advertisements or screenshots;
- emails, texts and account statements;
- the names of employees involved; and
- a clear description of the resolution requested.
Keep copies of everything submitted. If money was taken from a bank account or credit card without authorization, consumers should also dispute the transaction directly with the bank or card issuer rather than waiting for a regulator to investigate.
### Housing Watch: condo buyers face a tougher mortgage filing
URL: https://www.consumernews.ai/housing-watch-condo-buyers-face-a-tougher-mortgage-filing/
Last updated: 2026-08-03T12:14:06.000Z
New Fannie Mae and Freddie Mac condo-lending policies taking effect Aug. 3 will require greater scrutiny of some condominium associations’ finances, reserves, insurance coverage and building maintenance, [CNBC reported](https://www.cnbc.com/2026/08/01/condo-buyers-mortgage-rules-fannie-mae-freddie-mac.html?ref=consumernews.ai).
The government-sponsored enterprises buy qualifying mortgages on the secondary market, so the rules can affect whether a lender is willing to approve a buyer’s loan.
The most immediate change eliminates a limited or streamlined review for some condo buildings unless a project qualifies for a waiver. Roughly 40 percent of condominium purchases involving a mortgage previously used that limited review and could now require a full review, said Dawn Bauman, CEO of the [Community Associations Institute](https://www.caionline.org/?ref=consumernews.ai), [CNBC reported](https://www.cnbc.com/2026/08/01/condo-buyers-mortgage-rules-fannie-mae-freddie-mac.html?ref=consumernews.ai).
The full review is designed to identify buildings with structural or financial problems before those problems become a buyer’s special assessment or higher association dues. But Max Slyusarchuk, CEO of AD Mortgage in Fort Lauderdale, Florida, said the change “will make the \[application\] process take much longer and will result in a lot of disqualifying applications.”
### Higher reserves required
The rules also point to a second change scheduled for Jan. 4: Condo associations seeking Fannie or Freddie financing generally will have to [reserve at least 15 percent](https://governingdocs.dev/blog/fannie-mae-15-percent-reserve-rule-boards/?ref=consumernews.ai) of their annual budget for major repairs and replacements, up from 10 percent. Fannie Mae said inadequate reserves can leave owners facing “substantial financial hardship” from unexpected assessments or higher regular dues.
That creates a trade-off for buyers. A more rigorous review may reduce the odds of purchasing into a building with hidden repair liabilities, but it can also add days or weeks to a closing and make some units ineligible for conventional financing.
Condo boards are always under pressure to keep assessments down, and it's easy to shave a few points off the reserve fund, even though it weakens the association's financial health and can leave individual owners open to catastrophic special assessments when major repairs are necessary.
Now, under the revised federal lending standards, the consequences of letting reserves dwindle can land heavily on unit owners: "a seller whose buyer's loan falls through, an owner who cannot refinance out of a high rate, a unit that sits on the market while comparable buildings move, warned [Governingdocs.dev](https://governingdocs.dev/blog/fannie-mae-15-percent-reserve-rule-boards/?ref=consumernews.ai), a site that provides guidance to HOA boards.
The problem of inadequate reserves isn't new. As of March 2025, more than 5,000 condo and co-op projects were on Fannie Mae's ineligible list, up from a few hundred before the 2021 Surfside collapse, according to [Real Estate News](https://www.realestatenews.com/2025/03/26/condo-blacklist-killing-sales-in-disaster-prone-areas?ref=consumernews.ai).
In a market where mortgage rates are already above 6.5 percent, another layer of underwriting can turn a marginal purchase into a failed one.
### Zelle fraud case moves forward as New York court rejects most dismissal arguments
URL: https://www.consumernews.ai/zelle-fraud-case-moves-forward-as-new-york-court-rejects-most-dismissal-arguments/
Last updated: 2026-08-02T13:26:15.000Z
A sweeping lawsuit accusing the company behind Zelle of enabling widespread consumer fraud will move forward after a New York judge rejected nearly all of the company’s attempt to have the case dismissed.
New York Supreme Court Justice Phaedra Perry-Bond ruled that Attorney General Letitia James had alleged enough facts to proceed against [Early Warning Services](https://www.earlywarning.com/?ref=consumernews.ai), the bank-owned company that operates the instant-payment network.
The ruling represents an early but important victory for James. It allows her office to seek documents, internal communications and testimony concerning how Early Warning designed and operated [Zelle](https://www.zelle.com/?ref=consumernews.ai), what it knew about fraud on the network and how it described the service to consumers.
The court did not find that Early Warning violated the law. At the dismissal stage, the judge was required to assume the complaint’s factual allegations were true and decide whether they could support legally valid claims. Most of the attorney general’s claims cleared that threshold, according to [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/07/31/new-york-court-refuses-to-dismiss-attorney-generals-sweeping-fraud-case-against-zelle-operator-early-warning-services/?ref=consumernews.ai).
## The case targets Zelle’s design, not just the scammers
Early Warning argued that it merely operates a payment network and should not be held responsible for crimes committed by third-party scammers.
The judge was not persuaded that the case could be disposed of so easily.
James’ complaint alleges misconduct by Early Warning itself, including decisions involving Zelle’s design, fraud monitoring, enforcement rules and advertising. According to the state, the company promoted Zelle as a safe and secure service even though it knew criminals were exploiting weaknesses in the network.
The lawsuit alleges that Early Warning:
- failed to adopt adequate fraud-detection and prevention systems;
- ignored internal and external warnings about increasing fraud;
- inadequately monitored banks participating in the network;
- continued to portray Zelle as safe despite known risks; and
- benefited from growing transaction volume while consumers absorbed the losses.
The court found that those allegations, if eventually proven, could support New York claims involving deceptive conduct and fraudulent business practices.
That distinction could make the case significant beyond Zelle. The state is not simply claiming that criminals happened to use a legitimate service. It is arguing that the operator itself may be responsible when a platform is designed and promoted in ways that leave predictable risks unaddressed.
## More than $1 billion in losses alleged
James sued Early Warning in August 2025 after an investigation by her office. The state alleges that consumers lost more than $1 billion to fraud conducted through Zelle between 2017 and 2023.
The complaint says the company prioritized rapid enrollment and nearly instantaneous payments as it sought to compete with Venmo, PayPal and Cash App. Those same features, the state alleges, made Zelle attractive to scammers and made completed transfers difficult or impossible to recover.
Early Warning is owned by seven banks: Bank of America, Capital One, JPMorgan Chase, PNC, Truist, U.S. Bank and Wells Fargo. Zelle is now embedded in the online and mobile-banking systems of thousands of banks and credit unions, the [New York State Attorney General](https://ag.ny.gov/press-release/2025/attorney-general-james-sues-company-behind-zelle-enabling-widespread-fraud?ref=consumernews.ai) noted.
Among the alleged weaknesses were registration procedures that allowed accounts to be associated with misleading email addresses or phone numbers, limited verification of recipients and inadequate systems for identifying repeat offenders moving among participating banks.
The complaint distinguishes between two broad types of losses.
One is an unauthorized transfer, such as when a criminal takes control of someone’s phone or bank account and sends money without permission.
The other is an “authorized push payment” scam, in which the consumer technically initiates the transaction but does so after being deceived — perhaps by someone impersonating a bank employee, utility company, government agency, merchant or family member.
That second category has been especially difficult for consumers because banks have often taken the position that the customer authorized the payment, even though the authorization was obtained through fraud.
## Zelle denies the allegations
Early Warning has called the lawsuit politically motivated and has argued that criminals, rather than the payment network, are responsible for scams.
When the case was filed, a Zelle spokesperson [said](https://www.earlywarning.com/press-release/zelle-responds-new-york-attorney-generals-copycat-politically-motivated-lawsuit?ref=consumernews.ai) more than 99.95% of transactions were completed without a report of fraud or a scam. The company also warned that overly broad reimbursement requirements could encourage false claims and create new opportunities for criminals.
The attorney general argues that a low percentage can still represent enormous losses when applied to a network processing hundreds of billions of dollars in payments.
James is seeking [restitution and damages](https://ag.ny.gov/press-release/2025/attorney-general-james-sues-company-behind-zelle-enabling-widespread-fraud?ref=consumernews.ai) for affected New Yorkers, along with a court order requiring Early Warning to maintain stronger anti-fraud safeguards.
## States step into the federal enforcement gap
The New York lawsuit followed a similar federal case filed by the Consumer Financial Protection Bureau against Early Warning, Bank of America, JPMorgan Chase and Wells Fargo.
The CFPB [dropped that case](https://www.consumerfinancemonitor.com/2026/07/31/new-york-court-refuses-to-dismiss-attorney-generals-sweeping-fraud-case-against-zelle-operator-early-warning-services/?ref=consumernews.ai) with prejudice in March 2025 as the Trump administration sharply reduced the bureau’s enforcement activity. New York was not a party to that case and brought its own claims under state law.
The surviving New York case illustrates how state attorneys general are increasingly attempting to fill gaps left by reduced federal consumer-protection enforcement.
A final ruling against Early Warning could also influence other payment networks, digital wallets and instant-payment services. Operators could face greater pressure to demonstrate that fraud controls, recipient verification, complaint handling and reimbursement practices keep pace with the speed and scale of their systems.
## What Zelle users should do now
The court ruling does not create an automatic refund program, and consumers should not wait for the lawsuit to be resolved before reporting a loss.
Anyone who discovers an unauthorized or fraudulent Zelle payment should immediately contact both the bank or credit union connected to the transaction and Zelle. Ask that the matter be recorded as a formal fraud or error claim, not simply as a customer-service complaint.
Consumers should clearly explain whether they initiated the transfer themselves or whether someone gained access to their account or device. Unauthorized electronic transfers may qualify for protections under the federal [Electronic Fund Transfer Act](https://www.ftc.gov/legal-library/browse/statutes/electronic-fund-transfer-act?ref=consumernews.ai) and [Regulation E](https://www.consumerfinance.gov/rules-policy/regulations/1005/?ref=consumernews.ai), although reporting deadlines can affect a consumer’s potential liability.
Consumers who were tricked into sending the payment should still dispute the transaction and ask whether it qualifies under the bank’s scam-reimbursement policies. They should preserve screenshots, text messages, emails, phone numbers, usernames, receipts and correspondence with the bank.
The [Federal Trade Commission recommends](https://consumer.ftc.gov/articles/mobile-payment-apps-how-avoid-scam-when-you-use-one?ref=consumernews.ai) reporting the transaction promptly to the payment service and financial institution and asking whether the payment can be reversed. Victims should also change compromised passwords and review other financial accounts for suspicious activity.
For future transactions, Zelle itself [advises consumers](https://www.zelle.com/security?ref=consumernews.ai) to use the network only with people they personally know and trust. A credit card generally provides stronger dispute rights when paying an unfamiliar seller or purchasing goods that may never arrive.
Because Zelle transfers are normally delivered within minutes and generally cannot be canceled once the recipient is enrolled, consumers should independently verify every unexpected payment request — especially one supposedly coming from a bank, utility, government office or law-enforcement agency.
No legitimate bank employee should instruct a customer to send money to himself or herself through Zelle to “protect” an account. That is a common impersonation scam, not a security procedure.
The dismissal ruling is procedural, but it could become a consequential test of whether instant-payment networks bear responsibility for preventable scam losses—not merely the criminals who initiate them.
### Consumer costs shift as inflation data, housing and autos compete for wallets
URL: https://www.consumernews.ai/consumer-costs-shift-as-inflation-data-housing-and-autos-compete-for-wallets/
Last updated: 2026-07-31T14:34:07.000Z
Consumers headed into the end of July with a familiar list of worries: whether prices are cooling, whether mortgage rates will ease, whether car costs are finally stabilizing, whether tariffs will raise everyday prices and whether energy swings will show up at the pump and on utility bills.
Taken together, the day’s coverage across major outlets showed a public still feeling the cumulative effect of higher borrowing costs and uneven price pressures, even as some inflation gauges show signs of slowing.
## Prices: fresh inflation readings and what they signal for household budgets
Consumer prices posted their biggest decline in more than six years during June as a sharp swoon in energy prices provided at least temporary relief from this year's inflation surge, the Bureau of Labor Statistics reported Tuesday.
The consumer price index, a broad measure of costs for goods and services across the U.S. economy, was lower than expected across the board. The CPI fell a seasonally adjusted 0.4% for the month, bringing the annual inflation rate down to 3.5%.
"There might be some that look at this morning's data and say, 'Oh, mission accomplished, everything is swell,'" Fed Chairman Kevin Warsh said. "That is not my view."
The energy index slumped 5.7% in June, its biggest monthly drop since April 2020, though it still surged 15.7% on an annual basis, pushed by a 26.7% gain for gasoline. However, gasoline and fuel oil both saw decreases of more than 9% in June, [CNBC](https://www.cnbc.com/2026/07/14/consumer-price-index-inflation-report-june-2026.html?ref=consumernews.ai) reported.
What matters for consumers is the direction: when prices for essentials move quickly, families notice it immediately in weekly spending, while shifts in interest rates tend to show up more slowly in monthly payments and major purchases.
## Housing: mortgage rates and the summer homebuying squeeze
**Key Insights** Mortgage rates saw an uptick in late March due to escalating tensions in Iran. While these rates are subject to frequent changes influenced by a variety of elements, opting for a rate lock can help smooth out these fluctuations.
Also, making biweekly payments, contributing extra funds toward the principal, and refinancing at lower rates can lead to substantial savings on interest over time.
At the end of February, mortgage interest rates reached their lowest level in over three years, dipping below 6%. However, this decline was brief, as ongoing conflict in Iran triggered a rise in mortgage rates throughout March.
By early April, the rates for 30-year mortgages had climbed to a six-month peak. Projections indicate that mortgage rates will likely continue to ascend, with inflation anticipated to reach 4.2%, as reported by the Organization for Economic Cooper via [The Wall Street Journal](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates?ref=consumernews.ai).
Fears regarding the ongoing conflict in Iran have led to an increase in bond yields, which in turn has caused mortgage rates to climb. As reported by Mortgage News Daily, the average rate for a 30-year fixed mortgage increased by 7 basis points on Tuesday, reaching 6.75%. This marks the highest rate since July 31\. In just the last ten days, rates have surged by 33 basis points and are currently 46 basis points above the recent low of 6.29% recorded in April. ([CNBC](https://www.cnbc.com/2026/05/19/mortgage-rates-closing-in-on-7percent.html?ref=consumernews.ai))
**Highest in six months**
This week, the average long-term mortgage rate in the U.S. surged to its highest point in over six months, increasing borrowing expenses during a period that is usually the most active for potential home purchasers. According to mortgage buyer Freddie Mac, the benchmark 30-year fixed mortgage rate increased to 6.38%, up from 6.22% the previous week. A year prior, the average stood at 6.65%.
The last time the average rate exceeded this level was on September 4, when it reached 6.5%.
## Autos: new-car demand, EV pricing and what dealers are seeing
General Motors (GM) experienced a decline in its stock, falling by 0.91%, as it and several competitors disclosed significant drops in year-end sales. This trend raises concerns about a potential slowdown in U.S. auto sales for the upcoming year as customers react to rising prices, according to [The Wall Street Journal](https://www.wsj.com/business/autos/auto-car-sales-usa-2026-44ddcaa6?ref=consumernews.ai).
Credit card debt has continued to climb in the past year, and cardholders now owe a collective $1.28 trillion on their credit cards, the highest level on record.
But that's hardly the only issue that's looming. For many borrowers, the cost of carrying credit card debt has become just as concerning as the balances themselves. After all, average credit card interest rates remain near record highs at over 21%, meaning that millions of borrowers are also paying steep monthly interest charges on top of those large balances, making it even harder to reduce what they owe.
## Credit card interest rates and the Fed March meeting
**What borrowers need to know now** Fed officials face a tricky balancing act heading into next week's meeting, as the ongoing uncertainty in today's economic landscape has made policymakers cautious about moving too quickly. As a result, analysts widely expect the Fed ([CBS News](https://www.cbsnews.com/news/credit-card-rates-fed-march-2026-meeting-what-borrowers-need-to-know/?ref=consumernews.ai)) to hold the line for now.
## Trade: tariff talk returns to the checkout line
The recent overhaul of tariffs by the White House marks yet another twist in President Trump's ongoing trade saga. Beneath the surface, this adjustment likely signifies more of what companies and consumers have become accustomed to: abrupt policy changes, disrupted supply chains, and increased costs for imported products.
Eighteen months into Trump's second term, tariffs have primarily manifested as higher prices, with inflation on goods significantly exceeding levels seen before the pandemic. The newly imposed tariffs have not only failed to weaken the $30 trillion U.S. economy but have also not fulfilled Trump's assertions that they would reduce the trade deficit and enhance domestic manufacturing.
The Trump administration will impose new tariffs just after midnight ET Friday on dozens of countries over alleged forced-labor violations, senior administration officials said Thursday. The duties, set between 10% and 12.5%, will effectively replace President Donald Trump's temporary 10% global tariffs, which are set to expire at the same time as the new ones take effect.
The new tariffs are being brought under Section 301 of the Trade Act of 1974, one of trade tools Trump has wielded since the Supreme Court struck down his global "liberation day" duties on Feb. 20\. Hours after that court loss, a furious Trump said he would impose a worldwide 10% tariff under Section 122 of the 1974 trade law. But that tariff came with a 150-day timer that was set to lapse at 12:01 a.m. ET on Friday. ([CNBC](https://www.cnbc.com/2026/07/23/trump-tariffs-trade-deadline.html?ref=consumernews.ai))
## Energy: pump prices and utility bills stay volatile
The Trump administration on Friday imposed new tariffs of 10% and 12.5% on goods from 60 trading partners, including the European Union and China, over allegations of lax enforcement of forced labor bans, just as a temporary 10% global tariff expired.
### National Safety Recalls - July 30
URL: https://www.consumernews.ai/national-safety-recalls-july-30/
Last updated: 2026-07-30T20:10:33.000Z
## Galanz refrigerators — fire hazard linked to one death
**Galanz Americas is recalling about 121,680 retro-style refrigerators** because internal electrical components can short-circuit and ignite.
CPSC has received **34 reports of refrigerator fires**, including one fire associated with a death. Consumers should **unplug the refrigerator immediately and stop using it until repaired**. Galanz is offering a free in-home repair. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Galanz-Americas-Recalls-Retro-Refrigerators-Due-to-Risk-of-Serious-Injury-or-Death-from-Fire-and-Burn-Hazards-One-Death-Reported?ref=consumernews.ai))
Affected models are:
- BCD-215V-62H
- GLR76TRDER
- GLR76TBKER
- GLR76TBEER
- GLR76TWEER
Only units with date codes from **December 2018 through December 2020** are recalled. They were sold at Home Depot and Amazon from January 2019 through September 2022\.
### Heated blankets and throws — fire, burn and shock risks
About **178,000 OCTROT heated Sherpa throws and blankets** sold through Amazon are recalled because their electrical cords can detach and ignite.
Consumers should stop using them immediately, unplug them and follow the company’s instructions for obtaining a refund. Injuries have been reported. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### Backyard zip lines — cables and seats can break
About **60,720 TT Trsmima zip-line kits** and **19,120 separately sold spring brakes** are recalled.
The steel cable, turnbuckle or seat can detach or break, while the spring brakes may fail to slow riders adequately. The defects create serious fall and collision hazards. Consumers should stop using the equipment and seek a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Trsmima-Zipline-Kits-and-Zipline-Spring-Brakes-Recalled-Due-to-Fall-and-Collision-Hazards-Manufactured-by-Trsmima?ref=consumernews.ai))
### Children’s products — suffocation, falls and battery ingestion
CPSC also announced several recalls involving children:
- **404,000 Sloosh dive sticks:** Can cause impalement, facial or eye injuries.
- **47,166 HARPPA Nordi toddler towers:** Can collapse, tip over or entrap a child.
- **Cpzzkq baby loungers:** Padding can obstruct an infant’s breathing and cause suffocation.
- **55,350 Fantastic Four cups and Captain America popcorn helmets:** Accessible button batteries can cause internal chemical burns or death if swallowed.
- **12,800 EnHomee 15-drawer dressers:** Can tip over and entrap children if not anchored. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### Publix frozen berries — possible E. coli contamination
Publix is recalling **all lots of GreenWise Organic Whole Blueberries and Whole Mixed Berries** because they may contain Shiga toxin-producing **E. coli O145**.
The frozen fruit was sold in 10- and 48-ounce packages at Publix stores in Alabama, Florida, Georgia, Kentucky, North Carolina, South Carolina, Tennessee and Virginia. Consumers should not eat it and should discard it or return it for a refund. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/publix-recalls-all-lots-greenwise-organic-frozen-blueberries-and-whole-mixed-berries-due-potential-e?ref=consumernews.ai))
Affected UPCs are:
- Blueberries, 10 ounces: **41415-06453**
- Blueberries, 48 ounces: **41415-12053**
- Mixed berries, 10 ounces: **41415-06753**
- Mixed berries, 48 ounces: **41415-12153**
E. coli O145 can cause severe cramps, bloody diarrhea and vomiting; young children, older adults and immunocompromised people face an elevated risk of kidney failure. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/publix-recalls-all-lots-greenwise-organic-frozen-blueberries-and-whole-mixed-berries-due-potential-e?ref=consumernews.ai))
### Egg-allergy alert: Aquafaba powder
**Rooted in RARE Aquafaba Powder** is recalled because it may contain undeclared egg. One consumer has reported an allergic reaction.
The recall involves 4- and 12-ounce pouches sold nationwide through Amazon and the company’s website, with best-by dates **December 14, 2026**, or **December 12, 2027**. People with egg allergies should not consume it. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/529-commerce-llc-recalls-rooted-rare-brand-aquafaba-powder-due-undeclared-eggs?ref=consumernews.ai))
### NHTSA and USDA FSIS
**NHTSA:** No new major nationwide vehicle-recall alert was posted July 30.
**USDA FSIS:** No new meat, poultry or processed-egg recall or public-health alert was confirmed in the latest official listings.
### Insurers make millions while homeowners wait for claim checks, analysis finds
URL: https://www.consumernews.ai/insurers-make-millions-while-homeowners-wait-for-claim-checks-analysis-finds/
Last updated: 2026-07-30T16:06:20.000Z
Homeowners waiting for an insurance payment after a fire, storm or other disaster may be paying a hidden price for the delay.
A new [analysis](https://consumerfed.org/news/press-releases/new-analysis-homeowners-insurance-companies-earn-millions-in-interest-and-investment-income-with-every-day-of-claim-delay/?ref=consumernews.ai) from the Consumer Federation of America and Weiss Ratings estimates that homeowners insurance companies collectively earn another $8.8 million in interest and investment income for every additional day they retain money that would otherwise be paid to policyholders.
Stretch the delay to one week, and the estimated additional income rises to $61.6 million.
“Insurance companies cancel us if we are late on a premium payment, but when they are late on a claim payment, they make money,” [said](https://consumerfed.org/news/press-releases/new-analysis-homeowners-insurance-companies-earn-millions-in-interest-and-investment-income-with-every-day-of-claim-delay/?ref=consumernews.ai) Douglas Heller, the federation’s director of insurance.
The consumer group is calling for insurers to pay interest directly to policyholders when accepted claims are not paid within required deadlines.
[Claim delayed? Build a paper trail regulators can useIt’s important to stay on top of pending insurance claims, and to keep complete records in case of a dispute.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/claim-delayed-build-a-paper-trail-regulators-can-use/)
## How insurers profit from the wait
Insurers generally collect premiums before they must pay claims. In the meantime, they invest much of that money in bonds and other assets.
The industry calls the money it temporarily holds “float.” The longer an insurer keeps the money before paying a claim, the longer it can earn investment income from it.
Property and casualty insurers — including companies selling home, auto and commercial coverage — earned an average of about $241 million in investment income each day during 2024, according to financial data supplied by Weiss Ratings.
About $24.7 million of that daily income was attributed to money associated with homeowners insurance premiums and company surplus.
Weiss estimated that delaying all homeowners claim payments by one additional day would produce about $8.8 million in extra investment income. Across all property and casualty insurance lines, the estimated benefit from an additional day’s delay was $52.3 million.
The estimate does not mean that every delayed claim is intentionally held back to produce investment income. Claims can take longer because of disputes over coverage, difficulty documenting losses, contractor estimates, fraud investigations or a surge of claims following a major disaster.
> But the analysis highlights a potential conflict: insurers may financially benefit from delays while policyholders bear the cost.
Homeowners may have to pay for temporary housing, repairs, debris removal and replacement belongings while waiting for reimbursement.
## Delayed payments lead insurance complaints
Claim-payment delays were the largest single category of complaints recorded in the National Association of Insurance Commissioners’ database in 2025, according to the Consumer Federation.
They accounted for 22% of roughly 65,000 complaints submitted to state insurance regulators, the analysis said.
Recent investigations have also documented alleged claims-handling problems after major catastrophes.
The California Department of Insurance [said](https://apnews.com/article/california-palisades-eaton-wildfires-state-farm-insurance-2b0cb453d53c79742dd9d739866c76da?ref=consumernews.ai) its examination of a sample of State Farm claims from the 2025 Los Angeles wildfires found instances in which the company failed to investigate, decide or pay claims within state deadlines.
[Regulators](https://www.insurance.ca.gov/0400-news/0100-press-releases/2026/release019-2026.cfm?ref=consumernews.ai) said State Farm sometimes failed to pay accepted claims — or provide the required notice that additional time was needed — within 30 days. The department also cited low settlement offers, repeated changes of adjusters and inadequate communication with policyholders.
## Proposal would shift interest to homeowners
Legislation pending in California would require insurers to pay interest to policyholders under certain circumstances when claims remain unpaid.
[Senate Bill 878](https://leginfo.legislature.ca.gov/faces/billTextClient.xhtml?bill%5Fid=202520260SB878&ref=consumernews.ai) would establish deadlines for written insurer responses and impose interest when payment is not made within 30 days after certain milestones, such as an insurer accepting all or part of a claim or determining that a property is a total loss.
The Consumer Federation argues that similar protections should be adopted more broadly.
“The customer waiting for their claim to be paid, not the company causing the delay, should earn the interest that accumulates,” Heller said.
Such a requirement could do more than compensate homeowners. It could also remove some of the financial incentive to retain claim money longer than necessary.
## Disaster claims are taking longer
A separate Weiss Ratings analysis found that insurers in 15 disaster-prone states took 60 days or longer to pay 28.1% of homeowners claims in 2024.
That was up from 25.6% in 2018, according to the Consumer Federation.
The organization said delayed payments are part of a larger pattern that includes more claims being closed without payment, reduced settlement offers and restrictions on homeowners’ ability to challenge insurers in court.
Insurance companies may dispute some of those characterizations. A closed claim, for example, does not necessarily indicate misconduct. Claims may be below the deductible, excluded from coverage, withdrawn by the homeowner or closed because no covered damage was found.
Still, the rising share of lengthy claims underscores the importance of documenting every step and challenging unexplained delays.
## What homeowners can do when a claim stalls
Keep a written timeline showing when the claim was filed, when documents were submitted and every conversation with the insurer or adjuster.
Ask the company in writing whether the claim has been accepted or denied, what additional information is needed and which provision of state law or the policy permits additional time.
Request partial or advance payments for undisputed losses. A disagreement over one part of a claim should not always prevent payment of amounts the insurer agrees it owes.
Save receipts for temporary housing, emergency repairs, meals and other expenses that may be covered under additional living expense provisions.
Escalate the matter to a claims supervisor or the insurer’s consumer affairs office when the adjuster does not respond.
Homeowners who cannot resolve the problem can submit a formal complaint to their state insurance department. The department can ask the insurer to explain its handling of the claim and determine whether state claims-practice rules were followed. The NAIC provides a [directory](https://content.naic.org/article/how-do-i-file-complaint-against-my-insurance-company?ref=consumernews.ai) connecting consumers with the appropriate state regulator.
For a large or complicated loss, homeowners may also consider consulting a licensed public adjuster or an attorney experienced in insurance claims. Fees and licensing rules vary by state, so credentials and contracts should be checked carefully before hiring anyone.
## The bottom line
Insurance companies legitimately earn investment income by holding and investing premium dollars before claims become due.
The consumer issue arises when a company continues earning money after a claim should reasonably have been paid.
The new analysis does not establish that insurers are deliberately delaying every slow claim. But it puts a dollar figure on an imbalance familiar to many disaster survivors: the homeowner loses money and time while waiting, while the insurer may continue earning income from the unpaid funds.
Requiring interest on overdue claims would reverse that equation — and give insurers a stronger reason to send homeowners their money promptly.
### Claim delayed? Build a paper trail regulators can use
URL: https://www.consumernews.ai/claim-delayed-build-a-paper-trail-regulators-can-use/
Last updated: 2026-07-30T16:08:53.000Z
Insurance disputes are often decided by documentation. A complete, dated record can make it easier for a claims supervisor, state regulator or attorney to see where the process stalled.
### Keep a claim timeline
Record:
The date the loss occurred
- The date you notified the insurer
- Your claim number
- The names and contact information of every adjuster
- Dates of inspections, calls, emails and document submissions
- Promises the insurer made and deadlines it gave you
- Any period when calls or messages went unanswered
After telephone conversations, send a brief email summarizing what was discussed. Ask the adjuster to correct anything that is inaccurate.
[Insurers make millions while homeowners wait for claim checks, analysis findsHome insurers collectively earn an estimated $8.8 million in investment income for every additional day claim payments remain in their handsConsumerNews.aiThe Editors](https://www.consumernews.ai/insurers-make-millions-while-homeowners-wait-for-claim-checks-analysis-finds/)
### Put important requests in writing
Ask the insurer to state:
- Whether the claim has been accepted, denied or remains under investigation
- Which parts of the claim are undisputed
- What additional documents or estimates are needed
- Why more time is required
- When you should expect a decision or payment
- Which policy provision supports any denial or reduction
Avoid relying solely on phone calls or statements such as “the check is being processed.”
### Request payment of undisputed amounts
A disagreement over part of a claim should not necessarily hold up the entire payment.
Ask the insurer to issue partial payment for amounts it has already accepted, including covered emergency repairs, temporary housing or personal property losses.
State clearly that accepting a partial payment does not resolve the rest of the claim unless the insurer can identify contract language saying otherwise.
### Save every expense
Keep receipts, invoices, photographs, repair estimates and proof of payment for:
- Temporary lodging
- Additional meal expenses
- Emergency repairs
- Debris removal
- Storage
- Transportation
- Replacement clothing and household items
Make digital copies. Paper receipts can fade or be lost during a move or disaster cleanup.
### Escalate unanswered claims
When an adjuster stops responding, write to a claims supervisor or the insurer’s consumer affairs department.
Include the claim number, a short chronology and the specific action you want — such as an inspection, written coverage decision or payment of an undisputed amount.
Give a reasonable response deadline and keep a copy.
### File a regulator complaint
If the insurer continues to delay, contact your state insurance department.
A useful complaint should include:
- The policy and claim numbers
- A concise timeline
- Copies of unanswered letters and emails
- Estimates, photographs and proof of loss
- The amount the insurer has paid
- The amount still disputed
- The specific action you want the regulator to examine
Regulators generally cannot act as your private attorney or determine every disputed dollar. But they can require the insurer to explain its conduct and review whether state claims-handling rules were followed.
### Be cautious when signing documents
Do not sign a release, settlement agreement or check marked “full and final payment” without understanding whether it ends your right to seek additional money.
For a major loss, disputed structural damage or a possible bad-faith claim, consider consulting a licensed public adjuster or insurance attorney before accepting a final settlement.
### Justice Department retreats from landmark disability rights protections
URL: https://www.consumernews.ai/justice-department-retreats-from-landmark-disability-rights-protections/
Last updated: 2026-07-30T15:02:17.000Z
The Justice Department is backing away from a decades-old interpretation of federal disability law that helped hundreds of thousands of Americans avoid unnecessary confinement in nursing homes, psychiatric hospitals and other institutions.
In a [June 18 legal opinion](https://www.justice.gov/olc/opinions?ref=consumernews.ai), the department’s Office of Legal Counsel concluded that neither the [Americans with Disabilities Act](https://www.ada.gov/?ref=consumernews.ai) nor [Section 504 of the Rehabilitation Act](https://www.hhs.gov/civil-rights/for-individuals/disability/section-504-rehabilitation-act-of-1973/index.html?ref=consumernews.ai) requires states to provide services in the “most integrated setting appropriate” to a person’s needs.
> "In prohibiting discrimination on the basis of disability, neither section 504 of the Rehabilitation Act nor Title II of the Americans with Disabilities Act (“ADA”) imposed an integration mandate on states in their treatment of mentally disabled individuals. Nor does either statute authorize the responsible Executive Branch agencies to impose such a mandate," the [opinion](https://www.justice.gov/olc/opinions?ref=consumernews.ai) said.
The opinion directly challenges the prevailing interpretation of the Supreme Court’s 1999 decision in [*Olmstead v. L.C.*](https://supreme.justia.com/cases/federal/us/527/581/?ref=consumernews.ai), which held that unjustified institutional isolation of people with disabilities can constitute illegal discrimination.
The Justice Department acknowledged that its new interpretation is “out of step with the common understanding” of *Olmstead* among federal courts. Most federal appeals courts have treated the decision as requiring community placement when it is appropriate, the affected person does not oppose it and the placement can reasonably be accommodated.
DOJ took a further step in a [July 20 Federal Register](https://www.govinfo.gov/content/pkg/FR-2026-07-20/html/2026-14566.htm?ref=consumernews.ai) notice, declaring that its longstanding *Olmstead* enforcement guidance is “not enforceable” and saying the department will no longer rely on it when enforcing Title II of the ADA.
The department said it plans to reconsider the guidance under the [Supreme Court’s 2024 *Loper Bright* decision](https://www.supremecourt.gov/opinions/23pdf/22-451%5F7m58.pdf?ref=consumernews.ai), which ended the practice of courts automatically deferring to federal agencies’ reasonable interpretations of ambiguous laws.
### What has — and has not — changed
The developments are significant, but they do not erase *Olmstead* or repeal the ADA.
The Justice Department cannot overturn a Supreme Court ruling through a memorandum or Federal Register notice. The integration requirement also remains written into existing federal regulations, and individuals may continue bringing lawsuits alleging unnecessary institutionalization.
Even DOJ’s opinion acknowledges that states following its new reasoning could still face private *Olmstead* claims and that future agency action could be challenged under the Administrative Procedure Act.
What has changed is the federal government’s enforcement position.
For decades, DOJ investigations, lawsuits and settlement agreements have pressured states to expand community-based mental-health care, personal assistance, supported housing and other services that allow people with disabilities to remain outside institutions.
The new position signals that the Civil Rights Division may conduct fewer investigations, abandon pending cases or settlements, and decline to support private plaintiffs challenging cuts to community services.
“This doesn’t overturn *Olmstead*, the ADA, Section 504, or the integration mandate,” The Arc, a national disability organization, said in [an analysis](https://thearc.org/blog/doj-opinion-on-olmstead-threatens-the-right-of-people-with-disabilities-to-live-in-the-community/?ref=consumernews.ai). “But it’s another serious step away from federal enforcement of community living rights.”
### Why home-based services may be especially vulnerable
The timing is particularly troubling for families because states are already preparing for major reductions in federal Medicaid support.
The 2025 federal reconciliation law is expected to reduce federal Medicaid spending by about $911 billion through 2034\. Although the law does not directly repeal home- and community-based services, states facing shrinking federal aid may respond by reducing optional benefits, narrowing eligibility, freezing provider payments or limiting the number of people served, according to a [KFF analysis](https://www.kff.org/medicaid/forthcoming-policy-changes-to-medicaid-state-directed-payments/?ref=consumernews.ai).
That distinction matters because Medicaid generally requires states to cover nursing-home care for eligible recipients, while most home- and community-based services are offered at state discretion through optional benefits and waiver programs.
Those programs may pay for personal-care attendants, respite care, supported employment, adult day services, transportation, home modifications and help with daily activities.
In a budget crisis, states may therefore find it administratively easier to restrict community programs than institutional care — precisely the imbalance that *Olmstead* enforcement was intended to counter.
KFF has [warned](https://www.kff.org/medicaid/payment-rates-for-medicaid-home-care-ahead-of-the-2025-reconciliation-law/?ref=consumernews.ai) that states under fiscal pressure have restricted home care in the past and could again reduce payment rates, covered services or eligibility as the reconciliation law takes effect.
### DOJ says previous administrations got the law wrong
The Office of Legal Counsel argues that courts and prior administrations expanded *Olmstead* beyond what the Supreme Court actually decided.
According to the memo, the ruling prohibited institutionalization “without justification” but did not establish a universal requirement that states provide treatment in the most integrated possible environment.
The opinion also contends that DOJ and the Department of Health and Human Services lacked statutory authority to impose such a broad mandate through regulation.
In practical terms, the department is arguing that more than two decades of bipartisan federal policy rested on an incorrect reading of the law.
The opinion recommends that DOJ rescind its integration regulation and related guidance. It also raises constitutional questions about whether Congress could compel states to organize disability services around a federal integration requirement.
Disability-law specialists strongly dispute that interpretation.
An American Bar Association [analysis](https://www.americanbar.org/groups/diversity/disabilityrights/news/narrowing-olmstead/?ref=consumernews.ai) noted that Congress expressly identified segregation and institutionalization as forms of discrimination when it enacted the ADA. It also said federal integration regulations predate the ADA and were part of the legal framework the Supreme Court relied upon in *Olmstead*.
### Texas lawsuit could become a test case
The administration’s position may first be tested in [*Texas v. Kennedy*](https://thearc.org/resource/texas-v-becerra/?ref=consumernews.ai), a federal lawsuit challenging portions of the regulations implementing Section 504.
The case initially involved a much larger coalition of states, but several have withdrawn following opposition from disability groups. As of mid-July, advocacy organizations said Alaska, Florida and Texas remained in the case.
Texas cited the new DOJ opinion shortly after it was issued, arguing that the federal government now agreed with the substance of its challenge.
The memo’s author, Principal Deputy Assistant Attorney General Lanora Pettit, previously worked in the Texas attorney general’s office.
The case could give federal judges an opportunity to decide whether the integration regulations exceed DOJ and HHS authority. Any resulting appeals could ultimately place the issue before the Supreme Court again.
### Members of Congress demand reversal
One hundred Democratic members of the House and Senate [sent a letter](https://scanlon.house.gov/news/documentsingle.aspx?DocumentID=2044&ref=consumernews.ai) to Acting Attorney General Todd Blanche on July 22 demanding that DOJ withdraw the opinion.
They called it a “dramatic departure” from federal law, judicial precedent and decades of enforcement under Republican and Democratic administrations.
The lawmakers warned that weakening the mandate could steer people toward nursing homes, psychiatric facilities, segregated workplaces and other restrictive settings instead of helping them remain with their families and communities.
Blanche is serving as acting attorney general while also holding the position of deputy attorney general.
### What families should do now
People receiving Medicaid home- and community-based services should not assume that their coverage has automatically changed. The DOJ announcements do not themselves terminate benefits, waiver eligibility or existing care plans.
Families should nevertheless watch state Medicaid notices and budget proposals closely, particularly those involving:
- Personal-care hours or attendant services;
- Waiting lists for disability waivers;
- Provider-payment reductions;
- Changes in eligibility assessments;
- Closure or consolidation of community programs;
- Proposals that make institutional placement easier than receiving care at home.
Anyone threatened with institutionalization or denied services needed to remain in the community can still seek help from a state protection-and-advocacy agency, a legal-aid organization or a disability-rights attorney.
Private *Olmstead* claims remain possible, but people may increasingly have to rely on those organizations rather than expecting the Justice Department to intervene.
## The bottom line
DOJ has not overturned *Olmstead* and has not formally announced that it will refuse to enforce every aspect of the ruling.
It has, however, rejected the broad integration mandate that guided federal enforcement for decades, recommended rescinding the underlying regulations and declared that it will no longer rely on its established *Olmstead* guidance.
> That amounts to a major federal retreat — and, as states confront Medicaid funding pressure, it could leave some of the nation’s most vulnerable residents with fewer protections against being pushed into institutions.
### Hims & Hers 'shared sensitive health information' with ad platforms, FTC charges
URL: https://www.consumernews.ai/hims-hers-shared-sensitive-health-information-with-ad-platforms-ftc-charges/
Last updated: 2026-07-30T14:20:36.000Z
When consumers fill out an introductory form on the [Hims](https://www.hims.com/?ref=consumernews.ai) & [Hers](https://www.forhers.com/?ref=consumernews.ai) site, the company promises that their confidential health and medical information will be treated as private and not shopped around to third parties. But instead, it sells the information to internet ad platforms, a [lawsuit](https://www.ftc.gov/legal-library/browse/cases-proceedings/hims-hers-timeline-item-2026-07-29?ref=consumernews.ai) filed by the Federal Trade Commission, Utah, California, and the Los Angeles County Counsel alleges.
“The FTC’s complaint lays out a troubling scenario—consumers unknowingly locked into recurring subscriptions and the disclosure to third parties of consumers’ most private health information without their consent,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection, in a [news release](https://www.ftc.gov/news-events/news/press-releases/2026/07/ftc-states-act-against-hims-hers-deceptive-unlawful-privacy-practices?ref=consumernews.ai).
In a [complaint](https://www.ftc.gov/legal-library/browse/cases-proceedings/hims-hers-timeline-item-2026-07-29?ref=consumernews.ai)filed in federal court, the FTC and its state and local partners allege that Hims & Hers fails to clearly disclose that it charges consumers for prescriptions almost immediately after they submit an intake form, despite telling consumers that they will be able to consult with a medical provider to find a treatment that is “right for them.”
> "From day one, we built our platform with a focus on transparency, informed decision-making, and a deep respect for the privacy of the people we serve," [Hims says on its website](https://news.hims.com/newsroom/our-commitment-to-privacy?ref=consumernews.ai). "Protecting your privacy and earning that trust is work we take seriously every single day."
### Hard to cancel
The FTC also alleges that the company has made it difficult for consumers to cancel subscriptions and misled consumers about keeping their health information private. The FTC alleges that Hims shared consumers’ health information with [Meta](https://www.consumernews.ai/meta-scams-surge-across-facebook/), Snap and other third parties. Meta publishes Facebook, Instagram and other social media sites.
San Francisco-based Hims and Hers provides telehealth services and direct-to-consumer prescription medications for certain conditions. Consumers who express interest in Hims’ services must fill out an online intake form for review by a medical provider before obtaining treatment.
In advertisements and on its website, Hims has claimed that consumers can “connect” and consult with a medical provider through the Hims site to determine whether they need prescription medication. When consumers fill out their intake form, they are asked to provide their billing information despite assurances that they will not be charged unless and until medications are prescribed, according to the complaint.
The FTC alleges, however, that the site does not give most consumers a consultation with a provider. Instead, by submitting their intake form, most consumers will unknowingly be charged for and subscribed to a prescription treatment without having a chance to review or approve it.
According to the complaint, Hims enrolls consumers in recurring subscription plans for those treatments shortly after receiving consumers’ intake forms.
In addition, the complaint alleges that Hims fails to clearly and conspicuously inform consumers when their prescriptions will be refilled each month, making it difficult to cancel before the next billing cycle.
These practices have generated numerous complaints from consumers. One complained that, “I was told that I would be able to speak with a doctor in a few days and that nothing would be charged to my card that day. Him’s & Her’s \[sic\] charged me immediately! I never gave consent to apply charges before I spoke with a healthcare professional.”
The FTC also alleges that the company makes it extremely difficult to cancel its subscriptions. Prior to 2023, Hims only allowed most consumers to cancel by contacting customer service via phone, email or chat and imposed additional hurdles that made it difficult for consumers to cancel.
Even after introducing online cancellation to most consumers in 2023, the company made it difficult for them to cancel their subscriptions by hiding the cancellation button from consumers, the FTC alleges. The button appeared only after these consumers selected an option to “add/remove items from order” and navigated several steps before they even saw the word “cancel.”
### Consumers' privacy violated
In addition, the complaint alleges that Hims shared consumers’ sensitive health information with third-party advertising platforms such as Meta and Snap despite promising to protect patient privacy.
The FTC said Hims shared its consumers’ health information with advertising platforms by sharing lists of certain customers with those companies. Hims also shared consumers’ health information via third-party tracking technologies that automatically shared certain “Events”—the actions of visitors on Hims’ website—with those companies.
The FTC alleges these practices have violated the FTC Act and the [Restore Online Shoppers’ Confidence Act](https://www.ftc.gov/legal-library/browse/statutes/restore-online-shoppers-confidence-act?ref=consumernews.ai), which prohibits deceptive billing and subscription practices. Utah alleges violations of the Utah Consumer Sales Practices Act, and California alleges violations of California’s False Advertising and Unfair Competition Laws.
### America’s scam economy is costing households an estimated $1,009 a year
URL: https://www.consumernews.ai/americas-scam-economy-is-costing-households-an-estimated-1-009-a-year/
Last updated: 2026-07-29T21:35:29.000Z
Online scams are no longer merely a collection of isolated frauds. They have grown into a sprawling economy that may be costing the average U.S. household more than $1,000 a year.
That is the conclusion of an updated [Consumer Federation of America report](https://consumerfed.org/media/10zjty43/the%5Fscam%5Feconomy%5F2.pdf?ref=consumernews.ai), which estimates that Americans lost $148.2 billion to internet scams and crimes in 2025 — nearly 26% more than a year earlier.
The estimate is far higher than the $20.88 billion reported to the FBI’s Internet Crime Complaint Center, or IC3, because most victims never tell law enforcement what happened.
CFA estimates the “true cost” by multiplying reported losses by 7.1, based on Justice Department research indicating that only about 14% of financial-fraud victims report their losses to police or other law-enforcement authorities.
Using that methodology, CFA calculated an average annual loss of **$1,009 for every U.S. household**. The figure does not mean every household directly lost that amount; it spreads the estimated national cost across all households to illustrate the scale of the problem.
## Reported losses have tripled since 2021
IC3 received more than 1 million complaints in 2025, an increase of 17.3% from 2024\. Reported losses rose 25.8%, from $16.6 billion to nearly $20.9 billion.
Annual reported losses have now tripled since 2021, according to the CFA analysis.
Cyber-enabled fraud — the category that includes most online investment, impersonation, romance, business-email and tech-support scams — accounted for about 85% of the losses reported to IC3.
> CFA said the figures point to an industrialized system in which criminals can cheaply locate targets, buy advertising, impersonate trusted organizations and move stolen money through payment apps, bank transfers and cryptocurrency.
“The troubling trend of rapidly increasing scam losses continues while tech companies are too often allowed to avoid accountability,” said Ben Winters, CFA’s director of AI and privacy.
## Crypto involved in more than half of losses
Cryptocurrency was involved in $11.4 billion of the reported losses, up nearly 22% from 2024.
After applying its underreporting estimate, CFA put the potential true cost of crypto-related fraud at approximately **$80.7 billion**.
Cryptocurrency is especially attractive to scammers because transfers can be rapid, difficult to reverse and routed through multiple wallets or overseas exchanges.
Consumers may be directed to buy crypto at an ATM, transfer money to a wallet controlled by the criminal or invest through an impressive-looking website that displays fictional account balances and profits.
> Any stranger who insists that a bill, investment, government fine or emergency payment must be handled with cryptocurrency should be treated as a scammer.
### Investment scams cause the greatest losses
Investment fraud was the costliest cyber-enabled category in the report, producing nearly $8.65 billion in reported losses. CFA estimated its true cost at more than $61 billion.
Other leading categories included:
| Scam category | Reported 2025 losses | CFA estimated true cost |
| ---------------------------- | -------------------- | ----------------------- |
| Investment fraud | $8.65 billion | $61.41 billion |
| Business email compromise | $3.05 billion | $21.63 billion |
| Tech-support scams | $2.13 billion | $15.16 billion |
| Romance and confidence scams | $929 million | $6.60 billion |
| Government impersonation | $798 million | $5.67 billion |
Government-impersonation losses grew the fastest among the five categories, rising nearly 97% from 2024\. Tech-support losses increased almost 46%, while romance-scam losses rose approximately 38%.
Compromised business email often targets companies, nonprofits, real-estate transactions and individuals paying large invoices. Criminals may take over or closely imitate a legitimate email account and send new wiring instructions that divert the payment.
## Older adults lose the most — but young people are catching up
People age 60 and older remained the most heavily targeted group, reporting nearly $7.75 billion in losses.
Their reported losses rose 61% in one year, with an average reported loss of approximately $38,500 per complaint. CFA estimated the group’s true losses at roughly $55 billion.
Younger people were not immune. Reported losses among people under 20 were comparatively small at $67 million, but that represented a 198% increase from 2024.
The findings challenge the idea that scam vulnerability is limited to older or technologically inexperienced consumers. Younger victims may be targeted through gaming, social media, fake jobs, online marketplaces and cryptocurrency promotions, while older adults are more likely to be approached with investment, tech-support, government or family-emergency stories.
## AI makes impersonation easier
For the first time, IC3 separately tracked crimes involving artificial intelligence.
It recorded 22,364 complaints and $893 million in reported losses connected to AI-enabled crime. Applying its multiplier, CFA estimated the true cost at $6.3 billion.
AI tools can help criminals create realistic photos, fake social-media accounts, personalized messages and cloned voices. They can also automate conversations, allowing a criminal operation to approach thousands of potential victims at once.
The technology does not necessarily create an entirely new scam. More often, it makes familiar schemes — romance fraud, family emergencies, investment pitches and business impersonation — faster, cheaper and more believable.
## Facebook and direct messages remain central
CFA said social-media platforms continue to play a central role in distributing scam advertisements and connecting criminals with potential victims.
> Citing Better Business Bureau data, the report said Facebook was associated with 57% of scams involving an identified online platform, followed by Instagram at 22% and WhatsApp at 8%. All three are owned by Meta.
Separately, the Global Anti-Scam Alliance found that 81% of U.S. scam attempts occurred on platforms offering direct messaging.
An AP-NORC poll cited by CFA found that 58% of adults receive a suspected scam attempt every day, with Facebook named more frequently than any other platform.
CFA has [sued Meta](https://www.consumernews.ai/meta-scams-surge-across-facebook/), alleging that the company failed to adequately protect users from fraudulent advertising. Meta has previously said it removes scam content, cooperates with law enforcement and invests heavily in fraud detection.
Consumer advocates argue that warning users is not enough. They want platforms to verify advertisers, quickly remove repeat offenders and bear greater responsibility when they profit from placing fraudulent ads.
Bipartisan legislation known as the [SCAM Act](https://www.govtrack.us/congress/bills/119/hr7548?ref=consumernews.ai) has been introduced in Congress to impose advertiser-verification and fraud-response requirements on online platforms. Similar proposals are moving at the state level.
[Meta scams surge across Facebook and Instagram, costing users billionsFraudsters are flooding Meta Platforms apps with fake ads, impersonation schemes, and AI-driven scamsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-scams-surge-across-facebook/)
## How consumers can reduce their risk
Most successful scams create urgency and try to prevent the target from consulting anyone else. A pause is often the best defense.
Consumers should independently contact the company, government agency or family member supposedly requesting money. Do not use a phone number, email address or link supplied in the suspicious message.
Be especially cautious when anyone requests payment through cryptocurrency, gift cards, wire transfers, cash couriers or person-to-person payment apps. Those methods offer few opportunities to recover the money.
Before making an investment, check the seller or adviser through federal and state securities regulators. Search the company name along with terms such as “complaint,” “fraud” and “scam,” but remember that criminals can also plant fake positive reviews.
Families may also establish a private verification word to use during supposed emergencies. A caller who sounds like a child or grandchild should still be asked for the word or verified through a second relative.
Consumers who believe they have been defrauded should immediately contact the financial institution or payment service involved. Rapid reporting may allow a bank to stop or recall a transfer.
They should also report the incident to the FBI’s IC3, the Federal Trade Commission and local police. Reporting will not always recover the money, but it can help investigators connect related cases and identify accounts being used to receive stolen funds.
## The bottom line
The CFA estimate is not a direct count of every stolen dollar. It is a projection based on reported FBI losses and an assumed 14% reporting rate.
But even the confirmed total — nearly $21 billion — shows that online fraud has become a major source of household financial loss.
> The report’s larger message is that consumers cannot solve the problem solely by becoming more skeptical. The platforms, payment systems, financial institutions and advertisers that make mass-scale fraud possible will also have to make it harder for criminals to reach victims and move their money.
### DoorDash is building its own delivery drones as the race to replace drivers accelerates
URL: https://www.consumernews.ai/doordash-is-building-its-own-delivery-drones-as-the-race-to-replace-drivers-accelerates/
Last updated: 2026-07-29T17:53:50.000Z
DoorDash is preparing to launch its own fleet of delivery drones, moving beyond partnerships with outside operators as food-delivery companies look for cheaper and faster ways to bring small orders to consumers.
The company said Wednesday that DoorDash Labs has received a Part 135 air-carrier certificate from the Federal Aviation Administration, allowing it to operate a commercial package-delivery service under the name DoorDash Air.
[DoorDash said](https://about.doordash.com/en-us/news/doordash-air?ref=consumernews.ai) the service is expected to begin operating this fall, although it has not yet disclosed the first cities, participating restaurants, delivery fees or other important details. More information is expected at the company’s annual product event in September.
The certification represents a significant step beyond simply testing drones. Part 135 is the regulatory route used by companies that carry packages for compensation on flights conducted beyond the operator’s direct line of sight.
The FAA says DoorDash is only the eighth drone operator to receive that certification. Other approved operators include Wing, Amazon Prime Air, Zipline, DroneUp and Causey Aviation Unmanned, which operates Flytrex aircraft.
[Will a drone be able to deliver to your home?Drone delivery may sound as simple as ordering takeout, but whether a flying courier can reach your home will depend on where you live, what you order and whether the aircraft can find a safe place to lower the package.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/will-a-drone-be-able-to-deliver-to-your-home/)
## Why DoorDash wants drones
DoorDash says more than 20% of its orders in 2025 traveled between three and five miles. Those orders took nearly 25% longer to complete than shorter deliveries, largely because it can take longer to find a driver willing or able to make the trip.
The company said drone deliveries completed through its existing partners averaged about 25 minutes in 2025\. DoorDash has already completed tens of thousands of drone deliveries through partnerships with Wing and Flytrex.
Building its own drones could eventually give DoorDash more control over costs, routing and the customer experience.
Delivery workers are one of the largest variable expenses in app-based delivery. A drone does not need mileage reimbursement, tips or compensation for waiting at a restaurant, although operating a commercial drone system requires technicians, maintenance staff, remote supervisors, launch facilities and regulatory compliance.
DoorDash said its advantage may be less about the aircraft than about integrating drones into restaurant operations. That includes deciding which orders are suitable for flight, confirming inventory, routing orders to launch sites and arranging handoffs from restaurant kitchens and drive-through windows, according to [Insurance Journal](https://www.insurancejournal.com/news/national/2026/07/29/879557.htm?ref=consumernews.ai).
## Walmart and Wing are moving fastest
DoorDash is entering a market in which Walmart and Alphabet-owned Wing currently have the most aggressive publicly announced U.S. expansion plans.
Wing and Walmart said in January that they planned to add drone delivery at another 150 Walmart stores, creating a network of more than 270 locations by 2027 and potentially reaching more than 40 million Americans.
The companies later named seven additional metropolitan areas: Memphis, New Orleans, Philadelphia, Phoenix, San Diego, the San Francisco Bay Area and Salt Lake City. Those markets are expected to join existing or previously announced operations in areas including Dallas-Fort Worth, Atlanta, Houston, Orlando, Tampa, Charlotte, Los Angeles, Miami, Cincinnati and St. Louis.
Walmart customers can order groceries, household goods and other lightweight merchandise. Wing says some deliveries can arrive within minutes, depending on distance, product availability and operating conditions.
[Wing](https://wing.com/news/wing-and-walmart-seven-new-markets-drone-delivery?ref=consumernews.ai), which became the first FAA-certified drone air carrier in 2019, says it has completed more than 1 million commercial deliveries worldwide.
DoorDash is not abandoning Wing. It says its own aircraft will supplement, rather than replace, drones and robots supplied by outside partners.
## Amazon is pursuing its own system
Amazon has also designed and built its own delivery aircraft through its Prime Air program.
The company currently uses its MK30 drone to deliver eligible packages weighing up to five pounds in less than an hour in parts of the Phoenix metropolitan area. Amazon has said the aircraft can fly in light rain, travel twice as far as its previous model and use onboard technology to detect and avoid obstacles, [Amazon News](https://www.aboutamazon.com/news/transportation/amazon-drone-delivery-arizona?utm%5Fsource=chatgpt.com) said.
Amazon has set a long-term goal of delivering 500 million packages by drone annually by the end of the decade, although Prime Air’s real-world rollout has proceeded much more slowly than the company’s early predictions.
Amazon is attempting to integrate drone launches into its existing same-day fulfillment facilities rather than operate entirely separate drone depots. That could increase the number of eligible products while reducing the additional handling required for each flight.
The company has also been pursuing approvals for drone delivery in Britain and other international markets.
## Uber Eats is working with Flytrex
Uber has taken a partnership approach rather than building its own aircraft.
Uber announced in September 2025 that it was investing in Flytrex and planned to introduce drone delivery in selected Uber Eats markets. Flytrex said at the time that it had completed more than 200,000 U.S. deliveries, primarily in suburban communities.
Flytrex drones typically lower food or merchandise into a customer’s yard using a tether rather than landing. The company operates through Causey Aviation Unmanned, which holds the necessary FAA air-carrier certification, the [Federal Aviation Administration](https://www.faa.gov/uas/advanced%5Foperations/package%5Fdelivery%5Fdrone?utm%5Fsource=chatgpt.com) said.
[Uber has said](https://www.uber.com/us/en/autonomous/?ref=consumernews.ai) drones will become one part of a broader automated-delivery network that also includes sidewalk robots and self-driving vehicles.
That puts Uber and DoorDash in direct competition not only for restaurant customers and delivery workers but also for access to the same autonomous-delivery technology providers.
## What consumers should expect
Drone delivery will initially be limited to a relatively narrow range of orders.
Aircraft have weight and size limits, and customers generally need an open outdoor delivery area. Drones may not be practical for many apartment buildings, dense urban neighborhoods, heavily wooded properties or locations near restricted airspace.
Weather can also interrupt service. High winds, thunderstorms and other conditions may send an order back to a conventional delivery driver.
DoorDash acknowledged that people will continue to handle the “vast majority” of its deliveries. Human workers will still be needed for large restaurant orders, alcohol deliveries requiring identification, complicated building access and orders that cannot safely be carried by air.
Consumers will also need to compare the cost. Companies promote drones as an efficient delivery method, but they have not established a standard nationwide pricing model. A fast drone delivery could carry a separate fee, a minimum purchase requirement or geographic restrictions.
## Safety, noise and privacy questions remain
Part 135 certification does not mean a company may immediately fly anywhere it chooses.
Operators still need approved aircraft, operating specifications and authorization for particular service areas and flight conditions. The FAA also reviews the potential environmental effects of commercial drone networks, including noise and the placement of launch facilities.
The agency’s current environmental review assumes that delivery hubs could be installed in parking lots, on rooftops or at other commercial locations. Operations could theoretically occur around the clock, although the FAA expects most flights would take place between 7 a.m. and 10 p.m.
Neighborhood acceptance may become as important as technical reliability. A single drone may be less intrusive than a delivery car, but residents could react differently if dozens or hundreds of aircraft repeatedly pass over their homes.
There are also privacy concerns. Delivery drones rely on cameras, sensors, location data and detailed mapping to navigate safely. Companies say those systems are designed for navigation and obstacle avoidance, but consumers and local officials are likely to demand clear rules governing what information is collected, how long it is retained and whether it can be used for other purposes.
## The bottom line
DoorDash’s announcement does not mean fleets of delivery drivers are about to vanish.
It does show that drones are moving from isolated experiments toward a permanent place in retail and restaurant logistics.
Walmart and Wing are pursuing the largest near-term expansion. Amazon is building a vertically integrated package-delivery system. Uber is backing Flytrex. DoorDash now intends to operate both its own aircraft and those supplied by partners.
The likely result is a mixed delivery network in which software chooses among a driver, bicycle courier, sidewalk robot, autonomous vehicle or drone based on the order, distance, weather and destination.
For consumers, the important questions will not be whether the technology looks futuristic. They will be whether it is dependable, reasonably priced, quiet, safe and genuinely more convenient than having a person bring the order to the door.
### Will a drone be able to deliver to your home?
URL: https://www.consumernews.ai/will-a-drone-be-able-to-deliver-to-your-home/
Last updated: 2026-07-29T17:54:32.000Z
DoorDash is the latest to enter the drone home delivery race but before you dash for your smartphone to place an order, you'll need to consider whether your home is suitable for just any old drone to drop by.
Drone delivery may sound as simple as ordering takeout, but whether a flying courier can reach your home will depend on where you live, what you order and whether the aircraft can find a safe place to lower the package.
DoorDash already offers limited drone delivery through Wing, Flytrex and Manna in selected markets. Its help center says smaller orders are more likely to qualify because drones have strict weight and package-size limits.
[DoorDash is building its own delivery drones as the race to replace drivers acceleratesDoorDash has received federal approval to operate a commercial drone-delivery service and says it plans to begin deliveries this fall.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/doordash-is-building-its-own-delivery-drones-as-the-race-to-replace-drivers-accelerates/)
Here are the main questions that will determine whether your order can fly:
### Are you inside the delivery zone?
Drone delivery is offered only within tightly defined service areas near participating restaurants, stores or launch facilities.
Even consumers in a city advertised as a drone-delivery market may find that their address is outside the operating radius. The app should tell customers whether their address and order are eligible before checkout.
### Is there a safe place to leave the order?
Most delivery drones do not land in the customer’s yard. Instead, they hover overhead and lower the package on a cable.
The drop-off area generally must be:
- Open and visible from above
- Free of people, pets, vehicles and patio furniture
- Away from trees, power lines and other obstacles
- Accessible without the drone flying beneath a roof, balcony or overhang
Wing says it maps potential delivery locations and selects open, accessible places where packages can be safely lowered. Customers do not need to touch or detach anything from the aircraft; they retrieve the package after the drone departs, according to [Google Support](https://support.google.com/wingdelivery/answer/17110095?hl=en&utm%5Fsource=chatgpt.com).
### What about apartments and condos?
Apartments may be more difficult, particularly in dense urban areas.
A drone generally cannot fly through a lobby, leave food outside an individual apartment door or lower a package onto a narrow balcony surrounded by obstacles. Some apartment residents may be able to use a designated lawn, courtyard, parking area or communal delivery zone.
Eligibility will depend on the property’s layout and the operator’s mapping system. Some Wing enrollment pages accept apartment numbers, suggesting that at least certain multifamily properties can qualify when a suitable outdoor delivery point is available.
### Is the order small enough?
Drones are best suited to small restaurant orders, medications, convenience items and lightweight retail purchases.
A family-size restaurant order, several bags of groceries, cases of beverages or bulky household products will probably still require a driver. DoorDash says smaller orders are more likely to qualify under the limits of its existing drone partners.
A single order may also be divided, with part arriving by drone and the rest delivered conventionally.
### Is the weather cooperating?
Drone delivery may be unavailable during:
- High winds
- Thunderstorms or lightning
- Heavy rain or snow
- Poor visibility
- Extreme temperatures
Operating limits vary by aircraft. An order initially assigned to a drone could be transferred to a driver if conditions change.
### Do you live near restricted airspace?
Homes near airports, military installations, government facilities and other restricted areas may not qualify.
Commercial drone operators need more than a general air-carrier certificate. The FAA says they must also receive approval for their aircraft, operating procedures and flights beyond the operator’s visual line of sight.
Local geography, tall buildings and heavy air traffic can also limit where deliveries are permitted.
### Will you have to pay extra?
That remains unclear.
Drone delivery could eventually cost less because it does not require a driver to make a separate trip. But companies may initially charge a premium for speed, impose minimum-order requirements or include the service only with paid memberships.
Consumers should check the complete checkout total, including:
- Delivery charges
- Service fees
- Small-order fees
- Membership requirements
- Suggested tips
A drone does not expect a tip, but an order may still involve restaurant workers or a human courier handling part of the trip.
### What happens if something goes wrong?
Consumers should report a package dropped in the wrong place, damaged food or a drone that lands unexpectedly through the delivery app.
Do not approach, move or attempt to repair an aircraft. Wing advises customers to keep their distance and contact the company if a drone remains at the delivery location.
### The bottom line
Suburban homes with open yards are likely to be the easiest locations for drone delivery. Apartments, heavily wooded properties and dense city neighborhoods will be more challenging.
For the foreseeable future, the app — not the consumer — will decide whether each order travels by drone, robot or human driver.
### Don’t renew Medicare Part D on autopilot
URL: https://www.consumernews.ai/dont-renew-medicare-part-d-on-autopilot/
Last updated: 2026-07-29T14:33:23.000Z
The federal government [ends a temporary subsidy program](https://www.consumernews.ai/medicare-drug-plan-premiums-could-rise-as-federal-subsidies-expire/) created to stabilize the Medicare Part D market this year, possibly pushing premiums higher next year. Here's a quick primer on what to do to try to keep your premiums under control.
[Medicare drug-plan premiums could rise as federal subsidies expireThe federal government will end a temporary program that has held down premiums for stand-alone Medicare Part D drug plansConsumerNews.aiThe Editors](https://www.consumernews.ai/medicare-drug-plan-premiums-could-rise-as-federal-subsidies-expire/)
### A seven-point checklist for comparing 2027 Medicare drug plans
Medicare Part D plans can change their premiums, deductibles, drug lists and pharmacy networks every year. A plan that worked well in 2026 may be much more expensive in 2027.
Before open enrollment ends on December 7, check these seven items:
### 1\. Enter every prescription
Use [Medicare’s Plan Finder](https://www.medicareplanfinder.com/?ref=consumernews.ai) and enter the exact name, dosage and frequency of every medication you take.
Do not compare plans based only on the monthly premium. A low-premium plan may charge much more for your prescriptions.
### 2\. Check the formulary
Make sure each drug is still covered.
Look for changes in:
- Coverage tiers;
- Copayments and coinsurance;
- Prior-authorization rules;
- Quantity limits;
- Step-therapy requirements.
A drug that moves to a higher tier can become substantially more expensive even if the plan premium barely changes.
### 3\. Compare total annual cost
Add together:
- Monthly premiums;
- The annual deductible;
- Expected copayments or coinsurance;
- Costs at your preferred pharmacy.
Medicare’s Plan Finder can estimate total yearly spending based on your medication list.
### 4\. Review pharmacy networks
Plans often charge less at “preferred” pharmacies.
Confirm that your usual pharmacy remains in the network and check whether another nearby pharmacy would provide lower prices. Also compare mail-order costs, but do not assume mail order is always cheaper.
### 5\. Read the Annual Notice of Change
Your current plan must send an Annual Notice of Change before open enrollment.
Review it carefully for changes in:
- Premiums;
- Deductibles;
- Drug coverage;
- Pharmacy networks;
- Cost-sharing rules.
Do not assume that silence means nothing has changed.
### 6\. Check eligibility for Extra Help
[Medicare’s Extra Help](https://www.medicare.gov/publications/12203-medicares-extra-help-program.pdf?ref=consumernews.ai) program can reduce Part D premiums, deductibles and prescription costs for people with limited income and resources.
Consumers can apply through the Social Security Administration or ask a State Health Insurance Assistance Program counselor for help.
### 7\. Get independent assistance
Free counseling is available through [State Health Insurance Assistance Programs](https://www.shiphelp.org/?ref=consumernews.ai), commonly known as SHIP.
SHIP counselors are not insurance agents and do not earn commissions for recommending a particular plan.
### Important dates
**September:** Medicare plans begin sending notices describing 2027 changes.
**October 15:** Medicare open enrollment begins.
**December 7:** Open enrollment ends.
**January 1, 2027:** New coverage and plan changes generally take effect.
### Bottom line
> The cheapest premium is not always the cheapest plan.
> Compare the total cost of your medications, confirm that your drugs and pharmacy are covered, and review your options every year—even when you are satisfied with your current plan.
### Medicare drug-plan premiums could rise as federal subsidies expire
URL: https://www.consumernews.ai/medicare-drug-plan-premiums-could-rise-as-federal-subsidies-expire/
Last updated: 2026-07-29T14:34:21.000Z
Millions of Medicare beneficiaries could face higher prescription-drug insurance premiums next year after the federal government ends a temporary subsidy program created to stabilize the Medicare Part D market.
The Centers for Medicare & Medicaid Services said the [Part D Premium Stabilization Demonstration](https://www.congress.gov/crs%5Fexternal%5Fproducts/IF/PDF/IF12889/IF12889.2.pdf?ref=consumernews.ai) will expire at the end of 2026\. The program has provided extra federal payments and financial protections to insurers offering stand-alone Medicare prescription-drug plans.
CMS said insurers now have enough experience with Medicare’s redesigned drug benefit to price their 2027 plans without the additional assistance.
But the decision shifts more of the financial risk back to insurers—and potentially more of the cost to Medicare beneficiaries through higher premiums.
[Don’t renew Medicare Part D on autopilotHeads up! A federal subsidy for Medicare Part D is ending. Your premium may be affected.ConsumerNews.aiThe Editors](https://www.consumernews.ai/dont-renew-medicare-part-d-on-autopilot/)
Nearly 25 million people were enrolled in stand-alone Medicare Part D plans in 2026, according to KFF data cited by Reuters. These plans are generally used by people enrolled in traditional Medicare rather than Medicare Advantage.
### Subsidies prevented some premiums from nearly doubling
The stabilization program was introduced in 2025 as major changes to Medicare’s prescription-drug benefit took effect under the [Inflation Reduction Act](https://www.govtrack.us/congress/bills/117/hr5376/text?ref=consumernews.ai).
Among the most important changes was a new annual limit on what beneficiaries must pay out of pocket for covered drugs. That provided substantial protection to people who take expensive medications, but it also shifted a larger share of drug costs to insurance companies.
Insurers responded by proposing significant premium increases.
The Government Accountability Office found that, without the temporary federal program, average premiums for people who remained in the same stand-alone drug plan from 2024 to 2025 would have nearly doubled.
More than one-third of those beneficiaries—37%—could have faced monthly increases exceeding $40, the GAO found. Federal officials feared increases of that size could force large numbers of beneficiaries to change plans, potentially disrupting access to medications, [GAO](https://www.gao.gov/products/gao-26-107935?ref=consumernews.ai) found.
Under the demonstration, CMS reduced premiums by as much as $15 a month in 2025 and limited how much participating plans could raise their premiums.
For 2026, the government reduced the monthly assistance to $10 and allowed plans to raise premiums by as much as $50, signaling that the program was already being phased down, according to the [Centers for Medicare & Medicaid Services](https://www.cms.gov/newsroom/fact-sheets/2026-medicare-part-d-bid-information-and-part-d-premium-stabilization-demonstration-parameters?ref=consumernews.ai).
The GAO said CMS estimated that the demonstration would cost the federal government approximately $9.8 billion during 2025 and 2026.
### Premiums remained relatively stable—but taxpayers paid the difference
The program appears to have achieved its immediate goal.
The average monthly premium paid by beneficiaries who did not receive Medicare’s low-income subsidy increased only slightly, from $42 in 2024 to $43 in 2025, according to the GAO.
Enrollment in stand-alone drug plans also increased by about 2%, rather than falling amid widespread premium increases and plan switching.
Critics, however, argued that the program amounted to an expensive subsidy for private insurers and weakened their incentive to control costs.
CMS Administrator Mehmet Oz characterized the program as a bailout that was no longer necessary. He said most beneficiaries would experience increases of less than $10 a month, while some could see their premiums decline.
Those estimates should be treated as preliminary. Actual increases will depend on the beneficiary’s plan, location, medications and pharmacy network.
CMS does not expect to release final 2027 Part D premiums and plan offerings until September.
### The published base premium is not necessarily what consumers will pay
CMS said the national base beneficiary premium for 2027 will be $41.33, up from $38.99 in 2026.
The increase is limited to 6% under a provision of the Inflation Reduction Act that caps annual growth in the national base premium through 2029\.
But the base premium is primarily a figure used in Medicare’s payment formula. It is not a cap on the premium charged by an individual plan.
Actual premiums can be considerably higher or lower depending on the plan’s bid, benefits and geographic market.
That means some beneficiaries could face increases larger than the change in the national base premium, particularly if they remain automatically enrolled in an existing plan without reviewing alternatives.
### Higher premiums could push consumers toward Medicare Advantage
Rising stand-alone Part D premiums may also make Medicare Advantage plans appear more attractive.
Most Medicare Advantage plans include drug coverage, often without a separately advertised drug-plan premium. But consumers should not assume that a zero-premium Medicare Advantage plan is necessarily the least expensive or most suitable option.
Medicare Advantage plans generally use restricted networks and may require prior authorization for some medical services. Returning to traditional Medicare later can also be complicated because, in many states, consumers may not have a guaranteed right to purchase a Medigap supplemental policy after their initial enrollment period.
Consumers should therefore avoid switching their entire Medicare arrangement solely to save money on a Part D premium.
### What Medicare beneficiaries should do
Beneficiaries will receive an Annual Notice of Change from their current plan before fall open enrollment. That notice should identify changes in premiums, deductibles, copayments, covered drugs and pharmacy networks.
Consumers should check:
- Whether every prescription they take will remain on the plan’s formulary;
- Whether the plan has moved any medications to a more expensive coverage tier;
- Whether preferred pharmacies have changed;
- The combined cost of premiums, deductibles and expected copayments;
- Whether prior authorization, quantity limits or step-therapy requirements apply;
- Whether they qualify for Medicare’s Extra Help program for people with limited incomes and resources.
Medicare’s annual open-enrollment period runs from October 15 through December 7\. Changes selected during that period generally take effect January 1.
Beneficiaries can compare plans through Medicare’s online Plan Finder or obtain free, independent assistance from their State Health Insurance Assistance Program.
The most important rule is not to allow a plan to renew automatically without checking the details. A plan that was inexpensive in 2026 may have a substantially different premium, drug list or pharmacy network in 2027.
### The bottom line
The federal subsidy program protected beneficiaries from abrupt premium increases while Medicare’s new drug-benefit structure took effect. It also transferred billions of dollars in additional costs to taxpayers.
Ending it will provide a clearer picture of what insurers believe the redesigned Part D benefit actually costs.
For consumers, however, that market adjustment could arrive in the form of higher monthly premiums and fewer inexpensive choices. The full impact will not be known until Medicare releases finalized 2027 plans and premiums in September.
### Cyclospora balloons to 6,707 confirmed cases, largest in US history, Ford adds a recall, consumer confidence sinks
URL: https://www.consumernews.ai/cyclospora-balloons-to-6-707-confirmed-cases-largest-in-us-history-ford-adds-a-recall-consumer-confidence-sinks/
Last updated: 2026-07-29T13:57:38.000Z
The consumer safety story continues to dominate the week's headlines. The national cyclospora outbreak has resulted in 6,707 laboratory-confirmed cases plus more than 11,500 additional suspected cases, [Reuters reported](https://www.reuters.com/legal/litigation/us-diners-avoid-restaurants-cyclosporiasis-fears-cut-lettuce-sales-2026-07-29/?ref=consumernews.ai), a jump of more than 2,500 confirmed cases in one week and now confirming the outbreak as the largest cyclosporiasis event in U.S. history.
Michigan alone reported 9,680 cases Tuesday, up 427 from the previous day, with 160 hospitalizations, [per Reuters](https://www.reuters.com/business/healthcare-pharmaceuticals/michigan-reports-9680-cyclosporiasis-cases-ongoing-outbreak-2026-07-28/?ref=consumernews.ai). At least one case has now been reported in 41 states.
"The U.S. food supply is safe," acting FDA commissioner Prater said at the International Association for Food Protection annual conference Monday, [The New York Times reported](https://www.nytimes.com/2026/07/28/business/cyclospora-food-safety-fda.html?ref=consumernews.ai) — even as he acknowledged the FDA is now tracking a cyclospora outbreak that has sickened more than 11,000 people, a salmonella outbreak that prompted the recall of 19 million eggs, and an E. coli outbreak linked to organic blueberries.
U.S. consumers are steering clear of some restaurant chains and buying less lettuce in grocery stores as the outbreak fuels confusion. Diners' foot traffic data show restaurants that used Taylor Farms lettuce were still absorbing hits Tuesday, more than 10 days after Taco Bell removed the affected product.
# Ford adds another recall
Ford added another safety recall Tuesday: 79,579 model-year 2026-27 Ford Explorers and Lincoln Aviators for a driver's seat that could "recline unintentionally during certain scenarios, such as remote unlock or remote start" — potentially trapping rear-seat passengers, [Reuters reported](http://rmb.reuters.com/rmd/rss/item/tag:reuters.com,2026:newsml%5FMT1USDAYNETN91074264007?channel=nhm034&ref=consumernews.ai). The recall — number 26S53 — brings Ford's July total to more than 1 million U.S. vehicles.
## Consumer confidence slides to 90.8 as labor views weaken
With all the bad news, it's not surprising the Conference Board's consumer confidence index slipped to 90.8 in July from an upwardly revised 92.2 in June, missing the 92.3 forecast in a Reuters poll of economists.
Bloomberg's survey had expected 92.4, [per Bloomberg](https://www.bloomberg.com/news/articles/2026-07-28/us-consumer-confidence-falls-as-business-conditions-worsen?ref=consumernews.ai). "Americans' confidence in the economy fell this month as gas prices resumed their climb after the U.S. and Iran stepped up their fighting," [The Associated Press reported](https://apnews.com/article/economy-consumer-confidence-inflation-iran-1b45863254bcaf214d041d0ebafe9536?ref=consumernews.ai).
The interior detail was worse than the headline. Consumers' view of current business and labor market conditions fell by 3.6 points to 114.9, the third straight monthly decline. Views about their near-term futures held steady from June at a reading of 74.7\. "Consumers' write-in responses on factors affecting the economy continued to be mostly pessimistic in July," said Dana Peterson, chief economist at The Conference Board, cited by Reuters.
"Notably, references to jobs and unemployment picked up lightly." Separately, U.S. single-family house prices increased 0.3 percent in May and rose 2.2 percent in the 12 months through May, the Federal Housing Finance Agency said, [per Reuters](http://rmb.reuters.com/rmd/rss/item/tag:reuters.com,2026:newsml%5FKBN3TO1D9?channel=FBi345&ref=consumernews.ai), a rebound after April's 0.1 percent dip and a signal that home prices continue setting all-time highs even as sales sag. The affordability squeeze has now stretched five straight months.
### FTC says ticket broker used fake accounts and virtual cards to scoop up 86,000 tickets
URL: https://www.consumernews.ai/ftc-says-ticket-broker-used-fake-accounts-and-virtual-cards-to-scoop-up-86-000-tickets/
Last updated: 2026-07-28T21:50:04.000Z
Here’s a publication-ready draft in the usual format.
The Federal Trade Commission is taking action against a Georgia ticket broker that allegedly used a network of fake accounts, foreign ticket buyers and virtual credit cards to buy large blocks of tickets before ordinary fans had a chance.
Elite Events and Tickets LLC, which also operated under the names Smart Scalpers and SmartScalpers.com, and its owners, Kevin W. McKerley and Aaron L. Fera, have agreed to pay $300,000 to settle allegations that they violated the federal [Better Online Ticket Sales Act](https://www.congress.gov/114/plaws/publ274/PLAW-114publ274.pdf?ref=consumernews.ai), commonly known as the BOTS Act.
According to the FTC, the company exceeded ticket-purchase limits for more than 2,400 events involving over 250 performers between July 2022 and August 2025.
The agency’s court complaint says Elite Events acquired 86,869 tickets in excess of posted limits and earned more than $3.5 million in profits by reselling them through platforms including StubHub, Vivid Seats, SeatGeek, TickPick, Viagogo and Gametime. Resale prices were frequently 100% to 500% higher than the original ticket price, [the complaint](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/EliteEvents-Complaint.pdf?ref=consumernews.ai) alleges.
“Consumers should be able to purchase tickets to events without having to contend with bad actors who drive up prices and make it harder for fans to see their favorite artists and athletes,” said Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection.
[Primary sale or resale? How to tell before you buy ticketsTicket websites do not always make it obvious whether you are buying directly from the venue or purchasing from a reseller who may have marked up the price.ConsumerNews.aiThe Editors](https://www.consumernews.ai/primary-sale-or-resale-how-to-tell-before-you-buy-tickets/)
## How the alleged operation worked
Ticket sellers such as Ticketmaster and AXS commonly restrict buyers to four, six or eight tickets for popular events. They may also monitor account names, payment cards, email addresses, phone numbers and internet addresses to identify buyers attempting to evade those limits.
The FTC alleges that Elite Events bypassed those safeguards by using:
- Hundreds of ticket accounts created with fictitious identities or information belonging to employees and purchasing agents;
- Virtual credit card services capable of generating thousands of different card numbers;
- Proxy services that disguised the location and internet address of ticket buyers; and
- Multi-session browsers that allowed buyers to operate numerous independent purchasing sessions at once.
The company allegedly employed hundreds of ticket-buying agents, including workers based outside the United States, to make purchases through the different accounts.
Its business strategy targeted events expected to sell out quickly. According to the FTC complaint, the company’s internal “Ticket Broker’s Playbook” advised workers to monitor social media, ticket alerts, performer popularity and resale-market trends to identify tickets likely to rise in value.
## Metallica tickets provide one example
The FTC said Elite Events used 75 accounts to obtain 277 tickets to a Metallica concert at Virginia Tech, even though the seller limited purchases to six tickets per buyer.
The company allegedly paid between $50 and $270 per ticket and later offered the tickets on resale markets for $100 to $400 each.
The complaint says the company used similar tactics to obtain tickets to concerts, music festivals, comedy shows, professional and college sporting events, NASCAR races and major rodeos.
In all, Elite Events acquired more than 100,000 tickets through more than 42,000 transactions for approximately 5,700 events, according to the court filing. The FTC’s case focuses on the 2,431 events where the company allegedly exceeded the maximum purchase limit.
## A $10.7 million penalty — mostly suspended
Under the proposed court order, Elite Events, McKerley and Fera face a civil penalty of more than $10.7 million.
However, the order requires them to pay only $300,000 because of their reported inability to pay the full judgment. The remaining penalty will be suspended unless the FTC determines that the defendants misrepresented their finances.
The settlement would permanently prohibit the defendants from using multiple accounts, internet addresses, multi-session browsers or payment methods held in other people’s names to evade ticket limits.
The order must be approved and signed by a federal judge before it becomes final. The case was filed July 27 in the U.S. District Court for the Southern District of Georgia.
## What is the BOTS Act?
Congress enacted the Better Online Ticket Sales Act in 2016 after growing complaints that professional brokers were using automated software and other technical methods to overwhelm ticket websites.
The law prohibits circumventing online security systems used to enforce ticket limits. It also prohibits knowingly selling tickets obtained through such violations.
Despite its name, the law is not limited to conventional automated “bots.” It also covers tactics such as fake accounts, disguised internet addresses and multiple payment methods when they are used to circumvent a seller’s technological controls.
The law generally applies to public concerts, theater performances, sporting events and similar activities held at venues with capacities of more than 200 people. Both the FTC and state attorneys general may enforce it.
The FTC brought its first BOTS Act enforcement cases in 2021 against three New York ticket brokers accused of using automated software, fake accounts and concealed internet addresses to acquire more than 150,000 tickets. Those defendants agreed to pay a combined $3.7 million after larger penalties were suspended because of their inability to pay.
## What this means for ticket buyers
The case may discourage some large-scale brokers, but it will not immediately eliminate high resale prices or make tickets easier to obtain.
Ticket limits work only when sellers can distinguish individual fans from coordinated brokerage operations. Brokers with large numbers of accounts, payment cards and internet addresses can make dozens or hundreds of purchases look like unrelated transactions.
Consumers shopping for popular events should:
- Begin with the performer, team or venue’s official website rather than a search advertisement;
- Check whether the listing is from the original seller or a resale marketplace;
- Compare the total price, including mandatory fees, before paying;
- Be skeptical of countdown clocks and claims that only one or two tickets remain;
- Review refund and event-cancellation policies;
- Pay by credit card, which generally offers stronger dispute rights than cash apps, wire transfers or cryptocurrency; and
- Save screenshots of the listing, seat location, promised delivery date and total price.
Consumers who encounter deceptive ticket listings or suspect that a seller is violating purchase limits can submit a report at ReportFraud.ftc.gov.
### Primary sale or resale? How to tell before you buy tickets
URL: https://www.consumernews.ai/primary-sale-or-resale-how-to-tell-before-you-buy-tickets/
Last updated: 2026-07-28T21:51:47.000Z
Buying tickets to major sports and entertainment events can be tricky. Anytime you buy from anyone other than the primary, authorized agency, you risk losing your money or getting a seat that's not what you expected, as a [recent Federal Trade Commission case](https://www.consumernews.ai/ftc-says-ticket-broker-used-fake-accounts-and-virtual-cards-to-scoop-up-86-000-tickets/) shows.
[FTC says ticket broker used fake accounts and virtual cards to scoop up 86,000 ticketsElite Events and its owners agreed to pay $300,000 after allegedly bypassing ticket limits for more than 2,400 concerts, sporting events and other live showsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/ftc-says-ticket-broker-used-fake-accounts-and-virtual-cards-to-scoop-up-86-000-tickets/)
Before entering your payment information, look for these clues:
### Signs it is a primary ticket sale
- The link came from the official website of the artist, team, theater or venue.
- The seller is identified as the event’s authorized ticketing provider.
- Tickets are being released on an announced public-sale or presale date.
- Prices are listed in standard tiers rather than varying dramatically from seat to seat.
- The site clearly states the ticket’s face value and mandatory fees.
### Signs it may be a resale listing
- The site uses phrases such as “verified resale,” “marketplace,” “secondary market” or “prices may exceed face value.”
- Tickets are available before the official public sale begins.
- Prices change rapidly or are far higher than those advertised by the performer or venue.
- The listing says the seller does not yet possess the ticket or will transfer it closer to the event.
- The website appears above the official seller in search results because it is a paid advertisement.
### Check the total price
A ticket advertised at $100 may cost considerably more after service, delivery, facility and processing charges are added. Compare the final checkout price—not the first price displayed.
Also check:
- Whether the seats are together;
- Whether the view is obstructed;
- When and how the tickets will be delivered;
- Whether the seller guarantees entry;
- What happens if the event is canceled or postponed; and
- Whether the ticket can be transferred or resold again.
### Protect yourself
Pay by credit card whenever possible. Credit cards generally provide stronger dispute rights if tickets are counterfeit, never delivered or significantly different from what was promised.
Avoid sellers who demand payment by wire transfer, gift card, cryptocurrency or person-to-person payment app.
Save copies of the listing, seating information, receipt, seller guarantees and all messages. Those records may be essential if you need to dispute the charge.
### Immersion water heaters pose an 'imminent danger' of fires, safety agency charges
URL: https://www.consumernews.ai/immersion-water-heaters-pose-an-imminent-danger-of-fires-safety-agency-charges/
Last updated: 2026-07-28T22:06:34.000Z
Consumers are being warned about an "imminent hazard" posed by some immersion water heaters – portable devices that are often used to heat water quickly.
The U.S. Consumer Product Safety Commission (CPSC) today filed an [imminent hazard action](https://www.justice.gov/opa/pr/justice-department-files-complaint-against-manufacturer-and-retailer-allegedly-imminently?ref=consumernews.ai) against the manufacturer and seller of Lakkzoom immersion water heaters, saying the devices can overheat and catch fire within minutes when energized either completely or partially out of water.
At the same time, CPSC is [urging consumers](https://www.cpsc.gov/Warnings/2026/CPSC-Urges-Consumers-to-Stop-Using-Lakkzoom-Immersion-Water-Heaters-Immediately-Due-to-Risk-of-Serious-Injury-and-Death-from-Fire-Hazard?ref=consumernews.ai) to immediately stop using the heaters, which have been associated with numerous reports of fires.
The filing marks the Commission’s first use of its Section 12 imminent hazard authority in nearly four decades.
“Congress enacted Section 12 to ensure that the Commission could seek swift judicial relief when products present an imminent hazard,” said Acting Chairman Peter Feldman, in a [news release](https://www.cpsc.gov/Newsroom/News-Releases/2026/CPSC-Exercises-Section-12-Imminent-Hazard-Authority-for-First-Time-in-Nearly-40-Years-Warns-Consumers-to-Stop-Using-Lakkzoom-Immersion-Water-Heaters?ref=consumernews.ai). “While the Commission has historically relied primarily on other enforcement authorities, Section 12 provides an important complementary tool when expedited action is warranted.”
Consistent with the Administration’s priority of protecting American families from dangerous foreign imports and holding overseas manufacturers accountable, CPSC established a Section 12 Task Force to identify appropriate cases and develop Section 12 into a meaningful component of the Commission’s enforcement program.
“Under President Trump’s leadership, CPSC is working more closely than ever with the Department of Justice and our other federal partners to ensure that every available enforcement tool is brought to bear against dangerous products,” Feldman said.
### Mass tort or class action? Why the difference matters
URL: https://www.consumernews.ai/mass-tort-or-class-action-why-the-difference-matters/
Last updated: 2026-07-28T18:08:08.000Z
Johnson & Johnson’s proposed talc settlement involves tens of thousands of people, but it is not a conventional class-action settlement.
In a class action, one or more plaintiffs represent a larger group whose claims are similar. The court decides whether the group qualifies as a class, and a settlement generally establishes a common fund or payment formula for everyone covered.
A mass tort works differently. The cases may be coordinated before one judge to reduce duplication, but each injured person keeps an individual claim. Medical history, product use, diagnosis, age and other facts can affect whether the claim qualifies and how much it may be worth.
### Why payments may vary
The [proposed J&J agreement](https://www.consumernews.ai/j-j-offers-5-5-billion-to-settle-76-000-talcum-powder-cancer-claims/) reportedly covers about 76,000 existing ovarian cancer claims. Dividing a $5.5 billion settlement equally would produce roughly $72,000 per claim, but that is not how mass-tort settlements usually work.
Payments may depend on:
- The type and stage of cancer
- The claimant’s age and medical history
- Evidence of talc-product use
- The length and frequency of exposure
- Whether the claimant is living or deceased
- Previous settlements or compensation
- Legal fees and case expenses
Some claimants could receive considerably more than the mathematical average, while others could receive less or be found ineligible.
### What coordinated litigation means
Many of the federal talc lawsuits have been grouped in multidistrict litigation, or **MDL**.
An MDL is designed to make large numbers of similar lawsuits more efficient. One federal judge oversees common issues such as evidence, expert testimony and discovery. The cases do not automatically become one class action, and individual clMDLaims may return to their original courts if they are not settled or dismissed.
### Why lawyers recommend settlement grids
Mass-tort agreements often use a points system or settlement grid. Claimants receive points based on factors such as diagnosis, age and documented exposure. Those points are then converted into payments.
The process can speed up compensation, but it may also limit a claimant’s ability to pursue a larger jury verdict.
### What claimants should ask
Before accepting a settlement, claimants should ask their attorneys:
- How was my claim valued?
- What deductions will be taken?
- Are legal fees calculated before or after expenses?
- When is payment expected?
- What rights do I give up by accepting?
- Can I reject the offer and continue litigating?
- What happens if too few claimants approve the agreement?
Claimants should obtain the answers in writing and should not rely on unsolicited calls, online advertisements or promises of guaranteed payments.
### J&J offers $5.5 billion to settle 76,000 talcum powder cancer claims
URL: https://www.consumernews.ai/j-j-offers-5-5-billion-to-settle-76-000-talcum-powder-cancer-claims/
Last updated: 2026-07-28T17:27:23.000Z
Johnson & Johnson has agreed to pay an estimated $5.5 billion to resolve roughly 76,000 lawsuits alleging that its talc-based baby powder and other powder products caused ovarian cancer.
The agreement could bring an end to one of the largest and longest-running consumer-product liability battles in U.S. history, although it must first be accepted by at least 95% of the eligible state and federal claimants, according to [Insurance Journal](https://www.insurancejournal.com/news/national/2026/07/28/879253.htm?ref=consumernews.ai).
The company expects to pay as much as $3 billion in 2027, with additional payments beginning in 2028\. Plaintiffs’ attorney Chris Seeger said the total could eventually exceed $7 billion because the agreement assigns values to qualifying claims without imposing a firm ceiling on J&J’s overall liability.
J&J continues to deny that its products caused cancer or contained asbestos.
“While we are confident the company would have ultimately prevailed with further litigation, as it has in the vast majority of cases tried to date, this resolution allows the company to put this matter behind it,” Erik Haas, J&J’s vice president of litigation, said in announcing the deal.
[Talcum Powder NewsTrackerJ&J offers $5.5 billion to settle 76,000 talcum powder cancer claimsThe proposed settlement would resolve nearly all remaining lawsuits alleging Johnson & Johnson’s talc-based powders caused ovarian cancer.ConsumerNews.aiThe EditorsTalc lawsuit checklist: What records to preserve nowIf you’ve been diagnosed with ovarian cancer orConsumerNews.aiJames R. Hood](https://www.consumernews.ai/talcum-powder-newstracker/)
## What the settlement covers
The agreement applies to existing ovarian cancer claims pending in federal multidistrict litigation in New Jersey and in state courts.
It does not cover people who may develop cancer and file lawsuits in the future. That is a major difference from J&J’s earlier attempts to resolve the litigation through bankruptcy, which were designed to address both current and future claims.
J&J says it has separately resolved most lawsuits alleging that asbestos in its talc products caused [mesothelioma](https://www.mayoclinic.org/diseases-conditions/mesothelioma/symptoms-causes/syc-20375022?ref=consumernews.ai), a rare and aggressive cancer associated with asbestos exposure. It has also settled some claims brought by states and talc suppliers.
The settlement figures do not mean every claimant will receive an equal share. Dividing $5.5 billion by 76,000 would produce a rough average of about $72,000 per claim, but actual awards will depend on eligibility rules, disease history, medical documentation, legal fees and other provisions of the settlement.
## Why J&J settled now
The settlement came shortly after J&J won an important procedural victory in the federal litigation.
U.S. Magistrate Judge Rukhsanah Singh recently questioned whether expert testimony offered by plaintiffs could establish that talc exposure specifically caused an individual woman’s ovarian cancer. Plaintiffs were ordered to provide admissible, case-specific evidence or risk having claims dismissed. The ruling did not immediately throw out the lawsuits, but it significantly increased the risks facing plaintiffs, [Reuters](https://www.reuters.com/legal/government/us-judge-casts-doubt-69000-cases-alleging-jj-talc-caused-cancer-2026-07-22/?utm%5Fsource=chatgpt.com) reported.
J&J had also won several individual trials and successfully challenged some plaintiffs’ lawyers and expert witnesses.
Even so, the company’s record has been mixed. Some juries have returned large verdicts against J&J, including a multibillion-dollar verdict involving 22 women, although certain awards were later reduced or overturned on appeal.
The new settlement gives plaintiffs a faster and potentially more certain path to compensation while allowing J&J to avoid years of additional trials, appeals and legal expenses.
Plaintiffs’ lawyers said qualifying claims could be paid within approximately 18 months, compared with more than a decade under one of the company’s failed bankruptcy proposals.
## Three bankruptcy attempts failed
J&J previously tried three times to move its talc liabilities into a subsidiary and place that company into bankruptcy—a maneuver widely known as the “Texas two-step.”
The strategy would have allowed J&J to resolve thousands of lawsuits collectively while keeping the parent company outside bankruptcy. Courts rejected each attempt, finding that the subsidiaries were not in sufficient financial distress to qualify for bankruptcy protection.
The most recent proposal would have provided roughly $9 billion to talc claimants. After a bankruptcy judge rejected it, the litigation returned to the traditional court system.
Unlike those bankruptcy plans, the new agreement was negotiated directly with plaintiffs’ firms and applies only to people who have already filed claims.
## The science remains disputed
Talc is a naturally occurring mineral used for decades in powders, cosmetics and other consumer products. Because talc deposits can occur near asbestos deposits, critics have long raised concerns that talc may become contaminated during mining.
Asbestos is a known human carcinogen. The more difficult and disputed question is whether asbestos-free talc—or the use of talcum powder in the genital area—can independently cause ovarian cancer.
J&J has consistently maintained that its cosmetic talc was safe, did not contain asbestos and did not cause cancer.
Some epidemiological studies have reported an association between genital talc use and ovarian cancer, while others have found little or no increased risk. Proving that a particular product caused an individual person’s cancer has been a central obstacle in the litigation.
The FDA has [periodically tested](https://www.fda.gov/cosmetics/cosmetics-news-events/fda-releases-data-agencys-2023-testing-talc-containing-cosmetic-products-asbestos?ref=consumernews.ai) talc-containing cosmetics for asbestos. In its 2023 sampling program, asbestos was not detected in any of the 50 products tested, although the limited sample did not establish that every talc product on the market was asbestos-free.
The FDA has also worked on standardized asbestos-testing requirements for talc-containing cosmetics. The agency says asbestos at any detectable level may make a cosmetic product harmful to consumers, but mandatory uniform testing standards have been delayed and remain under development.
## J&J no longer sells talc-based baby powder
J&J stopped selling talc-based baby powder in the United States and Canada in 2020 and later ended worldwide sales, replacing it with a cornstarch-based formulation.
The company said the change reflected declining demand and misinformation about product safety—not a concession that the talc powder was dangerous.
Other manufacturers still use talc in some cosmetics, including face powders, eye shadows and body powders.
## What consumers should do
Consumers who prefer to avoid talc can check ingredient labels for “talc” or “talcum powder” and choose products made with cornstarch, arrowroot powder or other alternatives.
Powders should not be shaken directly near a baby’s face because airborne particles—including talc or cornstarch—can irritate the lungs or cause breathing problems if inhaled.
Anyone who has been diagnosed with ovarian cancer or mesothelioma and believes there may have been substantial past exposure to talc products should preserve medical records, proof of product use and any existing containers or photographs.
People who already have attorneys handling talc claims should contact those attorneys before signing documents, changing representation or responding to unsolicited settlement offers. The proposed settlement is not yet final, and eligibility and payment details will depend on the formal agreement.
Consumers should also be cautious of callers or online advertisements promising guaranteed payments. Legitimate settlement administrators do not normally demand upfront fees, gift cards, cryptocurrency or bank passwords.
## What this means
The proposed agreement would give tens of thousands of cancer patients and their families an opportunity to receive compensation without facing the uncertainty of individual trials.
But it would not produce a definitive scientific or legal ruling on whether J&J’s talc products caused ovarian cancer. Because the settlement contains no admission of wrongdoing and excludes future claims, the broader debate over talc safety is likely to continue even if the agreement is finalized.
### Delta and JetBlue roll out stripped-down premium fares
URL: https://www.consumernews.ai/delta-and-jetblue-roll-out-stripped-down-premium-fares/
Last updated: 2026-07-28T14:10:40.000Z
The consumer-airline story is that the segmented-pricing wave has reached premium cabins. As we [reported](https://www.consumernews.ai/delta-unveils-basic-business-as-premium-cabins-go-stratified/) earlier, Delta Air Lines is launching basic business and other stripped-down premium classes that come with fewer perks, [CNBC reported](https://www.cnbc.com/business/?ref=consumernews.ai) — no lounge access, no seat selection and other trade-offs at lower headline prices.
JetBlue updated its fare structure this week as airlines see benefits of segmented pricing, [Reuters reported](https://www.reuters.com/business/jetblue-updates-fare-structure-airlines-see-benefit-segmented-pricing-2026-07-27/?ref=consumernews.ai), joining United Airlines, Delta and Alaska Airlines, which reported generating more revenue through fare increases.
[Delta NewsTrackerDelta and JetBlue roll out stripped-down premium faresPay a little bit less for sort of luxury travel is the latest travel mantra.ConsumerNews.aiJames R. HoodDelta and JetBlue roll out stripped-down premium faresPay a little bit less for sort of luxury travel is the latest travel mantra.ConsumerNews.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/delta-newstracker/)
Delta said last month it will offer basic fares across all premium cabins to allow travelers to access premium products at a lower cost, per Reuters.
Consumers should read Delta and JetBlue booking pages carefully before Labor Day travel: A cheaper business-class ticket that excludes lounge access, seat selection, upgrades and priority boarding may cost less at booking but more in add-ons at the airport.
### What to know about the "cheaper" fares
Delta and JetBlue are taking the logic of basic economy and moving it into the premium cabins. Passengers may pay less for the better seat and onboard service, but flexibility, advance seat selection, baggage and loyalty benefits can be reduced.
### Delta: premium seat, “basic” ticket
Delta began selling Basic fares for **Delta First, Delta Premium Select and Delta One** on July 8\. Delta First Basic is already available on selected domestic and Latin American routes; Premium Select Basic and “Basic Business” begin flying in September on selected domestic and long-haul routes. ([Delta News Hub](https://news.delta.com/what-know-about-deltas-expanded-basic-fare-options-available-now?ref=consumernews.ai))
The important distinction is that the onboard product stays essentially the same. A Basic Business passenger still gets the lie-flat Delta One seat, meals, drinks, bedding and amenity kit. But the ticket may come with:
- No advance seat assignment; Delta assigns the seat after check-in
- One fewer complimentary checked bag in many markets
- Lower SkyMiles earnings
- No complimentary or paid upgrades
- No same-day confirmed change or standby
- Change or cancellation fees
- Loss of ticket-based Delta One Lounge and Sky Club access after January 18, 2027
Basic tickets can generally be canceled for an eCredit after a fee, rather than simply refunded. ([Delta News Hub](https://news.delta.com/what-know-about-deltas-expanded-basic-fare-options-available-now?ref=consumernews.ai))
That last lounge point is easy to miss. During a transition period, Basic Business passengers retain Delta One check-in and lounge access through **January 18, 2027**. Beginning January 19, the Basic Business fare itself will no longer provide those privileges, although a qualifying credit card, membership or elite credential may provide access separately. ([Delta News Hub](https://news.delta.com/what-know-about-deltas-expanded-basic-fare-options-available-now?ref=consumernews.ai))
## JetBlue: Base, Standard or Flex
JetBlue’s new system is slightly easier to understand. Passengers first choose the physical product:
**Main**, **EvenMore**, the forthcoming **BlueFirst**, or **Mint**.
They then choose a fare type:
| Fare | Seat selection | Changes | Cancellation |
| -------- | -------------- | ------------- | --------------------------------- |
| Base | Not included | Fee applies | Travel credit minus fee |
| Standard | Included | No change fee | Travel credit |
| Flex | Included | No change fee | Refund to original payment method |
Base fares earn one TrueBlue point per dollar, compared with three points per dollar for Standard and Flex. All three include a carry-on. ([JetBlue Airways Investor Relations](https://www.ir.jetblue.com/news/news-details/2026/JetBlue-Introduces-a-Simple-Intuitive-Way-to-Shop-for-Flights-as-It-Prepares-for-First-Class-Launch/default.aspx?ref=consumernews.ai))
The cheaper Base option will be offered for **EvenMore and BlueFirst**, as well as Main. JetBlue is not extending Base pricing to Mint, its lie-flat business-class product.
JetBlue says BlueFirst will begin appearing later in 2026 on aircraft and routes that do not have Mint. It has not yet disclosed the full seat design, service details, launch schedule or likely discount for BlueFirst Base.
## When the cheaper fare may be worthwhile
A basic premium fare could be a good value for a passenger who:
- Is certain about the travel dates
- Does not care which seat within the premium cabin is assigned
- Travels with little checked luggage
- Does not depend heavily on miles, upgrades or lounge access
- Values the wider or lie-flat seat far more than the surrounding benefits
The strongest case may be an overnight flight where the bed, legroom or larger seat is the primary reason for upgrading.
## When it can become a false bargain
The cheaper fare deserves extra scrutiny when traveling as a couple or family. Without advance assignments, travelers may not sit together—even though everyone bought premium tickets.
It may also be a poor choice when plans could change, when several bags are being checked, or when lounge access and loyalty earnings represent a meaningful part of the fare’s value.
The comparison consumers should make is not simply:
> Basic premium versus regular premium.
It is:
> Basic premium fare + seat fees + baggage costs + possible change fees + lost miles and benefits
> versus the regular premium fare.
In some cases the stripped-down ticket will produce a genuine saving. In others, the difference may be too small to justify surrendering the protections that traditionally made an expensive premium ticket less risky.
### Cyclospora outbreak balloons to record
URL: https://www.consumernews.ai/cyclospora-outbreak-balloons-to-record/
Last updated: 2026-07-28T12:31:27.000Z
The consumer food-safety emergency has grown into the largest cyclospora outbreak on record. Nationally the outbreak has resulted in 4,173 laboratory-confirmed cases with health authorities aware of more than 7,400 additional suspected cases, [Reuters reported](https://www.reuters.com/business/healthcare-pharmaceuticals/former-fda-chief-says-central-mexico-may-have-broad-cyclosporiasis-contamination-2026-07-27/?ref=consumernews.ai), citing CDC data.
At least one case has been reported in 41 states, leading to 308 reported hospitalizations but no deaths, per Reuters.
"When we're seeing 10,000 reported cases, probably the true number of cases is 10 to 20 X (times) that," former FDA Commissioner Scott Gottlieb said on CNBC. "This is the largest outbreak we've ever seen in history of cyclospora."
Michigan alone reported 9,253 cases as of Monday, an increase of 1,077 since Friday, with 160 hospitalizations, [Reuters reported](https://www.reuters.com/business/healthcare-pharmaceuticals/michigan-reports-9253-cyclosporiasis-cases-ongoing-outbreak-2026-07-27/?ref=consumernews.ai). Ohio has reported roughly 500 confirmed cases, Indiana about 300, North Carolina about 300 and New York about 300\.
Gottlieb said contamination clusters in the Great Lakes region, New York and North Carolina "appeared to be linked to potentially parsley and cilantro from Central Mexico, though investigators have not determined the exact source," warning that raw sewage could have reached growing areas through irrigation water, flooding or a sewage canal breach.
Some larger growers and retailers were no longer sourcing produce from the region, he said: "A lot of that product is being taken out of supply chains, so that should mitigate some of the ongoing risk."
### The list continues to grow
###
The recall list keeps growing. Midwest Poultry Services recalled nearly 1.6 million dozen white and brown cage-free eggs from Texas over salmonella enteritidis contamination, and 98 people in 17 states have been infected with 26 hospitalizations, [per Reuters](http://rmb.reuters.com/rmd/rss/item/tag:reuters.com,2026:newsml%5FMT1USDAYNETN91063557007?channel=xsp076&ref=consumernews.ai).
The recalled eggs carry codes P-1950 or 0840962 with a Julian date between 157 and 184 and were sold at Kroger stores in Texas and Louisiana, at Brookshire Grocery stores across five states and other smaller retail outlets.
Separately, Maple Leaf Foods recalled over 12,000 pounds of bacon imported to the U.S. from Canada due to an import-inspection violation, [Reuters reported](http://rmb.reuters.com/rmd/rss/item/tag:reuters.com,2026:newsml%5FMT1USDAYNETN91062991007?channel=xsp076&ref=consumernews.ai); the affected Royale Natural Applewood Smoked and TOP VALU Uncured Hardwood Smoked bacon was distributed to Grocery Outlet in Idaho, Oregon and Washington.
Consumers should discard recalled iceberg lettuce from Taylor Farms, recalled eggs and recalled bacon immediately and return them for refunds.
### Ford recalls close to 1 million vehicles in a week
URL: https://www.consumernews.ai/ford-recalls-close-to-1-million-vehicles-in-a-week/
Last updated: 2026-07-28T12:24:43.000Z
On Monday, July 20, Ford issued a recall for 387,911 vehicles — 227,520 Explorer SUVs from model years 2020-26 and 160,391 Lincoln Aviator SUVs from model years 2020-27 — because certain vehicles may have a defect in second-row outboard seats that "may intermittently bind or become stuck in the down position."
On Friday, July 24, Ford issued a recall for 565,691 Ford Bronco SUVs from model years 2021-26 citing an increased risk of a fire caused by wiring-harness damage in the engine compartment. The National Highway Traffic Safety Administration cited 15 reports of Bronco engine-compartment fires between Oct. 15, 2024, and June 20, 2026 — seven in Bronco Raptors and eight in base models — with no injuries.
Ford also earlier recalled 110,626 Mustang vehicles in two separate campaigns over malfunctioning windshield wipers and a rear differential pinion shaft that may fracture, per [Reuters autos coverage](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai).
Ford said its recall count is improving compared with a year earlier and it is finding fewer problems on newer designs, but the automaker has recalled close to 2 million total vehicles just since the beginning of July.
### It's not just Ford
The recall wave is broader. Honda Motor America is recalling 325,588 Odyssey vehicles in the U.S. due to issues with rearview image display, per NHTSA cited by Reuters.
Kia America is recalling nearly 463,000 Telluride SUVs from the 2020-2024 model years that could catch fire while being driven or parked.
Mercedes-Benz cut sales guidance Tuesday amid worsening Chinese-market conditions, [The Wall Street Journal reported](https://www.wsj.com/business/earnings/mercedes-benz-cuts-sales-guidance-amid-worsening-chinese-market-de9731e3?ref=consumernews.ai), joining Audi's guidance cut Monday. Ford Chief Executive Jim Farley has told CNBC the automaker has learned from past quality issues, "which have hurt its earnings and stained its reputation," but Ford's reporting Wednesday will be the tape's read on whether investors buy that.
For consumers, the essential move is checking [NHTSA's recall database](https://www.nhtsa.gov/?ref=consumernews.ai) on any Ford Bronco, Explorer, Mustang, Lincoln Aviator, Honda Odyssey or Kia Telluride in the driveway and scheduling free dealer repairs immediately — several of the defects are fire-related.
### When the defendant isn't human: AI systems are finding themselves at the center of lawsuits
URL: https://www.consumernews.ai/when-the-defendant-isnt-human-ai-systems-are-finding-themselves-at-the-center-of-lawsuits/
Last updated: 2026-07-27T20:44:21.000Z
A few years ago, the idea of suing a chatbot or holding an autonomous vehicle legally responsible for an accident would have sounded like science fiction.
Today, it is becoming one of the fastest-evolving areas of American law.
The latest example comes from Delaware, where a state judge has refused to dismiss a defamation lawsuit against Google arising from statements allegedly generated by its Bard chatbot, a predecessor to today's Gemini AI.
The plaintiff, conservative activist Robby Starbuck, alleges Bard falsely accused him of sexual assault, linked him to white supremacist Richard Spencer, and even generated arguments in favor of his execution. Google had argued the case should be dismissed, but the court ruled that the lawsuit can proceed, according to [Insurance Journal](https://www.insurancejournal.com/news/national/2026/07/27/879194.htm?utm%5Fsource=chatgpt.com).
Judge Meghan Adams described the dispute as opening "a new frontier for defamation law," while noting that many of the issues may still be resolved using traditional legal principles rather than entirely new rules.
## AI isn't the defendant—its maker is
One important distinction remains.
The lawsuits are not actually against the AI itself. Instead, plaintiffs are suing the companies that created or operate the technology.
That mirrors earlier waves of litigation involving:
- automobiles
- airplanes
- pharmaceuticals
- social media
- consumer products
The legal question is no longer whether software can make mistakes.
It's whether companies exercised reasonable care in designing, testing and deploying systems that predictably could cause harm.
## A growing list of AI lawsuits
The Google case is only the latest in a rapidly expanding field.
Courts are now hearing cases involving AI systems accused of:
- Defamation
- Copyright infringement
- Privacy violations
- Employment discrimination
- Housing discrimination
- Fraud facilitation
- Unsafe autonomous driving
- False advertising
Earlier this week, the Consumer Federation of America [asked the FTC and state attorneys general](https://www.consumernews.ai/consumer-groups-want-probe-of-ai-voice-cloning-app-speechify-over-fraud-concerns/) to investigate Speechify, alleging the company's AI voice-cloning technology lacks sufficient safeguards against impersonation scams.
Authors have sued OpenAI, Anthropic and Meta over AI training data. Media companies have challenged AI-generated summaries. Consumers have sued over allegedly deceptive AI marketing claims.
Each case asks essentially the same question:
> **How much responsibility should companies bear for what their AI systems do?**
## Robot cars are facing the same legal evolution
Autonomous vehicles illustrate how quickly liability is changing.
Following high-profile crashes involving Tesla Autopilot, Cruise, Uber and Waymo vehicles, courts have increasingly shifted attention away from individual drivers and toward software developers.
Most of those cases have been civil product-liability lawsuits.
The most notable criminal case so far involved Cruise, which admitted submitting a false report during a federal investigation after a pedestrian crash in San Francisco. The [criminal case](https://www.insurancejournal.com/news/national/2026/07/27/879194.htm?ref=consumernews.ai) centered on the company's conduct after the accident—not on the AI's driving decisions.
Legal scholars increasingly expect autonomous vehicle litigation to resemble aircraft or pharmaceutical litigation, focusing on whether software was defectively designed rather than whether a human driver made a mistake.
## Courts are adapting old law to new technology
One surprising aspect of the Google ruling is how little new law the judge suggested may be required.
Defamation law already asks familiar questions:
- Was the statement false?
- Was it published?
- Did it damage someone's reputation?
- Who bears responsibility?
Those questions existed long before artificial intelligence. The new challenge is determining whether AI-generated statements should be treated like:
- newspaper articles,
- television broadcasts,
- search results,
- or something entirely different.
## Who is responsible when AI causes harm?
Courts are gradually identifying several possible defendants:
**The developer**
if the AI system was defectively designed.
**The company deploying the AI**
if it failed to implement reasonable safeguards.
**The user**
if the technology was intentionally misused.
**The data provider**
if inaccurate information produced foreseeable harm.
Different cases may assign responsibility differently.
Rather than recognizing AI as a legal person, judges appear more likely to apply long-established product liability and negligence principles to the companies behind the technology.
## What this means for consumers
For consumers, the emerging legal framework could provide stronger incentives for AI companies to improve safety before releasing products.
Potential safeguards include:
- Better fact-checking
- Identity verification
- Voice-cloning consent requirements
- Digital watermarking
- Bias testing
- More effective human oversight
Those measures could reduce fraud, defamation, and misinformation—but they may also increase development costs and slow the rollout of new AI features.
---
## What this means
The Google case may ultimately be remembered less for its outcome than for what it represents: a turning point in how courts view artificial intelligence.
For centuries, lawsuits have centered on human decisions. Increasingly, judges are being asked to decide who should pay when those decisions are delegated to software.
The answer, at least so far, is: **not the machine**. It is the companies that design, market and deploy it.
That shift has profound implications far beyond chatbots. As AI moves into cars, healthcare, banking, insurance, education and consumer products, courts are likely to see a growing wave of lawsuits testing whether traditional legal principles are enough—or whether the age of autonomous systems requires a new body of law altogether.
### Consumer groups want probe of AI voice-cloning app Speechify over fraud concerns
URL: https://www.consumernews.ai/consumer-groups-want-probe-of-ai-voice-cloning-app-speechify-over-fraud-concerns/
Last updated: 2026-07-27T20:21:09.000Z
The Consumer Federation of America is urging federal and state regulators to investigate whether an artificial intelligence company has failed to build adequate safeguards into one of the most powerful—and potentially dangerous—consumer AI technologies now widely available.
In a complaint filed Monday with the Federal Trade Commission and attorneys general across the country, the [CFA](https://consumerfed.org/news/press-releases/consumer-federation-of-america-urges-ftc-and-state-attorneys-general-to-investigate-speechify-over-ai-voice-cloning-practices/?ref=consumernews.ai) and students from the UCLA School of Law's Information Policy Lab argue that AI voice-cloning platform Speechify enables convincing voice impersonations while doing too little to verify that users actually have permission to clone someone else's voice.
The complaint asks regulators to investigate whether the company's practices violate Section 5 of the FTC Act, which prohibits unfair or deceptive business practices, as well as similar state consumer-protection laws and digital forgery statutes.
## Why consumer advocates are concerned
Voice cloning has rapidly evolved from a novelty into a practical tool capable of reproducing a person's speech from only a few seconds of recorded audio.
That technology has legitimate uses. People who have lost the ability to speak because of illness or injury can preserve or recreate their voices. Businesses use synthetic voices in customer service, audiobooks and accessibility tools.
But the same technology has become a favorite tool of scammers.
Fraudsters have used cloned voices to impersonate:
- Children supposedly calling parents after an accident
- Grandchildren claiming they've been arrested
- Bank employees
- Government officials
- Corporate executives authorizing wire transfers
CFA argues that companies offering these services should not simply rely on users checking a box stating they have permission to clone someone's voice.
"Speechify has made it remarkably easy for anyone to clone a person's voice while doing almost nothing to verify consent or prevent abuse," Ben Winters, CFA's director of AI and data privacy, said in announcing the complaint.
## Billions lost to impersonation scams
The consumer group points to rapidly rising fraud losses.
According to FTC data cited in the complaint:
- Consumers reported losing $3.5 billion to impersonation scams in 2025.
- That figure is nearly three times higher than in 2020.
- Older Americans alone lost $445 million to impersonation scams during 2024\.
While not all of those scams involved AI-generated voices, regulators increasingly warn that generative AI is making impersonation fraud far more convincing and much harder to detect.
## Regulators have been sounding the alarm
The complaint builds on several years of growing concern inside the FTC.
In 2023, the agency launched its Voice Cloning Challenge, seeking technologies capable of authenticating voices, detecting AI-generated speech and limiting misuse before consumers become victims. FTC officials [warned](https://www.ftc.gov/news-events/news/press-releases/2023/11/ftc-announces-exploratory-challenge-prevent-harms-ai-enabled-voice-cloning?utm%5Fsource=chatgpt.com) at the time that voice cloning could dramatically increase fraud against consumers while also threatening performers, artists and other creators whose voices could be copied without permission.
Consumer organizations have also urged the FTC to adopt rules that would allow regulators to pursue AI developers and service providers when they knowingly—or they should reasonably know—their technologies are facilitating fraud.
## The broader debate: Who is responsible?
The Speechify complaint highlights a rapidly emerging legal question.
Traditionally, regulators have focused enforcement on the scammers themselves.
Consumer advocates increasingly argue that AI companies should also bear responsibility when they release products that make fraud easy while failing to implement reasonable safeguards.
Possible safeguards include:
- Strong identity verification before voice cloning
- Multi-factor consent from the person whose voice is being copied
- Digital watermarking of synthetic audio
- Detection systems that flag suspicious activity
- Limits on anonymous or mass-generated voice cloning
Technology companies generally respond that these tools have many beneficial uses and that responsibility lies primarily with criminals who misuse them.
Exactly where regulators draw that line could shape the next generation of AI regulation.
## What consumers can do
Experts recommend taking several steps to reduce the risk of AI voice scams:
- **Create a family "safe word."** Agree on a phrase known only to close family members that can verify an emergency call is genuine.
- **Slow down.** Scammers rely on panic and urgency.
- **Verify independently.** Hang up and call the person back using a trusted phone number.
- **Never send money immediately** based solely on a phone call.
- **Be cautious about publicly posted recordings.** Podcasts, social media videos and other online recordings can provide source material for voice cloning.
## What this means for consumers
The complaint is unlikely to produce immediate enforcement action, but it signals that consumer groups are shifting their focus beyond individual scammers to the companies that build AI tools.
If regulators agree, AI developers may be required to implement much stronger identity verification, consent procedures and fraud-prevention systems before consumers can use voice-cloning services.
That could make AI voice tools slightly less convenient—but potentially much safer.
## Bottom line
AI voice cloning has moved from science fiction to consumer reality in just a few years. The same technology that can restore speech to patients or produce natural-sounding audio books can also make scams dramatically more believable.
CFA's complaint against Speechify reflects a broader shift in consumer protection policy: rather than pursuing only the criminals who exploit AI, regulators are increasingly being asked to examine whether the companies building these technologies are doing enough to prevent foreseeable harm.
If the FTC takes up the case, it could become one of the first major tests of how much responsibility AI platforms bear when their products become tools of consumer fraud.
### FDA advisers vote to bring unproven peptides out of the shadows — and into compounding pharmacies
URL: https://www.consumernews.ai/fda-advisers-vote-to-bring-unproven-peptides-out-of-the-shadows-and-into-compounding-pharmacies/
Last updated: 2026-07-26T18:50:52.000Z
Peptides, the latest obsession of the wellness industry, may soon become much easier for consumers to obtain — despite major unanswered questions about what they do and whether they are safe.
The Food and Drug Administration’s [Pharmacy Compounding Advisory Committee](https://www.fda.gov/advisory-committees/human-drug-advisory-committees/pharmacy-compounding-advisory-committee?ref=consumernews.ai) voted Friday to recommend that six widely promoted peptides be added to a federal list of substances that compounding pharmacies may use to prepare prescription drugs.
The committee backed BPC-157, KPV, TB-500, MOTS-c, epitalon and Semax. It rejected a seventh substance, emideltide, sometimes called delta sleep-inducing peptide. The recommendation is not binding, and the FDA must still decide whether to change its rules, according to [MarketWatch](https://www.marketwatch.com/story/fda-advisers-vote-against-sleep-peptide-as-they-debate-safety-and-health-claims-2bc85739?utm%5Fsource=chatgpt.com).
The vote could nevertheless represent a turning point for a largely underground industry.
Until now, consumers seeking substances such as BPC-157 have generally obtained them from overseas suppliers or websites that label the products “for research use only” even though buyers may inject or swallow them. If the FDA follows the committee’s recommendation, licensed compounding pharmacies could begin producing the peptides for patients with prescriptions.
That would provide more oversight than the current gray market. It could also create a powerful — and potentially misleading — impression that the products have been proven safe and effective.
They have not.
[Peptide News TrackerFDA weighs loosening restrictions on experimental peptides amid safety concernsPush backed by Robert F. Kennedy Jr., but scientists warn of limited safety dataConsumerNews.aiJames R. HoodUnproven, unregulated and coming to a pharmacy near you: The Peptide GambleRFK Jr. wants everyone to have access to dangerous, unregulated drugsConsumerNews.aiJames R. HoodConsumerNews.aiJames R. Hood](https://www.consumernews.ai/peptide-news-tracker/)
## From the gray market to telehealth
[**BPC-157**](https://en.wikipedia.org/wiki/BPC-157?ref=consumernews.ai) is perhaps the best-known of the peptides considered by the committee. Influencers, podcasters, wellness clinics and fitness enthusiasts promote it as a treatment for damaged muscles, tendons, joints and digestive problems.
[**TB-500**](https://en.wikipedia.org/wiki/TB-500?ref=consumernews.ai) is often marketed for injury recovery and is sometimes combined with BPC-157 in a package promoters call the “Wolverine Stack,” a reference to the comic-book character’s ability to heal rapidly.
**KPV** is promoted for inflammation, [**MOTS-c**](https://en.wikipedia.org/wiki/MOTS-c?ref=consumernews.ai) for metabolism and endurance, [**epitalon**](https://en.wikipedia.org/wiki/Epitalon?ref=consumernews.ai) for longevity and [**Semax**](https://en.wikipedia.org/wiki/Semax?ref=consumernews.ai) for cognitive performance.
But the enthusiasm is running well ahead of the science.
FDA researchers told the committee that the available evidence for BPC-157 was weak and that basic questions remain about its composition, manufacturing and effects. The agency said it found no studies in which BPC-157 was administered to humans through the proposed oral, injectable, nasal or transdermal routes.
The agency had [formally recommended](https://www.fda.gov/media/193342/download?ref=consumernews.ai) that none of the seven peptides be placed on the compounding list.
The committee disagreed.
BPC-157, KPV and TB-500 reportedly won 8–6 votes, while MOTS-c passed 7–5\. The remaining votes produced recommendations for epitalon and Semax, while emideltide was rejected.
Source: Amazon
## Why supporters favor pharmacy access
Supporters of the change argued that consumers are already using the substances and that licensed pharmacies would provide a safer alternative to anonymous online vendors.
Many peptide sellers operate outside the United States, provide little information about where their products are manufactured and avoid making explicit claims that the products are intended for unsupervised use by consumers.
But what the ads don't say is that consumers may have no practical way to determine whether a vial contains the advertised peptide, the proper dose, bacterial contamination, unwanted byproducts or an entirely different substance.
Compounding pharmacies, by contrast, are licensed and generally require a prescription. Telehealth companies told the advisory committee that bringing the products into a supervised medical system would allow for physician involvement, monitoring and better sourcing standards, [The Atlantic](https://www.theatlantic.com/health/2026/07/peptide-bpc157-fda-compounding-pharmacy/688052/?gift=PN5TFBxKshWMljkNpkr7VAZVa9Pj1Psb%5Fc8ZXvcRKmQ&ref=consumernews.ai) reported.
That argument has some merit. But it does not answer the most important question: Should a substance be prescribed simply because people are already buying it illegally or unsafely?
## Compounded does not mean approved
The distinction between an FDA-approved drug and a compounded drug is likely to be increasingly important if peptides enter mainstream telehealth.
FDA-approved drugs ordinarily undergo laboratory testing, clinical trials, manufacturing reviews and continuing safety monitoring. The agency evaluates whether the drug works for a particular condition, what dose should be used, which side effects may occur and whether the benefits outweigh the risks.
Compounded drugs do not go through that process.
The FDA says it [does not review compounded drugs](https://www.fda.gov/drugs/human-drug-compounding/compounding-and-fda-questions-and-answers?ref=consumernews.ai) for safety, effectiveness or quality before they are marketed.
A compounded peptide could therefore be legally dispensed without ever having demonstrated that it heals injuries, reduces inflammation, improves endurance or extends life.
Consumers may see a prescription bottle, a pharmacy label and a telehealth doctor on a video screen and reasonably assume that the treatment has received the same scrutiny as an ordinary prescription medication.
That assumption would be wrong.
## FDA identified significant risks
The agency has placed many peptides in a category reserved for bulk substances that raise [significant safety concerns](https://www.fda.gov/drugs/human-drug-compounding/bulk-drug-substances-used-compounding-under-section-503a-fdc-act?ref=consumernews.ai) while they are being evaluated for possible use in compounding.
For BPC-157, FDA officials have cited potential immune reactions, peptide impurities and difficulties determining the precise identity and quality of the active ingredient. The agency says it has [only limited safety information](https://www.fda.gov/drugs/human-drug-compounding/certain-bulk-drug-substances-use-compounding-may-present-significant-safety-risks?ref=consumernews.ai) and cannot determine whether the substance would cause harm through the proposed methods of administration.
For MOTS-c, the FDA said it had found no human-exposure data for drug products containing the peptide.
For TB-500, the agency similarly said it had identified no human-exposure data and warned of possible immune reactions, aggregation and peptide-related impurities.
These concerns are not minor technicalities. Peptides are chains of amino acids that can be difficult to manufacture consistently. Small changes in sequence, purity, storage or formulation may affect how the immune system responds.
FDA researchers have also [questioned](https://www.fda.gov/media/193343/download?ref=consumernews.ai) whether references to a peptide’s name always identify the same chemical substance. BPC-157, for example, may be supplied as a free base, acetate salt or other form, and the forms may not necessarily be interchangeable.
## A new peptide gold rush
The committee vote may be especially significant for telehealth companies and wellness clinics.
The rapid expansion of compounded GLP-1 weight-loss drugs demonstrated how quickly telehealth companies can build nationwide businesses around products prepared by compounding pharmacies.
Peptides offer a similarly attractive market. Instead of selling one product for one condition, companies could market a menu of substances for recovery, inflammation, metabolism, sleep, mental performance and longevity.
Several telehealth companies have already indicated that they are interested in offering BPC-157 if FDA policy changes.
The likely sales pitch is easy to imagine: personalized prescriptions, convenient home delivery, medical supervision and pharmaceutical-quality ingredients.
But a doctor’s prescription cannot substitute for evidence.
A brief telehealth consultation also does not resolve uncertainty about long-term effects, drug interactions, appropriate dosing or whether the claimed benefits exist at all.
## Politics helped drive the change
The peptide debate has also become entwined with the Trump administration’s broader effort to expand access to experimental and alternative treatments.
Health and Human Services Secretary Robert F. Kennedy Jr. has publicly expressed enthusiasm for peptides and said he wants them to be more accessible. The advisory committee was reconstituted shortly before the vote with several new members, including people associated with telehealth or wellness businesses, [The Atlantic](https://www.theatlantic.com/health/2026/07/peptide-bpc157-fda-compounding-pharmacy/688052/?gift=PN5TFBxKshWMljkNpkr7VAZVa9Pj1Psb%5Fc8ZXvcRKmQ&ref=consumernews.ai) noted.
Committee supporters framed access as a matter of patient choice and harm reduction.
FDA career scientists took a more traditional position: Before drugs are widely marketed, manufacturers should show what the products contain, whether they work and what risks they pose.
The committee sided largely with the access argument.
## What consumers should know
Consumers considering a peptide should ask several questions before handing over money or injecting anything:
**Is the peptide FDA-approved for this use?**
Being available from a compounding pharmacy does not mean the FDA has approved the product.
**What human evidence supports the promised benefit?**
Animal studies, laboratory findings and testimonials are not substitutes for controlled clinical trials.
**Who made the active ingredient?**
Ask whether it was manufactured in the United States, whether the pharmacy tests each batch and whether a certificate of analysis is available.
**What risks are known — and unknown?**
A provider should be able to discuss possible immune reactions, contamination, interactions and the lack of long-term safety information.
**Will the prescriber monitor you?**
A one-time questionnaire followed by automatic refills is not meaningful medical supervision.
**How are side effects reported?**
Consumers should know whom to contact and whether adverse events will be reported to the FDA.
## The bottom line
Moving peptides into licensed pharmacies could reduce some of the hazards posed by anonymous online sellers and poorly labeled overseas products.
But safer manufacturing does not prove that a treatment works.
The committee’s vote risks creating a new class of quasi-approved wellness drugs — products that carry the appearance of medical legitimacy without the clinical evidence normally required of prescription medicines.
The FDA now faces a consequential decision. It can accept the committee’s recommendations and allow the peptide market to expand through compounding pharmacies, or it can follow the advice of its own scientists and demand stronger evidence first.
For consumers, the essential warning remains the same: A prescription is not proof, a pharmacy label is not FDA approval, and popularity is not evidence.
### Trump’s CFPB nominee says he won’t eliminate the agency — but its future remains uncertain
URL: https://www.consumernews.ai/trumps-cfpb-nominee-says-he-wont-eliminate-the-agency-but-its-future-remains-uncertain/
Last updated: 2026-07-25T22:02:42.000Z
President Trump’s nominee to lead the Consumer Financial Protection Bureau says he does not intend to eliminate the agency, putting some distance between himself and administration officials who have openly called for its closure.
Appearing before the Senate Banking Committee, Brian Johnson was asked whether he supported doing away with the CFPB.
“That is not my intention,” Johnson replied. “The CFPB is a creature of statute.”
“My intention is to execute the law,” he added, according to [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/07/24/cfpb-director-nominee-brian-johnson-wont-endorse-eliminating-the-cfpb/?utm%5Fsource=chatgpt.com).
The answer may reassure consumers worried that the federal government’s principal financial watchdog could disappear altogether. But Johnson offered fewer assurances about whether the bureau would retain enough employees, resources and enforcement authority to perform the duties Congress assigned to it.
Johnson said he would keep an “open mind” about the administration’s pending plan to dismiss most of the CFPB’s remaining workforce and would review staffing needs before making a decision.
That leaves the central question unresolved: Even if the CFPB continues to exist legally, will it remain capable of protecting consumers?
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
Image: ChatGPT
## A softer tone, but few firm commitments
Johnson’s statements represented a notable change in tone from Acting CFPB Director Russell Vought, who has sharply criticized the agency and oversaw efforts to halt much of its work and dramatically reduce its staff.
Federal courts blocked parts of the administration’s attempt to dismantle the bureau, while litigation over the proposed workforce reductions has continued. During Vought’s tenure, the CFPB suspended or abandoned numerous enforcement cases and sharply curtailed regulatory and supervisory activity.
Johnson did not endorse those efforts outright. But he also did not promise to reverse them.
He said he would assess the bureau’s staffing and organization after taking office, leaving open the possibility that the CFPB could remain a much smaller and less aggressive agency.
For consumers, that distinction matters. Congress can preserve an agency on paper while an administration limits its effectiveness by reducing staff, abandoning investigations, narrowing enforcement standards or declining to write new rules.
## Who is Brian Johnson?
Johnson is currently a vice president and U.S. card compliance officer at Capital One. He previously served as the CFPB’s deputy director during President Trump’s first term, working under former Director Kathy Kraninger.
In that role, Johnson helped oversee the bureau’s rulemaking, supervision and enforcement operations. He later worked for Patomak Global Partners, a Washington consulting firm serving financial-industry clients.
Johnson has been a longtime critic of the CFPB’s structure and has previously supported proposals that would subject the agency to congressional appropriations and reduce its independence. At the same time, former colleagues have described him as an experienced consumer-finance lawyer who favors restructuring the CFPB rather than eliminating it entirely.
His current employment at Capital One has created potential conflicts of interest because the CFPB regulates the bank and recently dropped an [enforcement case](https://www.consumernews.ai/capital-ones-425-million-customer-payout-stalled-by-appeal/) involving it.
Johnson has agreed to recuse himself from Capital One matters for two years if he is confirmed. He would also forfeit unvested Capital One shares, [Banking Dive](https://www.bankingdive.com/news/cfpb-brian-johnson-recuse-capital-one/825795/?utm%5Fsource=chatgpt.com) reported.
## Why the CFPB matters to consumers
Congress created the CFPB through the 2010 [Dodd-Frank financial reform law](https://www.congress.gov/111/plaws/publ203/PLAW-111publ203.pdf?ref=consumernews.ai) after the mortgage and lending abuses that contributed to the 2008 financial crisis.
The bureau supervises large banks, mortgage companies, credit bureaus, debt collectors, payday lenders, student-loan servicers and other financial businesses. It also accepts consumer complaints, writes financial-protection rules and brings enforcement cases against companies accused of violating federal law.
Since beginning operations in 2011, CFPB enforcement and supervisory work has produced more than $21 billion in monetary compensation, canceled debts, principal reductions and other forms of consumer relief, according to the bureau.
More than 205 million consumers or consumer accounts have been eligible for relief resulting from that work.
Among its largest distributions was a $1.8 billion payment program for 4.3 million consumers charged allegedly illegal fees by credit-repair companies including Lexington Law and CreditRepair.com.
The CFPB also operates a Civil Penalty Fund that uses penalties collected from lawbreaking companies to compensate consumers who otherwise might never recover their losses.
## The agency has survived legal challenges
Opponents have repeatedly challenged the CFPB’s structure and funding in court.
In 2020, the [Supreme Court ruled](https://www.supremecourt.gov/opinions/23pdf/22-448%5Fo7jp.pdf?ref=consumernews.ai) that presidents must be able to remove the CFPB director at will, eliminating a provision that had protected the director from dismissal without cause. The court nevertheless allowed the bureau itself to continue operating.
In May 2024, the Supreme Court [rejected another sweeping challenge](https://www.supremecourt.gov/opinions/23pdf/22-448%5Fo7jp.pdf?ref=consumernews.ai), ruling 7-2 that the CFPB’s funding mechanism complies with the Constitution’s Appropriations Clause.
Those decisions mean a president cannot simply declare the bureau nonexistent. Congress created the CFPB by statute, and Congress would generally have to pass new legislation to abolish it.
An administration can, however, sharply reduce the agency’s operations through personnel decisions, enforcement priorities, funding requests and regulatory policy.
That is why Johnson’s refusal to endorse abolition does not settle the CFPB’s future.
## The enforcement question
The most consequential issue may not be whether the letters “CFPB” remain on an office door. It may be whether the agency continues investigating banks and financial companies accused of harming consumers.
Under acting leadership, the bureau dropped or withdrew several major enforcement actions, including cases involving Capital One and the bank-owned Zelle payment network.
The administration also moved to reverse or abandon rules addressing overdraft charges, credit-card late fees and other expenses paid by consumers.
Supporters of the changes say the previous CFPB imposed excessive costs, discouraged financial innovation and pursued enforcement cases without sufficiently clear legal standards.
The bureau’s current website cites a Council of Economic Advisers estimate claiming that CFPB regulation has cost consumers between $237 billion and $369 billion since 2011\.
Consumer advocates strongly dispute that portrayal. They argue that the agency has returned billions of dollars to victims, deterred illegal conduct and given consumers a central place to report problems involving mortgages, credit cards, credit reports, debt collection and digital payments.
[Where to complain when the CFPB doesn’t actWho do you complain to when the complaint agencies are muzzled and defanged?ConsumerNews.aiThe Editors](https://www.consumernews.ai/where-to-complain-when-the-cfpb-doesnt-act/)
## What consumers should watch
Johnson’s confirmation hearing produced a statement in favor of following the law, but few concrete promises about how aggressively he would enforce it.
The most important indicators will be measurable:
- Whether the CFPB restores investigators, examiners and complaint-processing staff.
- Whether it resumes enforcement cases against major financial institutions.
- Whether companies that violate consumer laws are required to repay harmed customers.
- Whether complaints continue to be forwarded to companies and resolved promptly.
- Whether the bureau publishes reliable information about emerging financial products, fees and scams.
- And whether Johnson operates independently when cases involve Capital One or other former employers and clients.
The Senate Banking Committee must vote on Johnson’s nomination before it can advance to the full Senate. Republicans control the committee, making confirmation likely unless opposition develops within the majority.
## What consumers can do now
Consumers should continue submitting complaints through the CFPB when they encounter unresolved problems involving credit cards, mortgages, bank accounts, credit reports, debt collection, student loans or money-transfer services.
A complaint creates a documented record and may be forwarded to the financial company for a response. Even if enforcement activity remains limited, complaint data can help state regulators, attorneys general, journalists and private lawyers identify patterns of abuse.
Consumers can also complain to:
- Their state attorney general
- Their state banking or financial-services regulator
- The Federal Trade Commission
- The Office of the Comptroller of the Currency, for many national banks
- The National Credit Union Administration, for federally insured credit unions
Johnson’s assurance that he does not intend to eliminate the CFPB is significant. But consumers will ultimately judge his tenure not by whether the agency technically survives, but by whether it once again produces investigations, enforcement orders and refunds for people harmed by financial companies.
### Skinny but bald? GLP-1 drugs linked to increased risk of hair loss
URL: https://www.consumernews.ai/skinny-but-bald-glp-1-drugs-linked-to-increased-risk-of-hair-loss/
Last updated: 2026-07-25T21:06:47.000Z
Popular weight-loss and diabetes drugs may come with an unexpected tradeoff: Patients may lose pounds — and some may also lose hair.
Adults taking GLP-1 medications such as Ozempic, Wegovy, Mounjaro and Zepbound were more likely to develop [alopecia](https://www.mayoclinic.org/diseases-conditions/hair-loss/symptoms-causes/syc-20372926?ref=consumernews.ai) than people taking two other types of diabetes drugs, according to a new University of Pennsylvania study [published in The BMJ](https://www.bmj.com/content/394/bmj-2026-100077?ref=consumernews.ai).
The study found that GLP-1 users had a 37% higher risk of hair loss than patients taking SGLT-2 inhibitors, a class that includes Jardiance and Farxiga. The risk was 68% higher when GLP-1 users were compared with patients taking DPP-4 inhibitors, which include Januvia and Tradjenta.
Those relative increases sound dramatic, but the researchers emphasized that hair loss remained uncommon. Depending on the comparison group, the annual rate ranged from approximately three to nine cases per 1,000 patients.
In other words, the vast majority of patients did not receive a hair-loss diagnosis.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
## What the researchers studied
The researchers examined medical records from adults with Type 2 diabetes who began treatment between January 2019 and September 2024.
One analysis compared 12,004 GLP-1 users with 15,221 patients taking SGLT-2 inhibitors. A second compared 11,964 GLP-1 users with 11,233 patients taking DPP-4 inhibitors.
The researchers adjusted their calculations for differences such as age, weight and underlying health conditions. The patients were followed for an average of about 2.7 years, [Sky News](https://news.sky.com/story/weight-loss-drugs-linked-to-increase-risk-of-hair-loss-researchers-say-13566156?utm%5Fsource=chatgpt.com) reported.
The association was concentrated primarily in non-scarring alopecia, meaning the hair follicles are not permanently destroyed and the hair may be capable of growing back.
The study was observational, however, so it cannot prove that the medication itself caused the hair loss. Patients prescribed the different drugs may have differed in ways the researchers could not fully measure.
The study also examined adults using the drugs for diabetes. The findings may not apply precisely to people taking higher doses solely for obesity treatment.
## Why weight loss can make hair fall out
One likely explanation is a condition called [telogen effluvium](https://my.clevelandclinic.org/health/diseases/24486-telogen-effluvium?ref=consumernews.ai).
Hair normally cycles through growing, resting and shedding phases. Major physical stress — including surgery, illness, childbirth or rapid weight loss — can push an unusually large number of follicles into the resting phase.
The resulting shedding often begins several months after the triggering event, which can make the connection difficult for patients to recognize.
Reduced appetite and calorie intake may also leave some GLP-1 users short of nutrients needed for normal hair growth, including:
- Iron
- Zinc
- Protein
- Vitamin D
- Vitamin B12
- Folate
The researchers said hormonal, metabolic and immune-system effects may also play a role. Delayed stomach emptying, a known effect of GLP-1 drugs, could potentially affect the absorption of oral medications, including thyroid or hormone therapies.
That means the drugs may not be the only factor. Rapid weight loss, nutritional changes and underlying thyroid or endocrine problems may all contribute.
## Relative risk versus actual risk
The headline number — a 68% increase — is a relative-risk figure.
The more useful number for an individual patient is the absolute risk.
Researchers recorded only a few additional hair-loss cases per 1,000 patients each year. One comparison translated roughly to seven cases among 1,000 GLP-1 users, versus five among SGLT-2 users and four among DPP-4 users.
That does not make hair loss trivial. Even temporary thinning can affect self-esteem, quality of life and willingness to continue treatment.
But the findings do not suggest that most patients taking GLP-1 drugs will become noticeably bald.
## What consumers should do
Patients who notice increased shedding should not abruptly stop taking a diabetes or weight-loss medication.
Stopping treatment can cause blood sugar to rise and may result in rapid weight regain. Instead, patients should contact the clinician prescribing the medication.
A medical evaluation may include:
- Reviewing how quickly the patient is losing weight
- Checking whether enough calories and protein are being consumed
- Testing for anemia or low iron
- Checking thyroid function
- Reviewing zinc, vitamin D, B12 and other nutrient levels when appropriate
- Looking for other medications or health conditions that can cause hair loss
- Determining whether the pattern looks like temporary shedding or another type of alopecia
Patients should also be cautious about self-treating with high-dose biotin or other “hair growth” supplements. Biotin deficiency is uncommon, and large doses can interfere with laboratory tests, including some thyroid and cardiac tests.
Adequate protein and a balanced diet are generally more useful than indiscriminately taking supplements. A physician or registered dietitian can help patients losing weight rapidly make sure they are still getting enough nutrients.
## When to seek prompt medical advice
Patients should contact a healthcare professional promptly if hair loss:
- Occurs in clearly defined bald patches
- Includes redness, pain, itching, scaling or scarring
- Is accompanied by severe fatigue, weakness or unexplained bruising
- Affects the eyebrows or other body hair
- Continues to worsen for several months
- Begins after severe vomiting or an inability to eat
These symptoms may point to an autoimmune disorder, thyroid problem, nutritional deficiency or another condition that requires treatment.
## The bottom line
GLP-1 drugs have well-established benefits for blood-sugar control, weight reduction and lowering some obesity-related health risks. For many patients, those benefits will outweigh a relatively small possibility of hair loss.
But hair loss deserves a place in the conversation before treatment begins — particularly for patients who are likely to lose weight rapidly, already have thinning hair or have a history of anemia, thyroid disease or restrictive eating.
The new study does not show that GLP-1 drugs inevitably cause baldness. It does suggest that unexplained shedding should not simply be dismissed as vanity or coincidence.
For most affected patients, the follicles appear to remain intact, meaning that correcting nutritional problems, slowing excessive weight loss or addressing another underlying cause may allow the hair to return.
### National Safety Recalls - July 25
URL: https://www.consumernews.ai/national-safety-recalls-july-25/
Last updated: 2026-07-26T15:59:03.000Z
## Massive egg recall — possible Salmonella
**Midwest Poultry Services is recalling nearly 1.59 million dozen eggs** produced in Texas because they may be contaminated with *Salmonella Enteritidis*.
The recall includes white eggs and brown cage-free eggs sold under brands including **Kroger, Simple Truth, Brookshire’s, Country Morning and Sunups**. Affected cartons have plant codes **P-1950 or 0840962**, Julian dates **157 through 184**, and sell-by or best-by dates from **July 20 through August 17, 2026**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/midwest-poultry-services-lp-recalls-shell-eggs-due-possible-salmonella-enteritidis-contamination?ref=consumernews.ai))
The eggs were shipped to retailers and food-service customers in Texas, Oklahoma and Louisiana, with some Brookshire’s distribution extending into Arkansas, New Mexico and Mississippi. No illnesses had been specifically linked to the eggs when the recall was announced. Consumers should not eat them and should return them for a refund. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/midwest-poultry-services-lp-recalls-shell-eggs-due-possible-salmonella-enteritidis-contamination?ref=consumernews.ai))
### Fabric dressers — child tip-over and entrapment hazards
CPSC announced two substantial furniture recalls:
**EnHomee nine-drawer fabric dressers — 16,809 units**
Sold on Walmart.com. The dressers are unstable if not anchored and can tip over onto children, causing serious injury or death. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/EnHomee-9-Drawer-Fabric-Dressers-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violates-Mandatory-Standard-for-Clothing-Storage-Units-Sold-on-Walmart-com-by-Raybee-Direct?utm%5Fsource=chatgpt.com))
**Romorgniz 12-drawer fabric dressers — 10,040 units**
Sold on Amazon. These also violate mandatory stability standards and pose deadly tip-over and entrapment hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/12-Drawer-Fabric-Dressers-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violate-Mandatory-Standard-for-Clothing-Storage-Units-Sold-on-Amazon-by-Romorgniz?utm%5Fsource=chatgpt.com))
Consumers should immediately keep children away from unanchored dressers and follow the recall instructions for disposal and a refund.
### Pool drain covers — deadly entrapment and drowning risk
Two brands of replacement pool-drain covers sold on Amazon violate federal entrapment-protection requirements:
- **Sviyatp pool drain covers — about 670**
- **OeyUoc pool drain covers — about 404**
CPSC says swimmers can become trapped by the suction at the drain. Owners and pool operators should stop using affected pools until a compliant cover is installed. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Sviyatp-Pool-Drain-Covers-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Entrapment-and-Drowning-Hazards-Violate-Virginia-Graeme-Baker-Pool-Spa-Safety-Act?utm%5Fsource=chatgpt.com))
### Pull-string teething toys — choking and respiratory distress
Several pull-string teethers were recalled because their long, narrow silicone strings can reach the back of a child’s throat and become lodged:
- **Sili Factory pull-string teethers — about 5,918 units**
- **CuddleCubs Creations highchair teething sets — about 106 units**
CPSC has received one report involving a Sili Factory toy that reached the back of a child’s throat and caused gagging. Consumers should take the toys away from children immediately. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Aojieni-Silicone-Recalls-Sili-Factory-Pull-String-Teething-Toys-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Violate-Mandatory-Standard-for-Toys?utm%5Fsource=chatgpt.com))
### Other new CPSC recalls
**Peony Design personalized baby bibs and stroller bags — about 52 units**
Snaps can detach and become a choking hazard. Three broken-snap incidents have been reported, but no injuries. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Peony-Design-Recalls-Personalized-Baby-Bibs-and-Stroller-Bags-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Hazard?utm%5Fsource=chatgpt.com))
### Other FDA action
**Sprig & Sprout and Fresh and Ready spicy breakfast burritos** were recalled because sausage may have been placed in products labeled vegetarian, introducing an undeclared soy allergen. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
### NHTSA and USDA FSIS
No newer major NHTSA consumer recall alert appeared after the July 9 Kia Telluride park-outside warning. No new FSIS meat or poultry recall dated July 22 or July 23 was confirmed in the official listings during this check.
### 1-800-Flowers hit for self-renewing subscriptions
URL: https://www.consumernews.ai/1-800-flowers-hit-for-self-renewing-subscriptions/
Last updated: 2026-07-24T19:40:38.000Z
New York Attorney General Letitia James [secured $375,000 from 1-800-Flowers.com, Inc.](https://ag.ny.gov/sites/default/files/settlements-agreements/1-800-flowers.com-inc-assurance-of-discontinuance-2026.pdf?ref=consumernews.ai) for misleading consumers and enrolling customers in automatically-renewing paid subscriptions.
1-800-Flowers sells flowers, food, and other gifts through a host of brands, including 1-800-Flowers.com, 1-800-Baskets.com, Cheryl’s Cookies, Harry & David, Shari’s Berries, The Popcorn Factory, and more.
An investigation by the Office of the Attorney General found that 1-800-Flowers failed to clearly disclose the terms of a subscription service that included free shipping, failed to provide consumers with the subscription acknowledgment required by New York law, and did not notify subscribers before the subscription renewed automatically.
As a result, many customers did not realize they had signed up for a yearly subscription and were charged recurring fees for a service they never used. Under the settlement with OAG, 1-800-Flowers must pay $375,000 in penalties, change its subscription practices, and offer restitution to subscribers.
“Companies that trick consumers into signing up for recurring subscriptions are breaking the law and costing New Yorkers their hard-earned money,” James said. “1-800-Flowers buried their terms in fine print and failed to warn consumers they were signing up for automatically renewing subscriptions."
New York law requires subscription terms to be clearly disclosed to customers, including the minimum term length, the fact that the subscription renews, and the cancellation policy. Businesses must also get affirmative consent for automatic renewals, provide a post-purchase acknowledgment, and offer an easy cancellation process.
### Celebrations Passport
1-800-Flowers offers a “Celebrations Passport” subscription across its brands that eliminates shipping fees and service charges on orders for a yearly fee priced between $14.99 and $29.99\.
The OAG found that between February 2021 and June 2022, 1-800-Flowers’ subscription terms were disclosed only in fine print, in linked terms and conditions, or in pop-out boxes a consumer had to click on to view. 1-800-Flowers also did not provide consumers with an adequate post-purchase acknowledgment and did not give them sufficient notice prior to renewal.
The OAG, the Federal Trade Commission (FTC), and the Better Business Bureau (BBB) received complaints from consumers misled by recurring 1-800-Flowers subscriptions.
- One customer reported that they could not find an option to cancel their subscription on 1-800-Flowers.com, nor could they find any guidance on how to cancel by phone or mail. The customer also noted there was no clear way to remove their payment information to avoid recurring charges.
- Another customer described their frustration after discovering they had been charged for the service for two years without receiving any notification. When they called to ask for a refund, they were told 1-800-Flowers’ policy was not to offer a refund more than 30 days after a purchase.
The OAG settlement requires 1-800-Flowers to pay $375,000 in penalties and provide refunds to eligible New York subscribers who filed complaints with the company or with OAG, FTC, or BBB. 1-800-Flowers will also provide restitution to eligible consumers nationwide who purchased the Celebrations Passport but did not use the subscription benefits.
In addition to paying penalties and restitution, 1-800-Flowers must improve its disclosures, get informed affirmative consent from subscribers who sign up for recurring subscriptions, provide customers with a subscription acknowledgment that includes cancellation information, and sufficiently notify consumers before their subscription renews.
### Judge questions whether 69,000 J&J talc plaintiffs can prove powder caused their cancer
URL: https://www.consumernews.ai/judge-questions-whether-69-000-j-j-talc-plaintiffs-can-prove-powder-caused-their-cancer/
Last updated: 2026-07-28T17:28:33.000Z
A federal judge has raised a potentially case-ending question for approximately 69,000 women who say Johnson & Johnson’s talc products caused their ovarian cancer: Can they prove that the powder caused the cancer of each individual plaintiff?
U.S. Magistrate Judge Rukhsanah Singh, who is helping oversee the massive federal talc litigation in New Jersey, said testimony from two of the plaintiffs’ medical experts created serious doubts about whether the women can offer legally admissible evidence connecting their individual cancers to talc exposure.
The judge ordered the plaintiffs to respond by Nov. 19 and explain why their cases should not be dismissed.
[Talcum Powder NewsTrackerJ&J offers $5.5 billion to settle 76,000 talcum powder cancer claimsThe proposed settlement would resolve nearly all remaining lawsuits alleging Johnson & Johnson’s talc-based powders caused ovarian cancer.ConsumerNews.aiThe EditorsTalc lawsuit checklist: What records to preserve nowIf you’ve been diagnosed with ovarian cancer orConsumerNews.aiJames R. Hood](https://www.consumernews.ai/talcum-powder-newstracker/)
The order does not immediately throw out the lawsuits. But it puts the plaintiffs under pressure to show that their experts can do more than testify that talc might increase the general risk of ovarian cancer. They must also offer a scientifically reliable basis for concluding that talc probably caused a particular woman’s cancer.
That is often one of the most difficult hurdles in toxic-exposure litigation.
“This is not an instant dismissal,” Singh wrote, according to a report in [Insurance Journal](https://www.insurancejournal.com/news/national/2026/07/23/878767.htm?ref=consumernews.ai). But she questioned how any plaintiff could meet her burden of proof if the experts could not rule out other possible causes of the disease.
[Talc lawsuit checklist: What records to preserve nowIf you’ve been diagnosed with ovarian cancer or mesothelioma after using talc products, it’s important to keep track of all aspects of your case.ConsumerNews.aiThe Editors](https://www.consumernews.ai/talc-lawsuit-checklist-what-records-to-preserve-now/)
## Why the distinction matters
Product-liability cases frequently require plaintiffs to prove two different propositions.
The first is **general causation**: whether a product is capable of causing a particular disease.
The second is **specific causation**: whether the product more likely than not caused the disease suffered by the individual bringing the lawsuit.
A scientific study may show that a group exposed to a substance had a somewhat higher incidence of cancer. That does not necessarily establish that the substance caused one particular person’s cancer, especially when the disease has several known or possible risk factors.
The J&J plaintiffs’ experts, Judith Wolf and Daniel Clarke-Pearson, reportedly acknowledged during testimony that they could not completely exclude other potential causes of the six women’s cancers selected for the first federal test trials. Those cases are intended to serve as “bellwethers,” helping the parties and the court assess the strengths, weaknesses and possible settlement value of the remaining claims.
If the plaintiffs cannot satisfy the court’s evidentiary standard, the result could be dismissal of many — and possibly most — of the federal ovarian-cancer cases before juries hear them.
## The ruling does not settle the scientific debate
Johnson & Johnson said the order moves the litigation closer to what it called the “complete dismissal” of the talc claims. The company has long maintained that its talc products were safe and did not contain asbestos.
But the judge’s causation questions do not amount to a finding that talc can never contribute to ovarian cancer.
Scientific authorities continue to describe the evidence as concerning but not conclusive.
The [American Cancer Society](https://www.cancer.org/cancer/risk-prevention/chemicals/talcum-powder-and-cancer.html?ref=consumernews.ai) says studies of personal talcum-powder use have produced mixed results, although some suggest a possible increase in ovarian-cancer risk. It also notes that asbestos-containing talc is carcinogenic.
In 2024, the [International Agency for Research on Cancer](https://www.iarc.who.int/wp-content/uploads/2024/07/pr352%5FE.pdf?ref=consumernews.ai), part of the World Health Organization, classified talc as “probably carcinogenic to humans.” The classification was based on limited evidence involving ovarian cancer in humans, sufficient evidence in experimental animals and strong evidence concerning biological mechanisms associated with cancer.
An IARC classification identifies the strength of evidence that an agent can cause cancer. It does not measure the size of the risk from a particular level or type of exposure.
The [FDA](https://www.fda.gov/cosmetics/cosmetic-ingredients/talc?ref=consumernews.ai) says pure talc is generally considered safe but can sometimes be contaminated with asbestos because the two minerals can occur near each other underground. Asbestos is a known carcinogen, and the FDA has conducted periodic testing of talc-containing cosmetics.
## A litigation fight years in the making
The federal cases are part of multidistrict litigation known as [MDL 2738](https://www.njd.uscourts.gov/johnson-johnson-talcum-powder-litigation?ref=consumernews.ai), which consolidates similar lawsuits for pretrial proceedings in the U.S. District Court for New Jersey.
The litigation was effectively frozen for more than three years while J&J repeatedly tried to resolve the claims through bankruptcy.
The company transferred talc liabilities into specially created subsidiaries and sought Chapter 11 protection — a maneuver critics described as the “Texas Two-Step.” Courts rejected three bankruptcy attempts.
The most recent proposal would have committed roughly $10 billion to resolve current and future ovarian-cancer claims. A bankruptcy judge rejected the plan in March 2025 after finding serious defects in the claimant-voting and solicitation process. J&J then said it would return to the regular civil-court system and fight the claims individually.
The federal litigation resumed in March 2025.
J&J stopped selling talc-based baby powder in the United States in 2020 and ended worldwide sales in 2023, replacing talc with cornstarch.
## State cases could produce different results
The New Jersey order applies to the consolidated federal ovarian-cancer cases. It does not automatically dispose of talc lawsuits pending in state courts, mesothelioma cases or claims based on different evidence.
J&J has won some talc trials and obtained reversals of some large verdicts. Plaintiffs have also won substantial jury awards.
In one recent case, a Minnesota jury awarded $65.5 million to a woman who alleged that asbestos-contaminated J&J talc contributed to her mesothelioma. J&J said it would appeal and continued to deny that its product contained asbestos, according to [AP News](https://apnews.com/article/b2bb347f856c5853d3beec2b5ffc08ad?utm%5Fsource=chatgpt.com).
The differing outcomes illustrate why a single ruling should not be read as a final answer to every talc claim. Each case may involve different products, diseases, exposure histories, medical evidence, experts and state laws.
---
## What consumers should do
### Check products for talc
Talc may appear on an ingredient list as “talc,” “talcum,” “cosmetic talc” or “magnesium silicate.”
Consumers who prefer to avoid it can choose powders made with cornstarch, arrowroot starch, rice starch or other talc-free ingredients. Avoid assuming that a product is talc-free merely because it is marketed as “natural.”
### Avoid creating airborne powder
Loose powders can be inhaled when shaken or applied. Do not create a cloud of powder around babies or children, and keep cosmetic powders away from the nose and mouth.
Using a cream, lotion, pressed powder or talc-free product can reduce airborne dust.
### Do not panic over past use
A history of talcum-powder use does not mean a person will develop cancer. Even studies finding an association generally describe an increase in risk, not a certainty that disease will occur.
There is no standard medical test that can determine whether past talc use will cause ovarian cancer in someone who has no symptoms.
### Take persistent symptoms seriously
Possible ovarian-cancer symptoms can include abdominal or pelvic pain, bloating, difficulty eating, feeling full quickly and urinary urgency or frequency.
These symptoms are common and are often caused by conditions other than cancer. But a consumer should contact a healthcare professional when symptoms are new, persistent, worsening or occurring frequently.
### Preserve evidence if cancer has been diagnosed
A person diagnosed with ovarian cancer or mesothelioma who had substantial talc exposure may want to gather:
- Medical, pathology and treatment records;
- The approximate years and frequency of powder use;
- Product names and photographs of old containers;
- Receipts, loyalty-account records or online purchase histories;
- Statements from relatives who remember the product being used; and
- Information about possible occupational asbestos or talc exposure.
Do not throw away an old container that may be relevant to a legal claim. Place it in a sealed bag, avoid disturbing the contents and ask an attorney how it should be stored or tested.
### Contact the existing lawyer
Anyone already represented in the federal talc litigation should contact her law firm and verify that the firm has current medical records, exposure information and contact details.
The Nov. 19 deadline is directed at the plaintiffs and their lawyers, but individual claimants should not assume that no action is required. They should ask whether additional records, questionnaires or expert evaluations are needed.
### Be cautious about lawsuit solicitations
Mass-tort advertising often increases after a major court ruling.
Consumers should verify a law firm’s identity, location and state-bar standing before signing an agreement. Ask whether the firm will handle the case itself or refer it to another firm, what expenses may be deducted and how fees will be calculated.
No legitimate lawyer can guarantee a settlement or predict an exact payment.
## What happens next
The plaintiffs are expected to submit a detailed response by Nov. 19 addressing the court’s concerns about specific causation and expert testimony.
The judge could allow the six bellwether cases to proceed, require additional expert work, narrow the types of claims that may continue or recommend dismissal of some or all of the federal cases.
Any major dismissal ruling would likely trigger appeals.
The immediate message for consumers is more limited: The court has not declared talc harmless, but it is demanding a much more individualized and scientifically defensible explanation of how talc caused each plaintiff’s cancer.
### Talc lawsuit checklist: What records to preserve now
URL: https://www.consumernews.ai/talc-lawsuit-checklist-what-records-to-preserve-now/
Last updated: 2026-07-28T17:29:00.000Z
Consumers diagnosed with ovarian cancer or mesothelioma who used talc products may need detailed evidence showing what they used, how often they used it and when the exposure occurred.
### Save the product
Do not throw away an old bottle, container or package that may be relevant.
Place it in a sealed plastic bag, avoid opening or shaking it, and store it where it will not be disturbed. Do not send it to a laboratory or law firm without first getting written instructions.
### Photograph everything
Take clear photographs of:
- The front and back of the container;
- The ingredient list;
- The manufacturer and brand name;
- Lot, batch or product codes;
- Bar codes and package markings; and
- Any remaining powder.
Photographs should show the entire container as well as close-ups of identifying information.
[Talcum Powder NewsTrackerJ&J offers $5.5 billion to settle 76,000 talcum powder cancer claimsThe proposed settlement would resolve nearly all remaining lawsuits alleging Johnson & Johnson’s talc-based powders caused ovarian cancer.ConsumerNews.aiThe EditorsTalc lawsuit checklist: What records to preserve nowIf you’ve been diagnosed with ovarian cancer orConsumerNews.aiJames R. Hood](https://www.consumernews.ai/talcum-powder-newstracker/)
### Reconstruct the history of use
Write down as much as possible about:
- The years the product was used;
- How frequently it was applied;
- Where on the body it was used;
- Whether it was used directly or placed on clothing, sanitary products or bedding;
- Whether someone else regularly applied it; and
- Any brands used over the years.
Do not worry if exact dates are unavailable. Approximate years, homes, life events and family memories may help establish a timeline.
### Look for purchase records
Possible sources include:
- Online shopping histories;
- Pharmacy and supermarket loyalty accounts;
- Credit-card statements;
- Store receipts;
- Family photographs showing the product;
- Old household inventories; and
- Emails confirming purchases or deliveries.
Retailers may retain account histories longer than consumers expect.
### Gather medical records
Request copies of:
- Pathology reports;
- Biopsy results;
- Operative reports;
- Imaging reports;
- Oncology records;
- Hospital discharge summaries; and
- Records showing the date of diagnosis.
The pathology report is especially important because ovarian cancers and mesothelioma can have different subtypes that may affect a legal claim.
### Document other possible exposures
Lawyers and experts will likely ask about other risk factors or sources of exposure.
Make notes about:
- Jobs involving asbestos, mining, construction, manufacturing or industrial dust;
- A spouse or family member who brought work dust home on clothing;
- Other powders or cosmetics used regularly;
- Family history of ovarian or related cancers;
- Genetic testing results; and
- Previous cancers or major reproductive-health conditions.
Providing complete information is better than leaving out facts that could emerge later.
### Identify possible witnesses
List relatives, friends or caregivers who remember:
- Seeing the product in the home;
- Buying it for the consumer;
- Watching it being used;
- Helping apply it; or
- Discussing the product over the years.
Include current phone numbers, email addresses and mailing addresses when available.
### Keep a contact log
Record every conversation with a law firm, claims administrator or medical expert.
Note the date, the person contacted, what was requested and what documents were provided. Keep copies of signed contracts and authorizations.
### Verify any law firm
Before signing, check the lawyer’s state-bar listing and ask:
- Who will actually handle the case;
- Whether the claim will be referred to another firm;
- What percentage will be charged as a fee;
- Which expenses will be deducted;
- Whether expenses are taken before or after the fee is calculated; and
- What happens if there is no recovery.
No lawyer can guarantee that a claim will qualify or predict an exact settlement payment.
### Do not rely on social-media deadlines
Mass-tort advertisements frequently use urgent language such as “final deadline” or “last chance.”
Some legal deadlines are real, but they vary by state, diagnosis date, exposure history and the type of claim. Consumers should obtain advice from a licensed attorney rather than relying on an advertisement, call-center representative or social-media post.
### Already represented? Check in now
Current talc plaintiffs should confirm that their lawyers have:
- Up-to-date contact information;
- Complete medical and pathology records;
- A detailed product-use history;
- Information about other potential exposures; and
- Any remaining product containers or photographs.
The federal court’s latest causation questions make complete, individualized records especially important.
### Mortgage rates hit a one-year high, putting more pressure on homebuyers
URL: https://www.consumernews.ai/mortgage-rates-hit-a-one-year-high-putting-more-pressure-on-homebuyers/
Last updated: 2026-07-24T14:14:41.000Z
Mortgage rates have climbed to their highest level in nearly a year, dealing another setback to prospective homebuyers already contending with high prices, insurance costs and property taxes.
The average rate on a 30-year fixed mortgage rose to 6.58% this week, up from 6.55% a week earlier, according to Freddie Mac. The average 15-year fixed rate increased to 5.96% from 5.93%. The 30-year rate is now at its highest level since August 2025, although it remains below the 6.74% average recorded one year ago, [AP News](https://apnews.com/article/173e9fb5ed07cb5f2f739ea67e0412d8?utm%5Fsource=chatgpt.com) reported.
A separate Mortgage Bankers Association survey, which measures contract rates offered to applicants, placed the average 30-year conforming mortgage rate at 6.69% for the week ending July 17\. That was the highest reading in 11 months, [Reuters](https://www.reuters.com/business/us-30-year-mortgage-hits-11-month-high-mba-says-2026-07-22/?utm%5Fsource=chatgpt.com) said.
The increase threatens to reverse some of the modest improvement in housing affordability seen earlier this year.
Mortgage rates briefly moved below 6% in early 2026, raising hopes that more buyers would return to the market. Those hopes have faded as inflation concerns, rising oil prices and higher Treasury yields push borrowing costs back up.
## Why mortgage rates are rising
Mortgage rates are not set directly by the Federal Reserve.
They generally move in the same direction as yields on longer-term government bonds, particularly the 10-year Treasury note. Investors demand higher bond yields when they expect stronger inflation or believe the Federal Reserve may keep interest rates elevated.
The 10-year Treasury yield recently moved above 4.7% as surging oil prices and renewed conflict in the Middle East revived fears that inflation could accelerate.
Economists surveyed by Reuters generally expected the Federal Reserve to hold its benchmark rate steady through the remainder of 2026, but many saw an increasing possibility that the central bank could raise rates if inflation worsens, according to a [Reuters](https://www.reuters.com/world/fed-hold-rates-this-year-despite-high-inflation-economists-cite-high-chances-2026-07-21/?utm%5Fsource=chatgpt.com) report.
That uncertainty is being passed directly to mortgage borrowers.
## What a 6.58% mortgage costs
Small movements in mortgage rates can have a large effect on monthly payments.
On a $400,000, 30-year mortgage:
- At 6%, the principal-and-interest payment is about $2,398 a month.
- At 6.58%, the payment rises to about $2,549.
- At 6.74%, approximately the rate a year ago, the payment would be about $2,592.
The move from 6% to 6.58% adds about $151 a month, or more than $54,000 over 30 years if the loan is kept for its full term.
Those figures do not include property taxes, homeowners insurance, mortgage insurance or homeowners association fees, all of which can add substantially to the monthly cost.
## High prices compound the problem
Rising interest rates are especially damaging because home prices remain near record levels.
The national median price of an existing home reached $440,600 in June, according to recent housing-market data. Although income growth had produced some improvement in affordability compared with 2025, another sustained increase in mortgage rates could erase part of that gain, according to [MarketWatch](https://www.marketwatch.com/story/the-treasury-market-is-flashing-a-warning-sign-for-home-buyers-are-7-mortgage-rates-next-58b5b3b1?utm%5Fsource=chatgpt.com).
The housing market has already been operating at historically low transaction levels. Existing-home sales remain near lows not seen in roughly three decades, as high rates discourage both buyers and potential sellers.
Many existing homeowners have mortgages carrying rates of 3% or 4%. Selling a home and buying another at more than 6.5% could increase their monthly payment dramatically, even if they purchase a similarly priced property.
That “lock-in effect” keeps homes off the market and restricts the supply available to buyers.
## Builders are cutting prices and offering incentives
The rate increase is also weighing on new-home construction.
U.S. single-family housing starts declined in June, while building permits fell to their lowest level in 10 months.
Homebuilder confidence also fell in July, with the [National Association of Home Builders/Wells Fargo Housing Market Index](https://www.nahb.org/News-and-Economics/Housing-Economics/Indices/Housing-Market-Index?ref=consumernews.ai) dropping to 34\. Any reading below 50 indicates that more builders view conditions as poor than good.
Builders are increasingly relying on incentives to move homes. In July:
- 37% of builders reported cutting prices.
- The average price reduction was 6%.
- 63% were offering some type of sales incentive.
Incentives can include closing-cost assistance, free upgrades and mortgage-rate buydowns.
For some buyers, those incentives may make a newly built home less expensive on a monthly basis than a similarly priced existing home.
## Affordability Watch: What buyers can do
### Compare several lenders
Mortgage rates and fees can vary significantly among lenders, even when borrowers apply on the same day.
Buyers should request written loan estimates from at least three lenders and compare:
- Interest rate.
- Annual percentage rate.
- Origination fees.
- Discount points.
- Lender credits.
- Mortgage insurance.
- Total cash required at closing.
The lowest advertised rate is not necessarily the least expensive loan if it requires large upfront fees.
Freddie Mac research has found that obtaining additional rate quotes can produce meaningful savings over the life of a mortgage.
### Ask whether discount points make sense
A discount point generally costs 1% of the mortgage amount and reduces the interest rate.
On a $400,000 mortgage, one point costs $4,000.
Points may make sense for buyers who expect to remain in the home long enough for the monthly savings to recover the upfront expense. They may not make sense for buyers who expect to move or refinance within a few years.
Calculate the break-even period before paying points:
**Cost of points ÷ monthly payment savings = number of months needed to break even.**
### Negotiate a seller-funded buydown
In a slower market, buyers may be able to negotiate a seller credit that temporarily reduces the mortgage rate.
Under a common 2-1 buydown, the effective rate is reduced by two percentage points during the first year and one percentage point during the second year. The borrower then pays the full contractual rate beginning in year three.
Temporary buydowns lower initial payments, but buyers must qualify for — and be able to afford — the permanent payment.
### Look closely at builder financing
Large homebuilders often operate affiliated mortgage companies and may offer interest rates below those available from outside lenders.
Those offers can be valuable, but buyers should compare the entire transaction. A builder could offer a lower rate while charging a higher home price or limiting other concessions.
Ask for two calculations:
1. The price and payment using the builder’s financing.
2. The price and payment using an outside lender.
### Consider an adjustable-rate mortgage carefully
An adjustable-rate mortgage may offer a lower initial rate than a 30-year fixed loan.
It can be suitable for a buyer who expects to sell before the rate adjusts or who has enough financial flexibility to handle a higher payment later.
But borrowers should not assume they will be able to refinance. Home values can fall, lending standards can tighten and market rates can remain high longer than expected.
Before accepting an adjustable-rate mortgage, ask for:
- The initial rate.
- The date of the first adjustment.
- How frequently the rate can change.
- The maximum increase at each adjustment.
- The highest possible lifetime rate.
- The payment at the maximum rate.
### Avoid draining emergency savings
Buyers often focus on making the largest possible down payment to reduce the mortgage.
But using every available dollar at closing can create another risk. Homes frequently require repairs, appliances, furnishings and insurance deductibles soon after purchase.
A slightly smaller down payment may be safer if it allows the buyer to retain a strong emergency fund, although a down payment below 20% may trigger mortgage-insurance costs.
## What about refinancing?
The latest increase makes refinancing unattractive for most homeowners with older low-rate mortgages.
Refinancing may still make sense for borrowers who:
- Have a mortgage rate above current levels.
- Want to replace an adjustable-rate loan.
- Need to remove mortgage insurance.
- Want to shorten the repayment term.
- Can recover closing costs within a reasonable period.
Borrowers should compare the total cost of refinancing with the expected monthly savings rather than focusing only on the new interest rate.
A refinance that saves $150 a month but costs $6,000 would take 40 months to break even.
## Should buyers wait?
Waiting for rates to fall can be sensible if the current payment would strain the household budget.
But predicting rates is difficult. Lower mortgage rates can bring more buyers into the market, producing bidding wars and higher home prices.
A buyer who finds an affordable home and expects to remain there for several years may decide to proceed and refinance later if rates decline. That strategy works only when the buyer can comfortably afford today’s payment without relying on a future refinancing opportunity.
The safest rule is simple: Buy based on the payment available now, not the rate you hope will be available later.
## The bottom line
Mortgage rates have returned to their highest level in nearly a year, and there is no guarantee that relief is coming soon.
For buyers, the rate increase means less purchasing power and a higher monthly payment. But a difficult market can also create negotiating opportunities, particularly with builders and sellers whose properties have been sitting unsold.
The best defense is to compare multiple lenders, evaluate incentives carefully and set a payment limit before making an offer.
A home may be negotiable. The household budget is not.
### National Safety Recalls - July 23
URL: https://www.consumernews.ai/national-safety-recalls-july-23/
Last updated: 2026-07-23T20:55:19.000Z
The Consumer Product Safety Commission announced seven recalls Thursday involving products that could tip over, choke children or trap swimmers underwater.
The agency also issued separate warnings urging consumers to stop using certain mattresses and children’s pajamas. Those warnings generally occur when the CPSC has identified a serious hazard but the seller has not agreed to conduct a formal recall.
Here is the July 23 recall list.
## EnHomee nine-drawer fabric dressers
**Units:** About 16,809
**Where sold:** Walmart.com by Raybee-Direct
The dressers can become unstable and tip over when they are not anchored to a wall, creating entrapment and crushing hazards for children. The products violate the federal clothing-storage-unit standard established under the STURDY Act.
Consumers should stop using unanchored dressers immediately and move them somewhere children cannot reach. Raybee-Direct is offering full refunds after consumers provide evidence that the dresser has been destroyed and discarded.
**Contact:** [RaybeeRecall@outlook.com](mailto:RaybeeRecall@outlook.com)
## Romorgniz 12-drawer fabric dressers
**Units:** About 10,040
**Where sold:** Amazon
These dressers are also unstable when not secured to a wall and can tip over onto children. The CPSC said they violate mandatory furniture-stability requirements.
Consumers should stop using unanchored units and contact Romorgniz for disposal instructions and a full refund. A photograph showing disposal is required.
**Contact:** [Romorgnizrecall@outlook.com](mailto:Romorgnizrecall@outlook.com)
**Website:** Romorgniz.store/recall.html
Together, the two dresser recalls cover nearly 27,000 units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
## Sili Factory pull-string teething toys
**Units:** About 5,918
The silicone strings on the toys are smaller and longer than federal safety standards allow. The strings can reach the back of a child’s throat and become lodged, creating a risk of respiratory distress and deadly choking.
Consumers should take the toys away from children immediately. Aojieni Silicone is offering refunds after consumers cut the silicone strings, mark the toy “RECALLED” and submit a photograph showing its destruction.
**Contact:** [info@silifactory.com](mailto:info@silifactory.com)
## CuddleCubs Creations teething-toy sets
**Units:** About 106
**Where sold:** Amazon by YouRfocus
The recalled highchair toy sets include a pull-string teether with silicone strings that can extend too far into a child’s throat.
The affected sets were sold in “BlueOrange” and “YellowOrange” color combinations and included a chick-shaped teether and a bug-shaped pull-string toy.
Consumers should stop using the pull-string component immediately and contact the seller for a refund. The seller is requiring purchasers to cut the strings and provide a photograph of the destroyed toy. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/CuddleCubs-Creations-Teething-Toy-Sets-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Violate-Mandatory-Standard-for-Toys-Sold-on-Amazon-by-YouRfocus?utm%5Fsource=chatgpt.com))
**Contact:** [cuddlecubscreation@126.com](mailto:cuddlecubscreation@126.com)
## Peony Design personalized baby bibs and stroller bags
**Units:** About 52
**Where sold:** Etsy
Snaps can detach from the bibs and stroller bags, creating a choking hazard for young children.
Peony Design has received three reports of snaps breaking — one involving a bib and two involving stroller bags. No injuries have been reported.
Consumers should take the products away from children and contact Peony Design for a full refund. The products were sold on Etsy from October 2025 through July 2026 for $15 to $45\. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Peony-Design-Recalls-Personalized-Baby-Bibs-and-Stroller-Bags-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Hazard?utm%5Fsource=chatgpt.com))
**Contact:** [peonydesigncoshoppe@gmail.com](mailto:peonydesigncoshoppe@gmail.com)
## Sviyatp pool-drain covers
**Units:** About 670
The drain covers do not comply with the Virginia Graeme Baker Pool and Spa Safety Act, which requires drain-cover systems designed to prevent swimmers from becoming trapped by suction.
Consumers, pool operators and property owners should stop using affected pools immediately. The covers must be removed and replaced with compliant equipment before the pool is used again.
Sviyatp is offering refunds after consumers mark the cover “RECALL,” photograph it and dispose of it.
**Contact:** [SviyatpRecall@qq.com](mailto:SviyatpRecall@qq.com)
## OeyUoc pool-drain covers
**Units:** About 404
**Where sold:** Amazon by Yuanxinxiang
These pool-drain covers also violate federal entrapment-protection standards and pose drowning and underwater-entrapment hazards.
Affected pools and spas should not be used until the cover has been removed and replaced with a compliant model.
Consumers can obtain a refund by removing the cover, marking it “RECALL” and sending the seller a photograph.
**Contact:** [OeyUocChina@163.com](mailto:OeyUocChina@163.com)
The CPSC advises parents to teach children to stay away from pool and spa drains even when compliant covers are installed. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
# CPSC issues two additional stop-use warnings
The following products are the subject of CPSC safety warnings rather than cooperative recalls.
## TRWZINY 12-inch mattresses
**Units:** About 1,425
The mattresses fail to meet the federal mattress-flammability standard and could ignite during a fire, increasing the risk of severe injury or death.
Consumers should stop using the mattresses and dispose of them. The CPSC warns against selling or giving them away.
## Mikrdoo children’s pajamas
**Units:** 243
The pajama sets violate the federal flammability standard for children’s sleepwear and pose a risk of serious burns or death.
Consumers should stop using the pajamas immediately, take them away from children and dispose of them. They should not be donated or resold. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
## What consumers should do
Check model names, photographs and purchase records against the complete notices on CPSC.gov.
Stop using recalled children’s products immediately rather than waiting to complete the refund process. Unanchored dressers should be placed where children cannot enter until they can be secured or discarded.
Pools with recalled drain covers should be closed until a qualified pool professional installs a compliant replacement.
Consumers should also be cautious when a recall requires destruction of a product. Follow the manufacturer’s instructions and keep photographs, emails, order confirmations and refund requests until the case is resolved.
Problems obtaining a promised refund, repair or replacement can be reported through the CPSC’s [recall-complaint system.](https://www.cpsc.gov/Recalls?ref=consumernews.ai)
### Capital One’s $425 million customer payout stalled by appeal
URL: https://www.consumernews.ai/capital-ones-425-million-customer-payout-stalled-by-appeal/
Last updated: 2026-07-23T19:56:08.000Z
Capital One customers who expected to receive money from a $425 million savings-account settlement this summer may now be waiting well into 2027.
An appeal filed by a member of the settlement class has prevented the agreement from becoming final, substantially delaying both cash payments and the higher interest rates Capital One agreed to provide to affected customers.
The official settlement administrator warns that the delay could last “potentially over one year,” according to [CT Insider](https://www.ctinsider.com/news/article/capital-one-425-million-settlement-payouts-delayed-22353744.php?ref=consumernews.ai). Payments had previously been expected to begin around July 21, 2026\.
The appeal asks the U.S. Court of Appeals for the Fourth Circuit to overturn the settlement and return the case to active litigation. According to court filings described by CT Insider, the class member is representing herself and contends that the agreement overstates how much of customers’ lost interest it would recover.
Lawyers representing the class called the challenge meritless and said the settlement provides an overwhelmingly favorable result for customers.
## Who is covered
The settlement includes people and businesses that held a Capital One 360 Savings account at any time from September 18, 2019, through June 16, 2025.
Joint and co-owners are included, although the cash payment for an account will generally be issued only to the primary account holder.
Customers who held only the newer 360 Performance Savings account are not members of the settlement class, according to the [Capital One 360 Litigation](https://capitalone360savingsaccountlitigation.com/?ref=consumernews.ai) webpage.
No claim form is required. Eligible customers were automatically included unless they submitted a valid request to exclude themselves by the March 30, 2026, deadline.
## What the lawsuit alleged
The dispute centers on two similarly named Capital One savings products.
Capital One introduced its 360 Savings account in 2013 and promoted it as a high-interest online savings account. It later introduced a separate product called 360 Performance Savings.
The lawsuits alleged that Capital One allowed the interest rate on the older account to remain far below the rate offered on the newer account while failing to adequately tell existing customers that the higher-yield alternative was available.
Beginning in 2022, the 360 Performance Savings rate rose along with broader interest rates while the older 360 Savings account continued paying only 0.30% APY, according to the settlement administrator.
Between April and September 2024, for example, Capital One reportedly paid 4.35% on Performance Savings accounts but only 0.30% on the older accounts. In June 2025, the rates were 3.60% and 0.50%, respectively.
Capital One denies wrongdoing, and the court has not ruled that the bank violated the law.
## What customers were supposed to receive
Under the revised settlement, Capital One agreed to place $425 million into a fund that would cover payments to current and former 360 Savings customers, legal fees and administrative expenses.
Individual cash payments would be calculated according to the approximate additional interest customers would have earned if their accounts had received the Performance Savings rate. Because the payments are distributed proportionately, the amount would depend largely on account balances and how long the money remained in the account, according to the litigation site.
The settlement would also require Capital One to pay the same interest rate on 360 Savings and 360 Performance Savings accounts going forward.
That prospective rate relief could be worth hundreds of millions of dollars in addition to the cash fund. A court-appointed special master estimated the combined value of the cash settlement and future interest benefits at more than $1 billion.
The revised agreement was substantially more generous than an earlier proposal that the court refused to approve.
A bipartisan group of state attorneys general had argued that the first agreement would have shortchanged customers. The revised settlement more than doubled the value of the earlier deal and eliminated the two-tier interest-rate structure at the center of the dispute, [New York State Attorney General](https://ag.ny.gov/press-release/2026/attorney-general-james-applauds-new-capital-one-settlement?ref=consumernews.ai) Letitia James said.
## Why one appeal can freeze millions of payments
Class-action settlements normally do not become effective until all appeals have been resolved.
Even though U.S. District Judge David J. Novak granted final approval on April 20, an objecting class member generally has the right to ask an appellate court to review that approval.
Until the Fourth Circuit dismisses the appeal or issues a decision, the settlement administrator cannot distribute the fund, and Capital One is not yet required to begin matching the interest rates on the two accounts.
The appellate court could uphold the agreement, order changes or send the case back to the district court for additional proceedings. If the settlement were overturned completely, the underlying lawsuits could resume — potentially producing a larger recovery, a smaller recovery or no recovery after years of additional litigation.
## What affected customers should do
Customers do not need to submit a new claim because of the appeal.
They should, however:
- Make sure the settlement administrator has their current mailing address.
- Update any electronic-payment information that has changed.
- Keep copies of old Capital One statements showing that the account was labeled “360 Savings.”
- Continue watching the official settlement website for appeal and distribution updates.
- Be suspicious of anyone asking for a fee, password, full account number or Social Security number to “release” a settlement payment.
Customers who selected electronic payment previously do not need to make another selection unless their payment information has changed.
The settlement administrator also cautions that paper checks will not be issued when an individual payment is less than $5\. Customers who selected electronic payment are eligible to receive even smaller amounts.
## Consumers should not count on the money yet
For affected savers, the appeal means both parts of the agreement remain in limbo: the retrospective payment for lost interest and the promise of better rates going forward.
Consumers should not include an estimated settlement payment in their budgets or assume it will arrive by a particular date. No reliable new distribution date can be set until the Fourth Circuit resolves the appeal.
Meanwhile, customers who still have money in a low-yield savings account should compare the account’s current APY with competing high-yield accounts rather than waiting for the litigation to produce a better rate.
The settlement may eventually deliver significant compensation, but for now the payout has become another reminder that even a court-approved consumer settlement is not final until the appeals are over.
---
## How to tell whether you had the older Capital One 360 Savings account
The settlement applies to the older **360 Savings** account, not the newer **360 Performance Savings** account.
To check whether you are covered:
- Review old monthly statements or tax documents and look for the exact account name **“360 Savings.”**
- Check your Capital One online account history for accounts that were open between **September 18, 2019, and June 16, 2025**.
- Search your email for Capital One messages containing terms such as “360 Savings,” “interest rate” or “annual percentage yield.”
- Look for a settlement notice sent by email or regular mail. Eligible customers were generally included automatically.
- Do not assume that every Capital One savings account qualifies. Accounts labeled only **“360 Performance Savings”** are not part of the settlement.
Some customers may have held both types of accounts. In that case, only the money kept in the older 360 Savings account is relevant to the settlement.
### Still unsure?
Contact the settlement administrator through the official [Capital One 360 Savings Account Litigation website](https://capitalone360savingsaccountlitigation.com/?ref=consumernews.ai). Avoid links in unsolicited texts, social-media posts or emails asking for bank credentials, payment fees or a Social Security number.
Legitimate settlement payments do not require consumers to pay an upfront fee.
### As the CFPB retreats, a new consumer protection network is taking shape
URL: https://www.consumernews.ai/as-the-cfpb-retreats-a-new-consumer-protection-network-is-taking-shape/
Last updated: 2026-07-25T21:48:22.000Z
The federal government’s leading consumer financial watchdog may be pulling back, but many of the lawyers and regulators who built it are not leaving the field.
Instead, they are spreading out.
Former Consumer Financial Protection Bureau officials are joining state agencies, nonprofit advocacy groups and public-interest law firms, creating what some financial-industry attorneys describe as a decentralized consumer-protection “ecosystem.”
The result may not be a private version of the CFPB so much as a collection of smaller watchdogs—sometimes working together—to investigate lenders, file lawsuits and push states to adopt stronger consumer safeguards.
“Nature abhors a vacuum,” attorneys at Ballard Spahr wrote in a [recent analysis](https://www.consumerfinancemonitor.com/2026/07/22/is-a-private-cfpb-emerging-or-is-a-new-consumer-protection-ecosystem-taking-shape/?ref=consumernews.ai) of the changing enforcement landscape.
The CFPB’s retreat, they cautioned businesses, should not be mistaken for the disappearance of enforcement risk. The expertise developed inside the federal bureau is being redistributed among state regulators, attorneys general, advocacy organizations and private lawyers.
For consumers, that could mean financial companies will still face scrutiny over abusive loans, discriminatory practices, junk fees, debt collection and other misconduct.
But the protection may be more fragmented, slower and heavily dependent on where consumers live.
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
## The federal watchdog has stepped back
Congress created the CFPB after the 2008 financial crisis to enforce federal consumer-finance laws and supervise banks, mortgage companies, credit-reporting agencies, payday lenders and other financial businesses.
But during 2025 and 2026, under the Trump Administration, the bureau withdrew or dismissed numerous enforcement cases, scaled back supervision and changed its regulatory priorities.
The CFPB’s own [semiannual report](https://www.consumerfinancemonitor.com/2026/07/22/is-a-private-cfpb-emerging-or-is-a-new-consumer-protection-ecosystem-taking-shape/?ref=consumernews.ai) said it dismissed or withdrew from 20 public enforcement actions that had been pending between October 2024 and December 2025\.
The agency has also ended certain fair-lending investigations and supervisory work involving “disparate impact,” a legal theory used to challenge policies that have [discriminatory effects](https://www.consumerfinance.gov/fair-lending/?ref=consumernews.ai) even without proof of deliberate discrimination.
The CFPB still accepts consumer complaints and describes itself as supervising financial institutions for compliance with federal law. But its enforcement footprint is substantially smaller than it was under previous leadership.
That leaves an obvious question: Who steps in when a federal consumer watchdog steps back?
Image: ChatGPT
## California is building a state-level counterweight
One answer may be California.
Gov. Gavin Newsom [appointed former CFPB Director Rohit Chopra](https://www.consumernews.ai/california-recruits-former-cfpb-chief/) to lead the state’s new Business and Consumer Services Agency, which officially began operating July 1.
The agency brings together departments involved in financial regulation, professional licensing, consumer services and business oversight. California officials [said](https://www.gov.ca.gov/2026/05/12/governor-newsom-appoints-former-federal-regulator-rohit-chopra-to-head-new-business-and-consumer-services-agency-amid-trump-era-rollbacks/?ref=consumernews.ai) the restructuring is intended to improve coordination and strengthen enforcement as federal consumer protections are reduced.
Chopra previously served as both CFPB director and a Federal Trade Commission member. His new position gives him authority over a broad collection of California regulators, including the state’s financial-services enforcement apparatus.
California often has an influence far beyond its borders. Its size allows the state to impose requirements that national businesses may eventually adopt across the country rather than operate under separate systems.
Still, California’s protections apply most directly to Californians. Consumers in states with less active regulators may not receive comparable assistance.
## Former CFPB lawyers moving into private litigation
Another part of the emerging network is composed of lawyers who once led federal enforcement cases.
Former CFPB enforcement officials Eric Halperin, Cara Petersen and Tara Mikkilineni have launched a public-interest litigation practice[ to work with consumer organizations and state attorneys general.](https://www.consumernews.ai/oil-tops-95-as-red-sea-joins-the-war/)
The three lawyers helped lead CFPB enforcement efforts between 2021 and 2025 that resulted in orders requiring more than $9.5 billion in consumer payments and penalties, according to [Protect Borrowers](https://protectborrowers.org/former-cfpb-enforcement-leaders-launch-strategic-litigation-project-hosted-at-protect-borrowers/?ref=consumernews.ai), the advocacy organization that initially hosted their strategic litigation project.
Their work builds on earlier organizations founded or staffed by former CFPB officials, including Protect Borrowers—formerly known as the Student Borrower Protection Center—and public-interest law firms that handle consumer appeals and class actions.
These groups can develop cases, recruit plaintiffs, challenge abusive practices and provide legal expertise to state officials.
They may also be willing to pursue cases that the federal government declines to bring.
## Private lawyers cannot duplicate the CFPB
There are important limits.
Private attorneys cannot conduct routine supervisory examinations of financial institutions. They cannot issue the same kinds of administrative demands available to federal regulators, write nationwide rules or collect federal civil penalties.
They generally must find consumers who have standing to sue, identify a viable legal claim and overcome procedural barriers before obtaining evidence.
Many consumer contracts also contain arbitration provisions that prevent customers from joining together in court. That can make it difficult or economically impractical to bring cases involving relatively small individual losses.
State attorneys general and financial regulators possess broader powers, but their authority usually stops at state lines. Their budgets, staffing and political priorities vary widely.
A national company could therefore face aggressive enforcement in California, New York or Massachusetts while receiving relatively little scrutiny elsewhere.
That is the central weakness of the emerging system: It may preserve significant consumer-protection expertise without preserving consistent nationwide protection.
## A patchwork system could leave some consumers behind
A decentralized network may be able to bring large cases, establish legal precedents and pressure companies to change their practices nationally.
It could also encourage states to experiment with stronger protections for borrowers, tenants, workers and small businesses.
But a patchwork is not the same as a federal regulator.
Consumers often do not know which agency regulates a financial company, whether a state law applies or where to file a complaint. Someone harmed by an online lender may have to navigate a maze of federal agencies, state regulators, attorneys general and private legal organizations.
That complexity favors well-funded companies with teams of lawyers.
It also means enforcement may become more reactive. The CFPB could identify problems during examinations before they produced a large public scandal. Private litigants typically become involved only after consumers have already suffered harm.
## What consumers can do
Consumers should continue filing complaints with the CFPB, even if the agency’s enforcement priorities have changed. Complaint records can document patterns and may be shared with companies or other regulators.
Consumers should also consider contacting:
- Their state attorney general’s consumer-protection division;
- Their state banking or financial-services regulator;
- A nonprofit consumer-law organization;
- A legal-aid office or private consumer attorney; and
- The regulator responsible for a particular industry, such as mortgage lending, insurance or debt collection.
Documentation is essential. Consumers should save contracts, account statements, advertisements, screenshots, emails, text messages and records of phone conversations.
A single complaint may not produce immediate action. But repeated complaints can reveal patterns that state officials, investigative lawyers and advocacy organizations can use to build larger cases.
## The bottom line
The CFPB’s reduced role does not mean banks, lenders and financial technology companies are operating without oversight.
A new network is forming from the people and institutions that once worked alongside—or inside—the federal bureau.
That network could become a formidable source of lawsuits, investigations and policy changes.
But it will not offer the uniform protection of a strong national regulator. Consumers may increasingly depend on state officials and private lawyers, creating a system in which the quality of protection varies by geography, resources and the willingness of individual organizations to take a case.
The CFPB may no longer dominate consumer financial enforcement.
Its former officials, legal theories and enforcement strategies, however, are still very much alive.
### Where to complain when the CFPB doesn’t act
URL: https://www.consumernews.ai/where-to-complain-when-the-cfpb-doesnt-act/
Last updated: 2026-07-23T12:42:01.000Z
Whittled away by the Trump Administration, the Consumer Financial Protection Bureau is a shadow of its former self. A growing band of organizations and lawyers are trying to fill some of the gaps but it's not as easy as it once was for consumers to get help.
Filing a complaint with the [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/complaint/?ref=consumernews.ai) is still a sensible first step. The CFPB says it forwards complaints to companies for response and routes cases to another government agency when appropriate. Most companies respond within 15 days.
But consumers should not necessarily stop there.
Graphic by ChatGPT
### Bank accounts, credit cards, mortgages and consumer loans
Start with the CFPB for problems involving:
- Checking and savings accounts;
- Credit cards;
- Mortgages and home-equity loans;
- Auto loans;
- Payday and installment loans;
- Student loans;
- Money-transfer services; and
- Buy now, pay later products.
Consumers can submit a complaint online or call **855-411-2372**.
Also complain directly to the company in writing. Ask for a complaint or case number and keep copies of every response.
### National banks and federal savings associations
The **Office of the Comptroller of the Currency**, or OCC, handles complaints involving national banks and federal savings associations.
The OCC’s [HelpWithMyBank](https://www.helpwithmybank.gov/file-a-complaint/index-file-a-complaint.html?ref=consumernews.ai) service allows consumers to confirm whether the agency regulates their bank and submit a complaint. Its customer-assistance number is **800-613-6743**.
A bank’s name may include “National,” “N.A.” or “Federal Savings,” but consumers should use the OCC’s bank lookup rather than relying on the name alone.
### State-chartered banks and nonbank lenders
Complaints involving state-chartered banks, mortgage companies, finance companies, money transmitters and many online lenders may belong with a **state banking or financial-services regulator**.
The Conference of State Bank Supervisors maintains a directory of state banking agencies, at [CSBS](https://www.csbs.org/contact-your-state-bank-agency?utm%5Fsource=chatgpt.com).
Consumers can also contact their state attorney general or state consumer-protection office. State officials may investigate patterns of misconduct, enforce state law or join multistate enforcement actions. Here's a complete list: [USAGov](https://www.usa.gov/state-consumer?utm%5Fsource=chatgpt.com).
### FDIC-supervised banks
The **Federal Deposit Insurance Corp.** [accepts complaints](https://www.fdic.gov/consumer-resource-center/consumer-complaint-process?ref=consumernews.ai) involving banks it directly supervises.
The FDIC asks consumers to provide identifying information, the bank’s name, a description of the problem and relevant supporting documents.
Because several different agencies supervise banks, consumers who are uncertain can begin with the CFPB or use federal bank-regulator lookup tools.
### Credit unions
For a dispute involving a federally insured credit union, contact the credit union first and then file with the **National Credit Union Administration’s Consumer Assistance Center:** [NCUA](https://ncua.gov/contact-us?utm%5Fsource=chatgpt.com).
The center helps consumers resolve disputes involving credit-union accounts and loans. Its consumer-assistance number is **800-755-1030**.
State-chartered credit unions may also be overseen by a state credit-union regulator.
### Credit-report errors
Dispute inaccurate information directly with the credit-reporting company and with the bank, lender or debt collector that supplied the information.
Keep copies of:
- The credit report showing the error;
- The dispute letter or online confirmation;
- Supporting statements and payment records; and
- The company’s investigation results.
The CFPB currently requires consumers complaining about inaccurate or incomplete credit-report information to have first filed a dispute with the credit-reporting company. The consumer must generally wait until the dispute is no longer pending or 45 days have passed.
### Debt collectors
Report abusive, deceptive or unfair collection practices to:
- The CFPB;
- The Federal Trade Commission;
- The state attorney general; and
- The state agency that licenses debt collectors, where applicable.
Save voicemail messages, letters, emails, text messages and a log of calls. Do not surrender original documents.
### Scams and fraudulent businesses
Report scams, impostors and deceptive business practices to the **Federal Trade Commission at** [**ReportFraud.ftc.gov**](https://reportfraud.ftc.gov/?ref=consumernews.ai).
The FTC accepts reports even when the consumer did not lose money. Reports help investigators identify patterns, although filing one does not guarantee that the FTC will recover an individual consumer’s money.
Consumers who cannot file online can call **877-382-4357**.
### Identity theft
Use [**IdentityTheft.gov**](https://www.identitytheft.gov/?ref=consumernews.ai) to report identity theft and create a personalized recovery plan.
The service provides step-by-step instructions for contacting businesses, closing fraudulent accounts and correcting credit reports. Consumers can also report identity theft by calling **877-438-4338**.
Contact banks and card issuers immediately if money has been taken or accounts have been opened fraudulently. Speed can determine whether transactions can be stopped or reversed.
### When to contact a lawyer
Consider consulting a consumer attorney or legal-aid organization when:
- A home is facing foreclosure;
- A car is about to be repossessed;
- A bank has frozen essential funds;
- Identity theft has caused extensive losses;
- A debt collector has filed a lawsuit;
- A company refuses to correct serious credit-report errors; or
- The amount at stake is substantial.
Deadlines may apply. Filing an agency complaint does not necessarily pause a lawsuit, foreclosure, repossession or statute of limitations.
### How to make a complaint harder to ignore
A useful complaint should include:
1. **What happened:** Give dates, amounts and a concise timeline.
2. **Why it is wrong:** Identify the promise, contract term, advertisement or legal protection that may have been violated.
3. **What you already did:** Include previous calls, letters and case numbers.
4. **What you want:** Request a specific result, such as a refund, correction, account reopening or removal of a fee.
5. **Supporting documents:** Attach copies, but retain the originals.
File through more than one appropriate channel when the problem is serious. A company may dismiss an isolated complaint, but repeated reports to federal and state agencies can reveal a pattern that leads to an investigation or lawsuit.
### The bottom line
The CFPB remains an important complaint portal, even with a reduced enforcement presence.
But consumers should increasingly think in terms of a network: the CFPB, the company’s primary regulator, the state attorney general, the state financial regulator and—when necessary—a private attorney.
In today’s fragmented enforcement landscape, filing in the right places may be just as important as filing the complaint itself.
### Oil tops $95 as Red Sea joins the war
URL: https://www.consumernews.ai/oil-tops-95-as-red-sea-joins-the-war/
Last updated: 2026-07-23T12:01:26.000Z
The physical energy picture shifted for the worse. Brent crude futures for September delivery rose $1.93, or 2 percent, to $96 a barrel by early Thursday, the highest since June 8, [Reuters reported](https://www.reuters.com/business/energy/oil-prices-rise-six-week-high-us-iran-tensions-escalate-2026-07-23/?ref=consumernews.ai).
U.S. West Texas Intermediate rose $1.44, or 1.7 percent, to $88.27\. Brent has climbed about 34 percent from a post-deal low of $70.14 on July 2, [Reuters reported](https://www.reuters.com/commentary/reuters-open-interest/indias-surging-refined-product-exports-ease-asia-fuel-crisis-2026-07-23/?ref=consumernews.ai) in a separate commentary — a swing that has left global diesel prices up 43 percent from June 26 and Singapore gasoline up 27 percent from July 9.
The war's second front is the Red Sea. Iran-backed Houthi militants declared a blockade against Saudi vessels seeking to pass through the Bab el-Mandeb Strait at the southern entrance to the Red Sea, [Reuters reported](https://www.reuters.com/commentary/reuters-open-interest/cutting-off-red-sea-oil-route-may-be-one-crisis-too-many-2026-07-23/?ref=consumernews.ai) in market analysis.
Iran's Revolutionary Guards said Thursday morning they had stopped three tankers from passing through the Strait of Hormuz, [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-trump-strait-hormuz-oil-prices-red-sea-houthis/?ref=consumernews.ai), and U.S. Central Command said the U.S. had intercepted nine commercial vessels since the July 14 blockade restart. The U.S. carried out its 12th consecutive night of strikes on Iran on Wednesday, [The Associated Press reported](https://apnews.com/article/iran-us-hormuz-strait-war-july-22-2026-42ff3de8d135ad72ff3ba4d94cc0921d?ref=consumernews.ai).
Retail gasoline reached a national average of $4.06 per gallon on Wednesday, a 5-cent increase from Tuesday, [NBC News reported](https://www.nbcnews.com/business/business-news/oil-prices-brent-gas-iran-war-trump-hormuz-red-sea-houthis-rcna588671?ref=consumernews.ai), and diesel margins have hit record levels. World Bank chief economist Indermit Gill told Reuters the conflict in Iran could ultimately cut 2026 global growth to as low as 1.3 percent, from 2.9 percent last year.
The Federal Reserve is heading into "one of its most unpredictable meetings in years," [The Wall Street Journal reported](https://www.wsj.com/economy/central-banking/the-fed-is-heading-into-one-of-its-most-unpredictable-meetings-in-years-849198f5?ref=consumernews.ai), as Chair Kevin Warsh weighs rate hikes against war-driven demand destruction.
### Consumer groups urge Senate to reject CPSC nominees, warning of one-party control
URL: https://www.consumernews.ai/consumer-groups-urge-senate-to-reject-cpsc-nominees-warning-of-one-party-control/
Last updated: 2026-07-22T18:44:05.000Z
A broad coalition of consumer advocates is asking the Senate Commerce Committee to block two nominees to the Consumer Product Safety Commission, arguing that confirming them would undermine the agency's independence at a time when consumers face increasing product safety risks.
The Consumer Federation of America, National Consumers League and 29 other organizations [sent a letter](https://consumerfed.org/news/press-releases/consumer-groups-oppose-confirmation-of-lorenze-sessions-as-cpsc-commissioners/?utm%5Fsource=chatgpt.com) to senators opposing the nominations of Brien Lorenze and Karen Sessions, who have been nominated to serve as CPSC commissioners. The Senate Commerce Committee is expected to vote on the nominations this week.
"We are concerned that without balanced representation at the CPSC, this small agency with a big mission will be unable to independently carry out its congressionally mandated duties and provide the public with the transparency it deserves," the groups wrote.
The coalition concluded by urging senators not to report the nominations favorably to the full Senate.
## Why the fight matters
Although the CPSC is one of Washington's smallest regulatory agencies, it oversees the safety of thousands of categories of consumer products, including toys, furniture, household appliances, recreational vehicles, power tools and electronics. The agency conducts recalls, develops safety standards, investigates hazardous products and maintains the public SaferProducts.gov database.
Consumer advocates argue that the commission's bipartisan structure has historically helped ensure that product safety decisions are based on evidence rather than politics. Federal law generally limits the commission to no more than three members from the same political party.
The nominations also come after an unusually turbulent period for the agency.
In 2025, President Trump dismissed the commission's three Democratic members, triggering lawsuits over whether the removals complied with statutory protections for independent agencies. Since then, questions about the commission's composition and authority have remained a source of legal and political controversy.
## Consumer advocates see broader risks
The groups' concerns extend beyond the nominees themselves.
They argue that an ideologically unbalanced commission could weaken oversight of dangerous products entering the U.S. market, particularly those sold through large online marketplaces by third-party sellers.
Consumer organizations have repeatedly warned that inexpensive imported products sold online often evade traditional safety oversight and account for a growing share of recalls and enforcement actions.
The coalition also says the commission needs independent oversight as it responds to emerging risks involving lithium-ion batteries, connected consumer products, children's products and the growing volume of imported goods sold directly to consumers.
## Industry sees different priorities
Business groups have generally welcomed the nominees, arguing that the commission should modernize its regulatory approach, rely more heavily on voluntary safety standards where appropriate and make greater use of data-driven enforcement rather than broad regulatory initiatives.
During their Senate confirmation hearing last month, the nominees discussed using technology and improved data analysis to help identify emerging product hazards.
Supporters also argue the agency should avoid unnecessary regulatory burdens while continuing to target genuinely dangerous products.
## What happens next?
If approved by the Senate Commerce Committee, the nominations would advance to the full Senate for confirmation.
The outcome will likely shape the direction of the Consumer Product Safety Commission for years, affecting everything from recall policies and product safety standards to how aggressively the agency pursues enforcement against manufacturers and online sellers.
For consumers, the practical stakes are significant. The CPSC oversees recalls involving millions of products each year and plays a central role in identifying hazards before they cause injuries or deaths.
### **Consumer Watch: Why the CPSC matters**
The Consumer Product Safety Commission doesn't regulate cars, food, drugs or firearms, but it has authority over roughly 15,000 categories of consumer products, including:
- Children's toys and nursery products
- Furniture and mattresses
- Household appliances
- Electronics and batteries
- Sporting goods
- Recreational vehicles
- Power tools
- Household chemicals
The agency's recalls and safety standards have been credited with reducing injuries from products ranging from cribs and space heaters to high-powered magnets and off-road vehicles.
Consumer advocates argue that maintaining an independent, bipartisan commission is particularly important as more products are purchased directly from overseas sellers through online marketplaces, making enforcement more difficult.
### Anthropic’s $1.5 billion copyright settlement gives authors a rare victory over Big Tech
URL: https://www.consumernews.ai/anthropics-1-5-billion-copyright-settlement-gives-authors-a-rare-victory-over-big-tech/
Last updated: 2026-09-09T19:54:44.000Z
Individual authors and small publishing companies rarely have the money or legal firepower to challenge a well-funded technology company. But a landmark copyright settlement involving artificial intelligence company Anthropic shows that creators are not necessarily powerless when their work is copied on an industrial scale.
A federal judge in San Francisco has given final approval to a $1.5 billion settlement resolving claims that Anthropic obtained hundreds of thousands of pirated books while developing Claude, its artificial intelligence chatbot.
The settlement is believed to be the largest copyright recovery in U.S. history and is expected to provide approximately $3,000 for each eligible book, before certain deductions and divisions between copyright holders, according to [AP News](https://apnews.com/article/74b140444023898aeba8579b6e9f0d63?utm%5Fsource=chatgpt.com).
For authors accustomed to receiving modest royalties — and for independent publishers operating on thin margins — even a payment of a few thousand dollars per title can be significant.
More importantly, the settlement sends a message to the rapidly growing artificial intelligence industry: books, journalism and other creative work are not simply free raw material that technology companies can quietly download and use to build commercial products.
[Author checklist: Protect your work before the next AI copyright caseWhat happens the next time there’s a big copyright suit? Here’s how authors can be ready.ConsumerNews.aiThe Editors](https://www.consumernews.ai/author-checklist-protect-your-work-before-the-next-ai-copyright-case/)
## What Anthropic was accused of doing
The case, known as *Bartz v. Anthropic*, was brought by authors Andrea Bartz, Charles Graeber and Kirk Wallace Johnson.
The plaintiffs alleged that Anthropic downloaded millions of books from online “shadow libraries,” including Library Genesis and Pirate Library Mirror, and stored them in a central digital library. The lawsuit said the company used copyrighted books to help develop and train its Claude AI models, [The Authors Guild](https://authorsguild.org/advocacy/artificial-intelligence/what-authors-need-to-know-about-the-anthropic-settlement/?utm%5Fsource=chatgpt.com) said.
An earlier court ruling drew an important distinction.
The judge concluded that using legally obtained books to train an artificial intelligence system could qualify as fair use. But acquiring and retaining pirated copies of books was a separate issue and could constitute copyright infringement.
That distinction put Anthropic at risk of enormous statutory damages at trial and helped produce the $1.5 billion settlement.
Anthropic has denied wrongdoing but said it welcomed the resolution of the litigation.
## Roughly $3,000 per eligible book
The settlement covers approximately 482,000 books and provides a base value of roughly $3,000 for each covered work.
More than 91% of the eligible books were claimed, representing about 440,000 works and nearly 120,000 authors, publishers and other copyright holders, [The Society of Authors](https://societyofauthors.org/2026/01/20/anthropic-list-of-stolen-works-published/?utm%5Fsource=chatgpt.com) said.
In cases where both an author and publisher submitted valid claims for the same book, the payment is generally divided 50-50 unless their publishing contract or another agreement calls for a different allocation, according to [PenguinRandomhouse.com](https://www.penguinrandomhouse.com/bartz-v-anthropic-copyright-settlement-faq-for-authors/?utm%5Fsource=chatgpt.com).
The final amount received by each claimant may vary depending on administrative expenses, court-approved legal fees, competing ownership claims and other settlement calculations.
The judge awarded the plaintiffs’ attorneys approximately $101.6 million — substantially less than the $187.5 million they had requested — after concluding that a percentage-based award would give the lawyers an excessive windfall at the expense of authors and publishers, [Reuters](https://www.reuters.com/legal/government/landmark-anthropic-settlement-judge-rejects-windfall-lawyers-2026-07-21/?utm%5Fsource=chatgpt.com) reported.
## Why the case matters to individual authors
The immediate benefit is financial. Many authors earn relatively little from each individual book, particularly after agents, publishers, distributors and retailers take their shares.
A payment of approximately $1,500 to an author whose publisher receives the other half could exceed several years of royalties for a moderately selling title. Self-published authors or authors who retained full rights may be entitled to a larger portion.
The settlement also recognizes that copyright injury is not limited to the loss of a single book sale.
When a technology company copies an entire library to build a commercial AI product, it may deprive writers and publishers of licensing income, reduce the value of their work and create new products that compete with the people whose material made those products possible.
Individual writers generally cannot afford to litigate those issues alone. A class action allows thousands of smaller claims to be combined into a case large enough to challenge a company with extensive financial resources.
## A potential boost for small publishers
The settlement may be particularly meaningful for independent publishers, university presses and specialty publishers.
Unlike multinational publishing groups, small presses may have only a few dozen or a few hundred titles. Those books are often their principal business assets.
Receiving several thousand dollars for each eligible title could provide meaningful working capital for editing, design, printing, marketing or new author advances.
It also gives smaller publishers greater leverage in future negotiations over AI licensing.
Until recently, AI developers frequently acted as though obtaining permission from every author or publisher would be impractical. The Anthropic settlement establishes a monetary benchmark — roughly $3,000 per unlawfully acquired book — that creators and publishers may point to when negotiating future training licenses.
It does not establish a universal legal price for AI training, but it makes it harder to argue that the use of copyrighted books has no measurable value.
## The victory has limits
The ruling does not mean that all AI training on copyrighted books is illegal.
The earlier decision in the case found that using lawfully acquired books to train a model could be considered transformative and protected by fair use. The settlement primarily addresses Anthropic’s alleged downloading and retention of books obtained from piracy websites.
That means future cases may turn on how the material was acquired, what the AI company did with it and whether the resulting product substitutes for or harms the market for the original work.
The agreement also releases covered claims against Anthropic, meaning participating authors generally cannot sue the company again over the same alleged downloading of the covered books.
Some authors and publishers opted out of the settlement and are pursuing separate litigation because they believe their potential claims are worth more than the class settlement provides.
## What authors and small publishers should do now
The deadline to file a claim in the Anthropic settlement was March 30, 2026, so authors who did not submit a claim generally cannot join at this stage, according to the [Anthropic Copyright Settlement](https://www.anthropiccopyrightsettlement.com/?utm%5Fsource=chatgpt.com).
But the case offers several lessons for future disputes.
Authors should maintain clear records of copyright registrations, publishing contracts, rights reversions and royalty statements. Publishers should keep accurate title lists, ISBN records and documentation showing which rights they control.
Copyright registration remains especially important because it can affect whether a creator is eligible for statutory damages and attorney fees in an infringement lawsuit.
Authors should also review publishing contracts to determine who controls electronic, database and artificial intelligence training rights. Older contracts may not mention AI at all, leaving uncertainty about whether the author or publisher has authority to grant a training license.
Creators may also want to watch for notices involving other AI copyright cases. Similar lawsuits have been filed against Meta, OpenAI and other technology companies over the alleged use of books, news articles, images, music and other copyrighted material.
## What this means
The settlement will not resolve the larger debate over artificial intelligence and copyright. Courts are still deciding when AI training qualifies as fair use and when technology companies must obtain licenses.
But for individual authors and small publishers, the Anthropic case is a consequential victory.
It demonstrates that even when each creator’s individual damages may appear relatively small, collectively their work can carry enormous value.
The broader lesson is straightforward: innovation does not give a company an automatic right to take someone else’s property.
Artificial intelligence may change how books are researched, written, marketed and sold. It does not eliminate the people who created those books — or their right to be paid.
### Author checklist: Protect your work before the next AI copyright case
URL: https://www.consumernews.ai/author-checklist-protect-your-work-before-the-next-ai-copyright-case/
Last updated: 2026-07-22T14:47:18.000Z
Authors and small publishers should not assume they will automatically be found or paid when an AI company is accused of copying books. Good records can determine whether a claim succeeds.
### Register the copyright
Copyright exists when an original work is created, but registration with the U.S. Copyright Office provides important legal advantages.
Timely registration can make it easier to file an infringement lawsuit and may allow the copyright owner to seek statutory damages and attorney fees rather than having to prove the exact amount of financial harm.
[Anthropic’s $1.5 billion copyright settlement gives authors a rare victory over Big TechIndividual writers and small publishers will receive roughly $3,000 for each eligible book copied from online piracy sitesConsumerNews.aiJames R. Hood](https://www.consumernews.ai/anthropics-1-5-billion-copyright-settlement-gives-authors-a-rare-victory-over-big-tech/)
### Keep proof of ownership
Save copies of:
- Copyright registration certificates
- Publishing contracts and amendments
- Rights-reversion letters
- ISBN records
- Royalty statements
- Publication dates and edition information
- Agreements with co-authors, illustrators or translators
These documents can help establish who owns the rights and who is entitled to receive a settlement payment.
### Review older publishing contracts
Many publishing agreements signed before the AI boom do not specifically address artificial intelligence.
Authors should look for clauses involving:
- Electronic rights
- Database rights
- Digital reproduction
- Machine-readable formats
- Licensing and sublicensing
- Future technologies
- Rights not expressly granted
A contract may give the publisher broad digital rights, or the author may have retained rights that were never specifically transferred.
### Track every edition and format
Keep a complete list of hardcover, paperback, e-book, audiobook, revised and foreign-language editions.
Class-action settlements and licensing programs may identify works by title, author, ISBN or edition. A missing ISBN or alternate title can make a book harder to locate.
### Monitor settlement notices
Authors should pay attention to notices from:
- The Authors Guild and other writers’ organizations
- Publishers and literary agents
- Copyright attorneys
- Court-approved settlement administrators
- Professional associations and trade publications
Claim deadlines are strict. Missing one can eliminate the right to receive payment.
### Be cautious with unsolicited claims services
A legitimate settlement administrator will not require an author to pay an upfront fee to submit a basic claim.
Writers should verify any notice through the official settlement website or court docket before providing Social Security numbers, banking information or copies of contracts.
### Ask who controls AI licensing rights
Authors negotiating new contracts should consider adding language that clearly states:
- Whether the publisher may license the work for AI training
- Whether the author must approve such a license
- How payments will be divided
- Whether the license is exclusive or nonexclusive
- Whether the author can opt out
- Whether the publisher must disclose the AI company and intended use
### Consider registering important backlist titles
Authors with older books may want to review whether those works were ever registered, particularly if rights have reverted from the publisher.
Registration does not guarantee compensation, but it can strengthen the author’s position if the work is later copied or used without authorization.
### The bottom line
AI copyright disputes may involve hundreds of thousands of books, but compensation is ultimately determined title by title and claimant by claimant.
Authors and small publishers with organized records, clear contracts and timely registrations will be in a much stronger position when the next settlement arrives.
### FTC shuts down student loan forgiveness scam
URL: https://www.consumernews.ai/ftc-shuts-down-student-loan-forgiveness-scam/
Last updated: 2026-07-22T13:43:22.000Z
Dennise Merdjanian, an operator of a student loan debt forgiveness scheme, will bepermanently banned from the debt relief industryand telemarketing under a proposed order resolving the Federal Trade Commission’s charges that she and other operators took more than $45.9 million from consumers as part of their illegal student loan debt relief operation.
In November 2024, the Commission sued Nevada-based Superior Servicing LLC and Merdjanian alleging they pretended to be affiliated with the U.S. Department of Education and falsely promised student loan forgiveness, bilking millions from student loan borrowers.
A [federal court temporarily halted the scheme and froze its assets](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/superior%5Fservicing%5Ftro.pdf?ref=consumernews.ai) at the request of the FTC. In early 2025, the FTC filed an amended complaint adding several other companies and two scheme operators, Eric Caldwell and David Hernandez, as defendants.
In September 2025, the U.S. District Court for the District of Nevada entered orders against [Caldwell](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/StipulatedOrder-EricCaldwell.pdf?ref=consumernews.ai) and [Hernandez](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/StipulatedOrder-DavidHernandez.pdf?ref=consumernews.ai) banning them from engaging in the debt relief industry. Additionally, Caldwell’s order bans him from engaging in telemarketing, and Hernandez’s order prohibits him from violating the Telemarketing Sales Rule.
The [proposed order against Merdjanian](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/OrderGrantingStipulatedPIforDefDenniseMerdjanian.pdf?ref=consumernews.ai)will ban her from engaging in debt relief services and telemarketing. It also imposes a monetary judgment of more than $45.9 million that will be partially suspended, due to Merdjanian’s inability to pay. If Merdjanian is found to have materially misrepresented her finances, the full amount will become immediately due.
The settlement with Merdjanian, along with a default order entered against the corporate defendants, resolves the litigation against the remaining defendants in the case.
The FTC has resources on how to avoid student loan debt relief scams at [ftc.gov/StudentLoans](https://consumer.ftc.gov/articles/how-student-loans-work-how-avoid-scams?ref=consumernews.ai). Consumers can get assistance with their student loans for free at [StudentAid.gov](https://studentaid.gov/?ref=consumernews.ai).
The Commission vote approving the stipulated final order was 2-0.The FTC filed the proposed order in the U.S. District Court for the District of Nevada. Stipulated final orders have the force of law when approved and signed by the District Court Judge.
### Trump freezes $1 billion in Medicaid funding
URL: https://www.consumernews.ai/trump-freezes-1-billion-in-medicaid-funding/
Last updated: 2026-07-22T13:37:45.000Z
The Trump administration froze about $1 billion in Medicaid funding for California and Minnesota, [The Wall Street Journal reported](https://www.wsj.com/politics/policy/trump-administration-freezes-1-billion-in-medicaid-funding-for-california-and-minnesota-5ecac467?ref=consumernews.ai), the latest step in a widening federal-state confrontation over health-care policy.
Health Secretary [Robert F. Kennedy Jr. ](https://thehill.com/people/robert-f-kennedy-jr/?ref=consumernews.ai)said the administration is deferring more than $867 million in funding to California and $199 million to Minnesota.
The freeze lands as Medicaid enrollment and cost pressure has risen sharply since the 2020s pandemic-era expansion. Both California and Minnesota have said they will fight the decision through the courts.
For consumers in those states, the immediate impact will depend on how quickly state officials backfill provider payments; if the freeze extends, community clinics and long-term-care facilities dependent on federal reimbursement could see cash-flow strain within weeks.
It's the second time Trump has targeted the Democratic governors of the two states – California;s Gavin Newsom and Minnesota's Tim Walz. It's part of a broader trend of freezing funding in blue states on allegations of fraud.
Financial audits identified claims in California tied to high-risk services, like personal care and home-based services that exceeded national trends. In Minnesota, officials said the investigation involves 14 high-risk services that needed additional documentation.
The effects of the disputes may extend beyond the borders of the two embattled states. The broader picture for household health costs is that insurers, hospitals and drug distributors continue to raise prices while the federal government tightens Medicaid access — precisely the combination that helped push health-care costs into the top four voter concerns identified in the second-quarter CNBC All-America Economic Survey.
State officials called the action unjustified.
“Today’s actions show that the federal government is acting again in unprecedented and punitive ways as part of their war on Medicaid and its recipients. Partnership – not politics – is required to stop criminals and protect services for the people who need them,” said said Minnesota’s temporary commissioner and state Medicaid director John Connolly, according to [The Hill](https://thehill.com/policy/healthcare/5981015-trump-pauses-california-minnesota-medicaid/?ref=consumernews.ai).
Bank of America Chief Executive Brian Moynihan told CBS "Face the Nation" over the weekend that the Federal Reserve should raise rates three more times this year, [CBS reported](https://www.cbsnews.com/news/brian-moynihan-bank-of-america-ceo-face-the-nation-transcript-07-19-2026/?ref=consumernews.ai), a stance that would further tighten access to consumer credit at the same moment federal health support is being pared.
### National Safety Recalls - July 21
URL: https://www.consumernews.ai/national-safety-recalls-july-21/
Last updated: 2026-07-21T19:36:04.000Z
## New FDA recall: Peter Rabbit Organics fruit-puree pouches
**Pumpkin Tree Peter Rabbit Organics Banana & Strawberry Fruit Puree Pouches** are being recalled because an internal packaging defect may leave a strand of soft plastic inside the product.
The recall covers **4-ounce pouches** sold nationwide at **Kroger, Meijer and Target** between **March 6 and July 13, 2026**. Consumers should check for:
- Barcode **8 15367 01078 0**
- Lane number **4** on the rear seam
- Best-before dates **Jan. 19–20, March 17–18, or May 14–15, 2027**
No injuries have been reported. Consumers should not eat or serve the recalled puree and should discard it or return it to the store. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/pt-organics-limited-recalls-select-pumpkin-tree-peter-rabbit-organics-banana-strawberry-fruit-puree?ref=consumernews.ai))
### 🚩 Rising Pharma cetirizine tablets — possible ranitidine contamination
Four lots of **Rising Pharma Cetirizine Hydrochloride Tablets USP, 5 mg** are being recalled nationwide because they may have been cross-contaminated with ranitidine.
The affected 100-count bottles have NDC **16571-401-10**, expiration **October 2028**, and lot numbers:
**GY825029, GY825030, GY825031 and GY825032**
FDA says people hypersensitive to ranitidine could face severe allergic reactions, including anaphylaxis. No adverse events had been reported when the recall was announced. Consumers should check with a pharmacist or health-care provider rather than abruptly changing needed medication. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/unique-pharmaceutical-laboratories-div-j-b-chemicals-pharmaceuticals-ltd-issues-voluntary-nationwide?ref=consumernews.ai))
### Agency check
**CPSC:** No new July 21 product recall appeared in the latest official results. The most recent major CPSC actions remain the July 16 recalls involving children’s step stools, Cat & Jack sandals, electrical hazards, button batteries and diving regulators.
**NHTSA:** No major new national vehicle alert was confirmed today. The latest urgent NHTSA alert remains the July 9 recall of **462,869 Kia Tellurides** for an overheating power-seat motor; owners are advised to park outside until repaired. ([NHTSA](https://www.nhtsa.gov/press-releases/park-outside-recall-kia-tellurides?utm%5Fsource=chatgpt.com))
**USDA FSIS:** No new meat, poultry or processed-egg recall or public-health alert was confirmed in today’s official listings.
### GLP-1 weight-loss drugs may be worth the price — but insurers still say they can’t afford them
URL: https://www.consumernews.ai/glp-1-weight-loss-drugs-may-be-worth-the-price-but-insurers-still-say-they-cant-afford-them/
Last updated: 2026-07-21T18:22:57.000Z
The soaring cost of covering weight-loss medications is creating an unusual health insurance dilemma: The drugs may be worth what they cost, but insurers may still be unable—or unwilling—to pay for them on a broad scale.
[Researchers](https://icer.org/pressreleases/institute-for-clinical-and-economic-review-publishes-final-evidence-report-on-treatments-for-obesity/?ref=consumernews.ai) at the University of Mississippi say that distinction helps explain why health plans continue to limit access to medications such as Wegovy and Zepbound even as evidence of their medical benefits grows.
“The [ICER report](https://www.jmcp.org/doi/10.18553/jmcp.2026.32.6.753?ref=consumernews.ai) shows that GLP-1s, at the cost that they are currently being sold, provide tremendous value to society,” said Sujith Ramachandran, an associate professor of pharmacy administration at the university. “But the impact they create on the budget is still massive.”
The researchers’ analysis, published in the [*Journal of Managed Care & Specialty Pharmacy*](https://www.jmcp.org/doi/10.18553/jmcp.2026.32.6.753?ref=consumernews.ai), examined findings from the Institute for Clinical and Economic Review, or ICER, an independent nonprofit that evaluates the effectiveness and economic value of medical treatments.
ICER concluded that semaglutide—the active ingredient in Wegovy—and tirzepatide, sold for weight loss as Zepbound, produce meaningful health improvements and represent high long-term value at their estimated net prices. An independent ICER panel voted unanimously that the treatments provide a net health benefit when combined with lifestyle changes.
But “cost-effective” does not mean inexpensive, nor does it mean the drugs will immediately save an insurance company money.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
## A good value multiplied by millions of patients
The problem is scale.
About 40% of American adults have obesity, according to federal estimates cited by the researchers. Even if only a portion of eligible patients sought medication, the resulting cost could reach billions of dollars annually.
ICER uses an annual budget-impact threshold to flag treatments whose widespread use could place significant strain on the health system. That threshold is currently about $821 million, Ramachandran said.
GLP-1 medications could exceed it even if relatively few eligible patients receive treatment.
“That is happening because the patient population eligible for this medication is so large,” Ramachandran said. “Even if the medications themselves represent good value for society, that does not mean we, as a society, can take the impact of how many individuals would use this.”
ICER estimated the annual net price of injectable semaglutide at $6,829 and tirzepatide at $7,973—far below their retail list prices but still substantial when multiplied across millions of patients. The organization calculated that the drugs’ health benefits could justify prices at or above those amounts.
That leaves insurers confronting two different questions:
Does the drug provide enough health benefit to justify its cost?
And can the health plan afford to provide it to everyone who qualifies?
The answers may be “yes” and “no.”
## Future savings remain uncertain
Supporters of expanded coverage argue that treating obesity could eventually lower spending on diabetes, cardiovascular disease, kidney disease, sleep apnea and other health conditions.
The researchers said that outcome is plausible but has not yet been demonstrated clearly enough to show that the drugs will generate net savings for insurers.
“We expect that if we address the obesity issue in this country, then in theory, it should create savings down the road for cardiovascular conditions, liver conditions and kidney conditions,” Ramachandran [said](https://www.jmcp.org/doi/10.18553/jmcp.2026.32.6.753?ref=consumernews.ai). “But does that mean it actually produces savings? Well, the existing data do not show that.”
One complication is that insurers pay the cost immediately, while many of the medical benefits may emerge years later. Patients also change jobs and insurance plans, meaning the company paying for treatment today may not be the one that benefits from lower medical costs later.
Many patients also stop using GLP-1 drugs within the first year because of cost, side effects, insurance restrictions or because they have reached a target weight. Weight regain is common after treatment ends.
That weakens the argument that a limited six- or 12-month course will reliably produce lasting savings.
## The drug alone may not be enough
The researchers also cautioned that the medications did not produce their clinical-trial results in isolation.
Participants generally received lifestyle counseling or other weight-management support along with the drug. The relevant comparison, Ramachandran said, was not simply medication versus no treatment.
“It was not lifestyle management versus GLP-1,” he said. “It’s lifestyle management versus lifestyle management plus GLP-1.”
Insurance plans that cover the medication but fail to provide nutrition counseling, exercise assistance and continuing medical supervision may not achieve the same outcomes seen in clinical studies.
Ramachandran said effective programs may need to include access to registered dietitians, fitness services and other support designed to make behavioral changes sustainable.
ICER has similarly called for comprehensive obesity treatment rather than drug-only coverage. Its recommendations include less burdensome eligibility rules, lower patient cost-sharing, greater primary-care support and substantial manufacturer discounts in exchange for higher sales volume.
## Coverage is likely to remain selective
Insurance coverage has gradually expanded for patients who have diabetes or certain obesity-related conditions, including cardiovascular disease and obstructive sleep apnea.
But patients seeking treatment solely for weight loss may continue to face exclusions, prior-authorization requirements, high body-mass-index thresholds or demands that they first complete diet and exercise programs.
“We are seeing that GLP-1 coverage is getting more accessible for specific conditions—sleep apnea, diabetes, extremely high BMI or a combination of these things,” Ramachandran said. “But for other conditions, coverage is probably going to get more restrictive.”
Some insurers and employers have already narrowed or eliminated weight-loss coverage because of rapidly increasing pharmacy spending. Drugmakers, meanwhile, have increasingly turned to direct-to-consumer programs and discounted cash prices to reach patients whose insurance will not pay.
## Cheap compounded products can carry additional risks
Patients denied coverage may be tempted by websites advertising inexpensive compounded or supposedly generic versions of semaglutide and tirzepatide.
The Mississippi researchers urged consumers to proceed cautiously.
Compounded medications are not reviewed and approved by the Food and Drug Administration in the same way as branded prescription drugs. Although legitimate compounding pharmacies can legally prepare medications in limited circumstances, regulators have warned about sellers using unapproved ingredients, incorrect dosages or products of uncertain origin.
“The FDA has found websites selling unapproved ingredients or even the wrong ingredients, which is terrifying for patients,” said Liang-Yuan Lin, a University of Mississippi doctoral candidate who studies compounding pharmacies.
“Even if they’re listing the right ingredients, you don’t know where these ingredients are from or how they’ve been transported or handled, which could be really dangerous,” Lin said.
The researchers recommend that patients obtain GLP-1 medications through a licensed medical professional and verify that the product is FDA-approved.
## What consumers can do
Patients considering a GLP-1 drug should ask their insurer for the complete written coverage criteria before starting treatment. Requirements may differ depending on whether the drug is being prescribed for diabetes, obesity, cardiovascular risk reduction or another approved condition.
Consumers should also:
- Ask whether prior authorization or step therapy is required.
- Determine whether coverage continues after reaching a lower weight.
- Check whether nutritional counseling or a weight-management program is included.
- Ask the prescriber to appeal a denial and document related medical conditions.
- Compare the insurer’s price with legitimate manufacturer self-pay programs.
- Avoid sellers offering prescription injections without a medical evaluation.
- Verify the pharmacy through the relevant state board of pharmacy.
Patients should not assume that a product described as “compounded,” “generic” or “research grade” is equivalent to an FDA-approved medication.
The larger problem remains unresolved: GLP-1 drugs can deliver major health benefits, but their success has created a potential patient population so large that the conventional insurance system may be unable to finance widespread treatment at current prices.
> In other words, a medication can be worth its price—and still cost too much for everyone to receive it.
### Denied coverage? Seven steps to appeal a GLP-1 decision
URL: https://www.consumernews.ai/denied-coverage-seven-steps-to-appeal-a-glp-1-decision/
Last updated: 2026-07-21T18:22:17.000Z
Here's what you can do if your prescription is denied.
### 1\. Get the denial in writing
Ask the insurer for the complete denial notice, including the specific reason coverage was refused.
Common reasons include:
- The medication is excluded from the plan.
- The patient does not meet the required BMI threshold.
- Medical records were incomplete.
- Prior authorization was not submitted correctly.
- The insurer requires another treatment to be tried first.
- The drug was prescribed for a use the plan does not cover.
A formal exclusion is harder to overturn than a denial based on missing paperwork or insufficient documentation.
### 2\. Request the plan’s coverage rules
Ask for the insurer’s written clinical criteria and drug formulary—not just a customer-service explanation.
The rules may require documentation of obesity-related conditions such as:
- High blood pressure
- Type 2 diabetes or prediabetes
- Cardiovascular disease
- Sleep apnea
- High cholesterol
- Fatty liver disease
- Mobility limitations or joint problems
Knowing the exact criteria allows the doctor to address each requirement directly.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
### 3\. Ask the doctor to strengthen the record
The prescribing clinician should document why the medication is medically necessary and why less expensive alternatives may be inappropriate or ineffective.
The appeal should include relevant diagnoses, weight history, previous treatment attempts, laboratory results, medication history and any complications linked to obesity.
A brief prescription may not be enough. A detailed medical-necessity letter can make a substantial difference.
### 4\. Check for paperwork errors
Many prior-authorization denials involve incomplete forms, missing test results or incorrect diagnostic codes.
Ask the doctor’s office whether the insurer requested additional information and whether every question was answered. The office may be able to correct and resubmit the request without filing a full appeal.
### 5\. Use every level of appeal
Most plans provide at least one internal appeal. Some allow a second review or an external review by an independent medical expert.
Follow the deadlines listed in the denial letter. Keep copies of every form, letter, medical record and telephone note.
When calling the insurer, record:
- The date and time
- The representative’s name
- The reference number
- What was promised
- The next deadline
Patients facing an urgent medical need can ask whether an expedited appeal is available.
### 6\. Ask about employer or benefits-office help
Workers covered through an employer should contact the company’s benefits department.
Employers often decide whether weight-loss drugs are included in the plan. In some cases, the insurer merely administers rules selected by the employer.
The benefits office may be able to explain exclusions, correct enrollment problems or identify another covered treatment. Employees may also ask the employer to reconsider the exclusion during the next plan year.
### 7\. Compare legitimate alternatives carefully
Patients paying out of pocket should ask the prescriber about manufacturer programs, authorized direct-purchase channels and other FDA-approved medications.
Be cautious with websites offering unusually cheap compounded, “generic” or “research” versions of semaglutide or tirzepatide.
Red flags include:
- No prescription required
- No medical consultation
- Payment by cryptocurrency or wire transfer
- Products labeled “for research use only”
- No identifiable licensed pharmacy
- Claims that the product is identical to an approved drug
- Vials with unclear dosage or labeling
Consumers should verify the pharmacy with their state board of pharmacy and discuss any product with a licensed clinician before using it.
### The bottom line
The strongest appeal is specific, documented and tied directly to the insurer’s own rules.
Patients should not simply ask the company to reconsider. They should show, point by point, why the treatment meets the plan’s stated coverage criteria—and pursue every available level of review.
### Trump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balance
URL: https://www.consumernews.ai/trumps-cfpb-nominee-faces-senate-hearing-as-consumer-watchdog-hangs-in-the-balance/
Last updated: 2026-07-25T21:49:33.000Z
The Senate Banking Committee will hold a confirmation hearing Thursday for Brian Johnson, President Donald Trump’s nominee to lead the Consumer Financial Protection Bureau — an agency whose future may depend heavily on how Johnson answers lawmakers’ questions.
Johnson has been nominated for a five-year term as CFPB director. The [White House](https://www.whitehouse.gov/presidential-actions/2026/06/nomination-sent-to-the-senate-6e45/?ref=consumernews.ai) formally submitted his nomination to the Senate on June 10\.
Although confirmation hearings for financial regulators rarely attract broad public attention, this one could have direct consequences for consumers dealing with credit cards, mortgages, debt collectors, credit bureaus, payment apps, auto lenders and other financial companies.
The CFPB is supposed to police those markets, investigate consumer complaints, supervise financial institutions and enforce federal consumer-protection laws. But much of that work has been curtailed under acting director Russell Vought, who has sought to sharply reduce the bureau’s workforce, regulations and enforcement activity.
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
## Johnson could decide the fate of mass layoffs
One of Johnson’s first major decisions, if confirmed, could be whether to move ahead with a sweeping reduction-in-force plan that would cut the CFPB’s workforce to 556 employees — less than one-third of its size when Trump returned to office.
The proposal would eliminate roughly 80% of the bureau’s enforcement positions and 85% of its supervision staff, according to court filings. Those are the employees who investigate alleged wrongdoing and examine whether banks and other financial companies are complying with the law.
A federal judge recently paused litigation over the layoffs after both the administration and the CFPB employee union agreed that Johnson, if confirmed, should be given the opportunity to review the plan and decide whether to proceed.
That gives the confirmation hearing unusually high stakes. Senators are likely to press Johnson on whether he supports the proposed staffing cuts, whether the bureau should continue bringing enforcement cases and whether it can fulfill its legal responsibilities with only a fraction of its former workforce.
They may also question whether Johnson would operate independently or simply continue the policies established by Vought and the White House.
Vought is expected to lose his authority to serve as acting director around Aug. 1, adding urgency to the Senate process, according to the newsletter [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/06/11/trump-nominates-brian-johnson-to-lead-cfpb-a-strong-choice-but-is-there-another-reason-for-the-timing/?ref=consumernews.ai).
[Five questions senators should ask Brian JohnsonHere’s the companion sidebar: Brian Johnson’s answers at his confirmation hearing could reveal whether the Consumer Financial Protection Bureau will remain an active watchdog or become a largely dormant agency. 1\. Will you preserve the CFPB’s enforcement staff? The bureau cannot protect consumers without lawyers and investigatorsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/five-questions-senators-should-ask-brian-johnson/)
## Who is Brian Johnson?
Johnson is not new to the bureau.
He joined the CFPB in December 2017 as a senior adviser, became principal policy director in 2018 and later served as acting deputy director and deputy director during the first Trump administration.
Before joining the bureau, Johnson spent more than five years on the House Financial Services Committee, where he worked on consumer credit, mortgage lending, credit reporting, banking and data-security policy.
He previously worked for the Ohio attorney general and the White House Domestic Policy Council and holds both an economics degree and a law degree from the University of Virginia.
After leaving government, Johnson worked at a law firm and at financial-services consulting firm Patomak Global Partners. He joined Capital One in November 2024 as vice president and U.S. card compliance officer.
That combination of regulatory and industry experience is likely to be portrayed by supporters as an asset and by critics as a potential conflict.
## Banks line up behind the nominee
Major banking, mortgage and credit-union trade associations have endorsed Johnson, describing him as an experienced regulator who understands both consumer law and the financial industry.
American Bankers Association President and CEO Rob Nichols said Johnson would bring a “thoughtful approach” to setting the bureau’s priorities. The Consumer Bankers Association called for a more stable CFPB that operates within its congressional mandate, while the Mortgage Bankers Association praised Johnson’s knowledge of rulemaking, supervision and enforcement, the [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/06/17/banking-groups-support-johnson-nomination/?ref=consumernews.ai) said.
The industry groups have emphasized regulatory certainty, tailored rules and reductions in compliance burdens.
Those positions suggest Johnson would probably receive strong Republican support and could have enough votes to advance from the committee, although the timing of a full Senate vote remains uncertain.
## Warren calls Johnson another “hatchet man”
Sen. Elizabeth Warren of Massachusetts, the committee’s ranking Democrat and the original architect of the CFPB, has already made clear that Johnson will face a hostile reception from at least some senators.
When the nomination was announced, Warren called Johnson the administration’s “next hatchet man” and accused Trump of trying to gut an agency that she said has returned more than $21 billion to consumers harmed by financial companies.
Other Democrats are likely to focus on Johnson’s willingness to restore enforcement activity, protect the consumer-complaint database and preserve rules involving overdraft fees, credit reporting, medical debt, mortgages and digital payments.
They may also ask whether he agrees with Vought’s recent testimony that Congress should consider abolishing the bureau or dramatically restricting its authority.
Vought has defended his tenure by arguing that the CFPB imposed unnecessary costs and discouraged lending. Consumer advocates dispute that analysis and say weakening the bureau leaves families more exposed to fraud, abusive lending and illegal fees.
## What consumers should watch for
The hearing may reveal whether Johnson intends to operate the CFPB as a smaller but functioning regulator or oversee the final stages of its dismantling.
Among the most important questions:
**Will he preserve the bureau’s enforcement and supervision divisions?**
Without investigators and examiners, consumer-protection laws may exist largely on paper.
**Will the CFPB continue accepting and publishing consumer complaints?**
The complaint system helps consumers seek responses from companies and allows regulators and journalists to detect emerging patterns of abuse.
**Will he pursue companies that violate existing law?**
Johnson could choose to revive suspended investigations and lawsuits — or continue the administration’s retreat from enforcement.
**Will he maintain independence from the financial industry?**
His current position at Capital One is likely to intensify questions about recusals, conflicts and the bureau’s willingness to challenge major banks.
The nomination is not simply a personnel change. It may determine whether the CFPB remains capable of protecting consumers or becomes a much smaller agency with little practical ability to confront powerful financial companies.
Thursday’s hearing should offer the first clear indication of which version of the bureau Johnson intends to lead.
### Five questions senators should ask Brian Johnson
URL: https://www.consumernews.ai/five-questions-senators-should-ask-brian-johnson/
Last updated: 2026-07-21T17:35:49.000Z
Here’s the companion sidebar:
Brian Johnson’s answers at his confirmation hearing could reveal whether the Consumer Financial Protection Bureau will remain an active watchdog or become a largely dormant agency.
### 1\. Will you preserve the CFPB’s enforcement staff?
The bureau cannot protect consumers without lawyers and investigators capable of bringing cases against companies that violate the law. Johnson should be asked directly whether he supports proposed cuts that would eliminate most enforcement positions.
### 2\. Will you continue supervising banks and other financial companies?
Routine examinations often uncover problems before they become nationwide scandals. Senators should press Johnson on whether the CFPB will continue examining banks, mortgage companies, debt collectors, credit bureaus and other firms for compliance with consumer laws.
[Trump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed with a plan that would eliminate most of the bureau’s enforcement and supervision staffConsumerNews.aiJames R. Hood](https://www.consumernews.ai/trumps-cfpb-nominee-faces-senate-hearing-as-consumer-watchdog-hangs-in-the-balance/)
### 3\. Will you protect the consumer complaint system?
The CFPB complaint database gives consumers a direct channel to seek responses from financial companies and helps identify emerging patterns of abuse. Johnson should commit to preserving the system, publishing meaningful data and requiring companies to respond.
### 4\. How will you handle conflicts involving Capital One?
Johnson currently serves as a compliance executive at Capital One, one of the nation’s largest credit-card issuers. Senators should ask which matters he would recuse himself from and how long those recusals would remain in effect.
### 5\. Will you enforce laws even when the administration dislikes them?
A CFPB director is responsible for carrying out laws passed by Congress, not simply advancing the preferences of the White House or the financial industry. Johnson should be asked whether he would pursue violations involving junk fees, credit reporting, debt collection, mortgage servicing and digital payments even when doing so creates political opposition.
### The bottom line
Johnson should not be confirmed without a clear explanation of how he intends to keep the bureau functioning. Promises of “efficiency” and “regulatory certainty” mean little if the CFPB lacks enough staff to investigate complaints, examine companies and enforce the law.
### Cyclospora cases surge as thousands fall ill in fast-growing outbreak
URL: https://www.consumernews.ai/cyclospora-cases-surge-as-thousands-fall-ill-in-fast-growing-outbreak/
Last updated: 2026-07-21T13:01:19.000Z
A massive outbreak of cyclosporiasis is continuing to grow, with state health departments reporting thousands of illnesses as federal investigators try to identify all of the contaminated foods and distribution channels involved.
Michigan reported 6,148 cases as of July 20 — up from 5,002 one day earlier — while health officials in northwestern Ohio reported 2,029 patients, according to Food Safety News. The publication described the episode as the nation’s largest known outbreak involving the microscopic Cyclospora parasite, said [Food Safety News](https://www.foodsafetynews.com/email/0ae9cf22-546f-480a-8ac9-b7387211969d/?ref=fsn-daily-newsletter).
The numbers are changing rapidly and can appear contradictory. As of July 13, the Centers for Disease Control and Prevention had received reports of 1,645 laboratory-confirmed domestically acquired cases from 34 states, including 141 hospitalizations and no deaths. But the CDC said it was aware of more than 5,100 additional cases still requiring analysis and warned that state figures may be much higher and more current than federal totals, [CDC](https://www.cdc.gov/cyclosporiasis/php/surveillance/index.html?ref=consumernews.ai).
That gap reflects differences in reporting. States may include probable as well as confirmed illnesses, while CDC surveillance generally includes laboratory-confirmed cases after they have been reviewed and transmitted through the federal reporting system.
## Lettuce linked to major five-state cluster
Federal investigators have linked a large portion of the outbreak to shredded iceberg lettuce served at Taco Bell restaurants in Indiana, Kentucky, Michigan, Ohio and West Virginia.
The Food and Drug Administration said its traceback investigation converged on Taylor Farms de Mexico, which supplied lettuce to restaurants where patients reported eating before becoming ill. Among Michigan patients whose meals were analyzed, 90% reported eating iceberg lettuce, according to the [U.S. Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/investigation-5-state-outbreak-cyclospora-illnesses-iceberg-lettuce-july-2026?ref=consumernews.ai).
Taylor Farms has recalled iceberg lettuce sourced from central Mexico, including shredded lettuce and salad products distributed to restaurants and retailers in 27 states.
The recall includes certain Marketside iceberg salad and shredded lettuce products sold at selected Walmart stores. Affected products carried “best if used by” dates ranging from July 18 through Aug. 3, 2026\.
The FDA has advised consumers, restaurants and retailers not to eat or serve the recalled products and to clean and sanitize containers and surfaces that may have touched them.
[Cyclospora outbreak leads to lettuce recallThousands sickened in cyclospora recall linked to lettuceConsumerNews.aiThe Editors](https://www.consumernews.ai/cyclospora-outbreak-leads-to-lettuce-recall/)
## A false-positive test does not end the investigation
The FDA initially said a sample of Taylor Farms lettuce had tested positive for Cyclospora, but laboratory experts later determined that the finding was a false positive.
As of July 19, the agency said no food sample had produced a confirmed positive result for the parasite. However, the FDA said the laboratory reversal did not change the epidemiological and traceback evidence connecting the supplier to the five-state outbreak.
Cyclospora is unusually difficult to detect. Unlike Salmonella and E. coli, the parasite cannot be grown in laboratory cultures and subjected to routine whole-genome sequencing. Investigators therefore rely heavily on patient interviews, purchase records and supply-chain tracing.
Symptoms may not appear until one or two weeks after a person eats contaminated food. By then, patients may have difficulty remembering exactly what they ate, and the fresh produce involved may already have disappeared from stores and restaurants.
## Why the outbreak may be larger than it appears
The reported totals probably understate the number of people affected.
Some patients recover without seeking medical care. Others may not be tested because routine stool tests do not always include Cyclospora unless a clinician specifically requests it.
The CDC also assumes a reporting delay of approximately six weeks between the onset of illness and inclusion in federal surveillance data. It expects confirmed totals to continue rising as pending cases are reviewed. ([CDC](https://www.cdc.gov/cyclosporiasis/php/surveillance/index.html?ref=consumernews.ai))
Increased public awareness may also produce a surge in diagnoses without necessarily indicating that new infections are occurring at the same rate. Food-safety researchers say people who have been sick for days or weeks may now seek testing after hearing about the outbreak. ([Reuters](https://www.reuters.com/legal/litigation/what-has-made-cyclospora-behind-us-outbreak-so-challenging-trace-2026-07-20/?ref=consumernews.ai))
The lettuce cluster also does not explain every reported illness. Federal and state agencies are investigating several outbreaks and clusters that may have different food sources.
## What Cyclospora does
Cyclospora cayetanensis is a microscopic parasite that infects the small intestine. People generally become ill after consuming food or water contaminated with fecal material containing the parasite.
The most common symptom is frequent, watery diarrhea. Other symptoms can include:
- Loss of appetite and weight loss
- Stomach cramps, bloating and gas
- Nausea and fatigue
- Headache, body aches and fever
- Dehydration
Symptoms can last for weeks or longer if the infection is not treated. They may improve temporarily and then return, sometimes several times.
People with weakened immune systems may develop more serious or prolonged illness. ([U.S. Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/investigation-5-state-outbreak-cyclospora-illnesses-iceberg-lettuce-july-2026?ref=consumernews.ai))
Cyclospora does not usually spread directly from one person to another because the parasite must mature in the environment before becoming infectious. Contamination is more likely to occur when produce or water comes into contact with human waste during growing, harvesting, processing or preparation. ([CIDRAP](https://www.cidrap.umn.edu/cyclospora/what-we-truly-know-about-huge-us-cyclospora-outbreak-and-what-we-don-t?ref=consumernews.ai))
## What consumers should do
Consumers should check refrigerators for recalled Taylor Farms and Marketside iceberg products and discard or return them. Restaurants should be asked where their shredded iceberg lettuce originated if the source is unclear.
Anyone who develops persistent watery diarrhea — particularly after eating shredded iceberg lettuce during the previous two weeks — should contact a healthcare provider and mention the possibility of Cyclospora exposure.
Doctors can order a specific stool test and prescribe treatment. The standard treatment is usually the antibiotic combination trimethoprim-sulfamethoxazole, commonly known as TMP-SMX or Bactrim.
Consumers should also remember that washing produce reduces many contaminants but does not reliably eliminate Cyclospora. The parasite can adhere to irregular surfaces and crevices in leafy vegetables, and there is no practical household method that guarantees contaminated lettuce has been made safe.
The safest course during an active recall is to throw the product away rather than attempt to wash it.
## The bottom line
This is not simply an increase caused by improved counting. State reports show an extraordinary volume of gastrointestinal illness, while thousands of additional cases remain under federal review.
Although investigators have identified shredded iceberg lettuce as the likely source of a major five-state cluster, other outbreaks remain unexplained. Because Cyclospora is difficult to test for and symptoms may not appear for up to two weeks, both the case count and the list of implicated foods could continue to change.
A useful companion would be a compact **“Check your refrigerator” recall box** listing the affected states, package sizes and date codes.
### Check your refrigerator: Recalled iceberg lettuce
URL: https://www.consumernews.ai/check-your-refrigerator-recalled-iceberg-lettuce/
Last updated: 2026-07-21T13:01:42.000Z
Taylor Farms has recalled iceberg lettuce sourced from central Mexico, including shredded lettuce and salad mixes containing iceberg. Some products may remain in refrigerators because their shelf-life dates extend into early August.
### Marketside products sold at Walmart
Check for these **Marketside-brand** products:
- **Iceberg Salad**, 12-ounce and 24-ounce packages
**Best if used by:** July 18 through Aug. 3, 2026
- **Shredded Lettuce**, 8-ounce and 16-ounce packages
**Best if used by:** July 18 through Aug. 3, 2026
The products were sold at Walmart stores in:
**Alabama, Arkansas, Florida, Georgia, Indiana, Kansas, Kentucky, Louisiana, Missouri, Mississippi, Oklahoma, Tennessee, Texas, Virginia and West Virginia.**
### Food-service products
Taylor Farms also distributed recalled iceberg lettuce and lettuce blends to restaurants and other food-service customers in 27 states:
**Alabama, Arkansas, Connecticut, Florida, Georgia, Iowa, Illinois, Indiana, Kansas, Kentucky, Louisiana, Massachusetts, Maryland, Michigan, Missouri, Mississippi, North Carolina, New Hampshire, New Jersey, Ohio, Oklahoma, Pennsylvania, South Carolina, Tennessee, Texas, Virginia and Wisconsin.**
The products were distributed from June 29 through July 16\. Taco Bell has confirmed that affected restaurants stopped using lettuce from the Taylor Farms growing operation in Mexico.
[Cyclospora outbreak leads to lettuce recallThousands sickened in cyclospora recall linked to lettuceConsumerNews.aiThe Editors](https://www.consumernews.ai/cyclospora-outbreak-leads-to-lettuce-recall/)
### What to do
- **Do not eat the recalled lettuce.**
- Throw it away or return it to the store.
- Do not try to make it safe by washing it; rinsing may not remove Cyclospora.
- Wash and sanitize refrigerator drawers, containers, cutting boards and other surfaces that touched the lettuce.
- Contact a healthcare provider if watery diarrhea, stomach cramps, nausea, unusual fatigue or other symptoms develop within two weeks of eating the product.
The FDA later determined that one reported positive lettuce sample was a false positive, but the recall remains in effect because epidemiological and supply-chain evidence continues to link Taylor Farms lettuce to a major portion of the outbreak, according to [Food Safety News](https://www.foodsafetynews.com/2026/07/patient-count-in-cyclospora-outbreak-grows-by-more-than-1-000/?ref=consumernews.ai).
### Credit applications spike to a five-year high as Trump readies more tariffs
URL: https://www.consumernews.ai/credit-applications-spike-to-a-five-year-high-as-trump-readies-more-tariffs/
Last updated: 2026-07-21T12:28:50.000Z
The New York Federal Reserve on Monday flagged what may be the most telling household signal of the summer.
Its June Survey of Consumer Expectations found the credit application rate — the share of households that applied for any credit over the previous 12 months — climbed to 47.8 percent, the highest reading in nearly five years, [Reuters reported](https://www.reuters.com/business/ny-fed-survey-finds-highest-credit-application-rate-nearly-five-years-2026-07-20/?ref=consumernews.ai). Application rates rose for auto loans, credit-card limit increases and mortgage refinancing. Rejection rates also ticked higher.
The combination is a classic late-cycle warning sign. Households leaning harder on credit to smooth the Iran-driven fuel and food shocks are meeting tighter lender standards even as the labor market remains strong. Consumers who reported they would probably not be able to come up with $2,000 unexpectedly in the next month stayed near the highest levels of the past year.
Bank of America Chief Executive Brian Moynihan told CBS "Face the Nation" over the weekend that mortgage rates "aren't going to move much in the near term" and that consumers will need to keep adjusting to "the newer, higher rates that have been in place for three years now," [CBS reported](https://www.cbsnews.com/news/brian-moynihan-bank-of-america-ceo-face-the-nation-transcript-07-19-2026/?ref=consumernews.ai).
Barclays and Samsung together announced a new U.S. credit card Monday, [Reuters reported](https://www.reuters.com/business/finance/samsung-launches-first-us-credit-card-with-barclays-signals-ambitions-deeper-2026-07-20/?ref=consumernews.ai), a signal that lenders still see growth in unsecured credit even as delinquency rates climb.
### **Trump readies another tariff wave**
The Trump administration is preparing a fresh round of tariffs on dozens of countries, [Reuters reported](https://www.reuters.com/world/china/trump-prepares-fresh-tariffs-dozens-countries-ft-reports-2026-07-21/?ref=consumernews.ai) citing the Financial Times. The 25 percent tariff on most Brazilian imports announced last week takes effect Wednesday, July 22, [The Associated Press reported](https://apnews.com/hub/tariffs?ref=consumernews.ai) in its ongoing tariff coverage — set to reprice sugar, ethanol, beef and coffee for U.S. consumers. Sugar and ethanol producers in Brazil have called the new duties "a bitter pill."
Canada took a fresh hit late Monday when the Trump administration imposed an additional 50 percent tariff on certain Canadian goods, [The Wall Street Journal reported](https://www.wsj.com/economy/trade/trump-imposes-additional-50-tariffs-on-certain-canadian-goods-5ab06a45?ref=consumernews.ai). The move layers on top of ongoing negotiations over USMCA renewal — the Journal reported over the weekend that the administration will not renew the trade deal.
> For consumers, the practical impact is likely to show up first in appliance and auto prices dependent on North American supply chains, then in produce and dairy as the fall harvest season begins.
The administration's simultaneous push to preserve tariff revenue after February's Supreme Court ruling struck down the biggest of Trump's earlier tariffs suggests policymakers see the current wave as filling a fiscal hole as much as a trade-policy one.
### National Safety Recalls - July 20
URL: https://www.consumernews.ai/national-safety-recalls-july-20/
Last updated: 2026-07-20T20:32:05.000Z
## Hyundai Kona and Kona Electric — rear-seat belt may fail
Hyundai is recalling 47,749 SUVs because the rear center seat-belt buckle may not properly restrain a passenger during a crash, increasing the risk of injury.
Affected vehicles include:
- 47,733 model-year 2026 Hyundai Kona SUVs
- 16 model-year 2025 Hyundai Kona Electric SUVs
Owners are advised not to use the rear center seating position until the vehicle is repaired. Hyundai dealers will replace affected buckle assemblies free of charge; owner notices are expected by September 11, 2026\. ([Car and Driver](https://www.caranddriver.com/news/a73191371/hyundai-kona-47k-recalled-seatbelt-issue/?utm%5Fsource=chatgpt.com))
### 🚩 Zen Principle moringa capsules — possible Salmonella
Relay Peak Research has recalled Zen Principle Moringa Leaf Powder Capsules because they may be contaminated with Salmonella.
The recall covers:
- Bottles containing 180 capsules
- Lot A6FF4
- Best-by date 11/2028
- Single bottles and two-bottle packs
The supplement was sold nationwide from December 2025 through July 2026, primarily through Amazon and the company’s website, with limited sales through eBay and Etsy. Consumers should stop using and discard the capsules. No illnesses had been reported when the recall was announced July 19\. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/relay-peak-research-llc-recalls-zen-principler-moringa-capsules-because-possible-health-risk?utm%5Fsource=chatgpt.com))
### Other agency checks
**CPSC:** No recall newer than the agency’s July 16 batch appeared. The most recent major hazards remain children’s step stools and sandals, electrical and fire hazards, accessible button batteries and diving regulators that could interrupt a diver’s air supply. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
**USDA FSIS:** No new national meat, poultry or processed-egg recall or public-health alert was confirmed in the latest official listings.
### Switch to daylight time imperils retinal health, study finds
URL: https://www.consumernews.ai/switch-to-daylight-time-imperils-retinal-health-study-finds/
Last updated: 2026-07-20T19:21:11.000Z
The switch from standard to daylight time in the spring increases the risk of developing retinal vascular disease, according to scientists at Northwestern University. But the switch back to standard time in the fall reduces it.
The nationwide analysis of more than 18 million patients found an up to 30% higher risk of developing retinal vascular disease in the month following the transition to daylight saving time in the spring, and a 20% lower risk of disease in the month following the transition back to standard time in the fall.
“Our study suggests gaining an hour of sleep may be protective against disease risk,” said study lead author Dr. [Rukhsana Mirza](https://www.feinberg.northwestern.edu/faculty-profiles/az/profile.html?xid=17414&ref=consumernews.ai), professor of ophthalmology and medical education at Northwestern. “Even one hour of change can impact a patient’s health and perhaps patients who are reporting new symptoms in the period after a change in time, specifically in the spring, may warrant closer evaluation.”
Retinal vascular disease is a group of disorders that affect blood vessels in the retina and can lead to vision loss. The findings were [published](https://www.nature.com/articles/s41598-026-55281-7?ref=consumernews.ai) last month in Scientific Reports.
The the U.S. House of Representatives [passed a measure](https://energycommerce.house.gov/posts/house-passes-legislation-to-make-daylight-saving-time-permanent?ref=consumernews.ai) this week to make daylight saving time permanent. The fate of the measure in the Senate is uncertain.
### Circadian rhythm disruption
Seasonal clock changes have been shown to cause disruptions in circadian rhythm, the body’s 24-hour internal clock that regulates the sleep-wake cycle, hormone production and body temperature, among other essential bodily functions. The retina — the innermost, light-sensitive layer of tissue in the eye — provides a “window to the body” and plays an important role in circadian rhythm, Mirza said.
Recent studies have shown an association between seasonal clock changes, which can result in disrupted sleep, and increased risk of acute cardiovascular events, including stroke.
“We have seen how daylight saving time transitions, particularly the spring transition when we lose an hour of sleep, are associated with increased rates of heart attack and stroke. This led us to ask if these similar effects would be happening in the retina, which is one of the most metabolically active tissues in the body and contains some of the body's most complex microvascular networks,” Mirza said.
### **The findings**
To understand how circadian disruption impacts eye health, Mirza’s team analyzed health insurance claims data from more than 18 million patients aged 18 to 64 years who were newly diagnosed with retinal vascular disease. Patients were enrolled in the Merative MarketScan Commercial Database between 2012 and 2014.
The Northwestern scientists calculated the incidence of new diagnoses of four retinal vascular diseases in the month following the spring and fall clock changes and during two control periods in January and July. The conditions included retinal artery and vein occlusions, proliferative diabetic retinopathy and neovascular age-related macular degeneration.
The research team then compared disease risk during the week and month following each seasonal clock change.
They found that:
- The month following the spring transition to daylight saving time (when Americans lose an hour of sleep) was associated with a roughly 20-30% higher risk of proliferative diabetic retinopathy and neovascular age-related macular degeneration
- Patients had a roughly 20-40% lower risk of retinal artery occlusion, retinal vein occlusion, proliferative diabetic retinopathy and neovascular age-related macular degeneration in the month following the fall return to standard time
“I think that relationship was pretty interesting, and it makes a lot of sense. There’s been literature showing that losing an hour’s sleep and circadian misalignment can cause inflammatory responses and metabolic derangements, and there’s also been some literature suggesting that getting an hour’s sleep in the context of daylight saving might be protective,” said Dr. Kyle Chan, a resident physician in the department of ophthalmology and co-first author of the study.
Chan also noted limitations of their study include having access to only three years’ worth of patient data but that he hopes future work will replicate their findings using other larger databases.
“In the future, we’d love to see if other groups can replicate our findings in non-overlapping databases, for example those in the academic setting, or look at more years of data as well to see if these findings hold true,” Chan said.
The investigators also hope the findings will prompt future studies to investigate the impact of daylight saving transitions and sleep disturbances on a more patient level. “I think this really opens up new opportunities of collaboration between ophthalmology, neurology, sleep medicine, cardiovascular medicine ... really exciting possibilities to understand the whole person,” Mirza said.
### FDA retracts positive lettuce test, but Cyclospora outbreak investigation continues
URL: https://www.consumernews.ai/fda-retracts-positive-lettuce-test-but-cyclospora-outbreak-investigation-continues/
Last updated: 2026-07-20T14:27:36.000Z
The Food and Drug Administration has walked back one of the most dramatic developments in the ongoing Cyclospora outbreak, saying that what initially appeared to be a positive laboratory test for the parasite in Taylor Farms iceberg lettuce was, after further review, a false positive.
The agency said laboratory experts re-examined the test because Cyclospora detection is technically challenging and concluded that the result "does not represent true amplification." As a result, FDA has removed the positive-test reference from its public outbreak investigation.
But regulators stress that the outbreak itself remains very real.
FDA says it continues working with state investigators and Taylor Farms while collecting and analyzing additional product samples. As of the latest update, no food sample has been confirmed positive for Cyclospora, even though epidemiological evidence continues to point investigators toward shredded iceberg lettuce supplied by Taylor Farms de Mexico.
[Perspective: The food risks consumers should worry about mostThe Cyclospora outbreak highlights an important disconnect in public perceptions of food safety.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/perspective-the-food-risks-consumers-should-worry-about-most/)
July 20, 2026
## Recall remains in effect
Despite the testing error, Taylor Farms' voluntary recall remains in place.
The company withdrew shredded iceberg lettuce sourced from central Mexico that was distributed to retailers and food-service customers in 27 states between late June and mid-July.
FDA continues to advise consumers to:
- Check whether recalled lettuce is in their refrigerator.
- Throw away recalled products.
- Wash and sanitize containers, cutting boards and refrigerator shelves that may have come into contact with the lettuce.
- Contact a healthcare provider if symptoms develop after eating recalled products.
Taylor Farms [said](https://www.taylorfarms.com/newsroom/taylor-fresh-foods-statement-regarding-cyclospora-outbreak/?ref=consumernews.ai) FDA apologized for the erroneous laboratory finding but emphasized that it voluntarily initiated the recall out of caution while the investigation continues.
## Why outbreaks are so difficult to solve
Unlike bacterial contamination, [Cyclospora](https://www.cdc.gov/cyclosporiasis/index.html?ref=consumernews.ai) is notoriously difficult to detect in food samples.
The parasite often contaminates produce in very low numbers, laboratory testing is technically demanding, and contaminated food may already be consumed before investigators identify a common source.
That means epidemiological evidence—identifying what sick people ate—often carries more weight than laboratory confirmation.
## What consumers should do
Until the investigation is completed, food safety experts recommend:
- Discard recalled shredded iceberg lettuce.
- Choose whole heads of lettuce instead of pre-shredded products if possible.
- Wash hands, utensils and food-preparation surfaces thoroughly.
- Seek medical care if severe diarrhea develops within about two weeks after eating leafy greens.
Cyclospora infection commonly causes:
- Persistent watery diarrhea
- Stomach cramps
- Fatigue
- Nausea
- Loss of appetite
- Weight loss
Symptoms can last for weeks if untreated, although effective antibiotics are available for most patients.
---
#
### Perspective: The food risks consumers should worry about most
URL: https://www.consumernews.ai/perspective-the-food-risks-consumers-should-worry-about-most/
Last updated: 2026-07-20T14:29:16.000Z
The [Cyclospora outbreak](https://www.consumernews.ai/fda-retracts-positive-lettuce-test-but-cyclospora-outbreak-investigation-continues/) highlights an important disconnect in public perceptions of food safety.
Consumers are bombarded with social-media videos warning about:
- Heavy metals in vegetables
- "Toxic" food additives
- Seed oils
- Plastic chemicals
- Trace pesticide residues
Some of these issues deserve scientific attention, especially for vulnerable populations or with long-term cumulative exposure.
But from a public-health standpoint, they generally are not what send people to emergency rooms this week.
## The biggest risks are still microbes
Every year in the United States, foodborne pathogens such as:
- **Salmonella**
- **Listeria**
- **E. coli O157:H7**
- **Campylobacter**
- **Norovirus**
- **Cyclospora**
cause roughly:
- **48 million illnesses**
- **128,000 hospitalizations**
- **About 3,000 deaths**
according to longstanding CDC estimates.
These outbreaks can produce severe dehydration, kidney failure, miscarriage, bloodstream infections and death—particularly among young children, older adults, pregnant women and immunocompromised patients.
By comparison, many of the food hazards that dominate wellness influencers' feeds involve theoretical or long-term risks rather than immediate illness.
[FDA retracts positive lettuce test, but Cyclospora outbreak investigation continuesThe FDA now says a laboratory test that appeared to detect Cyclospora in Taylor Farms iceberg lettuce was a false positive, but the outbreak investigation is continuing and the recall remains in effect.ConsumerNews.aiThe Editors](https://www.consumernews.ai/fda-retracts-positive-lettuce-test-but-cyclospora-outbreak-investigation-continues/)
## Relative risk matters
That doesn't mean concerns about contaminants or additives should be ignored.
But consumers often receive a distorted picture of food safety.
For example:
**Higher immediate risk**
- Undercooked poultry
- Contaminated leafy greens
- Raw sprouts
- Unpasteurized milk
- Cross-contamination in the kitchen
**Generally lower immediate risk**
- Trace heavy metals below regulatory limits
- FDA-approved food additives
- Approved pesticide residues
- Packaging chemicals at typical exposure levels
Public-health experts frequently note that consumers can reduce their risk far more by practicing safe food handling than by avoiding ingredients that become popular targets on social media.
## The bottom line
The FDA's false-positive announcement changes one important detail of the Cyclospora investigation—but not the larger public-health message.
Thousands of Americans have already become ill in one of the largest produce-related outbreaks in years, and investigators continue searching for definitive laboratory confirmation of the source.
For consumers, the practical advice remains unchanged: follow recall notices, practice careful food handling, and remember that while wellness trends often focus on hypothetical chemical hazards, foodborne infections remain among the most common—and most preventable—serious risks in the American food supply.
### Looking for advice?
It's not hard to find nutrition advice. The internet is crawling with it but much, if not most, of what you find there is bogus, promoted by the supplement manufacturers who sell unregulated, unproven nostrums of little or no value.
You can, of course, talk to your doctor but the truth is that many physicians are so busy that any advice you get from them will be at best sketchy. There are, of course, hundreds of reputable, science-based websites but it's hard consumers to know which are the most reliable.
Here's a hint: Anyone with "Ph.D., R.D." after their name is a [registered dietitian](https://www.cdrnet.org/RDN?ref=consumernews.ai) who holds a doctoral degree. This is a person who actually understands nutrition down to the molecular level. A good example is [Jessica Knurick](https://www.facebook.com/search/top?q=jessica%20knurick%2C%20phd%2C%20rd), who posts regularly on [Substack](https://drjessicaknurick.substack.com/?utm%5Fid=97758%5Fv0%5Fs00%5Fe0%5Ftv2%5Fa1demoo4m6af9w), [Facebook](https://www.facebook.com/richroll/posts/pfbid02mcmo9L44ns7ZaPsysR3iwV8DzjXuqBQXrTRUWPb39nwVRGvdLkwWCYDCqvaNtNvWl) and elsewhere. She offers accurate, science-based advice and also debunks the myths perpetrated by supplement pushers and their accomplices.
### Gas averages $4 as Brent tops $90, difficult week ahead
URL: https://www.consumernews.ai/gas-averages-4-as-brent-tops-90-june-home-sales-sag-airlines-face-a-difficult-winter-trumps-brazil-tariff-arrives-and-taylor-farms-lettuce-recall-spreads-to-27-states/
Last updated: 2026-07-20T14:30:11.000Z
American households opened the workweek to a punishing five-front squeeze on prices and safety. The national average price for regular gasoline crossed $4 a gallon Monday for the first time since June 17 as the U.S.-Iran war entered its ninth consecutive day of strikes and Brent crude pushed past $90\.
Existing home sales fell in June while prices hit an all-time high, cementing housing as the top political concern of young voters. Europe's biggest budget airline warned Monday that fuel-driven costs and softer bookings will produce a "difficult winter," a signal that U.S. carriers face the same margin math. The Trump administration's new 25 percent tariff on Brazilian imports takes effect Wednesday, hitting sugar, ethanol, beef and coffee.
And Taylor Farms' iceberg lettuce recall has expanded to 27 states with more than 1,600 confirmed illnesses tied to a cyclospora outbreak. Together, the five stories set the price and safety backdrop for a week Wall Street is spending on megacap earnings from Alphabet, Tesla, Intel, GM and Coca-Cola.
### **Gas crosses $4 as Brent tops $90**
The national average price of regular gasoline hit $4 a gallon Monday morning, [The Associated Press reported](https://apnews.com/article/gas-prices-iran-war-4-gallon-4b82825734ec3ded192351e53a4be69e?ref=consumernews.ai) citing AAA data, up from $3.14 a year earlier and above the $3.87 average recorded a week ago. It was the first time the national average returned to $4 since June 17, according to [NBC News tracking](https://www.nbcnews.com/business/energy/gas-prices-hit-4-dollars-renewed-iran-russia-tensions-rcna588055?ref=consumernews.ai). Diesel climbed to $5.11 a gallon Monday, up roughly 23 cents from a week earlier and about 36 percent since the Iran conflict began, [per The New York Times](https://www.nytimes.com/2026/07/20/business/four-dollar-gas-iran-war.html?ref=consumernews.ai).
The pump surge tracked a fresh Brent crude rally. Global Brent crude for September delivery climbed to $90.79 a barrel early Monday, its highest level since June 11, and West Texas Intermediate rose to $84.68, [Reuters reported](https://www.reuters.com/business/energy/brent-oil-tops-90-us-iran-intensify-attacks-middle-east-2026-07-20/?ref=consumernews.ai). Both contracts closed last week up nearly 16 percent, Brent's biggest weekly advance since April. American forces have started a ninth consecutive night of strikes on Iranian targets, and Iran's Revolutionary Guards said no oil or gas would move through the Strait of Hormuz while U.S. attacks continue, [Reuters reported](https://www.reuters.com/business/energy/oil-rises-intensifying-us-iran-hostilities-threat-red-sea-closure-2026-07-17/?ref=consumernews.ai) in follow-up coverage. Quantum Strategy's David Roche told CNBC clients Monday that "at this rate of depletion oil inventories get tight in September and even the U.S. gets stressed," [per CNBC](https://www.cnbc.com/2026/07/20/oil-prices-today-brent-wti-crude-us-iran-centcom-hormuz.html?ref=consumernews.ai), setting a target range of $95 to $105 a barrel.
The refining picture is grim for consumers. The U.S. 3-2-1 refining crack spread has surged to an all-time high near $70 a barrel, [Reuters commentary noted](https://www.reuters.com/commentary/reuters-open-interest/forget-crude-war-pushes-refiners-brink-2026-07-20/?ref=consumernews.ai); European diesel margins have jumped to a record near $65 a barrel. That means retail fuel prices will stay elevated even if crude cools. Several Federal Reserve policymakers signalled over the weekend that additional interest rate hikes may be needed to curb price pressures, [Reuters reported](https://www.reuters.com/world/india/gold-slips-oil-prices-advance-fed-rate-hike-voices-grow-2026-07-20/?ref=consumernews.ai) — tightening the vise on households already stretched by fuel.
### **Housing market falters as prices hit a record**
The June housing report crystallized the second consumer squeeze. Existing home sales fell month over month in June while median prices reached an all-time high, [CNBC reported](https://www.cnbc.com/business/?ref=consumernews.ai) — a combination that captures why the housing market is "hurting so much this summer": rates remain stubbornly high, prices are at records and consumers are increasingly stressed. Mortgage rates have stayed well above 6 percent as the fixed-income market prices in a possible September rate hike, with the 10-year U.S. Treasury yield reaching 4.558 percent Monday, [CNBC noted](https://www.cnbc.com/world/?ref=consumernews.ai).
For a widening slice of the country, the affordability crisis has become the top political issue. Housing costs rank higher than the cost of food or protecting democracy among voters ages 18 to 34, [CNBC reported](https://www.cnbc.com/2026/07/19/housing-costs-election-young-voters-cnbc-survey-finds.html?ref=consumernews.ai) from its All-America Economic Survey for the second quarter, which polled 1,000 registered voters between July 8 and 12\. Housing is the top concern for male voters ages 18 to 49 and the second-most-important issue for all voters ages 35 to 49\. For the overall electorate, the cost of housing tied with the cost of health care as the fourth-most-important issue facing the country — behind food and groceries, protecting democracy, and immigration.
Bank of America Chief Executive Brian Moynihan, appearing Sunday on CBS "Face the Nation," told viewers his bank expects the Federal Reserve to raise rates three more times by year end, [CBS reported](https://www.cbsnews.com/news/brian-moynihan-bank-of-america-ceo-face-the-nation-transcript-07-19-2026/?ref=consumernews.ai). Moynihan added that mortgage rates "aren't going to move much in the near term" and that consumers will need to keep adjusting to what he called "the newer, higher rates that have been in place for three years now." Wage growth, he said, will eventually catch up. Practically, that means the summer buying season is closing without the rate relief that first-time buyers and downsizing seniors have been waiting on.
### **Airlines warn of a 'difficult winter'**
Europe's largest budget airline, Ryanair, gave the clearest picture Monday of what higher fuel and softer bookings do to airline margins. First-quarter after-tax profit fell 34 percent to €538 million, or about $616 million, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-07-20/ryanair-profit-hit-by-rising-oil-prices-forcing-fare-stimulus?ref=consumernews.ai), down from €820 million a year earlier and short of the €624 million Bloomberg analyst consensus. Ryanair warned Monday that "its average summer fares looked set to be modestly down on last year amid uncertainty around the Iran war," [Reuters reported](https://www.reuters.com/business/aerospace-defense/ryanair-sees-lower-summer-fares-profit-misses-forecasts-2026-07-20/?ref=consumernews.ai), and it flagged what [CNBC characterized](https://www.cnbc.com/2026/07/20/ryanair-q1-earnings-iran-war-summer-fares.html?ref=consumernews.ai) as a "difficult winter" for the sector.
The read-across to U.S. carriers is direct. United Airlines said last week that it expects to spend $6 billion more on jet fuel this year than it planned. American Airlines, Alaska Air, Southwest Airlines and Delta all report second-quarter earnings this week, and Wall Street is watching for whether U.S. carriers echo Ryanair's fare-cut playbook or hold prices and cut capacity. Domino's Pizza also missed both sales and profit estimates for a second consecutive quarter Monday morning, [Reuters reported](https://www.reuters.com/business/?ref=consumernews.ai), citing weak demand, intensifying competition and macroeconomic uncertainty — a warning shot for consumer-discretionary earnings that continue this week with Alphabet, Tesla, Intel, General Motors, Coca-Cola and AT&T, [CNBC reported](https://www.cnbc.com/2026/07/19/earnings-playbook-alphabet-tesla-headline-this-weeks-big-reports.html?ref=consumernews.ai) in its earnings playbook.
### **Trump's 25 percent Brazil tariff hits Wednesday**
The Trump administration's new 25 percent tariff on most Brazilian imports takes effect Wednesday, July 22, [The Associated Press reported](https://apnews.com/hub/tariffs?ref=consumernews.ai), citing what it called "unfair trade practices" by the world's 10th-largest economy. For U.S. consumers, the immediate pinch will show up in sugar, ethanol, beef and other pantry staples. Brazil's instant coffee sector won an eleventh-hour exemption last week that protects an estimated $2.5 billion in annual exports.
The Brazil action lands alongside signs that China trade friction is worsening despite the current truce. China's exports of rare-earth magnets to the United States are 20 percent lower than a year ago, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-07-20/china-is-exporting-20-fewer-magnets-to-us-despite-trade-truce?ref=consumernews.ai), threatening electric vehicle and appliance production. Meanwhile the administration is also pressing Congress to rebuild the tariff powers the Supreme Court struck down in February, a process that AP has described as an effort to preserve tariff revenue that "dried up" after the ruling. Secretary of State Marco Rubio said Sunday that Chinese President Xi Jinping is still planning to visit the United States despite tensions after Trump's weekend address, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-07-20/rubio-says-china-s-xi-still-set-to-visit-us-after-trump-speech?ref=consumernews.ai).
### **Taylor Farms lettuce recall expands to 27 states**
[FDA retracts positive lettuce test, but Cyclospora outbreak investigation continuesThe FDA now says a laboratory test that appeared to detect Cyclospora in Taylor Farms iceberg lettuce was a false positive, but the outbreak investigation is continuing and the recall remains in effect.ConsumerNews.aiThe Editors](https://www.consumernews.ai/fda-retracts-positive-lettuce-test-but-cyclospora-outbreak-investigation-continues/)
The consumer-safety story of the week is the widening iceberg lettuce recall. Taylor Farms announced late Friday that it was recalling iceberg lettuce shipped to retailers in 27 states, [The New York Times reported](https://www.nytimes.com/2026/07/18/health/taylor-farms-iceberg-lettuce-recall.html?ref=consumernews.ai), because it was potentially contaminated with cyclospora, a parasite that can cause vomiting, cramping and "explosive diarrhea." The affected product was shipped as recently as Thursday, with expiration dates through Aug. 3.
The scale is significant. At least 1,645 people have fallen ill and 141 have been hospitalized, with most of the hospitalizations traced to lettuce sent to Taco Bell restaurants in five states, according to Centers for Disease Control and Prevention data reported by the Times. Taco Bell said it has removed all of the lettuce from its restaurants.
The CDC is also investigating more than 5,100 additional suspected cases, and the U.S. is on track to have more cyclospora cases in 2026 than in any previous year. Walmart pulled four types of bagged iceberg lettuce sold under its Marketside private label from 27 states as a precaution, and both Sysco and US Foods have withdrawn or notified customers of affected product.
Complicating consumer alerts, [The Wall Street Journal reported](https://www.wsj.com/health/healthcare/fda-walks-back-finding-of-cyclospora-parasite-ba6f1d76?ref=consumernews.ai) that the Food and Drug Administration walked back an earlier cyclospora finding — a reminder that the source and scope of the outbreak remain unsettled. Shoppers should check the eight brand codes Taylor Farms listed, discard any suspect product or return it for a full refund, and treat mixed iceberg-and-romaine bags with special caution.
### **The bigger picture**
Monday's five stories converge on a straightforward point: the Iran war is now radiating through nearly every corner of the American consumer economy at once. Gasoline is back at $4, home affordability is worse, airlines are trimming fares to fill seats, tariffs are widening on Brazil and China, and the biggest fresh-produce recall in years is spreading through the grocery aisle. Federal Reserve officials are moving toward more rate hikes rather than less, Bank of America expects three more before year end, and the megacap earnings calendar this week — Alphabet, Tesla, Intel, GM, Coca-Cola, AT&T — will determine whether Wall Street's AI-driven rally can withstand these compounding cost pressures.
For households, the practical playbook is unchanged from last week and even more urgent: fill up now, front-load big-ticket purchases before Wednesday's Brazil tariff hits shelves, inspect lettuce recall codes before eating, and treat any relief at the pump or in mortgage markets as temporary until the fighting stops.
### National Safety Recalls - July 19
URL: https://www.consumernews.ai/national-safety-recalls-july-19/
Last updated: 2026-07-19T22:17:03.000Z
## Major FDA recall: iceberg lettuce tied to 1,644 illnesses
Taylor Fresh Foods/Taylor Farms de Mexico iceberg lettuce has been recalled because of possible Cyclospora contamination linked to a five-state outbreak.
The outbreak has caused:
- 1,644 reported illnesses
- 94 hospitalizations
- No reported deaths
Illnesses began between May 13 and July 13, 2026\. FDA says the investigation remains ongoing.
### Products consumers should check
The recall includes Marketside-brand products sold at select Walmart stores:
- Iceberg Salad, 12-ounce and 24-ounce packages
Best-if-used-by dates: July 18 through August 3, 2026
- Shredded Lettuce, 8-ounce and 16-ounce packages
Best-if-used-by dates: July 18 through August 3, 2026
Additional recalled iceberg lettuce and salad products were distributed to restaurants and food-service customers under brands including CV, JB and Mark.
The products were distributed across at least 28 states. Marketside products were sold at certain Walmart stores in Alabama, Arkansas, Florida, Georgia, Indiana, Kansas, Kentucky, Louisiana, Missouri, Mississippi, Oklahoma, Tennessee, Texas, Virginia and West Virginia. Recalled lettuce was also supplied to some Taco Bell locations.
### What consumers should do
Do not eat the recalled lettuce. Throw it away or return it for a refund, and clean containers and refrigerator surfaces it touched. Cyclospora commonly causes prolonged or recurring diarrhea, stomach cramps, nausea, fatigue, appetite loss and weight loss. People who develop symptoms—particularly after eating shredded iceberg lettuce—should contact a health-care provider.
### Other agency checks
**CPSC:** No recalls newer than the agency’s July 16 batch appeared.
NHTSA: No new national recall alert appeared after the July 9 Kia Telluride park-outside fire warning.
USDA FSIS: No new meat or poultry recall or public-health alert appeared after the July 3 GoodTimes beef-jerky allergen alert.
### The prescription price on your insurance card may not be the lowest - here’s how to find a better deal
URL: https://www.consumernews.ai/the-prescription-price-on-your-insurance-card-may-not-be-the-lowest-heres-how-to-find-a-better-deal/
Last updated: 2026-07-19T15:32:32.000Z
The government’s latest crackdown on pharmacy benefit managers could eventually lower prescription costs for millions of patients — but it does not eliminate the need to shop around.
The Federal Trade Commission announced a [proposed settlement](https://www.ftc.gov/news-events/news/press-releases/2026/07/ftc-secures-major-settlement-caremark-resolving-antitrust-case-against-second-drug-middleman?ref=consumernews.ai) with CVS Caremark and its affiliated purchasing organization, Zinc Health Services, that would change how one of the nation’s largest drug middlemen handles rebates, formularies and payments to pharmacies.
The FTC estimates that the agreement could preserve up to $8.5 billion in consumer savings over 10 years and generate up to another $4.5 billion through rebates passed directly to patients at the pharmacy counter.
But those are projected systemwide savings, not checks that will be mailed to individual consumers. The amount any patient saves will depend on whether an employer or insurance plan adopts the new pricing options, which drugs the patient takes and how the plan calculates deductibles, copayments and coinsurance.
The settlement is also still a proposed consent order. It was accepted for a 30-day public-comment period and will carry the force of law only after the FTC issues a final order.
[Prescription pricesThe prescription price on your insurance card may not be the lowest - here’s how to find a better dealThe FTC’s proposed Caremark settlement could produce as much as $13 billion in prescription-drug savings over 10 years.ConsumerNews.aiJames R. HoodHow to get the best prescription priceAsk theConsumerNews.aiJames R. Hood](https://www.consumernews.ai/prescription-prices/)
## Why an expensive drug may be preferred
Caremark is a pharmacy benefit manager, or **PBM**. PBMs negotiate with drug manufacturers, design lists of covered drugs known as **formularies**, create pharmacy networks and process prescription claims for insurers and employer health plans.
In theory, PBMs use their bargaining power to obtain lower prices.
The FTC alleged that Caremark, Express Scripts and OptumRx instead developed a system that rewarded large rebates tied to high list prices. Drugmakers allegedly competed for favorable formulary placement by offering bigger rebates rather than lower net prices.
That system could result in a high-list-price medication receiving better insurance coverage than an equivalent drug with a much lower list price.
The PBM or its affiliated purchasing organization might collect a larger rebate or fee, while patients whose deductibles or coinsurance were based on the inflated list price paid more at the pharmacy counter, according to the [FTC](https://www.ftc.gov/news-events/news/press-releases/2026/07/ftc-secures-major-settlement-caremark-resolving-antitrust-case-against-second-drug-middleman?ref=consumernews.ai).
The FTC’s case focused primarily on insulin, but the incentive structure can affect other expensive brand-name and specialty drugs.
Image: ChatGPT
## What the Caremark settlement would change
Under the proposed order, Caremark would have to stop discriminating against lower-list-price versions of drugs on its standard formularies.
It must also offer health plans an option under which rebates are passed through to patients at the point of sale. A patient’s cost could then be calculated using the plan’s negotiated price after rebates rather than the drug’s much higher list price.
Caremark would also have to offer plans a way to move away from rebate guarantees and “spread pricing,” in which a PBM charges a health plan more for a drug than it reimburses the pharmacy and retains the difference.
Other provisions would:
- Separate certain PBM and purchasing-organization fees from drug list prices.
- Increase pricing and rebate information available to health plans.
- Expand insulin affordability programs.
- Give community pharmacies an opportunity to use more transparent reimbursement arrangements.
- Prevent Caremark from unfairly blocking pharmacies from working with prescription “hub” services that help patients locate assistance and lower-cost options.
### Similar to Express Scripts
The settlement follows a similar February 2026 [agreement with Express Scripts](https://www.ftc.gov/news-events/news/press-releases/2026/02/ftc-secures-landmark-settlement-express-scripts-lower-drug-costs-american-patients?ref=consumernews.ai). The FTC said that agreement could reduce patients’ out-of-pocket costs by as much as $7 billion over 10 years. It also required Express Scripts to stop favoring higher-list-price versions of drugs in its standard formularies and offer plans pricing based on net cost rather than an inflated list price.
The FTC has also withdrawn its case against OptumRx from active adjudication while it considers a proposed consent agreement.
## What this means at the pharmacy counter
The settlements could gradually make lower-priced drugs easier to obtain and allow more rebates to reach patients directly.
They will not necessarily produce an immediate reduction every time someone fills a prescription.
Caremark and Express Scripts are required to offer many of the new arrangements to employers and health plans. In some cases, the employer or insurer must elect to use them.
Consumers therefore should not assume that the price generated when a pharmacist runs an insurance claim is automatically the best available price.
A prescription can have several different prices:
- The price using insurance.
- The pharmacy’s regular cash price.
- A price offered through a prescription-discount service.
- A manufacturer’s direct-purchase or assistance-program price.
- A lower price for a generic, biosimilar or alternative medication.
- A different price at another pharmacy in the same insurance network.
The lowest option can vary not only by drug but also by dosage, quantity, pharmacy and month.
##
### How to get the best prescription price
URL: https://www.consumernews.ai/how-to-get-the-best-prescription-price/
Last updated: 2026-07-19T15:32:50.000Z
Before paying, ask the pharmacist two questions:
- “What is my price using insurance?”
- “What would the same prescription cost if I paid cash?”
For some inexpensive generic drugs, a pharmacy’s cash price or membership-program price may be lower than the insurance copayment.
Paying cash may have a disadvantage, however. The purchase may not automatically count toward an insurance deductible or annual out-of-pocket limit. Consumers should ask their plan whether they can submit the receipt and whether the expense will be credited.
[Prescription pricesThe prescription price on your insurance card may not be the lowest - here’s how to find a better dealThe FTC’s proposed Caremark settlement could produce as much as $13 billion in prescription-drug savings over 10 years.ConsumerNews.aiJames R. HoodHow to get the best prescription priceAsk theConsumerNews.aiJames R. Hood](https://www.consumernews.ai/prescription-prices/)
### Compare several pharmacies
Prescription prices can differ sharply among pharmacies, even within the same city.
Check the price at:
- A preferred pharmacy listed by the insurance plan.
- An independent community pharmacy.
- A supermarket or warehouse pharmacy.
- A mail-order pharmacy.
- A legitimate online pharmacy.
- At least one prescription-price comparison service.
A pharmacy that is “in network” may still cost more than one designated as “preferred.” Medicare advises Part D members that some plans provide discounts or cover certain drugs only through network pharmacies. It also recommends asking whether a two- or three-month supply may be more economical for medications taken regularly. ([Medicare](https://www.medicare.gov/health-drug-plans/part-d/using-drug-coverage?utm%5Fsource=chatgpt.com))
### Ask the prescriber about generics
Consumers should ask whether the prescription can be filled with a generic drug and whether the prescription permits generic substitution.
FDA-approved generics must match the brand-name drug in dosage form, strength, safety, quality, route of administration and intended use, according to the [U.S. Food and Drug Administration](https://www.fda.gov/drugs/generic-drugs/generic-drugs-questions-answers?utm%5Fsource=chatgpt.com).
Generics usually cost less, but the least expensive generic can vary by pharmacy and insurer.
### Ask about a lower-cost drug in the same class
Sometimes the cheapest option is not a generic version of the prescribed drug but a different medication that treats the same condition.
Ask the prescriber:
“Is there a less expensive drug in the same class that would work for me?”
“Is there a preferred drug on my insurance formulary?”
“Is there a lower-list-price version that avoids the deductible or high coinsurance?”
Consumers should never switch drugs, alter a dose or split pills without approval from the prescriber or pharmacist.
### Ask whether a biosimilar is available
Biologic drugs used to treat conditions such as arthritis, cancer, diabetes and inflammatory diseases can be extremely expensive.
An FDA-approved biosimilar is highly similar to an existing biologic and has no clinically meaningful differences in safety or effectiveness. Biosimilars may cost less and may be covered more favorably by an insurance plan.
Availability and substitution rules vary, so patients should discuss the option with both the prescriber and pharmacist.
### Check manufacturer assistance
Manufacturers of expensive brand-name and specialty medications may offer:
- Copay assistance for people with commercial insurance.
- Free or discounted drugs for qualifying uninsured patients.
- Income-based patient-assistance programs.
- Temporary supplies while an insurance appeal is pending.
Manufacturer copay coupons generally cannot be used by people enrolled in federal health programs such as Medicare or Medicaid, but separate patient-assistance programs may be available.
Prescription hub services may also help patients complete prior-authorization paperwork, compare out-of-pocket options and connect with financial assistance. The Caremark settlement specifically prohibits certain interference with pharmacies that use these services.
### Compare discount prices carefully
Prescription-discount cards and websites can offer substantial savings, particularly for generic drugs and people with high deductibles.
But a discount card is not insurance. It normally replaces the insurance transaction rather than supplementing it.
Before using one, compare:
1. The insurance price.
2. The discount-card price.
3. The pharmacy’s cash price.
4. The price at a competing pharmacy.
Also check whether the advertised price applies to the exact dosage, quantity and formulation prescribed.
### Request a 90-day supply
For medications taken continuously, a 90-day supply may carry a lower cost per dose than three separate 30-day prescriptions.
Compare both the retail and mail-order price. Mail order is not automatically cheaper, and it may be less suitable for drugs whose dosage changes frequently or that require special handling.
### Appeal formulary and coverage decisions
When an insurer refuses to cover a prescribed drug or places it on a costly tier, the patient and prescriber may be able to request:
- Prior authorization.
- A formulary exception.
- A tiering exception.
- A medical-necessity review.
- An expedited appeal.
The prescriber should explain why covered alternatives are ineffective, unsafe or medically inappropriate.
### Review coverage every year
Drug formularies, pharmacy networks and cost-sharing rules can change annually.
Medicare beneficiaries should compare Part D and Medicare Advantage drug coverage during open enrollment using their complete medication list and preferred pharmacies. A plan with a low premium may be much more expensive after deductibles and drug copayments are included.
Medicare beneficiaries with limited income and resources should also check eligibility for Extra Help, which can reduce Part D premiums, deductibles and other prescription expenses, according to [Medicare](https://www.medicare.gov/basics/costs/help/drug-costs?utm%5Fsource=chatgpt.com).
## Prescription price checklist
Before filling a costly prescription:
- Ask for the price with insurance.
- Ask for the pharmacy’s cash price.
- Check at least two competing pharmacies.
- Compare a reputable discount price.
- Ask whether the purchase will count toward your deductible.
- Ask about a generic, biosimilar or lower-cost alternative.
- Check the insurance formulary for preferred drugs.
- Look for manufacturer assistance.
- Ask whether a 90-day supply costs less.
- Request an appeal if the plan rejects the medically appropriate drug.
## The bottom line
The Caremark and Express Scripts settlements attack a prescription-pricing system in which larger rebates could make an expensive drug more attractive to a PBM than a cheaper alternative.
If the promised changes are widely adopted by employers and insurers, consumers could see lower prices, more rebate savings at the pharmacy counter and greater access to lower-list-price drugs.
But the drug-pricing system remains fragmented and difficult to navigate. Until the price presented to every patient reliably reflects the lowest available cost, consumers should treat each expensive prescription as a purchase that needs to be compared — not as a fixed price determined by the insurance card.
### National Safety Recalls - July 18
URL: https://www.consumernews.ai/national-safety-recalls-july-18/
Last updated: 2026-07-18T21:02:48.000Z
##
### New FDA expansion: Ola-Ola Pounded Yam
Fayus Inc. has **expanded** its recall of **Ola-Ola Pounded Yam** because some packages may contain undeclared milk in the form of sodium caseinate. The expansion now covers **2-pound, 4-pound, 5-pound and 10-pound bags** with expiration dates from **November 2028 through May 2029, according to the** [U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fayus-inc-dba-yusol-international-foods-expands-recall-ola-ola-pounded-yam-due-undeclared-milk?ref=consumernews.ai).
People with a milk allergy or severe sensitivity could suffer a serious or life-threatening reaction. No illnesses or injuries had been reported as of the July 17 announcement. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/fayus-inc-dba-yusol-international-foods-expands-recall-ola-ola-pounded-yam-due-undeclared-milk?ref=consumernews.ai))
The affected product was distributed from December 2025 through May 2026 through African and Caribbean food markets in:
- California
- Georgia
- Illinois
- New Jersey
- New York
- Texas
Consumers should check both the expiration date and the allergen statement. Packages that correctly declare milk are not included. Those with a milk allergy should not eat the affected product. Agency check
**CPSC:** No recall newer than the agency’s **July 16** batch appeared. Those previously reported actions included Cat & Jack sandals, toddler towers, child-entrapment hazards, button-battery toys, paint thinner and other serious household-product risks. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**NHTSA:** No new major vehicle consumer alert has appeared since the **July 9 Kia Telluride park-outside recall** involving 462,869 vehicles and an overheating power-seat motor. ([NHTSA](https://www.nhtsa.gov/press-releases?ref=consumernews.ai))
**USDA FSIS:** No new recall or public-health alert surfaced after the July 3 GoodTimes beef-jerky alert.
### Greystar, nation’s largest apartment manager, accused of rejecting renters with housing vouchers
URL: https://www.consumernews.ai/greystar-nations-largest-apartment-manager-accused-of-rejecting-renters-with-housing-vouchers/
Last updated: 2026-07-17T22:04:05.000Z
Greystar, the nation’s largest apartment manager, is facing more than 100 civil rights complaints alleging that its properties illegally turned away low-income renters who rely on federal housing vouchers.
The Housing Rights Initiative, represented by the law firm [Cohen Milstein](https://www.cohenmilstein.com/?ref=consumernews.ai), filed complaints July 13 with civil rights agencies in California, Hawaii, Maryland, Michigan, New Jersey, Virginia and Washington, D.C.
The complaints allege 114 violations of state and local fair housing laws protecting renters from discrimination based on their lawful source of income.
Investigators working for the nonprofit posed as prospective tenants and called Greystar-managed apartment communities beginning in October 2025.
According to the complaints, employees at the properties either said they would not accept Housing Choice Vouchers — commonly known as Section 8 vouchers — or placed additional conditions on voucher holders that were not imposed on other applicants.
“We have never encountered a landlord that operates with such brazen contempt and hostility toward the rule of law as Greystar,” [Housing Rights Initiative](https://www.housingrightsus.org/?ref=consumernews.ai) Executive Director Aaron Carr said in announcing the complaints.
Greystar has not been found liable, and the complaints are allegations that will have to be investigated by the agencies where they were filed.
In a statement reported by [The Guardian](https://www.theguardian.com/us-news/2026/jul/16/greystar-landlord-civil-rights-violations?CMP=Share%5FiOSApp%5FOther&ref=consumernews.ai), the company said it is committed to fair housing practices and provides fair housing training to its employees. It did not respond directly to the individual allegations.
[Renter’s guide: Can a landlord refuse a Section 8 voucher?The answer depends largely on where the rental property is located.ConsumerNews.aiThe Editors](https://www.consumernews.ai/renters-guide-can-a-landlord-refuse-a-section-8-voucher/)
## Why voucher discrimination matters
The [Housing Choice Voucher](https://affordablehousingheroes.com/guide/var-1/?adid=74286096939366&adexdirect=true&msclkid=311113fcf41b10c69fca79a684da5a38&ref=consumernews.ai) program helps low-income families, older adults and people with disabilities rent homes in the private market.
A local public housing agency generally pays part of the rent directly to the landlord, while the tenant pays the remaining portion based largely on household income.
Federal law does not universally require every private landlord to participate in the voucher program. However, many states, counties and cities have enacted “source of income” laws that prohibit landlords from rejecting otherwise qualified applicants simply because some or all of their rent will be paid with government assistance.
[HUD](https://www.hud.gov/helping-americans/housing-choice-vouchers-tenants?ref=consumernews.ai) says source-of-income discrimination can include outright refusals to accept vouchers, as well as special screening requirements, additional references, larger security deposits or extra fees imposed only on voucher holders.
The complaints against Greystar were filed only in jurisdictions where voucher holders have legal protections.
At every property tested, according to Housing Rights Initiative, Greystar staff either rejected the voucher or imposed what investigators considered unlawful restrictions.
In California alone, the group filed 53 complaints. Two involved Alta O’side, a Greystar-managed apartment community in Oceanside, where investigators alleged that employees refused vouchers or attached improper conditions to their use, according to [The Coast News Group](https://thecoastnews.com/landlord-greystar-accused-of-rejecting-vouchers-in-oceanside/?utm%5Fsource=chatgpt.com).
## A landlord with enormous reach
Greystar manages more than 1 million housing units nationwide, according to company and industry information, making its policies potentially consequential for renters across dozens of housing markets.
An analysis cited by The Guardian estimated that Greystar operates approximately 235,000 units in the states and jurisdictions covered by the latest complaints.
“As the largest landlord in America, Greystar should be setting the standard of best practices for the nation, not systematically rejecting legitimate prospective tenants,” Carr said.
Large corporate landlords have attracted increasing attention from regulators and tenant advocates because centralized policies can affect thousands of apartment communities at once.
A discriminatory instruction, screening rule or employee training failure at a small landlord might affect a handful of applicants. At a company the size of Greystar, critics argue, the same practice can restrict housing opportunities across entire metropolitan areas.
## Greystar’s growing legal troubles
The voucher complaints are the latest in a series of legal and regulatory disputes involving Greystar.
In December 2025, Greystar [agreed to pay $24 million](https://www.ftc.gov/news-events/news/press-releases/2025/12/greystar-agrees-pay-24-million-stop-deceptive-advertising-practices-result-ftc-colorado-lawsuit?ref=consumernews.ai) to settle allegations brought by the Federal Trade Commission and the Colorado attorney general that the company advertised deceptively low rental prices while excluding mandatory monthly fees.
Regulators alleged that prospective renters often did not learn the true monthly cost until after they had paid application or administrative fees. Greystar did not admit wrongdoing.
Greystar also agreed to pay $50 million as part of a broader proposed settlement of private litigation accusing major landlords of using RealPage rent-setting software and shared market data to inflate rents.
The settling landlords denied the allegations. The combined private settlements involving Greystar and other companies totaled approximately $141 million and were subject to court approval.
In a separate case announced in June 2025, the [Justice Department](https://www.justice.gov/opa/pr/nations-largest-property-management-company-pay-over-14m-unlawful-charges-military?ref=consumernews.ai) said Greystar agreed to provide more than $1.4 million to resolve allegations that it illegally charged military servicemembers and their co-tenants early lease termination fees.
That agreement required Greystar to establish a $1.35 million compensation fund, pay a $77,370 civil penalty and change its policies and training.
Arizona Attorney General Kris Mayes announced [additional settlements](https://www.azag.gov/press-release/attorney-general-mayes-announces-settlements-greystar-over-hidden-rental-charges-and?ref=consumernews.ai) in May 2026 resolving claims involving hidden rental charges at two Greystar apartment complexes. Those agreements included a combined $100,000 in consumer restitution.
## What renters should do
Voucher holders who suspect they are being treated differently should document every interaction with the property.
That can include saving advertisements, emails, text messages, application requirements and the names of leasing employees. Renters should also write down the date and time of telephone conversations and exactly what they were told.
Warning signs may include:
- A blanket statement that the property “does not take Section 8”
- A higher income requirement applied to the full rent rather than the tenant’s portion
- Extra deposits, fees or references required only from voucher holders
- Claims that vouchers are accepted only for certain units or at certain times
- Refusal to provide an application after the renter mentions a voucher
Tenants can report suspected discrimination to their state or local civil rights agency. A complaint may also be submitted to HUD, particularly when the conduct may overlap with discrimination based on race, disability, family status or another category protected by the federal Fair Housing Act.
The underlying rules vary considerably by location. Renters should check whether their state, county or city prohibits discrimination based on source of income before assuming a landlord is legally required to participate.
But in jurisdictions with voucher protections, rejecting an applicant merely because the person uses rental assistance can expose a property owner or management company to investigations, damages, civil penalties and orders requiring changes in company practices.
### Renter’s guide: Can a landlord refuse a Section 8 voucher?
URL: https://www.consumernews.ai/renters-guide-can-a-landlord-refuse-a-section-8-voucher/
Last updated: 2026-07-17T22:03:33.000Z
Federal law generally does not require every private landlord to accept a Housing Choice Voucher, commonly called a Section 8 voucher. But a growing patchwork of state, county and city laws prohibits landlords from rejecting applicants because they use a voucher or another lawful source of income.
Some federally subsidized properties — including many developments that receive Low-Income Housing Tax Credits — are also prohibited from discriminating against voucher holders, regardless of whether the surrounding jurisdiction has adopted a source-of-income law.
### When refusing a voucher may be illegal
In a jurisdiction with source-of-income protections, a landlord generally cannot:
- Advertise that “Section 8 is not accepted”
- Refuse to show a unit after learning that an applicant has a voucher
- Require voucher holders to pay extra fees or larger deposits
- Demand additional references solely because an applicant uses rental assistance
- Apply stricter credit, employment or rental-history standards to voucher holders
- Require income equal to several times the full monthly rent when the tenant is responsible for only a portion of that rent
- Limit voucher holders to particular buildings, units or neighborhoods
HUD says discrimination can include not only an outright refusal to accept a voucher but also unreasonable screening requirements, extra references, larger security deposits and additional fees or penalties imposed on voucher holders.
[Greystar, nation’s largest apartment manager, accused of rejecting renters with housing vouchersCivil rights complaints accuse Greystar properties of refusing prospective tenants who use federal Housing Choice VouchersConsumerNews.aiThe Editors](https://www.consumernews.ai/greystar-nations-largest-apartment-manager-accused-of-rejecting-renters-with-housing-vouchers/)
### What landlords may still consider
A source-of-income law does not necessarily require a landlord to approve every voucher applicant.
Landlords may generally apply legitimate, consistently enforced screening standards, including:
- Rental history
- Criminal-history rules permitted by applicable law
- Credit information
- Whether the tenant can pay the portion of the rent not covered by the voucher
- Whether the household meets lawful occupancy limits
- Whether the applicant provided accurate information
The key issue is whether the same relevant standards are applied to all applicants rather than using the voucher as an automatic reason for rejection.
A landlord may also decline a unit if the housing authority determines that the rent is unreasonable, the unit fails the required inspection or the owner cannot meet program requirements. But the landlord generally cannot manufacture obstacles or refuse to begin the voucher approval process when local law requires participation.
### Income requirements can be misleading
One common dispute involves rules requiring applicants to earn two or three times the monthly rent.
Suppose an apartment rents for $2,000, but the voucher holder is responsible for only $500\. In many jurisdictions with source-of-income protections, the landlord may be required to apply its income formula to the tenant’s $500 share rather than the full $2,000 rent.
Applying the formula to the full rent can effectively disqualify nearly every voucher holder and may be treated as indirect source-of-income discrimination.
The precise rule varies by state and locality, so renters should check with their housing authority or civil rights agency.
### How to check your local law
Start with:
1. Your state attorney general or civil rights agency
2. Your city or county housing department
3. The public housing authority that issued the voucher
4. A local fair-housing organization or legal-aid office
5. HUD’s Housing Choice Voucher tenant-rights information
Source-of-income protections may exist at the city or county level even when there is no statewide law. They may also protect Social Security, disability benefits, child support, veterans’ benefits and other lawful income in addition to housing vouchers.
### What to do if a landlord says “no Section 8”
Ask the landlord to put the reason for the rejection in writing.
Save:
- The rental advertisement
- Screenshots of the listing
- Emails and text messages
- Application and screening requirements
- Receipts for application fees
- The name of the leasing agent
- The date and time of every call
- Notes recording exactly what was said
Do not secretly record a telephone call without checking state law. Recording-consent rules differ by jurisdiction.
A renter can also ask a friend or advocate to contact the same property without mentioning a voucher. Evidence that the unit was described as available to one caller but unavailable to a voucher holder may help investigators identify discriminatory treatment.
### Where to file a complaint
Depending on the location, complaints may be filed with:
- A state or local civil rights commission
- A state attorney general
- A city housing or human-rights agency
- HUD’s Office of Fair Housing and Equal Opportunity
- A private fair-housing organization
Federal fair-housing law does not expressly list source of income as a protected category. However, voucher discrimination may sometimes overlap with discrimination based on race, disability, familial status or another characteristic protected by federal law.
Renters should act promptly because administrative complaints and lawsuits are subject to filing deadlines.
### Bottom line
A landlord’s claim that it “doesn’t participate in Section 8” is not necessarily the final word.
In many parts of the country, refusing a qualified tenant solely because the tenant uses a housing voucher is illegal. Even where no statewide protection exists, a city or county ordinance — or rules attached to a federally subsidized property — may protect the applicant.
The safest response is to document the refusal, check the law covering the property’s exact location and contact the housing authority or fair-housing agency before abandoning the application.
### Can you sue an insurance agent for consumer fraud? It depends on your state
URL: https://www.consumernews.ai/can-you-sue-an-insurance-agent-for-consumer-fraud-it-depends-on-your-state/
Last updated: 2026-07-17T14:34:02.000Z
Consumers depend on insurance agents to recommend adequate coverage, explain exclusions and translate policies that can run for dozens or even hundreds of pages. But when that advice turns out to be wrong, consumers may discover that their legal rights depend heavily on where they live.
The New Jersey Supreme Court has unanimously ruled that insurance brokers, producers and agents are not entitled to a court-created professional exemption from the state Consumer Fraud Act, [Insurance Journal reported](https://www.insurancejournal.com/news/east/2026/07/16/877800.htm?ref=consumernews.ai).
The ruling revives a consumer-fraud claim filed by a neurosurgeon who alleged that his agents failed to obtain sufficient disability insurance and did not warn him that his outside business interests could reduce the benefits he would receive if he became disabled.
The decision does not mean that the agents committed fraud. That question remains to be litigated.
It does mean they cannot escape the [New Jersey Consumer Fraud](https://www.njcourts.gov/sites/default/files/charges/4.43.pdf?ref=consumernews.ai) Act simply by arguing that their licenses make them “semi-professionals” entitled to the same treatment traditionally given to doctors, lawyers and certain other learned professionals.
“Extending the learned professional exception to insurance brokers would unduly narrow the scope of the CFA and undermine the Legislature’s intent for it to serve as one of the nation’s strongest consumer protection laws,” the [New Jersey court](https://www.njcourts.gov/system/files/court-opinions/2026/a%5F12%5F25.pdf?utm%5Fsource=chatgpt.com) concluded.
## A career-ending disability — and reduced benefits
The case was brought by Dr. James Lowe, a neurosurgeon who developed a vision condition that prevented him from continuing to perform neurosurgery.
Lowe alleged that insurance agents Bernard Audet and Richard Laver of Creative Financial Group told him that his disability policies would provide maximum benefits if he became unable to practice.
After he became disabled, however, the insurers paid only partial benefits because Lowe had other business interests unrelated to his medical practice.
Lowe alleged that the agents had not explained how those outside interests could affect his benefits. His lawsuit included negligence and other claims, as well as an allegation that the agents violated New Jersey’s Consumer Fraud Act.
The agents argued that they were exempt because insurance producers had previously been classified by some New Jersey courts as “semi-professionals.”
A lower appellate court agreed and dismissed the Consumer Fraud Act claims. The state Supreme Court reversed that decision and returned the case to the lower court for further proceedings.
## Why the consumer-fraud claim matters
Consumers are not limited to consumer-protection statutes when an insurance agent makes a serious mistake.
Depending on the facts and state law, they may be able to sue for negligence, professional malpractice, breach of contract, negligent misrepresentation or failure to procure requested coverage.
Consumer-fraud statutes can nevertheless provide remedies that are much more powerful than an ordinary negligence claim.
Under New Jersey law, a successful private plaintiff may be eligible for three times the actual damages, along with attorney fees and court costs. Those provisions can make it financially possible to bring a case that might otherwise cost more to litigate than the consumer could recover.
New Jersey’s law prohibits unconscionable commercial practices, deception, false promises, misrepresentations and the knowing concealment of material facts in connection with the sale of merchandise or real estate.
The Supreme Court said the law was intended to be applied broadly and that exemptions from it must be construed narrowly.
## Insurance agents are skilled - but are they “learned professionals?”
The court said it did not question whether insurance agents and brokers are skilled in their field.
But it rejected the argument that an insurance license alone places an agent in the narrow class of historically recognized learned professionals.
The court noted that New Jersey requires a 20-hour approved course for each insurance license category but does not require an applicant to hold a high school diploma or its equivalent.
That is not comparable, the court reasoned, to the extensive academic and professional training traditionally required of doctors, lawyers and similar professionals.
More fundamentally, the court found no “semi-professional” exemption in the language of the Consumer Fraud Act itself.
The justices also invited the state Legislature to clarify whether any professionals should be exempt, suggesting that even the broader court-created learned-professional exception may deserve another look.
## Other states expressly protect insurance businesses
New Jersey’s ruling does not establish a national rule. State consumer-protection laws contain widely differing definitions, exclusions and remedies.
In Maryland, the Consumer Protection Act expressly states that it does not apply to the professional services of an authorized insurance company or a state-licensed insurance producer. The same section lists accountants, lawyers, physicians, real estate brokers and several other licensed occupations, according to [Westlaw Government](https://govt.westlaw.com/mdc/Document/N490242509CDA11DB9BCF9DAC28345A2A?contextData=%28sc.Default%29&originationContext=documenttoc&transitionType=CategoryPageItem&viewType=FullText&utm%5Fsource=chatgpt.com).
Alabama uses an even broader regulated-industry exemption. Its Deceptive Trade Practices Act does not apply to any person or activity subject to the Alabama Insurance Code.
That language can prevent a consumer from using the general deceptive-practices law against conduct already regulated under the state’s insurance laws. The person claiming the exemption bears the burden of establishing it, per [Justia](https://law.justia.com/codes/alabama/title-8/chapter-19/section-8-19-7/?ref=consumernews.ai).
Ohio’s Consumer Sales Practices Act also excludes certain transactions between insurance companies and their customers. Courts have said, however, that the exemption is not necessarily a shield for every activity performed by an insurance-related business. The precise transaction and the role played by the defendant can matter, the [Supreme Court of Ohio](https://www.supremecourt.ohio.gov/pdf%5Fviewer/pdf%5Fviewer.aspx?pdf=753457.pdf&source=DL%5FClerk&subdirectory=2014-0451%5CDocketItems&utm%5Fsource=chatgpt.com) has held.
Massachusetts illustrates the opposite approach. Its Chapter 93A broadly prohibits unfair or deceptive business practices and allows qualifying consumers to seek damages, attorney fees and, in some circumstances, double or triple damages. Massachusetts also [separately regulates unfair practices](https://www.njcourts.gov/sites/default/files/charges/4.43.pdf?ref=consumernews.ai) in the insurance business under Chapter 176D.
The result is a legal patchwork. Some states expressly exempt insurance companies or producers from their principal consumer-protection statute. Others permit consumer claims but impose special requirements. Still others distinguish between selling a policy, giving professional advice and handling a claim.
A complete answer may therefore depend not only on the state, but also on who made the representation, what kind of policy was involved and whether the dispute concerns the original sale or a later claim.
## Regulation is not always the same as compensation
States generally license insurance producers and prohibit practices such as misrepresentation, twisting policies, deceptive advertising and mishandling premiums.
Consumers can file complaints with their state insurance department, and regulators may investigate an agent, impose a fine or suspend or revoke a license.
But regulatory enforcement is not necessarily a substitute for a private lawsuit.
An insurance commissioner’s action may punish misconduct without fully reimbursing a consumer for lost benefits, uncovered property damage, business losses or the cost of correcting an agent’s mistake.
In states that exempt insurance professionals from general consumer laws, consumers may have to rely on narrower common-law claims that can be more difficult or expensive to pursue.
## What consumers should do
Insurance buyers can reduce the risk of a later dispute by creating a written record of what they asked for and what the agent recommended.
Before purchasing or renewing coverage:
- Describe the property, income, business operations or other risks you need insured in writing.
- Ask the agent to identify important exclusions, benefit limits and conditions that could reduce a payment.
- Request written confirmation that the recommended policy meets the needs you described.
- Keep applications, emails, policy illustrations, renewal notices and coverage summaries.
- Read the policy when it arrives and immediately question anything that differs from what the agent promised.
- Check the agent’s license and disciplinary history through the state insurance department.
- After a disputed claim, preserve all communications and consider speaking with an attorney familiar with insurance law in your state.
Consumers should also remember that an insurance agent ordinarily does not guarantee that every loss will be covered. Policies contain exclusions, deductibles and conditions, and courts generally expect policyholders to review their contracts.
But an agent who recommends coverage, makes specific assurances or agrees to obtain a particular policy may assume legal duties that go beyond simply submitting an application.
> The New Jersey ruling reinforces a basic principle: selling insurance is a commercial activity as well as a licensed occupation.
> Whether consumers elsewhere receive the same protection remains largely a matter of state law.
The state comparison is intentionally presented as illustrative rather than a definitive 50-state survey; several states’ exemptions turn on judicial interpretations as well as statutory wording.
### Homeowners insurance more expensive for Blacks, Hispanics, report finds
URL: https://www.consumernews.ai/homeowners-insurance-more-expensive-for-blacks-hispanics-report-finds/
Last updated: 2026-07-17T14:09:31.000Z
Redlining is one of those blights that just doesn't go away. It gets eradicated in one form, only to return in a new skin. This time, it's homeowners insurance, according to [a report](https://consumerfed.org/news/reports/redlined/?ref=consumernews.ai) from the Consumer Federation of America.
The CFA found that Black and Hispanic consumers pay hundreds of dollars more on average each year in homeowners insurance premiums.
The study, which examined homeowner insurance premiums and racial demographics in every ZIP code in the United States, found evidence of a substantial racial premium gap—a major upcharge for certain consumers.
On average, homeowners in Black communities pay a 16% higher premium, or $500 more per year, compared to homeowners in white communities. Homeowners in Hispanic communities pay a 30% higher premium, or $950 more per year, compared to homeowners in white communities.
Over a 30-year mortgage, this gap results in at least $15,000 in additional insurance premiums for Black homeowners and $28,500 in additional premiums for Hispanic homeowners.
Data: CFA
“Black and Hispanic homeowners are being unfairly charged higher premiums for their home insurance coverage,” said Sharon Cornelissen, Director of Housing at CFA and a co-author of the report. “This racial premium gap hurts their ability to afford housing, to become homeowners, and to build generational wealth.”
### Industry "unwilling to self-correct"
“Insurance companies should be changing their pricing models to end the redlining-by-overcharging that we see in the data, but since they seem unwilling to self-correct, state regulators should be stepping in to demand change," said Douglas Heller, CFA’s Director of Insurance and co-author of the report.
“Buying insurance is required of every homeowner with a mortgage, which creates a special obligation on policymakers to scrutinize this market. But this pattern of racial discrimination by insurance companies has not gotten the scrutiny it needs from the lawmakers and insurance commissioners who are supposed to protect consumers and communities,” Heller said.
“Hispanic households fueled the nation’s net homeownership growth last year," said Cristy Villalobos-Hauser, Housing Policy Advisor at UnidosUS. “At a time when [housing affordability remains a top concern](https://unidosus.org/press-releases/new-unidosus-bipartisan-poll-hispanic-voters-feeling-economically-strained-concerned-about-their-safety/?ref=consumernews.ai), Hispanic homeowners are paying disproportionately higher homeowners insurance premiums compared to their neighbors.
"Rising insurance costs threaten housing stability, undermine wealth-building, and make it harder for families to achieve the promise of sustainable homeownership. UnidosUS commends CFA for highlighting these disparities and urging policymakers, regulators, and insurers to reform the insurance market to be more fair, transparent, and affordable, so that all families can continue to build wealth regardless of their Zip code.”
### No reasonable explanation
The report controls for various factors and shows that this gap is not explained by differences in the characteristics of homeowners, their home, or what people opt to insure. Even after accounting for a wide range of factors that shape insurance risk and that are commonly used by insurance companies, homeowners in Black communities still pay a 10% higher premium on average, and homeowners in Hispanic communities pay an 11% higher premium on average.
CFA said that, based on its analysis, the racial premium gap is larger in certain states, meaning that homeowners in Black and Hispanic communities can pay thousands of dollars in additional insurance costs.
The Black premium gap is especially large in Michigan, where homeowners in predominantly Black neighborhoods are charged on average $1,768 a year more, or 74% more, for the same coverage.
Florida has the largest Hispanic premium gap: homeowners in predominantly Hispanic neighborhoods are charged 58% more—an average of $5,014 more each year—for the same insurance coverage when it is offered to homeowners in predominantly white ZIP codes.
The study concludes with three policy recommendations:
- First, states should enforce fair housing laws regarding insurance companies and require regular company testing and disclosures to prevent disparate impacts—disproportionate harm to certain groups of consumers.
- Second, states should prohibit insurers from using ZIP code or smaller geographic territories when setting premiums.
- Third, insurance companies should make their transaction-level homeowners insurance data public every year in a manner similar to the Home Mortgage Disclosure Act (HMDA) Database.
### Prescription prices
URL: https://www.consumernews.ai/prescription-prices/
Last updated: 2026-07-19T15:33:15.000Z
[The prescription price on your insurance card may not be the lowest - here’s how to find a better dealThe FTC’s proposed Caremark settlement could produce as much as $13 billion in prescription-drug savings over 10 years.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/the-prescription-price-on-your-insurance-card-may-not-be-the-lowest-heres-how-to-find-a-better-deal/)
July 19, 2026
[How to get the best prescription priceAsk the pharmacist for the insurance price and the cash price.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/how-to-get-the-best-prescription-price/)
July 19, 2026
### National Safety Recalls - July 17
URL: https://www.consumernews.ai/national-safety-recalls-july-17/
Last updated: 2026-07-17T20:30:32.000Z
### Hollis diving regulators — drowning hazard
**Huish Outdoors Hollis 200LX second-stage diving regulators** are being recalled because the regulator inlet tube can crack and break, potentially interrupting a diver’s air supply and creating a risk of serious injury or death by drowning.
Huish Outdoors has received **17 reports of broken inlet tubes**, although no injuries have been reported. The regulators were sold at diving-supply stores nationwide from May 2017 through February 2026 for about $330\. Owners should stop using them and arrange a free repair. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Huish-Outdoors-Recalls-Hollis-Diving-Regulators-Due-to-Risk-of-Serious-Injury-or-Death-from-Drowning?utm%5Fsource=chatgpt.com))
### Jobon butane torch lighters — fire and burn risk
About **13,200 Jobon butane torch lighters** are recalled because they lack the federally required child-resistant mechanism. Children could operate the lighters, creating a risk of severe burns, fire or death.
The gray/brown, gold/black and camouflage-pattern lighters were sold through Amazon and Alibaba from April 2021 through September 2025\. Consumers should stop using them and seek a refund rather than giving them away or reselling them. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Jobon-Torch-Lighters-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Fire-and-Burn-Hazards-Violate-Mandatory-Standard-for-Multipurpose-Lighters?ref=consumernews.ai))
### Agency check
**CPSC:** The Hollis regulator and Jobon lighter recalls are the principal additional hazards not included in the previous roundup. CPSC’s other July 16 actions included toddler towers, Cat & Jack sandals, Panasonic toaster ovens, paint thinner and improperly grounded chandeliers. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Liizousuda-Paint-Thinner-Bottles-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Child-Poisoning-Violate-Mandatory-Standard-for-Child-Resistant-Packaging-Sold-on-Amazon-com-by-Shenzhen-Gudebo-Technology?utm%5Fsource=chatgpt.com))
**NHTSA:** No new nationwide consumer alert appeared after the July 9 recall of **462,869 Kia Tellurides** for a power-seat motor that may overheat and ignite. NHTSA’s current press-release listing still identifies that as its latest recall alert. ([NHTSA](https://www.nhtsa.gov/press-releases/park-outside-recall-kia-tellurides?utm%5Fsource=chatgpt.com))
**FDA:** No July 17 recall had been posted. FDA’s list was current through **July 16**, when it posted the Khong Guan glutinous rice-ball recall for undeclared peanuts. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
**USDA FSIS:** No new July 17 meat or poultry recall or public-health alert surfaced in the official listings.
### Cyclospora outbreak leads to lettuce recall
URL: https://www.consumernews.ai/cyclospora-outbreak-leads-to-lettuce-recall/
Last updated: 2026-07-21T13:00:36.000Z
[Check your refrigerator: Recalled iceberg lettuceYou may have recalled products in your refrigerator, so be sure to check.ConsumerNews.aiThe Editors](https://www.consumernews.ai/check-your-refrigerator-recalled-iceberg-lettuce/)
[Check your refrigerator: Recalled iceberg lettuceYou may have recalled products in your refrigerator, so be sure to check.ConsumerNews.aiThe Editors](https://www.consumernews.ai/check-your-refrigerator-recalled-iceberg-lettuce/)
[Lettuce linked to major Cyclospora outbreak: What consumers should do nowFederal investigators have linked shredded iceberg lettuce served at Taco Bell restaurants in five states to a multistate outbreak that has sickened at least 1,644 people.ConsumerNews.aiThe Editors](https://www.consumernews.ai/lettuce-linked-to-major-cyclospora-outbreak-what-consumers-should-do-now/)
[FDA retracts positive lettuce test, but Cyclospora outbreak investigation continuesThe FDA now says a laboratory test that appeared to detect Cyclospora in Taylor Farms iceberg lettuce was a false positive, but the outbreak investigation is continuing and the recall remains in effect.ConsumerNews.aiThe Editors](https://www.consumernews.ai/fda-retracts-positive-lettuce-test-but-cyclospora-outbreak-investigation-continues/)
### Lettuce linked to major Cyclospora outbreak: What consumers should do now
URL: https://www.consumernews.ai/lettuce-linked-to-major-cyclospora-outbreak-what-consumers-should-do-now/
Last updated: 2026-07-21T13:02:39.000Z
Federal health officials say shredded iceberg lettuce supplied to Taco Bell restaurants is the likely source of a large outbreak of [cyclosporiasis](https://www.cdc.gov/cyclosporiasis/index.html?ref=consumernews.ai), a parasitic intestinal illness that can cause severe and prolonged diarrhea.
The Food and Drug Administration [said](https://www.fda.gov/food/outbreaks-foodborne-illness/investigation-5-state-outbreak-cyclospora-illnesses-iceberg-lettuce-july-2026?ref=consumernews.ai) 1,644 confirmed illnesses associated with Taco Bell had been reported in Indiana, Kentucky, Michigan, Ohio and West Virginia as of July 16\. Ninety-four people had been hospitalized, and no deaths had been reported.
Illnesses began between May 13 and July 13\. Among 190 Michigan patients who reported eating at Taco Bell and provided detailed information about their meals, 90% said they had eaten iceberg lettuce, the [U.S. Food and Drug Administration](https://www.fda.gov/food/outbreaks-foodborne-illness/investigation-5-state-outbreak-cyclospora-illnesses-iceberg-lettuce-july-2026?ref=consumernews.ai) said.
The FDA’s traceback investigation found that lettuce served at restaurants visited by sick customers converged on a single supplier of iceberg lettuce grown in Mexico. [The Washington Post](https://www.washingtonpost.com/health/2026/07/16/lettuce-supplier-is-potential-source-cyclosporiasis-outbreak-investigators-say/?ref=consumernews.ai) identified the supplier as Taylor Farms, although the FDA did not publicly name the company in its initial advisory.
Taco Bell has agreed to stop using lettuce from the supplier, the FDA said. However, investigators cautioned that additional restaurants, retailers, brands or distribution channels could be identified as the inquiry continues.
[Cyclospora outbreak leads to lettuce recallThousands sickened in cyclospora recall linked to lettuceConsumerNews.aiThe Editors](https://www.consumernews.ai/cyclospora-outbreak-leads-to-lettuce-recall/)
## What consumers should do
The FDA says consumers should not eat food containing shredded iceberg lettuce from Mexico served at Taco Bell locations in Indiana, Kentucky, Michigan, Ohio and West Virginia.
Not every Taco Bell in those states received the implicated lettuce, but the agency’s warning applies broadly while investigators determine exactly where the product was distributed. The FDA also cautioned that the lettuce may have reached states beyond the five currently listed.
Consumers who recently purchased affected food should:
- Throw it away rather than attempting to wash and eat the lettuce.
- Clean and sanitize containers, refrigerator shelves, countertops or other surfaces touched by the food.
- Wash hands with soap and water after handling the food or its packaging.
- Watch for symptoms for at least two weeks after eating the suspected lettuce.
The incubation period for Cyclospora is usually about one week but can range from two days to two weeks or longer. ([CDC](https://www.cdc.gov/cyclosporiasis/about/index.html?ref=consumernews.ai))
## Washing produce helps — but it is not a guarantee
The CDC advises consumers to wash all fruits and vegetables thoroughly under running water, including produce labeled “pre-washed.” Firm produce such as cucumbers and melons should be scrubbed with a clean produce brush, and damaged or bruised sections should be cut away, the [CDC](https://www.cdc.gov/cyclosporiasis/prevention/index.html?ref=consumernews.ai) advises.
But washing cannot reliably remove every Cyclospora organism from leafy greens, particularly when contamination is trapped in folds, crevices or cut surfaces.
Consumers should never rely on washing to make a product covered by an FDA “do not eat” warning safe. Implicated food should be discarded.
Those seeking to reduce their risk while the investigation continues can choose vegetables that will be cooked thoroughly, use canned or cooked frozen vegetables, and purchase whole heads of lettuce rather than precut or shredded products. Consumers should also keep raw produce separated from raw meat and refrigerate cut or peeled produce within two hours.
Federal officials have not advised Americans nationwide to stop eating all lettuce or fresh produce.
## Symptoms can last for weeks
Cyclospora is a microscopic parasite that infects the small intestine. The most common symptom is watery diarrhea that may be frequent and sometimes severe.
Other symptoms can include:
- Loss of appetite and weight loss
- Stomach cramps, bloating and gas
- Nausea or vomiting
- Fatigue
- Body aches
- Headache or low-grade fever
Symptoms may appear to improve and then return. Without treatment, the illness can last from a few days to more than a month. People with weakened immune systems may experience a longer or more serious illness.
Consumers should seek prompt medical attention if they have persistent diarrhea, signs of dehydration, difficulty keeping fluids down, severe abdominal pain or symptoms that repeatedly disappear and return.
Older adults, young children, pregnant people and those with weakened immune systems should be especially cautious about dehydration.
## Tell the doctor about possible Cyclospora exposure
Cyclospora can be missed because it is not included in every routine stool test or gastrointestinal test panel.
Patients who have prolonged diarrhea should tell their healthcare provider about any recent restaurant meals, travel and consumption of lettuce, salad greens, herbs or other raw produce. Those who recently ate at a Taco Bell in one of the five affected states should mention that specifically.
The CDC says healthcare providers may need to specifically request a Cyclospora test. More than one stool sample may also be necessary because the parasite can be difficult to detect, [CDC](https://www.cdc.gov/cyclosporiasis/about/index.html?ref=consumernews.ai) said.
Cyclosporiasis is generally treated with the antibiotic trimethoprim-sulfamethoxazole, commonly sold as Bactrim or Septra. People allergic to sulfa drugs should discuss alternatives with their healthcare provider and should not attempt to self-treat with leftover antibiotics.
## Why outbreaks can be difficult to trace
Cyclospora does not usually spread directly from one person to another. After the parasite is shed in human waste, it generally must remain in the environment for at least one to two weeks before becoming infectious.
Outbreaks are therefore commonly associated with food or water contaminated during growing, harvesting, processing or distribution. Previous U.S. outbreaks have been linked to salad mixes, basil, cilantro, raspberries and other fresh produce.
Tracing the source can be difficult because people may not become sick until a week or more after eating the contaminated food, and ingredients such as shredded lettuce may be distributed to many restaurants under different supply arrangements.
The FDA said it has increased screening of implicated products at the border and is collecting lettuce samples for laboratory testing. The investigation remains active, and the agency said its consumer advisory will be expanded if additional products or locations are identified.
## Consumer safety checklist
**Avoid:** Shredded iceberg lettuce at Taco Bell restaurants in Indiana, Kentucky, Michigan, Ohio and West Virginia until the warning is lifted.
**Discard:** Do not try to salvage or wash food covered by the FDA warning.
**Clean:** Sanitize containers and surfaces that touched the food.
**Monitor:** Watch for watery or recurring diarrhea for two weeks or longer after possible exposure.
**Call:** Contact a healthcare provider if symptoms develop, especially if diarrhea is prolonged or dehydration is a concern.
**Ask:** Specifically ask whether Cyclospora testing is needed; it may not be included in routine stool testing.
**Report:** Consumers can also report suspected foodborne illness to their state or local health department, which may help investigators identify additional cases and distribution channels.
The supplier attribution is carefully framed because the FDA advisory identifies a single supplier but does not publicly name it, while The Washington Post reports that it is Taylor Farms.
### Iran truce collapses, oil back to $85 and pumps head higher
URL: https://www.consumernews.ai/iran-truce-collapses-oil-back-to-85-and-pumps-head-higher/
Last updated: 2026-07-17T11:56:34.000Z
The one-month ceasefire between the United States and Iran cracked apart this week, and traders spent Friday morning pricing in a full return to war-economy conditions.
Brent crude futures rose to $85.35 per barrel and U.S. West Texas Intermediate climbed to $80.09, [CNBC reported](https://www.cnbc.com/2026/07/17/oil-price-today-brent-wti.html?ref=consumernews.ai), after Tehran vowed to strike regional infrastructure if President Donald Trump followed through on threats against Iran's critical facilities.
Both contracts have climbed nearly 12 percent this week, [Reuters said](https://www.reuters.com/business/energy/oil-rises-intensifying-us-iran-hostilities-threat-red-sea-closure-2026-07-17/?ref=consumernews.ai), with Iran having asked its Houthi allies to stand ready to shut the Red Sea export route if U.S. strikes hit Iranian power infrastructure.
The physical picture around the Strait of Hormuz is now stark. Just three commodity vessels crossed the strait Thursday, the fewest daily transits since May, [Reuters shipping data showed](https://www.reuters.com/world/middle-east/strait-hormuz-transits-drop-us-iran-escalate-attacks-across-gulf-2026-07-17/?ref=consumernews.ai), with most ships halting or making U-turns. No Very Large Crude Carriers or liquefied natural gas tankers passed through the strait for a second consecutive day.
Iran's Revolutionary Guards said Thursday that no oil or gas would be exported through the strait as long as U.S. attacks continued. International Energy Agency Executive Director Fatih Birol warned Thursday that "if the U.S. and Iran do not increase oil flowing through the Strait of Hormuz soon, the world should worry about energy security," [Reuters reported](https://www.reuters.com/business/energy/global-energy-security-risk-if-strait-hormuz-does-not-open-weeks-iea-chief-says-2026-07-17/?ref=consumernews.ai).
### Pain at the pump
For consumers, the immediate pain is at the pump and in fuel-dependent categories. The U.S. national average retail gasoline price stood at $3.95 a gallon Thursday, up nearly 80 cents from the same time last year, [Reuters reported](https://www.reuters.com/business/energy/us-refiner-margins-hit-new-records-fuel-shortage-concerns-grow-2026-07-16/?ref=consumernews.ai) using GasBuddy data.
The U.S. gasoline crack spread — the industry's benchmark for refiner profitability — settled at about $59 a barrel Thursday, a level last reached in June 2022\. The diesel crack spread hit $91 a barrel, a record high.
Diesel futures alone have jumped 20 percent since the start of last week, [The Wall Street Journal reported](https://www.wsj.com/finance/commodities-futures/sharp-drop-in-diesel-supplies-threatens-to-rev-up-inflation-again-372a2983?ref=consumernews.ai), with domestic inventories near their lowest levels since the early 2000s.
Even if crude retreats, gasoline prices will stay higher for longer, [the Journal wrote](https://www.wsj.com/business/energy-oil/gas-prices-will-stay-higher-for-longer-even-if-oil-falls-93b61566?ref=consumernews.ai): pump prices are up 32 percent since the Iran conflict began versus an 18 percent rise in the U.S. crude benchmark.
### **Retail sales cool at the pump, hold firm elsewhere**
The retail-sales report for June, released Wednesday, put numbers on the split-screen consumer economy. Overall retail sales rose 0.2 percent from May, [The Associated Press reported](https://apnews.com/article/retail-sales-inflation-gas-65f5a2476b28c19ebdada5ec287160d8?ref=consumernews.ai), after being up a revised 1 percent in May. Excluding gas stations, sales rose a much stronger 0.7 percent. The Commerce Department's control-group measure, which excludes food services, autos, building materials and gas stations and feeds directly into gross domestic product, rose 0.5 percent.
Receipts at service stations dropped 5.3 percent in June after rising 2.6 percent in May, [Reuters reported](https://www.reuters.com/business/us-retail-sales-rise-marginally-june-2026-07-16/?ref=consumernews.ai), with average gasoline prices at $4.18 a gallon last month down from $4.61 in May. The modest relief at the pump "freed money for spending elsewhere," Reuters noted — but the truce has since collapsed, and pump prices have already resumed climbing.
Where the money went was itself notable. Motor vehicle and parts dealers posted a 1.9 percent gain, [per AP](https://apnews.com/article/retail-sales-inflation-gas-65f5a2476b28c19ebdada5ec287160d8?ref=consumernews.ai), boosted by aggressive manufacturer incentives that will look far less generous once Iran-driven fuel costs work through the auto supply chain. Online sales rose 1.9 percent, fueled by Amazon's June 23-26 Prime Day event. Sporting goods, hobby and music retailers rose 1.3 percent, helped by World Cup-related spending. Restaurants added 0.1 percent — the lone gain in the services category tracked in the report.
"Falling fuel prices weighed on headline sales data, but a smaller bill at the pump was a source of relief for consumers and provided at least a little more cushion in household spending budgets," Jim Baird, chief investment officer with Plante Moran Financial Advisors, told AP. Baird added that consumers are "perhaps taking a more discerning approach to where they're spending and how they're prioritizing their choices." [The New York Times headlined its own read of the data](https://www.nytimes.com/2026/07/16/business/consumers-spending-retail-sales.html?ref=consumernews.ai) "Americans Are Spending, and Not Just on Necessities" — while cautioning that the relief could be short-lived if the U.S.-Iran conflict escalates further.
### Poll finds 80% of voters support the consumer watchdog CFPB
URL: https://www.consumernews.ai/poll-finds-80-of-voters-support-the-consumer-watchdog-cfpb/
Last updated: 2026-07-16T18:18:26.000Z
It's common in some circles to dismiss the efforts of the Consumer Financial Protection Bureau and the causes it champions, including tighter regulation of overdraft fees, credit card late fees, payment apps and privacy but a new poll suggests that attitude may not hold water.
As Russell Vought prepares for his first-ever congressional testimony as acting director at the CFPB, the [Center for Responsible Lending](https://www.responsiblelending.org/media/new-poll-80-voters-support-consumer-financial-protection-bureau?ref=consumernews.ai) (CRL) and [Americans for Financial Reform](https://ourfinancialsecurity.org/?ref=consumernews.ai) (AFR) today released a new poll demonstrating that, across the political spectrum, likely midterm voters approve of the CFPB, with four in five expressing support for it.
Conversely, the poll found, voters oppose President Trump’s and Congress’ attempts to eliminate the consumer watchdog agency.
Voters also support restoring CFPB protections – for overdraft fees, credit card late fees, privacy, and payment apps – that were cancelled during the current Trump Administration. A bipartisan polling team from Lake Research Partners and Chesapeake Beach Consulting conducted the survey.
### "Overwhelming margins"
“Americans of all political stripes, by overwhelming margins, support this consumer watchdog. The Administration’s and Congress’s actions to shutter the agency fly in the face of what voters want,” said Mike Calhoun, president at the Center for Responsible Lending.
“The Consumer Bureau’s mission – making sure financial firms treat people fairly – is especially important as so many people struggle to afford housing and other essentials. Congress should pass the [Protecting American Consumers Act](https://www.govtrack.us/congress/bills/119/s4684?ref=consumernews.ai) to automatically and fully fund the CFPB’s work,” he said in a [news release](https://www.responsiblelending.org/media/new-poll-80-voters-support-consumer-financial-protection-bureau?ref=consumernews.ai).
“There is a massive disconnect between Congressional Republicans’ push to loosen Wall Street regulations, and what midterm voters actually want,” said Tom Feltner, associate director of consumer policy at Americans for Financial Reform. “Polling consistently shows that Republicans, independents, and Democrats alike want a Consumer Financial Protection Bureau that stands up to Wall Street abuses in order to protect families’ finances, rein in junk fees, and guard peoples’ privacy.”
### Bipartisan support for CFPB's mission
Among other findings, the poll found:
Over nine in ten voters (92%) believe it is important to regulate financial services to make sure they are fair for consumers.
- After hearing a short description of the CFPB and its mission, four in five voters (80%) express support for the CFPB, including 77% of Republicans and 69% of independents.
- There is remarkably wide support across parties and among independents for a number of CFPB protections that were canceled or overturned by the Trump administration or Congress:
- Over four in five voters support capping credit card late fees at $8 and overdraft fees at $5 (82% each), including over three quarters of Republican voters for each policy.
- Over four in five voters support regulating payment apps (such as Venmo, PayPal, and Cash App) to stop bad practices that harm people (81%), including 80% of Republicans.
- Voters are near-unanimous in their support of stopping financial companies from selling consumers’ personal data (90%) with a high degree of consistency across party lines.
### What is Trump thinking?
Recent off-year and special elections have generally seen Democratic candidates outperform their 2024 baseline, fueling optimism about the party's prospects in the 2026 midterms, according to the [Brookings Institute](https://www.brookings.edu/articles/what-do-special-elections-mean-for-the-midterm-elections/?ref=consumernews.ai).
So why is the Trump administration so determined to cut programs that voters deem essential? One suggestion comes from the [Brennan Center for Justice](https://www.brennancenter.org/our-work/analysis-opinion/who-benefits-trumps-move-shut-down-consumer-financial-protection-bureau?ref=consumernews.ai), which has termed Trump's efforts "another example of the donor class holding sway over Washington."
To hear the Trump White House tell it, the CFPB is a “woke, weaponized” agency that takes money from financial institutions to “support radical advocacy groups.” This position is drawn directly from the conservative policy plan [Project 2025](https://static.project2025.org/2025%5FMandateForLeadership%5FFULL.pdf?inline=1&ref=consumernews.ai#page=870), which was crafted in part by [Vought](https://apnews.com/article/trump-russell-vought-confirmation-budget-project-2025-7d1c476694176876256e95cecbd49231?ref=consumernews.ai), who now runs the agency on an "acting" basis.
But ideology aside, the drive to bury the CFPB also aligns with the interests of the mega-donors who have financed Trump's campaigns and those of many of his MAGA supporters. Elon Musk is the most prominent example but in its article, the Brennan Center counts downs the billionaire financiers whose business interests coincide with their professed ideology concerns.
They suggest, though not in so many words, that Trump is repaying his most generous supporters by attempting to roll back the financial protections that are generally regarded as essential to maintaining a healthy middle class.
"The Trump-Vance ticket ran on [breaking](https://www.cnbc.com/2024/05/21/trump-republicans-shift-gop-approach-to-labor-free-markets-and-regulation.html?ref=consumernews.ai) with the economic orthodoxy espoused by longtime GOP megadonors. But for now, it appears to be the orthodoxy that is winning out," say Eric Petry and Ian Vendewalker, the authors of the Brennan Center [article](https://www.brennancenter.org/our-work/analysis-opinion/who-benefits-trumps-move-shut-down-consumer-financial-protection-bureau?ref=consumernews.ai).
### National Safety Recalls - July 16
URL: https://www.consumernews.ai/national-safety-recalls-july-16/
Last updated: 2026-07-16T20:33:14.000Z
## New major hazards
**Boon PIVOT toddler towers — 116,908 units**
The collapsible kitchen step stools can tip over while children are using them, posing serious fall and death hazards. TOMY is offering a repair for affected gray and white towers. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/TOMY-Recalls-Boon-PIVOT-Collapsible-Toddler-Tower-Kitchen-Step-Stools-Due-to-Risk-of-Serious-Injury-and-Death-from-Tip-Over-and-Fall-Hazards?utm%5Fsource=chatgpt.com))
**Target Cat & Jack children’s sandals — 211,000 pairs**
Decorative pearls can detach from the toddler sandals and become a potentially deadly choking hazard. Consumers should stop using them and return them for a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Target-Recalls-Cat-Jack-Childrens-Sandals-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Hazard?utm%5Fsource=chatgpt.com))
**Panasonic toaster ovens — 11,480 units**
The power-cord insulation on model **NB-G200** may be inadequately protected, creating electrical-shock and fire hazards. Panasonic is offering refunds. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Panasonic-Recalls-Electric-Toaster-Ovens-Due-to-Shock-and-Fire-Hazards?utm%5Fsource=chatgpt.com))
**SDADI children’s kitchen step stools — 5,952 units**
The wooden towers can collapse or tip over, and their openings can entrap a child’s torso. Eight instability or tip-over incidents and four injuries have been reported. They were sold through Amazon, Walmart, Target and Best Buy websites. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/SDADI-Kitchen-Step-Stools-Recalled-Due-to-Risk-of-Serious-Injury-and-Death-from-Entrapment-and-Fall-Hazards-Imported-by-Yiwushi-Bihe-Trading?utm%5Fsource=chatgpt.com))
**Liizousuda paint thinner — 4,200 bottles**
The mineral-spirit bottles lack child-resistant caps. Swallowing the petroleum distillates can cause chemical pneumonia, severe lung damage or death. The product was sold on Amazon. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Liizousuda-Paint-Thinner-Bottles-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Child-Poisoning-Violate-Mandatory-Standard-for-Child-Resistant-Packaging-Sold-on-Amazon-com-by-Shenzhen-Gudebo-Technology?utm%5Fsource=chatgpt.com))
### Other new CPSC recalls
**Madewell women’s sweaters — 5,900 units**
Recalled because the garments fail federal flammability requirements and pose serious burn hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Madewell-Recalls-Womens-Sweaters-Due-to-Risk-of-Serious-Injury-or-Death-from-Burn-Hazard-Violate-Mandatory-Standard-for-Clothing-Textiles?utm%5Fsource=chatgpt.com))
**Flashgitz Relic lunch-box copper cups — 7,000 units**
The included drinking cup contains high lead concentrations, creating a lead-poisoning hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Warren-James-Recalls-the-Copper-Cup-Found-in-Flashgitz-Relic-Lunch-Boxes-Due-to-Risk-of-Serious-Injury-or-Death-from-Lead-Poisoning?utm%5Fsource=chatgpt.com))
**Currey & Company Nottaway chandeliers — 447 units**
The fixtures are improperly grounded and can electrocute users. Consumers should stop using them until replaced by a licensed electrician. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Currey-Company-Recalls-Nottaway-Chandeliers-Due-to-Risk-of-Serious-Injury-or-Death-from-Electrocution-Hazard?utm%5Fsource=chatgpt.com))
**Oitnlaughter finger-light toys — 1,012 sets**
Children can access the button-cell batteries, which can cause internal chemical burns or death if swallowed. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Oitnlaughter-Projecting-Finger-Light-Toys-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Battery-Ingestion-Violate-Mandatory-Standard-for-Toys-Sold-on-Amazon-by-Delightmi?utm%5Fsource=chatgpt.com))
### FDA
**Khong Guan glutinous rice balls — undeclared peanuts**
FDA expanded the recall on **July 15** to include Glutinous Rice Balls with Black Sesame Filling and Black & White Glutinous Rice Balls with Black Sesame Filling. People with peanut allergies risk a serious or potentially fatal reaction. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
### NHTSA
No major new NHTSA consumer alert dated after **July 9** appeared in today’s official postings. The latest urgent action remains the recall of **462,869 2020–2024 Kia Tellurides** whose front power-seat motors can overheat and ignite. Owners are advised to park outside and away from structures until repaired. ([NHTSA](https://www.nhtsa.gov/press-releases/park-outside-recall-kia-tellurides?utm%5Fsource=chatgpt.com))
### USDA FSIS
No new FSIS recall or public-health alert appeared after the **July 3** alert for GoodTimes ready-to-eat beef jerky. That product was flagged for misbranding and an undeclared allergen; consumers may still have it stored at home. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-a-ready-eat-beef-jerky-product-due-misbranding-and?utm%5Fsource=chatgpt.com))
### United warns of $6 billion in extra fuel costs
URL: https://www.consumernews.ai/united-warns-of-6-billion-in-extra-fuel-costs/
Last updated: 2026-07-16T15:22:05.000Z
##
The Iran war is now redrawing airline financials. United Airlines said Wednesday it expects to spend an additional $6 billion on jet fuel this year, based on Tuesday's crude oil prices, [CBS News reported](https://www.cbsnews.com/news/united-airlines-jet-fuel-spend-6-billion/?ref=consumernews.ai). Jet fuel is the second-highest cost for airlines after labor. United said in its second-quarter earnings release that it had already spent an extra $2.3 billion on fuel in the quarter — 84 percent more than the same period a year earlier.
The knock-on effects for travelers are showing up in ticket prices and cabin economics. Delta has said it will not cut fares anytime soon, and United is now testing whether passengers will pay a premium simply to keep the middle seat next to them empty.
[The Associated Press](https://apnews.com/article/united-airlines-empty-middle-seat-tickets-c1344eabf3633a0809685330881c4758?ref=consumernews.ai) said United will begin auctioning empty adjacent seats on selected routes this fall — the latest step in an industrywide effort to segment cabins so that budget travelers pay less for less while price-insensitive travelers subsidize the operation.
### Airports adrift
Newark Liberty International Airport is again a summer chokepoint, [The Wall Street Journal reported](https://www.wsj.com/business/airlines/newarks-having-trouble-againand-summer-air-travel-is-at-stake-98b1ff3d?ref=consumernews.ai), with air-traffic control staffing shortages and equipment issues threatening peak-season travel.
The aviation industry Tuesday urged Congress to provide $20 billion for air-traffic-control modernization, [per Reuters](https://www.reuters.com/business/aerospace-defense/us-aviation-industry-urges-congress-provide-20-billion-air-traffic-control-2026-07-15/?ref=consumernews.ai). Consumers already contending with Spirit Airlines' bankruptcy exit are looking at fewer route options, tighter capacity and premium-cabin economics extending into the coach cabin — with fares likely to stay elevated into the fall.
### Going paperless
Along with higher fares and an astounding array of new junk fees, many airlines are scrapping paper boarding passes, deeming them a relic of an earlier time.
Last spring, [American Airlines reprogrammed kiosks](https://www.retailcustomerexperience.com/news/american-airlines-ends-automatic-boarding-pass-printing-at-kiosks/?ref=consumernews.ai) so boarding passes aren't printed automatically. Now, paper versions must be specifically requested at check-in. [Emirates made a similar change in 2023](https://shopping.yahoo.com/rdlw?merchantId=4d886ceb-330a-4c44-a816-20382d64b4ea&siteId=us-y4c&pageId=1p-autolink&contentUuid=01e290c2-42ca-4e11-b6e4-7ffcbd713f20&featureId=text-link&merchantName=Emirates&linkText=Emirates+made+a+similar+change+in+2023&custData=eyJzb3VyY2VOYW1lIjoiV2ViLURlc2t0b3AtVmVyaXpvbiIsImxhbmRpbmdVcmwiOiJodHRwczovL3d3dy5lbWlyYXRlcy5jb20vbWVkaWEtY2VudHJlL2VtaXJhdGVzLWdvZXMtZGlnaXRhbC1waGFzZXMtb3V0LXBhcGVyLWJvYXJkaW5nLXBhc3Nlcy1mb3ItZmxpZ2h0cy1kZXBhcnRpbmctZHViYWkvIiwiY29udGVudFV1aWQiOiIwMWUyOTBjMi00MmNhLTRlMTEtYjZlNC03ZmZjYmQ3MTNmMjAiLCJvcmlnaW5hbFVybCI6Imh0dHBzOi8vd3d3LmVtaXJhdGVzLmNvbS9tZWRpYS1jZW50cmUvZW1pcmF0ZXMtZ29lcy1kaWdpdGFsLXBoYXNlcy1vdXQtcGFwZXItYm9hcmRpbmctcGFzc2VzLWZvci1mbGlnaHRzLWRlcGFydGluZy1kdWJhaS8ifQ&signature=AQAAAfpnUIitF1r468ELgcJpzKY7cXyZN-SVeuxQ8W6KrbDO&gcReferrer=https%3A%2F%2Fwww.emirates.com%2Fmedia-centre%2Femirates-goes-digital-phases-out-paper-boarding-passes-for-flights-departing-dubai%2F&refurl=creators-supernovaArticleRecsDedupe%5Fssr&uuid=koOKY1DnibJoF19c0289&yLinkID=029796b11mndgw1pyiz2&measurementId=G-B40QGCQW3G&ref=consumernews.ai), requiring most passengers departing from Dubai to use mobile boarding passes.
Airlines scrapping paper passes say the decision was driven by efficiency and sustainability goals, and they still allow paper backups for travelers who cannot access a mobile version.
But for many passengers, the change is disturbing. Believe it or not, there are passengers who don't own a smartphone and many seniors find airline apps confusing and offputting. Low-income passengers are more likely to have older phones or limited data plans, making digital boarding passes cost-prohibitive.
Disabled travelers with visual impairments or mobility challenges often find it easier to hand over a printed pass instead of juggling multiple screens. And sometimes, things just happen – phones get lost or stolen mid-trip or your battery dies at the worst possible time.
Critics say the move is petty and unnecessary. They asked whether a single piece of paper – one that passengers usually have to print on their own printer using their paper and ink – can really be so cost-prohibitive.
### 1.4 million vehicles land in recalls and probes
URL: https://www.consumernews.ai/1-4-million-vehicles-land-in-recalls-and-probes/
Last updated: 2026-07-16T14:43:06.000Z
The National Highway Traffic Safety Administration took three major consumer-safety actions Tuesday in a single day.
Subaru is recalling 541,237 vehicles in the United States because they were manufactured with an incorrect Gross Axle Weight Rating on their certification labels, [Reuters reported](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai), a problem [CBS News](https://www.cbsnews.com/world/?ref=consumernews.ai) said "could increase the risk of a crash" on Crosstrek, Forester and Ascent models.
Honda is facing an NHTSA probe of 806,963 Honda minivans over concerns about their air bags.
BMW is recalling 29,119 vehicles for engine-starter relays that may corrode, leading to overheating, short circuits and possible fires.
Combined, the day's actions cover about 1.4 million vehicles.
### Recalls galore this summer
The recall wave extends a punishing summer for auto owners. Ford has recalled well over 3 million vehicles since June 4 across five separate campaigns for gearshift, seat-belt, park-system, front-seat and wiper defects, [Reuters earlier reported](https://www.reuters.com/legal/litigation/ford-recall-over-110000-us-vehicles-over-wiper-pinion-shaft-issues-nhtsa-says-2026-07-07/?ref=consumernews.ai).
Honda recalled 880,514 Pilot, Ridgeline, Passport and Acura MDX SUVs on June 10 for a rear-suspension defect.
Stellantis recalled 1.08 million Jeep Wrangler and Gladiator plug-in hybrids on June 9 for battery-pack fires.
And a [Wall Street Journal investigation](https://www.wsj.com/business/autos/counterfeit-air-bag-parts-deaths-regulators-6eddfdd4?ref=consumernews.ai) published July 9 found that counterfeit airbag parts have killed at least 10 U.S. drivers since 2023 through the used-car channel.
### NYC wants to make the advertised price the price you actually pay
URL: https://www.consumernews.ai/nyc-wants-to-make-the-advertised-price-the-price-you-actually-pay/
Last updated: 2026-07-16T13:51:34.000Z
#
New York City is moving toward one of the nation’s broadest crackdowns on junk fees, proposing a citywide rule that would require businesses to display the full price consumers must pay instead of advertising a low headline price and piling on mandatory charges later.
The proposed “all-in pricing” rule would cover virtually any business that advertises goods or services in the city or markets them to New York City consumers, regardless of where the company is based., Mayor Zohran Mamdani announced Wednesday.
That could make the rule relevant to rental housing, food-delivery platforms, entertainment tickets, subscriptions, professional services, financial products and countless online purchases.
The central requirement is simple: When a business displays a price, that price must include all mandatory fees and charges and must appear at least as prominently as any other price information. Taxes, government-imposed charges and reasonable shipping costs for physical goods could still be added separately.
“The Mamdani Administration is shutting the door on the era of fleecing New Yorkers with junk fees and subscription traps,” [said Samuel A.A. Levine](https://nypost.com/2026/07/10/lifestyle/nyc-sees-new-junk-fee-ban-as-mamdani-hits-back-at-biz-bad-habit/?ref=consumernews.ai), Commissioner of the New York City Department of Consumer and Worker Protection (DCWP).
“These two rules will ensure that the price you see is the price you pay—no hidden charges, no endless subscription services and no advantages for businesses that cheat. Requiring companies to compete on price will lower costs for all New Yorkers and level the playing field for honest businesses.”
The [Department of Consumer and Worker Protection](https://a866-dcwpbp.nyc.gov/not-allowed?returnUrl=%2Faccount%2Fdashboard&ref=consumernews.ai), or DCWP, says the proposal is aimed at the familiar bait-and-switch experience in which consumers choose a product based on one price, invest time in the transaction and then discover service fees, processing charges, destination fees or other unavoidable costs at checkout.
“Hidden fees and subscription traps make everyday life more expensive and undermine trust in the marketplace,” Susan Weinstock, CEO of the Consumer Federation of America, [said](https://www.nyc.gov/site/dca/news/048-26/mamdani-administration-landmark-consumer-protection-rules-ban-subscription-traps-and?ref=consumernews.ai) when the proposal was announced.
“Right now, companies make it easy to sign up for things and hard to cancel them,” said Julie Su, Deputy Mayor for Economic Justice. “They advertise one price and charge you another.”
### What would count as a mandatory fee?
The proposal uses a broader definition than simply asking whether a charge can technically be declined.
A mandatory fee would include:
- A charge the consumer must pay to complete the purchase.
- A fee that is not reasonably avoidable, including one that is difficult to find or remove.
- A separate charge for something a reasonable consumer would expect to be included in the advertised product or service.
That last provision could be especially consequential. It is intended to prevent businesses from breaking ordinary components of a purchase into supposedly optional pieces simply to advertise a lower price.
A company selling a service by the hour, for example, would have to include mandatory hourly surcharges in the advertised hourly rate. A cleaning company advertising a per-room price would have to include unavoidable charges in that figure.
For recurring services, the advertised price would have to include all mandatory charges for one billing period. Nonrecurring mandatory charges, such as enrollment or signup fees, would also have to be displayed prominently.
Before the customer agrees to pay, the business would have to provide a full breakdown of excluded costs, including optional add-ons, taxes and shipping, along with the final amount due.
## More than a disclosure rule
The proposal would not merely require businesses to list fees. It would also prohibit them from misrepresenting what a fee is for, how much it costs, whether it is refundable or which product or service it covers.
That could put greater scrutiny on vague charges labeled as “service,” “processing,” “administrative” or “destination” fees.
Businesses would also have to maintain records documenting the basis for every fee, including its purpose, amount and refundability, and provide those records to DCWP on request.
Failure to keep or produce those records could create a legal presumption that the facts alleged by the city are true. For example, if a company could not document that a shipping charge reflected its actual shipping costs, regulators could presume that it did not.
That recordkeeping provision could turn out to be one of the proposal’s most powerful enforcement tools.
But Mayor Mamdani said any inconvenience to businesses would be outweighed by the savings consumers would realize.
“New Yorkers reckon with (this) as almost every part of the customer experience when they are not told how much something truly costs, and when they get a mess of hidden fees that they never signed up for, cannot cancel, cannot afford,” he said, emphasizing that the costs from hidden fees by airlines, credit card companies, [hotel bookings](https://nypost.com/2026/06/25/real-estate/nyc-hotels-see-sudden-surge-in-bookings-for-world-cup/?ref=consumernews.ai) and streaming services “add up.”
## Rental housing could be a major battleground
The proposal specifically identifies rental housing as one of the industries where hidden or delayed fees have become common.
Renters can encounter mandatory application costs, amenity fees, payment-processing fees, utility charges, move-in charges or other expenses that are not included in the advertised monthly rent.
Under the proposal, a landlord or rental platform advertising a unit at a particular monthly price could have to include recurring mandatory charges in that figure, while separately and prominently identifying one-time mandatory costs.
That could make apartment comparisons more meaningful, particularly in a city where an advertised rent can understate the amount a tenant must actually pay.
The exact reach of the rule in housing transactions will likely be a focus of the public-comment process, particularly where state real-estate law or other regulations may overlap.
### Financial companies may not be exempt
Banks, lenders and fintech companies are already subject to federal disclosure laws covering interest rates, finance charges, account fees and mortgage costs.
But the proposed city rule does not categorically exclude financial services. Instead, it says the requirements would not apply where federal or state law preempts city regulation.
That leaves potentially significant gray areas.
Marketing for loan origination fees, expedited-payment charges, account-maintenance fees, debt-collection payment fees, fintech platform charges and subscription-based financial tools could fall within the city’s rule when existing federal disclosure statutes do not fully govern the advertisement.
The DCWP is specifically asking commenters to identify federal or state laws that may conflict with the proposal, suggesting that preemption and overlapping disclosure requirements could become central legal issues, [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/07/15/new-york-city-proposes-sweeping-all-in-pricing-rule-targeting-junk-fees-across-virtually-every-industry/?ref=consumernews.ai) noted.
## Penalties would escalate quickly
The proposed penalty schedule calls for fines of:
- $525 for a first violation.
- $1,050 for a second violation.
- $3,500 for a third or subsequent violation.
The proposal contains no advance cure period that would allow a business to correct the violation before being penalized. The city could also seek restitution for consumers harmed by unlawful fees.
An initial city news release said fines would start at $350, but the actual proposed rule text lists a first-violation penalty of $525\. The formal rule text is the controlling document for the proposal, according to the [NYC government](https://www.nyc.gov/site/dca/news/048-26/mamdani-administration-landmark-consumer-protection-rules-ban-subscription-traps-and?ref=consumernews.ai).
## Broader than the federal rule
The Federal Trade Commission’s national junk-fee rule focuses primarily on live-event tickets and short-term lodging.
New York City’s proposal is deliberately industry-neutral. It would establish a general pricing standard for nearly all consumer transactions unless federal or state law prevents the city from regulating a particular field.
It also goes further than the federal rule by requiring fee records, prohibiting misleading descriptions of fees and allowing adverse presumptions when companies fail to produce documentation.
California, Massachusetts and Minnesota have also adopted broadly applicable price-transparency requirements, but New York City’s plan would be an unusually expansive municipal rule.
## What happens next
The rule is still a proposal and has not taken effect.
DCWP will accept public comments through Aug. 7 and hold a virtual public hearing at 11 a.m. Eastern that day. The agency may revise the language after reviewing public testimony and written submissions. ([NYC Rules](https://rules.cityofnewyork.us/rule/junk-fees/?ref=consumernews.ai))
The proposal arrives alongside New York City’s separate click-to-cancel rule, which becomes effective Oct. 1 and requires businesses to give consumers straightforward ways to end recurring subscriptions. ([NYC Government](https://www.nyc.gov/site/dca/news/048-26/mamdani-administration-landmark-consumer-protection-rules-ban-subscription-traps-and?ref=consumernews.ai))
Together, the initiatives represent an aggressive attempt to attack two common affordability drains: prices that rise during checkout and recurring charges that are far easier to start than to stop.
For consumers, the potential benefit is not necessarily that every product becomes cheaper overnight. Businesses could still charge fees and raise prices. But they would have to compete using a number that more closely reflects what the customer will actually pay.
That could make comparison shopping easier — and make it much harder for a company with a $120 product and $30 in unavoidable fees to appear cheaper than a competitor charging an honest $140 upfront.
### $1 trillion in federal funds at stake as Trump appointees subject funding to new process
URL: https://www.consumernews.ai/1-trillion-in-federal-funds-at-stake-as-trump-appointees-subject-funding-to-new-process/
Last updated: 2026-07-15T21:44:12.000Z
While news coverage and public attention are focused on the Reflecting Pool, White House renovations and new Presidential airplanes, the Trump administration is hard at work making far-reaching changes that will be felt long after the incumbents have left office.
One such change proposed by the Office of Management and Budget (OMB) would change how decisions about federal funding are made.
These changes would subject all federal funding, including for basic programs like energy assistance, to a political litmus test and additional bureaucratic hurdles and red tape.
Consumer advocates warn the proposed changes would cause widespread confusion for program administrators and service disruptions for families most in need, especially in programs like the federal [Low Income Home Energy Assistance Program](https://acf.gov/ocs/programs/liheap?ref=consumernews.ai) (LIHEAP) which helps low-income families afford utilities during extreme heat and cold.
The program has long been on Trump's list of programs targeted for extinction. “For the sixth time, the Budget proposes to end this program,” he said in his [budget proposal](https://thehill.com/policy/energy-environment/5815067-trump-budget-liheap-energy-prices/?ref=consumernews.ai) released in April, adding that Trump’s agenda should do enough to lower energy prices and make up the difference.
The Trump budget describes LIHEAP as “unnecessary” because states have policies preventing utility shutoffs, “making LIHEAP a passthrough benefiting utility companies.”
### Consumer advocates disagree
“After sending prices skyrocketing with his stupid tariffs and reckless war, President Trump is now proposing to eliminate programs that help families afford the basics—like LIHEAP,” Sen. [Patty Murray ](https://thehill.com/people/patty-murray/?ref=consumernews.ai)(Wash.), the top Democrat on the Senate Appropriations Committee, said in a [written statement](https://thehill.com/policy/energy-environment/5815067-trump-budget-liheap-energy-prices/?ref=consumernews.ai) in April.
“This proposal risks harming the health and safety of the ... families and people with disabilities, who are at the greatest risk of energy insecurity and serious, even fatal, health complications from the lack of heating and cooling,” [said Olivia Wein](https://www.nclc.org/sweeping-guidance-for-federal-funding-alarms-advocates-as-new-political-scrutiny-creates-uncertainty-for-families-struggling-with-unaffordable-energy-bills/?ref=consumernews.ai), senior attorney at the National Consumer Law Center, in a news release.
“We urge the OMB to reject these proposed revisions due to clear errors in procedure and potential harms to people in need,” Wein said.
NCLC [filed comments](https://www.nclc.org/resources/nclc-comments-to-the-omb-regarding-federal-financing-assistance-sweeping-proposed-rule-that-subverts-statutory-direction-for-program-funding-for-all-federal-agencies/?ref=consumernews.ai) noting that the proposal would dramatically limit the reach of life-saving assistance to high-need households through LIHEAP and the Department of Energy’s low-income [Weatherization Assistance Program](https://www.energy.gov/cmei/scep/wap/weatherization-assistance-program?ref=consumernews.ai) (WAP) — creating financial instability for families already struggling to make ends meet.
### Help for families in need
LIHEAP is a long-standing federal program that receives an annual appropriation from Congress to address low-income household energy affordability. It is designed to mitigate health and safety harms from the lack of heat in the winter and cooling in the summer.
Federal [data reports](https://www.energypolicy.columbia.edu/publications/energy-insecurity-in-the-united-states/?ref=consumernews.ai) nearly twice the rate of energy insecurity for Black and Hispanic households compared to all U.S. households. The proposal would hinder the ability of LIHEAP to address this uneven energy insecurity landscape in part because it purports to ban any federally funded efforts at racial equity or inclusion and prohibit tools used to identify and challenge discriminatory conduct.
In over half the states, the same agency that administers LIHEAP administers the Department of Energy’s low-income Weatherization program. The proposed changes could cost low-income households access to both programs and significantly disrupt the functioning of state agencies that administer the distribution of the funds.
Programs like LIHEAP are time-sensitive. States rely on the ability to prepare winter heating assistance grants at the start of the new fiscal year on October 1\. Adding processes that slow down the processing of state, territory, and tribal LIHEAP program applications will have a ripple effect, advocates warn and lead to increasing and protracted delays, likely resulting in many families not receiving timely assistance.
### $1 trillion at stake
The proposal affects over $1 trillion in annual Federal grants and cooperative agreements across 41 agencies. All of these grants would now be subject to review for conformity with the president’s political agenda, regardless of the Congressional intent in appropriating the funds or the language of the enabling statute.
Despite the predictable impact on governments and nonprofits across the country, OMB has failed to quantify the impacts on the states, tribes, territories, community action agencies, and the other nonprofits involved in administering federal programs, NCLC said. Parties were only given 45 days to comment, which advocates insist is inadequate time to analyze the full impact of these sweeping changes.
A few of the impacted programs NCLC works on include those designed to help low-income households recover from natural disasters, provide emergency low-income water assistance, provide rental and other housing assistance, and enhance broadband affordability. The recently enacted [21st Century ROAD to Housing Act](https://www.consumernews.ai/landmark-housing-affordability-bill-becomes-law-without-trumps-signature/), and its provisions authorizing funding to help advance and sustain affordable home ownership, is also at risk.
Consumer advocates are also concerned that the proposal could impact the ability of legal services offices across the country, including ones located in rural areas, to meet the needs of the low-income communities they serve.
“The proposed rules will create a cloud of uncertainty surrounding federal grants and a bottleneck that will slow down the release of funds for all programs, not just those identified as promoting diversity, equity, inclusion, and accessibility, or other programs disfavored by the current administration,” said Odette Williamson, director of Racial Justice Advocacy at NCLC.
“This is simply unworkable and will disproportionately harm families of color, including those that rely on LIHEAP to keep heat on in the winter and run life-saving air conditioning in the summer,” Williamson said.
### TruHeight fined for height-based growth claims, bogus online 'reviews'
URL: https://www.consumernews.ai/truheight-fined-for-height-based-growth-claims-bogus-online-reviews/
Last updated: 2026-07-15T15:45:41.000Z
The promoters behind the TruHeight line of nutrition supplements have agreed to pay $750,000 and to stop making false health claims and using fake or "incentivized" consumer reviews.
The [order finalized by the Commission](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/2423093truheightfinalorder.pdf?ref=consumernews.ai) settles allegations, brought by the FTC in [April 2026](https://www.ftc.gov/news-events/news/press-releases/2026/04/ftc-takes-action-against-truheight-deceptive-unsubstantiated-advertising-supposed-height-enhancing?ref=consumernews.ai), that TruHeight and its two principals, Eden Stelmach and Justin Rapoport, deceptively advertised the effectiveness of a range of supplements that claim to boost height growth in children and teenagers.
The complaint also alleged that TruHeight and its principals relied on reviews that were written by their own employees and vendors, or by consumers who were offered a free product or discount in return for writing a 5-star review.
A TruHeight listing on Amazon's site 7/15/2026
### Pediatricians' choice?
On its [website](https://www.truheightvitamins.com/?ref=consumernews.ai), TruHeight claims to be the "Number 1 pediatrician recommended brand for healthy growth and development" but gives no support for that claim.
The FTC alleged that TruHeight’s height-based growth claims were unsubstantiated because TruHeight lacked competent and reliable scientific evidence to back them up. TruHeight also used fake social media profiles that were in reality run by bots while masquerading as belonging to real, existing users, according to the complaint.
The company's products are sold at major retail outlets including Amazon, Walmart and Target.
The FTC’s final order imposes a $4 million judgment on TruHeight and its principals, which will be partially suspended after they pay $750,000 based on their inability to pay the full amount. The proposed order also prohibits TruHeight, Stelmach and Rapoport from:
- Making false or unsubstantiated height and growth claims;
- Making any claims about the health benefits, performance, efficacy, safety or side effects of any product covered by the order, unless the claim is not misleading and is supported by competent and reliable scientific evidence;
- Misrepresenting that a reviewer exists, that a reviewer used the product, service or business being reviewed, or the reviewer’s experience with the product, service or business being reviewed; and
- Buying consumer reviews conditioned on a particular sentiment, whether positive or negative, about the product being reviewed.
### The truth about the multi-billion-dollar pet supplement industry
URL: https://www.consumernews.ai/the-truth-about-the-multi-billion-dollar-pet-supplement-industry/
Last updated: 2026-07-15T13:50:07.000Z
Americans spend well over $150 billion a year on their pets, and supplements have become one of the industry's fastest-growing segments. From probiotics and CBD chews to joint formulas and calming treats, manufacturers promise everything from shinier coats to healthier digestion and relief from anxiety and allergies.
Unlike prescription veterinary drugs, however, most pet supplements are not required to prove they work before they are sold.
That surprises many consumers.
Prescription medications must undergo extensive testing for safety, effectiveness and manufacturing quality before receiving approval from the U.S. Food and Drug Administration (FDA). Most pet supplements follow a very different path.
Manufacturers are generally responsible for ensuring their products are safe and truthfully marketed, but they do not have to conduct large clinical trials demonstrating that a supplement delivers the advertised benefits before it reaches store shelves.
That doesn't mean supplements are worthless.
Some contain ingredients supported by legitimate research, while others may benefit certain animals. But experts caution that evidence for one ingredient—or even one specific formulation—cannot automatically be applied to every product that contains similar ingredients.
The [North American Veterinary Community](https://navc.com/?ref=consumernews.ai), veterinary dermatologists and nutrition specialists, have repeatedly urged pet owners to distinguish between promising early research and proven treatments.
[Pet owners spend billions chasing ‘miracle cures’ for itchy dogs. Many promise more than science can deliver.Chronic itching is one of the most common reasons dogs visit veterinarians, fueling a booming market for supplements that promise relief through probiotics, herbs and “gut health.”ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/pet-owners-spend-billions-chasing-miracle-cures-for-itchy-dogs-many-promise-more-than-science-can-deliver/)
### Why the marketing can be confusing
Many supplement advertisements rely on techniques familiar from the human wellness industry:
- Dramatic before-and-after stories.
- Customer testimonials.
- Claims that a product addresses the "root cause."
- References to the microbiome or immune system.
- High customer ratings.
- Limited-time discounts and subscription offers.
Those marketing approaches are not necessarily misleading, but they are not substitutes for independent scientific evidence.
Another common tactic is citing impressive percentages—such as "90% of customers saw improvement"—without explaining that the numbers may come from small company surveys rather than randomized clinical trials.
Consumers should also understand that online reviews can be influenced by many factors, including spontaneous improvement, seasonal changes in allergies, changes in diet or concurrent veterinary treatment.
### Questions worth asking before you buy
Before spending $40, $60 or even $100 a month on a pet supplement, veterinary experts suggest asking:
- Has the product itself been tested in peer-reviewed clinical studies?
- Were the studies conducted by independent researchers?
- Are the claims based primarily on testimonials?
- Is the company promising results that sound too good to be true?
- Has my veterinarian diagnosed the actual cause of my pet's symptoms?
> The bottom line: Supplements may have a place in a dog's overall health plan, but they should be viewed as one tool—not a miracle cure—and consumers should demand the same level of evidence they would expect for products intended for people.
### Affordability under fire: Inflation cools, but price pressures still squeeze budgets
URL: https://www.consumernews.ai/affordability-under-fire-inflation-cools-but-price-pressures-still-squeeze-budgets/
Last updated: 2026-07-15T11:53:47.000Z
The five themes driving today’s consumer news are these: cooling inflation that may not end rate worries, persistently high housing borrowing costs, shifting trade and tariff policy that can filter into retail prices, rising stress signals in auto lending, and another round of warnings about health insurance affordability.
The [Consumer Price Index](https://www.bls.gov/cpi/?ref=consumernews.ai) rose 3.5 percent over the 12 months through June after a 4.2 percent jump in May, and the index fell 0.4 percent in June after a 0.5 percent increase the month before, according to the Bureau of Labor Statistics.
Even in a cooler CPI month, gas remains a wildcard: the national average price for gasoline rose to about $3.86 a gallon from $3.79 a week earlier, AAA data showed.
[AP’s consumer price coverage](https://apnews.com/article/consumer-prices-food-groceries-war-fuel-f5e442ef60858c96a2fc4b4ee9e18780?ref=consumernews.ai) also emphasized that many families are still recalibrating spending — buying cheaper brands, cutting back on nonessentials, and watching food and fuel costs amid geopolitical uncertainty.
## Housing and mortgage rates keep first-time buyers on the sidelines
Mortgage rates remained elevated this week, and the housing market’s affordability squeeze continues to shape major consumer decisions, from whether to buy a first home to how aggressively to remodel, travel or take on other debt
[AP’s housing report](https://apnews.com/article/mortgage-rates-housing-interest-financing-home-c30936bfb9ab1eb0823f7b28e92807ad?ref=consumernews.ai) described would-be buyers delaying purchases, sellers reluctant to give up low-rate mortgages from earlier years, and builders trying to gauge how much demand is left at current financing costs.
The mortgage story also underscored a key consumer dynamic: When housing payments take a larger share of monthly income, it tends to crowd out discretionary categories like restaurants, apparel and entertainment, keeping pressure on retailers and service businesses.
For renters, the same dynamics can show up as fewer move-up opportunities and more competition for entry-level units, especially in metros that also face rising insurance costs and property taxes.
## Tariffs and trade policy add another layer to consumer prices
Trade policy moved back into the consumer-price conversation as the U.S. extended certain tariff exclusions for solar panels, a step that can influence costs for clean-energy projects and, indirectly, electricity rates and installation prices paid by households, [Reuters](https://www.reuters.com/world/us/us-extends-tariff-exclusions-solar-panels-2026-07-15/?ref=consumernews.ai) reported.
Companies that rely on imported components often warn that uncertainty around duties forces them to price in risk, build larger inventories or change sourcing, all of which can add costs that eventually reach consumers.
For shoppers, the effects can be uneven: Tariff changes may show up in big-ticket items such as appliances, home improvement materials and electronics faster than in services, while discount retailers may adjust assortments rather than raise sticker prices immediately.
## Autos: delinquencies rise as borrowers hit payment fatigue
In autos — the second-largest household purchase after housing — signs of payment stress are emerging as delinquencies climb, adding to concerns that higher interest rates are colliding with still-pricey vehicles.
Reuters reported that U.S. auto loan delinquencies are rising, a development watched closely by lenders and dealers because it can tighten credit availability and raise financing costs for new borrowers.
For consumers, the feedback loop is familiar: As lenders absorb more losses or anticipate them, they often respond with higher rates, stricter underwriting, and reduced willingness to finance older used vehicles — pushing more shoppers into cheaper cars, longer loan terms, or the sidelines.
That financing stress can ripple into insurance decisions as well, since comprehensive and collision coverage is often required by lenders and can add significantly to the monthly cost of ownership.
## Health insurance: higher premiums and drug costs remain a flashpoint
Health care spending — already one of the most unpredictable household costs — is back in the spotlight as analysis points to the likelihood of another year of sizable Affordable Care Act premium increases, according to [AP News](https://apnews.com/a2b6e95cea6555f12b992346245e2a2c?ref=consumernews.ai).
AP reported that after big premium increases this year, early indicators and insurer filings suggest many consumers could face higher marketplace premiums again in 2027, with subsidies and plan choices determining how much of that increase hits their monthly bills.
Separately, AP’s reporting on drug costs and insurance rate-setting highlighted how prescription spending, specialty drugs and broader medical inflation can push insurers to seek higher rates, even as policymakers debate how to slow the growth.
For households, the affordability question is not just premiums. It is also deductibles, surprise bills, and how quickly out-of-network costs can turn a manageable budget into a financial crisis.
## Bigger picture
Taken together, today’s top consumer themes show why the “inflation is cooling” narrative does not automatically translate into household breathing room: Housing costs reset slowly, tariffs can reintroduce price pressures in goods, financing stress is building in auto loans, and health insurance remains a moving target that can overwhelm any gains from slightly lower inflation readings.
### Airlines keep finding new ways to charge more — now they're even selling the absence of a middle seat
URL: https://www.consumernews.ai/airlines-keep-finding-new-ways-to-charge-more-now-theyre-even-selling-the-absence-of-a-middle-seat/
Last updated: 2026-07-28T14:19:24.000Z
For years, airlines have searched for ways to squeeze more revenue out of every passenger. First came checked-bag fees. Then seat-selection charges. Then Basic Economy. Then charges for early boarding and premium snacks.
Now the latest product isn't another fee.
It's selling passengers something many have wanted for decades: not having someone sitting between them.
United Airlines says its new Airbus A321XLR aircraft will feature several Economy Plus rows where the middle seat disappears entirely, replaced by a permanent shared console with cupholders and extra elbow room. The airline says the configuration is inspired by the "Eurobusiness" seating used by many European carriers. The new rows are expected to go on sale later this year.
On its face, it's a welcome improvement.
But it also illustrates a broader trend transforming commercial aviation: airlines increasingly treat comfort itself as a product that can be purchased one feature at a time.
## The premium squeeze
United isn't alone.
Just days earlier, [Delta expanded its fare segmentation](https://www.consumernews.ai/delta-unveils-basic-business-as-premium-cabins-go-stratified/) by introducing stripped-down versions of First Class, Premium Select and Delta One business class.
Passengers still receive the premium seat, but many benefits once automatically included — such as advance seat selection, lounge access, baggage allowances and flexibility — may now require paying for a more expensive fare.
Industry analysts describe the strategy as "unbundling"—breaking what was once a single ticket into numerous individual products.
That means the advertised fare tells only part of the story.
[Delta NewsTrackerDelta and JetBlue roll out stripped-down premium faresPay a little bit less for sort of luxury travel is the latest travel mantra.ConsumerNews.aiJames R. HoodDelta unveils ‘basic business’ as premium cabins go stratifiedGet the seat but not all the service in stratified airline premium cabinsConsumerNews.aiThe EditorsAirlines keepConsumerNews.aiJames R. Hood](https://www.consumernews.ai/delta-newstracker/)
## Death by a thousand fees
Today's travelers increasingly face separate charges or restrictions involving:
- Advance seat selection
- Checked baggage
- Carry-on bags on some fares
- Boarding priority
- Flight changes
- Refundability
- Loyalty-mile earning
- Elite-status credit
- Lounge access
- Even premium-cabin perks that were once standard
Basic Economy fares continue to spread, and several airlines have reduced or eliminated frequent-flyer mileage earning on their cheapest tickets while making seat assignments increasingly restrictive.
The result is that comparing airfare has become substantially more complicated.
## Airlines say customers want more choice
The airlines argue they're simply offering greater flexibility.
Instead of forcing every traveler to buy the same package, airlines say they're letting passengers buy only the features they value.
Someone traveling with only a backpack, for example, may willingly give up seat selection and flexibility in exchange for a lower fare.
Travel industry analysts note that's exactly how airlines describe the strategy.
Critics, however, argue the changes often represent less of a discount than a gradual removal of features that used to be included in the ticket price.
## Consumer advocates: Compare the total trip cost
Consumer groups have long urged travelers to calculate the full cost of flying before booking.
That means considering:
- baggage fees
- seat-selection charges
- cancellation policies
- loyalty benefits
- airport lounge access
- boarding position
- potential change fees
The cheapest advertised fare often isn't the least expensive trip once those items are added.
For families, the difference can amount to hundreds of dollars.
## What it means
United's new "no middle seat" rows will likely prove popular. Few travelers enjoy sitting in the middle.
But the bigger story isn't that airlines have invented a better seat. It's that comfort itself has become another product to sell.
As airlines continue dividing the travel experience into dozens of separately priced features, consumers increasingly face a marketplace where nearly every convenience — from choosing a seat to avoiding the middle one — comes with its own price tag.
### **Airline nickel-and-diming: Then vs. now**
| Yesterday | Today |
| ---------------------------------- | ------------------------------------------- |
| One economy fare | Multiple fare families |
| Free seat assignment | Often extra |
| Bags included | Separate fee |
| Change flexibility | Premium feature |
| Loyalty miles | Sometimes eliminated on cheapest fares |
| Business class included most perks | "Basic" business fares remove some benefits |
| Middle seat was luck | Now potentially a premium product |
### Texas investigating LinkedIn for 'fake and misleading' job opportunities to premium subscribers
URL: https://www.consumernews.ai/texas-investigating-linkedin-for-fake-and-misleading-job-opportunities-to-premium-subscribers/
Last updated: 2026-07-14T17:01:41.000Z
Paxton has opened an investigation into LinkedIn over allegations that the company has advertised and profited from fake or misleading job opportunities, commonly known as “ghost jobs,” on its platform.
LinkedIn is the world’s largest professional networking platform, with more than one billion registered users worldwide and hundreds of thousands of active users in Texas. The company generates substantial revenue through its Premium subscription services, recruiter licenses, and advertising products, reporting approximately $17.8 billion in revenue during fiscal year 2025\.
LinkedIn has become a central hub for job seekers and employers, serving as one of the primary platforms for discovering, saving, and applying for employment opportunities.
For years, LinkedIn has marketed its paid Premium subscription services to job seekers who have the expectation that the platform’s job listings represent legitimate, active hiring opportunities, the suit alleges, noting that Texas consumers who purchase LinkedIn Premium Career or Premium Business subscriptions pay approximately $39.99 and $69.99 per month.
Many of these users are displaced workers, recent graduates, military veterans, and individuals seeking new employment opportunities. They often rely heavily on LinkedIn’s representations regarding the quality and legitimacy of available job postings. A “ghost job” is a job listing that either does not correspond to an actual open position or is posted despite an employer having no immediate intention of filling the role.
Independent studies have estimated that ghost jobs may account for between one-fifth and one-third of online job listings, Paxton's suit alleges.
The suit says that LinkedIn does not independently verify the hiring status of most listings on its platform. LinkedIn’s Premium marketing materials do not disclose that a significant percentage of job postings may be inactive, unfilled, or otherwise not representative of genuine hiring opportunities.
As a result, the suit charges that consumers may have paid subscription fees based on materially misleading representations regarding the value and effectiveness of LinkedIn’s job marketplace.
“LinkedIn has a duty to provide the services it advertises and ensure that consumers paying for Premium subscriptions are receiving access to legitimate job postings. I am investigating whether LinkedIn has misled Texans by promoting and profiting from ‘ghost jobs’ while marketing itself as a trusted platform for finding employment,” Paxton said in a [news release](https://www.oag.state.tx.us/news/releases/attorney-general-ken-paxton-investigates-linkedin-advertising-fake-and-misleading-job-opportunities?ref=consumernews.ai).
The Office of the Attorney General has issued a Civil Investigative Demand (“CID”) to LinkedIn seeking documents, data, and internal communications related to the company’s advertising, marketing, verification practices, and representations concerning Premium subscription services and job listings.
### Car safety recalls: Kia tells owners to park outside as Honda and Ford recall more than 1 million vehicles
URL: https://www.consumernews.ai/car-safety-recalls-kia-tells-owners-to-park-outside-as-honda-and-ford-recall-more-than-1-million-vehicles/
Last updated: 2026-07-14T16:41:07.000Z
The latest round of automobile recalls includes two repeat-repair campaigns and a Ford transmission defect that could damage the parking mechanism and allow a vehicle to roll away.
Together, the three largest recent campaigns cover nearly 1.53 million vehicles.
## Kia Telluride fire recall
**Vehicles affected:** 462,869
**Models:** 2020-2024 Kia Telluride
**NHTSA Recall ID:** **26V-430**
**Kia recall number:** SC374
Kia is recalling Telluride SUVs because the motor controlling a front power seat can overheat and start a fire while the vehicle is being driven or parked.
An impact to the power-seat side cover or adjustment knob can dislodge or damage the seat switch. The motor may then continue running after the driver releases the switch, eventually causing it to overheat.
The recall also covers vehicles that were repaired under Kia’s previous 2024 campaign. Kia determined that an improperly completed earlier repair could leave the fire risk in place.
Warning signs may include:
- A power seat that keeps moving after the switch is released
- A seat-adjustment knob that sticks
- A burning or melting smell
- Smoke coming from beneath a front seat
Kia has reported seven seat fires and 11 incidents involving melted seat motors, but no crashes or injuries.
### What owners should do
NHTSA and Kia say affected Tellurides should be **parked outside and away from homes, garages and other vehicles** until the new repair is completed.
Dealers will install an electronic fuse assembly that cuts power if the seat motor runs continuously. The repair will be free.
Owner letters are scheduled to begin going out August 13\. Kia says the new campaign replaces NHTSA Recall 24V-407, meaning vehicles repaired under that earlier campaign will need to return for the new remedy. ([NHTSA](https://static.nhtsa.gov/odi/rcl/2026/RCLRPT-26V430-6699.pdf?utm%5Fsource=chatgpt.com))
## Honda Odyssey backup cameras
**Vehicles affected:** 325,588
**Models:** 2018-2020 Honda Odyssey
**NHTSA Recall ID:** **26V-423**
**Honda recall number:** HOX
Honda is recalling Odyssey minivans because water can enter the rearview-camera housing and corrode the camera’s circuit board.
The backup-camera image may then fail to appear when the transmission is shifted into reverse, reducing the driver’s view of children, pedestrians, vehicles and other objects behind the minivan.
The campaign expands a 2020 recall. Some vehicles previously received redesigned cameras made by Magna, but Honda says those replacement units can also experience water intrusion. Dealers will now replace them with cameras supplied by Sony.
Honda estimates that about 0.8% of the recalled vehicles have the defect.
Dealers will replace the camera free of charge. Owner notification letters are expected to be mailed beginning August 24\. ([NHTSA](https://static.nhtsa.gov/odi/rcl/2026/RCLRPT-26V423-4353.pdf?utm%5Fsource=chatgpt.com))
## Ford and Lincoln rollaway risk
**Vehicles affected:** 741,195
**NHTSA Recall ID:** **26V-402**
**Ford recall number:** 26S48
Affected vehicles include:
- 2018-2021 Ford Expedition
- 2018-2021 Lincoln Navigator
- 2020-2021 Ford Explorer
- 2020-2021 Lincoln Aviator
- 2021 Ford F-150
Ford says the transmission parking pawl may temporarily engage while the vehicle is moving. That can damage the parking system and later allow the vehicle to roll away after the driver shifts into park.
Ford has identified 24 reports of property damage and nine alleged injuries potentially related to the condition.
Dealers will update the powertrain-control software and inspect the transmission’s parking components. Damaged parts will be replaced without charge.
The timing is less reassuring. Ford expects to mail interim warning letters beginning August 3, but says the completed repair is not anticipated to become available until **April 2027**.
Owners should consistently engage the parking brake and should not rely exclusively on the transmission’s park position, particularly when parking on an incline. ([NHTSA](https://static.nhtsa.gov/odi/rcl/2026/RCLRPT-26V402-1380.pdf?utm%5Fsource=chatgpt.com))
## RV owners should also check their units
Two smaller recreational-vehicle recalls involve improperly grounded electrical inverters:
- **NHTSA Recall 26V-426:** Certain 2026 Jayco Seismic fifth-wheel toy haulers
- **NHTSA Recall 26V-427:** Certain 2026 Heartland Cyclone travel trailers and fifth wheels
An inverter installed without a grounding connection may increase the risk of electric shock.
Dealers will install a grounding wire free of charge. Owner letters were mailed July 10\. ([Family RVing Magazine](https://magazine.frva.com/2026/07/13/recalls-7-13-26/?utm%5Fsource=chatgpt.com))
## How to check a vehicle
Recall announcements list model years, but they do not necessarily include every vehicle produced during those years.
Owners should check the vehicle’s 17-character VIN through [NHTSA’s recall-search system](https://www.nhtsa.gov/?ref=consumernews.ai) or the agency’s SaferCar app. Recall repairs performed by an authorized dealer are free.
Consumers should be especially cautious about campaigns labeled:
- **Park outside**
- **Do not drive**
- **Do not charge**
- **Remedy not yet available**
Those instructions indicate that ordinary use or storage may continue to expose consumers to a serious hazard.
The Kia campaign is the clear headline because it involves a fire risk and requires owners whose vehicles were already repaired to return for another fix.
### Beyond 'Ozempic feet': The surprising body changes doctors are seeing with rapid GLP-1 weight loss
URL: https://www.consumernews.ai/beyond-ozempic-feet-the-surprising-body-changes-doctors-are-seeing-with-rapid-glp-1-weight-loss/
Last updated: 2026-07-14T15:08:27.000Z
People who have always been skinny will tell you it has its drawbacks but at least chronically thin people have adjusted to it. Those who suddenly shed excess weight are finding all manner of unexpected side effects.
The latest to catch the public eye is Ozempic feet.
Simply put, loss of the fat pads beneath the feet can make them appear bonier and older, but more importantly can cause pain, instability and the sensation of "walking on pebbles." Some patients even need smaller shoes after major weight loss, [The Daily Beast](https://www.thedailybeast.com/glp-1-users-say-ozempic-feet-side-effect-is-hard-to-ignore/?utm%5Fsource=chatgpt.com) recently reported.
But that's just the beginning. Here are some of the other surprises awaiting those newly thin pioneers who have been ingesting GLP-1 drugs. It's important to note that these are not toxic effects of the medication – they're just the results of rapid weight loss.
Infographic by ChatGPT
**Ozempic mouth.** Wrinkles around the lips, sunken cheeks and loose skin around the mouth are becoming common enough that dermatologists have coined another nickname.
**Ozempic hands.** Less publicized, but increasingly discussed, loss of fat on the backs of the hands makes veins, tendons and knuckles much more prominent, giving hands an older appearance.
**Ozempic butt**. Plastic surgeons have talked about this for more than a year. Rapid fat loss can flatten the buttocks and leave loose skin, causing some patients to seek cosmetic procedures.
**Hair thinning.** One of the more common—but less publicized—complaints. Doctors generally attribute this to **telogen effluvium**, a temporary hair-shedding response that often follows rapid weight loss or major physiological stress rather than the medication itself.
**Muscle loss.** Probably the most medically important issue.
Clinical studies have found that roughly 25% to 40% of weight lost on GLP-1 drugs may come from lean mass, although much of that includes water and supporting tissue. That's why obesity specialists increasingly stress:
- protein intake
- resistance exercise
- slower weight loss
- strength preservation
rather than simply watching the number on the scale.
## Skin everywhere
Many dermatologists say they now see:
- loose upper arms
- wrinkled knees
- sagging neck
- excess abdominal skin
- more visible collarbones
These aren't unique to Ozempic—they're common after any major weight loss—but the speed of GLP-1-induced weight loss often makes them more noticeable.
## The important distinction
Many viral "Ozempic" nicknames are not recognized medical diagnoses and aren't listed in FDA prescribing information.
Instead, physicians say they're largely the predictable consequences of losing large amounts of body fat quickly. Similar changes can occur after bariatric surgery or substantial diet-induced weight loss.
### National Safety Recalls - July 14
URL: https://www.consumernews.ai/national-safety-recalls-july-14/
Last updated: 2026-07-14T16:36:08.000Z
### Home appliances
**Best Buy recalls Insignia gas ranges**
Thousands of Insignia gas ranges sold through Best Buy are being recalled because the front-mounted control knobs can be activated accidentally by people or even pets, creating a fire hazard.
- Hazard: Unintended burner activation
- Remedy: Free knob covers and updated safety instructions
- Consumers should verify the knobs are in the OFF position whenever the range is unattended. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Children's products
**Infant walkers**
WonderStone infant walkers sold through Walmart.com are being recalled because they fail federal safety standards intended to prevent falls down stairs.
- Hazard: Serious fall injuries
- About 70 units affected
- Remedy: Full refund after consumers destroy the product and submit photographs. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Bedroom safety
**Adult portable bed rails**
Moodooy portable bed rails sold through Amazon have been recalled because users can become trapped between the rail and mattress.
Hazards include:
- Entrapment
- Suffocation/asphyxiation
- Missing required warning labels
Consumers should stop using them immediately and request a refund. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Fire hazards
**Meisinuo and METASONO heated insoles**
Rather than formal recalls, CPSC issued urgent "Stop Using" warnings.
The rechargeable lithium-ion batteries can:
- explode
- ignite
- catch fire even when switched off
Consumers should dispose of them through appropriate household hazardous-waste channels rather than regular trash. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Earlier recall worth noting
**Rowenta cordless vacuum batteries**
Consumers who have not yet responded should know the recall remains active.
The lithium-ion battery can overheat and ignite. Owners should remove the battery immediately and register for a free replacement. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
## Food recalls
### Glutinous Rice Balls
The FDA announced a recall of **Khong Guan Glutinous Rice Balls with Black Sesame Filling** because the product may contain **undeclared peanuts**, creating a potentially life-threatening risk for consumers with peanut allergies. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
## FDA safety update (not a recall)
The FDA also sent a new warning letter to infant-formula manufacturers urging tighter oversight of ingredient suppliers after several recent contamination events involving powdered formula ingredients. While this is **not a new recall**, it reflects heightened concern following multiple infant-formula safety incidents investigated over the past year. ([U.S. Food and Drug Administration](https://www.fda.gov/food/hfp-constituent-updates/fda-calls-infant-formula-industry-better-safeguard-against-contaminants-introduced-through-their?utm%5Fsource=chatgpt.com))
## Automotive recalls
Arriving later today.
### What to do
If you own any of these products:
Stop using recalled infant products and bed rails immediately.
- Verify whether your Insignia gas range is included in the recall.
- Dispose of recalled lithium-ion heated insoles only through approved hazardous-waste programs.
- Check food labels if anyone in your household has a peanut allergy.
- Register recalled products promptly so manufacturers can provide repairs, replacements or refunds.
### Oil surges as Iran claims control of Hormuz
URL: https://www.consumernews.ai/oil-surges-as-iran-claims-control-of-hormuz/
Last updated: 2026-07-14T14:21:01.000Z
##
Global oil prices surged after the U.S. launched several waves of airstrikes on Iran over an Iranian attack that set a container ship ablaze in the Strait of Hormuz over the weekend and left a crew member missing. Brent crude, the international standard, gained 3.9 percent to $78.96 a barrel and U.S. benchmark crude oil added 4 percent to $74.26 a barrel, [The Associated Press reported](https://apnews.com/article/stocks-markets-iran-trump-ai-2d6744b09c68b5473d0bc8584b89e60e?ref=consumernews.ai). Both grades had recently slipped back to pre-war levels before the fresh escalation.
Iran claimed to have closed the vital Strait of Hormuz after the strikes, [CNBC reported](https://www.cnbc.com/energy/?ref=consumernews.ai) in its energy hub coverage of the fighting, while the U.S. disputed that the waterway was closed to shipping. Oil-tanker traffic through the strait — which normally carries about a fifth of the world's traded oil and natural gas — was already at a near standstill last Thursday.
"Oil prices rose on Monday as the conflict between the U.S. and Iran intensified days after President Trump declared the countries' ceasefire agreement to be over," [CBS News reported](https://www.cbsnews.com/video/oil-prices-rise-as-us-and-iran-fight-over-control-of-strait-of-hormuz/?ref=consumernews.ai).
AAA gas prices
### Prices reach the pump
Consumers are already feeling the impact at the pump. National average retail gasoline is climbing back toward $3.60 a gallon, [CBS reported](https://www.cbsnews.com/live-updates/iran-us-war-trump-ceasefire-over-strait-of-hormuz-attacks/?ref=consumernews.ai), and the Nymex 3-2-1 crack spread — a proxy for refinery profitability — hit a record $64.58 a barrel last Tuesday, [Reuters reported](https://www.reuters.com/business/energy/fuel-markets-flash-supply-crunch-despite-calmer-oil-prices-2026-07-09/?ref=consumernews.ai).
U.S. gasoline stocks are at their lowest for early July since 2021\. The renewed conflict is also rippling through chip supply chains: SK Hynix slumped 10.6 percent in Seoul and Samsung Electronics sank 6.7 percent Monday, [AP said](https://apnews.com/article/stocks-markets-iran-trump-ai-2d6744b09c68b5473d0bc8584b89e60e?ref=consumernews.ai), pointing to further pressure on the electronics prices consumers are just beginning to see moderate.
### What veterinarians say actually works for itchy dogs
URL: https://www.consumernews.ai/what-veterinarians-say-actually-works-for-itchy-dogs/
Last updated: 2026-07-14T14:04:01.000Z
There is no single treatment that works for every itchy dog because "itching" is a symptom—not a diagnosis.
Veterinarians typically begin by identifying the underlying cause before recommending treatment. Depending on the diagnosis, that may include medications, dietary changes, parasite control or other therapies.
### Fleas remain Public Enemy No. 1
Even a single flea bite can trigger intense allergic reactions in sensitive dogs.
Veterinarians recommend year-round flea prevention, even for indoor pets, because flea allergy dermatitis remains one of the leading causes of excessive scratching.
### Treat infections first
Dogs that scratch constantly often develop secondary bacterial or yeast infections.
These infections usually require prescription medications or medicated shampoos before the itching can be brought under control.
[Itchy dogsPet owners spend billions chasing ‘miracle cures’ for itchy dogs. Many promise more than science can deliver.Chronic itching is one of the most common reasons dogs visit veterinarians, fueling a booming market for supplements that promise relief through probiotics, herbs and “gut health.”ConsumerNews.aiJames R. HoodWhat veterinarians sayConsumerNews.aiThe Editors](https://www.consumernews.ai/itchy-dogs/)
### Environmental allergies
Pollen, grasses, mold and dust mites commonly trigger allergic skin disease.
Treatment options may include:
- Prescription anti-itch medications.
- Allergy immunotherapy ("allergy shots" or oral immunotherapy).
- Medicated shampoos and skin-care products.
- Regular bathing to remove allergens from the coat.
### Food allergies
Only a small percentage of itchy dogs actually have food allergies.
Diagnosis usually requires a carefully supervised elimination diet lasting several weeks—not a blood test or a supplement.
### The role of supplements
Veterinarians generally view supplements as supportive care rather than primary treatment.
Some dogs may benefit from:
- Omega-3 fatty acids.
- Certain probiotics with published clinical evidence.
- Veterinary therapeutic diets formulated for skin health.
The effectiveness of these products varies, and improvements are often modest rather than dramatic.
### When to see a veterinarian
Experts recommend making an appointment if a dog:
- Scratches or licks continuously for more than a few days.
- Develops hair loss or bald patches.
- Has red, inflamed or bleeding skin.
- Develops an unpleasant odor, which may indicate infection.
- Has recurring ear infections.
- Seems unusually uncomfortable or stops sleeping because of itching.
### Bottom line
Consumers should be [skeptical of any product](https://www.consumernews.ai/pet-owners-spend-billions-chasing-miracle-cures-for-itchy-dogs-many-promise-more-than-science-can-deliver/) that promises to eliminate chronic itching without first identifying its cause.
Most veterinary dermatologists agree that successful treatment begins with an accurate diagnosis—not a miracle supplement. While some over-the-counter products may help certain dogs, they work best as part of a broader treatment plan developed with a veterinarian rather than as a replacement for evidence-based medical care.
### New York sues PFAS 'forever chemical' manufacturers
URL: https://www.consumernews.ai/new-york-sues-pfas-forever-chemical-manufacturers/
Last updated: 2026-07-13T19:36:32.000Z
New York Attorney General Letitia James is suing some of the nation's largest chemical and agricultural companies for contributing to decades of toxic polyfluoroalkyl substances (PFAS) pollution in New York through their use in consumer products.
The companies named are [3M Company (3M), EIDP, Inc. (EIDP), The Chemours Company, Inc. (Chemours), Corteva, Inc. (Corteva), and DuPont De Nemours, Inc. (DuPont)](https://ag.ny.gov/sites/default/files/court-filings/new-york-v-3m-company-eipd-inc-et-al-complaint-2026%5F0.pdf?ref=consumernews.ai).
The PFAS components are known as “forever chemicals” because of their ability to persist in the environment without breaking down.
Some PFAS are associated with an increased risk of cancer, birth defects, pregnancy complications, high cholesterol, hormone issues, and a wide range of other health problems.
“Big companies like 3M and DuPont knowingly sold toxic products that threatened New Yorkers’ health and polluted our environment for decades. It’s time for them to pay for the damage they caused,” said James. “For far too long, our communities have unfairly shouldered the costs of protecting people from these toxic forever chemicals and cleaning up their contamination.”
James is seeking a court order holding the companies liable for the environmental and public health damage they have caused, requiring them to fund cleanup efforts throughout New York, and ordering them to properly warn consumers about their products’ risks. The lawsuit also seeks damages, restitution, and other financial penalties.
In 2024, Texas attorney general Ken Paxton [sued 3M, Corteva, DuPont, and EIDP (PDF)](https://www.texasattorneygeneral.gov/sites/default/files/images/press/PFAS%20Manufacturers%20Lawsuit%20Filed.pdf?ref=consumernews.ai) for misrepresenting the safety of PFAS-containing products like Teflon, Stainmaster, and Scotchgard. The lawsuit is still underway. New York’s lawsuit follows a similar argument as the Texas lawsuit, alleging that these companies misled the public on the safety of PFAS-containing products like Stainmaster carpets, cosmetics, and grease-resistant coatings.
### Health effects
PFAS were first developed in the 1940s and were used in a wide variety of consumer products for their water and oil-repellant properties. Companies such as 3M and DuPont began manufacturing and selling these chemicals for use in consumer products to create water and stain-resistant fabric treatments, water-repellant clothing, food packaging, non-stick cookware, cosmetics, and more.
Regular use of these products released toxic PFAS into the environment and consumers’ bodies, posing substantial environmental and health risks, James said.
The lawsuit alleges that the companies knew early on that PFAS were toxic, persistent, and accumulated in humans, plants, and animals, yet hid this information from the public. As early as the 1970s, researchers at 3M had discovered PFAS in blood samples from the company’s employees and the general public, and knew that their products were toxic.
In 1981, DuPont secretly monitored 50 of its female employees who were exposed to one of its PFAS products. Its data showed that two of the seven pregnant workers who were exposed had babies with eye and nostril defects, the suit alleges. Rather than inform its employees or regulators of the results, DuPont abandoned the study and continued to manufacture and sell that PFAS product, James argues.
### Environmental effects
The lawsuit also alleges the companies knew that their products caused environmental damage. For example, in 1983, 3M scientists concluded that PFAS could pollute the water supply through wastewater, yet for decades 3M failed to conduct any of the environmental risk assessments its researchers recommended.
Instead, the companies continued to aggressively produce, market, and sell chemical products containing PFAS they knew to be toxic while misleading consumers about their safety, the lawsuit alleges. Even when the companies phased out their use of certain PFAS products, they failed to warn consumers about products that were still for sale or already in their homes containing these toxic chemicals. In other cases, harmful PFAS were merely replaced with similarly toxic compounds.
Attorney General James alleges that the companies violated New York laws by producing, marketing, and selling products containing chemicals they knew to be harmful to New Yorkers’ health and the environment for decades.
James is seeking a court order holding the companies liable for the environmental and public health effects of their PFAS products and requiring them to fund cleanup efforts to rid communities of the toxic chemicals. The lawsuit also seeks to prevent the companies from selling any products containing harmful PFAS without adequate warnings, and to end any misleading advertising.
### Youth Safety Watch: Five social media features under scrutiny
URL: https://www.consumernews.ai/youth-safety-watch-five-social-media-features-under-scrutiny/
Last updated: 2026-07-13T15:31:45.000Z
The lawsuits against Meta and other platforms are serious – and so are the effects that extended social media usage has on young people. Here are the features that are causing the most concern.
### 1\. Infinite scroll
Feeds that never end can make it harder for children and teens to stop using an app. Unlike a book chapter or TV episode, there is no natural stopping point.
**Parent tip:** Encourage children to use app timers or device-level limits that interrupt scrolling after a set period.
### 2\. Autoplay
Videos that start automatically can pull users from one clip to the next before they make a conscious choice to continue.
**Parent tip:** Turn off autoplay where possible, especially on video-heavy platforms.
[Meta says states are seeking $1.4 trillion in teen social media caseThe August trial is part of a broader wave of social media litigation that could reshape how platforms are designed for children and teensConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-says-states-are-seeking-1-4-trillion-in-teen-social-media-case/)
### 3\. Algorithmic recommendations
Recommendation systems can quickly steer young users toward more extreme, emotional or obsessive content, including material about body image, dieting, self-harm or anxiety.
**Parent tip:** Periodically review “recommended” or “for you” feeds with your child and ask whether the content makes them feel better or worse.
### 4\. Push notifications
Alerts, likes, comments and streak reminders can create pressure to return to an app immediately, even during school, meals or bedtime.
**Parent tip:** Disable nonessential notifications and keep phones out of bedrooms overnight.
### 5\. Beauty filters and appearance tools
Filters that alter faces and bodies can distort young users’ expectations about appearance and intensify social comparison.
**Parent tip:** Talk openly about edited images and remind children that many online photos and videos do not reflect real life.t
### Bottom line
The central question in the litigation is whether social media companies knowingly built products that exploit young users’ vulnerabilities. For families, the practical lesson is simpler: safety settings matter, but design matters too.
### Pet owners spend billions chasing 'miracle cures' for itchy dogs. Many promise more than science can deliver.
URL: https://www.consumernews.ai/pet-owners-spend-billions-chasing-miracle-cures-for-itchy-dogs-many-promise-more-than-science-can-deliver/
Last updated: 2026-07-14T14:04:23.000Z
If your dog won't stop scratching, licking its paws or chewing at its skin, you're not alone. Chronic itching affects millions of pets each year, and desperate owners often spend hundreds — or even thousands — of dollars searching for relief.
That demand has fueled explosive growth in the pet supplement industry, where products marketed as "miracle cures," "root cause" solutions or microbiome restorers promise to ease itching without prescription medications.
Veterinary dermatologists say the reality is more complicated.
While research into the canine gut microbiome is advancing rapidly, experts caution that the science has not yet caught up with many of the marketing claims appearing online and on social media.
## A booming market built on hope
The U.S. pet supplements market has grown rapidly as owners increasingly seek "natural" alternatives to prescription drugs.
Among the fastest-growing categories are probiotic chews marketed for dogs with itchy skin, excessive licking, hot spots and seasonal allergies. Many products claim that skin problems begin in the gut and can be corrected by restoring healthy intestinal bacteria.
Some products cite impressive-sounding customer success rates or feature dramatic before-and-after testimonials. But consumers should look closely at where those numbers come from.
In many cases, effectiveness claims are based on internal customer surveys involving relatively small numbers of purchasers rather than large, independent clinical trials.
[Itchy dogsPet owners spend billions chasing ‘miracle cures’ for itchy dogs. Many promise more than science can deliver.Chronic itching is one of the most common reasons dogs visit veterinarians, fueling a booming market for supplements that promise relief through probiotics, herbs and “gut health.”ConsumerNews.aiJames R. HoodWhat veterinarians sayConsumerNews.aiThe Editors](https://www.consumernews.ai/itchy-dogs/)
## What the research actually shows
Scientists do believe the gut microbiome plays an important role in immune function.
Some studies suggest certain probiotic strains may modestly improve skin health or reduce allergic symptoms in some dogs. Other research has found benefits for digestive disorders that can indirectly improve overall health.
However, veterinary specialists say those findings should not be interpreted as proof that any over-the-counter probiotic can cure chronic itching.
Results vary widely depending on:
- The specific probiotic strains used.
- Dosage.
- The dog's underlying medical condition.
- Overall diet and health.
Researchers also note that positive findings for one probiotic formulation cannot automatically be applied to different products using different ingredients.
## Most itching has other causes
One reason "miracle cure" claims deserve skepticism is that chronic itching has many possible causes.
Among the most common are:
- Environmental allergies to pollen, grasses or mold.
- Flea allergy dermatitis.
- Food allergies.
- Yeast infections.
- Bacterial skin infections.
- Mange mites and other parasites.
- Contact dermatitis caused by shampoos, cleaners or plants.
Because treatment depends on the underlying cause, veterinarians generally recommend diagnosing the problem before spending significant money on supplements.
## Reading the fine print
Like many dietary supplements sold for people, pet supplements generally are not required to demonstrate effectiveness before reaching the marketplace.
Manufacturers are responsible for ensuring their products are safe and that advertising is truthful, but consumers often encounter marketing that emphasizes testimonials, customer ratings and broad wellness claims.
Experts recommend looking beyond headlines that promise to:
- "Fix the root cause."
- "Reverse allergies naturally."
- "End itching permanently."
- "Detox the immune system."
Those statements may sound persuasive but are not necessarily supported by strong clinical evidence.
## What pet owners can do
Veterinary dermatologists recommend that owners whose dogs develop persistent itching:
- Rule out fleas and parasites first.
- Schedule a veterinary examination if symptoms last more than a few days.
- Treat bacterial or yeast infections promptly.
- Discuss whether food allergies could be contributing.
- Ask whether prescription allergy medications, medicated shampoos or therapeutic diets may be appropriate.
- Consider supplements only as a possible adjunct — not a replacement — for proven medical treatment.
## The bottom line
Probiotic supplements may provide benefits for some dogs, particularly those with digestive issues or mild skin problems. But current scientific evidence does not support sweeping claims that they are universal cures for canine allergies or chronic itching.
For consumers, the safest approach is the same one experts recommend for any health product: follow the evidence rather than the advertising.
---
### **Consumer Watch: How to spot questionable pet health claims**
Before buying an expensive supplement, ask:
✓ Does the company cite independent, peer-reviewed clinical studies on the actual product?
✓ Are success claims based on rigorous research or customer testimonials?
✓ Does the advertising promise to cure multiple unrelated conditions?
✓ Are phrases like "miracle," "root cause," or "secret breakthrough" used without supporting evidence?
✓ Has your veterinarian identified the actual cause of your dog's itching?
If the answer to several of those questions is "no," consumers should proceed with caution.
### 'Landmark' housing affordability bill becomes law without Trump's signature
URL: https://www.consumernews.ai/landmark-housing-affordability-bill-becomes-law-without-trumps-signature/
Last updated: 2026-07-12T19:48:48.000Z
Legislation intended to make housing more affordable for millions of Americans became law Friday despite President Trump's refusing to sign it. In June, both chambers of Congress approved the housing bill - called the [21st Century Road to Housing Act](https://www.congress.gov/bill/119th-congress/house-bill/6644?ref=consumernews.ai) \- in a rare moment of bipartisan agreement.
But Trump refused to sign the bill unless Congress passed voter ID legislation based on his widespread false claims of widespread voter fraud. A signing ceremony had been scheduled but at the last minute Trump said he would not sign it, saying on Truth Social that the measure was "of minor importance."
He did not veto it, however, allowing it to become law without his signature.
Experts have said the legislation is the most comprehensive action from Congress on lowering house costs for renters and homebuyers in the 21st Century.
"This bill becoming law is a genuine milestone—and I don't use that word lightly," Dennis Shea, of the Bipartisan Policy Center (BPC), told the [BBC](https://www.bbc.com/news/articles/cn8qwj611qxo?ref=consumernews.ai). "Getting Congress to move on housing supply and affordability has been a long time coming, and the American people made clear they were ready for it."
A survey from the BPC earlier this year found that 89% of voters from across the political spectrum wanted action from Congress to make housing more affordable.
### What the "21st Century ROAD to Housing Act" provides
The measure is primarily a policy bill, not a spending bill — Section 1102 explicitly authorizes no new federal funds.
Here are the bill's headline provisions, as we [reported earlier](https://www.consumernews.ai/trump-cancels-bill-signing-for-bipartisan-housing-bill-passed-overwhelmingly-by-congress/):
**Institutional investor crackdown (Section 901)**
- Bans "large institutional investors" — defined as for-profit entities controlling 350+ single-family homes — from buying additional single-family homes.
- Definition includes duplexes; covers acquisitions via merger, foreclosure, etc.
- Build-to-rent and renovate-to-rent purchases allowed as exceptions, but the investor must sell to an individual homeowner within 7 years, with renters getting a 30-day "first look" and right of first refusal.
- Penalties up to $1 million per home or 3x purchase price.
- Takes effect 180 days after enactment; sunsets after 15 years.
**Regulatory streamlining**
- Carves out wide NEPA environmental-review exemptions for housing — tenant rental assistance, supportive services, infill construction, small projects, and Rural Housing Service infill projects.
- Authorizes "pattern books" — pre-approved building designs so builders can permit and build faster.
- Expressly does NOT preempt local zoning — a notable limitation, since local zoning is the binding constraint in most markets.
**Financing and HUD program changes**
- Raises FHA multifamily loan limits to match high-cost markets.
- Raises the bank "public welfare investment" cap from 15% to 20% — letting national banks and Fed-supervised banks put more capital into affordable housing.
- HUD pilot for small-dollar mortgages (≤$100,000), aimed at lower-priced markets banks have abandoned.
- Modernizes/reauthorizes the HOME Investment Partnerships program; raises income eligibility, makes community land trusts eligible.
- Lifts the cap on the Rental Assistance Demonstration (RAD) program and codifies tenant protections.
- Allows CDBG funds to be used for new affordable housing construction (up to 20%).
**Manufactured housing**
- Drops HUD's requirement that manufactured homes be built on a permanent chassis — opening up cheaper modular designs.
- Expands FHA financing for manufactured units.
**Zoning incentives (carrots, not sticks)**
- $200 million/year in competitive grants to localities that adopt zoning/permitting reforms boosting housing production.
- HUD issues voluntary model zoning guidelines.
- Opportunity Zone applicants get bonus scoring on competitive HUD grants.
**Veterans, rural, and homelessness**
- Section 602 (Housing Unhoused Disabled Veterans Act) expands HUD-VASH access for homeless veterans.
- Section 502 reforms USDA rural housing programs — including continuing rental assistance after USDA mortgages mature, easier nonprofit acquisition of Section 515 properties.
- Section 503 gives communities more flexibility on Emergency Solutions Grant funds for unsheltered homelessness.
**Whole-Home Repairs**
- Section 202/203: 5-year, $30 million pilot for home-repair grants to low/moderate-income owners and forgivable loans to small landlords.
**Miscellaneous**
- Temporary prohibition on the Federal Reserve creating a digital dollar — surprising add-on for a housing bill.
### Bottom line
Independent analysts (the Bipartisan Policy Center, UBS, the NYT) call it the most significant federal housing law in decades — but they're also clear it's no quick fix. The supply-side reforms are real but modest; the institutional-investor ban is the most aggressive piece and the most legally contested (the Real Estate Roundtable has already published a white paper arguing it's unconstitutional).
With no new money attached, much depends on whether the Trump VA, HUD, USDA, and bank regulators actually stand up the pilots and grants the bill authorizes.
### Implant could eliminate weekly GLP-1 weight-loss shots - but it's still years away
URL: https://www.consumernews.ai/implant-could-eliminate-weekly-glp-1-weight-loss-shots-but-its-still-years-away/
Last updated: 2026-07-12T19:50:21.000Z
#
A tiny implant inserted under the skin could someday replace the weekly injections that millions of Americans now use for obesity and diabetes treatment.
Vivani Medical, a clinical-stage biotechnology company in California, is developing a matchstick-sized implant that slowly releases semaglutide — the same active ingredient used in Novo Nordisk's blockbuster drugs Ozempic and Wegovy — for six months to a year before needing replacement. It could relieve one of the biggest weaknesses of today's GLP-1 medications: keeping patients on treatment long enough to maintain their weight loss.
Unlike current GLP-1 drugs, which require weekly injections—or daily pills in some cases—the implant would be inserted during a brief office procedure and provide a steady flow of medication beneath the skin.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
## Tackling the dropout problem
The promise comes at a time when obesity specialists are increasingly concerned about patients sticking to their injection regimen.
Studies have consistently found that many people discontinue GLP-1 medications within the first year. The reasons vary:
- Monthly costs that can exceed $1,000 without insurance.
- Gastrointestinal side effects such as nausea and vomiting.
- Frustration with weekly injections.
- Insurance coverage changes.
- Drug shortages.
- Weight regain after stopping treatment.
Once patients discontinue therapy, many regain a significant portion of the weight they lost, reinforcing the growing consensus among obesity specialists that the medications often need to be taken long term.
Vivani argues that a long-acting implant could remove several of those barriers by eliminating weekly injections and providing a more consistent drug level than periodic shots. A steady release may also reduce the medication peaks and valleys that can contribute to side effects, although that has not yet been demonstrated in large clinical trials, according to a [trade publication](https://www.mddionline.com/implants/vivani-medical-introduces-long-acting-implant-for-glp-1-medications?ref=consumernews.ai).
> ## GLP-1 Reality Check
>
> ### Why do so many patients stop treatment?
>
> According to obesity specialists and published research, the biggest reasons include:
>
> - High out-of-pocket costs
> - Insurance denials or loss of coverage
> - Gastrointestinal side effects
> - Weekly injection fatigue
> - Drug shortages
> - Believing treatment is only temporary
> - Weight regain after discontinuing therapy
> **Consumer takeaway:** If you're considering stopping a GLP-1 medication, talk with your physician first. Abruptly discontinuing treatment can lead to substantial weight regain, and there may be alternative dosing strategies or lower-cost options available depending on your insurance coverage and medical history.
## Still an experimental technology
Consumers shouldn't expect the implant anytime soon.
The company's semaglutide implant program is only [beginning Phase 1](https://investors.vivani.com/investors/news-events/press-releases/detail/214/vivani-medical-reports-first-quarter-2026-financial-results?ref=consumernews.ai) clinical testing in Australia this year, with larger Phase 2 studies planned afterward if early safety results are positive. U.S. FDA approval would likely remain several years away even under an optimistic timeline.
Vivani previously completed an early human study using a different GLP-1 drug, exenatide, demonstrating that the implant could be inserted safely and release medication over several months. Those results encouraged the company to move forward with semaglutide, which has become the dominant medication in the weight-loss market.
## A crowded race
The implant reflects the pharmaceutical industry's broader effort to make GLP-1 treatment easier.
Drug manufacturers are working on:
- Monthly injections.
- Oral GLP-1 pills.
- Longer-acting injectable formulations.
- Combination obesity drugs.
- New maintenance therapies designed to help patients preserve weight loss after initial treatment.
If successful, implants could become another option—particularly for patients who respond well to GLP-1 therapy but struggle with adherence.
## Consumer questions remain
The technology also raises practical questions consumers will eventually face:
- Will insurers cover implantation procedures?
- How much will the device cost?
- Can it be easily removed if side effects develop?
- How often will replacements be needed?
- Will patients still need regular physician monitoring?
Those questions likely won't be answered until much later-stage clinical trials.
## Why it matters
GLP-1 medications have transformed obesity treatment, but their long-term success depends heavily on patients staying on therapy.
If implants can safely improve adherence, they could help patients maintain weight loss while reducing complications linked to obesity, including Type 2 diabetes, heart disease and sleep apnea. But for now, the technology remains an intriguing possibility rather than an imminent consumer option.
### Study: Insurance discounts alone won't persuade most homeowners to climate-proof their homes
URL: https://www.consumernews.ai/study-insurance-discounts-alone-wont-persuade-most-homeowners-to-climate-proof-their-homes/
Last updated: 2026-07-10T19:15:42.000Z
For years, insurers and regulators have promoted premium discounts as a way to encourage homeowners to strengthen their homes against increasingly severe weather. But a new study suggests that lower insurance bills alone may not be enough to motivate most people to invest thousands of dollars in home-hardening projects.
The research, reported this week by [Insurance Journal](https://www.insurancejournal.com/news/southeast/2026/07/08/876550.htm?ref=consumernews.ai), found that while homeowners appreciate insurance discounts for improvements such as stronger roofs, impact-resistant windows, wildfire-resistant landscaping and flood mitigation, the financial incentives often fall short of overcoming the high upfront costs and uncertainty surrounding those investments.
Instead, researchers found that homeowners make decisions based on a broader mix of factors, including:
- The immediate cost of upgrades.
- How long they expect to remain in the home.
- Whether they believe severe weather is likely to affect them personally.
- Confidence that insurers will continue offering meaningful premium discounts.
- The potential increase in resale value.
The findings arrive as insurers nationwide struggle with mounting losses from hurricanes, wildfires, hailstorms, flooding and other climate-driven disasters. In many regions, insurers have sharply increased premiums, tightened underwriting standards or stopped writing new policies altogether.
### A growing affordability problem
Insurance companies increasingly argue that stronger homes benefit everyone.
A fortified roof may be less likely to suffer catastrophic damage during a hurricane. Ember-resistant vents can reduce wildfire losses. Elevating utilities above expected flood levels can significantly reduce water damage.
Those improvements lower expected claims, allowing insurers to offer premium credits.
But many homeowners face a difficult calculation.
A fortified roof, for example, may cost several thousand dollars more than a conventional replacement. Installing impact-resistant windows, wildfire-resistant materials or flood barriers can add tens of thousands of dollars to renovation budgets.
For families already struggling with rising mortgage payments, property taxes and insurance premiums, those costs can overwhelm the promise of future savings.
[Climate resilience checklist: Which home upgrades may earn insurance discounts?Home-hardening improvements can reduce storm damage and may qualify for premium discounts, grants or lower deductibles. But savings vary widely by insurer, state, location and the age and construction of the house.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/climate-resilience-checklist-which-home-upgrades-may-earn-insurance-discounts/)
### The psychology of resilience
Researchers say homeowners don't evaluate resilience projects the same way they evaluate routine home improvements.
Instead of focusing solely on expected financial returns, many consumers discount future benefits while giving much greater weight to immediate expenses.
Some also question whether they'll live in the home long enough to recover the investment through lower insurance premiums.
Others worry insurers could eventually reduce or eliminate premium credits, changing the economics after expensive upgrades have already been completed.
### More than discounts may be needed
The study suggests insurers and policymakers may need broader strategies if they want significantly higher adoption rates.
Possible approaches include:
- Larger premium discounts.
- Direct grants or tax credits.
- Low-interest financing for resilience improvements.
- Building-code upgrades for new construction.
- Better consumer education about long-term savings and reduced disaster losses.
Several states, including Alabama and Louisiana, already offer grant programs to help homeowners install fortified roofs, while the nonprofit Insurance Institute for Business & Home Safety's [FORTIFIED standard](https://ibhs.org/guidance/fortified-construction-standards/?ref=consumernews.ai) has gained growing recognition among insurers.
### Climate risks continue to rise
The research comes amid continued concern over the growing cost of climate disasters.
Federal data show homeowners in higher-risk areas are paying substantially more for insurance than those in lower-risk regions, while nonrenewals have also increased in many vulnerable communities. Weather-related losses continue to place pressure on insurers, reinsurers and ultimately consumers through higher premiums.
Researchers conclude that while insurance discounts remain an important tool, they should be viewed as only one part of a larger strategy to encourage climate resilience.
Without additional financial support or stronger policy incentives, many homeowners may continue postponing upgrades that could reduce both disaster damage and future insurance claims.
### **What this means for consumers**
If you're considering major home improvements, don't focus solely on the insurance discount. Ask your insurer whether specific upgrades qualify for premium reductions, but also consider other benefits such as improved safety, lower repair costs after storms, higher resale value and potential eligibility for state or local grant programs. In many cases, those combined benefits may justify the investment even when insurance savings alone do not.
### Climate resilience checklist: Which home upgrades may earn insurance discounts?
URL: https://www.consumernews.ai/climate-resilience-checklist-which-home-upgrades-may-earn-insurance-discounts/
Last updated: 2026-07-10T19:19:36.000Z
[Fortifying your home](https://www.consumernews.ai/study-insurance-discounts-alone-wont-persuade-most-homeowners-to-climate-proof-their-homes/) against storm damage isn't cheap but discounts and grants can help ease the pain. Here are some of the most important steps.
### 1\. Protect windows, doors and garage openings
**What it involves:** Impact-resistant windows and doors, storm shutters, reinforced garage doors or other approved opening protection.
**Why it matters:** Once wind enters through a broken opening, pressure can build inside the house and contribute to roof or structural failure.
**Potential benefit:** Florida insurers may offer some of their largest wind-mitigation discounts for verified opening protection. The study cited by *Insurance Journal* said discounts can reach as high as 44% for some mitigation combinations, although few homeowners should expect the maximum, [Insurance Journal](https://www.insurancejournal.com/news/southeast/2026/07/08/876550.htm?ref=consumernews.ai) said.
**Estimated Florida project cost:** About $5,000 to $15,000 for impact windows or shutters, depending on the size of the home and the type of protection, according to [My Safe Florida Home](https://mysafeflhome.com/plan-your-storm-ready-home/?utm%5Fsource=chatgpt.com).
### 2\. Strengthen the roof-to-wall connection
**What it involves:** Installing hurricane clips, straps or other metal connectors that secure the roof framing to the walls.
**Why it matters:** Stronger connections reduce the chance that high winds will lift the roof from the house.
**Potential benefit:** The Florida study found that stronger roof-to-wall connections and opening protection generally produced the greatest insurance savings. Their average value was estimated at roughly $6,000 over 25 to 30 years by [Insurance Journal](https://www.insurancejournal.com/news/southeast/2026/07/08/876550.htm?ref=consumernews.ai).
**Estimated Florida project cost:** About $800 to $3,000 when the framing is accessible, although complicated installations may cost more, according to [My Safe Florida Home](https://mysafeflhome.com/plan-your-storm-ready-home/?utm%5Fsource=chatgpt.com).
### 3\. Install a stronger roof deck
**What it involves:** Adding more or stronger nails, improving the roof-deck attachment and sealing vulnerable joints.
**Why it matters:** A well-attached roof deck is less likely to peel away during high winds.
**Estimated Florida project cost:** About $1,000 to $4,000 for a roof-deck nailing upgrade.
**Consumer tip:** This work is generally easiest and least expensive when the roof covering is already being replaced.
### 4\. Add a secondary water barrier
**What it involves:** Applying a sealed membrane beneath the shingles or other roof covering.
**Why it matters:** The barrier can help keep rain out even if shingles or tiles are blown off.
**Estimated Florida project cost:** About $500 to $2,500\.
**Insurance impact:** It may qualify for a separate mitigation credit or contribute to a broader fortified-roof designation, depending on the insurer.
### 5\. Consider a FORTIFIED roof
**What it involves:** Building or replacing a roof under the Insurance Institute for Business & Home Safety’s independently verified [FORTIFIED standard](https://ibhs.org/guidance/fortified-construction-standards/?ref=consumernews.ai).
The program includes stronger roof-deck attachment, sealed roof decking, improved roof-edge protection and other measures intended to keep wind and rain outside. Homes with a verified designation may qualify for insurance discounts, tax incentives, lower deductibles or grants in participating states.
North Carolina, for example, offers grants of up to $8,000 to some coastal policyholders, while some insurers offer discounts of up to $700 a year. Actual savings depend on location and the level of protection.
### 6\. Elevate or flood-proof vulnerable systems
**What it involves:** Raising heating and cooling equipment, electrical panels, water heaters and other utilities above expected flood levels; installing flood vents; or, in some cases, elevating the entire house.
**Why it matters:** Homeowners insurance normally excludes flood damage. Flood-mitigation work is more likely to affect the cost of a separate National Flood Insurance Program or private flood policy.
[FEMA](https://www.fema.gov/sites/default/files/2020-07/fema%5Fhomeowners-guide-to-retrofitting%5Fguide.pdf?ref=consumernews.ai) says elevating a home may reduce NFIP premiums. Homeowners in communities participating in FEMA’s Community Rating System may also receive flood-insurance discounts ranging from 5% to 45%, although those communitywide discounts are separate from an individual homeowner’s renovation.
### 7\. Reduce wildfire exposure
**What it involves:** Installing ember-resistant vents, using fire-resistant roofing and siding, clearing combustible material near the house and maintaining defensible space.
**Why it matters:** Embers can enter vents or ignite landscaping, fences, decks and debris near a home.
**Insurance impact:** Discounts and underwriting benefits are highly state- and carrier-specific. In some high-risk areas, mitigation may help a homeowner qualify for coverage but may not produce a clearly stated percentage discount.
## Before signing a contract
Ask the insurer—not just the contractor—these questions:
- Which exact improvements qualify for a discount?
- Must the work meet a particular construction standard?
- Is an inspection or certification required?
- How much would the annual premium decline?
- Could the improvement also reduce a hurricane, wind or named-storm deductible?
- Will the discount continue if the policy is renewed or transferred to another carrier?
- Are state grants, tax credits or low-interest loans available?
> Get the insurer’s answer in writing before beginning the work.
## Grants can be more valuable than discounts
The new research suggests that grants and subsidies may do more than premium discounts to persuade cash-strapped homeowners to undertake expensive projects.
Florida’s My Safe Florida Home program currently offers eligible homeowners $2 in matching funds for every $1 they contribute, up to a $10,000 state contribution. Eligible low-income homeowners may receive up to $10,000 without matching funds or paying the full bill upfront, subject to available appropriations and program rules.
## Bottom line
A premium discount should be treated as one part of the return—not the sole reason to undertake a project. The larger benefits may be avoiding catastrophic damage, making the home easier to insure and reducing the risk of displacement after a disaster.
### Itchy dogs
URL: https://www.consumernews.ai/itchy-dogs/
Last updated: 2026-07-15T13:47:23.000Z
[Pet owners spend billions chasing ‘miracle cures’ for itchy dogs. Many promise more than science can deliver.Chronic itching is one of the most common reasons dogs visit veterinarians, fueling a booming market for supplements that promise relief through probiotics, herbs and “gut health.”ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/pet-owners-spend-billions-chasing-miracle-cures-for-itchy-dogs-many-promise-more-than-science-can-deliver/)
July 13, 2026
[What veterinarians say actually works for itchy dogsDogs tend to get itchy for lots of different reasons, and sometimes for not clear reason at all.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/what-veterinarians-say-actually-works-for-itchy-dogs/)
July 14, 2026
[The truth about the multi-billion-dollar pet supplement industryJust like the supplements that humans devour by the handful, many of the supplements pet owners buy are not approved or regulated and may do exactly nothing.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/the-truth-about-the-multi-billion-dollar-pet-supplement-industry/)
[More pet stories](https://www.consumernews.ai/tag/pets/)
### Subscription traps targeted as part of crackdown on junk fees
URL: https://www.consumernews.ai/subscription-traps-targeted-as-part-of-crackdown-on-junk-fees/
Last updated: 2026-07-10T13:16:32.000Z
[New York City adopts first-in-the-nation crackdown on ‘subscription traps’ as junk-fee fight expandsConsumers could soon find it much easier to cancel unwanted subscriptions, while hidden mandatory fees may also come under new scrutiny.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/new-york-city-adopts-first-in-the-nation-crackdown-on-subscription-traps-as-junk-fee-fight-expands/)
July 10, 2026
[Americans lose hundreds yearly on subscriptions; now, a bipartisan bill targets ‘dark patterns’Left for dead, Unsubscribe Act returns in new bipartisan billConsumerNews.aiJames R. Hood](https://www.consumernews.ai/americans-lose-hundreds-yearly-on/)
Jan. 14, 2026
[‘Click to Cancel’ rule coming to NYC but still blocked nationwide by a court rulingNothing annoys consumers more than being trapped in self-renewing subscriptions that are nearly impossible to breakConsumerNews.aiJames R. Hood](https://www.consumernews.ai/click-to-cancel-rule-coming-to-nyc/)
April 17, 2026
[Washington Post hit with class-action lawsuit alleging it used a decade of reader data to set higher subscription prices for its most loyal readersGrowing awareness of “surveillance pricing” lands a prominent defendantConsumerNews.aiJames R. Hood](https://www.consumernews.ai/washington-post-hit-with-class-action/)
June 12, 2026
[Shutterstock faces $35 million penalty for FTC finding of unfair subscription chargesThe stock photo agency charged customers without their consent, the agency saidConsumerNews.aiJames R. Hood](https://www.consumernews.ai/shutterstock-faces-35-million-penalty/)
May 15, 2026
[FTC seeks public comment on new rules to crack down on subscription ‘negative option’ billingThe agency gets tens of thousands of complaints about the hated practiceConsumerNews.aiJames R. Hood](https://www.consumernews.ai/ftc-seeks-public-comment-on-new-rules/)
March 13, 2026
### New York City adopts first-in-the-nation crackdown on ‘subscription traps’ as junk-fee fight expands
URL: https://www.consumernews.ai/new-york-city-adopts-first-in-the-nation-crackdown-on-subscription-traps-as-junk-fee-fight-expands/
Last updated: 2026-07-10T13:01:23.000Z
For years, consumer advocates have argued that companies deliberately make it easy to start subscriptions — and frustratingly difficult to end them.
Now New York City is becoming the first U.S. municipality to formally outlaw many of those practices.
Beginning Oct. 1, companies that sell subscriptions to New York City consumers will be required to provide a simple, straightforward cancellation process. Consumers who sign up online generally must be able to cancel online without navigating lengthy phone trees, mailing certified letters or visiting a physical location. Violations can trigger civil penalties of up to $525 per affected subscription, restitution of improperly collected fees and additional enforcement actions.
"This is about ending subscription tricks and traps," Consumer and Worker Protection Commissioner Samuel A.A. Levine said as the city announced the new rule.
## National implications
Although the rule directly protects New York City residents, its effects may reach much farther.
Many national subscription businesses — including streaming services, fitness chains, software companies, meal kits and digital publications — may find it easier and less expensive to adopt a single cancellation process nationwide rather than maintain separate systems for New York customers.
Consumer advocates have long argued that so-called "dark patterns" intentionally keep customers paying for services they no longer want.
Common tactics include:
- requiring customers to call during limited business hours;
- forcing consumers through multiple retention screens;
- hiding cancellation links;
- requiring certified mail or written notices;
- making consumers speak with sales representatives before allowing cancellation.
The city's rule treats those practices as deceptive or unconscionable under local consumer protection law.
## Junk fees also in the crosshairs
The subscription rule is only part of a broader affordability initiative.
City officials simultaneously proposed a separate regulation that would require businesses to advertise the full price of products and services—including all mandatory fees—up front.
The proposal could affect:
- apartment rentals;
- hotels;
- ticket sales;
- rental cars;
- entertainment venues; and
- other businesses that advertise artificially low prices before adding mandatory charges later in the purchasing process.
If adopted after public comment, landlords would be required to include mandatory recurring charges in advertised monthly rents rather than surprising tenants after they begin the leasing process, according to [The Guardian](https://www.theguardian.com/us-news/2026/jul/10/new-york-city-deceptive-subscriptions-ban?utm%5Fsource=chatgpt.com).
## Filling a federal gap
The city action comes after years of national debate over subscription cancellations.
The Federal Trade Commission approved a nationwide "Click-to-Cancel" regulation during the Biden administration, but a federal appeals court blocked the rule in 2025 on procedural grounds before it took effect.
That decision left consumers without a nationwide standard, creating an opening for states and cities to establish their own protections.
Levine, who previously served as director of the FTC's Bureau of Consumer Protection, has made subscription traps and junk fees among his top enforcement priorities since joining the city's consumer protection agency, the [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/04/17/new-york-citys-click-to-cancel-proposal-signals-a-new-era-in-subscription-regulation/?utm%5Fsource=chatgpt.com) noted.
## Consumer advocates applaud
Consumer groups have argued that unwanted recurring subscriptions cost Americans billions of dollars each year because many consumers either forget about recurring charges or give up after encountering complicated cancellation procedures.
The Roosevelt Institute estimates New Yorkers alone could save as much as $162.5 million annually if deceptive subscription practices are eliminated. ([The Guardian](https://www.theguardian.com/us-news/2026/jul/10/new-york-city-deceptive-subscriptions-ban?utm%5Fsource=chatgpt.com))
Business organizations, however, have historically argued that pricing and subscription rules impose unnecessary compliance costs and interfere with legitimate business practices.
The debate mirrors earlier national disputes over hotel resort fees, airline fees, apartment junk fees and "drip pricing" practices that reveal mandatory charges only near the end of checkout.
## What consumers should do
Even before broader reforms spread, consumer advocates recommend:
- Review monthly bank and credit card statements for recurring charges.
- Cancel unwanted subscriptions immediately rather than waiting.
- Save screenshots or emails confirming cancellations.
- Report companies that continue billing after cancellation.
- Watch for mandatory fees that significantly increase advertised prices.
As states and cities increasingly pursue their own consumer protection rules, New York's action could become an important test case for whether local governments can succeed where federal regulators have faced legal setbacks.
---
### **Consumer Checklist — Escaping Subscription Traps**
**Before subscribing:**
- Read the renewal terms.
- Find the cancellation method before signing up.
- Use a credit card if possible for stronger dispute rights.
- Set a calendar reminder before any free trial ends.
**When canceling:**
- Take screenshots of every step.
- Save confirmation emails or confirmation numbers.
- Check your next billing statement.
- If billing continues, dispute the charge promptly with your card issuer and file a complaint with the appropriate consumer protection agency.
### Grocers race to cut prices as shoppers pare spending
URL: https://www.consumernews.ai/grocers-race-to-cut-prices-as-shoppers-pare-spending/
Last updated: 2026-07-10T12:48:17.000Z
America's grocery stores are cutting prices to lure consumers who have pared back spending, [The New York Times reported](https://www.nytimes.com/2026/07/09/business/grocery-stores-lower-food-prices.html?ref=consumernews.ai). Walmart said it will reduce the price of its 1-pound log of ground beef to $5.94 from $6.74 and slash prices on fresh corn, cherries, potato chips and Coca-Cola. Costco cut prices on eggs, beef, chicken wings and chocolate almonds.
Whole Foods has "reduced prices on more than 900 products across private brands," a spokesperson told the Times. Stop & Shop lowered the price of a rotisserie chicken by $1 to $6.99 and a can of Bumble Bee tuna to $1.99 from $2.29\. Aldi keeps expanding, taking share from traditional chains.
The retailer effort is real but limited. "The average grocery retailer is only making 1.5 percent to 2 percent net profits on groceries," food industry analyst Phil Lempert told [the Times](https://www.nytimes.com/2026/07/09/business/grocery-stores-lower-food-prices.html?ref=consumernews.ai). "There's not a lot they can do to take price cuts on their own."
Walmart said at least some of its price cuts will be funded by the $2.4 billion it has filed for in reimbursements after the Supreme Court ruled in February that President Trump exceeded his authority on tariffs.
For household budgets, the headline discounts do not close the gap. Food prices across all categories are expected to rise 3.2 percent in 2026, according to the USDA Economic Research Service. Food consumed at home has climbed 18 percent since the beginning of 2022, per the Bureau of Labor Statistics.
A May CNN poll cited by [the Times](https://www.nytimes.com/2026/07/09/business/grocery-stores-lower-food-prices.html?ref=consumernews.ai) found 61 percent of Americans had changed which groceries they bought to stay within their budget — a level of adjustment that will keep the pricing wars intense through year-end.
### Home prices set a record as sales fall for a second month
URL: https://www.consumernews.ai/home-prices-set-a-record-as-sales-fall-for-a-second-month/
Last updated: 2026-07-10T12:40:14.000Z
The U.S. housing market ended its spring selling season on a sour note. Existing home sales fell 2.4 percent in June from May to a seasonally adjusted annual rate of 4.09 million units, well below the 0.7 percent gain economists had expected, [The Wall Street Journal reported](https://www.wsj.com/economy/housing/spring-home-selling-season-ends-on-a-bad-note-a81071a0?ref=consumernews.ai).
Yet the median price of an existing home sold in June climbed to $440,660, up 1.8 percent from $432,700 a year ago and the highest on record. Prices have now risen for 36 straight months, [CBS News reported](https://www.cbsnews.com/news/us-home-prices-all-time-high/?ref=consumernews.ai).
Affordability has effectively collapsed for first-time buyers. Fewer than four in 10 non-homeowner households can afford a typical starter home priced around $200,000, according to LendingTree data cited by [CBS](https://www.cbsnews.com/news/us-home-prices-all-time-high/?ref=consumernews.ai). Households now need an annual income of roughly $117,000 to afford the average home, according to Redfin.
Sales below $250,000 continue to shrink, while sales of homes above $1 million rose 18 percent from a year ago, [CNBC reported](https://www.cnbc.com/2026/07/09/june-home-sales-prices.html?ref=consumernews.ai) — a widening gap between who can and cannot participate in the market.
### Mortgage rates continue their climb
Mortgage rates are not helping. The 30-year fixed climbed to 6.56 percent Thursday, up from 6.51 percent a week ago, according to [Wall Street Journal Buyside data](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-7-9-2026?ref=consumernews.ai). The 5/1 adjustable-rate mortgage moved down to 5.71 percent from 6.28 percent, and the 30-year jumbo edged up to 6.63 percent.
Fannie Mae, which entered the year forecasting rates could fall below 6 percent, now says the 30-year will hold above that level for the rest of 2026\. [Reuters reported](https://www.reuters.com/world/us/us-weekly-jobless-claims-fall-amid-stable-labor-market-conditions-2026-07-09/?ref=consumernews.ai) that the average 30-year rate remains about 50 basis points above its pre-Iran-war level, keeping potential buyers on the sidelines and homeowners with sub-5 percent mortgages locked into their existing houses.
### National Safety Recalls - July 9
URL: https://www.consumernews.ai/national-safety-recalls-july-9/
Last updated: 2026-07-09T20:13:05.000Z
##
### Top hazards
**Kobalt yard tools with USB-C lithium batteries — 554,780 units**
Greenworks recalled Kobalt trimmers, blowers, mowers, chainsaws and pruning saws because batteries can short-circuit while charging in the tool, creating a serious fire hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Greenworks-Tools-Recalls-24V-and-48V-Kobalt-Yard-Power-Tools-with-USB-C-Batteries-Due-to-Risk-of-Serious-Injury-from-Fire-Hazard?utm%5Fsource=chatgpt.com))
**Kia Telluride “park outside” warning — 463,000 vehicles**
NHTSA warned owners of certain 2020–2024 Kia Tellurides to park outside because front power-seat motors can overheat and catch fire. ([Reuters](https://www.reuters.com/legal/litigation/kia-recall-about-463000-us-vehicles-over-fire-risk-regulator-says-2026-07-09/?utm%5Fsource=chatgpt.com))
**Cuisinart Propel+ gas grills — 12,660 units**
The pizza-oven glass window can shatter during use. CPSC says Conair has received 37 reports of shattered glass and one fire report. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Recalls-Cuisinart-Propel-Four-Burner-3-In-1-Gas-Grills-Due-to-Risk-of-Serious-Injury-from-Laceration-Hazard?ref=consumernews.ai))
### Other CPSC recalls
**BBRKIN/MouTec biometric gun safes** — 9,100 units; biometric locks can open for unauthorized users, creating serious injury and death risks. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Biometric-Gun-Safes-Recalled-Due-to-Serious-Injury-Hazard-and-Risk-of-Death-Sold-Exclusively-on-Amazon-com-by-BBRKIN?utm%5Fsource=chatgpt.com))
**Flaunt MagSafe battery chargers** — Lithium-ion fire/burn hazard; five overheating/fire reports, two burn reports and four property-damage reports. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Flaunt-Recalls-Magsafe-Battery-Chargers-Due-to-Risk-of-Serious-Injury-or-Death-from-Fire-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
**Best Buy Insignia gas ranges** — Front knobs can be accidentally activated by people or pets, creating a fire hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Best-Buy-Recalls-Insignia-Gas-Ranges-Due-to-Risk-of-Serious-Injury-from-a-Fire-Hazard?utm%5Fsource=chatgpt.com))
**Moodooy adult bed rails** — Entrapment/asphyxiation hazard; sold on Amazon. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Moodooy-Bed-Rails-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Entrapment-and-Asphyxiation-Violate-Mandatory-Standard-for-Adult-Portable-Bed-Rails-Sold-on-Amazon-by-Yuezhang?utm%5Fsource=chatgpt.com))
**WonderStone infant walkers** — Fall hazard; walkers can fit through doorways and fail to stop at stair edges. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/WonderStone-Infant-Walkers-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Fall-Hazard-Violate-Mandatory-Standard-for-Infant-Walkers-Sold-on-Walmart-com-by-Wonder-Stone-Toys?utm%5Fsource=chatgpt.com))
### Auto
**Honda Odyssey — 325,588 minivans**
Honda is recalling 2018–2022 Odyssey minivans because rearview cameras can fail due to water intrusion and corrosion. ([Car and Driver](https://www.caranddriver.com/news/a71871486/honda-odyssey-rearview-camera-recall/?utm%5Fsource=chatgpt.com))
**Ford Mustang/Mustang Mach-E — 110,626 vehicles**
Recent Ford recalls cover wiper/washer problems and rear differential pinion shaft defects that can cause loss of drive power or unintended movement. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-over-110000-us-vehicles-over-wiper-pinion-shaft-issues-nhtsa-says-2026-07-07/?utm%5Fsource=chatgpt.com))
### FDA
No newer FDA posting appeared beyond July 7\. The major active food hazard remains **GreenWise Organic IQF Frozen Blueberries**, recalled for possible E. coli O145 contamination; FDA-linked information reports 12 illnesses and distribution through Publix stores in eight states. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
### USDA FSIS
No newer major FSIS recall surfaced. The latest notable FSIS item remains the **GoodTimes ready-to-eat beef jerky** public health alert for misbranding and undeclared allergen concerns. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-a-ready-eat-beef-jerky-product-due-misbranding-and?utm%5Fsource=chatgpt.com))
### Counterfeit airbags have killed 10 U.S. drivers, WSJ finds
URL: https://www.consumernews.ai/counterfeit-airbags-have-killed-10-u-s-drivers-wsj-finds/
Last updated: 2026-07-09T18:19:53.000Z
##
A [Wall Street Journal investigation](https://www.wsj.com/business/autos/counterfeit-air-bag-parts-deaths-regulators-6eddfdd4?ref=consumernews.ai) published Thursday concluded that counterfeit airbag components installed by used-car dealers and repair shops have killed at least 10 U.S. drivers since 2023, with regulators struggling to trace them through the aftermarket parts supply.
In one case documented by [the Journal](https://www.wsj.com/business/autos/counterfeit-air-bag-parts-deaths-regulators-6eddfdd4?ref=consumernews.ai), E Seok Kang lost control of his 2018 Chevrolet Malibu on a rain-soaked Texas highway in October 2023\. The counterfeit airbag deployed with such force that it shattered his jaw. "I struggled to breathe, it felt as if something was lodged in my throat," Kang told the Journal.
The airbag in Kang's Malibu had been purchased on eBay and installed by the Texas dealership that sold him the pre-owned vehicle, [the WSJ reported](https://www.wsj.com/business/autos/counterfeit-air-bag-parts-deaths-regulators-6eddfdd4?ref=consumernews.ai). Kang lost half his lower jaw, most of his lower teeth and several upper teeth, and endured three surgeries in the following month, including operations to treat infection and reconstruct his face.
Three other drivers have suffered serious injuries linked to the same class of components, including a driver in an incident as recently as June in Louisville, Kentucky. Federal safety authorities are warning consumers to check their airbag repair history if they purchased a used vehicle with prior collision damage.
### Long hot summer of recalls
The finding compounds a punishing summer for auto-safety recalls. Ford recalled 110,626 Mustang vehicles Tuesday for wiper motor and rear-differential defects, [Reuters reported](https://www.reuters.com/legal/litigation/ford-recall-over-110000-us-vehicles-over-wiper-pinion-shaft-issues-nhtsa-says-2026-07-07/?ref=consumernews.ai), extending the automaker's summer campaign to well over 3 million vehicles. And [The New York Times reported](https://www.nytimes.com/2026/07/08/world/americas/pedigree-dog-food-recall.html?ref=consumernews.ai) Wednesday that Mars Petcare has recalled certain lots of Pedigree dog food it said had shipped despite failing quality-control testing — a reminder that unsafe products keep reaching consumers even when the systems designed to catch them are working.
### Delta unveils 'basic business' as premium cabins go stratified
URL: https://www.consumernews.ai/delta-unveils-basic-business-as-premium-cabins-go-stratified/
Last updated: 2026-07-28T14:18:34.000Z
##
Delta Air Lines said Wednesday it will roll out a new "Basic Business" fare that keeps the lie-flat seat and long-haul cabin of Delta One but strips away most of the perks that business-class flyers now expect, [CNBC reported](https://www.cnbc.com/2026/07/08/delta-basic-business-fares.html?ref=consumernews.ai).
Passengers on the new fare will not get free seat selection, will earn fewer miles, will be assigned seats at check-in and will pay a fee to change or cancel. Airport lounge access is gone. Same-day standby and confirmed flight changes are not available.
Delta also introduced a similar basic option in first class, which appears more often on shorter-haul routes and in premium economy. The seats go on sale Wednesday for flights starting in September in "select markets," though Delta declined to say which routes will offer the fare, [per CNBC](https://www.cnbc.com/2026/07/08/delta-basic-business-fares.html?ref=consumernews.ai).
[Delta NewsTrackerDelta and JetBlue roll out stripped-down premium faresPay a little bit less for sort of luxury travel is the latest travel mantra.ConsumerNews.aiJames R. HoodDelta unveils ‘basic business’ as premium cabins go stratifiedGet the seat but not all the service in stratified airline premium cabinsConsumerNews.aiThe EditorsAirlines keepConsumerNews.aiJames R. Hood](https://www.consumernews.ai/delta-newstracker/)
United Airlines made a similar change earlier this year to its Polaris long-haul business class and other premium cabins. Delta's former President Glen Hauenstein told the network that "the segmentation that we've done in main cabin is kind of the template that we're going to bring to all of our premium cabins over time because different people have different needs."
The move fits a broader pattern of airlines pushing premium products even as fuel prices normalize. [The Wall Street Journal reported](https://www.wsj.com/business/airlines/jet-fuel-prices-have-plunged-but-arent-resulting-in-much-lower-fares-070df439?ref=consumernews.ai) this week that jet-fuel costs are down 40 percent from their April peak but airlines have not passed the savings through to fares.
Delta's Airbus A350-1000, arriving in 2027, will devote nearly half its cabin to premium seating, and American Airlines plans to expand premium cabins by 50 percent by decade's end, [The Associated Press reported](https://apnews.com/article/airlines-premium-passengers-economy-flights-b1ac3b9c05ca942dec213679ab21a62b?ref=consumernews.ai).
For consumers, Basic Business means the price on the boarding pass will be lower, but so will the definition of what business class actually delivers.
### Obamacare premiums set to jump another 14 percent
URL: https://www.consumernews.ai/obamacare-premiums-set-to-jump-another-14-percent/
Last updated: 2026-07-09T18:02:26.000Z
##
Middle-income Americans who buy their health coverage on the Affordable Care Act marketplaces face a second straight year of double-digit premium hikes. Insurers have proposed a median 14 percent premium increase for 2027, the second-highest jump since 2018, according to a Wednesday analysis by health policy nonprofit KFF cited by [The Associated Press](https://apnews.com/article/affordable-care-act-obamacare-health-insurance-premiums-a2b6e95cea6555f12b992346245e2a2c?ref=consumernews.ai).
KFF analyzed filings from 77 insurers across 16 states and Washington, D.C.
The immediate driver is a sicker risk pool as healthier enrollees drop coverage. Insurers expect that mix shift alone to push premiums up 4 percent next year, [Reuters reported](https://www.reuters.com/legal/litigation/obamacare-insurers-ask-second-highest-premiums-increase-nearly-decade-2026-07-08/?ref=consumernews.ai). The rest reflects rising medical costs and expiring pandemic-era subsidies. Without those enhanced tax credits, premiums already rose 58 percent in 2026 and deductibles climbed roughly $1,000 per person, per the [Reuters account](https://www.reuters.com/legal/litigation/obamacare-insurers-ask-second-highest-premiums-increase-nearly-decade-2026-07-08/?ref=consumernews.ai). Blue Cross and Blue Shield of Illinois is seeking a 15 percent increase for 2027 on top of a 28 percent hike this year, [The Wall Street Journal reported](https://www.wsj.com/health/healthcare/obamacare-insurers-seek-big-rate-hikes-again-8a4bf9e4?ref=consumernews.ai).
The pattern is geographically uneven. Average proposed rates in New York, Rhode Island and Washington are up more than 20 percent, [Bloomberg reported](https://www.bloomberg.com/opinion/articles/2026-07-02/falling-aca-health-coverage-is-a-predictable-disaster?ref=consumernews.ai). Between 2025 and 2027, premiums are on track to increase by more than 33 percent, [Reuters said](https://www.reuters.com/legal/litigation/obamacare-insurers-ask-second-highest-premiums-increase-nearly-decade-2026-07-08/?ref=consumernews.ai).
Insurers must submit final proposals to regulators by July 15; state regulators will approve or revise rates before open enrollment begins Nov. 1\. Millions have already dropped coverage over the past year, and [NBC News](https://www.nbcnews.com/health/health-news/aca-premiums-likely-set-another-double-digit-rise-year-rcna353306?ref=consumernews.ai) said advocacy groups warn another round of hikes will accelerate that trend, feeding a cycle of higher rates for those who stay.
### Debt Watch: How to avoid credit card late fees — and what to do if you get hit
URL: https://www.consumernews.ai/debt-watch-how-to-avoid-credit-card-late-fees-and-what-to-do-if-you-get-hit/
Last updated: 2026-07-08T20:10:17.000Z
Credit card late fees are only the first cost of missing a payment. A late payment can also trigger interest charges, cause you to lose your grace period, hurt your credit score if it is reported as 30 days late, and make it harder to qualify for cheaper credit later.
### 1\. Set up an automatic minimum payment
The safest setup is to schedule an automatic payment for at least the minimum amount due. That protects you from a late fee even if you forget the full payment. You can still make an extra manual payment later to reduce interest.
### 2\. Pick a due date that matches your cash flow
Many issuers let cardholders move their payment due date. Ask for a date shortly after your paycheck, Social Security deposit, pension payment, or other regular income arrives.
### 3\. Use two reminders, not one
Set one reminder a week before the due date and another two days before. A single reminder can be missed; two reminders catch more errors, especially when a due date falls on a weekend, holiday, or travel day.
### 4\. Pay early if you are close to your limit
Waiting until the last day can backfire if a bank transfer fails, a website is down, or a payment posts later than expected. Paying several days early is especially important if your balance is near the credit limit.
### 5\. Ask for a waiver
If you are charged a late fee, call or message the issuer and ask directly: “Can you waive this late fee as a courtesy?” Many issuers will waive a first late fee or make a one-time adjustment for customers with a good payment record.
### 6\. Ask about hardship options
If the missed payment is part of a bigger problem, ask whether the issuer has a hardship program. Some banks may offer lower minimum payments, temporary interest-rate reductions, or payment plans. Get the terms in writing before agreeing.
### 7\. Watch for credit-report damage
A payment generally has to be 30 days late before it is reported to the credit bureaus. That means a payment that is a few days late may be expensive, but it usually should not appear as a 30-day delinquency. If you are approaching the 30-day mark, make the payment immediately and contact the issuer.
### 8\. Check the next statement
After a late payment, review the next statement for a late fee, interest charges, loss of grace period, and any change in the minimum payment. A missed payment can cause costs to spill into the following billing cycle.
### 9\. Do not ignore repeat fees
If late fees are becoming routine, the card is no longer working as a short-term payment tool. Consider switching to a lower-cost card, using a debit card for everyday purchases, or talking to a nonprofit credit counselor before the balance grows.
### 10\. Keep records
Save confirmation numbers, screenshots, bank-payment records, and chat transcripts. If a payment was made on time but posted incorrectly, documentation gives you a better chance of getting the fee reversed.
### CFPB may reopen fight over credit card late fees
URL: https://www.consumernews.ai/cfpb-may-reopen-fight-over-credit-card-late-fees/
Last updated: 2026-07-25T21:50:04.000Z
The Consumer Financial Protection Bureau may be getting ready to reopen one of the most contentious consumer finance battles of the last several years: how much banks can charge when credit card customers pay late.
The Office of Information and Regulatory Affairs, the White House office that reviews significant agency actions, shows that the CFPB submitted a “Request for Information Regarding Credit Card Late Fees and Late Payments” on July 6\. The item is listed as a “prerule” action, meaning it could be an early step toward a future regulation, although the actual request has not yet been released publicly, according to [RegInfo.gov](https://www.reginfo.gov/public/do/eoDetails?rrid=1454912&ref=consumernews.ai).
The move is notable because the CFPB, now operating under Acting Director Russell Vought, has backed away from a number of Biden-era regulatory initiatives. But credit card late fees appear to remain on the agency’s agenda, even after the bureau abandoned its earlier effort to cap most large-issuer late fees at $8, the newsletter [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/07/08/cfpb-signals-it-may-revisit-credit-card-late-fee-regulation/?ref=consumernews.ai) noted.
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
## A rule that never took effect
The CFPB’s March 2024 rule would have sharply reduced the “safe harbor” amount that large credit card issuers could charge without having to justify the fee. The previous safe harbor was $30 for a first late payment and $41 for subsequent late payments; the Biden-era rule would have lowered that to $8, eliminated automatic inflation adjustments, and limited late fees to no more than 25% of the required minimum payment.
The [CFPB estimated](https://www.consumerfinance.gov/archive/newsroom/cfpb-bans-excessive-credit-card-late-fees-lowers-typical-fee-from-32-to-8/?ref=consumernews.ai) at the time that the rule would save consumers about $10 billion a year. The bureau said credit card late fees had grown to more than $14 billion in 2022 and that the average fee charged by major issuers had risen from $23 at the end of 2010 to $32 in 2022\.
But the banking industry quickly challenged the rule, arguing that the CFPB had exceeded its authority under the Credit Card Accountability Responsibility and Disclosure Act, commonly known as the CARD Act. Banks and business groups said the rule amounted to an unlawful price control and failed to account for the cost and deterrent value of late fees.
A federal judge blocked the rule before it could take effect, and in April 2025 the rule was vacated after the CFPB and industry groups jointly asked the court to scrap it. The CFPB’s own compliance page now notes that the credit card penalty-fee rule was vacated by court order on April 15, 2025\.
## Why reopen the issue now?
Because the new request for information has not yet been released, it is not clear whether the CFPB is considering another late-fee cap, a narrower rule, or simply gathering updated market data.
Consumer Finance Monitor, published by Ballard Spahr, noted that an RFI is often the first formal step in a rulemaking process. [The firm said](https://www.consumerfinancemonitor.com/2026/07/08/cfpb-signals-it-may-revisit-credit-card-late-fee-regulation/?ref=consumernews.ai) the CFPB could be trying to update the record on delinquency rates, consumer borrowing, interest rates, issuer costs, and consumer payment behavior since the bureau’s 2022 inquiry.
The CFPB may also be looking for a more legally durable approach. The earlier $8 rule ran into arguments that the CARD Act allows penalty fees so long as they are “reasonable and proportional” to the violation, and that regulators cannot simply set a fee level that ignores deterrence or issuer costs.
The new filing also comes as credit card costs remain a political issue. Late fees are only one piece of the burden facing cardholders. Consumers who miss payments can also face interest charges, loss of a grace period, credit-score damage, credit-limit reductions, and higher rates on future purchases.
## Banks say caps could backfire
Banks and business groups have argued that limiting late fees would not make credit cheaper overall. Instead, they say issuers would make up the lost revenue through higher interest rates, annual fees, reduced rewards, or tighter credit standards.
The U.S. Chamber of Commerce, one of the groups that challenged the 2024 rule, [said](https://www.uschamber.com/finance/the-cfpb-moves-to-punish-people-who-pay-their-credit-card-bills-on-time?ref=consumernews.ai) the cap would have punished cardholders who pay on time by forcing them to subsidize the costs of late-paying customers. It also argued that the existing disclosure rules already tell consumers what late fees apply before they open an account.
Consumer advocates have long taken the opposite view, arguing that late fees have grown far beyond the actual cost of collecting missed payments and have become part of a broader “junk fee” business model. The CFPB made that case in 2024, saying large issuers charged more than $14 billion in late fees in 2022 and that many issuers raised fees in lockstep with inflation even without evidence that their costs had increased.
## What consumers should watch
For now, nothing has changed for cardholders. The $8 cap is not in effect, and the preexisting late-fee framework remains in place.
The next important step will be the release of the CFPB’s request for information. That document should show whether the bureau is merely collecting data or laying the groundwork for another rule. It should also reveal whether the agency is focused on fee levels, payment behavior, issuer costs, annual inflation adjustments, or broader affordability concerns in the credit card market.
For consumers, the practical advice remains the same: set up payment reminders, consider automatic minimum payments, and contact the card issuer quickly after a missed payment. Many issuers will waive a first late fee, especially for customers with a good payment history, but repeat late payments can quickly become expensive and can damage credit scores.
### Meta says states are seeking $1.4 trillion in teen social media case
URL: https://www.consumernews.ai/meta-says-states-are-seeking-1-4-trillion-in-teen-social-media-case/
Last updated: 2026-07-08T16:05:27.000Z
Meta is facing one of the largest penalty demands ever aimed at a U.S. company as four states press ahead with claims that Facebook and Instagram harmed young users and violated child privacy laws.
The company disclosed in a court filing that California, Colorado, Kentucky and New Jersey are seeking penalties that could total about $1.4 trillion if they prevail at trial, according to Reuters and the New York Post. The states allege that Meta deliberately designed Facebook and Instagram to keep minors compulsively engaged while misleading the public about the risks to children’s mental health.
Meta denies wrongdoing and says the states’ penalty calculations are legally and factually flawed. The company argues that the figure is inflated by multiplying state-law penalties across large numbers of young users and, in some instances, double- or triple-counting the same alleged conduct.
The trial is scheduled to begin Aug. 18 in federal court in Oakland, California, before U.S. District Judge Yvonne Gonzalez Rogers. The case is part of sprawling litigation over whether major social media platforms — including Meta’s Facebook and Instagram, Google’s YouTube, TikTok and Snap — can be held liable for allegedly addictive product designs and youth mental health harms.
## A major test for Big Tech
The states’ claims focus on two broad allegations: that Meta used product features to maximize young users’ time on its platforms, and that the company failed to comply with the federal [Children’s Online Privacy Protection Act](https://www.ftc.gov/legal-library/browse/statutes/childrens-online-privacy-protection-act?ref=consumernews.ai), or COPPA, which restricts the collection of personal information from children under 13 without parental notice and consent.
In a ruling last week, Judge Gonzalez Rogers rejected Meta’s attempt to dismiss key claims brought by the states, including claims based on deception, unfair business practices and COPPA. Reuters reported that the judge also granted summary judgment to the states on a COPPA notice-and-consent issue, giving the states an important pretrial win.
Meta has argued that “social media addiction” is not a recognized medical condition and that it did not misrepresent the safety of its platforms. The company has also invoked legal protections, including Section 230 of the Communications Act, which generally shields platforms from liability for user-generated content. But plaintiffs in these cases have increasingly framed their claims around product design — such as feeds, notifications, recommendation systems, autoplay and infinite scroll — rather than simply content posted by users.
That distinction could be critical. If courts treat social media platforms more like products with potentially defective design features, the litigation could begin to look less like a speech case and more like earlier mass litigation over tobacco, opioids or unsafe consumer products.
## $1.4 trillion may not be the final number
The huge penalty figure should be treated cautiously. It is not a judgment, settlement or court-approved damages award. It is Meta’s description of what the four states are seeking under their theories of civil penalties.
Courts frequently reduce penalty demands, narrow claims before trial or reject damages models they find excessive. Meta is already arguing that the states’ calculation lacks a sound legal basis.
Still, the number signals the seriousness of the litigation. Even if any final penalty were much smaller, an adverse ruling could force Meta to change how it designs, markets and monitors products used by children and teens.
## Earlier losses raised the stakes
The August trial follows several courtroom setbacks for social media companies.
In March, a [New Mexico jury](https://www.consumernews.ai/new-mexico-seeks-37b-platform-overhaul/) found Meta’s platforms harmful to children’s mental health and imposed a $375 million penalty. The case was one of the first major jury verdicts in the new wave of social media child-safety litigation.
Around the same time, a [Los Angeles jury](https://www.consumernews.ai/meta-google-found-liable-jury-doubles/) found Meta and YouTube liable in a case brought by a young woman who said Instagram and YouTube contributed to severe mental health problems. The jury awarded $6 million, with Meta responsible for 70% and Google’s YouTube responsible for 30%, according to reports from The Guardian and Business Insider. ([The Guardian](https://www.theguardian.com/media/2026/mar/25/jury-verdict-us-first-social-media-addiction-trial-meta-youtube?utm%5Fsource=chatgpt.com))
Both companies have denied wrongdoing and are expected to keep fighting the cases. Appeals could take years.
## Why families should care
The litigation could affect more than Meta’s balance sheet. State attorneys general and private plaintiffs are seeking not only money but also changes in how social media platforms operate for young users.
Potential remedies could include stronger age verification, limits on targeted data collection, restrictions on addictive design features, more parental controls, changes to recommendation systems, and outside monitoring of youth-safety practices.
New Mexico, for example, has pursued court-ordered changes that could include platform redesigns, a monitor and limits on features such as infinite scrolling, according to [Source New Mexico](https://www.consumernews.ai/new-mexico-seeks-37b-platform-overhaul/). Meta has argued that such remedies would go too far.
For parents, the cases underscore a practical point: social media safety is not just about what children see online. It is also about how platforms are engineered to keep them engaged.
## What parents can do now
Families do not have to wait for courts or regulators to act. Consumer and child-safety advocates generally recommend treating social media like any other powerful consumer product: set rules, monitor use and watch for warning signs.
Parents can:
- Review privacy and data-sharing settings on every platform their child uses.
- Turn off nonessential notifications that pull children back into apps.
- Set device-level screen-time limits, not just app-level limits.
- Keep phones out of bedrooms overnight.
- Ask children how social media makes them feel, not only how much time they spend on it.
- Watch for sleep disruption, secrecy, withdrawal, anxiety, depression, eating concerns or sudden changes in mood.
- Document harmful experiences, especially if bullying, exploitation, self-harm content or predatory contact is involved.
The legal cases may eventually determine whether Meta and other platforms must pay billions — or even more — for the way their products affected young users. But the larger question is already clear: whether social media companies can continue to design products for maximum engagement while insisting that families bear most of the risk.
### Inflation expectations climb to a nearly three-year high
URL: https://www.consumernews.ai/inflation-expectations-climb-to-a-nearly-three-year-high/
Last updated: 2026-07-08T15:08:50.000Z
The Federal Reserve Bank of New York's June Survey of Consumer Expectations released Tuesday showed near-term inflation expectations at their highest level since September 2023, giving the incoming Federal Reserve leadership fresh reason to keep interest rates elevated.
Americans said they now expect inflation to run at 3.7 percent one year from now, up from 3.5 percent in May, [Reuters reported](https://www.reuters.com/business/ny-fed-survey-reports-rising-near-term-inflation-expectations-june-2026-07-07/?ref=consumernews.ai). Three-year expectations climbed to 3.3 percent from 3.1 percent — the highest reading since June 2022 — while five-year expectations held steady at 3 percent.
The findings sit atop a stack of hawkish signals. Fed Chair Kevin Warsh said in his first press conference last month that "I am pleased to report that members of the Federal Open Market Committee are unambiguous and unanimous: This Committee will deliver price stability," according to the [Reuters account](https://www.reuters.com/business/ny-fed-survey-reports-rising-near-term-inflation-expectations-june-2026-07-07/?ref=consumernews.ai).
New York Fed President John Williams struck a slightly more optimistic note in a Tuesday television interview, saying "inflation is still too high" but adding that "I do feel a little bit more positive about the near-term inflation outlook because of the energy price declines that we're going to see." That optimism now looks premature after Wednesday's overnight oil surge.
Investors are focused on the minutes of the FOMC's June 16-17 meeting, due later Wednesday. [The Associated Press inflation hub](https://apnews.com/hub/inflation?ref=consumernews.ai) confirmed that April headline inflation reached 3.8 percent, a three-year high, and that the personal consumption expenditures index reached a fresh three-year high in May.
With the June consumer price index scheduled for release next week on July 14, the case for at least one Fed rate hike this year is building.
### **White House leaned on Walmart, Kroger and Albertsons over beef**
Walmart's much-publicized price rollback last week did not happen in a vacuum. [The Wall Street Journal reported](https://www.wsj.com/business/retail/white-house-pressures-top-u-s-grocers-on-beef-prices-ae7f4822?ref=consumernews.ai) Tuesday that an Agriculture Department official spoke with executives from Walmart, Kroger and Albertsons just days before Independence Day to "discuss the reduction of beef prices" as the holiday weekend approached — a period when demand for grilled burgers peaks. The Journal called it an unusually direct White House intervention in retail pricing.
Walmart's own price-cut list, obtained and published by [CBS News](https://www.cbsnews.com/news/walmart-price-cuts-beef-coke-pepsi-corn-ice-cream/?ref=consumernews.ai), shows the extent of the promotional push.
A one-pound roll of 73 percent lean ground beef fell to $5.94 from $6.74, a 12 percent cut. Fresh sweet corn on the cob dropped to 25 cents each from 68 cents, a 63 percent cut. A 2.25-pound bag of fresh red cherries fell to $5.63 from $11.18, a 50 percent reduction. A 24-pack of Coca-Cola dropped to $9.97 from $14.97, and a 24-pack of Pepsi to $9.97 from $13.97\. Great Value ice cream, Lay's chips and paper plates were also on the list.
President Trump credited his administration in a Truth Social post, but Walmart's own announcement omitted any mention of the White House and the retailer declined to comment on Trump's message, [CBS reported](https://www.cbsnews.com/news/walmart-price-cuts-beef-coke-pepsi-corn-ice-cream/?ref=consumernews.ai).
"It's a win-win for both sides — Trump needs to improve his messaging around affordability ahead of the midterms, and Walmart loves to occupy the low-price spotlight," Vital Knowledge analyst Adam Crisafulli told [CBS](https://www.cbsnews.com/news/walmart-price-cuts-beef-coke-pepsi-corn-ice-cream/?ref=consumernews.ai). Separately, [NBC News reported](https://www.nbcnews.com/video/walmart-digital-price-tags-collide-with-anxiety-over-surveillance-pricing-266339397536?ref=consumernews.ai) that Walmart's rollout of digital price tags is intensifying consumer anxiety about so-called surveillance pricing, in which shelf tags could change price by the hour based on demand
### Congress moves toward national rules for paycheck-advance apps
URL: https://www.consumernews.ai/congress-moves-toward-national-rules-for-paycheck-advance-apps/
Last updated: 2026-07-08T11:57:28.000Z
A fast-growing corner of the fintech market is moving one step closer to federal regulation — and possibly federal protection from tougher state lending laws.
The [House Financial Services Committee](https://financialservices.house.gov/calendar/eventsingle.aspx?EventID=411136&ref=consumernews.ai) has approved H.R. 9330, the Earned Wage Access Consumer Protection Act, a bill that would establish national rules for companies that let workers access part of their pay before payday. The committee advanced the bill on June 30 by a recorded vote of 29-22, sending it to the full House for possible consideration.
Earned wage access, often called **EWA**, is marketed as a cheaper and safer alternative to payday loans. Instead of borrowing against a future paycheck, workers are allowed to draw down wages they have already earned but have not yet received. The services are often offered through employers or payroll systems, though some companies market directly to consumers.
The basic pitch is simple: if the rent is due Wednesday and payday is Friday, a worker can tap some earned wages early rather than overdrawing a bank account, using a credit card or turning to a payday lender.
But the product has drawn growing scrutiny because the cost can be hard to understand. Some services charge expedited transfer fees, monthly subscription fees or “tips.” Consumer advocates say those costs can add up quickly for workers who use the apps repeatedly.
[Fintech, crypto expose consumers to new risksCongress moves toward national rules for paycheck-advance appsConsumer advocates warn the bill could weaken state protections and let costly wage-advance products avoid lending lawsConsumerNews.aiJames R. HoodBefore using a paycheck-advance app, ask these questionsEarned wage access apps can be useful in a pinch, but they can alsoConsumerNews.aiJames R. Hood](https://www.consumernews.ai/fintech-crypto-expose-consumers-to-new-risks/)
## What the bill would do
The bill would create a federal framework for earned wage access providers and would largely settle one of the biggest legal fights around the industry: whether these products should be treated as loans.
Under the version reviewed by the committee, qualifying EWA services would not be treated as credit, loans or similar products under federal law. The bill also would amend the Truth in Lending Act so that earned wage access providers are not treated as creditors and fees or tips paid by consumers are not treated as finance charges, according to [Democrats on Financial Services](https://democrats-financialservices.house.gov/uploadedfiles/bills-119pih-ewas%5F01.13.pdf?utm%5Fsource=chatgpt.com)).
> That distinction matters. If EWA products are not loans, providers may avoid many of the disclosures, interest-rate calculations and state lending laws that apply to other short-term credit products.
The bill also includes consumer-protection provisions. Providers would have to offer a no-cost option if they also offer a fee-based option. They would have to disclose limits on how much pay consumers can access, any fees, and any tips requested or accepted. The bill would also restrict debt collection if repayment fails. Providers generally could not sue consumers, initiate arbitration, use debt collectors or sell repayment rights to debt buyers.
The legislation would also bar late fees, deferral fees, interest or other penalties when a consumer does not pay a fee or tip. If a provider tries to withdraw money from a consumer’s bank account on the wrong date or in the wrong amount and triggers an overdraft or nonsufficient-funds fee, the provider would have to reimburse the consumer.
Supporters say those provisions are evidence that the bill would protect consumers while giving the industry the legal certainty it needs to operate nationally.
“Earned Wage Access puts workers back in control of their own paychecks,” [said Penny Lee](https://www.ftassociation.org/fta-statement-on-bipartisan-hfsc-markup-of-ewa-legislation/?ref=consumernews.ai), president and CEO of the Financial Technology Association, an industry group that supported the bill. The group said EWA products typically have no mandatory fees, no credit checks, no interest, no recourse and no impact on credit scores.
## The state preemption fight
The most controversial part of the bill is not whether EWA companies should disclose fees. It is whether federal law should override stronger state rules.
The [Consumer Finance Monitor newsletter](https://www.consumerfinancemonitor.com/2026/07/07/house-financial-services-committee-advances-federal-earned-wage-access-bill-a-major-step-toward-national-regulation/?ref=consumernews.ai), published by Ballard Spahr, said the bill would limit the ability of states to apply inconsistent lending laws to qualifying EWA products. The newsletter described the committee vote as a “major step” toward a national regulatory structure for the industry.
That is exactly what industry supporters want. EWA providers now face a patchwork of state laws. Some states, including Missouri, Wisconsin, South Carolina, Arkansas, Utah, Kansas, Indiana and Nevada, have adopted frameworks that generally say qualifying EWA products are not loans if providers meet certain conditions. California has taken a more aggressive approach, treating EWA providers as engaging in lending activity for licensing and supervisory purposes. Connecticut has also concluded that many EWA products are small loans under state law.
Consumer advocates and state regulators say that patchwork is not necessarily a problem. They argue that states have long been the first line of defense against abusive small-dollar credit and should not be blocked from acting if wage-advance products become costly or deceptive.
The Conference of State Bank Supervisors [warned earlier this year](https://www.csbs.org/node/560156?ref=consumernews.ai) that the bill’s preemption language would broadly override state licensing, registration and disclosure laws in a market that is still developing. CSBS urged Congress to avoid what it called “sweeping and unnecessary preemption of state law.”
The National Consumer Law Center and other consumer and civil-rights groups have also [urged lawmakers](https://www.nclc.org/resources/letter-on-earned-wage-access-consumer-protections-act/?ref=consumernews.ai) to strengthen the bill, warning that it could protect a business model that “forces workers to pay to be paid.” ([NCLC](https://www.nclc.org/resources/letter-on-earned-wage-access-consumer-protections-act/?utm%5Fsource=chatgpt.com))
## A CFPB seesaw
The bill also lands in the middle of a sharp shift at the Consumer Financial Protection Bureau.
In July 2024, the CFPB proposed treating many paycheck-advance products as consumer credit under the Truth in Lending Act. The agency said the APR for a typical employer-partnered earned wage cash advance was 109.5%, largely because small fees can translate into high annualized costs when advances are repaid quickly.
But in December 2025, the CFPB reversed course. It issued an [advisory opinion](https://www.consumerfinance.gov/archive/newsroom/cfpb-proposes-interpretive-rule-to-ensure-workers-know-the-costs-and-fees-of-paycheck-advance-products/?ref=consumernews.ai) saying many earned wage access products are not credit under the Truth in Lending Act and withdrew the earlier Biden-era proposal. Reuters reported that the move fit with the Trump administration’s broader deregulatory approach and aligned with the industry’s argument that workers are accessing wages they have already earned, not borrowing new money.
That regulatory swing is one reason industry groups want Congress to act. A statute would be harder for a future administration to reverse than a CFPB advisory opinion.
## The consumer stakes
For workers living paycheck to paycheck, earned wage access can be useful. A $25 or $50 early wage transfer may prevent an overdraft fee, a late-payment penalty or a trip to a payday lender.
But frequent use can create a different problem: the next paycheck is smaller because part of it has already been taken. If the worker then needs another advance to cover the next gap, the product can become part of a recurring short-paycheck cycle.
The Center for Responsible Lending has [warned](https://www.responsiblelending.org/sites/default/files/nodes/files/research-publication/crl-ewa-brief-payingpaid-oct2024.pdf?ref=consumernews.ai) that paycheck-advance products can lead to repeat usage, high costs, overdraft fees, multiple simultaneous advances and data privacy concerns, especially when companies require access to bank-account information.
The central question is whether earned wage access is best understood as a payroll benefit or as a form of short-term credit. Industry groups prefer the payroll-benefit framing. Consumer advocates say the real-world impact can look much more like a loan, especially when consumers pay fees or tips to get money early and then repay automatically from their next paycheck.
## What consumers should watch
Consumers using earned wage access apps should look closely at three things: the fee, the speed and the cycle.
A free transfer that arrives in one to three business days is different from an instant transfer that costs a fee every time. A voluntary tip may still increase the cost of accessing pay. A $3 or $5 charge may sound small, but if it is paid repeatedly to bridge short gaps between paychecks, it can become expensive.
Workers should also ask whether the service can trigger bank overdraft fees, whether the provider can debit a bank account automatically, whether the employer receives information about usage, and whether the provider shares data with third parties.
The House bill is still far from becoming law. It must pass the full House, clear the Senate and be signed by the president. But the committee vote shows that Congress is now seriously considering whether wage-advance apps should be governed by one national rulebook.
For fintech companies, that could mean clarity. For consumers, it could mean safer access to earned pay — or fewer state-level protections if the federal rules prove too weak.
### Before using a paycheck-advance app, ask these questions
URL: https://www.consumernews.ai/before-using-a-paycheck-advance-app-ask-these-questions/
Last updated: 2026-07-08T11:57:56.000Z
### 1\. Is there a truly free option?
Some apps offer free transfers that take one to three business days, while charging for instant access.
Ask:
- Is the paid option preselected or promoted more heavily than the free option?
- Can I get the money with no fee at all?
- How long does the free transfer take?
- Is the paid option preselected or promoted more heavily than the free option?
### 2\. What is the total cost?
A $3 or $5 fee may sound small, but the cost can add up if you use the app every pay period — or several times in one pay period.
Check for:
- Instant-transfer fees
- Subscription fees
- “Tips” or voluntary payments
- ATM fees
- Debit-card fees
- Employer-program fees
### 3\. Is the “tip” really optional?
Some apps encourage users to leave tips even though the company is not providing a traditional service like restaurant work.
Ask:
- Can I choose $0?
- Is the tip amount prefilled?
- Will choosing $0 affect my ability to get an advance later?
- Does the app make me feel pressured to tip?
[Fintech, crypto expose consumers to new risksCongress moves toward national rules for paycheck-advance appsConsumer advocates warn the bill could weaken state protections and let costly wage-advance products avoid lending lawsConsumerNews.aiJames R. HoodBefore using a paycheck-advance app, ask these questionsEarned wage access apps can be useful in a pinch, but they can alsoConsumerNews.aiJames R. Hood](https://www.consumernews.ai/fintech-crypto-expose-consumers-to-new-risks/)
### 4\. How will the app get repaid?
Repayment usually comes from the next paycheck or directly from your bank account.
Ask:
- Will repayment be deducted from payroll or pulled from my bank account?
- What happens if my paycheck is smaller than expected?
- Can the app try more than once to withdraw the money?
- Could repayment trigger an overdraft or nonsufficient-funds fee?
### 5\. What happens if I cannot repay?
A safer earned wage access product should not use debt collectors, sue consumers, report missed payments to credit bureaus or charge late fees.
Ask:
- Are there late fees or penalties?
- Can the company send the account to collections?
- Can it report me to a credit bureau?
- Can it block me from future advances?
- Can it keep trying to debit my bank account?
### 6\. Will this make my next paycheck too small?
The biggest risk is not one advance. It is needing another advance because the next paycheck is short.
Before using the app, calculate:j
- How much will be missing from my next paycheck?
- Will I still be able to pay rent, utilities, food and transportation?
- Am I using this once, or am I relying on it every pay period?
### 7\. What data does the app collect?
Some paycheck-advance apps connect to payroll systems, bank accounts or debit cards.
Ask:
- What payroll or bank data does the company collect?
- Does it sell or share data with advertisers, lenders or other third parties?
- Can I delete my data if I stop using the app?
- Does my employer see whether I use the service?
### Bottom line
A paycheck-advance app may be cheaper than a payday loan or overdraft fee, but it is not free money. Use it only when the cost is clear, the repayment will not cause another shortfall, and the app offers a no-fee option that works for your timeline.
### Handy home service workers are getting $2.7 million in refunds
URL: https://www.consumernews.ai/handy-home-service-workers-are-getting-2-7-million-in-refunds/
Last updated: 2026-07-07T20:20:02.000Z
Thousands of workers who performed jobs through the Handy home-services platform are receiving refund checks after federal and New York state regulators accused the company of misleading workers about how much they could earn while concealing fees that reduced their pay.
The Federal Trade Commission said it is distributing more than $2.7 million to 62,893 eligible consumers who were charged fees and fines while working through Handy, which now operates as Angi Services.
The average payment is about $43, although individual amounts will vary depending on the fees and penalties each worker paid.
The payments stem from a January 2025 enforcement action filed jointly by the FTC and the New York Attorney General. Regulators alleged that Handy lured workers with advertisements promising attractive earnings that "didn't reflect the reality for the overwhelming majority of workers" using the platform.
According to the complaint, the company also failed to adequately disclose a variety of fees and financial penalties that reduced workers' take-home pay. Those charges included cancellation fees and other deductions that allegedly resulted in millions of dollars being withheld from workers' wages.
### Alleged "gig work" deception
The case highlights growing scrutiny of gig-economy companies that recruit workers with optimistic earnings estimates while imposing fees, penalties or algorithmic practices that reduce actual income.
Federal and state regulators have increasingly challenged companies that advertise "up to" earnings without adequately disclosing how few workers actually achieve those amounts or what expenses workers must absorb.
The FTC alleged that Handy's marketing created unrealistic expectations for prospective workers while failing to clearly explain how fees and fines could significantly reduce their earnings.
Handy agreed to resolve the allegations without admitting wrongdoing.
### Checks are being mailed now
The FTC said refund checks are being mailed to eligible workers and should be cashed within 90 days.
Consumers with questions about their payments can contact the FTC's refund administrator, Simpluris Inc., at 833-647-9063 or consult the FTC's online refund information.
### Fraud warning
The FTC emphasized that recipients do not need to pay any fee or provide bank account information to receive their money.
The agency warned consumers to be suspicious of anyone claiming they must pay to receive an FTC refund. Legitimate FTC redress payments never require advance payment, gift cards, wire transfers or disclosure of financial account credentials.
## What this means
The Handy case is another reminder that workers considering gig-economy jobs should look beyond headline earnings claims and carefully review the platform's fee schedule, cancellation policies, chargeback rules and other deductions that can substantially reduce actual pay.
Consumer advocates have long argued that advertised earnings should reflect what typical workers actually earn after required fees and expenses—not best-case scenarios achieved by only a small percentage of workers.
### Gig worker checklist
Before signing up with a gig platform:
- Compare advertised earnings with independent worker reviews.
- Read the fee schedule carefully before accepting jobs.
- Look for cancellation, no-show and customer-dispute penalties.
- Keep detailed records of every completed job and payment.
- Save screenshots of earnings advertisements in case they later prove misleading.
- Report suspected deceptive earnings claims to the FTC and your state attorney general.
---
### National Safety Recalls - July 7
URL: https://www.consumernews.ai/national-safety-recalls-july-7/
Last updated: 2026-07-07T20:08:15.000Z
##
### Top hazards
**GreenWise frozen organic blueberries — E. coli O145**
FDA posted a recall for **GreenWise Organic IQF Frozen Blueberries, 10 oz**, lot **60401**, best by **Feb. 9, 2028**, sold at Publix in **AL, FL, GA, KY, NC, SC, TN and VA**. FDA says **12 illnesses** have been linked to the product. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/frutas-y-hortalizas-del-sur-sa-initiates-recall-frozen-greenwise-organic-iqf-blueberries-due?ref=consumernews.ai))
**Ford recalls 110,626 Mustangs and Mustang Mach-E vehicles**
NHTSA says Ford is recalling vehicles for two defects: windshield wiper/washer failures that can reduce visibility, and rear differential pinion shaft defects that can lead to loss of drive power or unintended movement. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-over-110000-us-vehicles-over-wiper-pinion-shaft-issues-nhtsa-says-2026-07-07/?utm%5Fsource=chatgpt.com))
**Cuisinart grill brushes — 1.7 million units**
Wire bristles can detach, stick to food and cause serious internal injuries if swallowed. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### CPSC consumer products
**Rowenta cordless vacuums** — Lithium-ion batteries can overheat and ignite; about **3,660** units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Vevor baby loungers** — Infant sleep-product violations; fall and entrapment hazards that can cause death or serious injury. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Winco Unity fireworks** — About **87,120** recalled because fireworks can tip over, creating explosion and burn hazards; injuries reported. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**CVS Health medicated hemorrhoidal wipes** — About **75,315** recalled because lidocaine wipes are not child-resistant, creating a child-poisoning risk. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Junpower CR2032 lithium coin batteries** — About **67,000** recalled for child-ingestion hazards and Reese’s Law violations. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### FDA food/drug safety
**Ola-Ola Pounded Yam** — New FDA-posted recall for undeclared milk/sodium caseinate. Distributed in **CA, GA, IL, NJ, NY and TX**; affected expiration dates run **November 2028 through May 2029**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/faysu-inc-dba-yusol-international-foods-recalls-ola-ola-pounded-yam-due-undeclared-milk-allergen?ref=consumernews.ai))
**GreenWise blueberries** remain the highest-priority FDA item because of the E. coli outbreak risk and confirmed illnesses. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/frutas-y-hortalizas-del-sur-sa-initiates-recall-frozen-greenwise-organic-iqf-blueberries-due?ref=consumernews.ai))
### USDA FSIS
No newer major FSIS recall surfaced in this check. The latest notable FSIS item remains **GoodTimes ready-to-eat beef jerky**, under public health alert for misbranding and undeclared allergen concerns. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-a-ready-eat-beef-jerky-product-due-misbranding-and?utm%5Fsource=chatgpt.com))
### Insurers are keeping drug copays that patients thought were theirs
URL: https://www.consumernews.ai/insurers-are-keeping-drug-copays-that-patients-thought-were-theirs/
Last updated: 2026-07-07T18:16:52.000Z
For years, Larry Gruber thought he had found a way to afford the drug that keeps his psoriatic arthritis under control.
The Florida fitness coach uses Enbrel, an injectable medication that costs more than $7,700 a month. Each year, drugmaker Amgen provided a coupon card worth thousands of dollars.
In the past, that assistance counted toward Gruber’s deductible and out-of-pocket maximum, allowing him to meet his annual cost-sharing limit early in the year and then get the medication for $0 for the rest of the year, [KFF Health News](https://kffhealthnews.org/health-care-costs/copay-accumulator-adjustment-programs-patient-assistance-insurance-pharma-drugs/?ref=consumernews.ai) reported.
This year, his new insurer, Oscar HMO of Florida, treated the coupon differently. Instead of counting the Amgen payment toward Gruber’s cost-sharing, the insurer kept the coupon value and required him to spend his own money to meet the plan’s $10,600 out-of-pocket maximum, according to the KFF Health News report.
“The real insult here is that they’re taking the money that’s intended to help you,” Gruber said.
[How to spot a copay accumulator before choosing a planA copay card can save you money at the pharmacy check-out but can cost you down the road.ConsumerNews.aiThe Editors](https://www.consumernews.ai/how-to-spot-a-copay-accumulator-before-choosing-a-plan/)
## The hidden trap in copay cards
The practice is known as a **copay accumulator program**.
Here’s how it works: A drug company offers a coupon or copay card to help an insured patient afford an expensive brand-name drug. The card may reduce what the patient pays at the pharmacy counter. But under a copay accumulator, the insurer or pharmacy benefit manager does not count that outside assistance toward the patient’s deductible or annual out-of-pocket limit.
That can leave patients exposed when the coupon runs out. The insurer has received the manufacturer’s money, but the patient may still owe thousands of dollars before the plan begins paying in full.
Insurers say the programs help control drug costs and premiums. Oscar Health told KFF Health News that it uses copay accumulators to manage rising medical and prescription costs and “to keep monthly premiums as low as possible.” The insurance industry also argues that manufacturer coupons can encourage use of higher-priced brand-name drugs rather than cheaper alternatives.
Drug companies and patient advocates say the programs punish people who need expensive medications, often for serious chronic illnesses. They also argue that insurers already have tools to control costs, including formularies, prior authorization and step therapy.
## Patients can be caught by surprise
The problem for consumers is that copay accumulator rules may be buried deep in insurance documents.
In Gruber’s case, Florida’s insurance consumer advocate told him the practice is legal in the state and that Oscar had disclosed it. But the disclosure appeared on page 127 of a 168-page evidence-of-coverage document, according to KFF Health News.
Gruber said he chose his plan through [HealthCare.gov](https://www.healthcare.gov/?ref=consumernews.ai) because it covered Enbrel. He was used to picking a high-deductible plan with a lower premium because he expected the manufacturer’s assistance to help him meet the deductible quickly. His premium was about $315 a month after subsidies, he said.
But after Oscar later corrected what it said was an incorrectly applied deductible amount, Gruber was told he would have to pay thousands of dollars for his medication. He began rationing injections, taking them every other week instead of weekly.
## A growing issue in ACA plans
Copay accumulator programs are most likely to affect patients who use high-cost specialty drugs for conditions such as autoimmune disorders, multiple sclerosis, diabetes, HIV and cancer.
For 2026, nearly 40% of Affordable Care Act marketplace plans use such a program, according to a review by [The AIDS Institute](https://www.theaidsinstitute.org/?ref=consumernews.ai). In Florida, 10 of the 16 insurers selling marketplace plans use copay accumulator programs, the review found.
The issue does not apply to every kind of coverage. Medicare and Medicaid generally prohibit drugmaker copay assistance because of federal anti-kickback rules. High-deductible plans paired with health savings accounts also face IRS limits on counting such help. But individual and commercial group plans can use accumulator programs.
## States are acting, but federal rules remain unsettled
States have increasingly stepped in. Twenty-six states, Washington, D.C., and Puerto Rico have [adopted laws](https://www.theaidsinstitute.org/?ref=consumernews.ai) banning or restricting copay accumulators. Some restrictions apply broadly; others prohibit the practice when there is no generic equivalent. Colorado also restricts accumulator use when there is no biosimilar.
Federal policy is murkier.
A federal court in 2023 struck down a Trump-era rule that had allowed insurers to use copay accumulator programs more broadly. After that ruling, federal agencies reverted to an earlier rule that restricts use of the programs to brand-name drugs with a medically appropriate generic equivalent. But federal officials have not been enforcing the issue while they consider future rulemaking, leaving insurers and patients in limbo.
A bipartisan bill known as the [HELP Copays Act](https://www.govtrack.us/congress/bills/119/s864?ref=consumernews.ai) would require financial assistance to count toward deductibles and out-of-pocket costs in federally regulated plans, including much employer-sponsored coverage. Patient groups support the bill, but it has not gained enough momentum in Congress to become law.
## What consumers can do
> Consumers who rely on expensive prescriptions should not assume that a copay card will count toward their deductible or out-of-pocket maximum.
Before choosing a plan, patients should ask the insurer directly whether it uses a copay accumulator, copay maximizer or any policy that excludes third-party assistance from cost-sharing totals. They should also check the plan’s evidence-of-coverage document and call the state insurance department or consumer assistance office if the language is unclear.
Patients should ask whether the rule applies to their specific drug, whether there is a generic or biosimilar alternative, and whether the plan’s online cost estimator reflects accumulator rules. If the answer is not clear, get the answer in writing.
For consumers already enrolled, the warning signs include a pharmacy bill that suddenly rises after a coupon has been used, a deductible balance that does not fall even though a manufacturer card paid part of the cost, or a notice saying a previously credited amount has been reversed.
The broader problem is that patients are stuck between two powerful industries. Drugmakers set high prices and use coupons to soften the immediate hit. Insurers and pharmacy benefit managers say those coupons distort the market and drive up costs. But patients who need the medication can end up paying twice: first through premiums, and then again when the assistance they thought would protect them does not count.
For Gruber, the result is not an abstract policy fight. It has meant dipping into savings, skipping a vacation and worrying that the same bill could return every year.
“If this happens every year,” he told KFF Health News, “it would be financially devastating.”
### How to spot a copay accumulator before choosing a plan
URL: https://www.consumernews.ai/how-to-spot-a-copay-accumulator-before-choosing-a-plan/
Last updated: 2026-07-07T18:19:47.000Z
##
Patients who use expensive prescription drugs should check for copay accumulator rules before enrolling in a health plan. These programs can make a drugmaker’s copay card look helpful at the pharmacy counter while preventing that assistance from counting toward the deductible or annual out-of-pocket maximum.
### What to ask the insurer
Before enrolling, call the insurer and ask these questions:
- Do you use a copay accumulator, copay maximizer or coupon adjustment program?
- Will manufacturer copay assistance count toward my deductible?
- Will manufacturer copay assistance count toward my annual out-of-pocket maximum?
- Does this rule apply to my specific drug?
- Does it apply only when a generic or biosimilar is available, or does it apply even when there is no cheaper alternative?
- Can you show me where this rule appears in the plan documents?
- Can you send me the answer in writing?
[Insurers are keeping drug copays that patients thought were theirsSome insurers use “copay accumulator” programs to take assistance without counting it toward patients’ deductibles or out-of-pocket maximums.ConsumerNews.aiThe Editors](https://www.consumernews.ai/insurers-are-keeping-drug-copays-that-patients-thought-were-theirs/)
### Search terms to look for in plan documents
Accumulator rules may not be easy to find. In the plan’s evidence of coverage, drug formulary, pharmacy benefit summary or certificate of coverage, search for:
- copay accumulator
- accumulator adjustment
- coupon adjustment
- third-party assistance
- manufacturer assistance
- manufacturer coupon
- copay card
- out-of-pocket assistance
- cost-sharing assistance
- non-counting assistance
- maximizer
- specialty drug program
### Warning signs
A plan may have an accumulator policy if the documents say manufacturer assistance:
- “does not count toward” the deductible;
- “does not apply to” the out-of-pocket maximum;
- “may be excluded from” cost-sharing totals;
- “will not be credited” to the member’s cost-sharing obligation;
- or “may be adjusted” after the pharmacy claim is processed.
### Red flags after enrollment
- Consumers should check their online insurance account after each prescription fill. A problem may be developing if:
- The drug company coupon paid hundreds or thousands of dollars, but the deductible balance did not change.
- The insurer later reverses a deductible credit that had appeared earlier.
- The pharmacy says the coupon has run out, but the insurer still says the patient has not met the deductible.
- A refill that cost little or nothing early in the year suddenly costs thousands of dollars.
### What to do if you are caught by surprise
- Ask the insurer for a written explanation of how the claim was processed.
- Ask the pharmacy benefit manager whether a copay accumulator or maximizer was applied.
- Call the drugmaker’s patient assistance program and ask whether there are other forms of help.
- File a complaint with your state insurance department or marketplace consumer assistance program.
- Ask your doctor whether there is a covered alternative, generic or biosimilar — but do not switch medications without medical advice.
- During the next open enrollment period, compare plans specifically for how they treat copay cards, not just whether the drug appears on the formulary.
### Oil slides again but gas and jet fuel don't
URL: https://www.consumernews.ai/oil-slides-again-but-gas-and-jet-fuel-dont/
Last updated: 2026-07-07T12:57:20.000Z
American consumers woke Tuesday to a marketplace bending in several directions at once. Walmart said it will [drop prices](https://www.consumernews.ai/walmart-trims-prices-as-trump-seizes-credit/) on thousands of items, including ground beef, cherries and a 24-pack of Coca-Cola, prompting President Trump to claim credit as inflation stays elevated.
Federal Reserve Governor Christopher Waller told an audience in Rome that the risks facing the central bank have "completely flipped," making a rate cut this year all but impossible and a hike more likely.
Global oil prices settled near their pre-Iran-war levels as Saudi Arabia unleashed the biggest official selling-price cut in more than two decades and the United Arab Emirates pushed exports toward record highs.
Jet-fuel costs have plunged 40 percent since April yet airlines have kept fares stubbornly high, betting travelers will keep paying.
### Oil holds near pre-war levels as Saudis slash prices
Global oil markets settled Tuesday near where they stood before the U.S.-backed war with Iran began in late February, and consumers should feel the difference at the pump within weeks. Brent crude edged up 28 cents to $72.29 a barrel and West Texas Intermediate rose 29 cents to $68.84 in early Asian trading, [Reuters reported](https://www.reuters.com/business/energy/oil-prices-gain-focus-shifts-supply-recovery-demand-2026-07-07/?ref=consumernews.ai) — well below the wartime peak of $126 hit in late April.
The immediate catalyst is a supply glut, not weak demand. OPEC and its allies agreed Sunday to raise output targets by another 188,000 barrels a day in August, the third straight monthly increase, [Reuters said](https://www.reuters.com/business/energy/oil-prices-gain-focus-shifts-supply-recovery-demand-2026-07-07/?ref=consumernews.ai). Saudi Aramco set its August official selling price for Arab Light crude sold to Asia at $1.50 a barrel below the Oman/Dubai benchmark — an $11 cut from July and the deepest month-on-month reduction in more than 20 years, per the [Reuters commodities dispatch](https://www.reuters.com/commentary/reuters-open-interest/opec-is-likely-loser-gulfs-post-war-race-market-share-2026-07-07/?ref=consumernews.ai). The United Arab Emirates, which quit OPEC on May 1, saw June exports climb to 4.5 million barrels a day, with July shipments set to jump to 6.4 million bpd, less than 1 million bpd below pre-war levels, according to Kpler data cited by [Reuters](https://www.reuters.com/commentary/reuters-open-interest/opec-is-likely-loser-gulfs-post-war-race-market-share-2026-07-07/?ref=consumernews.ai).
There are two catches for U.S. drivers. First, retailers do not pass savings through immediately: the gap between wholesale gasoline and pump prices has widened from roughly 20 cents to 40 cents a gallon over the past decade, [The New York Times reported](https://www.nytimes.com/2026/07/06/business/economy/gas-station-prices.html?ref=consumernews.ai). Second, the Strategic Petroleum Reserve fell by 6.2 million barrels in the week ending July 3, to 319.5 million barrels — the lowest level since April 1983, according to Energy Department data cited by [Reuters](https://www.reuters.com/markets/commodities/?ref=consumernews.ai).
Any renewed Middle East disruption would find the SPR badly depleted. "The market has priced in a lot of the positive supply news, so the next leg in oil prices will depend on whether physical reality matches the optimistic headlines," Tim Waterer of KCM Trade told [Reuters](https://www.reuters.com/business/energy/oil-prices-gain-focus-shifts-supply-recovery-demand-2026-07-07/?ref=consumernews.ai).
### Jet fuel plunges, but airfares refuse to follow
Airlines are getting a big break on their single largest variable cost, yet the savings are not making it to the ticket counter. Jet-fuel prices doubled within weeks of the Iran war's outbreak in February and have since fallen 40 percent from their April peak, [The Wall Street Journal reported](https://www.wsj.com/business/airlines/jet-fuel-prices-have-plunged-but-arent-resulting-in-much-lower-fares-070df439?ref=consumernews.ai). Yet carriers are not slashing fares or restoring the flights and routes they trimmed when oil surged.
The Journal said carriers are betting travelers will keep paying wartime prices even as fuel costs normalize — and so far the data support them. [The Associated Press](https://apnews.com/article/airlines-premium-passengers-economy-flights-b1ac3b9c05ca942dec213679ab21a62b?ref=consumernews.ai) reported that Delta's next-generation Airbus A350-1000, arriving in 2027, will devote nearly half of its cabin to premium seating, and American Airlines plans to expand premium cabins by 50 percent by the end of the decade. Premium demand has held up while coach demand has softened, giving airlines little incentive to cut basic-economy fares.
The holiday weekend added its own turbulence. A ground stop caused by a BOSfuel supply problem at Boston Logan on Sunday night triggered 83 delays and 61 cancellations by Monday morning, [CBS Boston reported](https://www.cbsnews.com/boston/news/logan-airport-ground-stop-boston-fuel-issue/?ref=consumernews.ai). And a federal judge on Monday allowed a class-action lawsuit against United Airlines to proceed over so-called window seats that lack windows, [Reuters said](https://www.reuters.com/legal/government/united-airlines-must-face-lawsuit-over-window-seats-that-lack-windows-2026-07-06/?ref=consumernews.ai); Delta is fighting a similar case in Brooklyn federal court. For summer travelers, the takeaway is that cheaper oil will show up at the gas pump before it shows up on a boarding pass.
### Walmart trims prices as Trump seizes credit
URL: https://www.consumernews.ai/walmart-trims-prices-as-trump-seizes-credit/
Last updated: 2026-07-07T12:50:17.000Z
Walmart, the country's largest grocer, said Monday it will roll back prices on thousands of items to help shoppers absorb what has become a persistent inflation squeeze. According to [The Wall Street Journal](https://www.wsj.com/business/retail/walmart-lowers-prices-on-thousands-of-items-including-beef-and-coca-cola-1f355f74?ref=consumernews.ai), the cuts include a 12 percent reduction on ground beef, a 50 percent slash on fresh cherries and a one-third discount on a 24-pack of Coca-Cola, which will now sell for $9.97\. Household goods, toys and apparel are also on the list.
President Trump used a Truth Social post to link the move to his administration's push to time relief with the country's 250th anniversary. Trump said Walmart will drop the price of a pound of ground beef by "almost" 15 percent, calling the retailer "a truly patriotic Company who loves the U.S.A.," [Reuters reported](https://www.reuters.com/business/trump-says-walmart-will-lower-prices-many-products-2026-07-06/?ref=consumernews.ai).
But [The Associated Press noted](https://apnews.com/article/trump-walmart-inflation-beef-prices-ffc6faf84b68a0a5c5389217b77021ae?ref=consumernews.ai) that Walmart's own statement omitted any mention of the White House, and [The New York Times](https://www.nytimes.com/2026/07/06/us/politics/walmart-price-cuts-beef-trump.html?ref=consumernews.ai) reported the chain framed the cuts as a routine competitive move by the country's dominant grocer.
The context matters. Inflation stands at 4.2 percent, nearly double where it began the year and the highest reading in three years, [CBS News reported](https://www.cbsnews.com/news/mortgage-points-worth-buying-what-experts-think/?ref=consumernews.ai). Ground beef, in particular, has jumped double digits since January on drought-thinned cattle herds and tariff-driven imported beef costs.
Whether the Walmart rollback holds through the summer or evaporates when back-to-school shopping arrives will do more to shape household budgets than any Fourth of July slogan.
##
### Litigators jockey for advantage as MDL 3094, 3163 GLP-1 court cases maneuver through pretrial
URL: https://www.consumernews.ai/litigators-jockey-for-advantage-as-mdl-3094-3163-glp-1-court-cases-maneuver-through-pretrial/
Last updated: 2026-07-06T20:02:45.000Z
Attorneys on both sides of [MDL 3094](https://www.consumernews.ai/glp-1-drug-lawsuits-swell-past-3-600-cases-as-courts-tighten-proof-standards/) and MDL 3163 are maneuvering and jockeying for position as multi-district litigation against the makers of [GLP-1 drugs](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/) including Ozempic, Wegovy, Rybelsus, Trulicity and Mounjaro edges closer to actual testimony.
The cases break down into two categories: those claiming gastrointestinal injury and those claiming damages to vision among users of the blockbuster weight-loss drugs that were originally developed to fight diabetes.
The manufacturers, including Novo Nordisk and Eli Lilly deny all the allegations and are expected to challenge the underlying scientific basis of the charges while also impugning the reliability of the expert witnesses called by each side.
Multi-district litigation (MDL) is similar to class actions in that large numbers of plaintiffs are wrapped into a single proceeding except that in class actions, all of the plaintiffs are consolidated into a single case. In an MDL, cases from various court districts are heard by a single judge during pretrial sessions but remain separate cases.
### Gastrointestinal and vision issues
In the GLP-1 cases, MDL 3094, consolidated in September 2023, focuses on gastrointestinal injuries while another, MDL 3163, deals with vision loss allegedly caused by an interruption of the blood supply to the optic nerve. Both are being handled by Judge Karen S. Marston in the Eastern District of Pennsylvania.
There have been no rulings on the merits of the allegations yet, as Judge Marston wades through a thicket of motions, pleadings and other tactics used by litigators to eke out a strategic led up. Among her actions so far:
On April 30, Judge Marston set deadlines for expert challenges and summary-judgment motions on “cross-cutting” issues involving warning adequacy, federal preemption and general causation.
Novo Nordisk filed a May 19 “roadmap” brief seeking to knock out key plaintiff causation theories. Novo says it filed five motions targeting plaintiff experts on ileus/intestinal obstruction, persistent gastroparesis, gallbladder disorders, “class effect” opinions, and animal-study opinions. It also seeks summary judgment based on FDA-approved labeling and alleged lack of admissible general-causation proof.
Eli Lilly also filed a May 19 roadmap brief aimed at expert testimony and summary judgment. Lilly’s filing identifies motions to exclude opinions on gastroparesis, warning adequacy/preemption, ileus and obstruction, gallbladder claims, class-effect opinions, and animal studies. Lilly also says it is seeking summary judgment on gastroparesis, ileus/obstruction, gallbladder and other gastrointestinal or miscellaneous injury claims.
### The allegations
As of May 20, the FDA [has received](https://www.consumernotice.org/legal/ozempic-lawsuits/?ref=consumernews.ai) more than 207,000 adverse event reports related to Ozempic, Wegovy, Zepbound and Mounjaro, among the most popular of the GLP-1 medications. Intestinal complications made up the bulk of the initial complaints, with allegations of vision loss developing later.
The earliest Ozempic lawsuits focused on stomach paralysis (gastroparesis) and intestinal blockages (ileus). Patients often report severe nausea, vomiting that can last for weeks, abdominal pain and significant weight loss that they did not expect.
Vision loss (NAION) is the second main category. This rare condition can cause sudden and typically permanent vision loss in one eye. Research has suggested a link between semaglutide drugs and a higher risk of NAION.
### Current status
The case now appears to be at a major pretrial inflection point. The important next event is not a trial but the court’s handling of expert challenges and summary-judgment motions, expected to occur at [several sessions](https://www.paed.uscourts.gov/sites/paed/files/mdl-orders/24md3094%5Fsched-ord%5F4.pdf?ref=consumernews.ai) over the next several months.
Those rulings could narrow the MDL substantially, especially if Judge Marston excludes key causation experts or accepts defendants’ warning/preemption arguments.
### Is the Associated Press for sale?
URL: https://www.consumernews.ai/is-the-associated-press-for-sale/
Last updated: 2026-08-08T12:52:17.000Z
As the nation celebrated its 250th anniversary, there was more than bad weather and divisive politics weighing heavily on the minds of newspeople. An American icon, The 180-year-old Associated Press, is in what many fear is failing health.
"The AP should just go ahead and go out of business instead of stretching it out," one disgruntled retired journalist said as she read about the news service's latest round of employee layoffs.
Founded in 1846 by five New York newspapers that wanted to save money, the AP is under real financial pressure but its executives insist it is not in danger of failing or being sold.
There's perhaps a touch of irony in its current predicament. Founded by newspapers trying to save a few dollars on the cost of getting news from Europe, the AP has now been largely abandoned by the newspapers who were its primary source of revenue for nearly two centuries.
Critics say the AP failed to diversify its revenue base when it had the resources to do so. That may be true but the stark fact is that it didn't and now AP’s old newspaper business has shrunk sharply as newspapers continue their fixation on saving money, this time at AP's expense.
In 2024, Gannett and McClatchy — more than 230 outlets combined — said they would stop using AP content. AP itself said U.S. newspaper fees were then only “just over 10%” of annual income, down from a time when newspapers supplied virtually all of AP’s income.
That shrinkage has continued. [AP reported](https://apnews.com/article/news-industry-ap-layoffs-3906d6f2c16621746515adc51a04b829?ref=consumernews.ai) in May that its revenue from newspapers had fallen 25% over four years, and that Gannett and McClatchy had lived up to their promise and dropped AP later in 2024\. As a result, it has laid off and bought out scores of U.S.-based journalists in recent years.
### "A position of strength"
But AP says its business is not collapsing. AP executives described the cuts as a restructuring from “a position of strength,” not a rescue move. They said AP customers are now dominated by broadcast, digital and technology companies, and that revenue from technology companies had grown 200% over the same four-year period.
In what it describes as fine-tuning its product line-up, AP is actively pivoting away from text-wire newspaper economics and print-ready stories. In April, AP said it was offering more buyouts as part of a move away from its newspaper-focused model. AP is emphasizing visuals, video, elections data, workflow tools, AI/data products, direct consumer traffic, reader donations and philanthropy to try to fill the gaps.
### "Oldest and largest" no more
AP used to describe itself as the "oldest and largest" global news service. Now it admits to being the oldest but is mum on the question of size.
Its scale is still enormous, however. AP says it has customers in 126 countries, journalists in all 50 states, 220 locations in 90 countries, and produces about 5,000 pieces of journalism daily, more than 80% of it visual. It also [reported](https://www.ap.org/about/annual-report/2025-letter-from-the-chair-and-ceo/2025-ap-by-the-numbers/?ref=consumernews.ai) 2.5 billion APNews.com app page views in 2025 and reader donations up 447%.
Ex-AP staffers greet such claims with skepticism. A former Newark staffer recalled that the AP once had nearly 30 reporters covering New Jersey and now has only a handful. That is a pattern that's repeated around the country, where AP once provided solid coverage of state government and local coverage in major cities.
These days, citizens curious about local news must rely largely on television and small online newsletters, as newspapers slice more deeply into their coverage than anyone had thought possible just a few years ago.
Former AP executives answer the claims that they failed to prepare for the current media downturn by noting that their newspaper members consistently balked at paying more than the bare minimum for AP services, keeping the not-for-profit cooperative lacking the funds for major marketing development efforts and technological research.
Gannett, on the other hand, was hardly lacking in resources. It was extremely profitable by newspaper-industry standards and had unusually fat margins for a media company. In the early-to-mid 2000s, before the full digital advertising collapse, it was a cash machine: in 2005, Gannett reported $7.6 billion in revenue, $2.05 billion in operating income, and $1.24 billion in net income. That is roughly a 27% operating margin and a 16% net margin, very strong for a publicly traded operating company.
Although it had diversified into broadcast outlets, Gannett also failed to see and prepare for the scorched-earth destruction of the local advertising market that it had profited so handsomely from for so long and merged with Gatehouse Media in 2019\.
"There's no reason two guys in a garage in California had to invent Google. AP had the talent and the expertise but top management was largely apathetic to internal efforts to get in front of the digital revolution and there was no member pressure to do so," said one disgruntled former executive.
### No sale likely ... for now
As for journalists' fears that the venerable news service – known for its fact-based, nonpartisan coverage – is in danger of being sold to another organization that might bring a more ideological tone to its coverage, there's not much evidence to support it.
There are no credible reports that AP is up for sale or that [CNN/CBS/Paramount](https://apnews.com/article/warner-discovery-paramount-skydance-cbs-cnn-26252771aa58c8b6b2243809bad13e77?ref=consumernews.ai) is trying to acquire it, as one widely circulated rumor has it. The current CNN/CBS chatter is about Paramount Skydance’s pursuit of Warner Bros. Discovery, which would put CBS News and CNN under the same corporate roof if completed; that pending transaction has nothing to do with AP.
Structurally, an AP acquisition would be complicated. AP is an independent, not-for-profit news cooperative, not a normal public media company with shareholders looking for an exit. Its revenue is mainly from licensing journalism to news organizations and other customers, and AP says it reinvests any earnings into journalism.
**Bottom line:** AP has been hurt badly by the collapse of local newspapers, and its staff cuts show the pressure is serious. But the available evidence points more to a painful business-model pivot than to a distressed-sale situation. A CNN/CBS/Paramount purchase looks like idle speculation at this point, not a reported deal track.
\--
*The author is a former deputy director of AP Broadcast Services.*
### Summer of recalls: Ford, Honda, Stellantis and infant formula
URL: https://www.consumernews.ai/summer-of-recalls-ford-honda-stellantis-and-infant-formula/
Last updated: 2026-07-06T11:52:33.000Z
A punishing string of consumer safety recalls has stretched from Detroit to the baby aisle over the past month.
Ford has announced five separate campaigns since June 4 covering more than 3 million vehicles, including:
- 741,195 SUVs for a park-system defect that can allow rollaway (announced June 30);
- 1.4 million F-150 pickups for a gearshift cable that can pop out of park;
- roughly 420,000 vehicles for seat belts that may not restrain in a crash;
- 250,000 Focus sedans for an engine-stall risk; and
- 179,000 vehicles for a faulty front-seat frame weld.
Honda followed on June 10 with a recall of 880,514 Pilot, Ridgeline, Passport and Acura MDX SUVs from the 2014-2023 model years for a rear-suspension arm that can fracture, per [NHTSA campaign 26V367000](https://www.cbsnews.com/news/honda-recall-880000-suvs-rear-suspension-2026/?ref=consumernews.ai).
Stellantis on June 9 recalled 1.08 million Jeep Wrangler and Gladiator plug-in hybrids for a battery pack that can ignite while parked and unplugged; [Reuters](https://www.reuters.com/business/autos-transportation/stellantis-jeep-wrangler-gladiator-fire-recall-2026-06-09/?ref=consumernews.ai) said the automaker has confirmed 14 fires and is telling owners to park outside until repairs are complete.
The recall wave extends well beyond the driveway.
Target pulled all lots of its Up & Up sensitive-skin baby wipes on June 5 after routine testing found Pluralibacter gergoviae contamination, [CBS reported](https://www.cbsnews.com/news/target-baby-wipes-recall-pluralibacter-2026/?ref=consumernews.ai). And the ByHeart infant formula botulism outbreak, first flagged in April, has now sickened 51 babies across 19 states, the Centers for Disease Control and Prevention told [NBC News](https://www.nbcnews.com/health/health-news/byheart-infant-formula-botulism-outbreak-2026-rcna353110?ref=consumernews.ai); the Food and Drug Administration on Thursday expanded the recall to all lots produced at the company's Reading, Pennsylvania, plant between January and May.
### Current recall campaigns
**Cuisinart grill brushes — 1.72 million units**
Wire bristles can detach, stick to food and cause serious internal injuries if swallowed. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Recalls-Over-One-Million-Cuisinart-Grill-Brushes-Due-to-Ingestion-Hazard?utm%5Fsource=chatgpt.com))
**Winco fireworks — explosion and burn hazards**
Unity 7 Shot aerial cake fireworks can tip over; Roman Candles 8 Shot devices can blow out the side of the tube. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Winco-Fireworks-International-Recalls-Unity-7-Shot-200-Gram-Aerial-Cake-Fireworks-Due-to-Risk-of-Serious-Injury-from-Explosion-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
**AMASKY nursing pillows / Vevor baby loungers**
Infant products sold online recalled for suffocation, entrapment and fall hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/AMASKY-Nursing-Pillows-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Suffocation-Violate-Mandatory-Standards-for-Nursing-Pillows-and-Infant-Support-Cushions-Sold-on-Amazon-by-Pretty-Life?utm%5Fsource=chatgpt.com))
### Auto
**Ford rollaway recall — 741,195 vehicles**
Ford is recalling Expedition, Navigator, Explorer, Aviator and F-150 vehicles because a transmission defect can damage the park system and allow rollaway. Owners should use the parking brake. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-over-741000-us-vehicles-due-park-system-issue-nhtsa-says-2026-06-30/?utm%5Fsource=chatgpt.com))
### Other CPSC recalls
**Cooper Lighting Metalux LED fixtures** — About 42,000 recalled; LED boards can overheat and cause fires. CPSC says there have been nine fire reports. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Cooper-Lighting-Recalls-Metalux-Optimized-High-Bay-LED-Light-Fixtures-Due-to-Fire-Hazard?ref=consumernews.ai))
**Rowenta cordless vacuums** — Lithium-ion battery can overheat and ignite; about 3,660 units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Rowenta-Recalls-Cordless-Vacuum-Cleaners-Due-to-Risk-of-Serious-Injury-from-fire-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
### FDA
**Fusia Kimchi & Tofu Kimbap** — Undeclared fish/tuna.
**PEDIGREE wet dog food** — Possible foreign plastic contamination.
**Eunha halibut/flounder sashimi** — Undeclared wheat, soy and sesame.
**Oribe Serene Scalp Densifying Shampoo** — Possible *Pluralibacter gergoviae* contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
### USDA FSIS
**GoodTimes beef jerky** — Public health alert for misbranding and undeclared allergen concerns. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-a-ready-eat-beef-jerky-product-due-misbranding-and?utm%5Fsource=chatgpt.com))
### Affordable Care Act enrollment falls by 3 million as premiums double
URL: https://www.consumernews.ai/affordable-care-act-enrollment-falls-by-3-million-as-premiums-double/
Last updated: 2026-07-06T11:34:39.000Z
##
The unwinding of enhanced Affordable Care Act subsidies is now showing up in the numbers. ACA marketplace enrollment fell to 19.2 million in February 2026 from 22.1 million at the end of 2025 — a drop of roughly 3 million people, or about 13 percent, [CNBC reported](https://www.cnbc.com/2026/07/03/aca-enrollment-enhanced-subsidies-lapse-fraud.html?ref=consumernews.ai), citing data issued by the Department of Health and Human Services.
With enhanced ACA subsidies gone, many people are facing much higher net premiums; KFF estimates that average premium payments roughly doubled for subsidized ACA enrollees in 2026, while deductibles also rose sharply as many consumers shifted into bronze plans.
The premium math tells the story. KFF estimated that enrollees faced an average premium increase of 114 percent — to $1,904 in 2026 from $888 in 2025 — after the enhanced ACA subsidies expired at the end of 2025\. About 17 percent of returning ACA enrollees told KFF pollsters they were not confident they could afford their premium for all of 2026.
The Congressional Budget Office in February projected total ACA marketplace enrollment will fall to 12.5 million by 2028 — nearly half of 2025 levels. CBO also estimated the U.S. population without health insurance will rise from 7.6 percent in 2025 to 10.4 percent by the end of the decade.
There's a lot of back-and-forth about the cause. Republicans blame fraud, Democrats blame higher premiums. But put that aside for a minute. What can a consumer do to maintain healthcare coverage?
> The first rule is: **do not simply drop coverage without checking every fallback route first.**
Here’s what consumers can do.
### 1\. Re-shop the marketplace — don’t auto-renew
Even if the current plan doubled, another plan may be cheaper. Consumers should compare:
- Bronze plans with lower premiums but higher deductibles.
- Silver plans, especially for people with lower incomes who may still qualify for cost-sharing reductions.
- Narrow-network plans that may be cheaper but require checking doctors and hospitals carefully.
- HSA-compatible high-deductible plans, if the consumer can afford the exposure and wants the tax benefit.
Open enrollment for marketplace coverage generally runs **November 1 through January 15**, with December 15 usually the deadline for January 1 coverage, so take careful note of the date and be ready when November 2026 rolls around.
### 2\. Recheck income — carefully and legally
ACA subsidies are based on estimated annual household income. A consumer whose income has dropped, who lost work, or whose family size changed may qualify for more help than expected.
But this must be done honestly. Understating income can trigger repayment at tax time. The safer advice is: update the marketplace application with current, realistic income and household information, then see whether the subsidy changes.
### 3\. Check Medicaid and CHIP
Medicaid and the Children’s Health Insurance Program (CHIP) are available year-round; they are not limited to ACA open enrollment. [HealthCare.gov](https://healthcare.gov/?ref=consumernews.ai) says people can apply for Medicaid or CHIP at any time.
This is especially important for:
- Children.
- Pregnant women.
- People with disabilities.
- Adults in Medicaid expansion states.
- Households with income that recently fell.
Even if the adult does not qualify, children in the household may qualify for CHIP.
### 4\. Look for a Special Enrollment Period
Outside open enrollment, consumers usually need a qualifying life event to get or change marketplace coverage. Common triggers include losing job-based coverage, moving, marriage, divorce, birth or adoption, certain income changes, or loss of Medicaid. HealthCare.gov provides a screener to check whether someone can enroll now.
### 5\. Check job-based coverage — including a spouse’s plan
If ACA coverage has become unaffordable, consumers should revisit employer coverage options. That includes:
- Their own employer plan.
- A spouse’s or domestic partner’s employer plan.
- COBRA, if recently laid off.
- Coverage through a professional association or union, where available.
COBRA is often expensive, but it can be useful as a bridge if someone is between jobs, in treatment, or waiting for Medicare.
### 6\. Consider catastrophic coverage, if eligible
Catastrophic plans are mainly for people under 30 or people who qualify for a hardship or affordability exemption. They have low premiums and very high deductibles, but they preserve protection against ruinous hospital bills.
They are not a good fit for people with regular medical needs, but they may be better than going uninsured.
### 7\. Be very cautious with short-term plans and “health sharing” plans
Short-term health plans can look attractive because the premiums are lower, but they are not the same as ACA coverage. They can exclude preexisting conditions, omit essential benefits, impose dollar limits, and deny claims that an ACA plan would have to cover. [Healthinsurance.org](https://www.healthinsurance.org/?ref=consumernews.ai) notes that short-term plans do not have to follow ACA rules or cover the ten essential health benefits.
Health care sharing ministries and discount cards are also not comprehensive insurance. They may help with some bills, but consumers should not assume they will pay for cancer care, hospitalization, mental health care, prescriptions, pregnancy, or emergency treatment.
### 8\. Preserve prescription coverage
For consumers who cannot afford full coverage, the next priority is preventing medical deterioration. They should ask doctors and pharmacists about:
- Generic alternatives.
- Manufacturer assistance programs.
- State pharmaceutical assistance programs.
- Community health centers.
- 90-day prescriptions when cheaper.
- Discount programs, while comparing prices carefully.
This is not a substitute for insurance, but it may keep chronic conditions from becoming emergencies.
### 9\. Use community health centers and safety-net clinics
Federally qualified health centers treat patients regardless of ability to pay and use sliding-fee scales. They can be especially important for people who lose ACA coverage but still need primary care, diabetes care, blood-pressure medication, vaccines, prenatal care, or behavioral health treatment.
### 10\. Avoid a total coverage gap if at all possible
The worst outcome is usually going completely uninsured. A cheaper bronze plan with a high deductible may feel like “not real insurance,” but it can still protect against a $60,000 hospitalization, cancer diagnosis, appendectomy, accident, or emergency surgery.
A practical hierarchy for consumers is:
****Best:** Affordable ACA, Medicaid, CHIP, Medicare, or employer coverage.
****Next best:** Lower-premium bronze or catastrophic coverage.
****Risky bridge:** COBRA or short-term coverage, only after reading exclusions.
****Last resort:** Safety-net care plus prescription assistance, while continuing to seek real coverage.
### Consumer takeaway
The consumer’s goal should be to **stay inside the regulated insurance system** if at all possible. That means marketplace coverage, Medicaid, CHIP, Medicare, or employer coverage — even if it requires switching plans, changing metal tiers, or accepting a narrower network. The dangerous move is replacing ACA coverage with something that sounds like insurance but can disappear when the bills get large.
### What's the cause of the increase?
The Trump administration and health-policy experts disagree on the cause.
HHS said "improper, phantom and fraudulent enrollment" peaked at 5.6 million people in 2025 and that CMS canceled coverage for 250,000 people enrolled without their consent. But experts pointed to price.
"It's basic economics that making something more expensive makes people less likely to buy it," Matthew Fiedler, a senior fellow at The Brookings Institution, told [CNBC](https://www.cnbc.com/2026/07/03/aca-enrollment-enhanced-subsidies-lapse-fraud.html?ref=consumernews.ai). "There is also abundant empirical evidence that when premiums go up, many fewer people buy coverage (especially in the low-income population that the Marketplaces serve). So if doubling enrollees' premiums did not result in a big enrollment decline, that would be a major surprise."
Jonathan Oberlander of the University of North Carolina at Chapel Hill was blunter: "The enrollment drop is absolutely not about fraud. \[Republicans\] are exaggerating the scope of the fraud issue to obscure the cuts they have pursued in health insurance coverage. This is just the beginning."
### Meta wants smart-glasses buyers to pay monthly for a feature their glasses already run
URL: https://www.consumernews.ai/meta-wants-smart-glasses-buyers-to-pay-monthly-for-a-feature-their-glasses-already-run/
Last updated: 2026-09-09T19:55:13.000Z
Meta is testing a new kind of consumer-tech paywall: charging smart-glasses owners for extended use of a feature that runs on the glasses themselves.
According to [The Verge](https://www.theverge.com/gadgets/959899/meta-ai-glasses-paywall-rate-limit?ref=consumernews.ai), Meta has quietly added monthly limits to Conversation Focus, a feature on its AI smart glasses that uses the glasses’ microphones and onboard processing to amplify the voice of the person in front of the wearer and reduce surrounding noise. The feature is designed for restaurants, meetings, crowded sidewalks and other places where background noise can make conversation hard to follow.
The new limit is stark. Users who do not subscribe to Meta One Premium will reportedly get only three hours of Conversation Focus per month. Those who pay $19.99 a month will get up to 15 hours a month, but even paid subscribers will still face a cap, and unused hours will not roll over, according to [Engadget](https://www.engadget.com/2205660/meta-rate-limits-smart-glasses-conversation-focus-feature/?utm%5Fsource=chatgpt.com).
That means consumers who already paid hundreds of dollars for smart glasses may now be asked to pay roughly $240 a year for longer access to a feature built into the device experience.
[Meta glasses viewed skeptically over privacy & other concernsMeta quietly removes facial recognition code after backlash over smart glasses appConsumer groups warn the move may be temporary and are calling for stronger biometric privacy laws and enforcementConsumerNews.aiJames R. HoodMeta’s smart glasses may be getting facial recognition, reigniting privacy fearsThe unreleased system could allow wearers to identifyConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/)
## Why consumers are objecting
Rate limits are common for cloud-based AI services because each query may require costly server processing. But The Verge and other technology outlets report that Conversation Focus runs on the glasses themselves and does not require Meta’s servers or even an internet connection to work, according to [WIRED](https://www.wired.com/story/why-meta-is-charging-a-subscription-for-on-device-smart-glasses-features?utm%5Fsource=chatgpt.com).
That distinction matters. If a feature depends on a company’s servers, consumers may expect some ongoing subscription cost. But if the feature runs locally on hardware the customer already bought, the charge can look less like a service fee and more like rent on a device the consumer thought they owned.
The backlash is also sharper because Conversation Focus functions like an accessibility-adjacent tool. Meta reportedly says it is not intended as a hearing-aid or accessibility feature, but it clearly helps users hear speech more clearly in noisy environments. That could include older consumers, people with mild hearing difficulty, or anyone who struggles to isolate a voice from background noise.
Three hours a month is not much. It could be used up in a few restaurant meals, a long meeting, or several noisy commutes.
## A broader trend: subscriptions after the sale
The Meta move fits a growing pattern in consumer technology: companies sell hardware, then use software controls to meter, limit or monetize features after purchase.
Automakers have experimented with subscriptions for built-in features such as heated seats. Printer companies have pushed ink subscriptions and remote controls over cartridges. App makers routinely move once-free functions behind paid tiers. Now AI hardware may be following the same path.
The difference is that smart glasses are being sold as personal, always-available devices. If key functions can be limited later by software, consumers may need to ask harder questions before buying:
What features are guaranteed? Which ones can be changed by update? Does the product require a subscription for full use? Will the company keep core functions free, or can they be reclassified later as premium services?
## Meta’s smart-glasses push
Meta has been moving aggressively into AI wearables. The company and EssilorLuxottica recently announced lower-cost AI smart glasses starting at $299, expanding beyond earlier Ray-Ban-branded models and the higher-priced Ray-Ban Display glasses.
The strategy is clear: make smart glasses more affordable upfront, then build a long-term business around AI services, subscriptions and platform lock-in.
Meta One Premium appears to be part of that strategy. Reports say the subscription can include broader Meta AI features, more advanced AI tools and premium device support, not just more Conversation Focus time.
But consumers may see a difference between paying for new cloud-based AI tools and paying to extend a feature that appears to run on the glasses they already bought.
## Privacy and trust remain concerns
The paywall controversy comes as Meta is still trying to persuade consumers that camera- and microphone-equipped glasses can be trusted in everyday life.
Smart glasses raise obvious privacy issues: they can record photos, video and audio from the wearer’s perspective, sometimes in settings where bystanders may not realize they are being captured. The addition of AI analysis makes those concerns more sensitive.
Meta has also faced scrutiny over facial-recognition-related code found in its smart-glasses app. After outside researchers and privacy advocates raised concerns, the company reportedly removed code tied to facial-recognition functions from a later app update. That episode reinforced a basic consumer concern: with AI wearables, much of what matters is controlled by software that can change after purchase.
## What buyers should do
Consumers considering AI glasses should not focus only on the sticker price. They should also calculate the cost of any subscription needed to use the features they actually care about.
A $299 pair of glasses can become a much more expensive product if a $19.99 monthly subscription is needed for regular use. Over two years, that subscription would add nearly $480 to the cost.
Before buying, consumers should check:
- whether the feature they want is free, capped or subscription-only;
- whether the feature runs on-device or depends on cloud service;
- whether the company reserves the right to change limits later;
- what happens if the subscription is canceled;
- whether the product has a clear return policy if advertised features change.
## The bottom line
Meta’s new smart-glasses limits may be framed as a subscription option, but for consumers the issue is ownership.
If a device is sold with AI features that can later be restricted, metered or paywalled, the real product may not be the glasses at all. It may be continuing permission to use them fully.
That is a different bargain from the one many consumers think they are making when they buy hardware.
### Meta glasses viewed skeptically over privacy & other concerns
URL: https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/
Last updated: 2026-08-06T13:29:06.000Z
[How to spot — and respond to — smart-glasses recordingCamera-equipped glasses can look almost identical to ordinary eyewear, making it difficult to know when someone is taking photographs, recording video or using an AI service to analyze what they see. Look for the recording light Meta’s Ray-Ban glasses display a small white light on the frontConsumerNews.aiJames R. Hood](https://www.consumernews.ai/how-to-spot-and-respond-to-smart-glasses-recording/)
August 6, 2026
[Meta’s ‘spy glasses’ are being shown the door over privacy fearsRestaurants, pubs and theaters are beginning to ban Meta’s camera-equipped smart glassesConsumerNews.aiJames R. Hood](https://www.consumernews.ai/metas-spy-glasses-are-being-shown-the-door-over-privacy-fears/)
August 6, 2026
[Meta wants smart-glasses buyers to pay monthly for a feature their glasses already runMeta is putting monthly usage limits on Conversation Focus, a smart-glasses feature that helps users hear nearby speech more clearly in noisy placesConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-wants-smart-glasses-buyers-to-pay-monthly-for-a-feature-their-glasses-already-run/)
July 5, 2026
[Meta quietly removes facial recognition code after backlash over smart glasses appConsumer groups warn the move may be temporary and are calling for stronger biometric privacy laws and enforcementConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-quietly-removes-facial-recognition/)
June 11, 2026
[Meta’s smart glasses may be getting facial recognition, reigniting privacy fearsThe unreleased system could allow wearers to identify people in public and receive alerts when a face is recognizedConsumerNews.aiJames R. Hood](https://www.consumernews.ai/metas-smart-glasses-may-be-getting/)
June 5, 2026
[Texas probing Meta Glasses, Disney being sued for allegedly using facial recognition at its parksMeta subcontractors in Kenya monitoring Texans’ movements, the state chargesConsumerNews.aiJames R. Hood](https://www.consumernews.ai/texas-probing-meta-glasses-disney/)
May 20, 2026
[Meta glasses brighten some days, darken othersPrivacy fears may overshadow the interest of blind and vision-impaired peopleConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-brighten-some-days-darken/)
March 31, 2026
[Our outraged editor tests Meta’s Ray-Ban glasses and finds them more than adequateEverything worked a bit better than expected, but an alert waiter was quick to call us outConsumerNews.aiJames R. Hood](https://www.consumernews.ai/our-outraged-editor-tests-metas-ray/)
### National Safety Recalls - July 5
URL: https://www.consumernews.ai/national-safety-recalls-july-5/
Last updated: 2026-07-05T18:45:57.000Z
## Top hazards
**Cuisinart grill brushes — 1.7 million units**
Metal wire bristles can detach, stick to food and cause serious internal injuries if swallowed. This is today’s highest-volume, high-severity consumer recall. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Conair-Recalls-Over-One-Million-Cuisinart-Grill-Brushes-Due-to-Ingestion-Hazard?utm%5Fsource=chatgpt.com))
**Winco fireworks — explosion/burn hazards**
Two fireworks recalls are especially timely for July 4: **Roman Candles 8 Shot 3-Pack** and **Unity 7 Shot 200 Gram Aerial Cake** devices can malfunction, tip over or blow out the side of the tube, posing serious explosion and burn risks. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Winco-Fireworks-International-Recalls-Roman-Candles-8-Shot-Fireworks-Due-to-Risk-of-Serious-Injury-from-Explosion-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
**CVS Health Medicated Hemorrhoidal Wipes — child poisoning risk**
About **75,315** recalled because lidocaine wipes are not in child-resistant packaging. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Diamond-Wipes-International-Recalls-CVS-Health-Medicated-Hemorrhoidal-Wipes-Due-to-Risk-of-Serious-Injury-or-Death-from-Child-Poisoning-Violate-Mandatory-Standard-for-Child-Resistant-Packaging?ref=consumernews.ai))
**AMASKY nursing pillows / Vevor baby loungers**
Infant products sold on Amazon recalled for suffocation, entrapment and fall hazards; both violate mandatory infant-product safety standards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/AMASKY-Nursing-Pillows-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Suffocation-Violate-Mandatory-Standards-for-Nursing-Pillows-and-Infant-Support-Cushions-Sold-on-Amazon-by-Pretty-Life?utm%5Fsource=chatgpt.com))
### Auto & transportation
**Ford rollaway recall — 741,195 vehicles**
Ford is recalling Expedition, Navigator, Explorer, Aviator and F-150 vehicles because a transmission defect can damage the park system and allow vehicles to roll away. NHTSA says owners should use the parking brake. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-over-741000-us-vehicles-due-park-system-issue-nhtsa-says-2026-06-30/?utm%5Fsource=chatgpt.com))
### Other CPSC recalls
**Projecting LED finger-light toys** — 62,490 units; accessible button-cell batteries can cause internal burns or death if swallowed. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Projecting-LED-Finger-Light-Toys-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Battery-Ingestion-Violate-Mandatory-Standard-for-Toys-Sold-on-Amazon-by-POPOOO?utm%5Fsource=chatgpt.com))
**Rowenta cordless vacuums** — lithium-ion battery can overheat and ignite; about 3,660 units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Rowenta-Recalls-Cordless-Vacuum-Cleaners-Due-to-Risk-of-Serious-Injury-from-fire-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
**Cooper Lighting Metalux LED fixtures** — about 42,000 recalled due to fire hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Cooper-Lighting-Recalls-Metalux-Optimized-High-Bay-LED-Light-Fixtures-Due-to-Fire-Hazard?utm%5Fsource=chatgpt.com))
### FDA
**PEDIGREE High Protein Chopped Chicken & Duck wet dog food** — two lots recalled after product meant for destruction was apparently diverted into the market; cans may contain sharp metal and plastic pieces. Lot codes **613C3KKCFC** and **613C1KKCFC**. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/voluntary-recall-two-lots-pedigreer-can-high-protein-chopped-chicken-duck-flavor-wet-dog-food-due?ref=consumernews.ai))
### USDA FSIS
**GoodTimes beef jerky** — FSIS issued a public health alert for a ready-to-eat beef jerky product due to misbranding and undeclared allergen concerns. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-a-ready-eat-beef-jerky-product-due-misbranding-and?utm%5Fsource=chatgpt.com))
### Trump Accounts launched Saturday — $1,000 to every eligible newborn
URL: https://www.consumernews.ai/trump-accounts-launch-saturday-1-000-to-every-eligible-newborn-2/
Last updated: 2026-07-04T20:07:29.000Z
A lot of babies are $1,000 richer today. The federal government launched Trump Accounts on July 4, seeding a $1,000 Treasury deposit into a tax-advantaged investment account for every eligible U.S. newborn.
Under the "One Big Beautiful Bill Act" signed a year ago, the accounts are available to children born between Jan. 1, 2025, and Dec. 31, 2028\. Beginning Saturday, "parents, employers and others may contribute to the accounts," [CBS said](https://www.cbsnews.com/news/trump-one-big-beautiful-bill-obbba-winners-losers-one-year-later/?ref=consumernews.ai).
More than 6 million Americans have already opened one, and Michael and Susan Dell of Dell Technologies have pledged to give an additional $250 to each of up to 25 million children under 10 living in areas with median incomes below $150,000.
But, realistically, will $1,000 be a meaningful amount of money when today's babies are ready to set off for career or college?
That depends almost entirely on time, market returns, inflation and whether families add more money.
For eligible children, the program gives a one-time $1,000 federal seed contribution to children born Jan. 1, 2025 through Dec. 31, 2028, if they are U.S. citizens with valid Social Security numbers. The money goes into a child investment account, with families and others allowed to contribute up to $5,000 a year, according to the [IRS](https://www.irs.gov/trumpaccounts?utm%5Fsource=chatgpt.com).
### What $1,000 could become by age 18
Assuming the money is invested and left alone:
\*Assumes 2.5% annual inflation.
So the headline number is meaningful but modest. Even at a solid 7% annual return, the $1,000 alone might be worth roughly $3,400 in nominal dollars, or only about $2,200 in today’s purchasing power, by the time a newborn turns 18.
### The bigger value comes from follow-up contributions
The grant becomes more powerful if it turns into a regular savings habit. For example, if a family added $500 a year through age 18:
At the maximum contribution level — $5,000 a year — the account could become substantial. At a 7% average return, it could reach roughly $173,000 by age 18\. But that is a benefit mostly available to families with enough spare cash to contribute consistently, which is why critics argue the program may do less for wealth inequality than advertised.
### Bottom line
The $1,000 grant is best understood as a starter account, not a college plan or wealth-building solution by itself. On its own, it may cover a small slice of future education, housing or start-up costs. Its larger potential is behavioral: getting families into the habit of investing early, giving relatives or employers a place to contribute, and letting compound growth work over 18 years or more.
For consumers, the practical advice is: claim the $1,000 if eligible, but don’t mistake it for a full savings strategy. Families still may want to compare it with a 529 college savings plan, Roth IRA, custodial brokerage account or ordinary savings, depending on their goals and tax situation.
### A smallish part of a bigger bill
The account launch anchors the one-year retrospective on the One Big Beautiful Bill. The law permanently preserved the top individual tax rate at 37 percent rather than allowing it to revert to 39.6 percent — a change that primarily affects individuals earning over $640,000 and married couples above $768,000\. The state and local tax deduction cap was raised from $10,000 to $40,000\.
Jon Whiten, an economist at the tax policy organization [ITEP](https://itep.org/?ref=consumernews.ai), said the top 1 percent are in line for $1 trillion in tax cuts over a decade. Corporations picked up permanent 100 percent bonus depreciation for short-lived assets; Amazon, Alphabet, Meta and Tesla together "took home an astonishing $51 billion in tax breaks in 2025."
### Not beautiful for everyone
On the other side, [CBS](https://www.cbsnews.com/news/trump-one-big-beautiful-bill-obbba-winners-losers-one-year-later/?ref=consumernews.ai) documented consumer losers. New SNAP work requirements captured previously exempt groups — former foster youth, veterans and people experiencing homelessness. SNAP participation dropped "by more than 4 million people, or 10 percent," through March.
Medicaid enrollees will face new work requirements and more frequent eligibility checks starting in 2027, a change projected to cut Medicaid enrollment by 5 million to 10 million.
Federal electric-vehicle tax incentives ended, and EV sales are down 22 percent so far in 2026 versus a year earlier. And roughly 34 million seniors this year claimed a new $6,000 bonus deduction available to taxpayers over age 65 — subject to income phaseouts.
##
### GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, Trulicity
URL: https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/
Last updated: 2026-08-07T12:58:22.000Z
[Could Ozempic-like drugs curb alcohol addiction? VA launches major trialThe Department of Veterans Affairs is launching a large Phase 3 trial of semaglutide as a treatment for alcohol use disorder.ConsumerNews.aiThe Editors](https://www.consumernews.ai/could-ozempic-like-drugs-curb-alcohol-addiction-va-launches-major-trial/)
August 7, 2026
[Skinny but bald? GLP-1 drugs linked to increased risk of hair lossA large study found that people taking GLP-1 drugs were more likely to be diagnosed with hair loss than patients using two other common classes of diabetes medication.ConsumerNews.aiThe Editors](https://www.consumernews.ai/skinny-but-bald-glp-1-drugs-linked-to-increased-risk-of-hair-loss/)
July 26, 2026
[Denied coverage? Seven steps to appeal a GLP-1 decisionAn insurance denial does not always mean the case is closed. Patients seeking coverage for Wegovy, Zepbound or another GLP-1 medication may have several opportunities to challenge the decision.ConsumerNews.aiThe Editors](https://www.consumernews.ai/denied-coverage-seven-steps-to-appeal-a-glp-1-decision/)
July 21, 2026
[GLP-1 weight-loss drugs may be worth the price — but insurers still say they can’t afford themThe drugs may deliver good value for each patient, but covering everyone who qualifies could overwhelm health-plan budgets.ConsumerNews.aiThe Editors](https://www.consumernews.ai/glp-1-weight-loss-drugs-may-be-worth-the-price-but-insurers-still-say-they-cant-afford-them/)
July 21, 2026
[Implant could eliminate weekly GLP-1 weight-loss shots - but it’s still years awayThe goal is to solve one of the biggest problems with GLP-1 drugs: patients quitting treatment because of cost, side effects or injection fatigue.ConsumerNews.aiThe Editors](https://www.consumernews.ai/implant-could-eliminate-weekly-glp-1-weight-loss-shots-but-its-still-years-away/)
July 12, 2026
[Litigators jockey for advantage as MDL 3094, 3163 GLP-1 court cases maneuver through pretrialAttorneys on both sides of MDL 3094 and MDL 3163 are maneuvering and jockeying for position as multi-district litigation against the makers of GLP-1 drugs including Ozempic, Wegovy, Rybelsus, Trulicity and Mounjaro edges closer to actual testimony. The cases break down into two categories: those claiming gastrointestinal injuryConsumerNews.aiJames R. Hood](https://www.consumernews.ai/litigators-jockey-for-advantage-as-mdl-3094-3163-glp-1-court-cases-maneuver-through-pretrial/)
July 6, 2026
[$50 Medicare GLP-1 ‘bridge’ presents a difficult entry processThe GLP-1 “bridge” is confusing to get into and its benefits are questionable given its temporary nature.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/50-medicare-glp-1-bridge-presents-a-difficult-entry-process/)
July 3, 2026
[Medicare opens first weight-loss coverage at $50 a monthA new pilot Medicare program, “set to continue through 2027, will allow older adults to access GLP-1 medications for $50 per month” — the first time the program will cover them specifically for weight loss,ConsumerNews.aiThe Editors](https://www.consumernews.ai/medicare-opens-first-weight-loss-coverage-at-50-a-month/)
June 25, 2026
[FDA cracks down on telehealth weight-loss drug marketingRegulators say some firms falsely implied their products were equivalent to FDA-approved medications such as Wegovy, Ozempic, Zepbound, and Mounjaro. The U.S. Food and Drug Administration has intensified its campaign against the booming online weight-loss drug industry, issuing warning letters to 25 telehealth companies that allegedly madeConsumerNews.aiThe Editors](https://www.consumernews.ai/fda-cracks-down-on-telehealth-weight-loss-drug-marketing/)
June 19, 2026
[GLP-1 drugs are reshaping the world while raising longterm questionsPowerful new GLP-1 weight‑loss drugs promise longer, healthier lives for millions of people — but they are also reshaping everything from insurance premiums to clothing racks, while raising fresh questions about safety, cost and who gets access to the “Ozempic revolution.”ConsumerNews.aiThe Editors](https://www.consumernews.ai/glp-1-drugs-are-reshaping-the-world-while-raising-longterm-questions/)
June 5, 2026
[GLP-1 Drug Lawsuits Swell Past 3,600 Cases as Courts Tighten Proof StandardsThe cases involve Ozempic, Wegovy, Mounjaro, Zepbound and Trulicity Federal litigation over the blockbuster class of GLP-1 drugs that includes Ozempic, Wegovy, Mounjaro, Zepbound and Trulicity has ballooned to more than 3,600 pending cases across two multidistrict proceedings, as a federal judge moves to tighten the medical evidenceConsumerNews.aiThe Editors](https://www.consumernews.ai/glp-1-drug-lawsuits-swell-past-3-600-cases-as-courts-tighten-proof-standards/)
May 9, 2026
[GLP-1 may protect against heart attacks and strokes, UK study findsThe popular diabetes and weight-loss drugs may also help prevent Alzheimer’s, according to one studyConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-may-protect-against-heart-attacks/)
May 5, 2026
[GLP-1 drugs beef up their Super Bowl pitchesOzempic, Wagovy, Mounjaro, Zepbound take the field, with ‘compounded’ versions at their heelsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-drugs-beef-up-their-super-bowl/)
Feb. 8, 2026
[Microdosing GLP-1: Too little of a good thing?Marketers and their publicists are hawking tiny doses of GLP-1 but there’s no evidence it’s effectiveConsumerNews.aiJames R. Hood](https://www.consumernews.ai/microdosing-glp-1-too-little-of-a/)
Jan. 16, 2026
### Fintech, crypto expose consumers to new risks
URL: https://www.consumernews.ai/fintech-crypto-expose-consumers-to-new-risks/
Last updated: 2026-07-08T11:58:55.000Z
[Congress moves toward national rules for paycheck-advance appsConsumer advocates warn the bill could weaken state protections and let costly wage-advance products avoid lending lawsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/congress-moves-toward-national-rules-for-paycheck-advance-apps/)
July 8, 2026
[Before using a paycheck-advance app, ask these questionsEarned wage access apps can be useful in a pinch, but they can also shrink the next paycheck and create a cycle of repeated advances.ConsumerNews.aiThe Editors](https://www.consumernews.ai/before-using-a-paycheck-advance-app-ask-these-questions/)
July 8, 2026
[Trump fintech order could reshape how Americans move money — and who controls the systemForget ballrooms and arches, this is a major campaign with long-lasting effectsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/trump-fintech-order-could-reshape/)
May 22, 2026
[Trump fintech order sparks warnings over predatory lending, consumer protectionsCritics warn easier access for fintech and crypto firms to the banking system could expose consumers to fraud, risky accounts and weaker oversightConsumerNews.aiJames R. Hood](https://www.consumernews.ai/trump-fintech-order-sparks-warnings/)
May 21, 2026
### Bill would ban sale of Americans’ health and location data
URL: https://www.consumernews.ai/bill-would-ban-sale-of-americans-health-and-location-data/
Last updated: 2026-07-03T14:52:02.000Z
A new bill in Congress would bar data brokers from selling or transferring some of the most sensitive information Americans generate every day — including health data, location data and personal information entered into AI systems.
The [Health and Location Data Protection Act](https://www.congress.gov/bill/117th-congress/house-bill/9161?loclr=cga-bill&ref=consumernews.ai) targets the largely unregulated data-broker industry, which collects information from apps, websites, ad networks and other sources and resells it to advertisers, government agencies, political campaigns and other buyers. It was reintroduced by Sen. Elizabeth Warren, D-Mass., and Rep. Mary Gay Scanlon, D-Pa.
The bill comes as privacy advocates warn that location data can reveal visits to abortion clinics, domestic violence shelters, places of worship, union halls, LGBTQ+ community centers and other sensitive locations — often without consumers knowing the information is being collected or sold.
- The bill would ban data brokers from collecting, selling or transferring health and location data.
- The updated version explicitly covers data entered into AI systems.
- The measure would give the Federal Trade Commission, state attorneys general and injured consumers power to sue violators.
“It’s more important than ever that we crack down on data brokers that are raking in giant profits from selling Americans’ most sensitive information,” [Warren said](https://www.warren.senate.gov/wp-content/uploads/media/doc/Summary%20of%20Health%20and%20Location%20Data%20Protection%20Act.pdf?ref=consumernews.ai). “Especially as more people enter their private health data into AI systems, we need to make sure that information isn’t exploited by the highest bidder.”
[Privacy Watch: How to reduce your data-broker footprintThere’s no such thing as complete privacy but there are ways to lock down some of your crucial informationConsumerNews.aiThe Editors](https://www.consumernews.ai/privacy-watch-how-to-reduce-your-data-broker-footprint/)
## Why it matters
For consumers, the problem is not just targeted ads. Precise location data can show where someone sleeps, works, worships, seeks medical care or attends a protest. Health data can reveal pregnancy, reproductive decisions, mental health concerns, addiction treatment, medication use or other deeply personal details.
Lawmakers and privacy advocates say the danger has grown since the Supreme Court overturned Roe v. Wade and several states moved to ban or sharply restrict abortion. They warn that location and health data could be used to identify abortion patients, providers or people helping someone obtain care.
The FTC has already brought several [enforcement actions](https://www.ftc.gov/news-events/news/press-releases/2024/12/ftc-takes-action-against-gravy-analytics-venntel-unlawfully-selling-location-data-tracking-consumers?ref=consumernews.ai) against data brokers accused of trafficking in sensitive location data. In 2024, the agency accused Gravy Analytics, its subsidiary Venntel and Mobilewalla of unlawfully collecting or selling sensitive location data, including information that could reveal visits to health clinics, religious sites, military installations and other sensitive places.
In January 2025, the FTC [finalized an order](https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-finalizes-order-prohibiting-gravy-analytics-venntel-selling-sensitive-location-data?ref=consumernews.ai) prohibiting Gravy Analytics and Venntel from selling, disclosing or using sensitive location data except in limited circumstances involving national security or law enforcement.
## A $300 billion industry with few federal rules
Warren and Scanlon say the data-broker industry has grown into a $300 billion business, built largely on information consumers never knowingly agreed to sell.
That data can come from ordinary phone apps — weather apps, prayer apps, games, navigation tools, fertility trackers, shopping apps and advertising systems. Once collected, it can be bundled, analyzed and sold in bulk.
The United States still lacks a comprehensive federal privacy law governing the commercial collection and sale of personal data. As a result, enforcement has often depended on the FTC’s ability to challenge specific practices as unfair or deceptive, rather than on a broad federal ban.
The Health and Location Data Protection Act would try to close that gap by making the sale or transfer of health and location data illegal for data brokers. The updated bill also responds to the rapid growth of AI tools that encourage users to upload or disclose medical information, symptoms, images, prescriptions or other health details.
## What the bill would do
The legislation would:
- Ban data brokers from collecting, selling or transferring location data and health data, including data entered into AI systems.
- Allow the FTC, state attorneys general and injured individuals to sue to enforce the law.
- Permit remedies such as damages and injunctions to stop illegal practices.
- Provide $1 billion to the FTC over 10 years to support enforcement and related work.
The bill is cosponsored in the Senate by Bernie Sanders, I-Vt., Sheldon Whitehouse, D-R.I., and Ron Wyden, D-Ore. House supporters include Nydia Velázquez, D-N.Y.; Adriano Espaillat, D-N.Y.; Pramila Jayapal, D-Wash.; and Rashida Tlaib, D-Mich.
Groups endorsing the bill include the National Partnership for Women & Families, All\* Above All, the Guttmacher Institute, the National Network of Abortion Funds and the National Council of Jewish Women.
## What consumers can do now
Even if Congress acts, consumers should assume that many apps and websites collect more information than they need. Privacy experts generally recommend limiting app permissions, especially location access, and avoiding unnecessary sharing of health details with apps or AI tools.
Consumers can also:
- Turn off location access for apps that do not truly need it.
- Use “while using the app” rather than “always” location permission where possible.
- Delete apps that request excessive permissions.
- Be cautious about entering medical, reproductive health or mental health information into apps or chatbots.
- Review privacy settings on phones, browsers and wearable devices.
- Use a privacy-focused browser or tracker blocker where practical.
The proposed law would shift some of that burden away from consumers by making it illegal for data brokers to traffic in the most sensitive categories of information in the first place.
## The bottom line
The Health and Location Data Protection Act is unlikely to end the data-broker economy by itself. But it would draw a bright line around two categories of information that can expose consumers to stalking, discrimination, unwanted surveillance or criminal investigation: where they go and what health care they seek.
As AI systems become another place where people disclose intimate personal details, Warren and Scanlon argue that health and location privacy can no longer depend on fine print, app settings or industry promises.
### Privacy Watch: How to reduce your data-broker footprint
URL: https://www.consumernews.ai/privacy-watch-how-to-reduce-your-data-broker-footprint/
Last updated: 2026-07-03T14:51:03.000Z
Data brokers collect information from apps, websites, loyalty programs, public records, ad networks and other sources, then package and sell it. You can’t eliminate every trace, but you can reduce the amount of sensitive health and location data available for sale.
### Lock down location sharing
Start with your phone’s location settings. Many apps ask for location access even when they do not need it.
Set most apps to “Never” or “Ask next time.” For apps that genuinely need location, such as maps or ride-hailing services, choose “While using the app,” not “Always.” Turn off precise location unless the app truly needs your exact position.
Weather, shopping, coupon, game, prayer, dating and social media apps are common places to check.
### Be careful with health apps and AI tools
Do not assume that information entered into a health app, fertility tracker, symptom checker, wearable device app or AI chatbot is protected by medical privacy laws.
[HIPAA](https://www.hhs.gov/hipaa/index.html?ref=consumernews.ai) generally applies to doctors, hospitals, insurers and other covered health entities — not to every app or website that collects health-related information.
Before entering sensitive details, ask whether the service really needs the information. Avoid sharing reproductive health details, medication lists, mental health notes or medical images with apps or AI tools unless you understand how the data will be used and stored.
### Review app permissions
On your phone, review permissions for location, contacts, photos, microphone, camera and Bluetooth.
Remove permissions that are not necessary. A flashlight app does not need your contacts. A coupon app probably does not need always-on location access. A game should not need your microphone.
Delete apps you no longer use. Old apps can keep collecting data in the background or remain linked to advertising networks.
### Limit ad tracking
On iPhones, turn off permission for apps to track you across other companies’ apps and websites. On Android phones, review ad ID and privacy settings and reset or delete your advertising ID where available.
Use browser privacy settings to block third-party cookies and cross-site tracking. Consider a privacy-focused browser or tracker-blocking extension, especially for health, legal, financial or personal searches.
### Watch loyalty programs and “free” services
Retail loyalty programs, coupon apps, pharmacy rewards programs and cash-back services can collect detailed purchase histories.
That data can reveal health conditions, pregnancy-related purchases, financial stress, location patterns and household habits. Use loyalty programs selectively, especially when buying sensitive health, reproductive or personal-care products.
### Opt out where possible
Some data brokers allow consumers to opt out, but the process can be tedious and may need to be repeated. Start with major people-search sites and data brokers that publish consumer opt-out pages.
Search your name, city, phone number and email address periodically to see what is publicly exposed. Remove listings that show your home address, relatives, phone numbers or other personal details.
### Separate sensitive activity
For sensitive health, legal or personal research, avoid using accounts that are tied to your real name when possible.
Use a browser’s private mode for limited purposes, but remember that private browsing does not hide your activity from websites, apps, internet providers or all trackers. For higher privacy, use a reputable VPN, tracker blockers and privacy-focused search tools.
### Protect family members
Data-broker profiles can connect household members, relatives and addresses. That can create risks for domestic violence survivors, abortion patients, public employees, journalists, activists and others who may be targeted.
Check what information is available about children, older relatives and household members. Remove home addresses and phone numbers where possible.
### The bottom line
The safest rule is simple: treat health and location data as highly sensitive. Share it only when there is a clear benefit, limit app permissions, delete what you do not use and assume that “free” apps may be paid for with your personal information.
### $50 Medicare GLP-1 'bridge' presents a difficult entry process
URL: https://www.consumernews.ai/50-medicare-glp-1-bridge-presents-a-difficult-entry-process/
Last updated: 2026-07-05T18:58:21.000Z
With great fanfare, it was announced this week that Medicare beneficiaries with obesity would be able to get GLP-1 weight-loss drugs for a $50 monthly copay. Medicare previously covered the drugs "only when they were prescribed for specific health issues, such as sleep apnea or cardiovascular conditions."
The pilot program, called a "[bridge](https://www.cms.gov/medicare/coverage/prescription-drug-coverage/medicare-glp-1-bridge/information-providers?ref=consumernews.ai)," broadens coverage to "medications like Wegovy, Zepbound and Foundayo for individuals with obesity who are part of select Medicare plans," according to [The New York Times](https://www.nytimes.com/2026/07/01/well/glp1-medicare.html?ref=consumernews.ai). Coverage is set to run through the end of next year, with clinical protocols anticipating that patients will be assessed for discontinuation at 18 months.
But as Americans young and old know, federal programs are seldom as simple as they sound and enrolling in them isn't always easy.
This was confirmed by Ed, a Maryland retiree, and his wife Laura. "After arranging, a week ago, with Laura’s doctor to be ready to pull the trigger today when the 'bridge' opened, I was thrilled to see that my neighborhood Walgreens had received a prescription for one of the GLP-1s. But hold the phone … they want to charge me a little under $600 for it!" Ed told us.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
### **"Not quite sure ..."**
Ed called the pharmacy and reached "a very pleasant woman who wasn’t quite sure how to handle this." After checking with others and running Laura's Medicare Part D numbers, the Walgreens lady said she had discovered that the standard procedure was for the pharmacy to deny the prescription.
The next step, she learned is for the prescriber – the doctor or other clinician – to download a prior-authorization form from the Centers for Medicare Services (CMS) website, and electronically send that form back to CMS, using a fax phone number, or web address, neither of which were available on the first day Ed inquired.
"I think what happens next is supposed to be that someone at CMS approves the pre-authorization form and sends the OK to the pharmacy to fill the prescription," Ed said.
The whole affair ate up about half an hour on the phone with Walgreens, then 15 minutes on the phone with the doctor and then another 10 minutes or so with Walgreens. This raises the question of how many Medicare recipients have the time, energy, investigative zeal and patience to go through the whole routine.
There is an [FAQ sheet](https://www.cms.gov/medicare/coverage/prescription-drug-coverage/medicare-glp-1-bridge/information-providers?ref=consumernews.ai) on the CMS site that spells out the process in the rather turgid prose we have come to expect of federal forms. Following the ins and outs is not easy for anyone but those willing to wade through it may reap the benefits – keeping in mind that those may be elusive and even questionable.
### **Risk-benefit analysis**
This all sounds pretty good, if you can get through the denial/approval process but specialists are urging caution.
Rozina McCoy, of the University of Maryland's School of Public Health, quoted by [the Times](https://www.nytimes.com/2026/07/01/well/glp1-medicare.html?ref=consumernews.ai), said "the risk-benefit analysis for these medications differs considerably for older adults compared to younger individuals, as the potential for adverse effects is elevated."
Doctors interviewed by the Times said older patients should pair the drug with strength training and adequate protein intake because "dehydration can negatively impact kidney function and elevate the risk of fainting and falling."
Also, when patients discontinue GLP-1 therapy, an endocrinologist at the University of California, Los Angeles told [the Times](https://www.nytimes.com/2026/07/01/well/glp1-medicare.html?ref=consumernews.ai), "they often regain weight, but typically do not recover the same muscle mass as before; some of the lost muscle is replaced with fat."
Meanwhile, Ed and Laura are waiting, and hoping the notice on the Walgreen’s app soon changes from “Delayed – Awaiting insurance approval” to “Prescription ready for pickup.”
### Updates
*The story ends well. We got these updates from Ed late Friday:*
Walgreens says the prescription is ready for pick-up! $50\. On our way now to get it. Trust, but verify.
*And then ...*
Neither Laura’s doctor nor the pharmacy told her that Zepbound’s self-injecting KwikPen pen does not include a needle. Either a separate prescription for the needle is required or, according to the pharmacy, an over-the-counter needle can be used. (If you go to the “how to use” section of the website it *does* tell you that, but you have to look for that info.
50 OTC needles picked up. Pharmacist insisted on showing Laura how to attach needle to the syringe.
### National Safety Recalls - July 3
URL: https://www.consumernews.ai/national-safety-recalls-july-3/
Last updated: 2026-07-03T12:20:18.000Z
## Top hazards
**CVS Health Medicated Hemorrhoidal Wipes** — About **75,315** recalled because the lidocaine wipes are not in child-resistant packaging, creating a risk of serious injury or death from child poisoning. Sold at CVS and CVS.com. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Diamond-Wipes-International-Recalls-CVS-Health-Medicated-Hemorrhoidal-Wipes-Due-to-Risk-of-Serious-Injury-or-Death-from-Child-Poisoning-Violate-Mandatory-Standard-for-Child-Resistant-Packaging?ref=consumernews.ai))
**Rowenta cordless vacuum cleaners** — About **3,660** recalled because the lithium-ion battery can overheat and ignite, posing fire and burn hazards. Sold at Williams Sonoma, Crate & Barrel, Amazon, Walmart.com, Rowenta.com and others. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Rowenta-Recalls-Cordless-Vacuum-Cleaners-Due-to-Risk-of-Serious-Injury-from-fire-and-Burn-Hazards?ref=consumernews.ai))
**Ford rollaway recall** — Ford is recalling **741,195** vehicles, including certain Expedition, Navigator, Explorer, Aviator and F-150 models, because a transmission defect can damage the park system and allow vehicles to roll away. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-over-741000-us-vehicles-due-park-system-issue-nhtsa-says-2026-06-30/?utm%5Fsource=chatgpt.com))
### CPSC consumer products
**ABC Trading children’s toys** — About **84,700** toy headbands and electronic pet-cage toys recalled because accessible button-cell batteries pose a deadly ingestion hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/ABC-Trading-Recalls-Childrens-Toys-Due-to-Risk-of-Serious-Injury-or-Death-from-Battery-Ingestion-Violates-Mandatory-Standard-for-Toys?ref=consumernews.ai))
### FDA food/drug safety
**Eunha Fisheries sliced halibut/flounder sashimi** — Recalled for undeclared **wheat, soy and sesame** in condiment packets; severe allergic reactions are possible. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/eunha-fisheries-co-ltd-issues-allergy-alert-undeclared-wheat-soy-and-sesame-certain-frozen-olive?ref=consumernews.ai))
**Oribe Serene Scalp Densifying Shampoo** — Select 8.5 oz and 33.8 oz lots recalled for possible *Pluralibacter gergoviae* contamination, a greater risk for immunocompromised users. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/kao-usa-voluntarily-recalls-some-lots-oribe-serene-scalp-densifying-shampoo?ref=consumernews.ai))
### USDA FSIS
No newer FSIS recall surfaced in this check. Recent FSIS alerts remain focused on ready-to-eat chicken Caesar wraps and other products with undeclared allergens or possible contamination.
### FTC: Hopper to pay $35 million over alleged hidden travel fees and deceptive pricing
URL: https://www.consumernews.ai/ftc-hopper-to-pay-35-million-over-alleged-hidden-travel-fees-and-deceptive-pricing/
Last updated: 2026-07-03T12:15:38.000Z
The Federal Trade Commission has reached a proposed $35 million settlement with the companies behind the Hopper travel app, accusing them of using hidden fees, misleading price displays and deceptive marketing practices that caused consumers to pay for services they never knowingly agreed to purchase.
The settlement requires Canada's Hopper Inc. and its U.S. subsidiary, Hopper (USA) Inc., to pay $35 million for consumer refunds and to overhaul how they present prices and optional services on their travel-booking platform.
The case is one of the FTC's highest-profile enforcement actions involving so-called "junk fees"—charges that are hidden, pre-selected or disclosed only after consumers have invested time selecting a product or service.
"Hopper deceived consumers by showing them a total price that did not include hidden, pre-selected fees," said Christopher Mufarrige, director of the FTC's Bureau of Consumer Protection. "The Commission will continue to use all available tools to promote price transparency and to combat unfair and deceptive pricing, billing and cancellation practices."
### Optional fees weren't really optional, FTC says
According to the FTC's complaint, Hopper marketed itself as having "no hidden fees" while automatically enrolling consumers in paid services during checkout.
Until mid-2023, travelers reaching the final booking screen were shown what appeared to be the total price before swiping to complete the purchase. But the FTC alleges that additional charges—including "Tip" fees and VIP Support fees—had already been pre-selected and were buried below the visible portion of the screen, requiring consumers to scroll down to discover them.
The agency says many travelers never realized they were paying for the services.
Consumer complaints cited in the lawsuit suggest many customers believed the charges had been quietly added without their permission.
One customer told the company:
"Honestly it feels like ya'll snuck that in on the final screen at the bottom and opted me in."
The FTC also alleges Hopper's own employees questioned the practice internally.
According to the complaint, one employee wrote:
"To me, the problem here is that we're tricking users."
Internal company testing allegedly showed that when the fees were clearly disclosed and not pre-selected, most customers declined to purchase them.
### VIP support allegedly failed to deliver
The FTC also accuses Hopper of exaggerating the value of its paid VIP Support program.
The company advertised that purchasers would receive near-instant customer service assistance, often promising help within minutes.
Instead, regulators say many consumers reported waiting extended periods—or never reaching a customer-service representative at all.
### "Price Freeze" program also challenged
Another focus of the complaint involves Hopper's popular "Price Freeze" service, sometimes marketed as "Hold the Room."
Consumers paid a fee to lock in an advertised travel price for a limited period before completing a purchase.
The FTC alleges Hopper failed to adequately disclose major restrictions, including:
- Price protection applied only up to certain limits.
- The reservation still had to remain available.
- Fees paid for the service were not always credited toward the final purchase price as advertised.
The agency says these omissions left consumers with a misleading impression of the product's value.
### Part of broader junk-fee crackdown
The Hopper case comes as regulators intensify scrutiny of hidden charges throughout the travel industry.
Over the past several years, federal regulators have pursued airlines, hotels, ticket sellers, subscription services and online booking platforms over pricing practices that allegedly obscure the true cost of purchases.
For lodging booked after May 12, 2025, the FTC alleges Hopper also violated the agency's Unfair and Deceptive Fees Rule, which requires businesses to disclose total prices and prohibits misleading fee practices.
Consumer advocates have long argued that so-called drip pricing—adding mandatory or pre-selected charges late in the purchasing process—makes comparison shopping difficult and distorts competition.
### What the settlement requires
If approved by a federal judge in Massachusetts, Hopper must:
- Pay $35 million for consumer refunds.
- Clearly disclose all mandatory and optional fees.
- Accurately display the total purchase price.
- Obtain consumers' informed consent before charging optional services.
- Stop making misleading claims about premium support or Price Freeze benefits.
The settlement does not constitute an admission of wrongdoing.
### What this means for consumers
The case sends another signal that regulators are increasingly targeting deceptive online checkout practices.
For travelers, consumer advocates recommend:
- Carefully reviewing final checkout screens before completing purchases.
- Looking for pre-selected options that may add charges.
- Comparing final prices across multiple travel-booking platforms.
- Saving screenshots of advertised prices in case disputes arise.
### Data Box
| Key Fact | Details |
| ----------------- | ------------------------------------------------------------------------------ |
| Settlement | $35 million |
| Company | Hopper Inc. and Hopper (USA) Inc. |
| Alleged practices | Hidden fees, deceptive pricing, misleading VIP Support and Price Freeze claims |
| Consumer relief | Refund fund plus permanent pricing and disclosure reforms |
| Court | U.S. District Court for the District of Massachusetts |
**The Bottom Line**
The Hopper settlement is one of the FTC's clearest statements yet that businesses cannot advertise one price while quietly adding optional charges during checkout. As federal and state regulators continue expanding enforcement against junk fees, travel companies and other online platforms are likely to face increasing pressure to make pricing simple, transparent and fully disclosed before consumers click "buy."
### Beef stays red-hot for the cookout
URL: https://www.consumernews.ai/beef-stays-red-hot-for-the-cookout/
Last updated: 2026-07-02T15:00:16.000Z
The bill for the backyard grill this year is not going to feel like a bargain. [Reuters](https://www.reuters.com/business/us-beef-prices-stay-red-hot-summer-cookouts-2026-07-02/?ref=consumernews.ai) reported that "U.S. grill masters and home chefs face sizzling beef prices for summer cookouts as drought and wildfires have discouraged ranchers from expanding cattle supplies that are at their lowest levels in 75 years."
The average retail price of ground beef hit $8.62 a pound in May, up "more than 12 percent" from a year earlier, [Reuters said](https://www.reuters.com/business/us-beef-prices-stay-red-hot-summer-cookouts-2026-07-02/?ref=consumernews.ai), citing U.S. Bureau of Labor Statistics data.
The American Farm Bureau Federation's annual July 4 cookout survey found two pounds of ground beef at $14.06, up 5.5 percent from a year earlier; two pounds of chicken breasts at $8.06, up 3.5 percent; and three pounds of pork chops at $14.79, up 4.7 percent. The Wells Fargo Agri-Food Institute estimated the total cost of a barbecue for 10 people at $161, up 2.4 percent, with the hamburger-beef component alone up 14 percent, per [Reuters](https://www.reuters.com/business/us-beef-prices-stay-red-hot-summer-cookouts-2026-07-02/?ref=consumernews.ai).
Behind the numbers is a supply squeeze that will not resolve fast. "There is no real lever to pull in the domestic market to get more supply in the short term," Michael Swanson, Wells Fargo's chief agricultural economist, told [Reuters](https://www.reuters.com/business/us-beef-prices-stay-red-hot-summer-cookouts-2026-07-02/?ref=consumernews.ai).
Washington blocked Mexican cattle imports more than a year ago over the spread of the New World screwworm parasite. Bill Bullard, chief executive of cattle producers' group R-CALF USA, told [Reuters](https://www.reuters.com/business/us-beef-prices-stay-red-hot-summer-cookouts-2026-07-02/?ref=consumernews.ai): "In times like this when the domestic supply is already inadequate to meet domestic demand, the inaccessibility of Mexican cattle supplies exacerbates the supply/demand imbalance, sending markets spiraling."
Brenda Masek, a rancher in Purdum, Neb., said simply: "Right now, I'm just happy if I can hold on to what I've got." And rebuilding herds "takes at least two years" once ranchers begin retaining female heifers for breeding, [Reuters said](https://www.reuters.com/business/us-beef-prices-stay-red-hot-summer-cookouts-2026-07-02/?ref=consumernews.ai).
[CNBC](https://www.cnbc.com/2026/07/02/beef-prices-demand-for-steak-isnt-falling.html?ref=consumernews.ai) added that consumer demand for beef "isn't falling" despite the prices, which will keep pressure on the shelf.
### Extreme heat can be hard on your eyes, too
URL: https://www.consumernews.ai/extreme-heat-can-be-hard-on-your-eyes-too/
Last updated: 2026-07-02T14:40:56.000Z
As much of the country swelters through dangerous heat, doctors and public-health agencies are warning consumers to protect more than their skin and lungs.
Extreme hot weather can also be hard on the eyes — especially for people who already have dry eye, wear contact lenses, work outdoors or spend long hours in air-conditioned rooms.
Dry eye occurs when the eyes do not make enough tears, or when tears evaporate too quickly to keep the surface of the eye lubricated. Symptoms can include a scratchy or gritty feeling, stinging or burning, red eyes, sensitivity to light and blurry vision, according to the [National Eye Institute](https://www.nei.nih.gov/eye-health-information/eye-conditions-and-diseases/dry-eye?ref=consumernews.ai). It advises people with dry eye to avoid smoke, wind and air conditioning when possible, use a humidifier, wear wraparound sunglasses outdoors and drink plenty of water.
Hot weather can make it harder to keep eyes healthy. Heat, wind and low humidity can cause tears to evaporate more quickly, while dehydration may reduce the body’s ability to maintain normal tear production. A [2023 study](https://pmc.ncbi.nlm.nih.gov/articles/PMC10721396/?ref=consumernews.ai) of dry-eye patients found that humidity and temperature were associated with dry-eye symptoms and clinical signs, and noted that lower humidity has been shown in controlled settings to cause faster tear evaporation and shorter tear-film breakup time.
That matters because the tear film is the eye’s front-line protection. It lubricates the cornea, washes away irritants and helps maintain clear vision. When it breaks down, the surface of the eye can become inflamed and vulnerable. Untreated severe dry eyes can lead to eye inflammation, abrasion of the corneal surface, corneal ulcers and vision loss, the [Mayo Clinic](https://www.mayoclinic.org/diseases-conditions/dry-eyes/symptoms-causes/syc-20371863?utm%5Fsource=chatgpt.com) warns.
The risks often rise during heat waves because people are exposed to several irritants at once. Air conditioning, fans and indoor dry air can worsen evaporation. Outdoors, bright sun and ultraviolet radiation can damage the eyes; the [American Academy of Ophthalmology](https://www.aao.org/eye-health/tips-prevention/5-ways-to-get-your-eyes-summer-ready?ref=consumernews.ai) advises wearing sunglasses marked “100% UV protection” and a broad-brimmed hat to help prevent photokeratitis, a painful sunburn-like injury to the eye.
Smoke is another growing concern. [EPA](https://www.epa.gov/emergencies-iaq/wildfires-and-indoor-air-quality-iaq?ref=consumernews.ai) says wildfire smoke contains fine particles that can get into the eyes and respiratory system, causing burning eyes, runny nose and other health problems. In a June 2026 wildfire-smoke fact sheet, EPA listed eye irritation and headaches among short-term smoke-related health effects.
### Heat itself is a problem
Heat itself is also a broader health warning sign. CDC’s [National Institute for Occupational Safety and Health](https://www.cdc.gov/niosh/heat-stress/about/illnesses.html?ref=consumernews.ai) says heat exhaustion can cause headache, nausea, dizziness, weakness, irritability, thirst, heavy sweating, elevated body temperature and decreased urine output. Those symptoms should be taken seriously, especially in older adults, children, outdoor workers and people with chronic medical conditions.
For consumers, the practical advice is simple: do not wait until your eyes are painfully irritated. Artificial tears can help, but consumers should choose preservative-free drops if they need them frequently, avoid blowing fans directly at the face and take breaks from screens, which reduce blinking. Contact-lens wearers should be especially cautious, since lenses can worsen dryness and irritation during hot, smoky or windy conditions.
People should seek medical care promptly for eye pain, sudden vision changes, severe redness, light sensitivity, discharge, injury, or symptoms that do not improve after leaving heat, smoke or dry air. Dry eye is common, but persistent symptoms are not something to tough out.
### What consumers can do
Use wraparound sunglasses with 100% UV protection outdoors. Drink water regularly. Avoid direct airflow from fans or car vents. Use a humidifier indoors if the air is dry. Take screen breaks and blink often. On smoky days, stay indoors with windows closed and use filtered air if available.
> Anyone with chronic dry eye, autoimmune disease, prior eye surgery or contact-lens problems should ask an eye-care professional about a heat-wave plan.
### Bottom line
Extreme heat is usually discussed as a risk to the heart, lungs and kidneys, but the eyes are exposed, too. During hot, dry, smoky or heavily air-conditioned days, eye irritation can be an early warning that the body — and the surface of the eye — is under stress.
### June payrolls miss badly; unemployment rate 4.2 percent
URL: https://www.consumernews.ai/june-payrolls-miss-badly-unemployment-rate-4-2-percent/
Last updated: 2026-07-02T14:21:35.000Z
The Labor Department's June employment report, released a day early to accommodate the holiday, came in well below Wall Street expectations. Nonfarm payrolls rose by a seasonally adjusted 57,000, [CNBC reported](https://www.cnbc.com/2026/07/02/jobs-report-june-2026-.html?ref=consumernews.ai) — "slower than the downwardly revised 129,000 added in May and worse than the 115,000 Dow Jones consensus forecast." [Reuters](https://www.reuters.com/world/us/us-job-growth-misses-expectations-june-unemployment-rate-falls-42-2026-07-02/?ref=consumernews.ai) said the May figure had originally been reported as 172,000 before Thursday's revision.
The unemployment rate fell to 4.2 percent from 4.3 percent, but for a reason that will worry economists. [CNBC](https://www.cnbc.com/2026/07/02/jobs-report-june-2026-.html?ref=consumernews.ai) reported the move "was largely due to a slump in the labor force participation rate, which dropped 0.3 percentage point to 61.5 percent." Consumers dropping out of the workforce, in other words, did as much to move the unemployment rate as job creation did.
The macro implications for households cut both ways. [Reuters](https://www.reuters.com/world/us/us-job-growth-misses-expectations-june-unemployment-rate-falls-42-2026-07-02/?ref=consumernews.ai) reported that going into the report, financial markets saw "a roughly 50.7 percent chance" that the Federal Reserve would raise rates at its September 15-16 meeting, and that the Fed had left its benchmark rate in the 3.50 percent to 3.75 percent range last month while signaling more hikes this year. A soft jobs number complicates that path.
[The New York Times' live coverage](https://www.nytimes.com/live/2026/07/02/business/jobs-report-economy?ref=consumernews.ai) framed the print as a "status check on a stabilizing job market" — stable, but noticeably slower. [Reuters' morning bid](https://www.reuters.com/commentary/reuters-open-interest/global-markets-view-usa-2026-07-02/?ref=consumernews.ai) noted that ADP's private-sector print on Wednesday came in at 98,000, "a slight miss," but "not enough to shift any Federal Reserve expectations."
The June CPI release on July 14 will be the next big data point, [Reuters said](https://www.reuters.com/business/wall-st-futures-muted-investors-await-payrolls-data-2026-07-02/?ref=consumernews.ai), citing Julien Lafargue at Barclays Private Bank: "As a result, markets are likely to place greater weight on the June CPI (consumer price index) report due on July 14, as inflation data will offer a cleaner read on the economy."
### FTC wins $6.5 million order against payment processor accused of helping scammers
URL: https://www.consumernews.ai/ftc-wins-6-5-million-order-against-payment-processor-accused-of-helping-scammers/
Last updated: 2026-07-01T21:30:23.000Z
A federal judge in Nevada has ordered payment processor Cliq Inc. and two of its operators to pay $6.5 million after finding they violated a 2015 federal court order designed to keep the company from helping merchants defraud consumers.
The Federal Trade Commission said the U.S. District Court in Nevada found Cliq, formerly known as Cardflex Inc., along with executives Andrew Phillips and John Blaugrund, in civil contempt for multiple violations of the earlier order. The order was entered May 13, 2026, according to the [FTC](https://www.ftc.gov/news-events/news/press-releases/2026/05/federal-court-holds-payment-processor-cliq-contempt-violating-ftc-order?ref=consumernews.ai).
The case is a reminder that payment processors can play a critical role in consumer fraud. Scam merchants need a way to take credit card payments. Regulators say processors that ignore red flags — or help merchants disguise them — can keep fraudulent operations alive.
“As the court concluded, Cliq and its executives assisted and facilitated scammers in avoiding fraud and risk monitoring programs and failed to conduct the 2015 order’s required underwriting,” said Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection. “The court’s order should send a strong signal that the Commission will enforce its orders and continue to prioritize rooting out fraud from the American payment system.”
## What the court found
According to the FTC, the court found that Cliq and its executives violated “multiple core provisions” of the 2015 order by facilitating fraud on behalf of several scam operators.
The FTC said the defendants unlawfully processed hundreds of millions of dollars in transactions for merchants on Mastercard’s Member Alert To Control High-Risk Merchants list, known as MATCH. The MATCH list is used by acquiring banks and payment networks to flag merchants that have been terminated or identified as high risk, including for excessive chargebacks or rule violations.
Chargebacks occur when consumers dispute credit card charges, often because a product was not delivered, was misrepresented or was never authorized. High chargeback rates are one of the warning signs payment processors are supposed to monitor.
The court also found that Cliq and the executives helped merchants avoid fraud and risk monitoring programs. According to the FTC, that included processing so-called “friendly” transactions to mask true chargeback rates and helping merchants shift transactions from closed accounts to other live accounts.
The FTC said the court also found the defendants failed to conduct required underwriting, including by not collecting or verifying required business information, ignoring signs of shell companies and waiving documentation requirements.
The court further concluded that Cliq processed transactions for merchants that repeatedly exceeded chargeback thresholds set by the 2015 order and failed to conduct required investigations or prepare written reports justifying continued processing. The FTC said the court found the defendants had “systematically failed” to complete those reporting obligations.
## A long-running FTC case
The contempt order stems from a 2015 settlement involving Cardflex Payment Solutions, the earlier name of Cliq. That order required the company and its operators to take steps to prevent and detect fraud in payment processing.
In January 2026, the FTC asked the court to hold Cliq and its operators in contempt, accusing them of systematically violating that order. The agency sought at least $52.9 million in consumer relief, a receiver to oversee compliance and an order permanently banning Phillips and Blaugrund from the payment processing industry.
The court did not grant all of those requests. It imposed a $6.5 million civil-contempt sanction but declined to appoint a receiver or permanently ban the executives from payment processing, according to the newsletter [Payments Dive](https://www.paymentsdive.com/news/judge-fines-payments-processor-cliq/820434/?utm%5Fsource=chatgpt.com).
## Cliq says ruling rejected FTC’s harshest claims
Cliq presented the decision very differently, saying the court rejected what the company called the FTC’s “aggressive theories” and declined to impose the agency’s most severe requested remedies. In a company statement, Cliq said the ruling affirmed that it takes its responsibility to guard against fraudulent and illegitimate merchant accounts seriously, [Yahoo Finance](https://finance.yahoo.com/economy/policy/articles/u-district-rules-cliq-hearing-100000312.html?utm%5Fsource=chatgpt.com) said.
Joanna Oliva, Cliq’s president and chief financial officer, said the court declined to appoint a receiver, ban company leaders from the payment processing industry or award the $52.9 million in compensatory relief the FTC requested.
Andy Phillips, Cliq’s CEO, said the decision validated the company’s compliance program and business practices. Cliq said it has made significant compliance investments over the past five years and pointed to external audits and reviews conducted after the FTC complaint, according to a statement on [cliq.com](https://www.cliq.com/newsroom?utm%5Fsource=chatgpt.com).
But the FTC emphasized that the court did find Cliq and the executives in civil contempt and imposed a multimillion-dollar sanction for violating the 2015 order.
## Why it matters to consumers
Many online scams depend on access to the payment system. A deceptive merchant can advertise fake products, bogus subscriptions or misleading offers, but it still needs banks and payment processors to move money from consumers’ credit cards into merchant accounts.
That is why payment processors are often described as gatekeepers. They are expected to screen merchants before allowing them to process payments and to monitor for warning signs such as high chargeback rates, shell companies, shifting merchant names and attempts to evade card-network rules.
When processors do not perform that role, regulators say consumers can be exposed to recurring charges, unauthorized transactions and hard-to-cancel schemes.
The FTC’s action also shows that old enforcement orders can have long tails. The 2015 order did not simply resolve the earlier case; it created ongoing obligations. The contempt ruling signals that payment processors that settle with regulators may face new penalties years later if they violate those terms.
## What consumers can do
Consumers should review credit card and bank statements regularly for unfamiliar charges, especially small recurring amounts that may be easy to overlook.
If a charge is unauthorized or tied to a product or service that was misrepresented, consumers should dispute it promptly with the card issuer. Credit card disputes generally have strict timing rules, so delays can make recovery harder.
Consumers who suspect a scam can also report it to the FTC at ReportFraud.ftc.gov. Reports help regulators identify patterns, including merchants and processors that may be enabling widespread fraud.
For regulators, the Cliq case is about more than one company. It is about whether the financial plumbing of online commerce is being used to stop fraud — or to keep it running.
I kept Cliq’s response in the story so it doesn’t read as one-sided, while still making the FTC/court finding clear.
### Meta must face August trial over claims it addicted children to Facebook and Instagram
URL: https://www.consumernews.ai/meta-must-face-august-trial-over-claims-it-addicted-children-to-facebook-and-instagram/
Last updated: 2026-07-01T14:32:04.000Z
Meta will have to face state attorneys general in court this summer over claims that Facebook and Instagram were deliberately designed to keep children and teens hooked, after a federal judge largely rejected Meta’s attempt to end the case before trial.
U.S. District Judge Yvonne Gonzalez Rogers in Oakland denied Meta’s motion for summary judgment, allowing major claims by state attorneys general to move forward. California Attorney General Rob Bonta called the ruling a “[critical win](https://oag.ca.gov/news/press-releases/ahead-meta-trial-attorney-general-bonta-secures-critical-win?ref=consumernews.ai)” ahead of trial and said the case is currently set for trial in August 2026 in the U.S. District Court for the Northern District of California.
The lawsuit accuses Meta of designing Facebook and Instagram to maximize profits by keeping young users on the platforms for longer periods of time, while concealing or downplaying risks to children’s mental health. The case was brought by 29 state attorneys general; the August trial will focus on claims from California, Colorado, Kentucky and New Jersey.
The ruling does not mean Meta has been found liable on the main addiction and deception claims. But it does mean the states cleared a major procedural hurdle and can now try to prove their case at trial.
## What the states allege
The states say Meta knew its products could harm young users but kept using design features intended to drive engagement. Those features include the kinds of mechanisms critics have long associated with compulsive use — algorithmic feeds, notifications, social comparison tools, and other engagement loops that encourage users to keep scrolling, checking and returning.
The states’ theory is important because it goes beyond complaints about individual posts or harmful content. Instead, the case focuses on product design — the way Facebook and Instagram are built, tested and monetized.
That distinction could matter legally. Social-media companies often rely on the First Amendment and [Section 230](https://www.law.cornell.edu/uscode/text/47/230?ref=consumernews.ai) of the Communications Decency Act to defend against lawsuits involving content posted by users. But states and plaintiffs’ lawyers increasingly argue that addiction-related cases are not primarily about speech or moderation decisions. They are about allegedly defective or unfair product features.
Meta denies wrongdoing. Reuters reported that the company argues “social media addiction” is not a recognized psychiatric condition, that it did not target children specifically, and that it has invested in tools and policies intended to protect young users.
## A children’s privacy win for the states
The judge also handed the states a significant win under the [Children’s Online Privacy Protection Act](https://www.ftc.gov/legal-library/browse/statutes/childrens-online-privacy-protection-act?ref=consumernews.ai), or COPPA, the federal law that restricts online collection of personal information from children under 13.
According to Reuters, Judge Gonzalez Rogers found that Meta may have violated COPPA by failing to provide proper notice and obtain parental consent, granting summary judgment to the states on that issue.
The [Daily Journal](https://www.dailyjournal.com/article/392687-meta-liable-under-federal-child-privacy-law-ahead-of-social-media-addiction-trial?ref=consumernews.ai) reported that the court found Meta failed to provide the parental notices required by COPPA, while leaving for the jury a key question: whether Meta was subject to the law in the first place.
That distinction is important. COPPA generally applies when an online service is directed to children under 13 or has actual knowledge that it is collecting personal information from children under 13\. The states will still have to prove the remaining factual issues needed to secure relief.
## Why an “advisory jury” matters
The August trial is expected to involve an advisory jury, which is somewhat different from an ordinary jury trial.
An advisory jury hears the evidence and makes findings, but the judge is not always bound by those findings in the same way as in a traditional damages case. Advisory juries are often used when the case involves equitable relief — such as injunctions, changes in business practices, restitution or other remedies that are ultimately decided by the judge.
That means the August trial could still be enormously important even if the jury’s role is formally advisory. The judge could use the jury’s findings to help determine whether Meta violated state consumer-protection laws and what remedies, if any, should be imposed.
Possible remedies could include changes to product design, restrictions on features aimed at young users, new disclosures, compliance monitoring, civil penalties or other court-ordered measures. The exact remedies will depend on what the states prove and what each state’s law allows.
## Part of a much larger wave of litigation
The Meta case is part of a broader legal assault on major social-media companies over youth mental health.
Reuters reported that the federal multidistrict litigation in California includes more than 2,600 plaintiffs, including individuals, school districts and government entities. A separate Reuters report said more than 3,300 similar lawsuits are pending in California state court.
Those cases accuse Meta, Google’s YouTube, TikTok, Snap and other companies of creating addictive platforms that contributed to depression, anxiety, sleep loss, eating disorders, school disruption and other harms among young users.
The litigation has already produced some early plaintiff-side victories. In March, a [Los Angeles jury](https://www.consumernews.ai/meta-google-found-liable-jury-doubles/) found Meta and YouTube liable in a social-media addiction case involving a young user and awarded $6 million in damages, with Meta responsible for 70% and YouTube for the rest.
[Meta, Google found liable, jury doubles verdict in social media addiction trialA major setback that’s likely to lead to a stream of litigation and regulationConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-google-found-liable-jury-doubles/)
Reuters has also reported that Google and Meta were denied a new trial in that case, and that a Kentucky school district reached a $27 million joint settlement with TikTok, Meta, Snap and YouTube in related litigation.
Separately, a [New Mexico jury](https://www.consumernews.ai/new-mexico-seeks-37b-platform-overhaul/) in March found Meta liable in a case brought by that state’s attorney general and ordered the company to pay $375 million in damages over claims involving child safety and exploitation risks on its platforms. Meta said it would appeal.
## Congress and regulators are watching
The trial also comes as Meta seeks broader legal protection from youth-harm lawsuits. Reuters reported in June that Meta had lobbied Congress for legal immunity from child-harm claims tied to social-media products such as Instagram, as the company faces thousands of lawsuits from young users and families.
At the same time, lawmakers and regulators in the U.S. and abroad have been weighing stricter rules for children’s online safety, age verification, data collection and platform design. The Australian government has moved to raise the minimum age for social-media use to 16, and several U.S. states have tried to pass laws restricting minors’ access to social platforms or requiring parental consent, though many of those laws have faced constitutional challenges.
The Meta trial could give courts and regulators a detailed look at internal company documents, product decisions and safety debates — the same kind of evidence that has shaped past public-health and consumer-protection battles involving tobacco, opioids and dangerous products.
## What it means for parents and consumers
For parents, the case reinforces a practical point: social-media platforms are not neutral bulletin boards. They are highly engineered products designed to capture attention and sell advertising.
That does not mean every child is harmed by Instagram or Facebook, or that every heavy user is “addicted.” But the litigation raises serious questions about whether platforms have done enough to protect minors from design choices that encourage compulsive use.
Consumer advocates say parents should not have to carry the burden alone. They argue that companies with vast data about youth behavior should be responsible for designing safer defaults, limiting manipulative engagement tools, and giving families clearer information about risks.
For now, Meta has avoided an early defeat but failed to avoid trial. The August proceeding in Oakland could become one of the most important tests yet of whether social-media companies can be held liable not just for what users post, but for how the platforms themselves are built.
### Google ordered to pay Klarna $1.5 billion in shopping-search antitrust case
URL: https://www.consumernews.ai/google-ordered-to-pay-klarna-1-5-billion-in-shopping-search-antitrust-case/
Last updated: 2026-07-01T14:12:56.000Z
Google has been ordered to pay roughly $1.5 billion to a Klarna-owned shopping comparison service, in one of the largest private antitrust damage awards yet to come out of Europe’s long-running crackdown on Big Tech.
The Swedish Patent and Market Court ruled that Google must pay 14.3 billion Swedish kronor to [PriceRunner](https://www.pricerunner.com/?ref=consumernews.ai), a price-comparison site owned by Klarna, after finding that Google’s search practices harmed the rival shopping service. The award is thought to be the largest antitrust damages judgment ever issued by a Swedish court.
PriceRunner had sought much more — about 78 billion Swedish kronor, or more than $8 billion — but the court dismissed substantial parts of its claim, according to [Reuters](https://www.reuters.com/business/swedish-court-says-google-is-pay-15-billion-klarna-antitrust-damages-2026-07-01/?utm%5Fsource=chatgpt.com).
The case is not over. Google said it disagrees with the ruling and is considering its legal options, according to Reuters and other reports. Any payment could be delayed or reduced by appeals, taxes, litigation-funding arrangements and prior sharing agreements with former PriceRunner shareholders.
## A fight over who gets seen online
The case centers on a simple but enormously valuable question: when consumers search online for products and prices, does Google steer them toward its own shopping results and away from independent comparison sites?
PriceRunner accused Google of abusing its dominance in search by manipulating results in favor of Google’s own comparison-shopping service, while demoting competitors such as PriceRunner. That, the company argued, diverted traffic and revenue away from independent shopping-comparison services that consumers use to compare prices across retailers.
The Swedish ruling follows a much larger European antitrust saga. In 2017, the European Commission fined Google €2.42 billion for abusing its dominant position by favoring Google Shopping over rival comparison-shopping services. The EU’s top court upheld that fine in September 2024, ending Google’s appeal, [curia](https://curia.europa.eu/jcms/upload/docs/application/pdf/2024-09/cp240135en.pdf?utm%5Fsource=chatgpt.com) reported.
The European Court of Justice said Google had favored its own comparison-shopping service in general search results while rival services were shown less prominently, often as ordinary links.
That EU ruling helped create the foundation for private damages cases like PriceRunner’s. Instead of merely fining Google, the Swedish case asked whether a competitor could recover money for business losses allegedly caused by Google’s conduct.
## Why it matters to shoppers
For consumers, the issue is not just whether one tech company owes another money. The bigger question is whether online search results give shoppers a fair view of the market.
Comparison-shopping sites can help consumers find lower prices, compare sellers and spot hidden costs. If search engines favor their own shopping tools over independent comparison sites, consumer advocates argue, shoppers may see fewer choices and less price competition.
That concern is central to Europe’s broader effort to rein in “self-preferencing” by dominant digital platforms — when a company that controls a key online gateway gives its own products or services an advantage over rivals.
The EU’s Digital Markets Act, which took effect after the original Google Shopping case, now imposes special rules on large online “gatekeepers,” including restrictions aimed at preventing dominant platforms from ranking their own services more favorably than rivals in certain circumstances. The PriceRunner case shows that older antitrust fights are still producing financial consequences even as newer digital-market rules take shape.
## Klarna gets a potential windfall — but with caveats
Klarna bought PriceRunner in 2022, the same year PriceRunner filed the Swedish lawsuit. Klarna is best known in the United States for “[buy now, pay later](https://www.consumernews.ai/buy-now-pain-later/)” loans, but it has also been building a broader shopping and commerce business.
A major court award could strengthen that strategy, although the money is far from guaranteed. Klarna previously warned investors that any award would be subject to appeal and could be affected by agreements with former PriceRunner shareholders and litigation funders.
The award is also much smaller than the amount PriceRunner sought. Reports put the original claim at roughly $8 billion to $8.3 billion, making it one of the largest civil damages claims ever brought in Sweden.
Still, even at $1.5 billion, the ruling is a major antitrust setback for Google and a signal to other technology competitors that private damages lawsuits can follow public enforcement actions.
## Google says it has changed its practices
Google has maintained that it changed its shopping-ad practices in Europe after the 2017 European Commission decision and that comparison-shopping services have benefited from those changes. The company disagreed with the Swedish court’s ruling and is expected to fight the award.
That means the case may continue for years. But the judgment adds to Google’s global antitrust pressure, including European cases over shopping, Android and advertising technology, as well as U.S. antitrust cases involving search and digital advertising.
## What consumers can do
> Shoppers looking for the lowest price should not rely on a single search result page. Consumer advocates generally recommend checking several sources before buying, especially for expensive items.
That can include independent comparison-shopping sites, retailer websites, manufacturer sites, coupon and cash-back tools, and consumer-review sources. The key lesson from the Google Shopping fight is that search results are not neutral price lists. They are ranked, designed and monetized — and those choices can affect what consumers see first.
For now, the Swedish judgment is a major win for Klarna and PriceRunner, but not the final word. Google can appeal, and the eventual amount — if any — could change.
The case nevertheless underscores a central issue in modern online shopping: when one company controls the path between consumers and sellers, small changes in ranking can move billions of dollars.
### Student-loan overhaul takes effect, borrowers face decisions
URL: https://www.consumernews.ai/student-loan-overhaul-takes-effect-borrowers-face-decisions/
Last updated: 2026-06-30T16:38:08.000Z
A [sweeping reset](https://ticas.org/affordability-2/reconciliation-2025-borrower-faqs/?ref=consumernews.ai) of federal student lending takes effect Wednesday under what the Trump administration has marketed as the "big, beautiful bill."
The changes mean that more than 7 million borrowers enrolled in the Biden administration's Savings on a Valuable Education (SAVE) Plan will have to another repayment program within 90 days, forcing millions of student loan borrowers to incur drastically higher monthly student loan bills.
“We are extremely concerned that the ... decision to force SAVE borrowers who do not take action in time into the Standard Plan or the new Tiered Standard Plan will result in substantially higher, and consequently unaffordable, payments,” a group of Democratic senators wrote to U.S. Education Department Secretary Linda McMahon.
The Senators’ letter follows a decision from the U.S. Court of Appeals for the Eighth Circuit, which [directed the lower court to vacate the SAVE Plan](https://www.businessinsider.com/save-plan-whats-next-for-student-loan-borrowers-trump-settlement-2026-3?ref=consumernews.ai).
“Millions of borrowers on SAVE have been stuck in financial limbo through no fault of their own as partisan lawsuits challenging SAVE have played out in court. These borrowers deserve to have the time, critical information, and support necessary to successfully enroll in another affordable repayment plan and continue to pay down their loans,” the senators said in their letter.
With SAVE officially dead, borrowers taking out new loans or consolidating existing ones now have two repayment options:
- **The Repayment Assistance Plan**, pitched as a successor to the Biden-era Saving on Valuable Education plan, sets monthly payments based on adjusted gross income; borrowers will need to make payments for 30 years before they can qualify for loan cancellation.
- The **Tiered Standard Plan** calculates payments from the remaining balance over a 10-to-25-year term. A separate income-based plan for those with significant debt allows payments of 10 percent of discretionary income with forgiveness after 25 years.
### New borrowing limits
[NBC](https://www.nbcnews.com/news/education/trump-big-beautiful-bill-student-loan-changes-rcna350126?ref=consumernews.ai) reported lifetime federal borrowing is being capped at $257,500\. Graduate students can borrow up to $20,500 annually with a $100,000 lifetime cap; professional students, including medical students, may borrow up to $50,000 per year and $200,000 lifetime. About 1.8 million current graduate borrowers get a three-year exemption from the new caps. Parents borrowing under PLUS will be capped at $20,000 per dependent per year with a $65,000 lifetime per-child cap.
**Interest math also changes**. Borrowers who sign up for autopay by Sept. 30 will qualify for a 1 percentage-point rate cut; borrowers already enrolled get 0.25 point that ratchets up to a full point. The relief is temporary, available only until June 30, 2028, and excludes some older loans. New unsubsidized graduate-loan rates are listed at 8.07 percent; new non-government-backed loans at 6.52 percent.
[Americans start slipping behind on debt as delinquencies rise for car loans, credit cards and student loansYears of relative stability end amid political and culture clashesConsumerNews.aiJames R. Hood](https://www.consumernews.ai/americans-start-slipping-behind-on/)
### Earning power of graduates measured
Separately, [Reuters reported](https://www.reuters.com/world/?ref=consumernews.ai) that the Education Department on Monday said it was "finalizing new federal student loan rules that would tie schools' federal loan access to the earning power of graduates," marking the Trump administration's latest pressure on colleges and universities.
[The Wall Street Journal](https://www.wsj.com/us-news/education/student-loan-rules-accountability-tuition-earnings-threshold-8ecece7b?ref=consumernews.ai) and [CBS News' video coverage](https://www.cbsnews.com/video/breaking-down-key-changes-to-federal-student-loan-repayment-plans/?ref=consumernews.ai) corroborated the timeline. [Reuters](https://www.reuters.com/legal/government/us-judge-blocks-trump-administrations-new-student-loan-restrictions-2026-06-25/?ref=consumernews.ai) also noted that a federal judge blocked a separate set of Trump-administration student-loan restrictions on June 25, foreshadowing more litigation around the package.
For families weighing a fall start, the package shifts the calculus in three concrete ways: less money available for graduate and professional school; more downside if a chosen program produces graduates whose earnings cannot service the debt; and a brief window — through Sept. 30 — to lock in a 1-point interest cut by enrolling in autopay.
More information on the various options is [available online](https://ticas.org/affordability-2/reconciliation-2025-borrower-faqs/?ref=consumernews.ai).
### Feds and 17 states settle egg-price probe
URL: https://www.consumernews.ai/feds-and/
Last updated: 2026-06-30T13:35:18.000Z
The Justice Department and a coalition of 17 state attorneys general have reached a settlement with three of the country's largest egg producers, including Cal-Maine Foods, over allegations of price manipulation, according to the New York state [attorney general's office](https://ag.ny.gov/press-release/2026/attorney-general-james-secures-more-50-million-eggs-and-33-million-after?ref=consumernews.ai).
“When powerful corporations collude behind the scenes to raise prices, working families suffer the costs,” Attorney General Letitia James said in a news release. “These egg producers manipulated the market to squeeze even more profit out of consumers and businesses.”
The probe had been telegraphed last week, when [Bloomberg reported](https://www.reuters.com/legal/antitrust/?ref=consumernews.ai) that "Cal-Maine Foods and other egg suppliers are close to resolving an investigation by the U.S. Justice Department and a bipartisan group of states into alleged illegal price coordination."
The settlement closes a chapter of consumer outrage that ran for the better part of two years, when avian-flu-driven supply shortages were compounded — prosecutors alleged — by coordination among producers.
[Grocery prices surge as lawmakers press feds to crack down on alleged price-fixingWar-linked supply shocks — including fertilizer disruptions — add new pressure on pricesConsumerNews.aiJames R. Hood](https://www.consumernews.ai/grocery-prices-surge-as-lawmakers/)
Cal-Maine and its peers have already been on the losing end of related civil litigation. As [Reuters' company page](https://www.reuters.com/company/cal-maine-foods-inc/?ref=consumernews.ai) recapped, "Kraft, General Mills, Kellogg, and Nestle secured a $17.7 million damages verdict from a federal jury in Chicago after demonstrating that they were overcharged for egg products due to a price-fixing conspiracy involving major U.S. egg producers and industry associations."
What it means for shoppers: settlements typically include both monetary recovery and behavioral conditions — meaningful only if they meaningfully restrain producer behavior the next time avian flu, bird-flock culls or feed-cost spikes give the industry cover to raise prices in tandem.
The 17-state coalition gives the deal a broader enforcement footprint than a federal action alone.
### Ford recalls roughly 1 million vehicles in a single day
URL: https://www.consumernews.ai/ford-recalls-roughly-1-million-vehicles-in-a-single-day/
Last updated: 2026-06-30T13:22:14.000Z
Ford disclosed two major recalls Tuesday that, taken together, touch close to 1 million U.S. drivers. The bigger of the pair, [Reuters reported](https://www.reuters.com/business/?ref=consumernews.ai), covers 741,195 vehicles "over a transmission defect that can damage the park system, which in turn could result in vehicles rolling away," according to the U.S. National Highway Traffic Safety Administration.
Separately, [the Associated Press said](https://apnews.com/hub/trending-news?ref=consumernews.ai), "Ford is recalling more than 250,000 vehicles that were incorrectly repaired under a previous recall meant to fix a problem that caused the engine to stall while driving" — a repair-of-the-repair on Focus sedans that consumer-safety advocates have flagged for years.
[Ford setting records in safety recalls as software issues plague driversMore than 20 million vehicles recalled last year - trucks most affectedConsumerNews.aiJames R. Hood](https://www.consumernews.ai/ford-setting-records-in-safety-recalls/)
The Ford disclosures landed against a broader recall season. [CBS News' auto-industry feed](https://www.cbsnews.com/pittsburgh/tag/auto-industry/?ref=consumernews.ai) cataloged a Ford F-150 axle-hub-bolt recall of "more than 103,000" trucks, an open NHTSA probe into "reports of engine problems involving some older Honda and Acura vehicles," a Honda steering-gearbox recall where "improper manufacturing and assembly… may impair driving," a Ram pickup recall covering "the 2019 and 2021 through 2024 model years," and a bearing-failure recall on "some Honda Pilots, Odyssey vans and Ridgeline trucks" that could cause engines to stall.
A separate [Reuters story](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai) noted that NHTSA closed its power-steering probe into 376,000 Tesla EVs after the company's earlier recall, and closed a preliminary evaluation of 441,002 Honda Odyssey vans after a recall there.
For consumers, the practical question is whether their vehicle identification numbers fall under any of these orders. The "park system" defect in particular — a rollaway risk — is one of NHTSA's more dangerous categories; owners should treat the recall mailer as urgent.
## Check your car for recalls [here](https://www.nhtsa.gov/?ref=consumernews.ai).
### iHeart cuts familiar local radio voices as it chases savings, scale and AI
URL: https://www.consumernews.ai/iheart-cuts-familiar-local-radio-voices-as-it-chases-savings-scale-and-ai/
Last updated: 2026-07-23T12:58:56.000Z
**Some of the people losing their jobs are not anonymous back-office employees but long-running morning hosts, music directors and market fixtures who have spent decades with listeners.**
For many listeners, local radio has always been less about the corporate logo on the station and more about the familiar voice on the way to work, the host at a charity event, the DJ who knew the market, or the morning show that became part of a household routine.
That local bond is being tested again.
iHeartMedia, the largest radio company in the United States, has begun a far-reaching round of layoffs affecting programming and on-air staff in markets around the country. The company has framed the changes as part of a broader effort to move faster, use technology more efficiently and restructure its programming operations.
But for listeners, the result may be simpler: fewer familiar local voices.
The cuts have hit well-known personalities in Denver, Houston, Baltimore, Pittsburgh, St. Louis, Cincinnati, Corpus Christi, Hartford, the Quad Cities and other markets. In many cases, the employees being let go had spent 20, 30 or even 40 years in local radio.
## Longtime local voices are being pushed out
Among the best-known names affected is Bret Saunders, a longtime Denver-area radio personality who spent 28 years at KBCO, the Boulder-based adult album alternative station known for its local following and music identity.
Also in Colorado, longtime Denver broadcaster Denise Plante disappeared from iHeart’s local lineup. Plante is widely known in the market and has been recognized for her long career in Colorado broadcasting.
In St. Louis, BJ Holiday was among those reported out after more than four decades with iHeartMedia in programming, community affairs and on-air roles. That kind of tenure is increasingly rare in local media, where ownership consolidation and repeated restructuring have made long careers at one company harder to sustain.
In the Quad Cities, Pat Leuck and Dani Lynn Howe, longtime morning hosts at WLLR, were also reportedly affected. The pair had worked together for more than 30 years, making them part of the daily routine for generations of country-radio listeners.
Baltimore listeners lost another familiar voice with the departure of Bob Delmont from WPOC, where he had been a midday host for 27 years. Delmont also had a national presence through iHeart’s classic country programming.
In Miami, Doc Reno, a longtime classic-rock voice at BIG 105.9, was reported out after more than two decades in the market. In Pittsburgh, Val Porter, a veteran of the local iHeart cluster since the 1990s, was among the names reported affected. Porter had a long run in music programming and on-air roles, including years connected to WDVE, one of Pittsburgh’s best-known rock stations.
In Cincinnati, Chris Foley, better known as KiddChris, exited WEBN after nearly 14 years. WEBN is one of the city’s legacy rock stations, and morning shows on stations like that often become deeply identified with the market.
## Texas stations also hit
The cuts have also reached Texas.
In Houston, SportsTalk 790 morning co-host Cole Thompson and Sunny 99.1 midday host Amanda Flores were among the employees affected. Thompson, a Houston native, joined SportsTalk 790 in 2024 and was promoted in 2025 to co-host “The Morning Drive.” Flores hosted middays on Sunny 99.1 and also voiced shows in other markets, including Dallas, Sacramento, San Antonio and Portland.
Flores told listeners she was proud of her ratings success, helping launch a station, winning a Marconi Award and raising money for St. Jude Children’s Research Hospital. Her farewell message underscored one of radio’s enduring strengths: the sense that a host is keeping people company during work, errands, traffic or ordinary daily routines.
In Corpus Christi, Steven “Rex” Gabriel, the longtime morning host at Rock C101, said goodbye after 36 years on the air.
“Some songs end before you’re ready. So does this one,” Gabriel wrote in a farewell message to listeners.
## Why iHeart is cutting
The layoffs are part of a broader restructuring at iHeartMedia.
The company told investors in May that it had announced a new $50 million annualized cost-savings program beginning in the second half of 2026\. That comes on top of $100 million in previously announced 2026 savings.
Radio industry reports say the programming cuts are tied to that larger $150 million cost-cutting effort.
The company has said it is using technology and new organizational structures to move faster, support markets and sellers more efficiently, and deliver stronger programming across markets. In an internal memo reported by industry publications, iHeart executives said “faster is better” and said the company had built new technology capabilities that allow it to scale its programming approach.
That language reflects a long-running trend in commercial radio. Large station groups can now use centralized playlists, shared shows, voice tracking, syndicated programming, remote production and data tools to serve multiple markets with fewer local employees.
The result may be more efficient for the company. It may also be less local for listeners.
## What listeners lose
For consumers, the issue is not just whether one favorite DJ keeps a job.
Local radio has historically played several roles at once. It has delivered music, news, traffic, weather, emergency information, school closings, sports chatter, local interviews, fundraisers and public-service announcements. It has also provided companionship — especially for commuters, older listeners, night-shift workers and people who still rely on broadcast radio rather than streaming services.
When long-tenured hosts disappear, stations may lose some of the local memory and personality that made them distinct.
A host who has been in a market for 25 years knows the highways, the neighborhoods, the local sports grudges, the annual charity events, the political rhythms and the listeners who call every morning. Centralized programming can fill airtime, but it may not replace that community knowledge.
The cuts also come at a time when local journalism and local media are already under pressure. Newspapers have shrunk. Local TV has consolidated. Many communities have fewer reporters covering city halls, schools, courts and consumer issues. Radio, even when entertainment-driven, has often been one of the last mass-market local media habits left.
## The bigger radio story
iHeartMedia is not a small company struggling to run a handful of local stations. It is the dominant player in U.S. audio, with hundreds of broadcast stations, a major podcast business, digital platforms and national advertising operations.
The company says it reaches nine out of 10 Americans every month.
That scale gives iHeart enormous reach. It also means that corporate decisions made for efficiency can ripple through dozens of communities at once.
The company is hardly alone in trying to reduce costs or use technology. Radio groups have been consolidating for decades, and many have relied on syndicated or remotely produced programming. But the latest iHeart cuts show how far the industry has moved from the old model of each station being heavily staffed by local programmers, DJs, news people and producers.
To iHeart, the restructuring may look like modernization.
To many listeners, it may sound like another familiar voice going silent.
### Illinois adopts new rules covering Buy Now Pay Later
URL: https://www.consumernews.ai/illinois-adopts-new-rules-covering-buy-now-pay-later/
Last updated: 2026-06-29T20:47:22.000Z
Illinois Governor J.B. Pritzker has signed legislation to protect people who take out [Buy Now Pay Later](https://www.consumernews.ai/buy-now-pain-later/) (BNPL) loans from hidden charges, unaffordable loans, purchase disputes, and [other risks](https://www.nclc.org/resources/risks-and-advice-for-buy-now-pay-later-borrowers/?ref=consumernews.ai).
Most BNPL loans are taken out by people with subprime credit scores and borrowers are disproportionately Black, Hispanic, female, and young.
“Strong protections for Buy Now, Pay Later loans are important, especially as these loans are being used for everyday expenses like groceries, and are being pitched for vital necessities such as rent,” said Lauren Saunders, senior attorney at the National Consumer Law Center (NCLC). “As buy now, pay later loans become ubiquitous, we’re pleased to see the Illinois legislature ... step up to fill gaps in federal and state protections, especially with the dismantling of the Consumer Financial Protection Bureau (CFPB).”
California was the first state to explicitly require licenses for buy now, pay later lenders, and [New York](https://www.nysenate.gov/legislation/laws/BNK/A14-B?ref=consumernews.ai) passed the first comprehensive state law. A recent [issue brief](https://www.nclc.org/resources/states-can-protect-buy-now-pay-later-borrowers/?ref=consumernews.ai) from NCLC shows how other states can adapt and build on the New York law to strengthen protections for borrowers nationwide.
The Illinois law covers closed-end loans with four or fewer installments or a term of 120 days or less. Among other protections, the law:
- Limits BNPL loans to the 36% rate cap that covers other lenders in Illinois, and gives the state regulator the authority to limit late fees and other fees.
- Requires lenders to conduct reasonable risk-based underwriting and to consider the borrower’s ability to repay the loan.
- Prohibits lenders from requiring automated payments or attempting to debit a bank account a second time or more if the account has insufficient funds.
- Gives people the same rights in the case of disputes or errors that people have for credit cards under federal law
- Requires a license even for lenders that do not charge interest.
People often get caught in the middle between the BNPL lender and the store if they return a purchase or don’t get what they paid for. And while the typical four-payment BNPL loan promises “no interest,” some charge a range of hidden junk fees, NCLC said. These unaffordable loans and complicated repayment plans can also trigger overdraft fees, exacerbating affordability concerns and driving people deeper into debt.
Building on the Illinois and New York legislation, states looking to protect residents from harmful BNPL lending practices should ensure that their lending laws cover the different types of BNPL loans, provide clear disclosures, limit fees and interest rates, require assessment of a borrower’s ability to repay, prohibit repeat debiting of bank accounts, and ensure documents are provided in the borrower’s native language, among other key priorities outlined in NCLC’s issue brief.
### About the Illinois law
The Illinois law defines a “buy-now-pay-later loan” as closed-end credit provided to a consumer in connection with a particular purchase of goods or services that either:
- is payable in four or fewer installments; or
- has a term of 120 days or less.
Importantly, the definition expressly includes both no-interest BNPL products and products that impose interest, finance charges, or both.
The definition excludes several categories of transactions, including:
- seller-financed credit in which the creditor is the merchant selling the goods or services (subject to certain exceptions);
- motor vehicle loans;
- residential mortgage loans; and
- loans made to merchants to finance inventory purchases.
### Why it matters
The Illinois Buy-Now-Pay-Later Loan Consumer Protection Act is significant for several reasons.
First, it represents one of the earliest comprehensive state efforts to regulate BNPL providers through a dedicated licensing and supervisory framework.
Second, the Act adopts a broad approach to determining who is subject to regulation, reaching beyond traditional lenders to arrangers, agents, servicers, and other participants in the BNPL ecosystem.
Third, the statute’s anti-evasion and true-lender provisions could have important implications for bank-fintech partnerships and other structures involving entities that might otherwise be regarded as exampt.
Fourth, loans made by an unlicensed person are void and unenforceable.
"Companies participating in the BNPL ecosystem, or otherwise making short term consumer loans, should begin assessing whether they will be required to obtain an Illinois license and whether existing business arrangements could be affected by the Act’s expansive anti-evasion provisions," the prominent law firm Ballard Spahr cautioned in its [blog](https://www.consumerfinancemonitor.com/2026/06/29/illinois-enacts-licensing-and-supervisory-framework-for-buy-now-pay-later-providers/?ref=consumernews.ai).
### More about Buy Now Pay Later ...
[Buy Now, Pain LaterYes, BNPL is popular but oh, the morning after…ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/buy-now-pain-later/)
### DOJ drops criminal baby-formula probe; Abbott avoids charges
URL: https://www.consumernews.ai/doj-drops-criminal-baby-formula-probe-abbott-avoids-charges/
Last updated: 2026-06-29T17:41:49.000Z
In a story that landed late Sunday, [The Wall Street Journal](https://www.wsj.com/us-news/law/the-baby-formula-probe-produced-a-pile-of-evidence-then-the-doj-dropped-the-case-cdc68716?ref=consumernews.ai) reported that the Justice Department had dropped its criminal investigation into Abbott Laboratories over the contaminated Sturgis, Mich., baby-formula plant whose 2022 shutdown helped trigger a nationwide shortage.
Some prosecutors believed they had enough to charge Abbott under "a law previously applied to target other firms for allegedly distributing contaminated food products," and "some supervising officials viewed the case favorably," the [Journal](https://www.wsj.com/us-news/law/the-baby-formula-probe-produced-a-pile-of-evidence-then-the-doj-dropped-the-case-cdc68716?ref=consumernews.ai) reported.
Senior officials nevertheless "chose to terminate the investigation" and pursued instead "a less severe approach: recovering funds that the company generated from selling formula through government-funded nutritional assistance programs."
For concerned consumers, two things stand out.
First, [the Journal](https://www.wsj.com/us-news/law/the-baby-formula-probe-produced-a-pile-of-evidence-then-the-doj-dropped-the-case-cdc68716?ref=consumernews.ai) reports the plant was "suspected of contributing to infant fatalities" and "exacerbating a nationwide shortage" — exactly the facts that consumer advocates argued at the time required criminal accountability, not just a civil clawback.
Second, the decision lands at the same moment Congress and the Food and Drug Administration are still debating tighter formula-plant inspection rules; an absence of criminal charges removes one of the strongest deterrents on the books. WIC families, who depend on government-purchased formula, are precisely the consumers the civil-recovery settlement is calculated against.
### Deadly bacteria behind the shutdown
The plant shutdown came after federal inspectors found traces of Cronobacter sakazakii, a potentially deadly bacteria that can cause serious illness in infants. Abbott recalled formula and shut down the plant in early 2022 after reports of infant illnesses among babies who had consumed formula made there.
The plant closure came at the worst possible time for families. Pandemic supply-chain problems had already strained supplies, and Abbott was one of the dominant producers in a highly concentrated infant-formula market. As shelves emptied, parents searched store to store, switched brands, paid inflated prices online, or sought emergency help from doctors and government agencies.
Now, after a years-long investigation, DOJ officials have reportedly decided not to bring criminal charges. Prosecutors had examined possible violations of the federal Food, Drug and Cosmetic Act and whether Abbott misled the government. At least one individual was reportedly under consideration for possible charges. But senior officials opted for a civil approach, including efforts to claw back profits Abbott earned from formula sold through federally funded nutrition programs such as the USDA's WIC (Women, Infants and Children) [program](https://www.fna.usda.gov/wic/women-infants-and-children-wic?ref=consumernews.ai).
A Justice Department spokeswoman told The Wall Street Journal that food safety remains a priority, but that the department does not believe in “regulation by prosecution.”
### Abbott denies responsibility
Abbott has long denied that its formula caused the infant illnesses. The company has said no unopened, distributed Abbott formula tested positive for the bacteria that sickened babies, and that genetic testing did not link available patient samples to strains found in the plant. CDC testing later found that the available patient samples were not closely genetically related to Cronobacter strains found in environmental samples from the Sturgis facility.
That does not mean the plant was given a clean bill of health. In May 2022, Abbott entered into a federal consent decree with the FDA and DOJ that required corrective actions at Sturgis before production could fully resume. The decree called for outside expert oversight, plans to reduce and control bacterial-contamination risks, and ongoing FDA supervision of the plant’s food-safety practices.
The Sturgis episode exposed deep weaknesses in the U.S. infant-formula system. A single plant shutdown helped create a national emergency because the market was highly concentrated, import barriers limited alternatives, and many low-income families relied on WIC contracts that narrowed their formula options. The crisis forced the federal government to airlift formula from overseas and loosen import restrictions to bring more supply into the country.
For consumers, the DOJ decision means the Abbott case may end not with a criminal courtroom reckoning but with a financial settlement. That outcome is likely to satisfy neither side completely. Abbott maintains that its products were not linked to the illnesses. Food-safety advocates and some families are likely to argue that civil penalties do not provide enough accountability for a crisis that left infants at risk and parents desperate.
The larger question is whether the government has done enough to prevent a repeat. The FDA has since reorganized parts of its food-safety program and continued oversight of Abbott under the consent decree. But the formula market remains vulnerable to disruption, and parents still have limited visibility into how manufacturers, regulators and prosecutors handle safety warnings before they become national emergencies.
> For families, the lesson is unsettling: even when infant food safety problems lead to recalls, shortages and federal investigations, criminal charges are far from certain. The Abbott probe may be over, but the debate over accountability in the baby-formula crisis is not.
### The Southern squeeze: Nashville, Atlanta and the renters who gave up
URL: https://www.consumernews.ai/the-southern-squeeze-nashville-atlanta-and-the-renters-who-gave-up/
Last updated: 2026-06-29T15:43:28.000Z
For years, Southern cities pitched themselves as a refuge from California and New York prices. That refuge is shrinking. In a deeply reported feature, [Bloomberg](https://www.bloomberg.com/news/features/2026-06-29/high-gas-prices-and-home-prices-make-atlanta-nashville-less-affordable?ref=consumernews.ai) found Nashville house prices up "almost 60 percent" since the end of 2019, with property taxes and home-insurance expenses "surging."
Lauren Morales, standing on the rooftop of Acme Feed & Seed in downtown Nashville — where business property taxes have "more than quadrupled in the past few years" — told [Bloomberg](https://www.bloomberg.com/news/features/2026-06-29/high-gas-prices-and-home-prices-make-atlanta-nashville-less-affordable?ref=consumernews.ai): "Something has got to give. It might be game over for us."
The corporate boom Nashville welcomed is part of the squeeze. Oracle is planning an 80-acre campus that will bring 8,500 jobs to the East Bank by 2031, Starbucks is moving thousands of employees from Seattle into a new glass office tower, and the Tennessee Titans' new $2 billion stadium is rising across the Cumberland River, [Bloomberg reported](https://www.bloomberg.com/news/features/2026-06-29/high-gas-prices-and-home-prices-make-atlanta-nashville-less-affordable?ref=consumernews.ai).
Each project pulls in higher-paid workers; each pushes longtime residents further from the city center.
### Renting now cheaper than owning
That math is changing how Americans think about ownership itself. [CNBC](https://www.cnbc.com/2026/06/28/some-renters-say-homeownership-isnt-part-of-their-american-dream.html?ref=consumernews.ai) reported Sunday that "renting is now cheaper than owning in every large metro in the country," citing a January LendingTree analysis of Census data.
A CNBC/SurveyMonkey "American Dream Pulse Survey" found 58 percent of respondents still believe they would need to own a home to feel they had achieved the American Dream — but the people CNBC interviewed are walking away from that goal.
One Los Angeles County renter said a comparable home would cost about $5,700 a month versus the $3,750 she pays in rent, "almost $2,000 more per month" before taxes, and noted her household would need "$90,000 more a year" in income to keep the same share going to housing, [CNBC reported](https://www.cnbc.com/2026/06/28/some-renters-say-homeownership-isnt-part-of-their-american-dream.html?ref=consumernews.ai).
Whitney Airgood-Obrycki of the [Harvard Joint Center for Housing Studies](https://www.jchs.harvard.edu/?ref=consumernews.ai) told [CNBC](https://www.cnbc.com/2026/06/28/some-renters-say-homeownership-isnt-part-of-their-american-dream.html?ref=consumernews.ai) that higher-income households have been driving rental demand for the last five to 10 years, reflecting "a shift in what's available and what's culturally acceptable given how expensive it is to buy."
[The Wall Street Journal](https://www.wsj.com/lifestyle/travel/these-americans-are-scrimping-to-save-their-summer-vacations-fba2419d?ref=consumernews.ai) added a complementary data point Sunday: Texas RV traveler Tina Morgan and her husband, faced with an April fill-up that "exceeded $200 for the first time," cut a planned trip to seven national parks down to two shorter drives — Mammoth Cave in Kentucky and the Great Lakes — and bought an air fryer to skip restaurants. They cut their summer travel budget from $8,000 to $3,000, the [Journal](https://www.wsj.com/lifestyle/travel/these-americans-are-scrimping-to-save-their-summer-vacations-fba2419d?ref=consumernews.ai) reported.
The Morgans are not in foreclosure or in a food bank line. They are middle-class consumers absorbing what households are absorbing across the country: higher fuel, higher housing, higher everything.
### Prime Day's record total masks a smaller average basket
URL: https://www.consumernews.ai/prime-days-record-total-masks-a-smaller-average-basket/
Last updated: 2026-06-29T14:04:31.000Z
Amazon's annual Prime Day finished its longest run yet — June 23 through June 26 — with U.S. online spending of more than $26.4 billion, up 9.3 percent from a year earlier, according to Adobe Analytics data carried on [Reuters' retail page](https://www.reuters.com/business/retail-consumer/?ref=consumernews.ai).
Shoppers "clawed for deals on electronics, appliances, items for children and everyday essentials," [Reuters](https://www.reuters.com/world/us/?ref=consumernews.ai) reported. The Amazon outage that briefly knocked the site offline for thousands of users Thursday only added to the urgency to buy when the site came back up.
But under the topline, the basket told a more sober story. CFRA and AlixPartners analysts told CNBC during the event that the average order ran $47.66, down from $53.34 a year earlier — a sign that shoppers were buying more, smaller, lower-priced items rather than splurging on big-ticket goods.
The pattern lines up with the broader consumer data the [Associated Press](https://apnews.com/hub/inflation?ref=consumernews.ai) has been tracking: an "affordability squeeze" pushing households to spread the same — or smaller — budget across more transactions. Even Amazon's CEO of Worldwide Stores told Reuters in coverage of the event that the company saw "strong demand" for essentials over discretionary categories.
The political backdrop: President Trump used the run-up to Prime Day to threaten a 100 percent tax on imports from countries that impose digital-services taxes on U.S. firms, [the AP reported June 26](https://apnews.com/hub/tariffs?ref=consumernews.ai).
The U.S. Trade Representative has also proposed extra tariffs "of 10 percent or more" on most major trading partners after a forced-labor probe, [the AP said](https://apnews.com/hub/tariffs?ref=consumernews.ai), with a 10 percent worldwide tariff still being collected after a federal appeals court allowed it to continue.
Each of those moves, if implemented, lands on the same online cart the Adobe data was measuring.
### War premium on gas lingers as fragile settlement wobbles
URL: https://www.consumernews.ai/war-premium-on-gas-lingers-as-fragile-settlement-wobbles/
Last updated: 2026-06-29T13:58:52.000Z
A weekend of renewed U.S.-Iran strikes nudged oil back up Monday morning and reminded American households that the war premium on gasoline has not gone away, even as Washington and Tehran say they have agreed — again — to halt attacks ahead of new talks.
U.S. and Iranian officials said Sunday night they would halt fresh attacks on each other and return to peace talks, but only after a weekend of strikes that briefly rattled energy markets. American aircraft hit Iranian missile and drone storage and coastal radar sites over the weekend, with President Donald Trump writing on Truth Social that the action came because Tehran was "violating the Cease Fire Agreement, AGAIN," according to [CNBC's live coverage](https://www.cnbc.com/2026/06/28/stock-futures-today-live-updates.html?ref=consumernews.ai).
Kuwait and Bahrain reported incoming missiles and drones overnight, and a Pakistani source told MS NOW that negotiations were "on hold" with delegations still in Switzerland waiting to resume, [CNBC reported](https://www.cnbc.com/2026/06/28/stock-futures-today-live-updates.html?ref=consumernews.ai).
By Monday morning Brent crude was trading at about $72.57 a barrel, up 0.8 percent, with West Texas Intermediate up 1.1 percent at roughly $70, [CNBC said](https://www.cnbc.com/2026/06/28/stock-futures-today-live-updates.html?ref=consumernews.ai). [The Wall Street Journal](https://www.wsj.com/finance/commodities-futures/oil-rises-amid-renewed-supply-disruption-concerns-887b1808?ref=consumernews.ai) put front-month WTI at $69.78 and Brent slightly higher, citing fresh worries that Iran would assert "exclusive authority" over the Strait of Hormuz; Foreign Minister Abbas Araghchi made the claim after several days of reciprocal attacks involving U.S. forces. ANZ Research analysts told the [Journal](https://www.wsj.com/finance/commodities-futures/oil-rises-amid-renewed-supply-disruption-concerns-887b1808?ref=consumernews.ai) that the market may need to reassess "a swift rebound in oil supplies from the Persian Gulf."
[Bloomberg](https://www.bloomberg.com/news/newsletters/2026-06-29/us-iran-agree-to-halt-attacks-on-each-other-ahead-of-talks?ref=consumernews.ai) reported that U.S. equity-index futures rose after the two sides "backed away from a fresh escalation of their conflict, easing concerns over the fragile ceasefire underpinning peace talks."
For households, the issue is the gap between headline ceasefires and the war premium that has been baked into U.S. pump prices since spring. As the [Associated Press inflation hub](https://apnews.com/hub/inflation?ref=consumernews.ai) notes, the Federal Reserve's preferred inflation gauge rose to a fresh three-year high in May "as gas prices peaked," and producer prices climbed 6 percent on the year because the 10-week Iran war "pushed up energy prices and put pressure on companies to raise prices."
### **Fed's Barkin: "Those numbers are too high"**
Richmond Fed President Tom Barkin used the Aspen Ideas Festival on Sunday to send a blunt message that consumers should not expect interest-rate relief any time soon. "Those numbers are too high," Barkin told [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-28/fed-s-barkin-warns-of-high-inflation-but-sees-signs-of-relief?ref=consumernews.ai), referring to the latest inflation readings, even as he said he saw "tentative signs that price pressures may moderate soon."
The remarks landed at a delicate moment. The [AP inflation hub](https://apnews.com/hub/inflation?ref=consumernews.ai) recapped a week of news showing the personal consumption expenditures index hitting a new three-year high in May, with consumer prices having jumped for the third straight month in part because of the Iran war's effect on gasoline.
The AP also flagged that producer prices, an early read on what shoppers will see at checkout, rose at their fastest pace since November 2022\. [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-28/hawkish-fed-throws-down-challenge-for-emerging-market-bond-rally?ref=consumernews.ai) said a "hawkish Fed" is now casting a shadow over global bond rallies, while gold fell Monday on "fresh US-Iran tension" that "fans inflation concerns," [the news service reported separately](https://www.bloomberg.com/news/articles/2026-06-29/gold-declines-as-fresh-us-iran-tension-fans-inflation-concerns?ref=consumernews.ai).
Real households are feeling all of it. The [Associated Press](https://apnews.com/hub/inflation?ref=consumernews.ai) has reported in recent weeks that grocery prices rose in April even before the worst of the gas spike, that consumer confidence is sliding, and that producer prices "shot up 6 percent" — the kind of pipeline pressure that typically forces companies to pass costs along.
> The takeaway is that the Fed is no longer the consumer's friend on prices: officials such as Barkin are publicly preparing households for higher-for-longer rates and stubborn inflation, even as the political pressure to cut grows.
### NYC freezes rents for 1 million apartments, reigniting a national debate
URL: https://www.consumernews.ai/nyc-freezes-rents-for-1-million-apartments-reigniting-a-national-debate/
Last updated: 2026-06-28T19:36:00.000Z
New York City has frozen rents on about 1 million rent-stabilized apartments, delivering a major victory to tenant advocates and setting off a new round of warnings from landlord groups that the policy will worsen the city’s housing shortage.
The city’s [Rent Guidelines Board](https://rentguidelinesboard.cityofnewyork.us/?ref=consumernews.ai) voted 7–1 to freeze rents on one- and two-year leases for rent-stabilized apartments beginning Oct. 1, 2026\. The freeze applies to a huge slice of New York’s rental market — roughly 40% of the city’s apartments — and comes as housing costs remain one of the biggest affordability problems for consumers.
Mayor Zohran Mamdani called the vote a major step toward making the city livable for working New Yorkers. Tenant advocates said the freeze was overdue, noting that rent-stabilized tenants have faced years of rent increases while groceries, utilities, transportation and medical costs have also risen.
Landlord groups see it very differently. They argue that a freeze ignores rising operating costs, including insurance, repairs, taxes, labor, fuel and financing. Some owner representatives accused the administration of stacking the Rent Guidelines Board and said the outcome was predetermined.
The fight highlights a larger question now facing cities around the country: Should government limit rent increases to protect tenants, or does that make housing shortages worse by discouraging maintenance and new construction?
## NYC already had rent control — this is a rent freeze
New York City did not just adopt rent control for the first time. It has had rent control and rent stabilization for decades.
Traditional rent control applies to a relatively small number of older apartments occupied continuously by long-term tenants or their lawful successors. Rent stabilization is broader and covers about 1 million apartments. In rent-stabilized units, annual increases are normally set by the Rent Guidelines Board.
What is new is the freeze. For the 2026 lease cycle, the board approved a 0% increase for both one-year and two-year leases. That is more aggressive than the usual system, in which the board sets annual percentage increases after reviewing owner costs, tenant incomes, vacancy rates and broader housing conditions.
For tenants, the freeze means badly needed breathing room. For owners, it means no increase in regulated rental income even as building expenses continue to rise.
## Rent regulation is still uncommon in the U.S.
Rent control is much less common in the United States than many people assume.
The main examples are New York, California, Oregon, Washington, D.C., New Jersey municipalities, parts of Maryland, and a small number of local experiments such as St. Paul, Minnesota. California and Oregon have statewide rent-stabilization laws. Washington state recently adopted a statewide cap on rent increases. Washington, D.C. has local rent control on many older units. New Jersey has numerous local ordinances, but rules vary by municipality.
In Maryland, Takoma Park has long had rent stabilization, and Montgomery County adopted a rent-stabilization law limiting many increases to inflation plus a margin, subject to a cap.
But most U.S. cities do not have rent control — and many are legally barred from adopting it. Landlord groups say a majority of states preempt local rent-control laws, meaning city councils cannot enact them even if local residents support the idea.
That makes New York City’s freeze a national outlier. It is not just a local housing rule; it is a test case watched by tenant advocates, landlords, economists and elected officials around the country.
## Europe regulates rents much more often
Europe offers a very different picture.
Rent regulation is common across much of Europe, especially in countries with large rental sectors and strong tenant protections. But Europe’s systems are usually more complicated than a simple rent freeze.
Germany uses local reference-rent systems and limits increases in tight housing markets. France allows rent caps in some cities and has limited rent-indexation increases during periods of high inflation. Spain has used temporary caps and has introduced rent controls in designated stressed housing markets. Ireland uses Rent Pressure Zones, where annual increases are limited. The Netherlands uses a points-based system for much of the rental market and has expanded regulation into mid-priced units. Scotland used emergency rent caps during the cost-of-living crisis.
The common European approach is not necessarily a permanent freeze. It is more often a formula: rent increases may be tied to inflation, wages, local market averages, a legal point score, or a cap set by national or local law.
In other words, Europe does regulate rents far more widely than the U.S., but outright rent freezes are usually temporary emergency measures rather than the basic long-term model.
## Why rent freezes are controversial
Supporters say rent freezes are a direct response to a direct problem: tenants cannot keep up.
In New York, the gap between stabilized rents and market-rate rents is enormous. Stabilized apartments average far less than newly leased market-rate units, which helps explain why tenant advocates see the freeze as essential protection against displacement.
They also argue that renters have already absorbed too much of the housing crisis. If wages are not rising fast enough and vacancy rates remain tight, they say, allowing another rent increase simply transfers more household income to landlords while pushing more families toward eviction, overcrowding or displacement.
Landlord groups counter that rent freezes can backfire.
They say owners still must pay property taxes, insurance premiums, heating costs, building staff, repairs, utilities and debt service. If income is frozen while costs rise, they argue, owners may defer maintenance, delay renovations, keep units vacant, or sell to larger operators better able to absorb losses.
Some critics also warn that the freeze may push pressure onto market-rate tenants. If regulated rents cannot rise, owners with unregulated units may try to recover more revenue from those apartments, widening the gap between protected tenants and everyone else.
## The landlord argument: costs don’t freeze
Owner groups’ central argument is simple: government can freeze rent, but it cannot freeze the cost of running a building.
Small landlords say they are especially vulnerable. Large real-estate companies may have broader portfolios, access to financing, and professional management. Smaller owners often rely on rent income to cover mortgages, repairs and taxes.
Landlord groups also argue that strict rent rules discourage investment in older buildings. If owners cannot recover the cost of major repairs through higher rents, they may be less likely to upgrade heating systems, elevators, roofs or plumbing.
The real-estate industry also warns that strict rent controls can discourage new rental construction, though many rent-control laws exempt new buildings for a period of time or permanently.
Tenant advocates respond that landlords have made similar arguments for decades and that the city’s affordability emergency requires stronger action. They say a freeze does not eliminate owner income; it simply prevents another increase during a period when many tenants are already rent-burdened.
## What it means for consumers
For renters in stabilized apartments, the NYC freeze is immediate pocketbook relief. It means one major household bill will not rise when leases renew during the covered period.
For market-rate renters, the effect is less certain. They do not get the freeze. Some could face continued increases if landlords shift pricing pressure to unregulated units.
For homeowners and taxpayers, the issue is more indirect. If rent-stabilized buildings fall behind on repairs or taxes, the city could eventually face pressure to provide subsidies, tax relief, insurance support or other aid. If the freeze helps prevent displacement and homelessness, it could reduce pressure on shelters and social services.
For other cities, New York’s action will likely become a political reference point. Tenant groups may use it as proof that local governments can act quickly on rent affordability. Landlord groups will use it as a warning about political interference in housing markets.
## The larger housing problem remains
Rent regulation can slow rent increases for covered tenants, but it does not by itself create enough housing.
That is the core tension in the rent-control debate. Tenant protections can stabilize households and prevent displacement, but economists and housing experts often warn that strict controls can reduce supply if they discourage construction or maintenance.
The most durable housing strategies usually combine tenant protections with more housing production, preservation of older affordable buildings, rental assistance, stronger code enforcement, and zoning reforms that allow more homes to be built where people need them.
New York’s rent freeze may help 1 million households avoid another increase. But it will not end the city’s housing shortage, lower market-rate rents, or solve the affordability crisis for renters who are not protected by stabilization.
That makes the freeze both a major policy shift and a reminder of how deep the housing crisis has become.
### Social Security checks could rise nearly 4% in 2027 — but seniors may not feel richer
URL: https://www.consumernews.ai/social-security-checks-could-rise-nearly-4-in-2027-but-seniors-may-not-feel-richer/
Last updated: 2026-06-28T16:08:13.000Z
Social Security recipients could see a bigger benefit increase in 2027, but consumer advocates caution that a larger cost-of-living adjustment is not the same thing as getting ahead.
The [Senior Citizens League](https://seniorsleague.org/?ref=consumernews.ai), which tracks Social Security buying power, estimates that the 2027 cost-of-living adjustment, or COLA, could be about 3.8%. That would be a full percentage point higher than the 2.8% increase beneficiaries received for 2026.
If that forecast holds, the average retired worker’s monthly benefit would rise by roughly $77, from about $2,026 to about $2,103, according to the group’s estimate.
But the number is still only a projection. The official COLA will not be known until fall, after the government calculates inflation for July, August and September. Social Security’s annual COLA is based on the Consumer Price Index for Urban Wage Earners and Clerical Workers, known as the CPI-W, during the third quarter of the year.
## Inflation is pushing the estimate higher
The 2027 COLA forecast has moved up because inflation has accelerated in several categories that hit older households especially hard.
The Bureau of Labor Statistics said [consumer prices](https://www.bls.gov/news.release/cpi.nr0.htm?ref=consumernews.ai) rose 4.2% over the 12 months ending in May. The CPI-W, the index used in the Social Security COLA formula, rose 4.4% over the same period.
Energy was a major factor. The government said the energy index rose 23.5% over the past year, while gasoline prices were up 40.5%. Food, shelter, medical care and utilities also remain pressure points for older consumers, especially those living on fixed incomes.
For retirees, that means a larger COLA may simply be a sign that essentials are getting more expensive.
## How the COLA works
The Social Security Administration does not set the COLA by political decision or by a general estimate of senior costs. It follows a formula.
The agency compares the average CPI-W for July, August and September with the average for the same three months the year before. If the index rises, benefits rise by the same percentage, rounded to the nearest one-tenth of 1%.
That formula produced a 2.8% COLA for 2026\. Benefits payable in January 2026 increased by 2.8%, and SSI payments for January began at the end of December because Jan. 1 was a holiday.
For 2027, the final number could still change. A drop in gasoline prices or a slowdown in inflation over the summer could pull the COLA estimate down. Continued pressure on energy, rent, food or medical costs could push it higher.
## The Medicare squeeze
Even if Social Security checks rise, many beneficiaries may see a smaller net gain because Medicare premiums are commonly deducted directly from monthly benefits.
That is especially important for older adults enrolled in Medicare Part B. Premiums and deductibles often rise over time, and when they do, they can absorb part of the annual Social Security increase.
For many retirees, the practical question is not, “How big is the COLA?” but “How much of it will be left after Medicare, rent, insurance, prescriptions, groceries and utilities?”
## Why seniors still feel behind
A 3.8% COLA would be larger than this year’s increase, but it would not necessarily restore lost buying power.
The Senior Citizens League argues that Social Security benefits have not kept up with the real cost of living faced by older Americans. Housing, health care, insurance and energy tend to take a larger share of retiree budgets than they do for younger wage-earner households.
That has led some advocates to argue that the government should use a senior-focused inflation index, sometimes called CPI-E, instead of CPI-W. CPI-E gives more weight to expenses common among older households, including medical care. Congress has considered the idea over the years, but it has not become the standard formula.
## A bigger check does not fix Social Security’s funding problem
The COLA debate is unfolding as Social Security’s long-term finances remain under pressure.
The [2026 Social Security Trustees Report](https://www.consumernews.ai/social-security-medicare-face-earlier/) projected that the Old-Age and Survivors Insurance Trust Fund, which pays retirement and survivor benefits, will be able to pay full scheduled benefits until the fourth quarter of 2032\. After that, continuing revenue would be enough to pay 78% of scheduled benefits unless Congress acts.
The combined retirement, survivor and disability trust funds are projected to be able to pay full benefits until the third quarter of 2034, after which revenue would cover 83% of scheduled benefits.
That does not mean Social Security is disappearing. Payroll taxes would still come in. But without legislative changes, beneficiaries could face an automatic cut once reserves are depleted.
## What consumers should do now
The 2027 COLA will not be official until later this year, so retirees should treat current estimates as planning numbers, not guaranteed income.
Consumers can take several practical steps:
- Check their Social Security account to make sure earnings records are accurate.
- Review Medicare coverage before open enrollment, especially if premiums, drug costs or plan networks change.
- Build a 2027 household budget using conservative assumptions.
- Watch for scams. The Social Security Administration will not call unexpectedly to demand payment, threaten arrest or require gift cards, cryptocurrency or wire transfers.
- Remember that a higher COLA usually means inflation is higher too.
For millions of older Americans, Social Security is the financial foundation of retirement. A near-4% increase would help, but it would not erase the strain of rising prices — and it would not solve the larger question of whether Congress will shore up the program before the next decade’s projected shortfall.
### Benadryl is still everywhere. Brain-health warnings haven’t slowed its use
URL: https://www.consumernews.ai/benadryl-is-still-everywhere-brain-health-warnings-havent-slowed-its-use/
Last updated: 2026-06-28T20:34:21.000Z
Benadryl has been a medicine-cabinet staple for generations, used for allergies, itching, colds and, unofficially, as a sleep aid. But the familiar pink box is also part of a drug class that has long worried geriatricians, neurologists and pharmacists: **anticholinergics**.
The concern is not that a single emergency dose of Benadryl will cause Alzheimer’s disease. It is that repeated use — especially by older adults, and especially when combined with other drugs that have similar effects — may add to what doctors call “anticholinergic burden.”
That burden matters because anticholinergic drugs block acetylcholine, a neurotransmitter that helps regulate memory, attention and learning. Alzheimer’s disease itself is associated with loss of cholinergic function, which is one reason some Alzheimer’s drugs are designed to preserve acetylcholine activity. Taking a drug that blocks that system can cause short-term confusion, sedation, dizziness, dry mouth, constipation and urinary retention. In older adults, those side effects can also increase the risk of falls, delirium and medication-related harm.
### A 2015 warning
The best-known warning came from a [2015 study](https://www.eurekalert.org/news-releases/644215?ref=consumernews.ai) in JAMA Internal Medicine, which followed thousands of older adults and found that higher cumulative exposure to strong anticholinergic medications was associated with a higher risk of developing dementia. The study included several drug categories, including first-generation antihistamines such as diphenhydramine, older antidepressants and bladder-control medications.
That study did not prove causation. People may take these medications because of underlying health problems that are themselves linked to dementia risk. Sleep problems, depression, urinary symptoms and chronic illness can all complicate the picture. But the dose-response pattern — more exposure, higher risk — made the findings hard to ignore.
Now researchers are trying to answer the question epidemiology alone cannot settle: are some of these drugs directly harmful to brain cells?
A [2025 study](https://sop.washington.edu/higher-dementia-risk-linked-use-common-drugs/?ref=consumernews.ai) led by University of Washington researchers used human induced pluripotent stem-cell-derived neurons to test several anticholinergic medications in a lab setting. The approach allowed scientists to examine drug effects on brain-like cells without some of the confounding factors that affect population studies.
The results were nuanced. Antidepressants and bladder antimuscarinic drugs — two anticholinergic classes that have been repeatedly linked to dementia risk — were consistently toxic to the lab-grown neurons. Antihistamines and antispasmodics did not show the same overt cytotoxicity at the doses and time points tested. Some drugs also affected amyloid-beta peptides, which are involved in Alzheimer’s pathology, although the study did not find significant changes in the ratio of phosphorylated tau to total tau.
> In plain English: the newer study strengthens the case that some anticholinergic drugs may have direct biological effects relevant to dementia risk, but it does not prove that Benadryl alone causes Alzheimer’s.
That distinction is important for consumers. Benadryl is widely available, inexpensive and familiar. It is also found in or alongside many nighttime products, including sleep aids and “PM” pain relievers. Consumers may not realize they are taking diphenhydramine because they are buying it under a different brand name or as part of a combination product.
The [American Geriatrics Society’s Beers Criteria](https://agsjournals.onlinelibrary.wiley.com/doi/epdf/10.1111/jgs.18372?ref=consumernews.ai) — a widely used guide to medications that may be inappropriate for older adults — lists oral diphenhydramine as highly anticholinergic and generally recommends avoiding it in people 65 and older. The criteria note that it may still be appropriate in limited circumstances, such as acute treatment of a severe allergic reaction, but not as a routine sleep aid or everyday allergy remedy.
### Newer drugs recommended
For allergies, many clinicians recommend newer antihistamines such as loratadine, cetirizine or fexofenadine, which are less sedating and have fewer anticholinergic effects. For chronic insomnia, experts generally advise against using Benadryl as a long-term solution and recommend discussing safer approaches with a clinician.
The practical message is simple: consumers should not panic over occasional past use, but they should check labels and avoid making diphenhydramine a habit — especially older adults, people with memory concerns, and anyone already taking other anticholinergic drugs.
Drug risks often hide in plain sight. Benadryl’s familiarity may be part of the problem. Because it is sold over the counter, many people assume it is harmless. The growing body of evidence suggests a more cautious view: useful in some situations, risky when overused, and worth discussing with a doctor or pharmacist before it becomes part of a nightly routine.
## What consumers can do
- Check the active ingredient on allergy, cold and sleep products. Diphenhydramine may appear under several brand names.
- Ask a pharmacist to review all prescription and over-the-counter drugs for anticholinergic burden, especially for older adults.
- Do not use Benadryl or other diphenhydramine products as a nightly sleep aid without medical advice.
- Ask about newer allergy medicines that are less likely to cause sedation or confusion.
- Seek urgent medical care for serious allergic reactions, breathing problems, swelling of the lips or throat, or symptoms of anaphylaxis.
### National Safety Recalls - June 27
URL: https://www.consumernews.ai/national-safety-recalls-june-27/
Last updated: 2026-06-28T13:59:02.000Z
##
### Top hazards today
**Treatlife smoke/CO detectors** — Recalled because they can fail to alert consumers to a fire, creating a risk of serious injury or death. Sold on Amazon. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Raychy children’s light-up sneakers** — Recalled because accessible lithium coin batteries pose ingestion hazards; swallowed button batteries can cause internal burns and death. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Montessori busy board toys** — Sold on Amazon; recalled because magnets can detach and, if swallowed, cause intestinal perforations, blockage, blood poisoning or death. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**MedPride baby oil bottles** — Recalled because packaging is not child-resistant; ingestion can cause chemical pneumonia or fatal lung injury. About 8,420 units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Hyundai Tucson SUVs** — Hyundai is recalling about 96,300 vehicles because a software error can cause the instrument panel display to fail. ([Reuters](https://www.reuters.com/legal/litigation/hyundai-recall-over-96000-us-vehicles-over-faulty-instrument-panel-display-nhtsa-2026-06-26/?utm%5Fsource=chatgpt.com))
### Other major recalls
**Super Off-Road solar power banks** — Lithium-ion batteries can swell and overheat; about 7,400 U.S. units recalled. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Lomi waxing kits** — Expanded recall of about 14,700 kits because power cords can overheat and short-circuit, creating fire, burn and shock hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Yamazuki youth ATVs** — About 200 recalled because missing brake lights create a deadly crash hazard. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Ridstar e-bikes** — CPSC warns consumers to stop using them because the front wheel can detach without warning. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
### Food and drug recalls
**TNVitamins moringa capsules and powder** — FDA-posted recall for possible Salmonella contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
**La Colonia / Selectos Latinos / Clover Hill cheeses** — FDA-posted recall for possible Listeria contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
**Bakr cookie dough** — Brown Butter Chocolate Chunk Ready to Bake Cookie Dough recalled for undeclared soy. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
**Reser’s / Molly’s Kitchen pasta salad** — FSIS recall: pasta salad may contain chicken salad with undeclared egg and milk. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/resers-fine-foods-inc--recalls-ready-eat-pasta-salad-product-due-misbranding-and?utm%5Fsource=chatgpt.com))
### Worth watching
NHTSA closed investigations involving Tesla power-steering issues and Honda Odyssey vehicles after recalls addressed the concerns. ([Reuters](https://www.reuters.com/business/autos-transportation/us-safety-agency-ends-power-steering-probe-into-376000-tesla-evs-2026-06-27/?utm%5Fsource=chatgpt.com))
### 'We buy any house, even yours' - good idea, or not?
URL: https://www.consumernews.ai/we-buy-any-house-even-yours-good-idea-or-not/
Last updated: 2026-07-10T13:23:23.000Z
I was surprised a few days ago to get an unsolicited cash offer for our house in the Washington, D.C., area. The house wasn't listed for sale anywhere and no one except my trusty Meta smart glasses knew we were thinking of selling.
The price offered was about $150,000 under the going rate in the neighborhood but I'm a curious guy so I let the would-be buyer send a rep out to visit and tour the house, even though the letter promised "no inspections."
After some stilted conversation and an abbreviated tour, the rep left, urging a quick turnaround on the offer.
Like everyone, I've seen the "We buy any house" signs tacked on telephone poles but I didn't know much more about it. A little research found that consumer advocates and regulators are more than a little familiar with some of the larger players.
They generally draw a sharp distinction between legitimate cash buyers and predatory “we buy houses” operators. Their basic view is that the cash-sale model can be useful for someone who needs speed, certainty or an as-is sale, but it is also ripe for abuse because sellers often give up tens of thousands of dollars in equity without realizing it.
### FTC: Sellers were misled
The [FTC’s Opendoor](https://www.reuters.com/legal/government/real-estate-firm-opendoor-pay-39-million-settle-us-investor-class-action-2025-06-16/?ref=consumernews.ai) case is the clearest federal enforcement marker. In 2022, the FTC alleged that Opendoor misled sellers into thinking they would make more money selling to Opendoor than on the open market.
But, the agency said, most sellers actually made thousands less, because Opendoor’s offers were below market on average and its costs were higher than typical traditional-sale costs. Opendoor agreed to pay $62 million and stop making deceptive claims about likely proceeds and costs.
The consumer-advocate critique is not simply “cash offers are bad.” It is that the pitch often targets people under pressure: older homeowners, heirs, people facing foreclosure, owners of homes needing repairs, people recently divorced or bereaved, and homeowners sitting on large equity but short on cash.
[ProPublica’s reporting](https://www.propublica.org/article/senators-call-for-scrutiny-of-homevestors?ref=consumernews.ai) on HomeVestors' “We Buy Ugly Houses” found allegations that some franchisees used deception and targeted people in vulnerable circumstances; then-CFPB Director Rohit Chopra called the practices “very troubling” and said DOJ and state attorneys general should be alerted where federal jurisdiction is limited.
The economic reality is also important. [Academic research](https://papers.ssrn.com/sol3/papers.cfm?abstract%5Fid=3616555&ref=consumernews.ai) on iBuyers found that sellers accept a discount in exchange for speed and certainty. One study found iBuyers bought homes at an average 3.6% discount relative to comparable traditional sales. On a $1.2 million house, that would be roughly $43,000 before considering any service fees, repair credits, or other adjustments.
State consumer agencies warn that some “we buy homes” pitches are outright scams. The North Carolina Attorney General’s office says scammers may use “we buy homes” ads to get struggling homeowners to sign over control or title while leaving them responsible for the mortgage.
[Its advice](https://ncdoj.gov/protecting-consumers/mortgages-home-loans/we-buy-homes-scams/?ref=consumernews.ai) is blunt: beware of anyone who asks you to sign over title based on promises, and talk directly to your lender if mortgage trouble is the issue.
### Stronger rules needed
Advocates have pushed for stronger rules. The National Consumer Law Center’s Sarah Bolling Mancini has argued that homeowners who have never publicly listed their houses should have an easy way to cancel a signed contract, because listing exposes the property to competing offers and helps establish fair market value.
Other [suggested protections](https://www.newsfromthestates.com/article/homeowners-trying-escape-we-buy-ugly-houses-deals-find-little-relief-state-federal-laws?ref=consumernews.ai) include cooling-off periods, mandatory written cancellation forms, and penalties for persistent unsolicited calls, texts, postcards, or “bandit signs.”
For a homeowner, the practical takeaway is:
**The cash offer is not the market value.** It is a wholesale price that pays you for speed and certainty while giving the buyer room to profit.
**Always get a market comparison.** Before signing anything, ask a reputable local Realtor or appraiser what the house would likely bring if listed publicly, even as-is.
**Watch for repair-credit games.** A common risk is a high initial offer followed by a lower final offer after inspection.
**Do not sign anything on the spot.** Especially avoid contracts that include assignment rights, long lock-up periods, penalties for backing out, or vague “service” or “processing” fees.
In general, the usual consumer-advocate advice would be: get the cash offer in writing, then compare it against a public listing estimate and a conventional cash-buyer estimate from a local agent. The difference is the price of convenience.
### California drivers sue gas station chains, claiming AI helped inflate pump prices
URL: https://www.consumernews.ai/california-drivers-sue-gas-station-chains-claiming-ai-helped-inflate-pump-prices/
Last updated: 2026-06-26T21:33:36.000Z
California drivers already pay some of the highest gasoline prices in the country. Now a new federal lawsuit says part of the reason may be artificial intelligence.
A proposed class-action lawsuit filed in federal court in Sacramento accuses several major gas station operators — including Marathon, Circle K, BP, Speedway, EG America, Walmart and Albertsons — of using Kalibrate, an AI-powered fuel-pricing system, to coordinate higher prices at the pump.
The lawsuit – *Casciani et al. v. Knowledge Support Systems Inc.*– describes Kalibrate as the “central nervous system” of an alleged scheme to reduce or eliminate price competition among gas stations.
Instead of each station independently deciding whether to cut prices to attract customers, the complaint says Kalibrate allowed competing retailers to feed sensitive pricing, cost and sales-volume data into a common system that could recommend higher prices across a market.
The companies named in the lawsuit collectively operate more than 1,700 gas stations in California, according to the complaint. The proposed class would cover California drivers who bought gasoline at stations using Kalibrate software since June 2022.
The defendants have not yet answered the allegations in court. Kalibrate and the gas-station operators did not immediately respond to media requests for comment, according to reports.
## The allegation: price fixing without the back room
Traditional price fixing is often imagined as executives secretly agreeing to raise prices. The California lawsuit says the modern version can happen through software.
> “As technology has advanced, so too have the mechanisms available to competitors to fix prices without the cigars, the smoke, or even the room,” the complaint says.
The lawsuit claims Kalibrate’s system discourages stations from undercutting nearby competitors and warns that aggressive discounting can trigger a “downward spiral.” The plaintiffs say that means the software does not simply help stations analyze the market; it allegedly helps competitors avoid competing.
One feature singled out in the complaint is a “restoration” tool that allegedly helps many stations in an area raise prices at roughly the same time and by a substantial amount. Plaintiffs say that kind of coordinated pricing can lift the floor for an entire local market, affecting even consumers who buy from stations not directly named in the lawsuit.
The complaint also says Kalibrate’s marketing materials encouraged gas retailers to turn over much of their pricing decision-making to the software. In one section, the lawsuit says Kalibrate has promoted the idea that users can automate as much as 90% of their pricing decisions.
## What it could cost drivers
The lawsuit cites research on algorithmic fuel-pricing software that found average price increases of about 6 cents per gallon, with increases as high as 30 cents per gallon in markets where many stations used the technology.
That may sound small on a single fill-up. But across California’s enormous gasoline market, pennies add up quickly. The lawsuit estimates that each additional cent per gallon costs California drivers about $134 million a year statewide.
For a commuter filling a 15-gallon tank once a week, a 6-cent increase would add about 90 cents per tank, or roughly $47 a year. A 30-cent increase would add $4.50 per tank, or more than $230 a year. For households with multiple vehicles, long commutes or lower incomes, the impact can be much larger.
The complaint argues that those costs are especially painful in California, where drivers already face high fuel prices because of taxes, environmental rules, refinery constraints and recurring supply shocks.
## Why this lawsuit matters beyond gasoline
The case lands in the middle of a broader national fight over algorithmic pricing.
Regulators and private plaintiffs have increasingly focused on software systems that collect competitors’ data and use it to recommend prices. The concern is not that businesses use software to set prices; nearly all large retailers do. The concern is that competitors may be relying on the same pricing engine, fed by shared data, to reach similar high-price outcomes without having to communicate directly.
The Department of Justice previously sued RealPage, accusing the rental-pricing company of helping landlords use shared data and algorithmic recommendations to raise rents. The DOJ also sued Agri Stats, alleging that data-sharing tools helped meat processors coordinate in ways that inflated grocery prices. Those cases helped frame a new antitrust question: When does pricing software become a substitute for a cartel?
California moved directly at that question last year when Gov. Gavin Newsom signed legislation making clear that the state’s antitrust law applies to common pricing algorithms. The gas-price lawsuit appears to be one of the first major tests of that law in a consumer market that millions of people experience every week.
## What consumers should know
The lawsuit is still at an early stage, and the allegations have not been proven. A class action can take years to resolve, and drivers do not need to take immediate action unless a court later certifies a class and approves a notice process.
Still, the case is worth watching because it could shape how companies use AI to set prices in everyday markets. Gasoline is only one example. Algorithmic pricing is already common in apartment rentals, airline tickets, hotels, online retail, insurance and delivery services.
For consumers, the practical problem is transparency. A driver can see the price on the pump, but not the software or data behind it. If multiple nearby stations are using the same pricing system, consumers may have fewer real choices than they appear to have.
The lawsuit asks the court to award damages to affected California drivers and to stop the alleged use of Kalibrate software in ways that coordinate prices. If the plaintiffs succeed, the case could become a template for similar claims in other states and industries.
For now, the message is simple: the AI pricing fight has moved from rent and groceries to the gas pump.
### The algorithm sets the price: how major U.S. newspapers personalize subscription offers — and what the Washington Post lawsuit means for the industry
URL: https://www.consumernews.ai/the-algorithm-sets-the-price-how-major-u-s-newspapers-personalize-subscription-offers-and-what-the-washington-post-lawsuit-means-for-the-industry/
Last updated: 2026-06-26T13:00:08.000Z
A [class-action lawsuit](https://www.consumernews.ai/washington-post-hit-with-class-action/) filed this month in District of Columbia Superior Court accuses The Washington Post of using subscribers' personal data — location, browsing behavior, demographics — to set individualized subscription prices without disclosure.
The Post is not alone, however. A review of public disclosures, earnings calls, industry research and privacy policies shows that at least three of the four major newspapers named for comparison — The New York Times, The Wall Street Journal and Gannett's USA Today network — operate dynamic, machine-learning-driven paywalls that influence what readers see, when they hit a paywall and, in at least two documented cases, what they are asked to pay. Bloomberg, by contrast, appears to maintain a flat-rate hard paywall.
With [New York's Algorithmic Pricing Disclosure Act](https://www.nysenate.gov/legislation/bills/2025/S7033?ref=consumernews.ai) now in force, [Maryland's Predatory Pricing Act](https://mgaleg.maryland.gov/mgawebsite/Legislation/Details/hb0895?ys=2026rs&ref=consumernews.ai) on the governor's desk, a California Attorney General sweep under way and a Federal Trade Commission inquiry active, the legal ground beneath personalized news pricing is shifting fast — and the Post case may be only the opening salvo.
### **How each outlet's paywall actually works**
**The New York Times — the most documented dynamic paywall in U.S. news**
The Times has been the most transparent — at least in industry forums — about running a machine-learning paywall. Engineering posts on the company's [NYT Open blog](https://open.nytimes.com/how-the-new-york-times-uses-machine-learning-to-make-its-paywall-smarter-e5771d5f46f8?ref=consumernews.ai) describe a "Dynamic Meter" that uses machine learning to set personalized article limits for each reader before a subscription prompt appears. Hannah Yang, then senior vice president of consumer revenue, told industry audiences the dynamic paywall lets the company "tailor digital subscription offers to different subsets" of readers.
The financial impact is meaningful. On the company's fourth-quarter 2020 earnings call, executives told analysts the ML model directs roughly 80 percent of new subscribers through a step-up pricing path that graduates them from introductory rates ($1 a week, $4 a month) to a standard $25 every four weeks, [outperforming a random-sample control](https://www.fool.com/earnings/call-transcripts/2021/02/04/new-york-times-co-nyt-q4-2020-earnings-call-transc/?ref=consumernews.ai). Press Gazette later reported that 1.6 million subscribers graduated to full price in 2021, with roughly one million continuing to graduate each subsequent quarter.
The pricing language in the Times' own privacy policy is unusually direct. The company's [privacy policy](https://help.nytimes.com/10940941449492-The-New-York-Times-Company-Privacy-Policy?ref=consumernews.ai), effective May 27, 2026, tells readers:
"We also show you prices, promotions, products or services we believe you'll find interesting, based on demographic and usage data, including but not limited to location data such as IP address and zip code and, if you share it with us, your precise geolocation."
And, separately:
"For example, our analysis, which includes the use of technology like machine learning and large language models (proprietary or third party), lets us predict preferences and price points for our products and services."
That is the closest thing to a plain-English personalized-pricing disclosure currently published by a major U.S. newspaper. It does not, however, satisfy the on-screen point-of-sale disclosure label that New York's new algorithmic pricing law requires when an individualized price is presented.
**The Wall Street Journal — propensity scoring at 15 million predictions a week**
The Journal's parent, Dow Jones, has built what trade publications describe as one of the most aggressive propensity-pricing systems in news. A [Press Gazette interview](https://pressgazette.co.uk/publishers/interview-how-wall-street-journal-used-subscriptions-science-to-sign-up-350000-new-online-subscribers-this-year/?ref=consumernews.ai) with Karl Wells, then general manager of membership, laid the model out plainly. Wells told the publication: "Our paywall is a propensity-led model, so \[the\] level of access is determined by an algorithm that understands your likelihood to buy."
He compared reader segments to paint cans — "cold, warm and hot, like Ronseal" — and confirmed the Journal uses "propensity to pay" scores to decide which subscription offer a reader sees, with "multiple variations out in market" at any time.
A separate [Media Makers Meet account](https://mediamakersmeet.com/wsj-creates-ai-paywall-decides-readers-ready-subscribe/?ref=consumernews.ai) detailed the inputs: roughly 60 variables, including visit frequency, recency, content depth, device type and content category, feeding an ML model that runs more than 15 million predictions a week.
Real-world pricing variance bears this out. A [pricetimeline.com analysis](https://pricetimeline.com/news/94?ref=consumernews.ai) documented Journal annual rates ranging from $52 to $238 a year for ostensibly identical digital access, with introductory $1-a-week offers stepping up to $38.99 a month after 12 months — a 224 percent jump.
Dow Jones' [privacy notice](https://www.dowjones.com/privacy-notice/?mod=WSJ&ref=consumernews.ai), effective Jan. 30, 2026, authorizes the company to: "Monitor and analyze the extent of your use of the Dow Jones Services, to inform modifications, enhancements, or updates to the Dow Jones Services, or to make marketing or pricing decisions." That phrase — "marketing or pricing decisions" — is, alongside the Times' language, the most explicit pricing-personalization disclosure currently in a U.S. newspaper privacy policy.
**USA Today / Gannett — AI decisioning, surging ARPU, vague disclosure**
Gannett executives told investors in late April that the company is now leveraging AI-driven personalization at the paywall layer. On the company's first-quarter 2026 earnings call, [reported by MarketBeat](https://www.marketbeat.com/earnings/reports/2026-4-30-gannett-co-inc-stock/?ref=consumernews.ai), management said: "We are increasingly leveraging AI-driven personalization, combining dynamic paywall decisioning with personalized for you placements."
The financial signal is sharp. Digital subscription revenue rose to $45.9 million, up 6.2 percent year over year, while average revenue per user hit a company record of $10.30, a 42.7 percent annual jump — a figure that suggests far more than across-the-board price increases. Kristin Roberts, president at USA Today, told the call the company is testing "multiple pathways," including free access, registration walls, article-level and topic- or season-based offers.
Gannett's [USA Today privacy policy](https://cm.usatoday.com/privacy/?ref=consumernews.ai), as fetched, does not contain explicit personalized-pricing disclosure language analogous to what the Times and Dow Jones now publish. Public subscription pages show standard tiered offers — $1 for the first year as an introductory rate, $9.99 a month for Daily Plus — without documented per-reader variation in the public record. That gap between operational reality (dynamic paywall decisioning acknowledged in SEC-reported earnings remarks) and consumer-facing disclosure is the kind of mismatch plaintiffs' firms tend to seize on.
**Bloomberg — the outlier**
Bloomberg, alone among the four named outlets, appears to operate on a flat-rate model. An Innovation Media industry report classifies Bloomberg as a "hard paywall" publisher, and the company's own [media press release](https://www.bloombergmedia.com/press/launch-subscription-business-redesign/?ref=consumernews.ai) describes a tiered pricing structure — Digital at $34.99 a month, All Access at $39.99 a month, with a $9.99 introductory rate for the first six months — without language suggesting per-reader variation. Annual pricing is similarly fixed, with promotional rates around $129 and standard rates of $299 for Digital and $399 for All Access.
Bloomberg's [terms of service](https://www.bloomberg.com/notices/tos/?ref=consumernews.ai) reserve eligibility for introductory offers "without prior notice" but contain no algorithmic, personalized or dynamic pricing language. The company's [privacy policy](https://service.bloomberg.com/assets/policy.html?ref=consumernews.ai) does acknowledge that Bloomberg "infer\[s\] and create\[s\] a profile about a consumer reflecting the consumer's preferences and behavior," but the inferred-profile language is paired with marketing and product personalization uses, not pricing.
In short, of the four outlets named for this comparison, Bloomberg is currently the only one without public evidence of pricing personalization.
**The Atlantic — useful industry reference point**
Outside the four-outlet comparison, The Atlantic provides a useful benchmark for how far the industry's most aggressive adopters have gone. An [analysis from Poool](https://blog.poool.fr/dynamic-paywall-strategies-to-steal/?ref=consumernews.ai), a paywall technology vendor, describes The Atlantic's dynamic paywall presenting subscription prices ranging from $60 to $100 a year based on propensity scoring, content type and available ad inventory. Piano, the largest paywall vendor in news, has confirmed it is beta-testing dynamic pricing with five client publishers.
**Privacy policy language audit**
For editorial purposes, the language to compare side by side:
- **New York Times:**"show you prices, promotions, products or services … based on demographic and usage data, including but not limited to location data such as IP address and zip code and, if you share it with us, your precise geolocation"; uses "machine learning and large language models … \[to\] predict preferences and price points." ([NYT Privacy Policy](https://help.nytimes.com/10940941449492-The-New-York-Times-Company-Privacy-Policy?ref=consumernews.ai))
- **Dow Jones / WSJ:**uses service data "to make marketing or pricing decisions." ([Dow Jones Privacy Notice](https://www.dowjones.com/privacy-notice/?mod=WSJ&ref=consumernews.ai))
- **Gannett / USA Today:**no explicit pricing-personalization clause identified. ([USA Today Privacy Policy](https://cm.usatoday.com/privacy/?ref=consumernews.ai))
- **Bloomberg:**profiles preferences and behavior, but no pricing-decision language. ([Bloomberg Privacy Policy](https://service.bloomberg.com/assets/policy.html?ref=consumernews.ai))
The pattern is striking. The two outlets with the most sophisticated machine-learning pricing operations (the Times and the Journal) have published the most explicit disclosures. Gannett, which acknowledges dynamic decisioning to investors, has not extended that acknowledgment to consumers. Bloomberg, which has the least personalized model, also has the least pricing language — appropriately so.
### **Regulatory exposure analysis**
**The Washington Post case as precedent**
The new D.C. class action,*Chelsea Blink v. Washington Post Co.*, was filed June 11, 2026, in District of Columbia Superior Court by the Clarkson Law Firm. It alleges that the Post used readers' personal data — including geolocation, demographic inferences and browsing patterns — to set individualized subscription prices without disclosure, in violation of the D.C. Consumer Protection Procedures Act and unjust-enrichment doctrine. The complaint seeks treble damages or $1,500 per violation, exposing the Post to potential class damages estimated at up to $1.5 billion.
The Post case matters across the industry for three reasons:
1. It is the first U.S. newspaper-specific surveillance pricing suit to clear a court filing threshold.
2. It applies a general consumer-protection statute — not a pricing-specific one — meaning every state with a similar CPPA-style act becomes a potential forum.
3. It uses unjust enrichment as a fallback theory, which lowers the disclosure-violation bar plaintiffs must meet.
**New York's Algorithmic Pricing Disclosure Act**
New York's [Algorithmic Pricing Disclosure Act](https://www.loeb.com/en/insights/publications/2025/09/a-cautionary-tale-about-algorithmic-pricing-software?ref=consumernews.ai) took effect July 8, 2025\. It requires any merchant offering a price set "by an algorithm that uses consumer personal data" to display the disclosure: "THIS PRICE WAS SET BY AN ALGORITHM USING YOUR PERSONAL DATA." It bans the use of protected-class data for discriminatory pricing and authorizes the attorney general to seek civil penalties of up to $1,000 per violation, [per a JD Supra analysis](https://www.jdsupra.com/legalnews/pricing-algorithms-price-tags-and-9661583/?ref=consumernews.ai).
Of the outlets in this comparison, three (NYT, WSJ, USA Today) plausibly trigger the statute when serving New York readers. None currently displays the mandated disclosure label at the point of subscription offer, based on publicly visible subscription flows.
**Maryland, Connecticut and the state pipeline**
Maryland's Predatory Pricing Act, which Gov. Wes Moore is signing, would be the first U.S. law to explicitly ban grocery surveillance pricing — but its definitional language on personal-data-driven pricing extends to other consumer transactions. Connecticut has enacted a similar measure. [Bloomberg Law](https://news.bloomberglaw.com/privacy-and-data-security/state-data-driven-pricing-bans-spark-industry-pushback?ref=consumernews.ai) reports more than 70 bills pending across Hawaii, California, Illinois, Kentucky, Connecticut and other states.
California is the most active jurisdiction. Two bills are advancing: AB 446, which would ban surveillance pricing using geolocation, browsing history and behavioral inferences, and AB 325, which would prohibit "common pricing algorithm" agreements between competitors. California Attorney General Rob Bonta opened an investigative sweep in January 2026 targeting travel and retail surveillance pricing under the California Consumer Privacy Act, and news subscription pricing is a logical next vertical.
**Federal exposure**
FTC Chairman Andrew Ferguson confirmed in April 2026 Senate testimony that the commission's surveillance pricing inquiry remains active and that staff are weighing a policy statement on personalized pricing disclosures. A sub-inquiry into Instacart's pricing is open. House Oversight Chairman James Comer (R-Ky.) opened a parallel investigation in March 2026.
For news publishers, federal exposure is mostly downstream — an FTC policy statement or enforcement action against a non-news pricing personalizer would set persuasive precedent that plaintiffs' firms would cite immediately against publishers.
**Exposure ranking**
- **Tier 1 (highest):** The Wall Street Journal, owing to the explicitness of the "propensity to pay" model in trade reporting and the breadth of pricing variance documented in the field. Strong privacy-policy disclosure language reduces but does not eliminate state-law exposure.
- **Tier 1 (highest):** The New York Times, owing to its scale, the documented 80-percent step-up ratio, and the volume of New York-state readers subject to the algorithmic pricing disclosure law. Its explicit policy language is a partial defense but does not satisfy point-of-sale labeling.
- **Tier 2 (high):** USA Today / Gannett, owing to the gap between operational reality (acknowledged on earnings calls) and consumer-facing disclosure. Gannett is also the most geographically dispersed, exposing it to the widest set of state laws.
- **Tier 2 (medium-high):** The Atlantic and other Piano-platform publishers, by association.
- **Tier 3 (low):** Bloomberg, based on currently available evidence.
### **Bigger picture**
The Washington Post lawsuit is being framed in early coverage as a privacy story. It is more usefully read as a disclosure story — a test of whether news publishers can keep operating sophisticated machine-learning pricing systems while telling readers, on the subscribe page, almost nothing about it.
Three of the four major newspapers named in this review are doing exactly that, with widely varying degrees of candor in their privacy policies and essentially no point-of-sale transparency.
The legal infrastructure to compel that transparency — New York's algorithmic pricing law, Maryland's predatory pricing act, California's pending AB 446 and AB 325, the FTC inquiry, and now the D.C. CPPA class action — is being built in parallel, in real time. The next 12 months will determine whether the industry leads with a voluntary disclosure standard or has one imposed on it case by case.
> The more interesting question is no longer whether dynamic pricing works. It clearly does — Gannett's 42.7 percent ARPU jump and the Times' 80-percent step-up rate make that plain. The question is what publishers owe readers when the price on the screen was chosen for them by an algorithm trained on their behavior.
\--
*Perplexity.ai provided research for this story*
### Mortgage rates climb back to 6.49 percent — Fed seen holding July, hiking September
URL: https://www.consumernews.ai/mortgage-rates-climb-back-to-6-49-percent-fed-seen-holding-july-hiking-september/
Last updated: 2026-06-26T12:58:29.000Z
The May personal consumption expenditures price index released Thursday confirmed Wall Street's worst fears. The PCE index "surged 4.1 percent in the 12 months through May, the largest increase and first reading above 4.0 percent since April 2023," [Reuters reported](https://www.reuters.com/markets/us/us-pce-inflation-measure-tops-40-may-consumer-spending-strong-2026-06-25/?ref=consumernews.ai), and core PCE — excluding food and energy — rose to 3.4 percent, the biggest gain since October 2023\. On a monthly basis, the index climbed 0.4 percent for the second straight month; core climbed 0.3 percent for the third month running.
[The Associated Press](https://apnews.com/article/inflation-federal-reserve-spending-d9348cc01b41c8de31051acf1b39268f?ref=consumernews.ai) framed it bluntly: "The Federal Reserve's preferred inflation gauge rose to a new three-year high in May as gas prices peaked, a sign rising costs could pose political problems for President Donald Trump and his political party as midterm elections near." [CBS News reported](https://www.cbsnews.com/news/pce-report-report-may-2026-federal-reserve-inflation/?ref=consumernews.ai) the reading matched economists' forecasts and "represents the highest level since April 2023." [The Wall Street Journal](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-06-25-2026/card/fed-s-preferred-inflation-gauge-keeps-climbing-svy8HqAOXMMllPdF7VUY?ref=consumernews.ai) said the gauge "continued to rise" and is now more than double the Fed's 2 percent target.
Fed officials sounded resigned. Chicago Fed President Austan Goolsbee said inflation "is too high" but called new chairman Kevin Warsh "a serious guy," [CNBC reported](https://www.cnbc.com/2026/06/25/chicago-fed-president-goolsbee-says-inflation-is-too-high-calls-warsh-a-serious-guy.html?ref=consumernews.ai). On the goods side, much of the gain "was driven by energy, which jumped 6.5 percent, while services was pushed higher by transportation services, a sector sensitive to gas prices and which accelerated 0.8 percent," per the same CNBC report. New York Fed President John Williams said inflation pressures will moderate this year but remain too high. Goolsbee told [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-25/fed-s-goolsbee-sees-glimmers-of-hope-in-latest-inflation-report?ref=consumernews.ai) he saw a "glimmer of hope" in services inflation even as underlying pressures remain elevated.
Markets are pricing the hawkish path. The Federal Reserve "is expected to hold rates steady in July, hike in September," [Reuters reported](https://www.reuters.com/business/traders-trim-bets-july-fed-rate-hike-after-data-2026-06-25/?ref=consumernews.ai), and a Friday Reuters dispatch noted "persistent rate concerns, as Thursday's Commerce Department data showing May PCE inflation at 4.1 percent, its highest since April 2023, reinforced expectations of a possible 25-basis-point Fed hike later this year," [in its global markets flows graphic](https://www.reuters.com/business/media-telecom/global-markets-flows-graphic-2026-06-26/?ref=consumernews.ai). Gold is on track for a fourth weekly loss on those hawkish bets, [Reuters reported](https://www.reuters.com/business/gold-poised-fourth-weekly-loss-hawkish-fed-bets-buoy-dollar-2026-06-26/?ref=consumernews.ai).
### Mortgage rates up
The PCE data put fresh pressure on the housing market. The average rate on a 30-year U.S. home loan rose to 6.49 percent in the week ended Thursday, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-25/us-mortgage-rates-rise-slightly-to-6-49-freddie-mac-says?ref=consumernews.ai) citing Freddie Mac, after holding "little changed from its range the past 6 weeks." The Wall Street Journal's mortgage dashboard put 30-year rates at 6.60 percent and noted "a majority of Federal Reserve members now foresee a potential rate hike by year's end."
The Journal's housing desk reminded readers Fannie Mae now forecasts rates "will remain steady above 6 percent for the remainder of the year" — a far cry from earlier 2026 forecasts that had rates dropping to the low 5-percent range. The Fed's June meeting kept the federal-funds rate in the 3.5 to 3.75 percent band but median projections show another 25-basis-point hike by year-end, the Journal noted.
[Reuters](https://www.reuters.com/business/traders-trim-bets-july-fed-rate-hike-after-data-2026-06-25/?ref=consumernews.ai) said traders trimmed July hike bets but ramped up September odds. Martin Beck, chief economist at Public Policy Company, told Reuters that "May's PCE report serves as a reminder that the battle against inflation is ongoing, yet it does not provide clear evidence that underlying price pressures are escalating once more."
But for homebuyers, the practical result is the same. Bloomberg reported U.S. new-home sales fell 7.3 percent in May as elevated rates kept buyers on the sidelines.
Williams, the New York Fed leader, said he expects inflation readings "to start trending lower" and is "happy with interest rates at their current level," [Reuters reported](https://www.reuters.com/business/gold-poised-fourth-weekly-loss-hawkish-fed-bets-buoy-dollar-2026-06-26/?ref=consumernews.ai), in a sign internal Fed debate is hardening, not softening.
### CFPB overhauls complaint system, raising fears of new hurdles for consumers
URL: https://www.consumernews.ai/cfpb-overhauls-complaint-system-raising-fears-of-new-hurdles-for-consumers/
Last updated: 2026-07-25T21:51:17.000Z
The Consumer Financial Protection Bureau is moving ahead with a major overhaul of its [consumer complaint system](https://www.consumerfinance.gov/complaint/?ref=consumernews.ai), saying the portal has been strained by a flood of credit-reporting complaints, inconsistent company responses and alleged misuse by credit-repair firms, social media promoters and automated tools.
The agency says the changes are meant to “restore integrity and utility” to one of the CFPB’s most visible consumer-facing services. But consumer advocates warn that the new procedures could add friction for people who are already frustrated after trying — and failing — to get financial companies to fix errors.
For consumers, the dispute may sound bureaucratic. It is not. The CFPB complaint system has long been one of the few places where people can force a bank, credit bureau, debt collector, mortgage servicer, student-loan company or auto lender to respond to a documented problem. The portal also feeds a public database used by regulators, reporters, researchers and advocates to spot patterns of consumer harm.
The CFPB says the system has become less reliable as complaint volume has exploded, especially in credit reporting. According to the bureau, credit and consumer-reporting complaints rose from about 150,000 in 2019 to more than 5 million in 2025\. The CFPB says some of that growth reflects abuse of the complaint process by credit-repair organizations, credit clinics, online influencers, AI tools and businesses trying to remove accurate but negative information from credit reports.
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
### Credit agencies not "consistent"
At the same time, the bureau says the three nationwide credit-reporting agencies — Equifax, Experian and TransUnion — have not been using response categories consistently. That matters because the complaint database does not merely record that a consumer complained. It also tracks how companies respond, including whether a complaint was closed with monetary relief, non-monetary relief or another outcome.
The CFPB says it has issued a revised company portal manual intended to standardize how companies classify complaint responses. The agency says that should make the data more useful and comparable across companies.
The bureau is also adding stronger identity protections. Online users will be required to verify both an email address and a mobile phone number. Third parties submitting complaints on behalf of consumers will have to more clearly disclose their role. The CFPB also plans to add address validation when complaints are submitted.
Some of those changes may sound routine in an era of fraud and data breaches. But consumer advocates have warned that added verification can also shut out people who lack stable phone access, are using shared computers, are in shelters, are elderly, have disabilities, or depend on family members, legal-aid groups or counselors for help.
### The credit-reporting flashpoint
The most consequential change involves credit-reporting complaints.
The CFPB says it is aligning the complaint process with the [Fair Credit Reporting Act](https://www.ftc.gov/legal-library/browse/statutes/fair-credit-reporting-act?ref=consumernews.ai), which generally gives consumers the right to dispute inaccurate or incomplete information directly with credit-reporting agencies. The agency has added notices telling consumers they must first use that dispute process before turning to the CFPB complaint portal.
The bureau is also considering a new administrative response category that would let credit-reporting agencies return complaints when a consumer has not first exhausted the direct dispute process.
That is the part likely to draw the sharpest objections from consumer groups. Credit reports affect whether people can get mortgages, car loans, apartments, insurance, jobs and affordable credit. Errors can be financially devastating, and many consumers say they turn to the CFPB only after a credit bureau or lender fails to fix the problem.
Consumer advocates argue that high complaint volume is not, by itself, evidence of abuse. It may also be evidence that credit reporting remains one of the most error-prone and frustrating corners of the consumer-finance marketplace.
The [National Consumer Law Center](https://www.nclc.org/?ref=consumernews.ai) has previously warned that added warnings, attestations and verification steps could discourage legitimate complaints and make it easier for credit bureaus and other financial companies to avoid scrutiny. NCLC has also argued that the CFPB should focus on whether credit bureaus are adequately investigating disputes rather than making it harder for consumers to reach the bureau.
Industry groups have taken the opposite view. Banks, lenders and credit-reporting companies have long complained that the CFPB portal can be flooded with duplicative, boilerplate or third-party-generated complaints that do not reflect genuine, individualized consumer disputes. They argue that inaccurate complaint data can distort public understanding and waste company resources.
### What else is changing
The CFPB says it will also create clearer rules for when companies can give administrative rather than substantive responses. Those responses may be used when, for example, a complaint appears to come from an unauthorized third party or otherwise does not warrant a full company response.
The agency says it is exploring additional safeguards against abuse of the complaint process. But it has not yet fully spelled out how it will distinguish between abuse and legitimate high-volume assistance from legal-aid groups, nonprofit counselors or family members helping vulnerable consumers.
The bureau also says it will expand consumer education on how to dispute credit-report errors, how to spot credit-repair scams and how to avoid promises that sound too good to be true — such as guaranteed credit-score increases or promises to remove accurate negative information.
Technology changes are also planned. The CFPB says it is building application programming interfaces, or APIs, to share complaint information more efficiently with companies. It also plans to use address-validation tools to improve data quality.
Finally, the agency is redefining what counts as a complaint backlog. Going forward, the CFPB says only complaints awaiting action for more than 30 calendar days will be counted as backlog. Complaints pending for fewer than 30 days will be treated as routine work in progress.
That definitional change could affect future public reporting on whether the bureau is falling behind. It may also make it harder to compare backlog figures under the new system with older numbers.
### What consumers should do now
Consumers should still use the CFPB complaint system when they have a serious problem with a financial company and cannot get it resolved directly.
The bureau says it sends more than 100,000 complaints a week to companies and that most companies respond within 15 days.
But consumers should expect the process to be more formal, especially for credit-reporting complaints.
Before filing, consumers should gather account numbers, dates, copies of letters or emails, screenshots, payment records, credit-report excerpts and any prior dispute confirmations. For credit-report errors, consumers should first file disputes directly with the relevant credit bureau and keep proof of the submission.
Consumers should also write the complaint in their own words. Boilerplate language copied from social media, credit-repair scripts or AI tools may make it easier for a company to dismiss the complaint as generic or unsupported.
If someone is filing on behalf of a parent, spouse, servicemember, disabled person or other consumer, they should be prepared to show their relationship and, when possible, written authorization.
> The bottom line: the CFPB says it is trying to make complaint data cleaner and the process more secure. Consumer advocates fear the same changes could make the system less accessible.
For now, the safest approach for consumers is to document everything, dispute credit-report errors directly first, and then use the CFPB portal if the company does not fix the problem.
### Slate bets Americans still want a cheap, simple truck
URL: https://www.consumernews.ai/slate-bets-americans-still-want-a-cheap-simple-truck/
Last updated: 2026-06-25T16:01:22.000Z
For years, automakers have been loading new vehicles with bigger screens, more sensors, luxury trim packages and prices that have pushed many buyers out of the market.
Slate Auto is trying the opposite.
The electric-vehicle startup announced that its compact electric pickup, called the Slate Truck, will start at $24,950 before taxes, fees and options. The company says that makes it the most affordable new truck in America — and one of the few new vehicles of any kind still priced near $25,000.
The two-seat, rear-wheel-drive pickup is deliberately basic. It has an estimated 205 miles of range, a 2,000-pound towing capacity and a 1,550-pound payload rating. Slate says the vehicle will come with a 10-year, 110,000-mile battery and powertrain warranty.
The company also plans two SUV-style versions, the Squareback and Fastback, starting at $29,950\. Buyers can order the vehicle as a pickup or configure it into an SUV, with more accessories and conversions available later through the company’s Slate Marketplace.
“More than 180,000 reservation holders have told us they’re ready for a vehicle that’s affordable, reliable, and built around their lives,” Slate CEO Peter Faricy said in the company’s announcement.
## A low price, with a catch
The headline price is the selling point. But consumers should understand what that price does — and does not — include.
The base Slate is not a low-cost version of a high-feature truck. It is intentionally sparse. The base model skips power windows, a touchscreen and a traditional infotainment system. Controls are tactile. The idea is to make the vehicle cheaper up front and let buyers add what they want later.
That could appeal to drivers who are tired of paying for technology they do not use. It could also mean that many buyers end up spending far more than $24,950 once they add comfort, convenience or appearance upgrades.
Slate says its marketplace will include more than 200 options, with more than 80% priced under $500\. Accessories are expected to include items such as stereos, roof racks, wraps, interior upgrades and SUV conversion components.
That makes Slate’s strategy part budget vehicle, part do-it-yourself platform. The company is betting that some consumers would rather buy a basic vehicle at a lower entry price and upgrade it over time than finance a more expensive model loaded with features from day one.
## Why this matters
The timing is important. Cheap new cars have nearly disappeared from the U.S. market.
New-vehicle prices surged during and after the pandemic, and automakers increasingly focused on larger, higher-margin trucks, SUVs and luxury trims. Edmunds data has put the average new-vehicle transaction price near $48,000, while average financed amounts and monthly payments remain historically high.
That has left a large opening for a basic vehicle with a price closer to what new cars used to cost. But there are not many options left at that level. In recent years, sub-$25,000 vehicles have become a tiny slice of the new-car market.
Slate’s truck also arrives after the federal EV tax credit disappeared. When the company first promoted the vehicle, it suggested buyers might be able to get the effective price below $20,000 after a $7,500 federal credit. That math no longer applies, so the $24,950 base price now has to stand on its own.
The company has converted the early buzz into a sizable reservation list. Slate says it has more than 180,000 reservation holders, who paid $50 deposits. It is now moving to firm preorders, which require a $300 nonrefundable deposit, or $250 more for people who already placed a reservation.
Deliveries are expected to begin in the fourth quarter of 2026.
## Direct sales may be another flashpoint
Slate plans to sell directly to consumers, avoiding the traditional dealership model. That could help control costs and simplify ordering, but direct sales remain politically and legally contentious in some states.
Tesla, Rivian and other EV makers have fought state franchise laws that restrict or complicate direct-to-consumer vehicle sales. Slate may face similar issues depending on where buyers live and how the company handles delivery, service and registration.
For consumers, that means the buying process may not look like a conventional dealership purchase. It may also make service access an important question, especially for buyers far from Slate facilities or approved repair partners.
## What buyers should check before preordering
A $24,950 electric truck sounds like a breakthrough in a market where affordability has nearly vanished. But shoppers should do the same math they would with any vehicle preorder.
Before putting down a nonrefundable deposit, buyers should confirm whether the price includes destination charges, what taxes and fees will apply, whether the vehicle is eligible for any state or local incentives, and what accessories they consider essential.
They should also compare the real-world cost of the vehicle they would actually want — not just the base model. A buyer who adds a stereo, power features, racks, wraps, upgraded seating or SUV conversion parts may quickly move well beyond the advertised price.
Range is another consideration. An estimated 205 miles may be enough for commuting, local deliveries, small-business use and around-town hauling. It may be less appealing for drivers who routinely tow, drive long distances, lack home charging or live in cold-weather areas where EV range can drop.
The truck’s 2,000-pound towing rating is useful for light-duty tasks, but it is not a substitute for a full-size pickup. Consumers should match the vehicle to actual needs, not the word “truck” alone.
## The bottom line
Slate is trying to prove that there is still a market for a plain, affordable vehicle in America.
If the company can deliver the truck at or near the promised price, it could give budget-conscious consumers something the market has largely stopped offering: a new vehicle without a luxury-car payment.
But the real test will come when reservation holders see the final price, choose accessories, arrange financing and decide whether a bare-bones EV is enough vehicle for their daily lives.
For shoppers squeezed by today’s auto prices, Slate’s pitch is simple: buy less car, pay less money. Whether that becomes a consumer breakthrough or just another EV startup experiment will depend on how many buyers still want simple transportation — and how close the final bill stays to $24,950.
### Medicare opens first weight-loss coverage at $50 a month
URL: https://www.consumernews.ai/medicare-opens-first-weight-loss-coverage-at-50-a-month/
Last updated: 2026-06-25T15:10:33.000Z
The federal government took its biggest step yet to defray the cost of [GLP-1 drugs](https://www.consumernews.ai/glp-1-drugs-are-reshaping-the-world-while-raising-longterm-questions/) for seniors. Medicare currently covers Wegovy, Zepbound and similar drugs only for cardiovascular and severe fatty-liver indications. But a new pilot, "set to continue through 2027, will allow older adults to access the medications for $50 per month" — the first time the program will cover them specifically for weight loss.
The pilot lands as Novo Nordisk simultaneously rolls back list prices for insured Americans. The retail price of Wegovy at U.S. pharmacies is roughly $1,350 a month, Reuters reported, "however, Novo has indicated plans to lower the price to $675 in 2027."
Consumers paying cash can already get Wegovy for 149 dollars a month through manufacturer programs. Novo announced Monday it will slash GLP-1 list prices for insured patients "by up to 50 percent" to relieve people with high-deductible health plans or coinsurance designs, [CNBC reported](https://www.cnbc.com/health-and-science/?ref=consumernews.ai), and [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-24/novo-says-twice-as-many-medicare-patients-prefer-glp-1-pill?ref=consumernews.ai) twice as many Medicare patients prefer the company's coming GLP-1 pill to its weekly shot.
The economic stakes are enormous.
[Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-24/us-health-spending-to-top-6-trillion-in-2026-on-the-glp-1-wave?ref=consumernews.ai) U.S. health spending is set to top 6 trillion dollars this year, with GLP-1 drugs the single biggest driver. China approved Pfizer's GLP-1 drug Xianweiying for long-term weight management this week, [Reuters reported](https://www.reuters.com/business/healthcare-pharmaceuticals/?ref=consumernews.ai), opening a second-mover U.S. competitor.
And research showed GLP-1 medications, including Ozempic and Mounjaro, "can prevent the formation of new substance use disorders and alleviate existing addictions," according to a large study of U.S. military veterans, [Reuters reported](https://www.reuters.com/business/healthcare-pharmaceuticals/?ref=consumernews.ai)[.](https://www.consumernews.ai/glp-1-drugs-are-reshaping-the-world-while-raising-longterm-questions/)
[More about GLP-1 drugs](https://www.consumernews.ai/glp-1-drugs-are-reshaping-the-world-while-raising-longterm-questions/)
### Outraged consumers: They're fed up with broken customer service — and companies may be running out of excuses
URL: https://www.consumernews.ai/outraged-consumers-theyre-fed-up-with-broken-customer-service-and-companies-may-be-running-out-of-excuses/
Last updated: 2026-08-08T12:53:12.000Z
For years, Americans were told that technology would make customer service faster, cheaper and more convenient. Instead, many consumers say it has made ordinary disputes feel like endurance contests.
A [Guardian](https://www.theguardian.com/us-news/ng-interactive/2026/jun/24/customer-service-us-consumers?CMP=Share%5FiOSApp%5FOther&ref=consumernews.ai) examination of U.S. consumer frustration paints a bleak picture: record corporate profits, fewer meaningful choices and customer-service systems that often seem designed to wear people down rather than solve problems.
Readers described hours lost to chatbots, phone loops, rejected fraud claims, failed deliveries, surprise fees and companies that are almost impossible to reach when something goes wrong.
The result is a growing sense that consumers are not just being inconvenienced. They are being managed, delayed and sometimes defeated by systems that save companies money while shifting the burden onto the public.
## The new consumer runaround
The modern customer-service complaint has a familiar pattern.
A consumer spots a billing error, a missing package, a broken appliance, a canceled flight, a denied claim or an unwanted subscription. They try the company’s app. The app routes them to a chatbot. The chatbot answers only the simplest questions. They ask for a person. The system loops them back to a menu, a frequently asked questions page or a scripted representative who cannot fix the problem.
Hours later, the consumer may have a case number, a promise of escalation or a vague assurance that someone will follow up. Often, nothing happens.
This is not just annoying. For consumers dealing with prescription delays, fraudulent charges, insurance denials, credit-reporting errors or bank problems, the consequences can be serious. A failed customer-service interaction can mean missed medication, a damaged credit score, late fees, lost wages, overdraft charges or weeks spent chasing money that should never have been taken.
The Guardian’s reporting highlights a central contradiction in the U.S. economy: companies are making historic profits while many consumers say the basic service experience is deteriorating.
## AI did not fix the problem
Artificial intelligence is often marketed as the answer to overloaded service centers. But consumers increasingly see AI support as part of the problem.
A well-designed chatbot can handle simple tasks: checking a balance, tracking a package, changing an address or answering a basic policy question. But many disputes are not simple. They require judgment, empathy, authority and access to company records. When a bot cannot recognize the difference between a routine question and a serious problem, consumers can get trapped.
The Consumer Financial Protection Bureau warned in a 2023 report that financial institutions using chatbots may create legal and consumer risks when automated systems provide wrong answers, fail to recognize disputes or block access to human help. The same concern applies more broadly across the consumer economy. A chatbot that cannot solve the problem may still serve the company’s purpose by reducing call volume, discouraging refunds and making some consumers give up.
That is why consumers often describe AI customer service not as innovation but as a barrier.
## Consolidation leaves consumers stuck
Bad service is easier for companies to get away with when consumers do not have real alternatives.
Airlines, telecom providers, grocery suppliers, pharmacy chains, payment processors, delivery platforms and health care companies have all seen waves of consolidation. In many markets, consumers technically have choices but practically face only a handful of providers — or none at all.
That matters because switching is one of the traditional ways consumers discipline companies. If a broadband provider overcharges, a bank makes disputes impossible, or an airline buries customers in fees, consumers are supposed to be able to take their business elsewhere. But that assumes there is a meaningful “elsewhere.”
In many communities, there is only one high-speed internet provider. In air travel, a few major carriers dominate many routes. In health care, insurance networks and pharmacy benefit systems can make switching unrealistic. In banking and credit reporting, consumers may not even get to choose the company they must deal with.
When the market does not punish bad service, regulators and lawmakers may be the only backstop.
## Profits rise while patience falls
Corporate America has little trouble finding money when it wants to invest in pricing software, subscription systems, targeted advertising or data collection. It has been less eager to invest in enough trained workers with the authority to fix consumer problems.
That imbalance is one reason consumer anger is intensifying. Americans can see the difference between companies that are under-resourced and companies that are deliberately hard to deal with. They know when a business can instantly sign them up for a service but makes cancellation difficult. They know when prices can change in seconds but refunds take weeks. They know when a company uses technology to collect money faster but not to resolve complaints faster.
Customer satisfaction has weakened this year, according to the [American Customer Satisfaction Index](https://theacsi.com/?ref=consumernews.ai), and complaints about goods and services have surged. That is a warning sign for companies that have treated customer frustration as a cost of doing business.
## Regulators are starting to respond
The backlash is already showing up in policy fights.
The Federal Trade Commission has tried to crack down on “click-to-cancel” traps, where companies make subscriptions easy to start but difficult to end. State attorneys general have been targeting junk fees, deceptive pricing and unfair billing practices. The Federal Communications Commission has proposed rules aimed at improving customer service in communications markets, including concerns about outsourced support and consumers’ ability to reach help.
Local governments are also stepping in where federal action is slow. Municipal broadband efforts, local fee rules and state-level consumer protection laws are increasingly part of the response to industries where consumers feel trapped.
Still, enforcement has not caught up with the scale of the problem. Many of the worst customer-service practices are not treated as standalone consumer abuses. They are framed as operational choices, even when the predictable result is that consumers lose money, time or rights.
## What consumers can do now
Consumers cannot fix a broken market by themselves, but they can improve their odds in a dispute.
**Start by creating a paper trail**. Use email, chat transcripts, screenshots, confirmation numbers and billing records. When calling, write down the date, time, representative name and what was promised. If a chatbot fails, say clearly that you are disputing the charge, requesting a refund, canceling a service or reporting fraud. Those words can matter.
**Escalate quickly**. Ask for a supervisor, an executive resolution office or a written final decision. For financial products, file a complaint with the CFPB. For telecom billing problems, complain to the FCC. For deceptive billing, subscriptions or junk fees, report the company to the FTC and your state attorney general. For airlines, file with the Transportation Department.
**Use payment protections when appropriate**. Credit card chargebacks can be useful when goods or services were not provided, charges were unauthorized or a merchant refuses a valid refund. But keep documentation, act within the card issuer’s deadline and avoid using chargebacks as a substitute for normal cancellation when the dispute is really about future service.
## The bigger issue
The customer-service crisis is not just about rude agents or clumsy technology. It is about power.
Companies have learned to make buying frictionless and complaining exhausting. They have invested heavily in systems that maximize revenue, automate resistance and keep consumers inside closed loops. In many markets, consumers have lost the ability to vote with their feet.
That is why the anger feels different now. Americans are not merely irritated by bad service. They are beginning to see it as part of a broader affordability and accountability problem.
When companies can raise prices, add fees, cut staff, deploy bots and still keep customers because there is nowhere else to go, the market is not working the way consumers were promised it would.
> The message from consumers is simple: answer the phone, fix the problem, make prices honest and stop treating people like obstacles to profit.
> That should not be too much to ask.
### Renters face a new affordability threat: the fee-stuffed lease
URL: https://www.consumernews.ai/renters-face-a-new-affordability-threat-the-fee-stuffed-lease/
Last updated: 2026-06-24T18:34:36.000Z
Apartment hunting has always required math. But for many renters, the advertised rent is now only the starting point.
A new [Guardian](https://www.theguardian.com/us-news/ng-interactive/2026/jun/24/apartment-renters-rising-fees?CMP=Share%5FiOSApp%5FOther&ref=consumernews.ai) investigation finds that tenants at apartments operated by [Greystar](https://www.greystar.com/?ref=consumernews.ai), the nation’s largest apartment owner and manager, are facing a growing menu of add-on charges — including boiler management fees, lifestyle fees, trash fees, pest-control fees, payment fees, pet fees and other monthly costs that can make the true price of an apartment far higher than the rent shown in ads.
The company denies wrongdoing and says fees are disclosed in leases and rental materials. But tenants, housing lawyers and public officials say the extra charges can be confusing, hard to compare, and in some cases financially devastating.
**Why it matters**
- Renters may be paying far more than the advertised rent once mandatory and variable fees are added.
- Some tenants say unpaid fees can trigger late charges, legal fees and even eviction risks.
- Federal and state regulators are now scrutinizing rental “junk fees” as part of a broader affordability fight.
## The rise of the fee-stuffed apartment
The Guardian reported that it found at least 125 different named fees in Greystar leases, court records and rental listings. The fees appeared in Washington, D.C., and in all 42 states where Greystar had listings on its website.
Some fees were small. Others were not. The investigation found charges for such things as boiler management, stormwater drainage, trash hauling, pest control, payment processing, amenities and pet management.
The problem, critics say, is not simply that landlords charge for services. It is that renters often cannot easily tell what the apartment will actually cost before applying, paying deposits or signing a lease.
That matters in a market where millions of renters are already stretched thin. [Harvard’s Joint Center for Housing Studies](https://www.jchs.harvard.edu/?ref=consumernews.ai) reported this year that 22.7 million renter households — 49% of all renters — spent more than 30% of their income on rent and utilities in 2024\. More than 12 million were severely cost-burdened, spending over half their income on housing.
Fees can turn an already tight budget into an impossible one.
## A rent bill that keeps growing
One Nevada renter profiled by the Guardian said she expected to pay $1,598 a month for a two-bedroom apartment at a Greystar-managed complex in Las Vegas. But her bill later reached $1,922.70 — more than $300 above the base rent — after monthly fees and penalty charges were added.
Her lawsuit claims that the fees helped push her toward eviction and homelessness. Greystar denied the allegations in court, saying the lawsuit tried to turn a landlord-tenant accounting dispute into a consumer-fraud class action.
Other tenants described similar frustration. A Colorado renter who became the lead plaintiff in another case said she faced a long list of fees, including trash, pest-control and billing charges. She said the charges left her feeling nickel-and-dimed and unable to understand what was fair until after the fact.
Greystar has said in court filings that the fees were disclosed in leases and allowed under state law.
## The disclosure problem
Greystar says it is trying to make pricing clearer. Following a [settlement](https://www.ftc.gov/legal-library/browse/cases-proceedings/greystar-et-al-ftc-colorado-v?ref=consumernews.ai) with the Federal Trade Commission and the state of Colorado, the company now lists “total monthly leasing prices” in many rental ads and provides online cost calculators.
But the Guardian found that many listings still include mandatory variable fees that are not folded into the advertised total monthly price. Some are listed as “usage based,” “varies,” or otherwise left without a precise dollar figure.
That can make comparison shopping nearly impossible. A renter may think one apartment is cheaper than another based on rent alone, only to discover after applying that mandatory fees change the calculation.
Housing advocates say that is the heart of the problem: renters need the real monthly price upfront, not a base rent followed by a pile of add-ons.
## Regulators are paying attention
Greystar has already been the subject of major enforcement action. In December, the FTC and Colorado announced a [$24 million settlement](https://www.ftc.gov/news-events/news/press-releases/2025/12/greystar-agrees-pay-24-million-stop-deceptive-advertising-practices-result-ftc-colorado-lawsuit?ref=consumernews.ai) with the company over allegations that it advertised deceptively low rents while failing to disclose mandatory fees upfront. Greystar did not admit wrongdoing.
The settlement required Greystar to advertise a total monthly leasing price that includes mandatory fixed fees and to disclose fees more clearly before collecting application payments or deposits. But the settlement still allows some charges — including optional fees and mandatory variable utility costs — to remain outside the headline total.
The FTC has since opened a broader rulemaking process on rental housing fees. The agency is asking whether new rules are needed to stop unfair or deceptive rental fee practices across the apartment market.
The issue extends beyond one company. The FTC has said misleading rental pricing is not limited to Greystar, and housing advocates argue that fee-heavy leases have become increasingly common across large apartment operators.
## Why renters are vulnerable
Rental fees can be especially harmful because housing is not an ordinary purchase. A consumer can walk away from an overpriced concert ticket or airline seat. But renters often face application deadlines, moving costs, school boundaries, job commutes and limited available units.
Once a renter has paid application fees or deposits, the pressure to accept the lease grows. By the time the full fee structure becomes clear, backing out may mean losing money and starting the search over.
Fees also complicate household budgeting. Renters may plan around the advertised rent but then face monthly charges for trash, pest control, utilities, billing administration, payment processing, pets, parking, amenities or other services.
In some leases reviewed by the Guardian, unpaid fees can be treated like unpaid rent. That means a dispute over fees can potentially become an eviction threat.
## What renters should do before signing
> Renters should not rely on the advertised rent alone. Before applying or paying a deposit, ask the landlord or property manager for a full written breakdown of every required monthly charge, every one-time move-in charge, and every possible move-out charge.
> Ask which fees are mandatory, which are optional, which are fixed, and which vary from month to month. If a fee is “usage based,” ask how it is calculated and whether the landlord can provide recent typical charges for similar units.
Pay special attention to payment fees. Some buildings restrict how tenants can pay rent and then charge extra for online payments, processing, billing administration or cashier’s check alternatives.
Pet owners should also ask for the full cost of keeping an animal in the unit, including pet rent, deposits, one-time pet fees, registration fees and DNA waste-testing fees.
Most important: get the answers in writing.
## The bottom line
The rent consumers see in an apartment ad may no longer be the rent they actually pay.
For renters, that means the old question — “Can I afford the rent?” — is no longer enough. The better question is: “What is the total monthly cost of living here, including every mandatory fee?”
Until rental listings are required to show one clear, all-in price, renters will need to do the math themselves — and be ready to walk away from a lease that hides too much behind the word “fee.”
### Trump cancels bill-signing for bipartisan housing bill passed overwhelmingly by Congress
URL: https://www.consumernews.ai/trump-cancels-bill-signing-for-bipartisan-housing-bill-passed-overwhelmingly-by-congress/
Last updated: 2026-06-24T15:39:19.000Z
President Trump today abruptly canceled plans to sign bipartisan housing legislation that had passed both houses of Congress by overwhelming importance, saying on Truth Social that the measure was "of minor importance."
He said he would refuse to take action on the bill until lawmakers pass a voter-eligibility measure that has languished in Congress. The Constitution provides that a bill passed by Congress becomes law in about two weeks if the president doesn’t sign or veto it. The White House had no immediate comment on that issue.
Just hours before the abrupt about-face, the White House had been trumpeting the legislation as a pillar of the president's "affordability agenda." Press Secretary Karoline Leavitt had heralded the bill as “one of the most significant pieces of housing affordability legislation in American history.”
But Trump decided that his SAVE America Act, which tightens voting rules nationwide, was more important, declaring election security "a national emergency."
### What the "21st Century ROAD to Housing Act" would have done
The bill passed the Senate 85-5 Monday and the House 358-32 Tuesday — overwhelmingly bipartisan. It's primarily a policy bill, not a spending bill — Section 1102 explicitly authorizes no new federal funds.
Here are the bill's headline provisions:
**Institutional investor crackdown (Section 901)**
- Bans "large institutional investors" — defined as for-profit entities controlling 350+ single-family homes — from buying additional single-family homes.
- Definition includes duplexes; covers acquisitions via merger, foreclosure, etc.
- Build-to-rent and renovate-to-rent purchases allowed as exceptions, but the investor must sell to an individual homeowner within 7 years, with renters getting a 30-day "first look" and right of first refusal.
- Penalties up to $1 million per home or 3x purchase price.
- Takes effect 180 days after enactment; sunsets after 15 years.
**Regulatory streamlining**
- Carves out wide NEPA environmental-review exemptions for housing — tenant rental assistance, supportive services, infill construction, small projects, and Rural Housing Service infill projects.
- Authorizes "pattern books" — pre-approved building designs so builders can permit and build faster.
- Expressly does NOT preempt local zoning — a notable limitation, since local zoning is the binding constraint in most markets.
**Financing and HUD program changes**
- Raises FHA multifamily loan limits to match high-cost markets.
- Raises the bank "public welfare investment" cap from 15% to 20% — letting national banks and Fed-supervised banks put more capital into affordable housing.
- HUD pilot for small-dollar mortgages (≤$100,000), aimed at lower-priced markets banks have abandoned.
- Modernizes/reauthorizes the HOME Investment Partnerships program; raises income eligibility, makes community land trusts eligible.
- Lifts the cap on the Rental Assistance Demonstration (RAD) program and codifies tenant protections.
- Allows CDBG funds to be used for new affordable housing construction (up to 20%).
**Manufactured housing**
- Drops HUD's requirement that manufactured homes be built on a permanent chassis — opening up cheaper modular designs.
- Expands FHA financing for manufactured units.
**Zoning incentives (carrots, not sticks)**
- $200 million/year in competitive grants to localities that adopt zoning/permitting reforms boosting housing production.
- HUD issues voluntary model zoning guidelines.
- Opportunity Zone applicants get bonus scoring on competitive HUD grants.
**Veterans, rural, and homelessness**
- Section 602 (Housing Unhoused Disabled Veterans Act) expands HUD-VASH access for homeless veterans.
- Section 502 reforms USDA rural housing programs — including continuing rental assistance after USDA mortgages mature, easier nonprofit acquisition of Section 515 properties.
- Section 503 gives communities more flexibility on Emergency Solutions Grant funds for unsheltered homelessness.
**Whole-Home Repairs**
- Section 202/203: 5-year, $30 million pilot for home-repair grants to low/moderate-income owners and forgivable loans to small landlords.
**Miscellaneous**
- Temporary prohibition on the Federal Reserve creating a digital dollar — surprising add-on for a housing bill.
### Bottom line
Independent analysts (the Bipartisan Policy Center, UBS, the NYT) call it the most significant federal housing law in decades — but they're also clear it's no quick fix. The supply-side reforms are real but modest; the institutional-investor ban is the most aggressive piece and the most legally contested (the Real Estate Roundtable has already published a white paper arguing it's unconstitutional).
With no new money attached, much depends on whether the Trump VA, HUD, USDA, and bank regulators actually stand up the pilots and grants the bill authorizes.
### Trump orders DOJ to probe gasoline 'gouging', Congress sends Trump landmark housing bill
URL: https://www.consumernews.ai/trump-orders-doj-to-probe-gasoline-gouging-congress-sends-trump-landmark-housing-bill/
Last updated: 2026-06-24T14:35:38.000Z
Wednesday opened with five fights over the American consumer's wallet.
- President Donald Trump ordered the Justice Department overnight to investigate big oil for failing to pass falling crude prices through to pump customers, calling it "gouging" — even as U.S. crude fell below 73 dollars a barrel.
- Congress sent the president a sweeping bipartisan housing bill, the most significant in three decades, capping institutional ownership and easing federal review for new construction.
- The Strait of Hormuz is reopening as tankers stream out and United Nations inspectors prepare to visit Iran's nuclear sites under a U.S. deal.
- Goldman Sachs and Bloomberg are warning new Federal Reserve chair Kevin Warsh may pivot to a July rate hike, even as Treasury Secretary Scott Bessent expresses confidence Warsh will tame inflation.
- And Amazon Prime Day is in full swing alongside Walmart Deals — but the buying season is colliding with mortgage rates back above 6.5 percent, falling back-to-school spending and a stalled housing market.
### **Trump orders DOJ to probe gasoline 'gouging' as oil falls below $73**
President Trump took to Truth Social shortly after midnight Wednesday and ordered the Justice Department to investigate big oil for failing to lower pump prices in line with falling crude costs.
"The Oil Companies are not dropping price at the pump in commensurate with the lower prices they are paying for Oil. Those are dropping like a rock! In other words, customers are being 'gouged.' I have instructed the DOJ to immediately start looking. Gas prices better start going down a lot faster than what I'm seeing!" the president wrote, [as quoted by CNBC](https://www.cnbc.com/2026/06/24/oil-prices-wti-brent-crude-trump-doj-gasoline-prices-strait-of-hormuz.html?ref=consumernews.ai).
The post landed alongside another leg down in crude markets. Brent August futures slipped 0.71 percent Wednesday to 76.18 dollars a barrel, while U.S. West Texas Intermediate August futures fell 0.94 percent to 72.52 dollars — the lowest in nearly four months, [CNBC reported](https://www.cnbc.com/2026/06/24/oil-prices-wti-brent-crude-trump-doj-gasoline-prices-strait-of-hormuz.html?ref=consumernews.ai). Reuters' markets desk reported "oil prices extend decline on expectations of smoother crude flows via Hormuz," with the front-month near four-month lows, [per its homepage summary](https://www.reuters.com/markets/?ref=consumernews.ai).
The gap between crude and pump prices is what is fueling Trump's anger. AAA's national gasoline average held steady at 3.93 dollars a gallon Tuesday, [The New York Times reported](https://www.nytimes.com/2026/06/24/business/stocks-oil-gas-prices.html?ref=consumernews.ai) — still 32 percent above pre-war levels — while diesel slipped a penny to 5 dollars, up 33 percent since the war began. [NBC News' gas-price tracker](https://www.nbcnews.com/data-graphics/gas-prices-iran-war-state-national-cost-trump-rcna265835?ref=consumernews.ai) showed gasoline jumped more than 30 percent during the 10-week war and remains above 4 dollars in many states.
NBC's [Trump-gouging story](https://www.nbcnews.com/politics/donald-trump/trump-gas-price-gouging-oil-iran-war-hormuz-doj-rcna351522?ref=consumernews.ai) noted the AAA average dropped from 4.52 dollars a month earlier — a 13 percent reduction — but consumers are still paying nearly a dollar more per gallon than before the war.
Energy economists called the move political theater. "It's not how gasoline prices work in the U.S.," Karen Young, a senior research scholar at Columbia University's Center on Global Energy Policy, told CNBC's "Access Middle East," [per a CNBC video segment](https://www.cnbc.com/video/2026/06/24/trumps-big-oil-crackdown-sounds-like-political-theater-says-expert.html?ref=consumernews.ai).
"State and local taxes are added to the price of gas at the pump." Young said refiners adjust prices on a multi-week lag, meaning falling crude takes weeks to reach the pump. [The Wall Street Journal](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-06-24-2026/card/trump-just-called-for-lower-gas-prices-here-s-why-they-re-hard-to-bring-down--GiemtHmKFuaYYuICvnbE?ref=consumernews.ai) reported that current oil prices have nearly returned to pre-conflict levels, "but Americans continue to spend nearly an extra dollar for each gallon of gasoline they purchase."
Greenlight Commodities' James Conlon told CNBC Iranian oil hitting the market should push prices into the 60-dollar range, [in a video clip](https://www.cnbc.com/video/2026/06/23/iran-oil-hitting-market-should-push-prices-into-60-range-says-greenlight-commodities-conlon.html?ref=consumernews.ai). Bloomberg's [Daybreak markets desk](https://www.bloomberg.com/markets?ref=consumernews.ai) cautioned that a return to 3-dollar gasoline "won't happen before the end of 2026" until refiners replenish stockpiles.
### **Congress sends Trump landmark housing bill in rare bipartisan win**
The U.S. House of Representatives voted 358 to 32 Tuesday to pass the 21st Century ROAD to Housing Act, sending the most consequential housing legislation in three decades to President Trump for his signature, [CNBC reported](https://www.cnbc.com/2026/06/23/house-affordable-housing-bill-trump.html?ref=consumernews.ai).
The bill cleared the Senate 85 to 5 Monday night after months of back-and-forth, "marking the most substantial legislation in years," [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-23/congress-passes-sweeping-housing-bill-in-rare-bipartisan-accord?ref=consumernews.ai). Trump is expected to sign the measure at the Capitol on Wednesday before meeting with Senate Republicans, according to Speaker Mike Johnson's office.
The roughly 380-page package caps the number of single-family homes that institutional investors can own at 350 properties, simplifies regulations around manufactured housing, eases federal environmental reviews to accelerate new construction, mandates model zoning plans local governments could adopt, and redirects billions of dollars in federal grants toward localities that build, [per The New York Times](https://www.nytimes.com/2026/06/24/business/housing-package-congress-midterms.html?ref=consumernews.ai).
A new 200-million-dollar-a-year Innovation Fund will reward jurisdictions with a track record of expanding supply, [CBS News reported](https://www.cbsnews.com/miami/news/road-to-housing-act-home-prices-senate/?ref=consumernews.ai). Investment firms already above the 350-home cap would not be required to liquidate; the new restrictions cover existing single-family homes but exempt new construction, preserving the incentive for institutional capital to build, [per the CBS report](https://www.cbsnews.com/miami/news/road-to-housing-act-home-prices-senate/?ref=consumernews.ai).
Builders fear the bill could fizzle. "A Landmark Housing Bill Passed Congress. Home Builders Fear It Will Fizzle," [The Wall Street Journal reported](https://www.wsj.com/economy/housing/a-landmark-housing-bill-passed-congress-home-builders-fear-it-will-fizzle-fdce8b8e?ref=consumernews.ai), noting that "the legislation streamlines some federal approvals for housing, but it doesn't address local regulations, where most policy is made." [The Times described](https://www.nytimes.com/2026/06/24/business/housing-package-congress-midterms.html?ref=consumernews.ai) the bill as "no quick fix," with Mortgage Bankers Association chief economist Michael Fratantoni warning that "this is the level of mortgage rates you should anticipate if you're looking to buy in the next couple of years."
### **Hormuz reopens as tankers stream out and inspectors return**
The Strait of Hormuz, effectively shut by Iran for most of the 10-week war, is reopening fast. ANZ Research analysts told [The Wall Street Journal](https://www.wsj.com/finance/commodities-futures/oil-falls-on-signs-of-more-easing-of-supply-disruptions-in-mideast-8b2de17c?ref=consumernews.ai) that "oil tankers are increasingly visible in their passage through the Strait of Hormuz" and that "the International Maritime Organization has received assurances regarding safety, enabling hundreds of vessels to depart from the Persian Gulf."
Bloomberg's [Wednesday oil dispatch](https://www.bloomberg.com/news/articles/2026-06-23/latest-oil-market-news-and-analysis-for-june-24?ref=consumernews.ai) confirmed tanker traffic was climbing as U.S.-Iran peace talks advanced.
The thaw extended to nuclear inspections. U.N. nuclear-watchdog inspectors will visit Iran's nuclear sites as soon as this week under the U.S. deal, [The Associated Press reported](https://apnews.com/article/iran-us-israel-lebanon-june-24-2026-nuclear-grossi-ceasefire-875ee115cacd1f5923052b70f2be4124?ref=consumernews.ai), and [NBC News confirmed](https://www.nbcnews.com/world/iran/un-inspectors-will-visit-irans-nuclear-sites-us-deal-nuclear-agency-bo-rcna351494?ref=consumernews.ai) that International Atomic Energy Agency director Rafael Grossi said inspectors will return. Secretary of State Marco Rubio swept through Persian Gulf capitals Wednesday to reassure allies on the deal, [per The Times](https://www.nytimes.com/2026/06/24/world/middleeast/middle-east-iran-us-rubio.html?ref=consumernews.ai), as Brent slipped below 76 dollars a barrel and Gulf economies that had taken heavy collateral damage from the shutdown started absorbing the shock.
Critics on the right of Trump's coalition are already grumbling. New York Times opinion columnist Thomas L. Friedman argued [Wednesday](https://www.nytimes.com/2026/06/24/opinion/thomas-friedman-iran-deal.html?ref=consumernews.ai) that the president ended the war primarily to lower gas prices ahead of midterm elections, "sacrificing alliances with Israel and Gulf states for votes in swing states like Michigan, Pennsylvania, and Georgia."
Friedman warned that "the same Iranian regime persists, albeit with a younger leadership aware of their leverage over the Strait of Hormuz." Canada's annual inflation rate, meanwhile, accelerated to a 29-month high of 3.2 percent in May as war-driven fuel costs continued to feed through, [Reuters reported](https://www.reuters.com/markets/us/?ref=consumernews.ai).
### **Goldman sees July Fed hike risk — Bessent backs Warsh, mortgages stall**
The next domino is the Federal Reserve. Goldman Sachs' Lindsay Rosner said new Fed chair Kevin Warsh has "a decent chance" of deciding to hike rates in July, [in a CNBC video](https://www.cnbc.com/video/2026/06/23/decent-chance-warsh-decides-to-hike-rates-in-july-says-goldmans-lindsay-rosner.html?ref=consumernews.ai). Bloomberg's [opinion column](https://www.bloomberg.com/opinion/articles/2026-06-24/warsh-s-pivot-risks-confusing-the-market-and-the-fed?ref=consumernews.ai) Wednesday warned that "Warsh's pivot risks confusing the market and the Fed," and [a separate Bloomberg piece](https://www.bloomberg.com/news/articles/2026-06-24/the-debasement-trade-is-unraveling-and-kevin-warsh-is-one-big-reason?ref=consumernews.ai) said the "debasement trade is unraveling and Kevin Warsh is one big reason," with gold, silver and the dollar all responding to the hawkish turn.
Treasury Secretary Scott Bessent moved to dampen the dispute, expressing confidence in Warsh and saying inflation is "coming down," [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-24/bessent-signals-confidence-in-warsh-sees-inflation-coming-down?ref=consumernews.ai). But CNBC reported separately that Warsh is preparing to reshape the central bank with an Atlanta Fed regional president pick, [naming Michael Faulkender](https://www.cnbc.com/2026/06/23/fed-warsh-atlanta-michael-faulkender.html?ref=consumernews.ai) — a fresh sign the new Fed is leaning hawkish.
The housing market is feeling it. [The Wall Street Journal's economics desk reported](https://www.wsj.com/economy/housing/brief-drop-in-mortgage-rates-points-to-another-false-start-for-the-housing-market-d65a0cbd?ref=consumernews.ai) Tuesday that "rates eased briefly on ceasefire talks, but a hawkish Federal Reserve means the spring housing freeze is likely to stretch through the year."
Thirty-year mortgage rates climbed back to roughly 6.5 percent, [per The Times' housing-bill story](https://www.nytimes.com/2026/06/24/business/housing-package-congress-midterms.html?ref=consumernews.ai), discouraging current homeowners from selling or refinancing and locking many buyers out — a stall that will dull whatever supply boost the new housing bill ultimately delivers.
### **Prime Day rolls on as Walmart buys ad tech and GLP-1 competition heats up**
Amazon Prime Day is in full swing through Friday, June 26, alongside Walmart Deals (through Sunday, June 28) and Target Circle Deal Days (Tuesday through Friday). [NBC News rounded up](https://www.nbcnews.com/select/shopping/best-amazon-prime-day-deals-2026-06-24-rcna351521?ref=consumernews.ai) 51-plus early Prime Day deals worth shopping, and a [bestseller tracker](https://www.nbcnews.com/select/shopping/bestselling-amazon-prime-day-2026-deals-rcna351158?ref=consumernews.ai) catalogued what Americans are actually buying.
The retail showdown is reshaping behind-the-scenes economics. Walmart sealed its biggest deal in two years, buying an advertising-technology firm to power its retail media business, [The Wall Street Journal reported](https://www.wsj.com/business/retail/walmart-in-biggest-deal-in-two-years-buys-advertising-tech-firm-ccd6c03b?ref=consumernews.ai) — a move that signals where the grocery giant sees its highest-margin growth.
GLP-1 weight-loss competition is intensifying too. China has approved Pfizer's GLP-1 treatment Xianweiying for long-term weight management in adults, [Reuters reported](https://www.reuters.com/business/healthcare-pharmaceuticals/?ref=consumernews.ai), boosting competition in a market analysts expect to be worth billions. [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-24/germany-sticks-to-plan-for-cuts-in-drug-prices-despite-us-probe?ref=consumernews.ai) said Germany is sticking with planned drug-price cuts despite the U.S. Section 301 probe targeting Berlin's most-favored-nation pricing rules.
Bloomberg's [climate-inflation newsletter](https://www.bloomberg.com/news/newsletters/2026-06-23/how-extreme-weather-impacts-consumer-prices-around-the-world?ref=consumernews.ai) reminded readers Wednesday that extreme weather is reshaping consumer prices around the world — a slow-burn force that will outlast the Iran-deal oil tailwind. WSJ's [What's News podcast](https://www.wsj.com/podcasts/whats-news/first-an-energy-crisis-now-el-nino/63a44f77-30d9-466d-a9be-007671c9a8de?ref=consumernews.ai) framed Wednesday's news cleanly: "First an Energy Crisis. Now El Niño?"
### **Bigger picture**
The five stories trace one through-line: relief in headline commodity prices is colliding with structural pressure on every American household line item. Crude is back below 73 dollars and Hormuz is reopening, but pump prices are still nearly a dollar above pre-war levels and Trump has now turned the Justice Department on big oil to force the math along — even though refining lags and state taxes mean falling crude takes weeks to clear the pump, as energy economists keep pointing out.
Congress just passed its most significant housing law in three decades, but 30-year mortgage rates are climbing back toward 6.5 percent, builders fear the bill will fizzle without local zoning reform, and Goldman is warning Kevin Warsh may hike in July. Even the bright spots — Iran inspectors returning, GLP-1 competition, Prime Day discounts, Walmart's ad-tech deal — sit inside the same wallet pinch.
As Bloomberg's Wednesday climate newsletter put it, extreme weather is reshaping consumer prices "around the world" — a reminder that the war-driven sticker shock of 2026 has structural company that the next Fed move and the next housing bill cannot quickly fix.
\--
*Perplexity.ai provided research for this story.*
### New Jersey puts businesses on notice: hidden ‘junk fees’ may violate consumer fraud law
URL: https://www.consumernews.ai/new-jersey-puts-businesses-on-notice-hidden-junk-fees-may-violate-consumer-fraud-law/
Last updated: 2026-06-23T20:52:45.000Z
New Jersey is launching a broad attack on “junk fees,” putting businesses on notice that hidden, misleading or worthless charges may violate one of the nation’s strongest consumer protection laws.
Gov. Mikie Sherrill and Attorney General Jennifer Davenport announced the initiative June 15, saying the state will use both agency review and enforcement powers to crack down on fees that make advertised prices look lower than what consumers actually pay.
The action includes an executive order requiring state agencies to identify junk fees in their areas, recommend rulemaking where needed and propose ways to make “all-in” pricing and clear fee disclosure standard across New Jersey by September 14\.
At the same time, the Attorney General’s Office and the Division of Consumer Affairs issued an enforcement statement warning that certain fee practices may already be illegal under the New Jersey Consumer Fraud Act. The statement does not create a new law, but it tells businesses how state regulators intend to interpret and enforce existing law.
A legal analysis by [Consumer Finance Monitor ](https://www.consumerfinancemonitor.com/2026/06/22/new-jersey-attorney-general-issues-sweeping-enforcement-statement-targeting-junk-fees/?ref=consumernews.ai)called the statement one of the most comprehensive state-level pronouncements so far on junk fees, especially because it reaches beyond simple disclosure issues into questions of whether a fee is excessive, abusive or provides little value.
## What New Jersey is targeting
The enforcement statement identifies several common practices that may trigger scrutiny:
- Advertising a low price and adding mandatory fees later in the transaction.
- Hiding costs in fine print.
- Using websites or apps designed to make fees hard to notice.
- Misrepresenting what a fee is for or whether it is required.
- Using vague language to tack on overpriced or useless fees that provide little or no benefit to consumers.
That means the target is not just the classic “resort fee” added at checkout. New Jersey officials say junk fees may show up in housing, auto sales, lending, travel, delivery services and other everyday transactions. Consumer Finance Monitor noted that the statement is especially significant for banks, nonbank lenders, fintech companies, auto finance companies, mortgage lenders and servicers because many of the examples resemble past consumer-finance enforcement theories.
Attorney General Davenport framed the issue as an affordability problem.
“Hidden and worthless junk fees are increasing costs for families, and we are putting New Jersey businesses on notice that we won’t hesitate to act when we see them,” Davenport said in the state announcement.
## A broader theory of junk fees
Many junk-fee laws focus on price transparency: tell the consumer the real price up front and do not wait until checkout to reveal mandatory charges.
New Jersey appears to be going further. According to Consumer Finance Monitor’s review, the enforcement statement suggests that even disclosed fees may be challenged if they are misleadingly described, inadequately explained, disproportionate to the value provided or structured in a way that undermines real consumer consent.
That could matter in industries where consumers are sold add-on products, optional services or bundled charges at the end of a transaction. Examples include auto-finance add-ons, duplicative insurance products, optional products embedded in monthly payments, and electronic-signature practices that may make it hard for consumers to understand what they are buying.
The enforcement statement also flags “dark patterns” — website or app designs that steer consumers toward choices they might not otherwise make. Regulators may look at buried disclosures, confusing pop-ups, manipulated font sizes, complex click-through steps or layouts that make fees hard to identify, [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/06/22/new-jersey-attorney-general-issues-sweeping-enforcement-statement-targeting-junk-fees/?ref=consumernews.ai), a legal blog, said.
## Rental housing is a major focus
Housing costs are a central part of the New Jersey initiative. State officials specifically cited hidden rental costs, application fees and mandatory charges that can make the advertised rent far lower than the real monthly cost.
The state said the junk-fee push follows several recent actions, including April guidance on New Jersey’s new $50 cap on rental application fees and a bipartisan effort led by Davenport urging the FTC to regulate hidden and deceptive rental housing fees.
The timing also reflects New Jersey’s preparations for the 2026 FIFA World Cup, when the state expects a surge of visitors. In May, the Division of Consumer Affairs warned hotels and short-term rental providers against hidden fees and deceptive pricing tactics.
## Federal action is narrower
The Federal Trade Commission’s junk-fee rule took effect May 12, 2025, and applies to live-event tickets and short-term lodging. It prohibits bait-and-switch pricing and tactics that obscure total prices and fees in those sectors.
New Jersey’s move is broader because it relies on the state Consumer Fraud Act, which can reach deceptive, abusive or unconscionable commercial practices across many types of consumer transactions. The state says businesses may face enforcement if they use hidden fees, surprise charges or manipulative designs that prevent consumers from knowing the real cost.
Consumer Finance Monitor noted that the state approach arrives as the CFPB has retreated from the aggressive junk-fee agenda it pursued under former Director Rohit Chopra, leaving state attorneys general and the FTC to play a larger role.
## Why it matters
Junk fees have become a major consumer-policy issue because they make comparison shopping harder. A consumer may choose an apartment, hotel room, delivery order, loan or ticket based on an advertised price, only to find that mandatory fees raise the true cost later.
Consumer advocates say the practice rewards companies that hide costs and punishes businesses that advertise honest prices. Industry lawyers, meanwhile, are warning businesses that New Jersey’s enforcement statement may expose them to scrutiny even when fees are technically disclosed.
That is the key shift: New Jersey is not just saying “disclose the fee.” It is saying that regulators may ask whether the fee was explained clearly, whether the consumer truly consented, whether the charge was buried in a confusing transaction and whether the fee provided meaningful value.
## What consumers can do
New Jersey is encouraging consumers to report junk fees to the Division of Consumer Affairs through its new “Fight the Fees” materials and complaint process. ([NJ.gov](https://www.nj.gov/governor/news/2026/20260615a.shtml?ref=consumernews.ai))
Consumers should watch for:
- Advertised prices that rise sharply at checkout.
- Mandatory “service,” “processing,” “convenience,” “administrative” or “technology” fees.
- Rental listings that leave out monthly add-on charges.
- Loan or auto-sale documents with bundled products inside the payment.
- Pre-checked boxes or electronic forms that add optional services automatically.
- Fees described in vague terms without a clear explanation of who gets the money or what the consumer receives.
## The bottom line
New Jersey’s message to businesses is blunt: the real price should not be a surprise, and a fee that adds little value may be more than just annoying — it may be unlawful.
> For consumers, the enforcement statement gives new weight to a familiar complaint: the price advertised at the beginning of a transaction should be the price they can actually compare, understand and rely on.
### National Safety Recalls - June 23
URL: https://www.consumernews.ai/national-safety-recalls-june-23/
Last updated: 2026-06-23T20:04:04.000Z
## Top hazards to watch
**MorningStar Farms plant-based nuggets and sausage patties** — FDA posted a June 22 recall for Buffalo Chik’n Nuggets and Hot & Spicy Sausage Patties because they may contain plastic pieces. Affected best-by dates run July 5–8, 2027\. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/morningstar-farms-voluntarily-recalling-two-varieties-due-possible-plastic-presence?ref=consumernews.ai))
**GOPO pull-string teething toys** — CPSC lists this as a serious choking/respiratory-distress hazard; about 70,410 units recalled. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Diablo Rising fireworks** — About 1,060 recalled because overloaded fireworks can explode more powerfully than expected, creating deadly explosion and burn hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Bada-Boom-Fireworks-Recalls-Pyro-Diablo-Diablo-Rising-Fireworks-Due-to-Risk-of-Serious-Injury-or-Death-from-Explosion-and-Burn-Hazards-Violate-Fireworks-Ban?ref=consumernews.ai))
**Power Plate Meals frozen meatloaf meals** — FSIS announced a June 18 recall of about 5,795 pounds because of undeclared soy, a potentially life-threatening allergen. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/power-plate-meals-llc-recalls-frozen-meatloaf-products-due-misbranding-and?utm%5Fsource=chatgpt.com))
**Waymo robotaxis** — NHTSA filing reported by multiple outlets: 3,871 vehicles recalled after incidents involving freeway construction zones; freeway operations restricted while a software fix is developed. ([WIRED](https://www.wired.com/story/waymo-recalls-robotaxis-over-risk-theyll-drive-at-speed-into-freeway-construction-zones?utm%5Fsource=chatgpt.com))
### Other notable items
**CooCooBaby baby loungers** — Suffocation, entrapment and fall hazards; about 2,355 units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/TOMY-Recalls-Boon-NURSH-8-oz-Reusable-Baby-Bottles-Due-to-Choking-Hazard-Sold-at-Walmart?ref=consumernews.ai))
**BABESIDE doll/stroller toys** — Deadly choking hazard from small pacifier and detachable plush bear eyes; about 2,200 units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Veseacky and Michley children’s pajamas** — Burn hazards from children’s sleepwear flammability violations. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Arizer Solo III vaporizers** — Fire/burn hazard from lithium-ion batteries that can ignite or explode; about 5,000 units. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?ref=consumernews.ai))
**Jeep Gladiator/Wrangler** — Still a major active NHTSA alert: more than 1 million 2021–2025 vehicles recalled for fire risk; owners told to park outside and away from buildings. ([nhtsa.gov](https://www.nhtsa.gov/press-releases/urgent-park-outside-warning-issued-1-million-jeeps?utm%5Fsource=chatgpt.com))
### Temu accused of using spam emails to lure shoppers into digital tracking
URL: https://www.consumernews.ai/temu-accused-of-using-spam-emails-to-lure-shoppers-into-digital-tracking/
Last updated: 2026-07-10T13:22:25.000Z
Temu’s ultra-cheap shopping pitches are facing a new legal challenge, this time over what happens after consumers click on one of the company’s promotional emails.
A proposed class action lawsuit filed in California claims that Temu, operated in the U.S. by Whaleco Inc., sent consumers misleading spam emails that were designed not just to advertise low-priced goods but to lure recipients into opening messages and clicking links that allegedly triggered hidden online tracking.
The lawsuit, filed by California resident Dallas Pottish, says Temu “blankets” California consumers with commercial emails using deceptive subject lines, misleading headers and spoofed or confusing sender domains. Once a consumer clicks through, the complaint alleges, Temu’s website uses tracking pixels, cookies and similar technologies to collect data and transmit it to third-party data brokers and advertising platforms.
Temu has not been found liable. The case is at an early stage, and the allegations remain unproven.
## A one-cent offer, then a privacy claim
The lawsuit focuses on an email with the subject line “$0.01 False Nails – Ends Soon.” According to the complaint, Pottish had no prior business relationship with Temu and had not consented to receive marketing emails from the company.
The suit claims the email appeared to come from a confusing or unrelated sender address, making it difficult for the recipient to determine who was behind the message. Pottish says he opened the email and clicked a link while trying to determine its origin and legitimacy.
That click, the complaint says, led to Temu’s website, where tracking technologies allegedly collected information about his browser, device, browsing behavior and online activity. The lawsuit names Amplitude, Fastly and Facebook Domain Insights among the entities allegedly connected to tracking or data transmission.
The complaint says the “$0.01” offer was misleading because the plaintiff could not find the advertised product available for that price. It also says the “Ends Soon” language created a false sense of urgency, encouraging consumers to click before evaluating the legitimacy of the offer.
## Why tracking pixels matter
Tracking pixels are often tiny invisible images or snippets of code embedded in emails or webpages. Marketers use them to learn whether a message was opened, whether a link was clicked, what device was used, and sometimes what pages a user visited afterward.
Many consumers assume clicking a shopping email simply opens a product page. Privacy advocates and plaintiffs’ lawyers increasingly argue that, in some cases, a single click can start a broader data-collection chain that follows consumers across websites, devices and advertising networks.
The Temu lawsuit makes that argument directly. It claims the email was not merely annoying spam but the first step in what the complaint calls “ongoing digital surveillance.”
The suit alleges violations of California’s anti-spam law, the California Invasion of Privacy Act and the state’s trap-and-trace law. The proposed class would include California residents who received Temu commercial emails with allegedly false or misleading sender information, headers, subject lines or contents, as well as consumers whose data was allegedly intercepted or transmitted through tracking tools without consent.
## Temu’s broader legal troubles
The new case lands as Temu is already under heavy scrutiny from regulators, state attorneys general and private plaintiffs.
In 2025, the Federal Trade Commission announced a $2 million settlement with Whaleco, Temu’s operator, over allegations that the company violated the INFORM Consumers Act. That law requires large online marketplaces to collect and disclose certain information about high-volume sellers and give consumers a way to report suspicious marketplace activity. The FTC case did not involve the new spam-email allegations, but it added to the regulatory pressure surrounding Temu’s U.S. operations.
Several state attorneys general have also sued Temu or related companies over data and consumer-protection claims. Arizona, Nebraska and Arkansas have alleged that Temu’s app or business practices involved invasive data collection, deceptive marketing or other consumer harms. Temu has denied wrongdoing in response to similar allegations and has argued that claims portraying its app as malware or spyware are false or based on unreliable reports.
Those state cases are separate from the California email lawsuit, but together they show how Temu’s rapid growth has put it at the center of a larger debate over bargain e-commerce, data collection and foreign-owned shopping platforms.
## What consumers should watch for
For shoppers, the case is a reminder that promotional emails can be more than advertisements. A message promising a shocking discount may also contain tracking links, hidden pixels or redirects through marketing platforms.
Consumers can reduce exposure by avoiding suspicious promotional links, typing a retailer’s address directly into a browser, using privacy-focused browser settings, blocking third-party cookies where possible, and unsubscribing from legitimate marketing lists rather than clicking unfamiliar links.
It is also worth checking the sender address before clicking. A well-known brand name in the display field does not always mean the email came from that brand’s official domain. Messages with strange sender addresses, mismatched reply-to fields, urgent subject lines or too-good-to-be-true prices deserve extra skepticism.
## The bottom line
The lawsuit does not prove Temu broke the law. But it raises a broader consumer issue that extends well beyond one company: online retailers increasingly rely on aggressive email marketing and sophisticated data tracking to turn attention into sales.
The legal question is whether Temu’s alleged tactics crossed the line from ordinary digital advertising into deceptive spam and unlawful surveillance.
For consumers, the practical lesson is simpler: the cheapest-looking offer in your inbox may come with hidden costs — not just in money, but in data.
### Prime Day, Walmart Deals — and Novo's surprise GLP-1 price cut
URL: https://www.consumernews.ai/prime-day-walmart-deals-and-novos-surprise-glp-1-price-cut/
Last updated: 2026-06-23T13:00:15.000Z
Amazon Prime Day is officially live. The four-day event runs from 12 a.m. Tuesday, June 23 through 11:59 p.m. PT Friday, June 26, [The Wall Street Journal reported](https://www.wsj.com/buyside/shopping-holidays/deals-sales/best-amazon-prime-day-deals-2026?ref=consumernews.ai), while Walmart Deals — kicked off Monday — runs through Sunday, June 28, [per NBC News](https://www.nbcnews.com/select/shopping/walmart-prime-day-2026-deals-rcna350712?ref=consumernews.ai).
Target Circle Deal Days runs June 23 through 26 for members online and in-store, [also via NBC](https://www.nbcnews.com/select/shopping/amazon-prime-day-what-to-buy-and-skip-rcna350407?ref=consumernews.ai), and Sephora's Big Summer Sale runs through Tuesday with up to 50 percent off using code POINTSPLUS. NBC noted shoppers should "make a shopping list" and "evaluate price history graphs closely" to ensure markdowns are genuine and not "marked down from an inflated baseline."
But shoppers are walking into the deals with thinner wallets. NBC News reported [summer sales events kick off as inflation squeezes U.S. consumers](https://www.nbcnews.com/business/consumer/summer-sales-prime-day-inflation-rcna350911?ref=consumernews.ai), with the National Retail Federation expecting back-to-school spending to fall this year as households cut discretionary categories.
In one bright spot for the medicine cabinet, Novo Nordisk announced it will slash GLP-1 list prices in the United States by up to 50 percent for insured patients, [CNBC reported](https://www.cnbc.com/health-and-science/?ref=consumernews.ai).
The cuts are aimed particularly at people with high-deductible health plans or coinsurance designs that tie out-of-pocket cost to list price, and they come ahead of the planned launch of Novo's obesity pill. CEO Lars Fruergaard Jorgensen — known as Doustdar in earlier wire reports — told analysts that Medicare coverage expansion and the new pill should "gradually boost prescription volumes and offset lower prices in the U.S."
In the deals universe, [WSJ Buyside flagged](https://www.wsj.com/buyside/shopping-holidays/deals-sales/best-amazon-prime-day-home-and-kitchen-deals-2026?ref=consumernews.ai) the best home-and-kitchen markdowns, while [NBC News rounded up 15-plus products](https://www.nbcnews.com/select/shopping/amazon-prime-day-2026-lowest-prices-rcna351201?ref=consumernews.ai) at their lowest-ever Amazon prices and [a list of Apple Watch, AirPods and grill deals](https://www.nbcnews.com/select/shopping/amazon-prime-day-deals-2026-rcna350547?ref=consumernews.ai).
## Bigger picture
A pattern is hardening. War-driven inflation is starting to ease at the wholesale level — oil under 75 dollars, Brent under 77, Iran's central bank watching $12 billion thaw — but the relief is colliding with three structural forces consumers are now living with daily. The Fed under Kevin Warsh, with hawkish role models in mind, is leaning toward more hikes rather than fewer, with Bank of America counting three more in 2026 and 30-year mortgage rates already climbing back through 6.5 percent.
The tariff system, rebuilt on Section 301 hooks, is asking shoppers to absorb 10 percent or higher levies on imports from 60 trading partners even as the Supreme Court-ordered refund of 166 billion dollars lands in federal court Tuesday.
And as NHTSA opens a fatal Tesla probe and adds Tesla to the recall-and-investigation queue that already includes Ford, Honda, Volvo and Waymo, the consumer technology promise of safer, cheaper transportation faces fresh scrutiny.
Walmart, Amazon, Target and Sephora can dangle the discounts they like — but as Bank of America put it, inflation is "unambiguously worse," and the wallet shoppers bring into Prime Day this week reflects it.
### Bank of America: inflation is 'unambiguously worse,' three Fed hikes coming
URL: https://www.consumernews.ai/bank-of-america-inflation-is-unambiguously-worse-three-fed-hikes-coming/
Last updated: 2026-06-23T12:21:42.000Z
Wall Street's most influential research desks are tilting hawkish despite the oil pullback. Bank of America now expects the Federal Reserve will deliver three rate hikes this year, telling clients inflation is "unambiguously worse" than the central bank's forecasts assumed, [CNBC reported](https://www.cnbc.com/2026/06/22/bank-of-america-sees-3-fed-hikes-in-2026-inflation-unambiguously-worse.html?ref=consumernews.ai). The bank cited a wave of war-driven energy pass-through and the new tariff regime as forces likely to keep core inflation elevated well into 2027.
CNBC's [Daily Open dispatch](https://www.cnbc.com/2026/06/23/cnbc-daily-open-us-waives-iran-sanctions-rotation-out-of-megacaps.html?ref=consumernews.ai) reported a rotation out of megacap technology stocks Monday even after the Iran sanctions waiver eased supply worries. The 10-year U.S. Treasury yield slipped 2 basis points to 4.481 percent, [per CNBC's market snapshot](https://www.cnbc.com/?ref=consumernews.ai), but Goldman's hedge-fund desk told [CNBC](https://www.cnbc.com/2026/06/23/goldman-sachs-picks-best-hedges-for-a-rate-shock-scenario.html?ref=consumernews.ai) that last week's hawkish Federal Open Market Committee meeting left investors with "heightened ambiguity regarding the forecast for short-term interest rates."
Reuters' homepage flagged that traders are "grappling with rising expectations the Federal Reserve may take more aggressive action to tackle inflation later this year," [per its Tuesday summary](https://www.reuters.com/?ref=consumernews.ai). Investors are watching new Fed chair Kevin Warsh closely. [The New York Times reported](https://www.nytimes.com/2026/06/22/business/warsh-greenspan-federal-reserve.html?ref=consumernews.ai) that in former chair Alan Greenspan, Warsh has "saw a Fed chairman role model" — a tilt that consumers may feel in higher mortgage and credit-card rates if his Fed delivers the hikes Bank of America is now forecasting. Thirty-year mortgage rates are climbing back to 6.53 percent, [The Wall Street Journal reported Monday](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-22-2026?ref=consumernews.ai), reversing some of last week's relief.
### Tariff refund chaos lands in federal court — and the White House appeals
Two weeks after the Supreme Court struck down President Trump's sweeping global tariffs, the refund of $166 billion in collected duties is heading toward federal court. A U.S. Customs and Border Protection official is set to testify Tuesday in federal court about the agency's plans for refunds, with [The Associated Press tariffs hub reporting](https://apnews.com/hub/tariffs?ref=consumernews.ai) that "as US Customs refines its tariff refund system, who gets in to apply is under dispute."
The administration is not letting the refund order stand. President Trump "plans to appeal order allowing all importers that paid struck-down tariffs to seek refunds," [the AP reported](https://apnews.com/hub/tariffs?ref=consumernews.ai), even as businesses big and small have already started receiving refunds. Affected importers range from small retailers to multinationals — but the question of which companies pass refunds along to consumers, and which keep the windfall, remains unanswered. Few large companies have committed publicly to sharing the 166 billion dollars with shoppers.
The fight comes as the administration tries to rebuild the tariff wall by other means, leaning on Section 301 forced-labor probes and proposing 10 percent or higher duties on imports from 60 trading partners.
U.S. Trade Representative Jamieson Greer arrived in India Tuesday to "resolve trade pact hurdles," [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-23/us-trade-chief-greer-in-india-to-resolve-trade-pact-hurdles?ref=consumernews.ai), as Asian capitals press for terms better than their neighbors. Meanwhile a Bloomberg [newsletter](https://www.bloomberg.com/news/newsletters/2026-06-23/eu-and-de-minimis-exemption?ref=consumernews.ai) warned British retailers are "bracing for fallout" from a new 3-euro EU e-commerce fee, plus a 2-euro handling charge, after Brussels abolishes its 150-euro de minimis exemption July 1 — a foreshadowing of similar U.S. moves that would raise the cost of Shein and Temu orders for American shoppers.
### National Safety Recalls — June 22
URL: https://www.consumernews.ai/national-safety-recalls-june-22/
Last updated: 2026-06-22T20:21:37.000Z
### Highest-priority consumer hazards
**GOPO pull-string teething toys** — About 70,410 units recalled because silicone strings can reach the back of a child’s throat, posing serious choking and respiratory-distress hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/GOPO-Toys-Recalls-Pull-String-Teething-Toys-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Violate-Mandatory-Standard-for-Toys?utm%5Fsource=chatgpt.com))
**Sloosh dive sticks** — About 254,000 recalled because they violate the federal dive-stick ban and pose impalement hazards, including possible facial and eye injuries. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Joyin-Recalls-Sloosh-Dive-Sticks-Due-to-Risk-of-Serious-Injury-from-Impalement-Violate-Federal-Dive-Sticks-Ban?utm%5Fsource=chatgpt.com))
**Jeep Gladiator and Wrangler fire risk** — More than 1 million 2021–2025 vehicles recalled; owners are told to park outside and away from buildings until repaired. NHTSA says it is aware of 51 fires and one likely related injury. ([NHTSA](https://www.nhtsa.gov/press-releases/urgent-park-outside-warning-issued-1-million-jeeps?ref=consumernews.ai))
**Target Up & Up baby wipes** — Recalled due to Burkholderia contamination risk; FDA notes serious or life-threatening infections are possible, especially in newborns, infants, young children and immunocompromised people. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/target-recalls-fragrance-free-and-fresh-cucumber-scented-baby-wipes-due-potential-microbial?ref=consumernews.ai))
**CooCooBaby baby loungers** — About 2,355 recalled for suffocation and fall hazards; another infant-sleep product violating federal safety standards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/CooCooBaby-Baby-Loungers-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Suffocation-and-Fall-Hazards-Violates-Mandatory-Standard-for-Infant-Sleep-Products?utm%5Fsource=chatgpt.com))
### Other notable recalls
**BABESIDE doll and stroller toys** — About 2,200 recalled for small-parts choking hazards involving a pacifier and detachable plush bear eyes. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/BABESIDE-Doll-and-Stroller-Childrens-Toys-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Choking-Hazard-Violate-Small-Parts-Ban-Sold-on-Amazon-by-HYBDOLLS?utm%5Fsource=chatgpt.com))
**Veseacky children’s pajama sets** — About 3,700 recalled because they violate children’s sleepwear flammability standards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Veseacky-Pajama-Sets-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Burn-Hazard-Violate-Mandatory-Standards-for-Childrens-Sleepwear?utm%5Fsource=chatgpt.com))
**SHEIN/Michley children’s pajamas** — About 160 recalled for burn hazards from flammability-standard violations. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/SHEIN-Distribution-Corporation-Recalls-Michley-Childrens-Pajamas-Due-to-Risk-of-Serious-Injury-or-Death-from-Burn-Hazard-Violate-Mandatory-Standard-for-Childrens-Sleepwear?utm%5Fsource=chatgpt.com))
**Bada Boom “Diablo Rising” fireworks** — About 1,060 recalled because overloaded fireworks can explode with greater force than expected, creating burn and explosion hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Bada-Boom-Fireworks-Recalls-Pyro-Diablo-Diablo-Rising-Fireworks-Due-to-Risk-of-Serious-Injury-or-Death-from-Explosion-and-Burn-Hazards-Violate-Fireworks-Ban?utm%5Fsource=chatgpt.com))
**Arizer Solo III portable vaporizers** — About 5,000 recalled because lithium-ion batteries can ignite or explode. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Arizer-Solo-III-Portable-Vaporizers-Recalled-Due-to-Fire-and-Burn-Hazards-Risk-of-Serious-Injury-or-Death-Imported-by-7111495-Canada?utm%5Fsource=chatgpt.com))
**Joolz Aer2 car-seat stroller adapters** — About 3,840 recalled because adapters can fail and allow the car seat to fall. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Joolz-Recalls-Aer2-Car-Seat-Adapters-for-Strollers-Due-to-Risk-of-Serious-Injury-from-Fall-Hazard?utm%5Fsource=chatgpt.com))
**TNVitamins/Doctor’s Pride green superfood capsules** — FDA-posted expanded recall for possible Salmonella contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/total-nutrition-inc-expands-recall-tnvitamins-and-doctors-pride-ultra-potent-complete-green-0?ref=consumernews.ai))
**Clover Hill/Nelson & Isa Requeson cheese** — Listeria risk; sold in New York retail locations in May. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/nelson-isa-lacteos-llc-recalls-requeson-cheese-due-possible-health-risk?ref=consumernews.ai))
**FSIS public health alert** — FSIS issued an alert for various meat and poultry products containing FDA-regulated dairy ingredients recalled for possible Salmonella contamination. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-various-meat-and-poultry-products-containing-fda?utm%5Fsource=chatgpt.com))
### Tesla crashes into house, kills woman; feds investigating
URL: https://www.consumernews.ai/tesla-crashes-into-house-kills-woman-feds-investigating/
Last updated: 2026-06-28T14:39:55.000Z
Federal auto-safety regulators are investigating a fatal Tesla crash in Texas after a Model 3 left the roadway, crossed a yard and slammed into a brick home, killing a woman inside.
The crash occurred Friday evening, June 19, in Katy, Texas, near Houston. According to the Harris County Sheriff’s Office, the Tesla entered the residence “at a high rate of speed” and struck 76-year-old Martha Avila Mantilla, who later died from her injuries, published reports said. The driver was hospitalized and told investigators he had been operating the vehicle with an automated driver-assistance system.
The National Highway Traffic Safety Administration said Monday that it has opened a special crash investigation into the incident. Such investigations are used when crashes involve unusual circumstances, emerging technology or questions that may have broader safety implications.
The crash is the latest in a long line of federal inquiries involving Tesla driver-assistance systems, including Autopilot and Full Self-Driving, now marketed as Full Self-Driving (Supervised). Those systems can steer, accelerate and brake under certain conditions, but Tesla says they do not make the vehicle autonomous and require the driver to remain attentive and ready to take control at all times.
## What happened
Local officials said the Tesla Model 3 was traveling in a residential area when it left the roadway and crashed through the front of the home. Video from a home camera, later posted on social media and described by news outlets, appears to show the vehicle moving rapidly across a yard and driveway before striking the house.
The woman who was killed was inside the home when the car came through the wall. Other family members were reportedly in the home but were not killed.
The driver has been identified in multiple reports as 44-year-old Michael Butler. Investigators said there were no immediate signs of intoxication, and the driver was cooperating. No charges had been announced as of Monday.
The Harris County Sheriff’s Office said the case remains open. Once evidence is gathered, the findings may be presented to the local district attorney’s office to determine whether charges are appropriate.
## Automation claim is central — but still unproven
The most important unanswered question is whether a Tesla driver-assistance system was actually engaged at the moment of the crash — and, if so, which one.
The driver reportedly told police he was using an automated driving-assistance system. But officials have not publicly confirmed whether the feature was Autopilot, Full Self-Driving (Supervised), Traffic-Aware Cruise Control or another Tesla function. Investigators will likely examine vehicle data, video, crash-scene evidence and statements from the driver.
That distinction matters. Tesla’s systems are not legally classified as fully autonomous driving systems. They are driver-assistance technologies, meaning the human driver remains responsible for monitoring the road and intervening when necessary.
Tesla’s own materials say Full Self-Driving (Supervised) “requires active driver supervision and does not make the vehicle autonomous.” The company charges $99 a month for a subscription to Full Self-Driving (Supervised), which can provide more active steering and navigation assistance on city streets and highways.
## Why NHTSA is involved
NHTSA’s special crash investigations are not the same as a recall. They are technical investigations designed to help the agency understand what happened in a serious or unusual crash.
But the findings can feed into broader defect investigations. If NHTSA concludes that a vehicle system creates an unreasonable safety risk, the agency can press for a recall or other remedy.
Federal regulators already have multiple lines of inquiry open into Tesla’s driver-assistance technology. Earlier this year, NHTSA escalated an investigation into Full Self-Driving after crashes in reduced-visibility conditions such as fog, glare and airborne dust. That probe covers roughly 3.2 million Tesla vehicles equipped with FSD technology.
NHTSA has also investigated reports of Tesla vehicles making unsafe maneuvers while using Full Self-Driving, including alleged traffic-signal violations and crashes. Separately, Tesla previously recalled more than 2 million vehicles in the U.S. for software changes intended to improve driver monitoring and warnings when Autopilot is engaged.
## A larger consumer-safety problem
The Texas crash underscores a recurring problem with partially automated vehicles: drivers may misunderstand what the technology can and cannot do.
Terms such as “Autopilot” and “Full Self-Driving” can sound more capable than the systems are in real-world driving. Consumer advocates and safety experts have long argued that drivers may become overconfident, especially when the vehicle handles routine driving tasks smoothly for long periods.
The danger is that driver-assistance systems can work well — until they don’t. A system may steer properly on one stretch of road but fail to respond safely to a confusing lane marking, unusual road edge, stopped vehicle, pedestrian, emergency scene, glare, construction zone or other unpredictable condition.
That is why Level 2 driver-assistance systems require constant human supervision. The car may assist, but the driver is still supposed to be in control.
In a residential neighborhood, the stakes can extend beyond the people in the vehicle. This crash killed someone inside her own home, far from the roadway and with no ability to avoid the impact.
## What Tesla owners should do now
Owners of Tesla vehicles — and any vehicle with advanced driver-assistance features — should treat these systems as assistants, not substitutes for driving.
Drivers should keep both hands ready, watch the road continuously and be prepared to brake or steer instantly. They should not use these systems as permission to text, look away, sleep, ride distracted or assume the vehicle can handle every situation.
Drivers should also understand the exact features installed on their own vehicle. Autopilot, Enhanced Autopilot, Traffic-Aware Cruise Control and Full Self-Driving (Supervised) are not the same thing. None turns a Tesla into a fully self-driving car.
Consumers can check for open recalls at [NHTSA.gov/recalls](https://nhtsa.gov/recalls/?ref=consumernews.ai).
## What investigators will look for
Investigators are likely to focus on several questions:
Was any driver-assistance system engaged in the seconds before impact? Did the vehicle accelerate, maintain speed or fail to slow? Did the driver have hands on the wheel or eyes on the road? Were there warnings or alerts? Did the system detect the roadway edge, the driveway, the house or other objects? Did the driver attempt to brake or steer before impact?
The answers may determine whether this remains primarily a driver-error case, becomes part of a broader technology investigation, or both.
For now, the crash is a stark reminder that today’s driver-assistance systems are not autonomous chauffeurs. They may reduce some risks in some settings, but they can also create new dangers when drivers misunderstand their limits — or when the technology fails at the worst possible moment.
### Bed Bath & Beyond wants those old coupons back — and one could be worth far more than 20% off
URL: https://www.consumernews.ai/bed-bath-beyond-wants-those-old-coupons-back-and-one-could-be-worth-far-more-than-20-off/
Last updated: 2026-06-22T17:28:33.000Z
The revived home-goods retailer is asking shoppers to dig out old Bed Bath & Beyond coupons, even expired ones. The company says the famous blue 20% off coupons will be honored at participating stores during a 21-day promotion.
Bed Bath & Beyond, the once-bankrupt home-goods chain whose blue-and-white 20% off coupons became a fixture of kitchen drawers, glove compartments and junk-mail piles, is bringing the coupons back.
The company has launched what it calls the “Legendary Coupon Hunt,” a 21-day campaign running from June 22 through July 13\. Customers are being invited to bring old Bed Bath & Beyond coupons — expired, faded or decades old — to participating Bed Bath & Beyond + The Container Store and Kirkland’s Home locations.
The coupons will be honored at face value, generally 20% off, and can also serve as entries in a sweepstakes. The grand prize is a $100,000 home transformation. The company says other prizes include 100 $500 gift cards and 50 $100 gift cards.
The promotion is an unusually direct appeal to consumer nostalgia. For years, Bed Bath & Beyond trained shoppers to expect a coupon. Many consumers held onto the mailers long after their printed expiration dates, partly because the old chain had a reputation for accepting them anyway.
Now, the new Bed Bath & Beyond is turning that habit into a marketing event.
“For decades, our customers treated these coupons like treasure,” Amy Sullivan, president of Bed Bath & Beyond Inc., said in the company’s announcement. “They tucked them into purses, filing cabinets, cookbooks and memory boxes because they believed they would be valuable someday. We think they were right.”
### A coupon campaign with a comeback message
The promotion comes as Bed Bath & Beyond tries to rebuild a physical retail presence after the original chain collapsed into bankruptcy and closed its stores in 2023.
The brand has since been relaunched under new ownership and has been reshaped around a broader “Everything Home” strategy. That strategy now includes online retail, store partnerships, home organization, home services and even real estate-related services.
The company has been moving quickly. It has announced a rollout of Bed Bath & Beyond + The Container Store locations, beginning with 22 launch markets and more conversions expected. The format combines Bed Bath & Beyond’s bedding, bath, kitchen and home goods assortment with The Container Store’s organization and custom-space services.
Separately, Kirkland’s has been rebranded as The Brand House Collective, with plans to convert some existing Kirkland’s Home stores into Bed Bath & Beyond Home locations. The company has also announced deals involving The Container Store, Cabinets To Go parent F9 Brands and real estate services platform Fathom Holdings.
In short, the coupon campaign is not just a coupon campaign. It is a way to remind shoppers that Bed Bath & Beyond still exists — and that the new version wants to be seen as more than an online retailer.
### Why the old coupon mattered
The old 20% off coupon was one of the best-known marketing tools in American retail. It helped drive traffic, encouraged repeat visits and became part of the chain’s identity.
But the coupon also reflected one of the company’s old problems: shoppers came to expect a discount. That made it harder to sell goods at full price and contributed to the perception that Bed Bath & Beyond was always on sale.
For consumers, though, the coupon was simple. It was easy to understand, easy to save and often useful. That is why the new campaign may work. It gives shoppers a reason to visit a store and rewards those who still have a physical reminder of the old brand.
It also gives the company a relatively low-cost way to generate attention. Instead of asking consumers to learn a new loyalty program or download another app, Bed Bath & Beyond is asking them to search a drawer.
### What consumers should know
Consumers who still have old coupons may be able to use them during the promotion at participating locations. But they should check the rules before making a special trip.
**Key questions include:**
**Is the store participating?**
The promotion applies to participating Bed Bath & Beyond + The Container Store and Kirkland’s Home locations, not necessarily every store a consumer might associate with the brand.
**Can the coupon be used on any item?**
Retail coupons often exclude some brands, sale items, services, gift cards or other categories. Consumers should check store terms before assuming the coupon applies to everything.
**Is the sweepstakes free to enter?**
Legitimate sweepstakes must not require a purchase to enter or improve the odds of winning. Consumers should look for the official rules and any no-purchase entry option.
**What are the odds?**
A $100,000 home transformation sounds attractive, but the odds depend on the number of entries. As with any sweepstakes, the discount may be more valuable to most consumers than the chance of winning the grand prize.
**Could personal information be used for marketing?**
Sweepstakes entries often require contact information. Consumers should expect follow-up marketing and should read the privacy terms before entering.
**Are there taxes?**
Large prizes can have tax consequences. A $100,000 prize may be exciting, but winners should understand whether they will receive taxable income reporting and whether cash is offered instead of products or services.
### Watch out for copycat scams
High-profile sweepstakes can attract scammers. Consumers should be cautious of texts, emails or social media messages claiming they have won a Bed Bath & Beyond prize.
The Federal Trade Commission warns that real sweepstakes do not require winners to pay fees, taxes, shipping charges or “processing” costs upfront to claim a prize. A request to pay by gift card, payment app, wire transfer, cryptocurrency or cash is a major red flag.
Consumers should also avoid clicking links in unsolicited messages. The safest approach is to go directly to the company’s official sweepstakes page or ask in person at a participating store.
### The bottom line
For shoppers, this is a rare case where that old coupon in the junk drawer may actually be useful.
For Bed Bath & Beyond, it is a clever attempt to turn a symbol of the old chain into a bridge to the new one. The company is betting that consumers who remember the coupon will also give the relaunched stores a look.
Just don’t confuse a fun promotion with a sure thing. The coupon may be worth 20% off. The sweepstakes is still a game of chance.
### Airfares refuse to follow jet fuel down — and budget flyers head for the bus
URL: https://www.consumernews.ai/airfares-refuse-to-follow-jet-fuel-down-and-budget-flyers-head-for-the-bus/
Last updated: 2026-06-22T12:17:25.000Z
Even as the Iran deal sent jet fuel sharply lower, "airline ticket prices may stay high as carriers bank fuel relief from Iran deal," [Reuters reported](https://www.reuters.com/?ref=consumernews.ai) on its homepage Monday. The wire service said airlines "stand to save billions of dollars on jet fuel after an interim U.S.-Iran peace deal sent oil prices lower," but passengers "are unlikely to see immediate relief as tight capacity may allow carriers to keep fares well above pre-war levels."
That stickiness is reshaping how Americans travel. [The Wall Street Journal](https://www.wsj.com/lifestyle/travel/they-cant-fly-spirit-anymore-so-theyre-taking-the-bus-instead-175054af?ref=consumernews.ai) chronicled budget flyers who "can't fly Spirit anymore" after the discounter cut routes and are taking Greyhound, FlixBus and Amtrak instead — a migration that, together with rising trucking rates pushing freight back onto the railroads, [the Journal reported separately](https://www.wsj.com/logistics-report/rising-trucking-rates-drive-u-s-companies-back-to-the-railroad-daf66a5f?ref=consumernews.ai), suggests U.S. transportation networks are reshuffling around fuel and labor costs that are not falling fast enough.
Safety pressures persist even as fares stay high. A close call at Boston's Logan International Airport last week brought two passenger jets within 300 feet of each other, an expert told [The Associated Press](https://apnews.com/article/boston-logan-airport-close-call-delta-american-8f576b6219940e2f3109689def2909d3?ref=consumernews.ai), the latest in a string of near-misses that have rattled travelers. Cabins, meanwhile, are increasingly raucous: [CBS News reported](https://www.cbsnews.com/video/pilot-reports-biting-passenger-on-american-airlines-flight/?ref=consumernews.ai) the pilot of an American Airlines flight approaching Philadelphia radioed that a passenger had bitten a fellow flyer.
## Climate sticker shock arrives just in time for Prime Day
Bloomberg's [feature](https://www.bloomberg.com/news/features/2026-06-22/climate-change-is-making-your-grocery-bill-more-expensive?ref=consumernews.ai) Monday traced what climate change is costing Americans at the checkout. "The ongoing conflict in Iran is triggering a wave of inflation that is impacting the global marketplace," the magazine reported, but a "subtler yet significant factor" is reshaping prices for longer: severe heat and droughts are turning isolated weather shocks into recurring disasters that "devastate crops and disrupt supply chains," establishing climate-driven food inflation as "a permanent aspect of the economy." A companion [Bloomberg newsletter](https://www.bloomberg.com/news/newsletters/2026-06-15/why-us-tomatoes-are-set-to-be-more-expensive-this-summer?ref=consumernews.ai) reported U.S. tomatoes are set to be sharply more expensive this summer because of extreme weather.
The pinch is global. Goldman Sachs told [CNBC](https://www.cnbc.com/2026/06/22/three-reasons-why-a-food-supply-shock-may-be-coming-to-southeast-asia-goldman-sachs-.html?ref=consumernews.ai) Southeast Asia is staring at a food-supply shock as Middle East oil and fertilizer prices interact with a potentially severe El Niño, adding "an additional 1 percentage point to Southeast Asia's food inflation on average after six months, rising to 2.1 percentage points after a year." [The Associated Press](https://apnews.com/hub/inflation?ref=consumernews.ai) reminded readers U.S. wholesale producer prices rose 6 percent year over year last month — the most since December 2022 — and consumer prices "climbed sharply again last month as the 10-week war with Iran pushed energy prices higher."
Retailers are racing to meet shoppers where they hurt. Walmart Deals kicked off online at midnight Monday and runs through Sunday, June 28, head-to-head with Amazon Prime Day, [NBC News reported](https://www.nbcnews.com/select/shopping/walmart-prime-day-2026-deals-rcna350712?ref=consumernews.ai). Big-box rivals are dangling sub-100-dollar grills for summer cookouts, [also via NBC](https://www.nbcnews.com/select/shopping/walmart-grill-sale-2026-rcna350897?ref=consumernews.ai), and the [Apple Watch Series 11 and AirPods Pro 3 are at lowest-ever prices](https://www.nbcnews.com/select/shopping/apple-watch-series-11-deal-of-the-day-2026-rcna350602?ref=consumernews.ai). Even Bed Bath & Beyond is honoring decades-old coupons in a play for nostalgia-driven foot traffic, [The Wall Street Journal reported](https://www.wsj.com/business/retail/a-hoarders-redemption-bed-bath-beyond-will-take-your-decades-old-coupons-875c3fab?ref=consumernews.ai). And back-to-school shopping is already underway, the [Journal noted separately](https://www.wsj.com/business/retail/back-to-school-shopping-startsnow-c5298017?ref=consumernews.ai) — a sign of how anxious retailers and consumers have become with prices still climbing.
### Skip the apartment security deposit, pay a fee forever
URL: https://www.consumernews.ai/skip-the-apartment-security-deposit-pay-a-fee-forever/
Last updated: 2026-06-22T11:16:18.000Z
A new generation of property-tech companies has reshaped what tenants pay at lease signing.
Instead of writing a $2,000 or $3,000 check that sits in a landlord's escrow account and (in theory) comes back at move-out, millions of renters are now enrolled in security deposit replacement (SDR) products — paying small monthly premiums or one-time fees that are non-refundable, that cover the landlord rather than the tenant, and that can land a tenant in collections long after the lease ends.
The biggest player, Rhino, [merged with rival Jetty in February 2025](https://www.prnewswire.com/news-releases/rhino-and-jetty-merge-to-create-the-largest-security-deposit-insurance-company-in-the-market-302370218.html?ref=consumernews.ai) and now covers more than 6 million rental units, partnering with 47 of the country's 100 largest apartment operators including Greystar, UDR, and Morgan Properties.
A [May 2026 National Consumer Law Center report](https://www.nclc.org/wp-content/uploads/2026/05/2026.05%5FReport%5FTenant-Insecurity.pdf?ref=consumernews.ai) titled *Tenant Insecurity* concluded that these products often leave tenants paying more and with fewer legal protections than a traditional deposit would provide.
Here's how the three main product types work — and where the credit-report risk lives.
## The three flavors
**Insurance / surety bonds.** Rhino, Jetty Deposit, TheGuarantors, and SureDeposit sell what looks like insurance to the tenant but legally insures the landlord.
The tenant pays a non-refundable premium — Rhino starts around $4 per month per $1,000 of coverage; SureDeposit charges a one-time fee equal to 20%–35% of the deposit it replaces.
If the landlord files a claim for damage or unpaid rent and the insurer pays it, the insurer then turns around and pursues the tenant for full reimbursement through a process called subrogation.
Rhino's own [tenant agreement](https://shelterforce.org/wp-content/uploads/2020/12/Rhino-Tenant-Agreement.pdf?ref=consumernews.ai) puts it plainly: "The payment of Premium under this Agreement is not a security deposit, and is not insurance for my benefit. I will not receive the Premium payment back at the end of the Bond term."
Rhino's [own marketing blog](https://www.sayrhino.com/blog/posts/how-to-talk-about-security-deposit-insurance?ref=consumernews.ai) is even blunter: "Rhino is **not** a get-out-of-jail-free card. The only functional difference between Rhino and a security deposit is that instead of being financially responsible to the property owner, renters are now financially responsible to Rhino."
**Deposit financing / installment loans.** Jetty Rent — distinct from Jetty Deposit — is a true loan product: the company advances the deposit and the tenant repays it over months.
[Jetty's legal terms](https://www.jetty.com/legal?ref=consumernews.ai) state explicitly that the company "may report information about your payment history and loan account to credit bureaus," and that "late payments, missed payments, or other defaults on your account may be reflected in your credit report." A [Jetty support page](https://jetty.zendesk.com/hc/en-us/articles/4405512386839-Renter-What-do-I-do-if-I-get-behind-or-am-late-on-my-Jetty-Rent-payments?ref=consumernews.ai) adds that unpaid balances are "charged off and sent to collections."
**Billing authorization.** Obligo, the most structurally different product, uses no insurance at all. The tenant links a bank account or card through Plaid, agreeing to be charged directly at move-out for any damages up to a capped amount.
The National Consumer Law Center ([NCLC](https://www.nclc.org/?ref=consumernews.ai)) flagged this model specifically: because Obligo "does not require any proof of claims from the landlord before using direct billing authorization to collect from tenants," renters can have funds debited from their account for charges they would have disputed in any other framework.
## The credit-report problem
For most tenants, the credit risk arrives at one of three moments:
**Subrogation collections.** This is the dominant pattern with insurance-based products. A tenant pays $300 to $600 a year into Rhino for two or three years; at move-out the landlord files a $1,500 damage claim; Rhino pays the landlord and then sends the tenant a bill for the full $1,500\.
If the tenant disputes or can't pay, the debt goes to a collection agency — and from there onto credit reports as a collection account that can suppress a credit score for up to seven years. The [Better Business Bureau lists 346 complaints against Rhino over the past three years](https://www.bbb.org/us/ny/new-york/profile/insurance-services-office/rhino-new-york-llc-0121-169399/complaints?ref=consumernews.ai), 96 of them filed in the last 12 months. A [Reddit r/legaladvice post from 2025](https://www.reddit.com/r/legaladvice/comments/1m4dd2r/rental%5Fdeposit%5Finsurance%5Fcompany%5Fthreatening/?ref=consumernews.ai) documents a tenant receiving a Rhino reimbursement demand for "wear and tear" 79 days after lease termination — outside the policy's own 60-day window — with the company threatening collections if the tenant didn't pay.
**Direct credit-bureau reporting on loan products.** Jetty Rent is the clearest example: it's a regulated installment loan, it reports monthly to Equifax, Experian, and TransUnion, and missed payments hit credit reports the same way a missed car payment would. Tenants enrolled in a building that offers both Jetty Deposit (the surety bond) and Jetty Rent (the loan) often don't understand which product they actually have.
**Lawsuits and judgments.** TheGuarantors, which covers more than 4 million units as a lease-guarantee provider, has [BBB complaints documenting active collection pursuit](https://www.bbb.org/us/ny/new-york/profile/renters-insurance/theguarantors-0121-87150425/complaints?ref=consumernews.ai) and tenants pleading for the company not to report disputed balances to credit agencies. If a subrogation case goes to court and the tenant loses, the resulting judgment is a public record that credit-scoring models can pick up.
## What regulators have done
Enforcement is uneven and mostly at the state level.
In January 2022, [Maryland Attorney General Brian Frosh settled with LeaseLock](https://www.marylandattorneygeneral.gov/press/2022/012422.pdf?ref=consumernews.ai), finding that the company's monthly-fee-in-lieu product violated Maryland's Security Deposit Law because deposits in the state must be refundable. The settlement required refunds to Maryland tenants and effectively banned LeaseLock from operating in the state.
In June 2022, Washington State enacted [RCW 59.18.670](https://app.leg.wa.gov/RCW/default.aspx?cite=59.18.670&ref=consumernews.ai) — the strongest tenant-protective law in the country on this issue. It requires the fee option to be strictly optional, prohibits landlords from using the tenant's choice as a basis for approval, and mandates written disclosure of whether the insurer can pursue the tenant for reimbursement.
Cincinnati passed the first "Renter's Choice" ordinance in January 2020, followed by Atlanta and Toledo. But Baltimore Mayor Brandon Scott [vetoed a similar bill in May 2021](https://naahq.org/news/mayor-just-vetoed-renters-choice-heres-why?ref=consumernews.ai), explaining that "the provision can hurt the very people that it is intended to help" — a rare public rejection of the industry's "win-win" framing.
A New York Assembly bill, [A1431](https://www.nysenate.gov/legislation/bills/2025/A1431?ref=consumernews.ai), remains in committee. The CFPB has not brought a dedicated enforcement action against an SDR company, though the NCLC's May 2026 report explicitly called on the Bureau to act.
## What tenants can do
- **Ask for the traditional deposit.** In most states there's no law forcing you into an SDR product. The choice illusion is often the biggest problem; many tenants who simply ask for a cash-deposit option get it.
- **Read the Tenant Acknowledgement Agreement before signing.** The continued-liability language is in writing. Leasing-agent verbal assurances don't override it.
- **Document the unit thoroughly at move-in and move-out** — video walkthroughs, timestamped photos, written punch lists shared with the landlord. The single best defense against a subrogation demand is evidence that the damage wasn't yours.
- **Set a calendar reminder to cancel auto-renewal.** Rhino policies renew automatically; cancellation typically must happen at least 90 days before lease end.
- **If a subrogation demand arrives, respond in writing immediately,** requesting itemized documentation under the Fair Debt Collection Practices Act. Many state consumer-protection laws require collectors to validate the debt before reporting it.
- **Check your credit report.** Free weekly access is available at [AnnualCreditReport.com](https://www.annualcreditreport.com/?ref=consumernews.ai). A collection account from a company you don't recognize may be a subrogated SDR claim.
## The bottom line
These products solve a real problem — coming up with a $3,000 deposit in cash is a meaningful barrier for many tenants — but they do it by converting a refundable obligation into a string of non-refundable fees plus continued liability for any damages.
For tenants who move out clean, the math is straightforward: they've paid hundreds or thousands of dollars for nothing. For tenants who don't, the credit consequences can outlast the lease by years.
The NCLC's recommendation is straightforward: until federal or state law catches up with the industry, the safest move is the oldest one — pay the deposit, document everything, and demand it back.
### America's top consumer complaints - what local and federal agencies are hearing
URL: https://www.consumernews.ai/americas-top-consumer-complaints-what-local-and-federal-agencies-are-hearing/
Last updated: 2026-07-23T12:59:56.000Z
Cars were the subject of most complaints to the nation's state and local consumer protection agencies in 2025, followed closely by housing issues and the growing array of frauds and scams, according to the Consumer Federation of America's annual [**Consumer Agency Report**](https://consumerfed.org/news/reports/consumer-agency-survey-report-2025/?ref=consumernews.ai).
It was the tenth year in a row that cars and car-related issues led the pack. It's not just the cars themselves that riled consumers once again. Deceptive advertising, lemon vehicles, bum repair work and breakdowns also figure into many of the complaints, along with sales, leases and service.
Housing complaints involving landlord-tenant disputes, real estate transactions, real estate agents, and condominium issues climbed to the number two spot, reflecting the growing strain of the [affordable housing crisis](https://consumerfed.org/news/blogs/unlocking-billions-for-housing-why-congress-should-reform-the-federal-home-loan-bank-system/?ref=consumernews.ai).
Fraud and scams, including impersonation and identity theft, also remain among the most common complaints reported by the local and state agencies, underscoring the increasingly sophisticated threats consumers face from [online scams](https://consumerfed.org/news/reports/the-scam-economy/?ref=consumernews.ai).
Source: CFA
### Other agencies, other totals
Interestingly, the state and local figures compiled by the CFA differ from those of leading federal consumer agencies. The categories don't line up perfectly, but together they paint a pretty clear picture of what is bothering consumers.
Image: ChatGPT
### FBI (Internet Crime Complaint Center)
The FBI's IC3 report is probably the closest federal equivalent, although it focuses on online crime rather than all consumer complaints.
**Top complaint categories by volume**
- Phishing/spoofing
- Extortion
- Personal data breaches
**Largest financial losses**
- Investment fraud (especially cryptocurrency-related schemes)
- Business email compromise
- Tech-support scams
- Romance/confidence scams
The FBI reported more than 1 million internet-crime complaints in 2025 with losses exceeding $20 billion. Investment fraud remained the biggest source of losses. ([FBI](https://www.fbi.gov/file-repository/2025%5Fic3report.pdf/view?utm%5Fsource=chatgpt.com))
### CFPB (Consumer Financial Protection Bureau)
The CFPB maintains one of the largest complaint databases in government. Its annual reports consistently show complaints concentrated in:
- Credit reporting
- Debt collection
- Credit cards
- Checking and savings accounts
- Mortgages
- Student loans
- Consumer loans
- Digital payment services
The CFPB database is particularly useful because it includes company responses and trend data. ([Consumer Financial Protection Bureau](https://www.consumerfinance.gov/data-research/research-reports/2024-consumer-response-annual-report/?utm%5Fsource=chatgpt.com))
### FTC
The FTC's annual Data Book (typically released each spring) generally finds the highest-volume fraud reports in categories such as:
- Imposter scams (government, business, tech support)
- Online shopping scams
- Business and job opportunity scams
- Identity theft
- Prizes, sweepstakes, and lottery scams
- Investment scams
The FTC's fraud data often overlaps heavily with FBI IC3 findings but includes many offline complaints as well.
### FCC
The FCC tracks communications-related complaints, with the largest categories typically including:
- Robocalls
- Robotexts
- Telephone service billing disputes
- Broadband service complaints
- Cable and satellite television issues
### DOT / Aviation
The U.S. Department of Transportation publishes airline complaint statistics. The biggest categories are usually:
- Flight cancellations and delays
- Refund disputes
- Baggage problems
- Customer service issues
- Disability-access complaints
### Medicare / CMS
CMS receives large numbers of complaints involving:
- Medicare Advantage denials
- Provider-network problems
- Billing disputes
- Prescription drug coverage issues
- Enrollment errors
The CFA report highlights individual cases illustrating various complaint categories and summarizes actions taken by the various agencies to crack down on the most notorious offenders. The complete report is [available here](https://consumerfed.org/media/rwllzwn5/consumer-agency-report-2026-06172026.pdf?ref=consumernews.ai).
### National Recall Roundup — June 20
URL: https://www.consumernews.ai/national-recall-roundup-june-20/
Last updated: 2026-06-20T19:48:48.000Z
##
### CPSC — Pyro Diablo “Diablo Rising” fireworks
**Hazard:** overloaded fireworks can explode more violently than expected, posing deadly explosion and burn hazards.
**Affected:** about 1,060 units sold at Bada Boom Fireworks stores in Pennsylvania. Recall date: June 18\. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Bada-Boom-Fireworks-Recalls-Pyro-Diablo-Diablo-Rising-Fireworks-Due-to-Risk-of-Serious-Injury-or-Death-from-Explosion-and-Burn-Hazards-Violate-Fireworks-Ban?ref=consumernews.ai))
### FDA — Clover Hill Dairy cheeses
**Hazard:** possible *Listeria monocytogenes* contamination.
**Affected:** hard and soft cheeses sold under Clover Hill and other labels; FDA lists the expanded recall as June 18\. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
### FDA — Fry Pie Factory pepperoni rolls
**Hazard:** undeclared milk allergen.
**Affected:** 5-ounce pepperoni rolls; FDA lists the recall as June 18\. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai))
### FDA — MorningStar Farms plant-based frozen products
**Hazard:** possible plastic contamination.
**Affected:** Buffalo Chik’n Nuggets and Hot & Spicy Sausage Patties distributed in the U.S., Puerto Rico and Costa Rica. ([Delish](https://www.delish.com/food-news/a71643909/morningstar-farms-recall-plastic-frozen-products/?utm%5Fsource=chatgpt.com))
### NHTSA — Waymo robotaxis
**Hazard:** automated vehicles may enter closed freeway construction zones at speed.
**Affected:** nearly 3,900 Waymo vehicles using its 5th-generation automated driving system. ([Reuters](https://www.reuters.com/legal/litigation/waymo-recall-over-3800-robotaxis-over-risk-entering-closed-construction-zones-2026-06-18/?utm%5Fsource=chatgpt.com))
### USDA FSIS
No new major nationwide FSIS meat or poultry recall stood out in today’s check.
### Fraud Watch: The scams that defined the quarter
URL: https://www.consumernews.ai/fraud-watch-the-scams-that-defined-the-quarter/
Last updated: 2026-06-20T16:11:06.000Z
Three trends stood out this quarter:
• Scammers are getting more official-looking, using fake court notices, government threats and bank alerts to panic consumers into paying.
• Social media remains a major fraud pipeline, especially for fake investments, online shopping scams and romance schemes.
• AI is making old scams faster, cheaper and harder to spot, from fake job offers to cloned voices and bogus investment pitches.
### The big picture
Fraud losses keep climbing. The FTC says consumers reported losing about $16 billion to fraud in 2025, the highest total on record and about 25 percent higher than the year before.
Imposter scams remain one of the biggest dangers. Consumers reported $3.5 billion in losses to imposter scams in 2025, including nearly $1 billion to business impersonators and about $920 million to government impersonators.
The FBI’s latest Internet Crime Report paints a similar picture: Americans reported nearly $21 billion in cyber-enabled losses in 2025\. Investment fraud, crypto scams, business email compromise and tech-support scams remained among the costliest categories.
### Trend 1: Fake authority scams
This quarter, scammers leaned hard into fear: fake traffic tickets, bogus jury-duty threats, supposed court hearings and governmental-looking documents.
The FTC warned in April about scam texts claiming consumers had a traffic violation and needed to scan a QR code to pay or avoid court. In June, the FTC also flagged calls, texts and emails threatening arrest for missed jury duty.
The pitch is simple: act now, pay now, or face legal trouble.
**Fraud Watch rule:** Real courts and government agencies do not demand instant payment by text, QR code, gift card, crypto or payment app.
### Trend 2: Social media as scam infrastructure
The FTC says nearly 30 percent of people who reported losing money to a scam in 2025 said it started on social media. Reported losses tied to social media scams reached $2.1 billion.
Facebook was the top platform by reported losses, according to the FTC. Investment scams were the costliest social media scams, while shopping scams were the most commonly reported.
That means consumers should treat social media ads, direct messages and “friendly” investment groups as high-risk until proven otherwise.
**Fraud Watch rule:** Never let someone you met on social media direct your investments or move the conversation to WhatsApp, Telegram or a private “trading group.”
### Trend 3: Fake job offers by text
The FTC warned in April about fake recruiter texts offering fake jobs and stealing real money.
These scams often start with an easy-sounding remote job, a quick hiring process and a request to deposit checks, pay for equipment, complete paid “tasks,” or send money to unlock earnings.
**Fraud Watch rule:** A real employer pays you. You should not have to pay money, buy crypto, move funds or use your own bank account to get hired.
### Trend 4: Investment and crypto scams
Investment fraud remains the heavyweight category. The FTC says consumers reported more than $7.9 billion in losses to investment scams in 2025, with a median individual loss of more than $10,000.
The FBI says crypto-related complaints produced more than $11 billion in reported losses in 2025\. Many of these scams are long-game operations: the scammer builds trust, shows fake profits, then blocks withdrawals unless the victim pays more.
**Fraud Watch rule:** If an investment is “guaranteed,” secret, urgent, celebrity-backed or only available through crypto, assume it is a scam.
### Trend 5: AI makes scams more believable
The FBI says AI-related complaints cost Americans nearly $893 million in 2025\. Scammers are using fake profiles, cloned voices, fake IDs, realistic videos and public-figure deepfakes to make fraud feel personal and urgent.
AI does not create a new scam so much as supercharge the old ones: grandparent scams, romance scams, tech-support scams, fake job offers and fake investment pitches.
**Fraud Watch rule:** When money is involved, verify through a second channel. Call the person or company using a number you already know is real.
### What consumers should do now
• Slow down. Scammers win when they force an immediate decision.
• Don’t click links in unexpected texts, emails or social media messages.
• Don’t scan QR codes from surprise notices about tickets, tolls, court dates or government payments.
• Don’t pay by gift card, crypto, wire transfer or payment app to fix an urgent “problem.”
• Don’t trust caller ID, logos, seals, screenshots or official-looking PDFs.
• Search the company or agency name yourself. Do not use the phone number or link in the message.
• Report fraud to ReportFraud.ftc.gov and cybercrime to IC3.gov.
### Bottom line
This quarter’s scam trend is not one single trick. It is the industrialization of fraud.
Scammers are using social media targeting, AI tools, fake government threats and financial panic to make fraud look routine, official and urgent. The best defense is still the simplest one: stop, verify independently and refuse to be rushed.
### FDA cracks down on telehealth weight-loss drug marketing
URL: https://www.consumernews.ai/fda-cracks-down-on-telehealth-weight-loss-drug-marketing/
Last updated: 2026-07-04T16:57:08.000Z
##
**Regulators say some firms falsely implied their products were equivalent to FDA-approved medications such as Wegovy, Ozempic, Zepbound, and Mounjaro.**
The U.S. Food and Drug Administration has intensified its campaign against the booming online weight-loss drug industry, issuing warning letters to 25 telehealth companies that allegedly made false or misleading claims about compounded versions of popular GLP-1 medications.
The letters, posted by the agency this week, targeted telehealth firms that market compounded versions of semaglutide and tirzepatide—the active ingredients in blockbuster drugs including Wegovy, Ozempic, Zepbound, and Mounjaro. Companies receiving warnings included Medica Weight Loss, Ready Med, Clover Meds and others, [Reuters](https://www.reuters.com/legal/litigation/us-fda-sends-25-letters-telehealth-companies-over-claims-compounded-weight-loss-2026-06-16/?utm%5Fsource=chatgpt.com) reported.
According to the FDA, some companies claimed their compounded products were sourced from FDA-approved pharmacies, had been clinically studied, or were essentially the same as FDA-approved GLP-1 drugs. Regulators said such representations are inaccurate and could mislead consumers seeking weight-loss treatments.
“Patients deserve to know what they're getting,” Michael Davis, acting director of the FDA's Center for Drug Evaluation and Research, said in a public statement. He emphasized that compounded GLP-1 products have not undergone the same review process for safety, effectiveness, or quality as FDA-approved medications.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
### Growing market, growing scrutiny
The warnings come amid explosive demand for GLP-1 medications, which have transformed obesity treatment and become one of the pharmaceutical industry's fastest-growing sectors.
During recent shortages of brand-name products, compounding pharmacies and telehealth providers stepped in to offer alternative versions, often at lower prices and with easier access than traditional healthcare channels. Those alternatives helped fuel the rapid growth of online prescribing platforms, according to [Telehealth.org](https://telehealth.org/news/fda-warns-telehealth-companies-over-marketing-of-compounded-glp-1-weight-loss-drugs/?utm%5Fsource=chatgpt.com).
But regulators have increasingly questioned whether some telehealth companies are blurring the distinction between FDA-approved drugs and compounded versions.
The FDA notes that compounded drugs are custom-prepared medications created for individual patients by licensed pharmacists or physicians. Unlike approved drugs, compounded medications do not undergo FDA review for safety, effectiveness, or manufacturing quality before reaching consumers.
The agency [specifically warned companies](https://www.fda.gov/drugs/human-drug-compounding/fda-telehealth-companies-what-know-when-promoting-compounded-drugs?utm%5Fsource=chatgpt.com) against describing compounded drugs as generic equivalents of approved products, claiming they are FDA-approved, or suggesting they produce the same results as brand-name medications.
### Part of a broader enforcement effort
The latest warning letters represent the newest phase of a larger enforcement campaign that began last year.
In March, the FDA issued warning letters to 30 telehealth companies over similar marketing practices involving compounded GLP-1 drugs. FDA Commissioner Marty Makary at the time described the effort as a “new era of enforcement” aimed at preventing companies from circumventing the drug approval process through mass marketing of compounded medications.
The agency has also taken steps to limit the availability of compounded versions of semaglutide and tirzepatide. In April, the FDA proposed removing the drugs from a key compounding list, a move that could significantly restrict large-scale production by outsourcing facilities and further tighten the market for compounded weight-loss medications.
Earlier this year, regulators also moved against telehealth provider Hims & Hers over a compounded weight-loss pill, citing concerns about quality, safety, and potential violations of federal law. The company later discontinued the product.
### What it means for consumers
For consumers, the FDA's message is straightforward: compounded weight-loss drugs are not the same as FDA-approved medications, regardless of how they are marketed online.
While compounded drugs can play an important role when medically necessary, the agency says patients should be wary of websites that imply compounded products have received FDA approval or have been proven to perform identically to approved therapies.
The crackdown also highlights growing concerns about the direct-to-consumer telehealth model, where patients can often obtain prescriptions and medications without visiting a traditional doctor's office. Regulators argue that transparency about what consumers are receiving is essential as online healthcare services continue to expand.
### What Consumers Should Know
- FDA-approved drugs undergo extensive review for safety, effectiveness, and manufacturing quality.
- Compounded drugs are not FDA-approved and are generally intended for individualized patient needs.
- Be skeptical of claims that a compounded drug is the “same as” or equivalent to an FDA-approved medication.
- Verify that telehealth providers clearly disclose whether a medication is compounded.
- Discuss weight-loss treatment options with a qualified healthcare professional before starting therapy.
**Bottom line:** As demand for GLP-1 weight-loss medications continues to soar, federal regulators are making clear that telehealth companies cannot market compounded alternatives as if they were FDA-approved drugs. The latest warning letters signal that enforcement efforts against misleading online advertising are likely to continue throughout 2026\.
### Ford recalls 1.74 million vehicles in rearview camera defect
URL: https://www.consumernews.ai/ford-recalls-1-74-million-vehicles-in-rearview-camera-defect/
Last updated: 2026-06-19T21:38:29.000Z
Ford is recalling 1.74 million vehicles in the United States over a rearview camera defect that may prevent images from displaying, reducing the driver's view behind the vehicle, [Reuters reported](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai) citing the National Highway Traffic Safety Administration.
The recall is the largest of three within roughly two weeks. Honda's 880,514-vehicle recall of Pilot, Ridgeline, Passport and Acura MDX SUVs over rear-suspension failure remains active, [the Associated Press has reported](https://apnews.com/health?ref=consumernews.ai), and Volvo Cars announced a recall this week of more than 40,000 EX30 electric SUVs because battery packs risk overheating.
The Ford figure pushes the cumulative U.S. recall tally past 4.7 million vehicles over a two-week window — a striking volume even by industry standards. The rearview camera defect itself is on the milder end of safety issues, but the recall is the second major Ford action of the month, following the company's 255,404-vehicle re-recall of Focus sedans whose dealer-performed stalling repair had not been completed correctly.
For Ford owners, the new action raises the same diligence question: how to confirm a dealer correctly performs the camera-software fix when notification letters go out.
The Waymo robotaxi unit of Alphabet, separately, issued a voluntary recall of roughly 3,900 fifth-generation autonomous vehicles after 13 documented cases in which the vehicles entered active highway construction zones in Phoenix and the San Francisco area, [CNBC reported](https://www.cnbc.com/2026/06/18/waymo-nhtsa-voluntary-recall-robotaxis-entered-freeway-construction-zones.html?ref=consumernews.ai). It is Waymo's second recall in just over a month. The company said it has temporarily restricted freeway operations while it implements software improvements.
### Gas down, food prices up, shoppers spending, as Hormuz deal is signed
URL: https://www.consumernews.ai/gas-down-food-prices-up-shoppers/
Last updated: 2026-06-19T19:15:13.000Z
The week’s headline consumer prize — a national average gasoline price under $4 a gallon for the first time since March — arrived alongside a stark warning from the Federal Reserve that further relief may have to be paid for with an interest rate hike before the end of the year.
The U.S. and Iran signed their deal to reopen the Strait of Hormuz, sending oil prices lower for a second straight day, but two new reports made clear that airfares, food bills and shipping-dependent costs will linger long after the war is officially over.
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Meanwhile, the U.S. consumer is still spending. May retail sales rose 0.9 percent, pending home sales beat expectations, and a Fed projection that had pointed to a 2026 rate cut now points to a hike instead.
Thanks for reading! This post is public so feel free to share it.
### Gas drops below $4 a gallon
National regular unleaded gasoline averaged $3.999 a gallon on Thursday, the first time since March, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-18/us-gasoline-prices-fall-below-4-a-gallon-as-iran-strain-eases?ref=consumernews.ai) citing the American Automobile Association — more than 50 cents below the $4.5150 average a month ago.
Brent crude dropped about 3 percent to roughly $77 a barrel on Thursday, near the lowest level since the war began. U.S. West Texas Intermediate fell more than 3 percent to about $73, [the Times reported](https://www.nytimes.com/2026/06/18/business/oil-gas-prices-iran.html?ref=consumernews.ai). The International Energy Agency added to the bearish tone, warning of a potential oil supply surplus in 2027 as Middle East production normalizes — global supply will average 102.4 million barrels a day in 2026 before rebounding to 110.3 million in 2027, [CNBC reported](https://www.cnbc.com/2026/06/18/oil-prices-today-wti-brent.html?ref=consumernews.ai).
Optimism is tempered. Dan Pickering, chief investment officer at Pickering Energy Partners, told [CNBC](https://www.cnbc.com/video/2026/06/18/might-be-6-10-weeks-before-return-to-normality-after-hormuz-reopens.html?ref=consumernews.ai) it could take six to 10 weeks for the strait to return to normal. The agreement requires reopening with no Iranian tolls for at least 60 days, [a CNBC analysis](https://www.cnbc.com/2026/06/18/strait-hormuz-reopening-shipping-oil.html?ref=consumernews.ai) of the memorandum’s terms noted. David Fyfe, chief economist at Argus Media, cautioned in a [CNBC interview](https://www.cnbc.com/video/2026/06/18/u-s-iran-mou-does-not-mean-immediate-oil-supply-return-argus-media.html?ref=consumernews.ai) that the supply recovery remains uncertain.
Diesel pump prices remain elevated, averaging $5.16 a gallon Thursday and still up nearly 40 percent since the war began, [the New York Times reported](https://www.nytimes.com/2026/06/18/business/oil-gas-prices-iran.html?ref=consumernews.ai). Gasoline remains 35 percent above pre-war levels despite the drop.
### Airfares are unlikely to fall — and may stay high through the summer
The Hormuz deal will not buy travelers cheaper plane tickets, the [New York Times reported](https://www.nytimes.com/2026/06/18/business/flights-tickets-prices-fuel-iran-deal.html?ref=consumernews.ai). Jet fuel prices nearly doubled during the war, prompting carriers to cut capacity and raise fares.
Even if fuel falls, airlines may not pass it on. John Grant, chief analyst at the aviation data firm OAG, told the Times: “The operational costs are now set for the next three to four months for most airlines, leaving little flexibility. It’s not a straightforward cause-and-effect scenario. A 10 percent drop in oil prices doesn’t equate to a 10 percent reduction in ticket prices.”
There is a structural reason airlines drag their feet. About 20 percent of the world’s maritime jet fuel exports flow through the Strait of Hormuz, according to Amaar Khan, European head of jet fuel pricing at Argus Media, quoted in the Times. The reopening of the strait should ease backlog at Persian Gulf ports, but carriers will not see lower fuel costs at the pump for months.
Carriers, moreover, have discovered that travelers are willing to pay more — and many have no commercial incentive to cut prices ahead of the busiest travel weeks of the summer.
May airfares had already jumped 2.7 percent month-over-month, according to the Bureau of Labor Statistics’ Consumer Price Index, [CBS News reported](https://www.cbsnews.com/news/cpi-report-today-may-2026-inflation-iran-war-trump/?ref=consumernews.ai) last week. For consumers planning Independence Day and Labor Day travel, that means budgeting for fares that may stay above pre-war averages into the fall — particularly on transatlantic and Middle East-routed itineraries.
### Higher food prices will outlast the Iran war
A Bloomberg feature published Thursday detailed how the Iran war’s disruptions are still working through global food supply chains, even with the strait now formally set to reopen, [Bloomberg reported](https://www.bloomberg.com/features/2026-iran-war-food-inflation/?ref=consumernews.ai).
The shutdown disrupted prices for fuel, energy, fertilizers and other agricultural and industrial products, and the disruptions are not unwinding overnight. Liliana Danila, chief economist at the U.K. Food and Drink Federation, told Bloomberg: “While the Strait of Hormuz is now reopening, it will take another six months, at least, for supply chains to normalize and, in some cases, longer for energy infrastructure to be repaired.”
European Central Bank Governing Council member Martin Kocher made a similar point in Vienna on Thursday, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-18/ecb-s-kocher-says-inflation-to-stay-for-a-while-after-iran-deal?ref=consumernews.ai). “We have been seeing an energy price shock again with the war in the Middle East. Hopefully the sign of this interim agreement today leads to the path of declining prices, but prices will stay higher for some time.”
The data points back him up. Wholesale U.S. inflation exceeded 6 percent in May; consumer inflation topped 4 percent, [NBC News reported](https://www.nbcnews.com/business/economy/inflation-kevin-warsh-fed-fomc-meeting-rcna350411?ref=consumernews.ai). Tomatoes were up 32 percent year over year, lettuce nearly 25 percent and coffee 17.5 percent, per the May CPI report. Roughly 30 percent of the world’s fertilizer moved through Hormuz before the war, and fuel accounts for 15 to 30 percent of total food cost, [the Associated Press has reported](https://apnews.com/article/iran-war-prices-gasoline-groceries-flights-9c413bc111efcfa9bac53b20e9057738?ref=consumernews.ai).
Ground beef set a fresh record of $7.064 a pound in May, and the screwworm outbreak compounds the supply problem for the smallest U.S. cattle herd in 75 years.
### U.S. consumer keeps spending despite higher prices
Despite the gloom, U.S. shoppers are still showing up. Retail sales rose 0.9 percent in May, well above the consensus estimate, [the Associated Press reported](https://apnews.com/article/retail-economy-consumer-spending-090206f028b12e15038265806355d75f?ref=consumernews.ai) — even as elevated gas prices ate into household budgets, [Bloomberg noted](https://www.bloomberg.com/news/articles/2026-06-17/us-retail-sales-jumped-in-may-despite-high-gasoline-costs?ref=consumernews.ai). [The Wall Street Journal reported](https://www.wsj.com/economy/consumers/u-s-retailers-sales-growth-accelerated-last-month-90969438?ref=consumernews.ai) that retailer sales growth accelerated in May, broadening beyond the gas-station and auto-dealer categories that had carried the index in April. Pending home sales also beat expectations in May, [the Wall Street Journal reported](https://www.wsj.com/economy/housing/u-s-pending-home-sales-rises-more-than-expected-in-may-65a116c9?ref=consumernews.ai), pointing to underlying demand even with the 30-year mortgage stuck above 6.5 percent.
The juxtaposition with the Fed’s hawkish dot plot is striking. A strong consumer is exactly what the central bank cites when justifying higher rates, and Warsh emphasized in his statement that “economic activity is progressing at a robust rate,” [the New York Times reported](https://www.nytimes.com/2026/06/17/business/economy/kevin-warsh-fed-statement.html?ref=consumernews.ai). If consumers keep spending and inflation stays sticky, the case for a hike strengthens.
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### If you want out of Medicare Advantage, a 12-month calendar is your best friend
URL: https://www.consumernews.ai/if-you-want-out-of-medicare-advantage/
Last updated: 2026-06-19T19:15:14.000Z
Seniors who signed up for Medicare Advantage at 65 and later [wish they hadn’t](https://www.theoutragedconsumer.com/p/medicare-advantage-denials-prompt?ref=consumernews.ai) have a federal escape hatch — but it closes after 12 months, and most consumers don’t know it exists until it’s too late. [**Find a more detailed guide to leaving Medicare Advantage on our ConsumerNews.ai site**](https://www.consumernews.ai/leaving-medicare-advantage-during-your-12-month-trial/).
The protection is called the trial right. Under [42 U.S.C. § 1395ss(s)](https://www.cms.gov/Medicare/Health-Plans/Medigap/Downloads/mdgp0201.pdf?ref=consumernews.ai), anyone who enrolled in a Medicare Advantage plan as their first-ever Medicare coverage has up to 12 months to change their mind, return to Original Medicare, and buy a Medicare Supplement (Medigap) policy without health questions, denials or surcharges.
A parallel right covers people who dropped a Medigap policy to try Medicare Advantage for the first time and now want their old policy back. Maine extends both versions to 36 months, [AARP reports](https://www.aarp.org/health/healthcare/avoid-medigap-mistakes/?ref=consumernews.ai). Every other state stops at one year.
Outside the trial right, the door slams. In all but four states — Connecticut, Massachusetts, Maine and New York — insurers can refuse a Medigap policy or charge more based on a beneficiary’s health history once the 12 months elapse, [the Kaiser Family Foundation found](https://www.kff.org/medicare/medigap-may-be-elusive-for-medicare-beneficiaries-with-pre-existing-conditions/?ref=consumernews.ai). Minnesota will add a limited annual window on Aug. 1, 2026, but only for ages 65 to 70 and with premiums that can run 15 to 35 percent above standard rates.
That asymmetry is the trap. A senior who enrolls when healthy, develops a chronic condition at 72, and tries to leave because the plan keeps denying long-term care may find no insurer will sell them a Medigap policy at any price.
> The mechanics are simple but unforgiving. Five steps protect the right.
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**Call your free state counselor first.** Every state runs a State Health Insurance Assistance Program — SHIPs — paid for by federal grants, staffed by trained volunteers, with no sales incentive. The national locator is **1-877-839-2675** or [shiphelp.org](https://www.shiphelp.org/what-we-do/?ref=consumernews.ai). Ask the counselor four things: am I still inside my trial window, which Medigap plans must insurers issue to me in this state, what does my state add to federal protections, and what does the cheapest comparable Medigap policy cost?
**Verify your state’s underwriting rules in writing.** Sixteen states now operate “birthday rule” windows that let existing Medigap holders switch plans annually without underwriting, [medicareresources.org reports](https://www.medicareresources.org/medicare-eligibility-and-enrollment/the-birthday-rule-a-gift-to-medigap-enrollees/?ref=consumernews.ai) — California, Oregon, Idaho, Illinois, Nevada, Louisiana, Maryland, Oklahoma, Kentucky, Utah, Virginia, Wyoming, plus Delaware and Indiana effective January 2026, West Virginia effective June 2026 and New Mexico beginning January 2027\. None of those state windows replace the trial right for someone leaving Medicare Advantage. They only help if you already have Medigap.
**Get Medigap quotes before disenrolling, not after.** Pull quotes from at least three insurers for **Plan G**, the most comprehensive plan available to anyone newly eligible after January 2020 (Plan F is no longer sold to that group, [per Medicare.gov](https://www.medicare.gov/publications/02110-choosing-a-medigap-policy.pdf?ref=consumernews.ai)). On every call, say: “I am exercising my federal 12-month trial right under 42 U.S.C. 1395ss(s) on a guaranteed-issue basis.” Get the agent’s name, the quote and the written application packet.
**Sequence the paperwork.** Submit the Medigap application first with a requested effective date that lines up with the first of the month after Medicare Advantage ends. Then disenroll from Medicare Advantage — by calling 1-800-MEDICARE, by enrolling in a standalone Part D drug plan (which automatically terminates Medicare Advantage), or by sending the plan a certified-mail disenrollment request. Do **not** file CMS Form 1763 by mistake — that form terminates Medicare itself, not a Medicare Advantage plan.
**Plug the drug-coverage hole.** Original Medicare does not include prescriptions. Enroll in a standalone Part D plan with a start date that matches the day Medicare Advantage drug coverage ends. More than 63 consecutive days without creditable drug coverage triggers a permanent late-enrollment penalty added to your Part D premium for life.
What to keep on file: your Medicare Advantage member ID showing the enrollment date that starts the 12-month clock; the Medigap insurer’s written confirmation that the policy was issued on a guaranteed-issue basis under the trial right; the disenrollment letter from your former Medicare Advantage plan with the last day of coverage; the Part D confirmation; and a call log with names and reference numbers. Keep all of it for seven years.
The most common ways consumers lose the right: disenrolling from Medicare Advantage without first applying for Medigap; applying in month 13; assuming a state birthday rule covers an MA-to-Medigap switch when it does not; and accepting a Medigap insurer’s claim that health questions can be used to deny coverage during a guaranteed-issue event. Federal law forbids that last one. If it happens, call your state insurance department and cite 42 U.S.C. 1395ss(s)(2)(A).
The HHS inspector general reported last week that the three largest Medicare Advantage insurers — UnitedHealthcare, CVS Health and Humana — deny prior authorization for long-term and rehabilitative care at rates ranging up to 80 percent, [NBC News reported](https://www.nbcnews.com/health/health-news/medicare-advantage-plans-denied-prior-authorization-requests-unusually-rcna349467?ref=consumernews.ai), and overturn 95 percent of those denials on appeal. For seniors who entered Medicare Advantage on the strength of zero-premium marketing and gym memberships and now find themselves fighting their insurer over a nursing-home stay, the 12-month clock is the only federal door that closes behind them in a way they can still walk back through. Use it before it shuts.
[**Find a more detailed guide to leaving Medicare Advantage on our ConsumerNews.ai site**](https://www.consumernews.ai/leaving-medicare-advantage-during-your-12-month-trial/).
For one-on-one help: SHIP at **1-877-839-2675** ([shiphelp.org](https://www.shiphelp.org/what-we-do/?ref=consumernews.ai)); Medicare at **1-800-MEDICARE**; the Medicare Rights Center at **1-800-333-4114**.
### Leaving Medicare Advantage during your 12-month trial
URL: https://www.consumernews.ai/leaving-medicare-advantage-during-your-12-month-trial/
Last updated: 2026-07-09T15:40:06.000Z
**A step-by-step consumer guide to protecting your right to a Medigap policy**
*A* [*ConsumerNews.ai*](http://consumernews.ai/?ref=consumernews.ai) *consumer resource — June 17, 2026*
As The Outraged Consumer and others [reported earlier](https://www.theoutragedconsumer.com/p/medicare-advantage-denials-prompt?ref=consumernews.ai), many of the largest Medicare Advantage insurers are denying prior authorization for long-term and rehabilitative care.
This is driving many seniors who opted for Medicare Advantage – which was sold to them as a cost-saving tool – trying to return to "Original Medicare," which doesn't require prior authorization.
The problem – as with virtually all federal programs – is that Medicare and its various offshoots are so complex that they virtually defy understanding by those of normal intelligence.
Here's an attempt (assembled with AI assistance from various resources public and private) to explain the steps required to dump Medicare Advantage and return to the original version.
**Warning: The federal law that grants this right does not require insurers to bend over backward — it requires you, the consumer, to file the paperwork on time and with proof. It will require some homework and attention to detail.**
**The good news**: You can leave a Medicare Advantage plan and go back to Original Medicare any time you want.
**The not-so-good news**: The harder part is making sure you can also buy a Medicare Supplement (Medigap) policy to plug the 20 percent coinsurance and the absent out-of-pocket cap that Original Medicare leaves on the table. Federal law gives you one true escape hatch for that: **the 12-month trial right**. This guide walks you through exactly how to use it, what to document at each step, and how to confirm your local underwriting rules — for free — before you drop a thing.
**Step 1 — Confirm you actually qualify for the trial right**
Federal guaranteed-issue protections for Medigap are narrow. Of the seven or so federal triggers, the trial right is the one that gives a current Medicare Advantage enrollee the most flexibility. Two distinct versions exist under [42 U.S.C. § 1395ss(s)](https://www.cms.gov/Medicare/Health-Plans/Medigap/Downloads/mdgp0201.pdf?ref=consumernews.ai):
- **Trial Right A (first-time at 65):**You enrolled in a Medicare Advantage plan when you first became eligible for Medicare at 65\. If you decide within 12 months that Medicare Advantage is not right for you, you can return to Original Medicare and buy any Medigap plan sold in your state without medical underwriting, per [Medicare.gov](https://www.medicare.gov/basics/get-started-with-medicare/get-more-coverage/joining-a-plan/special-enrollment-periods?ref=consumernews.ai).
- **Trial Right B (dropped Medigap to try MA):**You previously had Original Medicare with a Medigap policy, dropped the Medigap policy to try Medicare Advantage for the first time, and want to switch back within 12 months. You can re-enroll in the same Medigap policy you had before if the insurer still sells it. If it does not, you can buy Medigap Plans A, B, D, G, K or L from any insurer in your state, per the [National Council on Aging](https://www.ncoa.org/article/medicare-advantage-special-enrollment-periods/?ref=consumernews.ai).
**You do not qualify if:** This is not your first time on Medicare Advantage. The right is a one-time protection. A senior who enrolled in Medicare Advantage at 65, switched to Original Medicare at 67, then re-enrolled in Medicare Advantage at 68 does not get a new 12-month trial right on the second enrollment, the [Medicare Rights Center](https://www.medicarerights.org/?ref=consumernews.ai) has consistently advised.
**Special note for Maine residents:** Maine extends the trial right from 12 months to 36 months, per [AARP](https://www.aarp.org/health/healthcare/avoid-medigap-mistakes/?ref=consumernews.ai). You have up to three years to switch back and pick any Medigap policy.
**Documentation to gather now:**
- Your Medicare card (red, white and blue).
- Your Medicare Advantage enrollment letter or member ID card — the effective date is what starts your 12-month clock.
- The month and year you first enrolled in Medicare Part B (this confirms whether you are inside your initial Medigap open-enrollment window or relying on the trial right).
- If applicable, a copy of the Medigap policy you previously dropped (insurer name, plan letter, policy number) — needed for Trial Right B.
**Step 2 — Call your State Health Insurance Assistance Program before you do anything else**
This is the single most important step in this guide. [State Health Insurance Assistance Programs](https://www.shiphelp.org/?ref=consumernews.ai) — known as SHIPs — are federally funded, free, unbiased counseling services available in every state. They do not sell insurance and have no commission incentive. A SHIP counselor will tell you exactly what your local Medigap underwriting rules are, which insurers are selling which plans, and what your switch will cost, before you sign anything.
**How to reach one:**
- National SHIP locator and phone:**1-877-839-2675**, or visit [shiphelp.org](https://www.shiphelp.org/what-we-do/?ref=consumernews.ai).
- Email: [info@shiphelp.org](mailto:info@shiphelp.org).
- Or ask Medicare directly at 1-800-MEDICARE for your state SHIP number.
**Ask the SHIP counselor these specific questions:**
1. "Am I still inside my 12-month trial right window? My Medicare Advantage start date was."
2. "In my state, which Medigap plans are insurers required to issue to me under the trial right?"
3. "Does my state have additional Medigap protections beyond federal law?"
4. "If I miss the trial right, when is the next time I could buy Medigap without medical underwriting?"
5. "Can you confirm the standalone Part D plans available in my zip code and the late-enrollment penalty if I delay enrolling?"
Get the counselor's name, the date of the call, and a written summary by email if possible. Keep this in your file.
**Step 3 — Verify your state's underwriting rules in writing**
Federal law sets a floor. States can go further. Where you live determines how much room you have if you miss the trial right — and whether the trial right itself is enhanced.
**Year-round or annual guaranteed-issue states (no medical underwriting at any time for beneficiaries 65 and older):**
- **Connecticut**— continuous guaranteed issue year-round, no underwriting at any time, per a [KFF analysis](https://www.kff.org/medicare/medigap-may-be-elusive-for-medicare-beneficiaries-with-pre-existing-conditions/?ref=consumernews.ai).
- **New York**— continuous guaranteed issue year-round, no underwriting, per the [New York Health Access](https://nyhealthaccess.org/entry/35/?ref=consumernews.ai) detailed reference.
- **Massachusetts**— regulation requires an annual February 1 to March 31 open enrollment window, but in practice all carriers in the state offer continuous open enrollment.
- **Maine**— guaranteed-issue for Plan A only during one insurer-chosen month each year, plus the 36-month extended trial right described above.
- **Minnesota**— new annual guaranteed-issue window for ages 65 to 70, slated to take effect August 1, 2026; can only be used once and carries a premium loading of 15 to 35 percent, per [KFF](https://www.kff.org/medicare/medigap-may-be-elusive-for-medicare-beneficiaries-with-pre-existing-conditions/?ref=consumernews.ai).
**Birthday-rule states (annual switching window, usually for existing Medigap holders changing plans):**
Sixteen states now have a birthday rule, per [medicareresources.org](https://www.medicareresources.org/medicare-eligibility-and-enrollment/the-birthday-rule-a-gift-to-medigap-enrollees/?ref=consumernews.ai) and the [Senior Market Sales 2026 reference](https://www.seniormarketsales.com/blog/birthday-rule-insurance-guide-medicare-birthday-rule-medigap-rules-and-state-differences?ref=consumernews.ai): California, Delaware (Jan. 1, 2026), Idaho, Illinois, Indiana (Jan. 1, 2026), Kentucky, Louisiana, Maryland, Nevada, Oklahoma, Oregon, Utah, Virginia, West Virginia (June 1, 2026), Wyoming and New Mexico (Jan. 1, 2027). The windows generally run 30 to 63 days around a beneficiary's birthday and most are limited to plans with equal or lesser benefits. Important: birthday rules apply to people who already have a Medigap policy — they do not give a Medicare Advantage enrollee a separate path back to Medigap, per a [Senior65 California guide](https://www.senior65.com/medicare/article/california-medigap-birthday-rule-step-by-step-switching-guide?ref=consumernews.ai).
**All other states:** Outside the trial right and the other narrow federal triggers (plan termination, geographic move, employer coverage loss, insurer bankruptcy or fraud), insurers can medically underwrite, deny coverage, or charge higher premiums based on health.
**Document to request:** Ask your state insurance department for its current Medigap consumer guide. Most are free PDFs. The guide will list every insurer licensed to sell Medigap in the state, the plan letters they offer, and current premium ranges. Save the date you downloaded it.
**Step 4 — Get Medigap quotes BEFORE you disenroll from Medicare Advantage**
Do not disenroll first and shop second. The sequence matters because the trial right protects you from underwriting only while the right is active. If you drop Medicare Advantage before lining up Medigap, and then the Medigap application gets delayed past your trial window, you can lose the protection.
**Process:**
1. Pull Medigap quotes from at least three insurers for your chosen plan letter — most consumer advocates recommend **Plan G** as the most comprehensive option for newer Medicare beneficiaries, since the popular Plan F is no longer available to anyone newly eligible for Medicare on or after Jan. 1, 2020, per [Medicare.gov](https://www.medicare.gov/publications/02110-choosing-a-medigap-policy.pdf?ref=consumernews.ai).
2. When you call, say clearly: "I am exercising my federal 12-month trial right under 42 U.S.C. 1395ss(s). I am requesting Medigap on a guaranteed-issue basis." Note the agent's name, the date and the quoted premium.
3. Ask each insurer in writing what proof of trial-right eligibility they require. Most will accept a copy of your Medicare Advantage member ID card showing the effective date, your Medicare card and a disenrollment confirmation letter.
4. Pick the insurer and lock in the premium quote in writing — typically the application packet itself constitutes the offer.
**Step 5 — Apply for Medigap and ask for a same-day effective date**
Federal anti-duplication rules under [CMS Program Memorandum 02-01](https://www.cms.gov/Medicare/Health-Plans/Medigap/Downloads/mdgp0201.pdf?ref=consumernews.ai) generally bar an insurer from issuing a new Medigap policy before your Medicare Advantage coverage ends. The cleanest sequence is:
1. Submit your Medigap application now with a requested effective date that matches the first day of the month after your Medicare Advantage disenrollment takes effect.
2. Include a written promise to disenroll from Medicare Advantage as soon as the Medigap policy is in force. NAIC Model Regulation Section 18 requires this, and CMS confirms it in the program memorandum.
3. Get the insurer to confirm in writing that they have accepted the application on a guaranteed-issue basis with no underwriting. Save this confirmation — it is your evidence if anything goes wrong later.
**Tip:** CMS does not require insurers to process guaranteed-issue applications faster than other applications. Apply earlier in the month rather than at the deadline.
**Step 6 — Disenroll from Medicare Advantage**
You have three ways to disenroll:
1. **Call 1-800-MEDICARE**(1-800-633-4227, TTY 1-877-486-2048). Tell them you want to disenroll from your Medicare Advantage plan and return to Original Medicare. Note the representative's name, the date, the call reference number, and the effective date they give you.
2. **Enroll in a standalone Part D plan**through [Medicare.gov](http://medicare.gov/?ref=consumernews.ai) or by calling 1-800-MEDICARE. This automatically triggers disenrollment from your Medicare Advantage plan (you cannot have both at once). This is often the cleanest sequence because it ensures continuous drug coverage.
3. **Send a written disenrollment request**to your Medicare Advantage plan. Use the plan's published disenrollment form — most insurers publish one on their member site. Send by certified mail with return receipt.
**Form to know — but probably do not need:** [CMS Form 1763](https://www.cms.gov/medicare/cms-forms/cms-forms/downloads/cms1763.pdf?ref=consumernews.ai) is the federal "Request for Termination of Premium Part A, Part B, or Part B Immunosuppressive Drug Coverage." It is used to terminate Medicare itself — not to disenroll from a Medicare Advantage plan. Do not file CMS-1763 unless you genuinely want to end your Medicare coverage altogether.
**When disenrollment takes effect:**
- During the Medicare Advantage Open Enrollment Period (January 1 to March 31), the change takes effect the first day of the month after the plan receives your request.
- During the Annual Election Period (October 15 to December 7), the change takes effect January 1.
- Under a Special Enrollment Period — including the trial right — typically the first day of the month after the request.
**Step 7 — Enroll in a standalone Medicare Part D plan**
Original Medicare does not include prescription drug coverage. The trial right grants a Special Enrollment Period to join a Part D plan, per the [National Council on Aging](https://www.ncoa.org/article/medicare-advantage-special-enrollment-periods/?ref=consumernews.ai).
**Critical timing:** If you go more than 63 consecutive days without creditable prescription drug coverage after first becoming eligible, you can be hit with a permanent Part D late-enrollment penalty — roughly 1 percent of the national base premium for every month you went without coverage, added to your premium for life. Enroll in a Part D plan with a start date that begins the day your Medicare Advantage drug coverage ends.
**Step 8 — Document everything and confirm in writing**
Before you consider the switch complete, you should have all of the following on file. Keep paper or PDF copies for at least seven years.
- **Original Medicare confirmation:** A letter from Medicare or a screenshot from [MyMedicare.gov](http://mymedicare.gov/?ref=consumernews.ai) confirming you are enrolled in Parts A and B and not in any Medicare Advantage plan, with an effective date.
- **Medicare Advantage disenrollment confirmation:** A letter from your former Medicare Advantage plan acknowledging disenrollment, with the last day of coverage.
- **Medigap approval letter:** Written confirmation from your Medigap insurer that the policy was issued on a guaranteed-issue basis under the federal trial right, with the effective date and premium.
- **Part D enrollment confirmation:** A letter from your standalone Part D plan with the effective date.
- **Call log:** A simple table — date, who you spoke with, what was said, reference number.
- **Coverage gap proof:** Verify the dates line up. There should be**no gap**between the last day of Medicare Advantage and the first day of Original Medicare + Medigap + Part D coverage.
**Common pitfalls — and how to avoid each one**
- **"I disenrolled but didn't apply for Medigap, so I lost the trial right."** Dropping Medicare Advantage without enrolling in Medigap does not preserve the right — you must do both before the 12-month window closes. Submit the Medigap application first.
- **"I assumed I'd get guaranteed issue, but my state doesn't help me."** Only the four KFF-confirmed states (Connecticut, Massachusetts, Maine, New York) offer year-round or annual guaranteed issue without underwriting at any time. Everywhere else, the trial right is your only sure path. Verify with your SHIP before disenrolling.
- **"The insurer asked health questions on my application."** During a federal guaranteed-issue event, insurers can ask health questions for administrative purposes but cannot deny coverage or rate based on health. If you are told otherwise, contact your state insurance department immediately and reference 42 U.S.C. 1395ss(s)(2)(A).
- **"I waited until month 13 to apply for Medigap."** Once the 12 months elapse, the trial right is gone. The window is firm; mark a calendar reminder for month 10.
- **"I have a pre-existing condition waiting period."** Federal law prohibits pre-existing condition exclusions for policies issued under guaranteed-issue rights. If you had less than six months of prior creditable coverage, ask the insurer to credit your Medicare Advantage time toward any waiting period.
- **"I filed CMS-1763 by mistake."** That form terminates your Medicare. Call Social Security at 1-800-772-1213 immediately if you sent one when you only intended to leave Medicare Advantage.
- **"My Medigap policy started after my MA ended, leaving a gap."** Always confirm both effective dates in writing before you confirm the switch. A one-day gap can disqualify you from preexisting-condition crediting and may expose you to a Part D late-enrollment penalty.
**Useful contacts and forms**
- **1-800-MEDICARE**(1-800-633-4227): general Medicare help, disenrollment, plan comparisons.
- **SHIP National Helpline**: 1-877-839-2675; locator at [shiphelp.org](https://www.shiphelp.org/what-we-do/?ref=consumernews.ai).
- **Medicare Rights Center**: 1-800-333-4114 — independent national helpline.
- **Social Security**: 1-800-772-1213 — only for Medicare enrollment or termination questions, not plan changes.
- **Your state insurance department**: enforces state-specific Medigap rules and pursues complaints.
- [**Medicare.gov**](http://medicare.gov/?ref=consumernews.ai) **plan finder**: [medicare.gov/plan-compare](https://www.medicare.gov/plan-compare?ref=consumernews.ai) — official source for plan availability and pricing.
- **CMS Form 1763**(do not use to leave Medicare Advantage): [cms.gov/medicare/cms-forms/cms-forms/downloads/cms1763.pdf](https://www.cms.gov/medicare/cms-forms/cms-forms/downloads/cms1763.pdf?ref=consumernews.ai).
**Bottom line for seniors**
**The 12-month trial right is the single most important consumer protection a senior has when leaving Medicare Advantage. It is also the most easily forfeited.**
The four steps that protect it are: confirm eligibility, call your free SHIP counselor before doing anything else, line up a Medigap policy before disenrolling, and document every effective date in writing.
As noted earlier, the federal law that grants this right does not require insurers to bend over backward — it requires you, the consumer, to file the paperwork on time and with proof. Do that, and you can leave Medicare Advantage with the same insurance protections you would have had if you had chosen Original Medicare from the start. Miss the window, and outside of the four protective states, you may not be able to buy a Medigap policy at any price.
### Trump plan for healthcare: borrow from your insurance company
URL: https://www.consumernews.ai/trump-plan-for-healthcare-borrow/
Last updated: 2026-06-19T19:15:14.000Z
Can’t afford vital medical care because your health insurer won’t pay for it? The Trump administration thinks your insurance company should loan you the money — presumably at prevailing interest rates.
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Economists and consumer advocates say that piling additional debt onto consumers already burdened by medical costs makes no sense.
“The last thing you want to do is increase deductibles and burden people with more medical debt,” Stanford economist Mark Duggan said in a [New York Times report](https://www.nytimes.com/2026/06/11/business/aca-health-care-costs-medical-debt.html?ref=consumernews.ai). “It seems to be profoundly disconnected from the realities people are facing.”
The brainstorm is tucked inside a 1,121-page Affordable Care Act [final rule](https://www.cms.gov/newsroom/press-releases/cms-final-rule-lowers-costs-cracks-down-fraud-expands-state-control?ref=consumernews.ai) published last month. In it, the Trump administration encourages health insurers to consider lending money to consumers who cannot afford their deductibles. Patients facing major medical bills or emergencies would be able to take loans from their insurers and repay them, presumably with interest.
Critics in the [Times account](https://www.nytimes.com/2026/06/11/business/aca-health-care-costs-medical-debt.html?ref=consumernews.ai) panned the approach.
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Dr. John Scott, a trauma surgeon and health services researcher at the University of Washington, said the proposal “seems to merely shift the responsibility of the debt rather than addressing the core problem.” Louise Norris, a policy analyst at [healthinsurance.org](https://www.healthinsurance.org/?ref=consumernews.ai), was skeptical that “there will be significant interest from either insurers or consumers.” Joel White, a healthcare consultant who advises Republicans, told the Times the underlying tradeoff is real: “With a higher deductible, you get a lower premium. People are searching for any form of relief.”
Whatever experts say, UnitedHealth Group is poised to act on the invitation. Its Optum division already operates a bank that offers health savings accounts for pre-tax medical spending and lends money to healthcare providers.
### Accounts expected to decline
Besides the loans from insurers clause, the rule reinstates pre-enrollment verification for Special Enrollment Periods, requires additional income documentation in certain cases, and aligns eligibility for advance payments of the premium tax credit with provisions of the Working Families Tax Cut.
In a [news release](https://www.cms.gov/newsroom/press-releases/cms-final-rule-lowers-costs-cracks-down-fraud-expands-state-control?ref=consumernews.ai), Medicare officials said the changes “ensure that federal subsidies are reserved for eligible individuals and reduce the risk of improper enrollments.”
The issue arises largely from the Republican-controlled Congress’s decision last year to end additional federal tax credits. Those subsidies significantly reduced the cost of Americans’ premiums.
But a [pending lawsuit](https://litigationtracker.law.georgetown.edu/wp-content/uploads/2026/06/Columbus%5F2026.06.03%5FCOMPLAINT.pdf?ref=consumernews.ai) warns the rule will lead to at least 3 million Americans losing coverage on the ACA exchanges in 2026 alone and result in higher premiums and out-of-pocket costs for the remainder.
Centene, the country’s largest Medicaid insurer, said Monday it would offer buyouts to some employees, [CNBC reported](https://www.cnbc.com/2026/06/15/centene-to-offer-buyouts-to-some-employees.html?ref=consumernews.ai), and now expects ACA membership to decline nearly 40 percent by year-end after losing about 2 million members in the first quarter when enhanced federal subsidies expired.
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### Medicare Advantage denials prompt federal rebuke; report finds 'shocking' rate of refusals for long-term care
URL: https://www.consumernews.ai/medicare-advantage-denials-prompt/
Last updated: 2026-06-19T19:15:14.000Z
Two new reports from the Department of Health and Human Services inspector general found that some of the largest Medicare Advantage insurers are denying prior authorization for long-term and rehabilitative care at rates investigators called “shocking,” [NBC News reported](https://www.nbcnews.com/health/health-news/medicare-advantage-plans-denied-prior-authorization-requests-unusually-rcna349467?ref=consumernews.ai).
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UnitedHealthcare, CVS Health and Humana had the highest denial rates, with some plans rejecting more than 70 percent of requests. Denial rates across companies ranged from 8 percent to 80 percent for long-term care. When patients appealed, plans overturned 95 percent of initial denials.
The HHS inspector general’s office urged the Centers for Medicare & Medicaid Services to collect prior-authorization data more often and investigate the variance.
“The variation in denial rates, ranging from 8 percent to as high as 80 percent among different companies for long-term care, is quite shocking,” an HHS official identified in the report as Erin Bliss, an assistant inspector general at HHS, said.
Mary Barthomew, who led the reports, said the 95 percent reversal rate “indicates an extremely high rate of reversals” and “raises serious concerns that there is a failure occurring at the initial request stage.”
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### Stakes are high
The financial stakes for households are large. A long-term acute care hospital stay averaged about $49,000 in 2023, and inpatient rehabilitation about $24,000, [NBC reported](https://www.nbcnews.com/health/health-news/medicare-advantage-plans-denied-prior-authorization-requests-unusually-rcna349467?ref=consumernews.ai).
Nearly 20 million Americans are enrolled in Medicare Advantage plans run by the three companies named in the report.
Miranda Yaver, an assistant professor of health policy management at the University of Pittsburgh, said the gap in denial rates “underscores the frustration many Americans have expressed — that healthcare decisions are being influenced by profit motives rather than medical needs.”
HHS Secretary Robert F. Kennedy Jr. has pledged authorization reforms, and the [New York Times reported](https://www.nytimes.com/2026/06/11/business/medicare-advantage-nursing-homes.html?ref=consumernews.ai) that federal investigators have raised concerns about external contractors used by insurers to determine eligibility for specialized care.
### A series of unmet promises
The program now called Medicare Advantage was created by the Balanced Budget Act of 1997 under the name “Medicare+Choice” (Medicare Part C). It expanded a smaller managed-care option that had existed since the 1980s, when Congress first allowed Medicare beneficiaries to enroll in risk-bearing HMOs.
The pitch to seniors at the time was straightforward: in exchange for accepting a narrower network of doctors and hospitals and tighter utilization controls, beneficiaries would get extra benefits — vision, dental, hearing aids, gym memberships, lower out-of-pocket costs — that traditional fee-for-service Medicare did not cover. The federal government would pay private insurers a per-member capitated rate, and the insurers would manage the care.
Enrollment was modest. Medicare+Choice plans struggled financially through the late 1990s and early 2000s, with many insurers withdrawing from counties they considered unprofitable. By 2003, roughly 5 million seniors were enrolled, down from a peak of 6.3 million in 1999.
In 2003, the program was “rebranded” as Medicare Advantage and numerous benefits were added, including higher payments to doctors and hospitals and lower out-of-pocket spending.
Over the following decade, Medicare Advantage roughly doubled its market share. Enrollment crossed 50 percent of all Medicare beneficiaries in 2023, meaning that for the first time, a majority of America’s seniors received their Medicare coverage from a private insurer rather than directly from the federal government.
By 2025, more than 33 million Americans were enrolled. UnitedHealthcare, Humana and CVS Health (which acquired Aetna in 2018) emerged as the three dominant carriers.
The promises that drove that growth — promises plans made directly to seniors in television ads, mailers and call-center pitches — generally included:
- **No or low monthly premiums** beyond Part B.
- **Extra benefits** not covered by traditional Medicare: dental, vision, hearing aids, fitness memberships, over-the-counter drug allowances, transportation, sometimes groceries or utility allowances for chronically ill members.
- **Out-of-pocket caps** that traditional Medicare lacks.
- **Care coordination** — a single plan managing primary, specialist and prescription care.
- **Prescription drug coverage** bundled in.
### The trade-offs that drew scrutiny
The trade-offs were always there, but they became more visible as the program grew. Medicare Advantage plans use prior authorization, narrower networks, and managed-care utilization tools that traditional Medicare does not.
Independent researchers and the Medicare Payment Advisory Commission (MedPAC) repeatedly found that the federal government pays Medicare Advantage plans more per beneficiary than it spends on comparable traditional Medicare enrollees — by roughly $83 billion in 2024 according to MedPAC estimates — driven in part by “risk-adjustment” coding practices that make enrollees appear sicker on paper.
The Department of Justice has pursued multiple False Claims Act cases against the largest Medicare Advantage carriers alleging inflated risk-coding. The Department of Health and Human Services inspector general has published a series of reports — including today’s — finding that plans deny prior authorization at far higher rates than traditional Medicare would, and that 95 percent of those denials are overturned on appeal, suggesting the initial denials are systematically wrong.
### Where the program stands now
As of 2026, Medicare Advantage covers a majority of Medicare beneficiaries, is the single largest line of business for UnitedHealth Group and Humana, and faces converging pressure: federal rate cuts, tightened risk-adjustment rules, slower star-rating bonuses, and growing congressional and inspector-general scrutiny of marketing practices and care denials.
The promises that built the program — extra benefits, lower out-of-pocket costs, simpler care — remain the marketing message. The newer questions are whether seniors who become seriously ill find those promises hold up when they need long-term, rehabilitative or specialized care, and whether the federal government’s premium payments to plans deliver value commensurate with their cost.
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### When the grid goes down: Are home batteries worth the premium over standby generators?
URL: https://www.consumernews.ai/when-the-grid-goes-down-are-home/
Last updated: 2026-06-19T19:15:16.000Z
When the June 2012 derecho ripped across Northern Virginia, it left some Fairfax County homes without power for 10 days in 100-degree heat. Then-Governor Bob McDonnell called it the largest non-hurricane outage in state history.
Fourteen years later, the storm still defines how the region thinks about backup power — and it explains why every severe-weather forecast now sends a fresh wave of homeowners searching for whole-home generators and, increasingly, battery storage systems.
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We’re using Fairfax County as an example because, like much of the country, it’s not ideal for solar-battery combinations — heavy tree cover, often cloudy, touchy HOAs, etc.
Like many things, the idea of a battery-powered backup system sounds pretty simple. Hook it up, get it charged and you’re good to go, right? Wrong. Like many things that sound simple, home batteries are complicated and may not be the best choice for many homeowners. If you have an electric vehicle, that presents another set of options that will be covered in a future story.
Choosing the best power backup has gotten more complicated in the last few years. Home batteries from [Tesla](https://www.tesla.com/powerwall?ref=consumernews.ai), [FranklinWH](https://www.franklinwh.com/get-franklinwh/?utm%5Fsource=google&utm%5Fmedium=cpc&utm%5Fcampaign=20801335084&utm%5Fadgroup=153770453017&utm%5Fterm=franklinwh&gad%5Fsource=1&gad%5Fcampaignid=20801335084&gbraid=0AAAAApnyT5RbiKSRX2pU24yvheLk0Tw5B&gclid=Cj0KCQjwornRBhCrARIsAON5exFKd497ngqCVeCFIDEjMJVNtjbp0cSvDhMveY4FnAJ4WtRzg-WaxNgaAoPQEALw%5FwcB), and [Enphase](https://enphase.com/?ref=consumernews.ai) have matured into credible whole-home backup solutions. But the federal 30% residential clean-energy tax credit expired December 31, 2025, stripping roughly $8,000 to $10,000 from typical battery projects and reshaping the math.
So for the Fairfax County homeowner who watched the lights flicker again on June 11 — when a wind event knocked out 25,000 local customers — the question is straightforward: Does a battery system actually justify its price premium over a traditional standby generator?
## What it costs to install
A two-unit Tesla Powerwall 3 system providing 27 kilowatt-hours of storage runs $26,000 to $35,000 installed in Fairfax County, according to pricing from SolarReviews and Northern Virginia installers. FranklinWH’s aPower 2 system lands in a similar range.
A Tesla Powerwall3\. Source: Tesla
A [Generac](https://www.generac.com/?ref=consumernews.ai) Guardian 22-kilowatt natural-gas generator — the closest equivalent in whole-home capability — installs for $11,600 to $17,800, including the automatic transfer switch, gas plumbing, concrete pad, and permits. A propane version of the same generator, paired with a 500-gallon tank, runs $13,100 to $21,000.
A Genrac 22kw - Source: Generac
The installed-cost gap is roughly $11,000 to $15,000 in favor of the generator. Without the federal tax credit, none of that gap is recoverable through incentives. Virginia has no statewide residential battery rebate, and Dominion Energy’s customer programs are limited.
## The 10-year picture
Operating costs partially offset the upfront difference. Using current [Washington Gas](https://www.washingtongas.com/?ref=consumernews.ai) rates of about $1.20 per therm, a Generac 22-kilowatt consumes roughly $26.50 per month in fuel for weekly “exercise” cycles plus typical outages.
Add an annual service contract — $220 to $535 in the Northern Virginia market, based on quotes from Kennedy Electric, NNG Generator, and Unity Services — and the total monthly cost of generator ownership runs $50 to $75.
Propane is dramatically more expensive to run. Virginia retail prices held around $3.50 per gallon in early 2026, per [Energy Information Administration](https://www.eia.gov/?ref=consumernews.ai) data, putting standby costs near $113 to $135 per month including service.
Batteries, on the other hand, are nearly free to operate. Standby parasitic draw and occasional grid top-offs add $5 to $20 per month to a [Dominion](https://www.dominionenergy.com/?ref=consumernews.ai) bill that’s already climbing — the utility added about $11.24 per month for typical customers in January 2026 after a State Corporation Commission rate decision.
Over a 10-year horizon, including roughly 60 hours of outage runtime per year, the total cost of ownership shakes out like this:
- **Natural gas generator: about $20,500**
- **Battery system: about $31,700**
- **Propane generator: about $30,600**
Natural gas wins on dollars by roughly $11,000\. The battery and propane setups land essentially tied.
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## The silence question — and a Fairfax loophole
A Generac 22-kilowatt produces 67 decibels at 23 feet under load. Fairfax County’s noise ordinance, Chapter 108.1, caps continuous residential noise at 60 decibels during the day and 55 at night. On a typical Northern Virginia lot where the property line might sit 15 to 25 feet from the generator pad, that math doesn’t work.
But it doesn’t have to. Section 108.1-5-1 of the county code fully exempts backup generators from noise limits during power outages. Weekly exercise cycles get a separate carve-out: permitted between 7 a.m. and 9 p.m. for up to two hours per day. Generac’s Quiet-Test™ mode runs the engine at low speed at about 55 decibels — comfortably within daytime limits.
A battery system, by contrast, produces 40 to 50 decibels from inverter cooling fans. It is effectively silent. No code exemption needed, no neighbor friction, no exhaust. For homeowners on tight lots, in noise-sensitive HOAs, or simply with light-sleeping neighbors, that distinction matters more than the spec sheet suggests.
Your local government quite likely has similar rules. It’s worth checking before making a major investment.
## How long the power lasts
This is where the resilience tradeoffs sharpen.
A two-Powerwall system runs a typical Fairfax home for 12 to 24 hours on a single charge. Trim to essentials — refrigerator, lights, internet, a few outlets, no air conditioning — and that stretches to four or five days. But without solar, there is no autonomous recharge. Once depleted, the home goes dark until Dominion restores service.
A natural-gas generator runs indefinitely, provided the Washington Gas pipeline stays pressurized. Through the 2012 derecho, the utility’s underground infrastructure held for the vast majority of affected customers. Pipeline failure during a regional emergency is rare but not impossible: a February 2026 main rupture in Centreville cut service to 46 homes.
A propane generator with a 500-gallon tank delivers about 5.5 to 6.5 days of runtime at typical loads — enough for nearly every Fairfax outage in recorded history, but tight for the longest events. Pre-storm refills are essential; delivery trucks face the same downed-tree obstacles as everyone else.
## The verdict
> For most homes, a natural-gas standby generator remains the lowest-cost path to whole-home backup. It runs as long as the pipeline does, it costs $11,000 less over a decade than the alternatives, and, at least in the Fairfax area used in our example, Washington Gas’s infrastructure has proven storm-resilient.
Batteries justify the premium in three specific situations: when solar panels are part of the project (unlocking Tesla’s unlimited-cycle warranty and autonomous recharge), when neighborhood noise or HOA restrictions make a generator impractical, and when typical outages are short enough — under 18 hours — that 27 kilowatt-hours of storage is sufficient.
Propane fills a niche: homes without a natural-gas connection that want multi-day backup without dependence on the utility gas grid.
A growing hybrid option pairs a single Powerwall with a smaller propane or natural-gas generator — silent operation for short outages, indefinite duration for the next derecho. It is not the cheapest answer. But for homeowners who want both quiet and resilience, it may be the most honest one.
---
*Sources: Washington Gas current rate filings; Dominion Energy residential tariff schedules; EIA Virginia propane retail prices; Generac and Kohler manufacturer specifications; Tesla Powerwall Limited Warranty (May 2026); Fairfax County Code Chapter 108.1; Virginia State Corporation Commission 2025 Grid Modernization Report; June 2012 derecho documentation; FFXnow and AlexandriaBrief storm reporting.*
*Perplexity.ai provided research assistance for this story.*
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### Washington Post hit with class-action lawsuit alleging it used a decade of reader data to set higher subscription prices for its most loyal readers
URL: https://www.consumernews.ai/washington-post-hit-with-class-action/
Last updated: 2026-06-19T19:15:16.000Z
A District of Columbia subscriber filed a proposed class-action lawsuit Thursday accusing The Washington Post of secretly harvesting roughly 10 years of personal data from its digital subscribers and using that data to charge longtime, engaged readers more for the same product than newer or less-engaged ones — a practice the complaint and a growing body of federal regulatory research call “surveillance pricing.”
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The 43-page complaint, brought by Chelsea Blink of Washington, D.C., in the Superior Court of the District of Columbia, names The Washington Post and alleges violations of the District’s Consumer Protection Procedure Act and unjust enrichment. It seeks treble damages or $1,500 per violation, whichever is greater, plus punitive damages, attorneys’ fees and an injunction barring the practice.
Plaintiffs’ lawyers told reporters Thursday the case could expose the paper to “millions, if not billions” of dollars in liability if certified as a class. The filing arrives at the intersection of three fast-moving stories:
- a Federal Trade Commission inquiry into surveillance pricing that has continued through two administrations;
- a House Oversight Committee investigation opened in March by Chairman James Comer of Kentucky; and a
- wave of new state laws — already on the books in Maryland and Connecticut, pending the governor’s signature in New York and under consideration in California — aimed at regulating, disclosing or outright prohibiting algorithmic pricing of consumer goods and services.
### What the complaint says
Blink, a daily Post reader who has subscribed since 2016, alleges in the complaint that since at least the mid-2010s, The Washington Post has “covertly harvested \[subscribers’\] personal data through their phones, computers, or tablets, collecting, aggregating, and analyzing deeply personal information that it would later weaponize to determine how much more money it could extract from each Subscriber to maximize its profits,” [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai) Thursday afternoon after reviewing the filing. The complaint calls the practice “personalized algorithm pricing” or “surveillance pricing.”
The data harvested, according to the complaint, included demographic and professional details drawn from user profiles together with what the filing describes as “detailed records of content interaction” — the everyday rhythms of reading the newspaper. Those records included “ordinary habits” like “reading the morning headlines, checking an election update, \[or\] following a favorite columnist,” [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai), citing the complaint.
> The central allegation is that the more The Post learned about a reader, the more it could charge that reader.
“Rather than rewarding loyalty, The Post’s system converted Subscribers’ engagement into leverage against them,” the complaint reads, [as quoted by Mediaite](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai). “Longtime Subscribers would end up paying more than new customers simply because the company knew more about them.”
The complaint argues that subscribers had no reasonable way to know about or consent to the practice: “While many consumers may understand that free services, such as social networking and search sites, may gather information from users to pay for the service, a reasonable consumer would not suspect that a paid news site, like The Post, would gather this information from its Subscribers in order to increase subscription prices for certain Subscribers,” [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
The proposed class is broad. It would include “All current and former Subscribers who purchased a subscription to The Post at any point during the applicable statute of limitations and who maintained an active subscription at any point when The Post was gathering data for its surveillance pricing model,” [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai), citing the complaint.
NPR and other outlets have reported the Post has roughly 2.5 million digital subscribers, a figure that has been stable for about four years, [according to Mediaite](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
The lawsuit names The Washington Post as the defendant; the complaint references owner Jeff Bezos and publisher and chief executive Will Lewis as the executives presiding over the alleged practice, [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
### The plaintiffs’ law firm and the damages math
[The Clarkson Firm](https://clarksonlawfirm.com/?ref=consumernews.ai) a national plaintiffs’ firm with nine offices, including in Washington, D.C., New York City, Chicago, San Francisco and Miami, is leading the case, [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
Partner Tim Giordano told Mediaite there was “pretty widespread outrage” among subscribers when the Post’s practice surfaced in March, that Blink was “one of many consumers who reached out to us” and that the firm is “hearing from people each week” and may add new named plaintiffs as the case develops, [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
Giordano said the disclosures the Post eventually made about its algorithmic pricing “lacked any meaningful opt-out for consumers” and that the firm sees potential exposure of “millions, if not billions, in damages, given that the scheme operated nationwide,” [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
The conservative arithmetic the firm sketched: if just 10 percent of the Post’s roughly 2.5 million digital subscribers were charged inflated prices, all renewed annually over a four-year window, and each were entitled to the $1,500 statutory minimum under the District’s Consumer Protection Procedure Act, the bill would land at about $1.5 billion, [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
The Clarkson Firm’s founder and managing partner, Ryan Clarkson, framed the case in broader terms in a statement Thursday.
“The Post’s deeply invasive practice of consumer surveillance is squeezing consumers for all they’ve got through a campaign of deception, rigging the cost of services against the very people keeping these companies in business,” Clarkson said. “Consumers did not agree to be surveilled. They did not knowingly sign up to be charged a different amount from their neighbor to read the same newspaper. Discriminatory pricing systems have no place in a fair market, and they need to be dismantled.”
Kristen Simplicio, a partner and one of the lead attorneys, called surveillance pricing “widely condemned as unfair and deceptive” and said the Post’s “exploitation of its subscribers shows just how far companies will go to pad their bottom line,” [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
Giordano said the firm believes virtually “every subscriber nationwide was affected,” [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai). On the statute-of-limitations question — a likely defense given that the alleged conduct dates back roughly a decade — Giordano said it was “too premature to get into the weeds,” but argued “there was absolutely no disclosure until earlier this year,” [according to Mediaite](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
### **What pushed the practice into public view**
The Post’s pricing model first surfaced publicly in March. Subscribers receiving renewal emails noticing a price increase found, at the bottom of the email, a single asterisked line: “This price was set by an algorithm using your personal data,” [Washingtonian magazine reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai) in a March 12 explainer that triggered the broader story.
The disclosure was added, the complaint argues, only because a New York algorithmic-pricing transparency law that took effect in late 2025 required it. Even then, the Post did not formally disclose the practice until a March 2026 renewal email, [PJ Media reported](https://pjmedia.com/david-manney/2026/06/11/the-washington-posts-credibility-crisis-hits-the-checkout-page-n4953888?ref=consumernews.ai).
A Post spokesperson responding to Washingtonian directed the magazine to a blog post by the publication’s engineering team explaining an AI-driven “smart metering model” that determines how many free articles anonymous and registered readers may access before hitting the paywall. The blog post did not address how the Post uses subscriber data to set subscription prices, [Washingtonian reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai). The Post has not publicly explained the specific factors its renewal pricing algorithm considers.
Luca Cian, a professor at the University of Virginia’s Darden School of Business who studies algorithmic pricing, told Washingtonian that he did not have firsthand knowledge of the Post’s model but that such systems typically draw on user demographics and location, browser histories, IP address, the type of device a reader uses, the volume of articles read, renewal history and inferred financial status, [Washingtonian reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai).
Common proxies for income include whether a reader uses an Apple device versus an Android device, and whether an IP address resolves to a neighborhood whose average home value can be looked up on Zillow, [Cian told Washingtonian](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai). Cian estimated only “probably 0.5 percent of the population” takes meaningful steps to limit data collection — for instance, by using a basic phone or a VPN. “There is very little privacy left,” he told the magazine, [Washingtonian reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai).
### **The federal context: FTC inquiry, House investigation, and a growing patchwork of state laws**
The Post case lands in the middle of a federal investigation that has continued — quietly — across administrations. Then-Federal Trade Commission Chair Lina M. Khan opened a study of surveillance pricing in July 2024, ordering eight intermediary firms to disclose how they use algorithms and personal data to set prices, [the FTC announced](https://www.ftc.gov/policy/advocacy-research/tech-at-ftc/2024/07/behind-ftcs-inquiry-surveillance-pricing-practices?ref=consumernews.ai) at the time.
In January 2025, the FTC published initial findings showing that “retailers frequently use people’s personal information to set targeted, tailored prices for goods and services — from a person’s location and demographics, down to their mouse movements on a webpage,” [Khan said in the staff perspective](https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-surveillance-pricing-study-indicates-wide-range-personal-data-used-set-individualized-consumer?ref=consumernews.ai). Staff also flagged behaviors like cursor pauses, abandoned-cart durations and parallel searches on other sites as inputs to pricing models.
Although the Trump administration ended public commentary on the study shortly after taking office in January 2025, current FTC Chairman Andrew Ferguson told a Senate Commerce Committee hearing in April 2026 that the agency had not closed the inquiry.
“I take the matter of personalized pricing very seriously. I have directed my team to start investigating whether the commission should issue a policy statement regarding the necessity for certain disclosures when highly personalized pricing is employed to establish individual prices,” Ferguson said, [Yahoo News reported](https://www.yahoo.com/news/articles/federal-trade-commission-still-looking-003322741.html?ref=consumernews.ai). Ferguson said the FTC had opened a parallel inquiry into Instacart after the grocery-delivery company piloted and then canceled a surveillance-pricing trial.
House Oversight Committee Chairman James Comer, Republican of Kentucky, opened a separate congressional investigation in March into the use of AI and consumer data to set prices, [PJ Media reported](https://pjmedia.com/david-manney/2026/06/11/the-washington-posts-credibility-crisis-hits-the-checkout-page-n4953888?ref=consumernews.ai).
The state-law picture, meanwhile, is changing month by month. Maryland and Connecticut have already enacted laws explicitly prohibiting “surveillance-based pricing” using consumer data, [Fox News Latino reported](https://noticias.foxnews.com/media/washington-post-faces-class-action-lawsuit-alleging-surveillance-pricing-subscribers?ref=consumernews.ai).
The New York State Assembly has passed a bill that would similarly prohibit the practice and that is awaiting the governor’s signature; New York’s earlier disclosure law — passed in November 2025 — already requires companies that use algorithmic pricing to tell consumers they are doing so, [Washingtonian reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai).
California’s omnibus consumer-privacy regime, broadly considered the strictest in the country, is already being read by regulators to cover algorithmic price-setting; the state legislature is separately weighing rules on algorithmic pricing among competitors. Maryland Governor Wes Moore separately introduced legislation aimed at grocery stores using consumer data to charge individualized prices, [Washingtonian reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai).
### **What surveillance pricing looks like outside the newspaper aisle**
Newspapers are a comparatively novel target for the technique, but the practice is well documented in retail and grocery. The FTC’s January 2025 staff perspective described a cosmetics company targeting promotions to specific skin types and skin tones, and intermediaries surfacing higher-priced products based on consumers’ search and purchase activity, [the FTC reported](https://www.ftc.gov/news-events/news/press-releases/2025/01/ftc-surveillance-pricing-study-indicates-wide-range-personal-data-used-set-individualized-consumer?ref=consumernews.ai).
A 2025 multi-station Channel 2 Action News investigation found that one shopper was quoted a television price almost $200 higher than another, and that two testers were charged nearly $100 more than other customers for the same grill, [Yahoo News reported](https://www.yahoo.com/news/articles/federal-trade-commission-still-looking-003322741.html?ref=consumernews.ai).
Instacart’s pilot, which the company canceled after public criticism, was alleged to have produced price gaps of up to $2.56 on a single grocery item between shoppers, [Washingtonian reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai), citing public-interest research. Amazon was reported to have charged local school districts vastly different prices for identical supplies, sometimes on the same day, [Washingtonian reported](https://washingtonian.com/2026/03/12/the-washington-post-is-using-reader-data-to-set-subscription-prices-how-does-that-work/?ref=consumernews.ai).
Academic research is mixed on whether personalized pricing helps or harms consumers overall. A 2022 working paper by Jidong Zhou of Yale’s School of Management and Andrew Rhodes of the Toulouse School of Economics found that personalized pricing tends to benefit consumers in aggregate when most people buy the product and producing it is cheap, but to harm consumers when products are produced for a narrow audience or when one firm holds a disproportionate share of consumer data, [Yale Insights reported](https://insights.som.yale.edu/insights/the-perils-of-personalized-pricing?ref=consumernews.ai).
A separate Organisation for Economic Co-operation and Development laboratory experiment found that consumers consistently said they view personalized pricing as unfair and believe it should be prohibited, even when the practice is disclosed, [the OECD reported](https://www.oecd.org/en/publications/the-effects-of-online-disclosure-about-personalised-pricing-on-consumers%5F1ce1de63-en.html?ref=consumernews.ai). The OECD also found that mandated disclosures did little to change purchasing behavior in practice.
### **What happens next**
Blink’s case is at the earliest stage. No defendant response is on file. The next steps will be service on The Washington Post, scheduling and a likely motion to dismiss in which The Post can be expected to argue that subscribers consented to data collection in the user agreement, that any harm is not redressable under the District’s consumer-protection statute, and that the bulk of the proposed class falls outside the District’s three-year statute of limitations.
Plaintiffs’ counsel will likely respond that subscribers could not have consented to a practice that, on their telling, was not disclosed for roughly a decade.
The Washington Post had not issued a public statement on the lawsuit as of Friday morning. The Post’s spokesperson did not respond to Mediaite’s inquiry before its Thursday report, [Mediaite reported](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
Former Post executive editor Marty Baron, who has emerged as a leading internal critic of the Bezos-Lewis era, told Mediaite the recent stretch of staff layoffs and management decisions were “among the darkest days in the history of one of the world’s greatest news organizations” and that Bezos’s “ill-conceived decisions” had made the paper’s challenges “infinitely worse” by driving off readers and “betraying the values he was supposed to uphold,” [according to Mediaite](https://www.mediaite.com/lawcrime/new-washington-post-slapped-with-massive-class-action-lawsuit-for-alleged-price-gouging-of-its-most-loyal-subscribers-via-surveillance-pricing/?ref=consumernews.ai).
For consumers, the case is one of the first public tests of whether the [surveillance-pricing inquiry](https://www.theoutragedconsumer.com/p/maryland-outlaws-predatory-pricing?utm%5Fsource=publication-search) that began at the FTC in July 2024 has any teeth in court. For news publishers, it raises the possibility that the dynamic-pricing tools that have become standard in retail, travel and groceries — and that some industry strategists have explicitly recommended for newspaper subscriptions, [INMA reported](https://www.inma.org/blogs/world-congress/post.cfm/news-companies-optimise-subscription-models-with-dynamic-paywalls-targeted-audience-engagement?ref=consumernews.ai) at its World Congress — may carry liability that other consumer-facing industries have so far escaped.
> For The Post, it is a fight that begins on familiar ground: its own city, its own readers, its own court.
—
*Perplexity assisted in researching this story*
Thanks for reading! This post is public so feel free to share it.
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### Stellantis lots are overflowing again — and shoppers may benefit
URL: https://www.consumernews.ai/stellantis-lots-are-overflowing-again/
Last updated: 2026-06-19T19:15:17.000Z
Stellantis is piling up unsold vehicles on U.S. dealer lots faster than any other automaker, a buildup that industry analysts say sets the stage for aggressive summer discounting on Jeep, Ram, Chrysler and Dodge models — even as the broader new-vehicle market shows signs of strengthening.
The [CarGurus May 2026 Intelligence Report](https://dealers.cargurus.com/blog/cargurus-intelligence-report---may-2026?ref=consumernews.ai) identified Stellantis as the fastest-growing original equipment manufacturer for inventory last month, outpacing an industrywide gain of about 4.6% above year-ago levels. That growth runs counter to the rest of the market, where a 5.7% year-over-year jump in new-vehicle retail demand pulled supply tighter at most brands.
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“Tighter supply where sales are working, looser supply where sale volume is not clearing inventory fast enough,” Erin Keating, executive analyst at Cox Automotive, wrote in a [June 11 report](https://www.coxautoinc.com/insights/may-2026-new-vehicle-inventory/?ref=consumernews.ai). “The opposite pattern remains most visible at Stellantis, where Chrysler, Dodge and Jeep continued to post materially higher supply levels year over year as inventory growth outpaced demand.”
The gap is striking. Cox Automotive pegged the industrywide average at 76 days’ supply in May, while end-of-April data showed Dodge at 142 days, Chrysler and Ram at 135 days each, and Jeep at 128 days, according to [Carscoops](https://www.carscoops.com/2026/05/stellantis-inventory-days-supply/?ref=consumernews.ai), citing Cox. Toyota, by contrast, was clearing its lots in about 36 days. Total industry inventory stood at 2.89 million vehicles, up about 13% from a year earlier.
### Dealers motivated to move ‘em out
For consumers, lopsided supply typically translates into bigger price breaks. Stellantis dealers are already advertising stacked offers on 2026 models, including $1,500 retail bonus cash on Jeep Grand Cherokees, $1,000-under-invoice pricing on Ram trucks, and 90-day no-payment financing through Stellantis Financial Services, according to dealer incentive listings posted this month.
Buyers should still shop carefully. CarGurus found that average new-vehicle listing prices climbed to [$50,700 in May](https://www.coxautoinc.com/insights/dec-2025-new-vehicle-inventory/?ref=consumernews.ai), the highest level since September 2023, as the overall mix drifts toward premium trims. The $30,000-to-$40,000 segment posted the steepest year-over-year decline in share, meaning the deepest discounts are concentrated on higher-priced models rather than entry-level inventory.
Analysts caution the Stellantis pattern is not new. Cox Automotive flagged the same brands as “problem-child” inventory holders in its December 2025 report, and the company spent much of 2025 cutting production to clear bloated lots. The current buildup suggests that effort has stalled, giving consumers a narrow window to push for steeper concessions before the automaker tightens supply again.
## June 2026 incentive cheat sheet — Jeep, Ram and Dodge
What follows is a snapshot of national factory incentives in effect as of mid-June 2026, compiled from manufacturer sites, Kelley Blue Book, Edmunds, TrueCar and dealer incentive bulletins. All offers expire June 30, 2026 unless noted. Dealers can stack regional, loyalty, conquest and trim-specific bonuses on top of these, so the actual out-the-door discount is often larger than the national number suggests. Ask your dealer to itemize every rebate code on the worksheet.
### Top national offers by model
### Stackable bonuses worth asking about
- **Owner loyalty cash**: $2,000 on Grand Cherokee for current Jeep owners
- **Conquest cash**: typically $500–$1,000 when trading in a competing brand
- **Military bonus**: $500 on most Jeep, Ram, Dodge and Chrysler models for active, reserve, retired and recently discharged service members and 100% disabled veterans
- **First responder bonus**: $500 for police, sheriffs, firefighters, EMTs and paramedics
- **Mobility assistance**: $1,000 on Grand Cherokee and select models for adaptive-equipment purchases
- **Stellantis Financial Services 90-day deferral**: no payments for 90 days on subvented and standard-rate contracts, Tier 1 and Tier 2 only, on most Ram and Jeep models
- **Employee Pricing for All**: Stellantis revived this program in 2025 to combat tariff-driven price increases and has periodically extended it; it remains stackable with select retail incentives on most non-fleet trims. Ask the dealer whether it is currently active for your target model.
### Dealer-level discounts to look for
National factory cash is only part of the picture. With Stellantis brands carrying 128 to 142 days of supply versus the 76-day industry average, individual stores are layering on their own price cuts to move metal:
- **Ram 1500**: $1,000 under invoice pricing advertised at multiple dealers, in addition to factory cash
- **Jeep Grand Cherokee**: $2,500 off Altitude trims and $3,000 off Limited trims have appeared as dealer-level discounts in recent weeks, with some stores advertising up to $7,000 off select 2026 stock
- **Jeep Compass**: stacked dealer offers reaching $7,500 in combined incentives at some locations
- **Dodge Durango**: combined incentives advertised up to $10,000 at some dealers
### What this means for shoppers
The deepest discounts are concentrated on higher-priced trims — Grand Cherokee Summit, Ram 1500 Limited, Dodge Durango — because that is where Stellantis carries the most unsold inventory. Buyers shopping the $30,000-to-$40,000 segment will see thinner cash but stronger financing offers, particularly 0% APR on Ram 1500 mainstream trims.
Three negotiating tips for consumers:
1. Ask the dealer to print the full incentive worksheet showing every applicable rebate code. National cash, regional bonuses, loyalty, conquest, military and first-responder offers can usually be stacked.
2. Compare the 0% APR offer against the cash rebate. On a $50,000 Ram 1500, taking $3,500 in bonus cash and financing at market rates may save more total interest than choosing 0% APR with no cash.
3. Get a quote from a second dealer in a different ZIP code. Regional incentives vary, and Stellantis days-supply imbalances are uneven by market.
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### Used car prices top $30,000 as new-vehicle demand snaps back, CarGurus says
URL: https://www.consumernews.ai/used-car-prices-top-30000-as-new/
Last updated: 2026-06-19T19:15:18.000Z
Average listing prices for used vehicles crossed $30,000 in May for the first time in nearly three years, while new-vehicle demand turned positive year-over-year for the first time in 2026, according to a [CarGurus report](https://dealers.cargurus.com/blog/cargurus-intelligence-report---may-2026?ref=consumernews.ai) that adds to mounting evidence the U.S. auto market found firmer footing this spring.
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The report found average used listing prices ran 5.1% above year-ago levels, the first time they have topped $30,000 since August 2023\. New-vehicle retail demand rose 5.7% from May 2025 and was up 6.2% from April, ending a seven-month streak of year-over-year declines on the new side of the lot.
“That’s an encouraging signal after the run of YoY declines we’d been flagging,” wrote Kevin Roberts, CarGurus’ director of industry analytics, in the report.
Independent industry data released over the past two weeks broadly confirms the turn. J[.D. Power and Global Data ](https://collisionweek.com/2026/05/26/may-new-vehicle-sales-forecast-end-seven-month-decline-tariff-payback-lapses/?ref=consumernews.ai)projected May new-vehicle sales of 1.49 million units, up 5.8% year-over-year and the first positive monthly comparison since September 2025\. Cox Automotive estimated the seasonally adjusted annual rate of sales at roughly 16.1 million in May, up from 15.9 million in April and from 15.6 million a year earlier. Car Dealership Guy pegged the SAAR at 16.2 million, with industrywide volume up about 0.6% to roughly 1.48 million units.
Cox Automotive’s [Manheim Used Vehicle Value Index](https://www.coxautoinc.com/insights/manheim-used-vehicle-value-index-may-2026-trends/?ref=consumernews.ai), which tracks wholesale rather than retail prices, rose to 212.6 in May, up 3.6% year-over-year on an adjusted basis and 0.3% from April — separate confirmation that used values are rising into the summer selling season.
CarGurus said both franchise and independent dealers contributed to a 4.1% month-over-month and 3.2% year-over-year gain in used demand. Late-model inventory drove much of the activity: vehicles one year old or younger grew to 12.8% of used demand, up from 10.4%. Units eight years and older still accounted for about a third of demand, reflecting the affordability pressure that has shaped the 2026 market.
### New car prices climb towards $51,000
On the new side, average listing prices climbed to $50,700, up 1.7% year-over-year and the highest reading since September 2023\. The $30,000-to-$40,000 tier posted the largest year-over-year decline in share as the mix continued to drift toward premium models. New inventory ran about 4.6% above year-ago levels, with Stellantis the fastest-growing original equipment manufacturer.
Analysts cautioned that May’s rebound came against a softer comparison. Year-earlier sales in April and May 2025 were depressed after a tariff-driven pull-forward of demand earlier that spring, making year-over-year gains easier to post. Cox Automotive said the year-to-date SAAR is still tracking near 15.7 million, well below the 16.4 million pace through the same period in 2025.
Hybrids continued to do disproportionate work. Car Dealership Guy reported that hybrid lineups “separated the winners from the losers” at the OEM level in May, echoing a CarGurus finding earlier this year that hybrid models carry the tightest market days supply of any powertrain.
### Stabilizing but not getting cheaper
For consumers, the data points to a market that is stabilizing but not getting cheaper. New transaction prices remain near record highs, the supply of new vehicles priced below $30,000 has shrunk roughly 60% over the past five years according to CarGurus, and used prices are climbing again after a brief April dip.
Buyers searching the $30,000 range are increasingly being pushed into lightly used inventory — a shift CarGurus and Cox Automotive have both described as the defining feature of the 2026 market.
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### Wholesale inflation hit a 4-year high, and that’s working its way towards consumers' wallets
URL: https://www.consumernews.ai/wholesale-inflation-hit-a-4-year/
Last updated: 2026-06-19T19:15:18.000Z
If Wednesday’s 4.2 percent consumer-price report was a shock, Thursday’s producer-price reading was a higher-voltage one. The PPI for final demand rose 1.1 percent in May, far above the 0.7 percent that economists polled by Dow Jones had expected, [CNBC reported](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai).
The annual reading hit 6.5 percent, the highest since 2022\. Core PPI excluding food, energy and trade services rose 0.8 percent for the month — the largest one-month increase since March 2022 — and 5.1 percent annually, the highest since October 2022, [CNBC reported](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai).
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Goods carried the load. Final demand goods rose 2.8 percent, the largest one-month increase since the data series began in December 2009\. Energy prices within the goods category jumped 10.7 percent, and wholesale gasoline alone jumped 23.4 percent, [CNBC reported](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai). Energy was responsible for about 80 percent of the goods increase, and goods were responsible for about 80 percent of the headline PPI gain. In the services sector, portfolio management fees jumped 4.8 percent.
The implications for consumers are about lag, not direction. The PPI reading captures prices charged by U.S. producers; those costs flow into retail shelves over the next several months. With both CPI and PPI now running well above the Fed’s 2 percent target, “the current inflation environment is expected to keep the \[Federal\] Reserve on the sidelines for the near term,” CNBC noted, [in its PPI summary](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai).
Trump on Thursday said the data showed his policies were working, [The New York Times reported](https://www.nytimes.com/live/2026/06/10/business/inflation-report-cpi?ref=consumernews.ai); the White House dismissed the inflation print as temporary for the third consecutive month, [according to the Times](https://www.nytimes.com/live/2026/06/10/business/inflation-report-cpi?ref=consumernews.ai).
### Jobless claims hit a 4-month high
The Labor Department said Thursday that initial claims for unemployment benefits rose to 229,000 in the week ended June 6, an increase of 4,000 from the prior week and the highest level since early February, [the Associated Press reported](https://apnews.com/article/unemployment-benefits-jobless-claims-layoffs-labor-a529f2c33e5048e79ffca8a07247a192?ref=consumernews.ai).
Analysts polled by FactSet had projected 216,000\. The four-week moving average rose 4,250, also to 229,000\. Continuing claims, which lag a week, rose 24,000 to 1.9 million for the week ended May 30\. The claims figure is historically low but no longer reassuring at the margin, and that combination — a softening labor market with sticky inflation — is the textbook stagflation problem.
The bond market’s response has been to bet on the Fed being unwilling to bail out either side. CME Group’s FedWatch tool now shows traders pricing a 60 percent probability of at least one quarter-point rate hike by December, [CNBC reported](https://www.cnbc.com/2026/06/12/gold-set-for-weekly-loss-as-inflation-rate-hike-fears-persist.html?ref=consumernews.ai), and the FOMC’s June 17 meeting — Kevin Warsh’s first as chair — is widely expected to leave rates unchanged. The European Central Bank raised rates a quarter point Thursday to fight imported Iran-war inflation, [the Associated Press reported](https://apnews.com/article/ecb-european-central-bank-interest-rates-fed-eurozone-2a2c26c580961a979372393706a7f93c?ref=consumernews.ai). The Bank of Japan is set to raise rates to a 31-year high next week, [Reuters reported](https://www.reuters.com/?ref=consumernews.ai), and the Bank of England is widely expected to follow Thursday.
### Effects on households
Households see the consequence on Bankrate’s mortgage screen. The national average 30-year fixed-rate mortgage was 6.55 percent Thursday, with the 15-year fixed at 5.92 percent, the 5/1 ARM at 5.69 percent and the 30-year jumbo at 6.69 percent, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-11-2026?ref=consumernews.ai).
Fannie Mae, which began 2026 forecasting that rates would fall below 6 percent by year-end, now expects them to remain above 6 percent through December. The 30-year fixed has been ticking up, not down, in recent weeks despite the relief rally in oil — a sign that the bond market is more focused on the PPI and CPI prints than on whatever ceasefire Trump announces next.
### Trump pulls back from Iran strikes and oil drops below $90 a barrel, but wholesale prices jump 6.5 percent, jobless claims hit a four-month high and the appeals court keeps the 10 percent tariff alive
URL: https://www.consumernews.ai/trump-pulls-back-from-iran-strikes-and-oil-drops-below-90-a-barrel-but-wholesale-prices-jump-6-5-percent-jobless-claims-hit-a-four-month-high-and-the-appeals-court-keeps-the-10-percent-/
Last updated: 2026-06-12T14:51:56.000Z
*By Perplexity*
For the first time in two weeks, the dominant consumer-news story Friday morning was de-escalation rather than escalation. President Trump canceled planned strikes against Iran late Thursday — with U.S. Navy crews about three hours from launch — and announced a framework deal could be reached "in the next few days." Brent crude tumbled to about $88 a barrel and West Texas Intermediate to $85.91, both off more than 2 percent, after a week that briefly pushed WTI back above $92\. Gold slid as well, on track for a 3.2 percent weekly loss. But the same morning, the Bureau of Labor Statistics reported that wholesale prices jumped 1.1 percent in May for a 6.5 percent annual reading — the hottest producer price index in nearly four years — virtually guaranteeing that this week's 4.2 percent consumer inflation print will not be the last hot reading. Initial jobless claims rose to 229,000, the highest since early February. A federal appeals court ruled Thursday evening that the Trump administration may keep collecting its 10 percent global tariff while the underlying legality is litigated, even as the Joint Economic Committee minority estimated tariffs plus the Iran war have cost the average household more than $3,000 since 2025\. And the World Cup officially kicked off Thursday in Mexico City, with North American host cities collectively expecting more than 1.2 million international visitors. The five stories sketch a consumer whose summer just got slightly cheaper at the pump but more expensive almost everywhere else.
**Trump pulls back from a third night of strikes, and oil drops below $90 a barrel**
The headline shift overnight was a stand-down. Two U.S. officials told NBC News that the American military was about three hours away from launching strikes inside Iran when Trump announced via social media that an agreement had been established, [NBC News reported](https://www.nbcnews.com/world/iran/live-blog/live-updates-us-strikes-iran-trump-hormuz-closed-rcna349554?ref=consumernews.ai). The Navy had already received orders for the strike, had altered air-operation routines for the day and had loaded munitions; Kharg Island, the Iranian oil terminal that handles about 90 percent of the country's exports, had been excluded from the target list, the officials said, despite earlier Trump posts threatening to "take Kharg Island," [NBC News reported](https://www.nbcnews.com/world/iran/live-blog/live-updates-us-strikes-iran-trump-hormuz-closed-rcna349554?ref=consumernews.ai). The military, those officials told NBC, was more surprised by the cancellation than by the threats.
Markets moved immediately. Brent crude was down 2.2 percent in early European trading Friday at about $88 a barrel, and WTI was down 2 percent to $85.91, [The Wall Street Journal reported](https://www.wsj.com/finance/commodities-futures/oil-below-90-a-barrel-after-trump-cancels-iran-strikes-9bc33274?ref=consumernews.ai). U.S. crude futures for July delivery slipped another 1.65 percent in early Asian trading to $86.26, [CNBC reported](https://www.cnbc.com/2026/06/12/oil-prices-wti-brent-on-hopes-of-us-iran-deal-despite-tehran-pushback.html?ref=consumernews.ai). Gold was down 0.5 percent and on pace for a 3.2 percent weekly loss, [CNBC reported](https://www.cnbc.com/2026/06/12/gold-set-for-weekly-loss-as-inflation-rate-hike-fears-persist.html?ref=consumernews.ai), as a possible truce eased the safe-haven bid that had powered bullion to record territory through the spring.
Tehran is not yet on board. Iranian state-affiliated outlet Fars said Tehran had not approved any preliminary draft of a memorandum of understanding with Washington, [CNBC reported](https://www.cnbc.com/2026/06/12/oil-prices-wti-brent-on-hopes-of-us-iran-deal-despite-tehran-pushback.html?ref=consumernews.ai). Iran's foreign ministry on Thursday said the U.S. attacks had effectively nullified an earlier ceasefire, [the Associated Press reported](https://apnews.com/article/iran-us-ceasefire-hezbollah-israel-11-june-2026-3c2c6d356a1e25b4d7edf66b2edba57d?ref=consumernews.ai). India said three of its mariners were killed Tuesday when U.S. forces struck the Palau-flagged tanker Settebello in the Gulf of Oman; CENTCOM has now disabled at least nine merchant vessels under its blockade of Iranian ports since April 13, [CBS News reported](https://www.cbsnews.com/news/iran-war-us-oil-tankers-attacked-india-protest-mariners-killed/?ref=consumernews.ai). Asian shipping is adjusting around the Strait of Hormuz. Non-Iranian flows through the strait surged about 50 percent in the first ten days of June, with 1.8 million barrels a day transiting versus 1.2 million in May, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-11/hormuz-oil-sneakouts-rise-50-as-iran-and-us-vie-for-control?ref=consumernews.ai), citing Vortexa data. Frontline chief executive Lars Barstad told CNBC that prewar Hormuz traffic of 130 to 140 vessels a day has fallen to just five to ten today, and that 10 percent of the world's largest tankers — very large crude carriers, each capable of holding 2 million barrels — are currently stuck in the Gulf, fully loaded, [CNBC reported](https://www.cnbc.com/2026/06/11/iran-strait-hormuz-oil-tanker-traffic-frontline.html?ref=consumernews.ai).
The math at the pump still tilts the wrong way. CNBC reported Thursday that the national average price of gasoline was $4.13 a gallon as of the most recent EIA reading, up from $3.12 a year earlier, [CNBC reported](https://www.cnbc.com/2026/06/11/trump-inflation-cpi.html?ref=consumernews.ai), and Iran's crude production dropped 18 percent in May to 2.33 million barrels per day as the U.S. blockade bites, [The Wall Street Journal reported](https://www.wsj.com/business/energy-oil/opec-lowers-this-years-oil-demand-forecast-ac8d3f07?ref=consumernews.ai). Even with Friday's relief rally, gasoline at $4.13 is a 32 percent year-over-year jump.
**Wholesale inflation hit a 4-year high, and that's the next consumer print**
If Wednesday's 4.2 percent consumer-price report was a shock, Thursday's producer-price reading was a louder one. The PPI for final demand rose 1.1 percent in May, far above the 0.7 percent that economists polled by Dow Jones had expected, [CNBC reported](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai). The annual reading hit 6.5 percent, the highest since 2022\. Core PPI excluding food, energy and trade services rose 0.8 percent for the month — the largest one-month increase since March 2022 — and 5.1 percent annually, the highest since October 2022, [CNBC reported](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai).
Goods carried the load. Final demand goods rose 2.8 percent, the largest one-month increase since the data series began in December 2009\. Energy prices within the goods category jumped 10.7 percent, and wholesale gasoline alone jumped 23.4 percent, [CNBC reported](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai). Energy was responsible for about 80 percent of the goods increase, and goods were responsible for about 80 percent of the headline PPI gain. In the services sector, portfolio management fees jumped 4.8 percent.
The implications for consumers are about lag, not direction. The PPI reading captures prices charged by U.S. producers; those costs flow into retail shelves over the next several months. With both CPI and PPI now running well above the Fed's 2 percent target, "the current inflation environment is expected to keep the \[Federal\] Reserve on the sidelines for the near term," CNBC noted, [in its PPI summary](https://www.cnbc.com/2026/06/11/producer-price-index-may-2026-.html?ref=consumernews.ai). Trump on Thursday said the data showed his policies were working, [The New York Times reported](https://www.nytimes.com/live/2026/06/10/business/inflation-report-cpi?ref=consumernews.ai); the White House dismissed the inflation print as temporary for the third consecutive month, [according to the Times](https://www.nytimes.com/live/2026/06/10/business/inflation-report-cpi?ref=consumernews.ai).
**Jobless claims hit a 4-month high, and traders rebuilt rate-hike bets even with strikes paused**
The Labor Department said Thursday that initial claims for unemployment benefits rose to 229,000 in the week ended June 6, an increase of 4,000 from the prior week and the highest level since early February, [the Associated Press reported](https://apnews.com/article/unemployment-benefits-jobless-claims-layoffs-labor-a529f2c33e5048e79ffca8a07247a192?ref=consumernews.ai). Analysts polled by FactSet had projected 216,000\. The four-week moving average rose 4,250, also to 229,000\. Continuing claims, which lag a week, rose 24,000 to 1.9 million for the week ended May 30\. The claims figure is historically low but no longer reassuring at the margin, and that combination — a softening labor market with sticky inflation — is the textbook stagflation problem.
The bond market's response has been to bet on the Fed being unwilling to bail out either side. CME Group's FedWatch tool now shows traders pricing a 60 percent probability of at least one quarter-point rate hike by December, [CNBC reported](https://www.cnbc.com/2026/06/12/gold-set-for-weekly-loss-as-inflation-rate-hike-fears-persist.html?ref=consumernews.ai), and the FOMC's June 17 meeting — Kevin Warsh's first as chair — is widely expected to leave rates unchanged. The European Central Bank raised rates a quarter point Thursday to fight imported Iran-war inflation, [the Associated Press reported](https://apnews.com/article/ecb-european-central-bank-interest-rates-fed-eurozone-2a2c26c580961a979372393706a7f93c?ref=consumernews.ai). The Bank of Japan is set to raise rates to a 31-year high next week, [Reuters reported](https://www.reuters.com/?ref=consumernews.ai), and the Bank of England is widely expected to follow Thursday.
Households see the consequence on Bankrate's mortgage screen. The national average 30-year fixed-rate mortgage was 6.55 percent Thursday, with the 15-year fixed at 5.92 percent, the 5/1 ARM at 5.69 percent and the 30-year jumbo at 6.69 percent, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-11-2026?ref=consumernews.ai). Fannie Mae, which began 2026 forecasting that rates would fall below 6 percent by year-end, now expects them to remain above 6 percent through December. The 30-year fixed has been ticking up, not down, in recent weeks despite the relief rally in oil — a sign that the bond market is more focused on the PPI and CPI prints than on whatever ceasefire Trump announces next.
**Appeals court keeps Trump's 10 percent global tariff alive — and the average household is out more than $3,000**
The U.S. Court of Appeals for the Federal Circuit ruled Thursday that the Trump administration may continue collecting its 10 percent global tariff, [The Wall Street Journal reported](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-06-11-2026/card/appeals-court-allows-trump-to-keep-collecting-10-tariff-QCTZvBM9SfhEpFjyVaod?ref=consumernews.ai) in its livecoverage. In an unsigned opinion, a three-judge panel suggested that the U.S. Court of International Trade may have erred in declaring the tariffs illegal earlier this spring. The ruling did not finally resolve the underlying legal challenge, but it does mean that customs collections on imports from China, the European Union, Canada, Mexico and other major trading partners will continue at the 10 percent floor — and on top of that floor, in many cases, additional sector-specific rates.
The bill is showing up in consumer wallets. The Congressional Joint Economic Committee minority staff has now estimated that tariffs plus the war in Iran have collectively cost the average U.S. household more than $3,000 from 2025 through 2026, [CNBC reported](https://www.cnbc.com/2026/06/11/trump-inflation-cpi.html?ref=consumernews.ai). Cracker Barrel and Casey's both beat earnings estimates in May, but management on those calls warned investors that tariff-induced cost increases would show up on menus and shelves over the summer. Bloomberg reported Thursday that Canada is rolling out a food-security plan aimed at reducing imports — and prices — partly in response to U.S. tariff exposure, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-11/canada-food-security-plan-aims-to-lower-prices-reduce-imports?ref=consumernews.ai). Bloomberg also flagged Thursday that an El Niño weather pattern returning this year could compound global food-price pressure already amplified by tariffs and the war, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-11/el-nino-2026-how-it-could-raise-food-prices-construction-costs-inflation?ref=consumernews.ai).
For now, U.S. shelves are absorbing it. Apparel rose 4.2 percent year-over-year in the last CPI, the most tariff-exposed category in the consumer basket, and shipping costs flowing through PPI's 23.4 percent wholesale gasoline jump will compound that pressure in coming months. The Wall Street Journal noted Thursday that "global trade imbalances threaten the global economy again," [The Wall Street Journal wrote](https://www.wsj.com/economy/global/the-global-economy-is-threatened-again-by-trade-imbalances-b996bc00?ref=consumernews.ai), an unusually direct assessment of where the tariff regime now sits.
**World Cup kicks off in Mexico City, with 1.2 million international visitors and one big asterisk**
The summer's biggest scheduled consumer-spending event began Thursday with Mexico's opening match in Mexico City, [The New York Times reported](https://www.nytimes.com/live/2026/us/fifa-world-cup?ref=consumernews.ai) on its World Cup live page. Tourism Economics now estimates that more than 1.2 million international tourists will visit the United States across the tournament window, including nearly 750,000 who would not have traveled otherwise — about a 1.1-percentage-point rise in international arrivals through July, [The New York Times reported](https://www.nytimes.com/live/2026/us/fifa-world-cup?ref=consumernews.ai).
The local-economy numbers vary city by city. AirDNA data showed short-term rental bookings on group-stage match days up 564 percent year-over-year in Monterrey, 209 percent in Mexico City, 171 percent in Kansas City, 152 percent in Miami, 52 percent in Toronto and 28 percent in San Francisco, [The New York Times reported](https://www.nytimes.com/live/2026/us/fifa-world-cup?ref=consumernews.ai). Boston hotel demand is up about 11 percent year-over-year, and Seattle's projected domestic visitor count has risen 30 percent since 2024\. Tourism executives surveyed by the American Hotel & Lodging Association told CNBC earlier this week that 80 percent of their members say bookings are below initial expectations — partly because of macroeconomic anxiety and partly because of visa and border issues for fans from countries including Iran and Jordan, [CNBC reported](https://www.cnbc.com/2026/06/10/world-cup-travel.html?ref=consumernews.ai). Marriott told CNBC it expects a roughly 40-basis-point lift in revenue per available room from the tournament; Deutsche Bank's hotel-REIT model assumes 50 to 75 basis points, [according to CNBC](https://www.cnbc.com/2026/06/10/world-cup-travel.html?ref=consumernews.ai).
The asterisk is the war. Wizz Air withheld guidance Thursday because of Middle East risk, [The Wall Street Journal reported](https://www.wsj.com/business/earnings/wizz-air-withholds-guidance-due-to-middle-east-conflict-132bd917?ref=consumernews.ai), and Bloomberg reported Thai Airways sees demand softening as Gulf carriers cut fares, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-11/thai-airways-sees-demand-softening-as-gulf-carriers-drop-fares?ref=consumernews.ai). For U.S. travelers, the friction is more mundane: the FAA is reminding consumers this week that lithium-ion power banks above 100 watt-hours require airline approval, that two such batteries are typically the maximum without prior consent and that they must travel in carry-on baggage, [the Associated Press reported](https://apnews.com/article/flight-travel-battery-charger-747fbcfbce26b0271932acc01bcda875?ref=consumernews.ai). Southwest Airlines is now limiting passengers to one charger each.
**The bigger picture**
Friday's news is a study in opposite directions. Oil and gold are down because Trump pulled back from a third night of Iran strikes — the rare good news for U.S. drivers in a month dominated by war prices. But producer prices just printed a four-year high, jobless claims hit a four-month high, the appeals court greenlit the 10 percent global tariff that is showing up on apparel and grocery shelves, and the average household is now out more than $3,000 from tariffs and war combined. Mortgage rates remain above 6.5 percent, with the bond market now pricing a December Fed hike instead of the cut once expected, even as the European Central Bank, the Bank of Japan and the Bank of England all move tighter to combat the same imported inflation. Against that, the World Cup arrived Thursday with 1.2 million international visitors and a tourism boost that is real but uneven and partly hostage to whether Trump's overnight stand-down with Iran holds. The relief at the pump is welcome and may grow. Everything else is moving the other way.
### Trump taps former CFPB deputy Brian Johnson to lead the weakened consumer bureau
URL: https://www.consumernews.ai/trump-taps-former-cfpb-deputy-brian/
Last updated: 2026-07-25T21:50:35.000Z
President Donald Trump has nominated Brian Johnson, a former [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/?ref=consumernews.ai) deputy director who is now a senior compliance executive at Capital One, to be the next director of the agency, the White House announced this week.
Johnson, if confirmed by the Senate to a five-year term, would inherit a bureau that has been largely dormant since Trump returned to office and installed Office of Management and Budget Director Russell Vought as acting director in February 2025.
He is Trump’s third pick for the job. Earlier nominations of Jonathan McKernan and Stuart Levenbach were withdrawn or returned by the Senate, the latter widely described as a procedural maneuver to extend Vought’s acting tenure, according to the [ABA Banking Journal](https://bankingjournal.aba.com/2026/06/trump-nominates-johnson-to-lead-cfpb/?ref=consumernews.ai) and [Brownstein Hyatt Farber Schreck](https://www.bhfs.com/insight/cfpb-continues-deregulatory-push-amid-its-uncertain-future-white-house-sticks-with-vought/?ref=consumernews.ai).
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
### A familiar hand at the bureau
Johnson served at the CFPB from December 2017 to March 2020, including stints as acting deputy and then deputy director under Trump-era director Kathy Kraninger, where he oversaw rulemaking, supervision and enforcement, according to law firm Ballard Spahr’s [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/06/11/trump-nominates-brian-johnson-to-lead-cfpb-a-strong-choice-but-is-there-another-reason-for-the-timing/?ref=consumernews.ai) and [Patomak Global Partners](https://patomak.com/2022/10/03/brian-johnson-joins-patomak-global-partners/?ref=consumernews.ai).
Before joining the bureau, he spent more than five years as chief financial institutions counsel on the House Financial Services Committee. He later was a partner at Alston & Bird, then a managing director at the Washington consultancy Patomak Global Partners, before joining Capital One in November 2024 as vice president and U.S. card compliance officer, according to [Ballard Spahr](https://www.consumerfinancemonitor.com/2026/06/11/trump-nominates-brian-johnson-to-lead-cfpb-a-strong-choice-but-is-there-another-reason-for-the-timing/?ref=consumernews.ai) and prior [congressional testimony](https://docs.house.gov/meetings/BA/BA20/20230309/115384/HHRG-118-BA20-Wstate-JohnsonB-20230309.pdf?ref=consumernews.ai).
### Friends & foes react
Industry groups quickly welcomed the pick. The American Financial Services Association called Johnson’s experience “deep and directly relevant” and urged the Senate to act promptly, according to an [AFSA statement](https://afsaonline.org/2026/06/10/on-brian-johnson-nomination-to-lead-the-cfpb/?ref=consumernews.ai). The Consumer Bankers Association also praised the nomination, [Reuters](https://kfgo.com/2026/06/10/brian-johnson-picked-by-white-house-to-head-consumer-watchdog/?ref=consumernews.ai) reported.
Consumer advocates and Senate Democrats were sharply critical. Sen. Elizabeth Warren, D-Mass., the top Democrat on the Senate Banking Committee and the bureau’s architect, said in a statement that Johnson is being lined up to continue dismantling the agency once Vought’s clock runs out.
> “Starting in August, Russ Vought can no longer legally serve as Donald Trump’s hatchet man at the CFPB,” Warren said. “So here comes the next hatchet man to try to finish the job and gut an agency that has returned more than $21 billion to cheated consumers,” according to [The Epoch Times](https://www.theepochtimes.com/us/trump-nominates-former-consumer-protection-official-brian-johnson-to-lead-bureau-6046457?ref=consumernews.ai).
Johnson himself has taken a less absolutist line than Vought, who has publicly called for the bureau’s elimination. In 2023 testimony to the House Financial Services Committee, Johnson called the CFPB “ripe for reform” but said that “properly structured and managed, \[the CFPB\] is capable of great good,” according to his [prepared remarks](https://docs.house.gov/meetings/BA/BA20/20230309/115384/HHRG-118-BA20-Wstate-JohnsonB-20230309.pdf?ref=consumernews.ai) and [The Epoch Times](https://www.theepochtimes.com/us/trump-nominates-former-consumer-protection-official-brian-johnson-to-lead-bureau-6046457?ref=consumernews.ai).
### The timing question
The nomination’s timing has drawn attention from legal observers because Vought’s authority to lead the bureau on an acting basis is set to expire on or around Aug. 1, 2026, under the Federal Vacancies Reform Act, according to [Sheppard Mullin](https://www.sheppard.com/insights/blogs/cfpb-positions-mark-paoletta-to-succeed-russel-vought?ref=consumernews.ai) and [Brownstein](https://www.bhfs.com/insight/cfpb-continues-deregulatory-push-amid-its-uncertain-future-white-house-sticks-with-vought/?ref=consumernews.ai).
Earlier nominations had reset that clock. But after the Senate returned Levenbach’s nomination on Jan. 3, 2026, many observers concluded the 210-day FVRA window had run out, meaning Johnson’s nomination will not extend Vought’s tenure, [Ballard Spahr attorneys Alan Kaplinsky and Adam Maarec wrote](https://www.consumerfinancemonitor.com/2026/06/11/trump-nominates-brian-johnson-to-lead-cfpb-a-strong-choice-but-is-there-another-reason-for-the-timing/?ref=consumernews.ai).
Instead, the move appears designed to position Mark Paoletta — the CFPB’s chief legal officer, who was named deputy director in early June — to step into the acting director’s chair when Vought’s authority lapses, the [Ballard Spahr lawyers wrote](https://www.consumerfinancemonitor.com/2026/06/11/trump-nominates-brian-johnson-to-lead-cfpb-a-strong-choice-but-is-there-another-reason-for-the-timing/?ref=consumernews.ai).
The Consumer Financial Protection Act separately provides that the deputy director serves as acting director when the director is absent, and a pending Senate nomination would allow Paoletta to remain in that role indefinitely while the chamber considers Johnson, according to [Sheppard Mullin](https://www.sheppard.com/insights/blogs/cfpb-positions-mark-paoletta-to-succeed-russel-vought?ref=consumernews.ai) and the [National Independent Automobile Dealers Association](https://niada.com/dashboard/cfpb-chief-legal-officer-mark-paoletta-named-deputy-director/?ref=consumernews.ai).
“If the goal were simply to keep Vought in office, the nomination would not seem to accomplish that objective,” Kaplinsky and Maarec wrote. “If, however, the goal is to ensure that a Senate-confirmed Director is eventually installed while maintaining a leadership structure aligned with the Administration’s policy objectives, the nomination makes considerably more sense.”
Paoletta, a longtime Trump ally who serves concurrently as OMB general counsel, has helped drive the bureau’s restructuring, including proposed staff cuts and a sharp pullback in enforcement, the [NIADA reported](https://niada.com/dashboard/cfpb-chief-legal-officer-mark-paoletta-named-deputy-director/?ref=consumernews.ai).
The Ballard Spahr authors said they nonetheless believe Johnson is a serious candidate. “Knowing Johnson as we do, we very much doubt that he would allow himself to be used in that fashion,” they [wrote](https://www.consumerfinancemonitor.com/2026/06/11/trump-nominates-brian-johnson-to-lead-cfpb-a-strong-choice-but-is-there-another-reason-for-the-timing/?ref=consumernews.ai).
### What’s next
The Senate Banking Committee has not yet set a hearing date. If the chamber takes no action and returns the nomination at the end of the current session in early January 2027, it is unclear whether Paoletta’s authority would lapse, whether a new 210-day acting window would open, or whether he could continue indefinitely under the CFPA’s succession provision — questions the Ballard Spahr attorneys said have “surprisingly little judicial guidance.”
The CFPB, created by the 2010 Dodd-Frank Act in the wake of the financial crisis, oversees banks, credit-card issuers, mortgage lenders, debt collectors and other consumer-finance companies. Its director serves a five-year term.
### National Recall Roundup - June 11
URL: https://www.consumernews.ai/national-recall-roundup-june-11/
Last updated: 2026-06-19T19:15:19.000Z
#
## NHTSA — Major New Vehicle Recalls
### Honda recalls more than 1 million vehicles over tire repair kit injury hazard
Honda Accord Hybrid, Honda CR-V Hybrid, and certain other Honda models are being recalled because a defective tire sealant bottle in the emergency tire repair kit can build excessive pressure, causing the cap to detach and become a projectile. Honda has received dozens of warranty claims and multiple injury reports. More than 1.04 million vehicles are affected. ([Reuters](https://www.reuters.com/legal/litigation/honda-recalls-over-1-million-us-vehicles-due-defective-tyre-kit-nhtsa-says-2026-06-11/?utm%5Fsource=chatgpt.com))
### Jeep recalls more than 1 million vehicles over fire risk
Jeep Wrangler and Jeep Gladiator are being recalled because wiring connected to the electric-hydraulic power steering pump can overheat and ignite, even when the vehicle is parked and turned off. Owners are being advised to park outside and away from structures until repairs are completed. Approximately 1,076,999 vehicles are affected. ([NHTSA](https://www.nhtsa.gov/press-releases/urgent-park-outside-warning-issued-1-million-jeeps?utm%5Fsource=chatgpt.com))
### Honda recalls 880,000 SUVs and pickups over suspension failure risk
Honda Pilot, Honda Passport, Honda Ridgeline, and Acura MDX are being recalled because corrosion of rear suspension components can lead to reduced vehicle control and increased crash risk. Approximately 880,514 vehicles are covered by the recall. ([Reuters](https://www.reuters.com/legal/litigation/honda-america-recalls-more-than-880000-vehicles-over-rear-suspension-components-2026-06-10/?utm%5Fsource=chatgpt.com))
## CPSC — Significant Consumer Product Hazards
### Walmart recalls 165,000 dressers over child tip-over hazard
Mainstays 9-Drawer Fabric Dressers were recalled because they can tip over if not anchored to a wall, posing serious injury, entrapment, and death risks to children. The products fail federal stability requirements under the STURDY Act. About 165,000 units are affected. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Walmart-Recalls-Mainstays-9-Drawer-Fabric-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violates-Mandatory-Standard-for-Clothing-Storage-Units?utm%5Fsource=chatgpt.com))
### Baby bottles recalled due to choking hazard
Boon NURSH 8 oz Reusable Baby Bottles were recalled because the hard plastic outer shell can bubble or peel, creating loose plastic fragments that pose a choking hazard to young children. About 40,000 bottles are affected. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Sauna blankets recalled over fire and burn hazards
SLF Sauna Blankets can overheat during use, creating fire and burn hazards. Approximately 3,600 units were recalled following multiple overheating reports. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Tzumi-Electronics-Recalls-SLF-Sauna-Blankets-Due-to-Fire-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
## FDA
No major new nationwide FDA food, drug, or medical-device recalls were identified as significant national consumer alerts during this review period.
## USDA FSIS
No major new nationwide USDA FSIS meat or poultry recalls were identified during this review period.
## Highest-Priority Hazards
1. Fire risk in more than 1 million Jeep Wranglers and Gladiators.
2. Projectile injury risk from defective Honda tire-repair kits affecting more than 1 million vehicles.
3. Suspension failures in nearly 900,000 Honda and Acura vehicles.
4. Child tip-over and entrapment hazards involving recalled dressers.
5. Fire and burn hazards involving sauna blankets.
6. Choking hazards involving baby bottles.
**Most urgent consumer alert:** The Jeep Wrangler and Gladiator recall, because affected vehicles can potentially catch fire even while parked and turned off. ([NHTSA](https://www.nhtsa.gov/press-releases/urgent-park-outside-warning-issued-1-million-jeeps?utm%5Fsource=chatgpt.com))
### Inflation hit a three-year high in May, and energy did almost all of it
URL: https://www.consumernews.ai/inflation-hit-a-three-year-high-in/
Last updated: 2026-06-19T19:15:19.000Z
The Labor Department reported Wednesday morning that the Consumer Price Index rose 0.5 percent in May and 4.2 percent over the past year, up from 3.8 percent in April and the hottest annual figure since April 2023.
Energy did almost all the work. Energy prices rose 3.9 percent on the month and 23.5 percent over the past year, [CNBC reported](https://www.cnbc.com/2026/06/10/cpi-inflation-report-may-2026.html?ref=consumernews.ai), and the Labor Department said energy accounted for more than 60 percent of the monthly CPI increase.
Gasoline alone jumped 40.5 percent from a year earlier. Airline fares climbed 2.7 percent on the month as carriers passed energy costs through. Shelter rose a more modest 0.3 percent and is up 3.4 percent annually.
Used cars ticked up 0.1 percent, new vehicles fell 0.3 percent, and motor-vehicle insurance dropped 1.7 percent — a rare bright spot in a report dominated by what gets pumped into a tank.
### Eating gets expensive
Groceries kept squeezing households. Food at home rose 2.7 percent from a year earlier and overall food prices ticked up 0.2 percent on the month, [CNBC reported](https://www.cnbc.com/2026/06/10/cpi-inflation-report-may-2026.html?ref=consumernews.ai).
“Inflation is painfully high,” Mark Zandi, chief economist at Moody’s, told CNBC; he said the rate is likely near a peak but will not return to anything that feels reassuring to consumers for roughly a year.
Heather Long, chief economist at Navy Federal Credit Union, told CNBC that gasoline, groceries, electricity and health care are all running above 3 percent annually — the categories Americans encounter every week.
The market reaction was unambiguous. The Dow Jones Industrial Average closed down 953 points, a 1.9 percent loss, [The Wall Street Journal reported](https://www.wsj.com/livecoverage/stock-market-cpi-inflation-06-10-2026?ref=consumernews.ai); the Nasdaq composite fell 2 percent and the S&P 500 lost about 1.6 percent, with industrial stocks the hardest hit and eight of 11 S&P sectors lower on the day.
President Trump greeted the print with a Truth Social post saying “I love the inflation,” tying his remark to plans for new tariffs. The Wall Street Journal’s analysis of paycheck math was less rosy: “Wage Gains Wiped Out by Gas Prices,” its CPI live blog summarized.
### **Oil climbs back above $92**
Wednesday’s market drop happened against a louder geopolitical backdrop. U.S. forces launched a second day of strikes against Iran, and Tehran “fires back and says” it will not relent, [NBC News reported](https://www.nbcnews.com/world/iran/live-blog/live-updates-us-strikes-iran-trump-hormuz-closed-rcna349554?ref=consumernews.ai) in a live blog. President Trump “pledges Tehran will ‘pay the price’ for not accepting deal,” [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-trump-us-strikes-apache/?ref=consumernews.ai) on its live updates page, after Iran shot down an Army Apache helicopter near the Strait of Hormuz Monday.
Energy markets did not need to be told twice. WTI crude futures climbed 2.9 percent in early Asian trading Thursday to roughly $92 a barrel as supply-disruption fears returned. Rystad Energy warned that “if hostilities resume in earnest” prices could “move towards $150 per barrel,” [The Wall Street Journal reported](https://www.wsj.com/finance/commodities-futures/oil-rises-amid-escalating-supply-disruption-fears-46560652?ref=consumernews.ai).
At the pump, the squeeze is already on. The Energy Information Administration’s June 1 reading had retail gasoline at $4.31 a gallon, up 38 percent from $3.13 a year earlier and from $4.12 on April 27\. Prices have eased slightly to about $4.15-$4.16 in AAA and EIA data since, [the Associated Press reported](https://apnews.com/article/consumer-prices-inflation-war-gas-878f6759c93fcb078aeefffe19d4dfa5?ref=consumernews.ai), and a gallon has now been above $4 every day since March.
“The Middle East situation is still unresolved,” Bjornar Tonhaugen of Rystad told CNBC, warning that if the strait stays closed, oil could escalate to $140 a barrel or more by October or November. Zandi added that even if the conflict de-escalates, oil and gasoline prices are likely to remain above pre-war levels because traders will price in future Hormuz risk indefinitely.
The New York Times’ interactive gas-price map, updated this week, showed the West Coast and Northeast bearing the brunt of the increase.
### Meta quietly removes facial recognition code after backlash over smart glasses app
URL: https://www.consumernews.ai/meta-quietly-removes-facial-recognition/
Last updated: 2026-07-05T22:05:32.000Z
Meta has quietly removed facial-recognition technology from software associated with its AI-powered [smart glasses](https://www.theoutragedconsumer.com/p/ai-smart-glasses-may-see-and-hear?utm%5Fsource=publication-search) just days after reports revealed the company had embedded code capable of identifying strangers in public.
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The apparent reversal follows a r[eport by WIRED](https://www.eff.org/deeplinks/2026/06/victory-meta-strips-facial-recognition-code-smart-glasses-app-after-public-outcry?ref=consumernews.ai) and analysis by privacy advocates who discovered facial-recognition systems hidden within the Meta AI companion app used with the company’s smart glasses. Researchers said the software contained components designed to convert photographs of faces into unique biometric signatures that could potentially identify individuals encountered by users in public spaces.
According to [researchers](https://www.eff.org/deeplinks/2026/06/victory-meta-strips-facial-recognition-code-smart-glasses-app-after-public-outcry?ref=consumernews.ai) at the Electronic Frontier Foundation (EFF), a June 5 update to the app appears to have removed the facial-recognition functionality. EFF’s Threat Lab said a review of the updated software found that the code responsible for triggering “Person recognized” alerts had disappeared, along with machine-learning models and databases allegedly intended to detect, digitize, and store facial biometric data.
[Meta glasses viewed skeptically over privacy & other concernsMeta wants smart-glasses buyers to pay monthly for a feature their glasses already runMeta is putting monthly usage limits on Conversation Focus, a smart-glasses feature that helps users hear nearby speech more clearly in noisy placesConsumerNews.aiJames R. HoodMeta quietly removes facial recognition code after backlash over smartConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/)
### Public scrutiny credited
Privacy advocates described the rapid removal as evidence that public scrutiny forced Meta to retreat from plans that could have dramatically expanded facial-recognition technology into everyday consumer products.
“The company’s actions speak louder than its public statements,” EFF researchers wrote in an [analysis](https://www.eff.org/deeplinks/2026/06/victory-meta-strips-facial-recognition-code-smart-glasses-app-after-public-outcry?ref=consumernews.ai) of the update. “Less than 48 hours after the public learned about the system, Meta removed nearly all traces of it from the application.”
The controversy centers on the growing capabilities of smart glasses, which combine cameras, artificial intelligence, voice assistants, and internet connectivity. Consumer advocates have long warned that adding facial recognition to wearable devices could create a network of users capable of identifying strangers without their knowledge or consent.
Meta has previously explored facial-recognition technology. The company shut down its facial-recognition system on Facebook in 2021 amid mounting legal, regulatory, and public pressure. That system had been used to identify people appearing in photos and videos uploaded to the social network.
### Legal exposure over the issue
The company has faced significant legal exposure over biometric privacy issues. In 2021, Meta agreed to pay $650 million to settle a class-action lawsuit alleging its facial-recognition practices violated Illinois’ [Biometric Information Privacy Act](https://www.ilga.gov/Legislation/ILCS/Articles?ActID=3004&ChapterID=57&ref=consumernews.ai), one of the nation’s strongest biometric privacy laws.
Privacy groups say the latest episode demonstrates why voluntary corporate commitments are insufficient to protect consumers.
“While Meta appears to have backed away from this feature for now, there is no guarantee it won’t return in another form,” privacy advocates warned. Researchers noted that Meta has not publicly explained whether it plans to revive the technology in future products or what happened to any data that may have been collected during internal testing.
The incident comes amid increasing concern about the spread of facial-recognition systems across both public and private sectors. Consumer groups argue that biometric information is uniquely sensitive because, unlike passwords, faces, fingerprints, and other biological identifiers cannot easily be changed if compromised.
Advocates are renewing calls for comprehensive federal privacy legislation that would limit the collection and use of biometric data, require informed consumer consent, and give individuals the right to sue companies that misuse their personal information.
###
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### Why this matters
The controversy highlights a growing clash between rapidly advancing AI-powered consumer devices and privacy protections. As smart glasses and wearable AI products become more sophisticated, consumer advocates warn that facial recognition could transform ordinary citizens into a decentralized surveillance network unless clear legal safeguards are established.
For now, privacy groups consider Meta’s apparent retreat a victory. But they caution that the broader battle over facial recognition and biometric privacy is far from over.
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### National Recall Roundup
URL: https://www.consumernews.ai/national-recall-roundup-be1/
Last updated: 2026-06-19T19:15:20.000Z
## NHTSA — Significant New Vehicle Recalls
### Honda recalls more than 880,000 vehicles over suspension failure risk
Honda Pilot, Honda Passport, Honda Ridgeline, and Acura MDX are being recalled because rear suspension components can fail, potentially causing a loss of vehicle handling and control and increasing crash risk. The recall covers approximately 880,514 vehicles. Dealers will inspect affected vehicles and install reinforcement kits or replace components as needed at no cost. ([Reuters](https://www.reuters.com/legal/litigation/honda-america-recalls-more-than-880000-vehicles-over-rear-suspension-components-2026-06-10/?utm%5Fsource=chatgpt.com))
### Jeep recalls more than 1 million vehicles over fire hazard
Jeep Wrangler and Jeep Gladiator are being recalled because wiring associated with the electric-hydraulic power-steering pump can overheat and ignite, even when the vehicle is parked and turned off. More than 1.07 million vehicles are affected. Owners are being advised to park outside and away from structures until repairs are completed. The recall follows dozens of reported fires and at least one injury. ([Midland Daily News](https://www.ourmidland.com/news/article/jeep-wrangler-gladiator-recall-fire-22299255.php?utm%5Fsource=chatgpt.com))
### Kia recalls 6,264 Telluride SUVs over seat-belt defect
Kia Telluride and Telluride Hybrid models are being recalled because a defect in the driver’s seat-belt emergency-locking retractor may prevent the belt from functioning properly in a crash, increasing injury risk. Dealers will replace the seat-belt assembly. ([New York Post](https://nypost.com/2026/06/09/business/kia-recalls-6k-vehicles-over-possible-seat-belt-defect-that-risks-injury/?utm%5Fsource=chatgpt.com))
## Continuing Major NHTSA Recalls
### Ford recalls nearly 420,000 SUVs over seat-belt malfunction
Ford Expedition and Lincoln Navigator are being recalled because front seat-belt retractors can unexpectedly lock, preventing proper extension or retraction. The defect can reduce occupant protection in a crash. About 419,967 vehicles are affected. ([Houston Chronicle](https://www.houstonchronicle.com/news/houston-texas/trending/article/ford-recall-seatbelt-22290856.php?utm%5Fsource=chatgpt.com))
### Ford issues “Do Not Drive” warning
Certain Ford Bronco Sport and Ford Maverick vehicles may have improperly installed front lower control-arm ball joints that could detach and cause loss of steering control. Approximately 4,653 vehicles are involved. ([CT Insider](https://www.ctinsider.com/connecticut/article/ford-seat-belt-recall-expedition-navigator-22290810.php?utm%5Fsource=chatgpt.com))
## CPSC — Major Consumer Product Hazards
### Walmart recalls 165,000 dressers over child tip-over hazard
Mainstays 9-Drawer Fabric Dressers sold by Walmart were recalled because they can tip over if not anchored to a wall, creating serious injury, entrapment, and death risks for children. The units fail federal stability requirements. ([New York Post](https://nypost.com/2026/06/03/lifestyle/walmart-recalls-165k-childrens-dressers-over-serious-injury-or-death-risk/?utm%5Fsource=chatgpt.com))
### Baby bottles recalled over choking hazard
Boon NURSH 8 oz Reusable Baby Bottles were recalled because the hard plastic shell can peel or bubble, creating loose pieces that pose a choking hazard to children. Approximately 40,000 bottles are affected. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Sauna blankets recalled over fire and burn hazards
SLF Sauna Blankets can overheat, creating fire and burn hazards. About 3,600 units were recalled after multiple overheating reports. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Tzumi-Electronics-Recalls-SLF-Sauna-Blankets-Due-to-Fire-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
### Lounge chairs recalled after finger amputation injury
Giantex Outdoor Lounge Chairs were recalled because users can place fingers into a pinch point while adjusting the chair, creating an amputation hazard. The recall followed a reported finger amputation. ([LiveNOW](https://www.livenowfox.com/news/finger-amputation-recall-lounge-chairs?utm%5Fsource=chatgpt.com))
## FDA
No major new nationwide FDA food, drug, or medical-device recalls were identified as significant national consumer alerts during this review period.
## USDA FSIS
No major new nationwide USDA FSIS meat or poultry recalls were identified during this review period.
## Highest-Priority Hazards
1. Vehicle fire risk affecting more than 1 million Jeep Wranglers and Gladiators.
2. Suspension failures affecting more than 880,000 Honda and Acura vehicles.
3. Seat-belt defects affecting Ford, Lincoln, and Kia vehicles.
4. Potential loss of steering control in certain Ford Bronco Sport and Maverick vehicles.
5. Child tip-over hazards involving recalled dressers.
6. Fire and burn hazards involving sauna blankets.
7. Choking hazards involving baby bottles.
8. Finger-amputation hazards involving adjustable lounge chairs.
**Largest newly identified recall:** Jeep’s recall of more than 1.07 million Wranglers and Gladiators due to a fire risk that can occur even when the vehicles are parked. ([Midland Daily News](https://www.ourmidland.com/news/article/jeep-wrangler-gladiator-recall-fire-22299255.php?utm%5Fsource=chatgpt.com))
### Nearly 1 in 5 young Americans turning to AI chatbots for mental health help, study finds
URL: https://www.consumernews.ai/nearly-1-in-5-young-americans-turning/
Last updated: 2026-06-19T19:15:20.000Z
Nearly one in five U.S. adolescents and young adults have turned to artificial intelligence chatbots such as ChatGPT, Gemini, [Character.AI](http://character.ai/?ref=consumernews.ai) or Meta AI for help when they were feeling sad, angry, nervous or stressed, according to a new [RAND-led study](https://www.rand.org/news/press/2026/06/nearly-1-in-5-us-adolescents-and-young-adults-use-ai.html?ref=consumernews.ai) that researchers said should prompt urgent conversations among parents, clinicians and regulators.
The nationally representative survey, published June 1 in [JAMA Pediatrics](https://jamanetwork.com/journals/jamapediatrics/fullarticle/2849307?ref=consumernews.ai), found that 19.2% of Americans ages 12 to 21 — an estimated 8.2 million young people — have used generative AI tools for mental health advice. That is up from 13.1% in a [comparable RAND survey](https://sph.brown.edu/news/2025-11-18/teens-ai-chatbots?ref=consumernews.ai) conducted a year earlier, an increase of more than 40% in roughly 12 months.
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The share of young people relying on chatbots for emotional support is now roughly equal to the share who report receiving counseling from a mental health professional, the researchers said.
Most are doing it in secret. Sixty-three percent of young chatbot users said they had not told anyone — a parent, doctor or friend — that they were seeking mental health advice from AI, and nearly 43% said they consulted a chatbot at least once a month, the study found.
“The speed of growth is attention-grabbing, but so is the fact that most young people who use these tools for mental health advice say they are not telling anyone,” [said lead author Ryan McBain](https://www.medicinenet.com/young%5Fpeople%5Fturn%5Fai%5Fchatbots%5Fmental%5Fhealth%5Fadvice/news.htm?ref=consumernews.ai), a senior policy researcher at RAND.
McBain called the figures “a sad number, because you’d hope that young people would have the sorts of supportive relationships that they would feel comfortable and empowered reaching out to those around them”
### What the study measured
Researchers at RAND surveyed 1,009 adolescents and young adults ages 12 to 21 in November 2025 through RAND’s American Life Panel. The survey did not distinguish between chatbots designed specifically for therapy and general-purpose tools used for emotional support, and it carried a completion rate of 58.4%, which the authors said means findings “contain uncertainty and may be subject to nonresponse bias.”
Use was more common among females than males and more common among 18- to 21-year-olds than among 12- to 14-year-olds. Respondents who had recently discussed mental health with a physician were also more likely to report using AI chatbots for the same purpose.
Ninety-two percent of users said the AI advice they received was somewhat or very helpful — but the researchers cautioned that the rating may reflect chatbots’ well-documented tendency to validate and flatter users rather than the actual clinical quality of the guidance.
A separate RAND, Brown University and Harvard analysis published in [JAMA Network Open](https://pmc.ncbi.nlm.nih.gov/articles/PMC12595529/?ref=consumernews.ai)) in November 2025 had pegged the figure at 13.1%, with rates climbing to 22.2% among 18- to 21-year-olds — suggesting the trend has accelerated as AI tools became more deeply embedded in young people’s daily lives.
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### A ‘pseudo-relationship’ for vulnerable users
The findings land amid mounting concern from physicians and psychologists that commercial chatbots are not safe substitutes for licensed care. The American Medical Association cited the JAMA Pediatrics study in calling on Congress to act on AI mental health tools used by minors.
The American Psychological Association ([APA](https://www.apa.org/topics/artificial-intelligence-machine-learning/health-advisory-ai-adolescent-well-being?ref=consumernews.ai)) has issued a health advisory warning that generative AI chatbots and wellness apps should not be relied on to deliver psychotherapy, urging developers to prevent unhealthy dependencies and to create specific safeguards for children, teenagers and other vulnerable users.
Researchers convened by the National Academy of Medicine have warned that AI chatbots may be uniquely capable of causing harm because they “simulate an actual relationship and its associated emotions” rather than simply serving up information.
Adolescents are especially susceptible to that “pseudo-relationship” because their brains are still developing, the panelists said, and chatbots’ tendency toward unconditional affirmation can be “addictive” and crowd out the difficult conversations and critical thinking young people need to develop, according to the [National Academy of Medicine](https://nam.edu/news-and-insights/ai-chatbots-for-mental-health-what-works-what-harms-and-whats-next/?ref=consumernews.ai).
The same panel documented instances in which chatbots represented themselves as licensed nurses or therapists, shared information about lethal means of suicide, simulated sexual content with minors and coached young people on how to hide mental health symptoms from adults.
A 2025 [Stanford University study](http://Stanford HAI) similarly found that leading therapy-style chatbots exhibited stigmatizing responses toward conditions such as alcohol dependence and schizophrenia, and in some test scenarios enabled rather than challenged dangerous user behavior.
Multiple lawsuits have alleged that chatbot interactions contributed to the suicides of minors, and Illinois last year became one of the first states to bar AI from making independent decisions in therapy.
### Calls for guardrails
McBain said the new findings underscore the case for tighter regulation, including requirements that developers track performance, report serious incidents and continuously evaluate how their tools affect users in high-risk situations.
[National Academy of Medicine](https://nam.edu/news-and-insights/ai-chatbots-for-mental-health-what-works-what-harms-and-whats-next/?ref=consumernews.ai) panelists recommended that developers limit how long minors can converse with a single chatbot, reset chatbot memory daily to prevent harmful ideas from compounding, bar chatbots from representing themselves as licensed professionals, route any signal of distress immediately to crisis services, prohibit the sharing of lethal-means content under any circumstances and ban the use of minors’ data for monetization or personalization.
### Maybe a real chat, not a chatbot?
For now, the researchers said, the most important intervention may be the simplest: a conversation.
“Many young people appear to be using AI chatbots for mental health advice privately, without the knowledge of parents, clinicians or other adults,” said co-author Jonathan Cantor, also a senior policy researcher at RAND. “That makes it especially important for adults to start conversations about how AI tools are being used and the role they should and should not play.”
If you or someone you know is in crisis, call or text 988 to reach the 988 Suicide & Crisis Lifeline.
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### GS Labs settles claims it overcharged patients and failed to deliver COVID-19 test results
URL: https://www.consumernews.ai/gs-labs-settles-claims-it-overcharged/
Last updated: 2026-06-19T19:15:21.000Z
Remember how much fun it was getting those nasal swab COVID tests? Adding to the inconvenience, many patients had trouble getting results and wound up paying much more than they expected. A large swatch of those complaints have just been settled in court.
GS Labs has agreed to a $4.87 million multistate settlement of complaints that it overcharged patients and failed to deliver COVID-19 test results promptly. Patients affected by the settlement should soon be contracted.
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“\[Consumers\] deserve medical testing with integrity, fair pricing, and timely results. Unfortunately, GS Labs exploited the huge demand for testing to make large profits while not fulfilling their obligations to patients,” said Dave Sunday, Attorney General of Pennsylvania, one of the states that brought the complaint against GS.
“This settlement will return money to \[those\] who were relying on this company to provide critical and timely medical information.”
The multistate coalition investigated numerous problems with GS Lab’s nationwide testing practices from 2020 through 2022, including:
- GS Labs intentionally advertised inflated “cash prices” for COVID-19 tests, sometimes as high as $380 per test, or nearly $1,000 for multi-panel tests. These “cash prices” were used to justify overcharging patients with insurance coverage, the states charged. While GS Labs offered a “discount” from these “cash prices” to those actually paying in cash, almost 30,000 patients still paid much more than the market rate for their COVID-19 tests.
- For hundreds of thousands of patients, GS Labs guaranteed test results within 3 days and failed to deliver on that promise, sometimes taking a week or longer to send test results to patients.
- Despite advertising that patients with insurance would have no out-of-pocket costs, the company charged administrative fees as high as $49 per test to about 70,000 patients.
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### Online restitution
Under the terms of the settlement, GS Labs will pay $3.6 million in restitution to patients, including $1.8 million for cash-paying patients that were overcharged for tests, $1.7 million for patients that were charged administrative fees, and $33,692 for cash-paying patients that did not receive test results within 3 days. The settlement creates an online restitution mechanism that will be funded and administered by GS Labs, with oversight by the multistate coalition.
The company will also pay $1.25 million to the multistate group.GS Labs has stated that it no longer offers testing services and is not operational. As part of the settlement, if GS Labs decides to resume testing services, the company must make several changes to its advertising and sales practices.
This settlement was negotiated by the Attorneys General of Kansas, Minnesota, Nebraska, and Washington. Joining them in the settlement, alongside Attorney General Sunday, are the Attorneys General of Alabama, Arizona, Colorado, Illinois, Indiana, Iowa, Massachusetts, Missouri, New Jersey, North Dakota, Ohio, Oregon, and South Dakota.
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### Home sales surge to the year’s fastest pace as mortgage rates climb back above 6.5 percent
URL: https://www.consumernews.ai/home-sales-surge-to-the-years-fastest/
Last updated: 2026-06-19T19:15:21.000Z
Against every macro headwind, the housing market staged a small rebellion in May. Sales of previously occupied U.S. homes rose 3.2 percent from April to a seasonally adjusted annual rate of 4.17 million units, the fastest pace since December and a 3.2 percent gain from May of last year, [the Associated Press reported](https://apnews.com/article/home-sales-mortgages-inflation-interest-rates-9506d4ce03c10220785326c7d592875b?ref=consumernews.ai).
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[The Wall Street Journal](https://www.wsj.com/economy/housing/may-home-sales-notched-their-biggest-rise-this-year-bd192cf1?ref=consumernews.ai) called it “the biggest rise this year.” The median sales price ticked up 1.3 percent from a year earlier to $429,300.
The rebound came in the teeth of rising rates. The national average 30-year fixed mortgage stood at 6.57 percent Tuesday, up 3 basis points from Monday and 3 basis points from a week earlier, with the 15-year fixed at 5.94 percent and the 5/1 ARM at 5.81 percent, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-9-2026?ref=consumernews.ai). The 30-year jumbo rate jumped 8 basis points in a single day to 6.74 percent.
Refinance rates were higher still, with the 30-year refi at 6.72 percent. Freddie Mac data show the 30-year fixed briefly dipped below 6 percent in late February before climbing back to roughly 6.5 percent by early April, [CBS News reported](https://www.cbsnews.com/news/what-will-happen-home-prices-mortgage-rates-stay-high-experts/?ref=consumernews.ai), and has hovered there since.
### No slippage expected
Fannie Mae, which had forecast earlier this year that rates would slip back below 6 percent by year-end, now expects them to remain above 6 percent for the remainder of 2026, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-9-2026?ref=consumernews.ai). With a CPI print likely to spook the rate market further and the Fed widely expected to hold its benchmark steady at its meeting later this month, the path back to a 5-handle on 30-year rates has gotten longer, not shorter.
Bloomberg has scheduled a Thursday live event titled “What Could Jumpstart the US Housing Market?” — a question many buyers and sellers are asking. The Tuesday data answered some of it: pent-up demand from a slump that began in 2022 is now strong enough to absorb six-and-a-half-percent mortgages.
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### Stellantis recalls 1.3 million Jeeps over a fire risk that 72 owners have already experienced
URL: https://www.consumernews.ai/stellantis-recalls-13-million-jeeps/
Last updated: 2026-06-19T19:15:22.000Z
The biggest consumer-safety story of the day arrived Tuesday with a single instruction: park outside.
Stellantis is recalling more than 1.3 million Jeep Wrangler SUVs and Jeep Gladiator trucks globally, including more than 1 million in the United States, over a defect in the electric-hydraulic power steering pump wiring that can overheat and ignite, [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai).
The recall covers model years 2021 through 2025, and the danger persists even when the vehicle is parked with the ignition off, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-09/stellantis-recalls-over-1-million-jeep-vehicles-due-to-fire-risk?ref=consumernews.ai).
Stellantis told the National Highway Traffic Safety Administration it has identified at least 72 fires potentially associated with the issue, along with one injury. The company said a “faulty electrical connection may cause the connection to melt, ultimately increasing the risk of a fire,” [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai), citing the recall filing. Owners are told to park outdoors and away from buildings and other vehicles until repairs are made, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-09/stellantis-recalls-over-1-million-jeep-vehicles-due-to-fire-risk?ref=consumernews.ai).
### Not the first time
The recall extends a regulatory file that NHTSA opened in September 2024 over engine fires in roughly 800,000 Wranglers and Gladiators from the 2021-2023 model years, [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai). The current campaign also reaches into Canada, Mexico (about 23,000 vehicles) and other international markets (about 125,000), [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai).
The remedy — inspections and, where needed, replacement of the wiring harness or the entire electric-hydraulic power steering pump — is not expected to be available until July at the earliest, [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai). For owners with no driveway or detached garage, that is six weeks of careful parking and crossed fingers.
The Stellantis campaign comes on top of last week’s Ford recall of 1.74 million U.S. vehicles for a rearview-camera defect that can prevent images from displaying, [Reuters reported](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai), and a separate Volvo recall of more than 40,000 EX30 electric SUVs over battery-pack overheating risks, [also according to Reuters](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai). Together, the three campaigns put roughly 3 million additional vehicles into the U.S. recall pipeline in less than a week, the busiest stretch of safety actions so far this year.
### U.S. retaliates against Iran on CPI eve as Stellantis recall balloons to 1.3 million Jeeps, Social Security insolvency moves up to 2032, and home sales unexpectedly surge
URL: https://www.consumernews.ai/u-s-retaliates-against-iran-on-cpi-eve-as-stellantis-recall-balloons-to-1-3-million-jeeps-social-security-insolvency-moves-up-to-2032-and-home-sales-unexpectedly-surge/
Last updated: 2026-06-10T13:37:08.000Z
By Perplexity
American consumers woke Wednesday to a sharper version of the same five-front squeeze that has defined this spring. Overnight, U.S. Central Command launched retaliatory strikes on Iran after Monday's downing of an Army Apache helicopter near the Strait of Hormuz, sending Brent crude back up after a one-day relief rally and setting an uneasy stage for an 8:30 a.m. Consumer Price Index release that economists believe will show inflation at a three-year high. Stellantis told 1.3 million Jeep owners worldwide to park outside after 72 confirmed fires, with the U.S. share alone topping 1 million vehicles. The Social Security Administration moved the program's insolvency date forward to the end of 2032, putting a 22 percent benefit cut in front of today's near-retirees rather than tomorrow's. Existing-home sales unexpectedly surged 3.2 percent in May to the fastest pace this year, even as 30-year mortgage rates ticked back up to 6.57 percent. Together, the five stories sketch a consumer who is paying more at the pump, more at the grocery store, more at the closing table — and increasingly worried that the safety net is shrinking.
**A 15-hour ceasefire collapses into U.S. strikes near Hormuz, and the pump waits**
Monday night's flare-up has now escalated into direct U.S. military action. U.S. Central Command said Tuesday evening it had begun "self-defense strikes" on Iran in response to the downing of an Army Apache helicopter near the Strait of Hormuz, an incident President Trump attributed to Iran, according to a [CBS News live update](https://www.cbsnews.com/live-updates/iran-war-trump-peace-deal-israel/?ref=consumernews.ai). Iran vowed to retaliate, saying it "will leave no attack or threat unanswered," [the Associated Press reported](https://apnews.com/article/stocks-markets-ai-tech-iran-us-716c67bff3b68ff08503d7fc4adef0f9?ref=consumernews.ai) from Hong Kong as Asian markets opened Wednesday. The Apache's two pilots were uninjured, [CBS News confirmed](https://www.cbsnews.com/live-updates/iran-war-trump-peace-deal-israel/?ref=consumernews.ai).
Markets had been calmer Tuesday before the overnight escalation. Brent crude settled at $91.45 a barrel, down 2.97 percent on the day, while U.S. crude futures fell 3.4 percent to close at $88.20, [CNBC reported](https://www.cnbc.com/2026/06/09/oil-prices-iran-war-strait-hormuz-trump-israel-lebanon.html?ref=consumernews.ai). Energy Secretary Chris Wright said maritime traffic through the strait was "increasing significantly" — the comment that drove Tuesday's relief rally. By Wednesday morning in Asia, Brent had bounced back above $92 a barrel and U.S. crude was around $89, [AP reported](https://apnews.com/article/stocks-markets-ai-tech-iran-us-716c67bff3b68ff08503d7fc4adef0f9?ref=consumernews.ai), as traders priced in the new strikes.
The pump tells the rest of the story. Retail gasoline averaged $4.16 a gallon Tuesday, [CBS News reported](https://www.cbsnews.com/news/inflation-rate-cpi-2026-may-report/?ref=consumernews.ai), down 40 cents from the May 21 peak but still about 40 percent above pre-war levels, according to [NBC News](https://www.nbcnews.com/business/energy/may-inflation-report-gas-prices-iran-rcna349059?ref=consumernews.ai). Since the U.S. and Israel launched their first strikes against Iran on Feb. 28, oil prices have surged roughly 30 percent, [CNBC noted](https://www.cnbc.com/2026/06/09/oil-prices-iran-war-strait-hormuz-trump-israel-lebanon.html?ref=consumernews.ai), with U.S. crude briefly topping $115 a barrel in early April, [according to NBC News](https://www.nbcnews.com/business/energy/may-inflation-report-gas-prices-iran-rcna349059?ref=consumernews.ai). Exxon Mobil executive Neil Chapman warned at a Bernstein investor conference last month that strategic reserves could hit critically low levels by the end of June, after which prices would "skyrocket," [NBC News reported](https://www.nbcnews.com/business/energy/may-inflation-report-gas-prices-iran-rcna349059?ref=consumernews.ai).
The conflict has already reshaped the global economy in ways that flow directly to American households. The International Air Transport Association said this week that airlines worldwide face $100 billion in added fuel costs this year, with global net profit projected to fall from $45.5 billion in 2025 to about $23 billion in 2026, [CNBC reported](https://www.cnbc.com/2026/06/09/iata-annual-meeting-airline-ceo-takeaways.html?ref=consumernews.ai) from the IATA annual meeting. "If prices remain constant, undoubtedly, fewer individuals will be able to afford travel," Kamil Al-Awadhi, IATA's regional vice president for Africa and the Middle East, told the gathering, [according to CNBC](https://www.cnbc.com/2026/06/09/iata-annual-meeting-airline-ceo-takeaways.html?ref=consumernews.ai). China's wholesale prices, meanwhile, jumped 3.9 percent in May, the fastest pace in nearly four years, driven by the same Hormuz disruption, [CNBC reported](https://www.cnbc.com/2026/06/10/china-cpi-ppi-inflation-may-consumer-prices-producer-oil-iran-war-ai-tech-.html?ref=consumernews.ai); Chinese factories' fuel and power costs alone rose 10 percent year-over-year, more than double April's 4.4 percent increase.
**CPI Day: economists expect a 4.2 percent headline, the highest since 2023**
At 8:30 a.m. Eastern, the Bureau of Labor Statistics will release the May Consumer Price Index, and the consensus among economists polled by FactSet is for a headline reading of 4.2 percent year-over-year, up from 3.8 percent in April, [CBS News reported](https://www.cbsnews.com/news/inflation-rate-cpi-2026-may-report/?ref=consumernews.ai). That would be the hottest CPI print since April 2023, when inflation ran at 4.9 percent, [CBS News noted](https://www.cbsnews.com/news/inflation-rate-cpi-2026-may-report/?ref=consumernews.ai), and it would mark the first time CPI has exceeded 4 percent in this cycle, [according to CNBC](https://www.cnbc.com/2026/06/09/the-may-inflation-numbers-are-due-out-wednesday-morning-heres-what-to-expect.html?ref=consumernews.ai). Economists expect prices rose 0.5 percent from April to May, [CNBC reported](https://www.cnbc.com/2026/06/09/the-may-inflation-numbers-are-due-out-wednesday-morning-heres-what-to-expect.html?ref=consumernews.ai). Core inflation, which excludes food and energy, is forecast to tick up to 2.9 percent annually from 2.8 percent, [the Associated Press reported](https://apnews.com/article/consumer-prices-inflation-war-gas-878f6759c93fcb078aeefffe19d4dfa5?ref=consumernews.ai).
The trajectory tells the political story. Annual inflation was 2.4 percent the month before the Iran war began, [CNBC noted](https://www.cnbc.com/2026/06/09/the-may-inflation-numbers-are-due-out-wednesday-morning-heres-what-to-expect.html?ref=consumernews.ai), meaning the cumulative jolt from the conflict and the April 2025 Trump tariff package has nearly doubled the headline figure in a little over a year. Lloyd's Bank analysts told NBC News that "elevated energy prices will again exert upward pressure, although possibly less than in the past two months," [NBC News reported](https://www.nbcnews.com/business/energy/may-inflation-report-gas-prices-iran-rcna349059?ref=consumernews.ai). Bank of America analysts warned that "aside from airfare, there is little evidence that overall inflation is yet affecting core inflation" — a thin reed for households watching grocery bills climb, [according to NBC News](https://www.nbcnews.com/business/energy/may-inflation-report-gas-prices-iran-rcna349059?ref=consumernews.ai).
The everyday math is unforgiving. Pump gas rose from about $4.04 in mid-April to $4.49 in mid-May, [the Associated Press reported](https://apnews.com/article/consumer-prices-inflation-war-gas-878f6759c93fcb078aeefffe19d4dfa5?ref=consumernews.ai), citing Energy Information Administration figures, before settling to today's $4.16 AAA average. Diesel surcharges have pushed UPS and FedEx to raise fuel fees, [AP reported](https://apnews.com/article/consumer-prices-inflation-war-gas-878f6759c93fcb078aeefffe19d4dfa5?ref=consumernews.ai), which is starting to filter into grocery shelf prices — food at home rose 0.4 percent in April and is up 2.9 percent year-over-year. Clothing, where tariff effects are clearest, jumped 0.6 percent in April and is now 4.2 percent more expensive than a year ago, [the Associated Press reported](https://apnews.com/article/consumer-prices-inflation-war-gas-878f6759c93fcb078aeefffe19d4dfa5?ref=consumernews.ai). JPMorgan chief U.S. economist Michael Feroli told NBC News that the latest round of proposed tariffs on imports from 60 countries — covering China, Taiwan, the European Union, Canada and Mexico, with minimums of 10 percent — could push inflation higher still, [NBC News reported](https://www.nbcnews.com/business/energy/may-inflation-report-gas-prices-iran-rcna349059?ref=consumernews.ai).
Bond traders are already repositioning. Bloomberg reported Tuesday that positioning in the rates market is now signaling Federal Reserve rate hikes "are coming fast," [Bloomberg's bond markets team wrote](https://www.bloomberg.com/news/articles/2026-06-09/bond-trader-positioning-signals-fed-rate-hikes-are-coming-fast?ref=consumernews.ai). The Fed has held its benchmark rate steady three consecutive meetings this year after three cuts in late 2025, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-9-2026?ref=consumernews.ai), and the December meeting is now in play for a possible increase rather than a cut.
**Stellantis recalls 1.3 million Jeeps over a fire risk that 72 owners have already lived**
The biggest consumer-safety story of the day arrived Tuesday with a single instruction: park outside. Stellantis is recalling more than 1.3 million Jeep Wrangler SUVs and Jeep Gladiator trucks globally, including more than 1 million in the United States, over a defect in the electric-hydraulic power steering pump wiring that can overheat and ignite, [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai). The recall covers model years 2021 through 2025, and the danger persists even when the vehicle is parked with the ignition off, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-09/stellantis-recalls-over-1-million-jeep-vehicles-due-to-fire-risk?ref=consumernews.ai).
Stellantis told the National Highway Traffic Safety Administration it has identified at least 72 fires potentially associated with the issue, along with one injury, [according to CNBC](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai). The company said a "faulty electrical connection may cause the connection to melt, ultimately increasing the risk of a fire," [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai), citing the recall filing. Owners are told to park outdoors and away from buildings and other vehicles until repairs are made, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-06-09/stellantis-recalls-over-1-million-jeep-vehicles-due-to-fire-risk?ref=consumernews.ai).
The recall extends a regulatory file that NHTSA opened in September 2024 over engine fires in roughly 800,000 Wranglers and Gladiators from the 2021-2023 model years, [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai). The current campaign also reaches into Canada, Mexico (about 23,000 vehicles) and other international markets (about 125,000), [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai). The remedy — inspections and, where needed, replacement of the wiring harness or the entire electric-hydraulic power steering pump — is not expected to be available until July at the earliest, [CNBC reported](https://www.cnbc.com/2026/06/09/stellantis-tells-1point3-million-jeep-owners-to-park-outside-over-fire-concerns.html?ref=consumernews.ai). For owners with no driveway or detached garage, that is six weeks of careful parking and crossed fingers.
The Stellantis campaign comes on top of last week's Ford recall of 1.74 million U.S. vehicles for a rearview-camera defect that can prevent images from displaying, [Reuters reported](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai), and a separate Volvo recall of more than 40,000 EX30 electric SUVs over battery-pack overheating risks, [also according to Reuters](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai). Together, the three campaigns put roughly 3 million additional vehicles into the U.S. recall pipeline in less than a week, the busiest stretch of safety actions so far this year.
**Social Security insolvency moves up to 2032, putting a 22 percent cut in plain view**
For the second straight year, the Social Security Board of Trustees moved up its forecast for when the program will run short. The Old-Age and Survivors Insurance trust fund is now projected to be depleted by the end of 2032, after which the Social Security Administration would only be able to pay 78 percent of scheduled benefits — a 22 percent across-the-board cut, [CBS News reported](https://www.cbsnews.com/news/social-security-trust-fund-insolvency-2032-trustees-report/?ref=consumernews.ai). Last year's report put the depletion date in 2033, [The New York Times reported](https://www.nytimes.com/2026/06/09/business/social-security-benefits-cuts.html?ref=consumernews.ai).
The trustees attributed the accelerated timeline to the One Big Beautiful Bill Act and its effect on the taxation of benefits, [CBS News reported](https://www.cbsnews.com/news/social-security-trust-fund-insolvency-2032-trustees-report/?ref=consumernews.ai). The agency formalized the new date in August, [according to CBS News](https://www.cbsnews.com/news/social-security-trust-fund-insolvency-2032-trustees-report/?ref=consumernews.ai), but Tuesday's annual report makes 2032 the official baseline.
The dollar consequences land squarely on retirees. A Committee for a Responsible Federal Budget analysis published earlier this month estimated that the typical monthly benefit would fall by about $500 — roughly a 24 percent cut to the typical payment — if Congress takes no action before the trust fund runs dry, [CBS News reported](https://www.cbsnews.com/news/social-security-trust-fund-insolvency-2032-trustees-report/?ref=consumernews.ai). For a 59-year-old considering when to claim, 2032 is no longer a problem for the next generation; it is six and a half years away.
Medicare's hospital insurance trust fund, which finances Medicare Part A's coverage of inpatient hospital stays and skilled nursing care for about 70.1 million enrollees, is now projected to be unable to pay full benefits in the second quarter of 2033, [CBS News reported](https://www.cbsnews.com/news/social-security-trust-fund-insolvency-2032-trustees-report/?ref=consumernews.ai). At that point the program would cover only 89 percent of obligations. The Medicare projection was 2036 as recently as the previous report, and has now moved up three years in two annual cycles. The Wall Street Journal's editorial board on Tuesday argued in an opinion piece that "only AI can save Social Security and Medicare," [The Wall Street Journal wrote](https://www.wsj.com/opinion/only-ai-can-save-social-security-and-medicare-d598a47b?ref=consumernews.ai) — a measure of how desperate the policy conversation has become.
**Home sales surge to the year's fastest pace as mortgage rates climb back above 6.5 percent**
Against every macro headwind, the housing market staged a small rebellion in May. Sales of previously occupied U.S. homes rose 3.2 percent from April to a seasonally adjusted annual rate of 4.17 million units, the fastest pace since December and a 3.2 percent gain from May of last year, [the Associated Press reported](https://apnews.com/article/home-sales-mortgages-inflation-interest-rates-9506d4ce03c10220785326c7d592875b?ref=consumernews.ai). The Wall Street Journal called it "the biggest rise this year," [The Wall Street Journal reported](https://www.wsj.com/economy/housing/may-home-sales-notched-their-biggest-rise-this-year-bd192cf1?ref=consumernews.ai). The median sales price ticked up 1.3 percent from a year earlier to $429,300, [according to the Associated Press](https://apnews.com/article/home-sales-mortgages-inflation-interest-rates-9506d4ce03c10220785326c7d592875b?ref=consumernews.ai).
The rebound came in the teeth of rising rates. The national average 30-year fixed mortgage stood at 6.57 percent Tuesday, up 3 basis points from Monday and 3 basis points from a week earlier, with the 15-year fixed at 5.94 percent and the 5/1 ARM at 5.81 percent, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-9-2026?ref=consumernews.ai). The 30-year jumbo rate jumped 8 basis points in a single day to 6.74 percent, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-9-2026?ref=consumernews.ai). Refinance rates were higher still, with the 30-year refi at 6.72 percent. Freddie Mac data show the 30-year fixed briefly dipped below 6 percent in late February before climbing back to roughly 6.5 percent by early April, [CBS News reported](https://www.cbsnews.com/news/what-will-happen-home-prices-mortgage-rates-stay-high-experts/?ref=consumernews.ai), and has hovered there since.
Fannie Mae, which had forecast earlier this year that rates would slip back below 6 percent by year-end, now expects them to remain above 6 percent for the remainder of 2026, [The Wall Street Journal reported](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-9-2026?ref=consumernews.ai). With a CPI print likely to spook the rate market further and the Fed widely expected to hold its benchmark steady at its meeting later this month, the path back to a 5-handle on 30-year rates has gotten longer, not shorter, [The Wall Street Journal noted](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-9-2026?ref=consumernews.ai). Bloomberg has scheduled a Thursday live event titled "What Could Jumpstart the US Housing Market?" — a question many buyers and sellers are asking, [Bloomberg announced](https://www.bloomberg.com/sessions/2026-06-11/live-q-amp-a-what-could-jumpstart-the-us-housing-market?ref=consumernews.ai). The Tuesday data answered some of it: pent-up demand from a slump that began in 2022 is now strong enough to absorb six-and-a-half-percent mortgages.
**The bigger picture**
Every line of Wednesday's news connects to every other. The U.S. strikes on Iran put oil back above $90 just before a CPI release that will tell the Fed how much of the Hormuz shock has reached American wallets. The Fed's response, in turn, will set the mortgage rates that home buyers are paying as they push existing-home sales to the year's fastest pace despite affordability that has rarely been worse. Stellantis's 1.3 million-vehicle recall, on the heels of Ford's 1.74 million-vehicle camera campaign and Volvo's EX30 battery action, is a reminder that the auto market that consumers can still afford is also the one most exposed to manufacturer mistakes. And the Social Security trustees' decision to move insolvency up to 2032 means that the retirees who are watching grocery, gasoline and Medicare premiums climb today are also watching a 22 percent benefit cut move from "next decade" to "this one." Households today are paying war prices at the pump, tariff prices at the store, post-pandemic prices at the closing table and, if Washington does nothing, future haircuts on the checks they have spent their working lives funding. The five stories are not really separate; they are five chambers of the same squeeze.
—30 —
### Social Security, Medicare face earlier depletion dates and growing long‑term shortfalls, trustees warn
URL: https://www.consumernews.ai/social-security-medicare-face-earlier/
Last updated: 2026-06-19T19:15:22.000Z
The government’s new Social Security and Medicare [trustees’ reports](https://www.ncpssm.org/documents/social-security-policy-papers/viewpoint-analysis-of-the-2025-social-security-trustees-report/?ref=consumernews.ai) show the nation’s bedrock retirement and health programs drifting closer to automatic benefit cuts in the early 2030s, with the main trust funds projected to run short of money sooner than previously forecast unless Congress steps in with tax hikes, benefit changes, or both.
The sobering numbers are already fueling renewed calls from budget hawks for prompt action and from seniors’ advocates for revenue‑focused fixes that protect promised benefits.
> There is nothing new about this. Policy makers and anyone who pays attention have known for years that adjustments are needed to keep the programs going. But Congress steadfastly passes the buck while both parties demagogue the issue while proposing little in the way of a solution.
###
### **By the numbers**
The trustees and the Congressional Budget Office broadly agree that Social Security and Medicare are racing toward automatic cuts, but they part company on the exact timing and size of the cliff.
The trustees’ new report points to the main Social Security trust fund running short in the early 2030s and Medicare’s hospital fund in 2033, triggering benefit reductions if Congress does nothing. CBO pegs Social Security’s trust fund as failing a bit sooner but gives Medicare Part A a somewhat longer lease on life, into 2040, though it still sees significant cuts once the money runs out.
## Key findings from the trustees
The latest annual reports from the Social Security and Medicare Boards of Trustees show that the combined Social Security retirement and disability trust funds are projected to be unable to pay full benefits around the mid‑2030s if Congress does nothing.
One [widely cited takeaway](https://www.crfb.org/blogs/event-recap-checking-2025-social-security-medicare-trust-funds?ref=consumernews.ai) is that the main Social Security retirement trust fund is now projected to be depleted around 2032–2033, at which point incoming payroll taxes would cover roughly three‑quarters of scheduled benefits, triggering automatic across‑the‑board cuts absent legislative changes.
The [Medicare Hospital Insurance](https://www.cms.gov/oact/tr/2025?ref=consumernews.ai) (Part A) trust fund is also projected to exhaust its reserves around 2033, several years earlier than previously forecast, leaving it able to pay only about 89% of promised hospital benefits from ongoing revenues.
Trustees and outside summaries note that population aging, slower‑than‑expected fertility, rising health‑care costs, and recent benefit‑expanding legislation are driving the deterioration in both programs’ finances.
- Over the standard 75‑year window, [analysts estimate](https://bipartisanpolicy.org/article/2025-social-security-trustees-report-explained/?ref=consumernews.ai) Social Security faces a long‑range shortfall on the order of tens of trillions of dollars in present‑value terms, underscoring that the gap between dedicated revenues and promised benefits continues to widen.
## What it means for beneficiaries
If lawmakers do not act before the projected insolvency dates, Social Security would still pay benefits, but only at a reduced level tied to incoming payroll tax revenue, with estimates of roughly 75–80% of scheduled benefits after trust‑fund depletion.
> [Analysts warn](https://www.crfb.org/blogs/event-recap-checking-2025-social-security-medicare-trust-funds?ref=consumernews.ai) that a typical couple retiring in the early 2030s could see their annual Social Security benefits cut by thousands of dollars if Congress allows the trust funds to hit insolvency with no fixes in place.
For Medicare Part A, hospitals and other providers would face an immediate across‑the‑board reduction in payments—roughly an 11% cut at the projected depletion date—raising concerns about access to care for seniors and people with disabilities.
Advocates stress that low‑ and middle‑income retirees, people with disabilities, and older adults in rural or underserved areas would be most vulnerable to sudden benefit or payment cuts.
## Political and expert reaction
The [Treasury Department](https://home.treasury.gov/news/press-releases/sb0170?ref=consumernews.ai) and other trustees frame the report as a call for “timely action” by Congress, saying earlier, gradual policy changes would better protect current retirees and give younger workers time to adjust.
Fiscal watchdogs, including the [Committee for a Responsible Federal Budget](https://www.truthinaccounting.org/news/detail/response-to-social-securitys-go-broke-date?ref=consumernews.ai), say the new projections confirm that Social Security and Medicare are “on an unsustainable path” and that waiting until the last minute would force steeper benefit cuts or tax increases.
Some budget hawks emphasize that Social Security and health‑related [spending](https://socialsecurityreport.org/wp-content/uploads/2025/06/Trustees-Report-Summary-2025.pdf?ref=consumernews.ai) are consuming a growing share of the federal budget—now in the mid‑40% range—crowding out other priorities and adding to long‑term debt concerns.
Advocacy groups for seniors counter that the programs remain fundamentally sound if lawmakers are willing to raise additional revenue, and they argue that across‑the‑board benefit cuts should be off the table in any reform package.
## What’s next in the policy debate
Policy analysts say Congress has a familiar menu of options: raising or eliminating the cap on wages subject to Social Security payroll tax, gradually increasing the payroll tax rate, adjusting the benefit formula, raising the full retirement age, or some combination.
Health‑policy experts add that Medicare’s outlook hinges heavily on broader efforts to slow hospital and drug‑price growth, expand value‑based payment models, and reduce fraud and waste in the program.
Across the political spectrum, experts note that enacting changes sooner would allow for smaller, more targeted adjustments; delaying action until the trust funds are on the brink of insolvency would likely force abrupt, politically painful decisions.
##
### California launches affordability task force to target unlawful price hikes and consumer abuses
URL: https://www.consumernews.ai/california-launches-affordability/
Last updated: 2026-06-19T19:15:22.000Z
California Attorney General Rob Bonta has announced the creation of a first-of-its-kind Affordability Response Team within the California Department of Justice, an initiative aimed at identifying and prosecuting unlawful practices that increase costs for consumers.
The new unit will bring together attorneys and investigators from multiple divisions within the state DOJ to pursue cases involving alleged illegal conduct that contributes to the state’s affordability crisis.
“Californians, we hear you: The cost of living is much too high,” [Bonta said](https://oag.ca.gov/news/press-releases/attorney-general-bonta-announces-california-doj%E2%80%99s-affordability-response-team?ref=consumernews.ai) in announcing the initiative. He said the team would investigate practices that unlawfully raise prices and create a coordinated enforcement pipeline focused on affordability issues.
### Corporations, landlords and scammers targeted
According to the Attorney General’s office, the Affordability Response Team will examine a wide range of conduct affecting consumer finances, including alleged unlawful actions by corporations, landlords, scammers, and other market participants.
The effort is designed to expand ongoing consumer protection and antitrust work already underway within the California Department of Justice while creating a dedicated structure focused specifically on affordability.
The announcement signals a growing willingness among state officials to treat affordability as a consumer protection issue rather than solely an economic policy challenge.
### Rising costs driving financial stress
California officials cited escalating costs across multiple sectors, including housing, groceries, healthcare, childcare, utilities, and transportation.
The state noted that affordability pressures have hit lower-income households particularly hard. Young adults are also facing increasing challenges. According to data cited by the Attorney General’s office, nearly one-quarter of Californians between ages 18 and 24 live in poverty.
Healthcare costs remain another major concern. State officials said seven in ten Californians report that healthcare expenses place financial strain on their households.
### Americans relying more heavily on debt
The announcement comes amid growing signs of consumer financial distress nationwide.
Food prices remain elevated and are expected to continue increasing over the next year. Consumer advocates have reported growing reliance on food banks and other assistance programs as families struggle to keep pace with rising expenses.
At the same time, household debt has reached historic levels. U.S. credit card debt climbed to a record $1.28 trillion by the end of 2025, according to figures cited by California officials. Credit card delinquency rates have also risen sharply, with the share of balances at least 90 days past due reaching its highest level in 15 years during the first quarter of 2026.
### Growing state scrutiny of affordability issues
The California initiative reflects a broader trend among state attorneys general increasingly using consumer protection, antitrust, and unfair competition laws to address affordability concerns.
Recent enforcement efforts around the country have focused on alleged price-fixing, hidden fees, junk fees, rental housing practices, healthcare consolidation, prescription drug costs, and deceptive business practices that can increase costs for consumers.
While the Affordability Response Team has not yet announced specific investigations, the Attorney General’s office said the unit will serve as a central hub for identifying and pursuing cases involving unlawful conduct that contributes to rising consumer costs.
### What this means for consumers
For California consumers, the new team could mean increased scrutiny of businesses and individuals accused of using deceptive, unfair, or anticompetitive practices that drive up prices.
For businesses operating in the state, the announcement serves as notice that California regulators intend to make affordability-related enforcement a higher priority, particularly where officials believe rising costs are linked to unlawful conduct rather than normal market forces.
### Affordability Watch
The creation of California’s Affordability Response Team comes as consumer advocates continue warning that many households are reaching a breaking point. Rising housing, food, healthcare, insurance, and utility costs have combined with record household debt levels to create significant financial pressure.
Whether enforcement actions can meaningfully reduce costs remains to be seen, but California’s move could become a model for other states looking for new ways to address consumer affordability concerns.
### Consumer watchdog turns on its former master, snarls at 'woke' rules, protections
URL: https://www.consumernews.ai/consumer-watchdog-turns-on-its-former/
Last updated: 2026-06-19T19:15:23.000Z
Dogs will turn on you sometimes, usually because they have come to fear you. So, does that explain why the [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/?ref=consumernews.ai) (CFPB), once the unflagging protector of American consumers has switched sides and begun biting the hand that once fed it?
The Washington Post’s [Andrew Ackerman](https://www.washingtonpost.com/people/andrew-ackerman/?ref=consumernews.ai) recently recounted the [startling tale](https://www.washingtonpost.com/business/2026/06/08/how-cfpb-became-political-weapon-trump-allies/?ref=consumernews.ai) of how the federal agency created after the 2008 financial crisis to protect consumers from abusive financial practices has switched its allegiance under the Trump administration. He describes how the CFPB, once targeted for elimination by administration allies, is now being used to pursue political and ideological priorities.
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The CFPB was established in 2010 following the financial crisis and was charged with policing unfair, deceptive, and abusive practices by banks, lenders, credit card companies, and other financial firms. Over the years, the agency [recovered billions of dollars for consumers](https://www.washingtonpost.com/business/2025/02/10/what-is-consumer-financial-protection-bureau-cfpb/?utm%5Fsource=chatgpt.com) through enforcement actions and settlements.
But now the agency’s goal seems to be [protecting businesses from consumers](https://www.theoutragedconsumer.com/p/the-trump-era-has-successfully-protected?utm%5Fsource=publication-search).
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### From dismantling to repurposing
The administration initially moved aggressively to shrink the bureau, reducing staffing and curtailing enforcement activity. But rather than eliminating the agency entirely, officials have redirected its focus toward issues that align with broader administration priorities.
For example, the report says CFPB leadership has begun examining certain nonprofit and mission-driven lenders that Acting Director Russell Vought has characterized as ideologically biased or “woke.”
The shift marks a significant departure from the bureau’s traditional emphasis on protecting consumers from large financial institutions, debt collectors, mortgage servicers, and payday lenders. Critics argue that the agency’s resources are increasingly being used to pursue political objectives rather than consumer protection.
### Consumer advocates raise alarms
Consumer groups have expressed growing concern about the bureau’s direction. Advocates note that the CFPB has historically served as one of the federal government’s primary defenses against predatory financial practices, helping consumers challenge illegal fees, deceptive lending, credit reporting errors, and other financial harms.
Recent reporting has documented other changes at the agency, including the removal of thousands of pages of consumer guidance, enforcement announcements, and educational materials from its website. Critics say those actions reduce transparency and make it harder for consumers to access information about their rights, according to [The Guardian](https://www.theguardian.com/us-news/ng-interactive/2026/jun/04/trump-administration-consumer-financial-protection-bureau?utm%5Fsource=chatgpt.com).
The concerns come at a time when consumer complaints remain high. According to recent reports, Americans filed millions of complaints involving financial products and services in recent years, ranging from credit reporting disputes to debt collection and banking issues.
### Political battle continues
The CFPB has long been a lightning rod in Washington. Republicans have frequently argued that the bureau wielded excessive regulatory authority and imposed costly compliance burdens on businesses, while Democrats and consumer advocates have defended it as an essential safeguard against financial misconduct.
The latest developments suggest that the debate has entered a new phase. Rather than dismantling the CFPB outright, the administration appears to be redefining how the agency uses its authority and whom it targets.
### What this means
For consumers, the practical impact may depend on which financial issues the CFPB chooses to prioritize in the coming months. If enforcement against major financial institutions continues to decline, consumer advocates warn that fewer federal resources may be available to address scams, deceptive lending practices, illegal fees, and other marketplace abuses.
At the same time, administration officials argue that the changes are necessary to curb regulatory “overreach” — being a little too pro-consumer — and refocus the agency’s mission.
As the CFPB enters its second decade, its future role in protecting consumers appears increasingly tied to broader political battles over the scope and purpose of federal regulation.
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### Vermont moves to protect survivors from coerced debt
URL: https://www.consumernews.ai/vermont-moves-to-protect-survivors/
Last updated: 2026-06-19T19:15:23.000Z
Survivors of domestic violence, human trafficking, elder abuse and other forms of exploitation in Vermont will gain new protections from debts fraudulently incurred in their names under legislation recently signed by Vermont Gov. Phil Scott.
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Consumer advocates say coerced debt is one of the least visible but most damaging forms of financial abuse, trapping victims in years of collection actions, damaged credit scores and barriers to housing and employment.
The new Vermont law prohibits creditors and debt collectors from holding consumers responsible for debts incurred through fraud, duress, intimidation, force, coercion or identity theft.
The legislation is intended to help survivors of domestic violence, human trafficking, elder abuse, exploitation of people with disabilities and other vulnerable populations whose identities or financial accounts have been misused by abusers.
“We are pleased to see Governor Scott and the Vermont Legislature take action to help people who have been forced to take on debt because of abuse,” [said Carla Sanchez-Adams](https://www.nclc.org/vermont-governor-signs-bill-to-address-coerced-debt/?ref=consumernews.ai), senior attorney at the National Consumer Law Center (NCLC). “This law provides relief for people with wrongfully damaged credit histories and ends the aggressive debt collection tactics that add to the suffering caused by coerced debt.”
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### How the law works
Under the new law, consumers who believe a debt was coerced can submit supporting documentation to creditors or debt collectors.
Once that documentation is received, collection activity must stop while the creditor conducts a reasonable investigation.
If the investigation determines that the debt was coerced, any collection lawsuit or arbitration proceeding must be dismissed. Existing judgments must be vacated, and creditors must ask credit reporting agencies to remove information related to the coerced debt from the consumer’s credit file.
Advocates say those credit-reporting provisions may be among the law’s most significant protections because damaged credit histories can linger for years after abuse ends.
### A widespread but underreported problem
Economic abuse occurs in an estimated 94% to 99% of domestic violence cases, according to research cited by victim advocates. Coerced debt is a common tactic, often involving credit cards, personal loans, utility accounts, medical debt, auto loans and buy-now-pay-later accounts opened or used without meaningful consent.
Abusers may pressure victims into signing loan documents, open accounts using stolen personal information, or force them to take on debt for household expenses while withholding resources needed to repay it.
The resulting financial damage can make it difficult for survivors to leave abusive situations or establish independent lives afterward.
Consumer advocates say victims frequently discover the debts only after collection notices arrive, wages are threatened with garnishment, or they are denied housing, employment or credit.
### Growing national movement
Vermont joins eight other states that have enacted laws specifically addressing coerced debt: California, Connecticut, Illinois, Maine, Minnesota, Nevada, New York and Texas.
Many of the measures are based on the National Consumer Law Center’s [Model State Coerced Debt Law](https://www.nclc.org/resources/model-state-coerced-debt-law/?utm%5Fsource=chatgpt.com), which provides states with legislative language designed to help victims challenge fraudulent debts and repair their credit histories.
“Without state action, coerced debt victims will continue to face the negative economic impacts of the abuse, including damaged credit histories that can deprive a survivor of access to much-needed housing, employment, and utility resources,” said Andrea Bopp Stark, senior attorney at NCLC.
### Consumer takeaway
Consumers who believe debts were opened or incurred through coercion, identity theft or abuse should keep copies of police reports, court orders, protection orders, identity theft reports and other documentation that may support a coerced-debt claim.
Advocates say victims should also review their credit reports regularly for unfamiliar accounts and seek assistance from legal aid organizations, domestic violence programs or consumer protection attorneys if they discover suspicious debts.
As more states adopt coerced-debt protections, supporters hope survivors will no longer be forced to spend years paying for financial obligations created by their abusers.
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### Consumer sentiment at a low ebb; nearly half of Americans say they're worse off financially
URL: https://www.consumernews.ai/consumer-sentiment-at-a-low-ebb-nearly/
Last updated: 2026-06-19T19:15:23.000Z
Federal Reserve Bank of New York economists released the May edition of their Survey of Consumer Expectations on Monday, and the results paint the most pessimistic picture of the household economy since 2022.
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The share of respondents who said their financial situation was “much worse” than a year ago jumped roughly 2.7 percentage points to [13.3 percent](https://www.cnbc.com/2026/06/08/household-financial-worries-at-highest-level-since-2022-new-york-fed-says.html?ref=consumernews.ai), the highest reading since July 2022 — itself a peak hit during the worst of the 2021-2022 inflation shock.
The combined “much or somewhat worse than last year” share reached 48.7 percent, the highest reading since January 2023, and the [CBS News report on the same data](https://www.cbsnews.com/news/americans-worse-off-financially-year-ago-fed-survey/?ref=consumernews.ai) put the number even more starkly: “nearly half of Americans now say they’re worse off financially” than a year ago.
### Outlook for change not very encouraging
The forward-looking numbers in the survey are no friendlier. The share of consumers expecting their finances to be either much or somewhat worse in the year ahead rose to 36 percent; only 22.9 percent expect improvement.
> The gap between those expecting better and worse outcomes is now at its lowest point since October 2022.
Household-spending growth expectations fell 0.4 percentage point from April. Rent-price expectations rose 1.74 percentage points; food-price expectations rose 0.58 percentage point; gasoline-price expectations actually fell 0.5 percentage point, the only category that softened. Year-ahead inflation expectations slipped 0.1 percentage point to 3.5 percent, while three-year expectations held at 3.1 percent and five-year at 3.0 percent — all stubbornly above the Federal Reserve’s 2 percent target.
That backdrop sets up Wednesday’s May Consumer Price Index, which arrives at 8:30 a.m. ET. [CNBC’s writeup](https://www.cnbc.com/2026/06/08/household-financial-worries-at-highest-level-since-2022-new-york-fed-says.html?ref=consumernews.ai) of the New York Fed survey pegged Dow Jones consensus at 4.2 percent year-over-year for headline CPI and 2.9 percent for core CPI excluding food and energy.
[The Wall Street Journal](https://www.wsj.com/finance/investing/jgb-futures-fall-tracking-price-declines-in-u-s-treasury-market-48c22757?ref=consumernews.ai) flagged the same consensus, with core expected to rise from 2.8 percent in April to 2.9 percent in May. CBS News, citing FactSet data, put headline CPI consensus at 4.2 percent, [which would mark the highest annual pace of inflation in three years](https://www.cbsnews.com/news/americans-worse-off-financially-year-ago-fed-survey/?ref=consumernews.ai).
Federal Open Market Committee meets June 16-17, and market expectations indicate a near-zero probability of a rate cut, with growing odds the central bank may instead deliver a quarter-point hike before year-end.
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**Small-business optimism is back to its October 2024 low, erasing nearly all the post-election bounce**
A second data point from Tuesday morning reinforced the household survey. The [National Federation of Independent Business](https://www.bloomberg.com/news/articles/2026-06-09/us-small-business-optimism-falls-to-lowest-since-october-2024?ref=consumernews.ai) reported its Small Business Optimism Index fell 0.6 point in May to 95.3, the lowest reading since October 2024 and a near-total erasure of the post-election rally that had carried the index to a six-year high of 105.1 in December 2024.
The [Wall Street Journal’s report on the same release](https://www.wsj.com/business/entrepreneurship/u-s-small-business-confidence-ticked-down-in-may-b087f8d3?ref=consumernews.ai) confirmed the figure. The 95.3 May reading sits below the index’s long-term average of 98 — a threshold the NFIB describes as the line separating expansion-leaning small business sentiment from contraction-leaning.
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### Household, business optimism hits new lows as ceasefire wavers
URL: https://www.consumernews.ai/household-business-optimism-hits-new-lows-as-ceasefire-wavers/
Last updated: 2026-06-09T12:59:16.000Z
###
*By Perplexity*
The American consumer woke up Tuesday morning to a war that paused at lunchtime, a household economy that has rarely felt darker and a recall notice that runs into seven figures. Iran and Israel halted their weekend missile exchanges after only [15 hours of fighting](https://www.nytimes.com/live/2026/06/08/world/iran-israel-lebanon-attacks?ref=consumernews.ai), but [a U.S. Army Apache helicopter went down near the Strait of Hormuz](https://www.nytimes.com/live/2026/06/09/world/iran-war-trump-israel-lebanon?ref=consumernews.ai) — the first lost in the conflict — and oil markets are not yet ready to call the all-clear. The Federal Reserve Bank of New York's monthly Survey of Consumer Expectations, released Monday, found [the share of households calling themselves "much worse off" than a year ago jumped to 13.3 percent, the highest reading since July 2022](https://www.cnbc.com/2026/06/08/household-financial-worries-at-highest-level-since-2022-new-york-fed-says.html?ref=consumernews.ai), and [a CBS News writeup of the same survey reported nearly half of Americans now say they are worse off financially](https://www.cbsnews.com/news/americans-worse-off-financially-year-ago-fed-survey/?ref=consumernews.ai). [The National Federation of Independent Business reported Tuesday morning that its Small Business Optimism Index fell to 95.3 in May, the lowest reading since October 2024 and a near-total erasure of the post-election gains](https://www.bloomberg.com/news/articles/2026-06-09/us-small-business-optimism-falls-to-lowest-since-october-2024?ref=consumernews.ai). Wednesday's May Consumer Price Index is now expected to print at a [3-year high of 4.2 percent](https://www.cbsnews.com/news/americans-worse-off-financially-year-ago-fed-survey/?ref=consumernews.ai). And in Auburn Hills, Stellantis confirmed Tuesday that it is recalling [1,076,999 U.S. vehicles for a power-steering defect that could cause fires](https://www.reuters.com/business/?ref=consumernews.ai), even as Ford announced its own 1.74-million-vehicle recall for a separate defect Friday. Five stories, one verdict: the consumer economy is bending in ways the headline statistics still aren't fully capturing.
**A 15-hour war, an Apache down near Hormuz and the consumer economy held hostage to the next escalation**
The weekend's flare-up between Iran and Israel proved both shorter and more consequential than markets feared. After Iran launched roughly 30 ballistic missiles at Israel on Sunday night in retaliation for an Israeli airstrike on Hezbollah's stronghold in southern Beirut, Israel hit back with attacks on military sites in Isfahan, Tabriz and Tehran in the early Monday hours, but agreed to halt by Monday evening after President Trump posted on Truth Social that both nations "are aiming for an immediate CEASEFIRE!" Tehran's Foreign Ministry confirmed to [CNBC that its military had halted attacks on Israel](https://www.cnbc.com/2026/06/07/stock-market-today-live-updates.html?ref=consumernews.ai) but warned that hostilities would resume if Israel continued operations in Lebanon. The fighting lasted [roughly 15 hours](https://www.nytimes.com/live/2026/06/08/world/iran-israel-lebanon-attacks?ref=consumernews.ai), the [New York Times reported](https://www.nytimes.com/live/2026/06/08/world/iran-israel-lebanon-attacks?ref=consumernews.ai).
That apparent off-ramp was complicated within hours. [The New York Times reported Tuesday morning that a U.S. Army Apache helicopter went down near the Strait of Hormuz on Monday](https://www.nytimes.com/live/2026/06/09/world/iran-war-trump-israel-lebanon?ref=consumernews.ai), with both crew members successfully rescued. President Trump told reporters early Tuesday that the cause is being investigated and a full report is forthcoming. The Times said it is the first Apache lost in the conflict, although Iran has downed approximately 30 unmanned Reaper drones and several U.S. fighter jets have been lost to hostile and friendly fire since the war began Feb. 28.
The market response Tuesday was a partial walk-back of Monday's panic. After Monday's session sent [Brent crude as high as $96.65 a barrel](https://www.cnbc.com/2026/06/07/stock-market-today-live-updates.html?ref=consumernews.ai), prices retreated as news of the ceasefire broke, with WTI later settling up 3.3 percent at $93.93\. By Tuesday morning [oil had eased further on word of the bilateral standdown](https://www.bloomberg.com/news/videos/2026-06-09/iran-israel-pledge-to-end-attacks-that-threatened-talks-video?ref=consumernews.ai), with Bloomberg saying the market was "watching to see whether the ceasefire holds." The Strait of Hormuz, which carries about 20 percent of the world's oil supply, remains the operational variable; [the European Union ratified a fresh round of sanctions Monday](https://www.nbcnews.com/world/iran/live-blog/live-updates-israel-iran-strikes-rcna346556?ref=consumernews.ai) against Iranian Revolutionary Guard naval forces and two Iranian officials over a Hormuz "tollbooth system," a move Iran's Deputy Foreign Minister Kazem Gharibabadi denounced as "deceitful." On the household side, AAA's national gasoline average stood at $4.17 a gallon Sunday, still 40 percent above the pre-war level. Trump's Foreign Service-style ceasefire diplomacy briefly clipped the upside; the downed Apache is the reminder that the floor under crude is still being held up by an active war.
**The New York Fed's monthly household survey shows the most pessimism since 2022 — and it lines up with the CPI print due Wednesday**
Federal Reserve Bank of New York economists released the May edition of their Survey of Consumer Expectations on Monday, and the results paint the most pessimistic picture of the household economy since 2022\. The share of respondents who said their financial situation was "much worse" than a year ago jumped roughly 2.7 percentage points to [13.3 percent](https://www.cnbc.com/2026/06/08/household-financial-worries-at-highest-level-since-2022-new-york-fed-says.html?ref=consumernews.ai), the highest reading since July 2022 — itself a peak hit during the worst of the 2021-2022 inflation shock. The combined "much or somewhat worse than last year" share reached 48.7 percent, the highest reading since January 2023, and the [CBS News report on the same data](https://www.cbsnews.com/news/americans-worse-off-financially-year-ago-fed-survey/?ref=consumernews.ai) put the number even more starkly: "nearly half of Americans now say they're worse off financially" than a year ago.
The forward-looking numbers in the survey are no friendlier. The share of consumers expecting their finances to be either much or somewhat worse in the year ahead rose to 36 percent; only 22.9 percent expect improvement. The gap between those expecting better and worse outcomes is now at its lowest point since October 2022\. Household-spending growth expectations fell 0.4 percentage point from April. Rent-price expectations rose 1.74 percentage points; food-price expectations rose 0.58 percentage point; gasoline-price expectations actually fell 0.5 percentage point, the only category that softened. Year-ahead inflation expectations slipped 0.1 percentage point to 3.5 percent, while three-year expectations held at 3.1 percent and five-year at 3.0 percent — all stubbornly above the Federal Reserve's 2 percent target.
That backdrop sets up Wednesday's May Consumer Price Index, which arrives at 8:30 a.m. ET. [The CNBC writeup of the New York Fed survey pegged Dow Jones consensus at 4.2 percent year-over-year for headline CPI and 2.9 percent for core CPI excluding food and energy](https://www.cnbc.com/2026/06/08/household-financial-worries-at-highest-level-since-2022-new-york-fed-says.html?ref=consumernews.ai). [The Wall Street Journal's bond-market report Monday flagged the same consensus, with core expected to rise from 2.8 percent in April to 2.9 percent in May](https://www.wsj.com/finance/investing/jgb-futures-fall-tracking-price-declines-in-u-s-treasury-market-48c22757?ref=consumernews.ai). CBS News, citing FactSet data, put headline CPI consensus at 4.2 percent, [which would mark the highest annual pace of inflation in three years](https://www.cbsnews.com/news/americans-worse-off-financially-year-ago-fed-survey/?ref=consumernews.ai). Federal Open Market Committee meets June 16-17, and market expectations indicate a near-zero probability of a rate cut, with growing odds the central bank may instead deliver a quarter-point hike before year-end.
**Small-business optimism is back to its October 2024 low, erasing nearly all the post-election bounce**
A second data point from Tuesday morning reinforced the household survey. The [National Federation of Independent Business reported its Small Business Optimism Index fell 0.6 point in May to 95.3, the lowest reading since October 2024](https://www.bloomberg.com/news/articles/2026-06-09/us-small-business-optimism-falls-to-lowest-since-october-2024?ref=consumernews.ai) and a near-total erasure of the post-election rally that had carried the index to a six-year high of 105.1 in December 2024\. The [Wall Street Journal's report on the same release](https://www.wsj.com/business/entrepreneurship/u-s-small-business-confidence-ticked-down-in-may-b087f8d3?ref=consumernews.ai) confirmed the figure. The 95.3 May reading sits below the index's long-term average of 98 — a threshold the NFIB describes as the line separating expansion-leaning small business sentiment from contraction-leaning.
The slide matters because small businesses account for roughly 99.9 percent of U.S. firms and employ about 46.4 percent of the private workforce. The index began deteriorating in February as the Iran war began pushing energy and shipping costs higher, and the May reading suggests the cumulative drag from war-driven inflation, tariff-related sticker shock and persistent above-6.5-percent borrowing costs is now hitting hiring and capex decisions at the Main Street level. The Tuesday data was paired with Monday's [Bureau of Labor Statistics JOLTS reading for April, which showed job openings retreating to 7.1 million](https://www.cnbc.com/2026/06/08/household-financial-worries-at-highest-level-since-2022-new-york-fed-says.html?ref=consumernews.ai), and a [CNBC report Monday afternoon showing China's May exports rose 6.3 percent year-over-year despite the tariff war](https://www.cnbc.com/2026/06/09/china-trade-exports-imports-iran-war.html?ref=consumernews.ai) — relevant because Chinese producer-price data is expected to rise from 0.8 percent to 1.2 percent in May, meaning the U.S. is now importing inflation from both ends of the supply chain.
**Stellantis recalls 1,076,999 U.S. vehicles for a power-steering defect that could cause fires, and Ford follows with a 1.74-million-vehicle rearview-camera recall**
The auto-recall story that already dominated the consumer beat last week reached a fresh peak Tuesday morning. The U.S. National Highway Traffic Safety Administration said in [a Tuesday alert reported by Reuters](https://www.reuters.com/business/?ref=consumernews.ai) that [Stellantis is recalling 1,076,999 vehicles in the U.S. due to a defect in the power-steering system that could increase the risk of fire](https://www.reuters.com/business/?ref=consumernews.ai). The recall is one of the largest single-defect actions on a Stellantis nameplate in recent memory. Specific models, model years and the precise mechanism of the defect were not stated in the NHTSA wire summary as of Tuesday morning; owner-notification details and the campaign number are expected to follow in a separate filing during the day. Affected owners should check the NHTSA recall database at [nhtsa.gov](http://nhtsa.gov/?ref=consumernews.ai) or call the Stellantis recall hotline once it is publicized.
The Stellantis action arrives on top of [Ford's announcement Friday that it would recall 1.74 million vehicles in the U.S. over a rearview-camera defect](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai) that NHTSA says can prevent images from displaying, reducing the driver's view behind the vehicle. That recall is separate from — and roughly four times larger than — the 420,000 Expedition/Navigator seat-belt-retractor recall Ford announced earlier in the spring and the 4,653-vehicle "do not drive" warning Ford put out on certain 2021-2026 Bronco Sport and 2022-2026 Maverick models late last week over front lower control-arm ball joints that can disconnect the wheel.
The cumulative running total for the spring is now well over 3.2 million U.S. vehicles under active recall across two automakers, a pace that auto-industry analysts say is reminiscent of the 2014-2016 Takata airbag period — and it lands just as Manheim's Used Vehicle Value Index has posted its third straight month of price increases, pushing more consumers into a used market that is itself getting younger and more recall-saturated. Combined with Ford's separate "do not drive" warning, the spring of 2026 is shaping up as one of the most consequential auto-safety stretches in roughly a decade for ordinary American households.
**Mortgage rates are bouncing along a war-era ceiling, and Apple's WWDC reset the consumer-tech bar**
The week's other consumer-facing storyline is the housing market's continued whiplash. [The Wall Street Journal's daily Bankrate tracker Monday put the 30-year fixed mortgage at 6.53 percent, with 15-year loans at 5.89 percent and 5/1 ARMs at 5.70 percent](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-6-8-2026?ref=consumernews.ai), a few basis points higher than last Friday but still below the 6.70 percent war-era ceiling reached in mid-May. [CBS News, citing Zillow data, put the 30-year at 6.50 percent as of June 8](https://www.cbsnews.com/news/whats-good-mortgage-interest-rate-june-2026/?ref=consumernews.ai) and noted that Fannie Mae no longer expects rates to fall below 6 percent for the rest of 2026\. The math on the household budget is the same as it has been for a month: the gap between a pre-war 6.09 percent and today's 6.53 percent is roughly $114 a month and $41,200 over the life of a $400,000 mortgage. The Fed's June 17 decision will set the tone for the second half of the year, and the May CPI print due Wednesday at 8:30 a.m. is the variable most likely to push that rate either lower or — for the first time since 2024 — higher.
The other consumer-tech storyline came Monday from Cupertino, California, where Apple's annual Worldwide Developers Conference unveiled an overhauled Siri AI assistant and software updates that, [in the Wall Street Journal's coverage](https://www.wsj.com/tech/apple-wwdc-2026-annoucements-69c7948c?ref=consumernews.ai), represent the company's most aggressive AI-product push to date. The presentation triggered the chip-stock rally that lifted the S&P 500 0.3 percent on Monday — a useful reminder that even in a war-clouded economy, the AI capex cycle that has dominated stock-market headlines for two-plus years is still firmly intact, even as the consumer-facing economy struggles.
**The bigger picture**
Five stories, one verdict. The American household economy is now flashing the kind of sentiment readings the country has not seen since the worst of 2022's inflation shock, even as the labor market refuses to roll over and as the tax-refund tailwind that propped up spending all spring keeps fading. Wednesday's May CPI print is the single most important number of the week. If the print lands at the consensus 4.2 percent year-over-year and core sticks at 2.9 percent, mortgage rates will hold their war-era ceiling around 6.5 percent, the Fed's June 17 decision shifts decisively toward "hold-but-leaning-hawkish," and the consumer-stress data from the New York Fed and NFIB will start to bleed into hiring decisions later this summer. If the print runs even half a percentage point hotter, a quarter-point Fed hike before year-end becomes more than a tail risk. The Iran war, even paused, is still pulling household budgets in the wrong direction; the auto-safety story is now affecting more than 3 million vehicles in a single spring; and small businesses, which the U.S. economy quietly leans on for half of all private payrolls, are signaling that the post-election optimism is essentially gone. The next 30 hours will tell most of the story.
### DoorDash, Instacart face FTC scrutiny over hidden delivery fees
URL: https://www.consumernews.ai/doordash-instacart-face-ftc-scrutiny/
Last updated: 2026-06-19T19:15:24.000Z
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### FTC targets “drip pricing” in delivery apps
The [Federal Trade Commission](https://www.ftc.gov/news-events/news/press-releases/2026/04/ftc-seeks-public-comment-unfair-deceptive-fee-practices-online-food-grocery-delivery-services?utm%5Fsource=chatgpt.com) has opened a rulemaking process aimed at what regulators describe as potentially unfair or deceptive fee practices in online food and grocery delivery services.
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The agency is seeking public comment on whether companies such as DoorDash, Instacart, Uber Eats and others should be required to disclose the full cost of an order earlier in the purchasing process.
The FTC’s concern centers on so-called “drip pricing,” a practice in which consumers see an attractive initial price but encounter additional service fees, delivery charges and other costs later in the checkout process. Regulators are examining how menu prices, subscriptions, discounts and “free delivery” offers are presented to consumers.
### Consumers paying far more than expected
The debate comes as delivery services have become a routine part of household spending. According to a LendingTree study cited by [TheStreet](https://www.thestreet.com/restaurants/doordash-instacart-face-critical-ftc-fight-over-consumer-fees?utm%5Fsource=chatgpt.com), ordering through delivery platforms can cost nearly 80% more on average than picking up food directly from a restaurant.
Consumer groups argue that many shoppers do not realize how much they are paying in markups and fees until the final stages of an order. [Some advocates](https://www.globalpolicywatch.com/2026/04/ftc-seeks-comment-by-may-18-on-food-delivery-pricing-and-fees/?utm%5Fsource=chatgpt.com) also question whether item prices on delivery apps accurately reflect in-store prices.
Industry representatives counter that delivery pricing is complex because factors such as distance, order size, demand and product availability can change the final cost. [They warn](https://laweconcenter.org/resources/icle-comments-to-ftc-on-online-food-delivery-service-fees/?utm%5Fsource=chatgpt.com) that overly rigid disclosure requirements could create confusion rather than clarity.
### Recent enforcement actions raise pressure
The FTC’s review follows several high-profile enforcement actions involving delivery platforms.
In December 2025, Instacart agreed to pay $60 million in consumer refunds to settle allegations that it advertised “free delivery” while charging service fees and failed to adequately disclose automatic subscription renewals. Instacart denied wrongdoing but agreed to the settlement.
DoorDash has also faced litigation and settlements over fee disclosures and pricing practices. Chicago reached an $18 million settlement with the company in 2025 over allegations involving deceptive practices during the pandemic era. DoorDash did not admit wrongdoing, according to [Top Class Actions](https://topclassactions.com/lawsuit-settlements/lawsuit-news/doordash-agrees-to-18m-settlement-with-chicago-over-deceptive-hidden-fees/?utm%5Fsource=chatgpt.com).
### What this means for consumers
If the FTC ultimately adopts new rules, consumers could see:
- Earlier disclosure of delivery, service and platform fees.
- Clearer explanations of subscription costs and renewal terms.
- Better information about differences between in-store and app prices.
- More transparency regarding promotions and “free delivery” offers.
Any federal rule would likely take months or years to finalize, but the issue is gaining momentum as regulators, lawmakers and consumer advocates increasingly focus on hidden fees across the economy. Similar transparency efforts have already targeted ticketing, lodging and other industries.
### Affordability Watch
Food delivery apps offer convenience, but convenience often comes at a steep premium. Beyond delivery charges, consumers may pay higher menu prices, service fees, small-order fees and tips.
Consumer advocates say the FTC’s inquiry could make it easier for households to compare the true cost of delivery versus pickup before placing an order.
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### Listeria outbreak tied to soft cheese kills one, sickens seven; more products may be affected
URL: https://www.consumernews.ai/listeria-outbreak-tied-to-soft-cheese/
Last updated: 2026-06-19T19:15:24.000Z
The Food and Drug Administration and the Centers for Disease Control and Prevention warned consumers Friday and over the weekend not to eat, sell or serve soft requeson and ricotta-style cheeses manufactured by Clover Hill Dairy of Mechanicsville, Maryland, after an investigation tied the products to a [multi-year, multi-state listeria monocytogenes outbreak that has killed one person and hospitalized seven](https://www.fda.gov/food/outbreaks-foodborne-illness/outbreak-investigation-listeria-monocytogenes-soft-cheese-june-2026?ref=consumernews.ai).
Eight people across Maryland, New York and Virginia have been sickened, with confirmed illness dates ranging from March 6, 2023, through May 9, 2026\. Of the seven people interviewed by CDC investigators, five reported eating cheese, and two reported eating Clover Hill Dairy requeson specifically.
The outbreak traces back to two related cases from a single family in Suffolk County, New York, reported May 13 by the [Suffolk County Health Department to New York state agriculture officials](https://www.fda.gov/food/outbreaks-foodborne-illness/outbreak-investigation-listeria-monocytogenes-soft-cheese-june-2026?ref=consumernews.ai).
State inspectors tested five cheese samples from the family’s retailer and found listeria in a repacked requeson sample; whole-genome sequencing confirmed the strain matched the cases.
On May 27, investigators traced the cheese to Clover Hill Dairy, and a sealed 18-pound bucket from the manufacturer also tested positive. Clover Hill issued a voluntary recall June 3, and the Maryland Department of Health has suspended the dairy’s operating license.
### Other products may be affected
The FDA cautioned that the agency is “in the early stages of this investigation, additional products may be impacted, and further testing by FDA and state partners is underway.”
Some Clover Hill products are distributed at farmers markets and through third-party distributors, may be relabeled under different brand names, and can be identified by the Clover Hill Dairy manufacturer permit number 24-128 on the package.
> Pregnant women, adults 65 and older, and people with weakened immune systems are at highest risk and should avoid all queso fresco-style cheeses pending the outcome of the investigation.
Separately, a smaller recall of one-pound clamshell-pack requeson by Nelson & Isa Lacteos LLC was added to [the FDA’s recall roster](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai) over the weekend on the same contamination concern, and Target’s Up & Up baby wipes were recalled in fragrance-free and fresh-cucumber-scented varieties for potential bacterial contamination.
### CPI is Wednesday, mortgage rates are stuck above 6.5 percent and the housing market is paying the price
URL: https://www.consumernews.ai/cpi-is-wednesday-mortgage-rates-are/
Last updated: 2026-06-19T19:15:24.000Z
The single most important consumer number of the week arrives at 8:30 a.m. ET Wednesday, when the Labor Department releases the May Consumer Price Index.
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[April CPI was up 3.8 percent over the year](https://www.bankrate.com/mortgages/analysis/mortgage-rates-june-3-2026/?ref=consumernews.ai), well above the Federal Reserve’s 2 percent target, and the consensus is for a similar print in May with rising risk to the upside given that the energy shock is now four months deep. PBS reported over the weekend that [mortgage rates “are staying high” and the Fed “can do little about it”](https://www.pbs.org/newshour/economy/u-s-mortgage-rates-are-staying-high-and-the-federal-reserve-can-do-little-about-it?ref=consumernews.ai) so long as the war keeps pushing oil and the 10-year Treasury yield higher.
The mortgage data, taken together, paints a stark picture.
Bankrate reported the [30-year fixed-rate mortgage at 6.52 percent late last week](https://www.bankrate.com/mortgages/analysis/mortgage-rates-june-3-2026/?ref=consumernews.ai), having drifted lower from a war-era peak above 6.70 percent but still well above the 2026 low of 6.09 percent reached just before the war began. [Curinos pegged the average fixed home equity loan rate at 7.86 percent and the average HELOC rate at 7.25 percent Monday morning](https://finance.yahoo.com/personal-finance/mortgages/article/heloc-home-equity-loan-rates-today-monday-june-8-2026-100000056.html?ref=consumernews.ai), with home equity loans rising sharply through May while HELOCs hovered near their annual lows.
Bankrate’s chief financial analyst told the publication that housing economists “no longer expect mortgage rates to fall below 6 percent in the near future,” a hard reset of consensus that began the year expecting cuts.
### Brutal math
For shoppers walking into the housing market this summer, the math is brutal. The difference between the pre-war 6.09 percent and today’s 6.52 percent works out to roughly $112 a month on a $400,000 mortgage and about $40,400 over the life of the loan.
The week ahead has Casey’s General Stores reporting Tuesday and Chewy, Oracle and Adobe reporting Wednesday — early reads on whether households at varying income levels are still showing up.
The retail picture has been bifurcating for months. [Casey’s analysts expect 28.9 percent earnings growth year-over-year](https://www.zacks.com/stock/news/2930782/caseys-general-stores-casy-reports-next-week-wall-street-expects-earnings-growth?ref=consumernews.ai) as Midwesterners squeeze more gallons through its convenience-store-and-pizza model. [Stitch Fix, which reports Wednesday afternoon, is expected to post another loss](https://www.marketbeat.com/instant-alerts/stitch-fix-sfix-projected-to-post-earnings-on-wednesday-2026-06-03/?ref=consumernews.ai), a reminder that the discretionary apparel category remains in retrenchment.
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### Summer electric rates are back, and consumers could pay more when they use power most
URL: https://www.consumernews.ai/summer-electric-rates-are-back-and/
Last updated: 2026-06-19T19:15:25.000Z
### Consumer advocates say families should take steps now to shift electricity use outside peak periods to avoid the biggest increases.
As summer temperatures rise, American households are seeing higher electricity prices during the hours when air conditioners, appliances and other equipment place the greatest demand on the power grid.
Utilities across the country are increasingly urging customers to reduce usage during peak afternoon and evening hours, and many are moving customers to "time-of-use" rate structures that charge more when demand is highest. The goal is to reduce strain on the grid during hot summer weather and avoid expensive purchases of emergency power.
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- In Pennsylvania, the state’s utility commission issued a statewide alert warning consumers about higher summer electricity costs and encouraged customers to reduce consumption during periods of heavy air-conditioning use.
- In Virginia, utilities are promoting voluntary off-peak pricing plans that reward customers who shift electricity use away from high-demand periods.
- In California, most major utilities have moved residential customers onto time-of-use plans where electricity costs more during late afternoon and evening peak periods, generally around 4 p.m. to 9 p.m.
- In Illinois, utilities are advising customers to move electricity use away from higher-priced hours, typically between 4 p.m. and 7 p.m. during summer months.
The bigger story for consumers may be *why* these advisories are becoming more common. Utilities and grid operators point to these factors:
- More extreme summer heat.
- Growing use of air conditioning.
- Rapid expansion of electric vehicles.
- Increasing electricity demand from AI-driven data centers.
- Slower-than-needed additions of new generation and transmission infrastructure.
### What consumers can do
Consumers looking to reduce their summer electric bills should consider:
• Running dishwashers, washing machines and dryers after peak hours.
• Charging electric vehicles overnight whenever possible.
• Pre-cooling homes before peak-rate periods begin.
• Using programmable thermostats to reduce air-conditioning use during the most expensive hours.
• Avoiding major appliance use during peak hours, generally late afternoon and early evening.
For many households, those adjustments could make the difference between a manageable summer utility bill and a costly surprise when monthly statements arrive.
### Time-of-use rates can be a problem
For consumers, trying to take advantage of lower rates during off-peak hours isn’t always easy.
Utilities argue that higher peak-period prices better reflect the cost of generating and delivering electricity when demand is greatest. By encouraging customers to run dishwashers, laundry machines and electric vehicle chargers outside peak hours, utilities say they can reduce system costs and improve grid reliability.
Consumer advocates counter that many households — especially families with children, older adults and people working from home — have limited ability to avoid using electricity during the hottest parts of the day.
They note, too, that off-peak discount pricing is fine except that utilities around the country continue to seek higher base rates which can reduce the effectiveness of the discounts.
In Michigan, for example, Consumers Energy recently filed for a rate increase worth roughly $456 million annually, while DTE is seeking a separate $474 million increase. State regulators will review those requests over the coming months.
Michigan Attorney General Dana Nessel has announced that her office will challenge the proposed increases, arguing that utility customers are already struggling with affordability concerns and repeated rate hike requests.
### Affordability Watch
The latest summer pricing changes come amid growing scrutiny of utility costs nationwide. Rising electricity demand, grid modernization projects, storm-hardening investments and the expansion of energy-hungry data centers are putting upward pressure on utility spending and customer bills.
Utilities say those investments are necessary to improve reliability, while critics argue consumers are being asked to shoulder too much of the cost.
###
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### New York watchdog targets junk fees, subscription traps
URL: https://www.consumernews.ai/new-york-watchdog-targets-junk-fees/
Last updated: 2026-06-19T19:15:25.000Z
### New York City aims to become a consumer protection powerhouse
New York City is ramping up its fight against junk fees, deceptive subscriptions and other consumer abuses, with Mayor Zohran Mamdani’s administration signaling that consumer protection will be a central part of its affordability agenda.
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In an interview with [The Guardian](https://www.theguardian.com/us-news/2026/jun/05/mamdani-new-york-city-consumer-watchdog?utm%5Fsource=chatgpt.com), New York City Department of Consumer and Worker Protection Commissioner Samuel A.A. Levine said the United States has experienced decades of corporate misconduct with too few consequences and that New York intends to fill part of the enforcement gap.
Levine, who previously served as a senior consumer protection official at the Federal Trade Commission, has spent the first months of the new administration pursuing actions against companies accused of deceptive practices.
The department has brought cases involving self-storage companies and secured settlements involving major corporations, including food delivery and e-commerce firms, according to the report.
**What consumers can do now**
- Review recurring subscriptions at least quarterly.
- Save cancellation confirmations and screenshots.
- Check credit card and bank statements for forgotten subscriptions.
- File complaints with local and state consumer protection agencies when businesses refuse to honor cancellation requests.
- Document all communications when disputing charges or seeking refunds.
Consumer advocates say those steps remain the best defense against subscription traps and hidden fees while regulators continue to debate new rules.
### Click-to-cancel could become national model
A centerpiece of the city’s agenda is a proposed “click-to-cancel” rule that would require businesses to provide a simple way for consumers to end subscriptions.
Under the proposal, companies marketing to New Yorkers would be required to make cancellations straightforward rather than forcing customers through lengthy phone calls, multiple screens or other obstacles. If adopted, New York City would become the first U.S. municipality to implement such a requirement.
The proposal follows executive actions signed by Mayor Mamdani earlier this year directing city agencies to crack down on junk fees and subscription practices that critics describe as “[tricks and traps](https://www.steptoe.com/en/news-publications/dont-fuhgeddaboudit-nyc-to-engage-in-aggressive-consumer-protection-enforcement.html?ref=consumernews.ai).”
### Growing consumer frustration
The initiative arrives at a time when consumer dissatisfaction appears to be surging.
A recent [National Consumer Rage survey](https://www.theguardian.com/us-news/ng-interactive/2026/jun/04/us-consumer-rage-prices-economy?ref=consumernews.ai) found that nearly 80% of Americans experienced a product or service problem during 2025, while roughly two-thirds reported feelings of [consumer “rage.”](https://www.theoutragedconsumer.com/p/consumer-rage-is-boiling-over-as?utm%5Fsource=publication-search) Complaints ranged from hidden fees and billing mistakes to poor customer service and confusing cancellation procedures.
Consumer advocates argue that subscription-based business models have expanded rapidly as software, streaming services, fitness memberships and other products have shifted from one-time purchases to recurring payments. Critics contend that some companies make enrollment easy while creating barriers to cancellation.
### What this means for consumers
For consumers, the New York initiative could make it easier to cancel unwanted subscriptions, recover money from disputed charges and report deceptive business practices.
The city currently receives about 30,000 consumer complaints annually through its consumer protection office, and Levine says he would like that number to grow as more residents become aware of available protections. The agency uses mediation, investigations and legal actions to resolve complaints and pursue enforcement when necessary.
Whether New York’s approach becomes a model for other cities remains to be seen, but consumer advocates say the effort reflects a broader trend: as federal consumer protection enforcement becomes less predictable, states and local governments are increasingly stepping in to police junk fees, deceptive subscriptions and other marketplace abuses.
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### Trump targets unverified immigrants' bank accounts, tightening oversight of credit and bank accounts
URL: https://www.consumernews.ai/trump-targets-unverified-immigrants/
Last updated: 2026-06-19T19:15:25.000Z
### A major shift in banking policy
While the mainstream media focused on the Reflecting Pool paint job and Graham Platner’s love life last week, President Trump was signing an executive order that critics say may push undocumented immigrants out of the mainstream banking system.
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The order, titled **“**[Restoring Integrity to America’s Financial System](https://www.whitehouse.gov/presidential-actions/2026/05/restoring-integrity-to-americas-financial-system/?ref=consumernews.ai)**,”** directs the Treasury Department, banking regulators and the Consumer Financial Protection Bureau to review and tighten rules governing financial services provided to people who lack verified legal status or work authorization.
The White House said the order is intended to protect the financial system from fraud, money laundering, payroll tax evasion, labor trafficking and other forms of illicit activity. The administration argues that current banking and lending practices do not adequately account for risks associated with unlawful employment and immigration violations.
### What the order does
Among other provisions, the executive order:
- Directs Treasury to issue guidance identifying suspicious banking activity tied to payroll tax evasion, labor trafficking and off-the-books wage payments.
- Calls for stronger customer due-diligence requirements under the Bank Secrecy Act.
- Orders regulators to consider tightening customer identification rules, including those involving foreign consular identification cards.
- Directs federal regulators to examine the risks of extending loans and other financial services to people without work authorization.
- Calls on the CFPB to consider whether potential deportation or loss of employment should be considered when evaluating a borrower’s ability to repay a loan.
### Why ITINs are at the center of the debate
The order has drawn particular attention because it references the use of **Individual Taxpayer Identification Numbers (ITINs)** in banking and credit decisions.
ITINs are issued by the IRS to people who are required to pay U.S. taxes but are not eligible for Social Security numbers. Banks and credit unions have long accepted ITINs as one form of identification for opening accounts, and many mortgage lenders and financial institutions use them in underwriting programs aimed at immigrant communities.
The White House fact sheet specifically directs Treasury to identify suspicious activity involving the use of ITINs to open accounts or obtain credit without verified legal presence.
Legal and banking analysts say the order does not immediately prohibit banks from opening ITIN-based accounts, but it signals that regulators may require greater scrutiny of those customers and their transactions in the future, according to [Cooley Finsights](https://finsights.cooley.com/white-house-issues-executive-orders-targeting-financial-system-integrity-fintech-innovation/?utm%5Fsource=chatgpt.com).
### Treasury already moving ahead
The administration has already begun implementing the order.
Earlier this month, Treasury’s Financial Crimes Enforcement Network (FinCEN) issued guidance urging financial institutions to watch for “red flags” associated with payroll fraud schemes involving shell companies, unauthorized workers and accounts opened using foreign identification documents or ITINs. The advisory identified numerous warning signs and encouraged banks to file suspicious activity reports when warranted. ([New York Post](https://nypost.com/2026/06/05/business/treasury-dept-moves-to-crack-down-on-illegal-immigrant-labor-urging-banks-to-report-red-flags/?utm%5Fsource=chatgpt.com))
Treasury Secretary Scott Bessent said the administration will not allow the financial system to be used to facilitate illegal employment or fraud against taxpayers.
### Consumer groups warn of “debanking”
Consumer advocates and immigrant-rights organizations have sharply criticized the order.
The [National Consumer Law Center argues](https://www.nclc.org/executive-order-will-cut-off-financial-services-to-millions-of-immigrants/?ref=consumernews.ai) that the directive could lead banks to close accounts or deny services to millions of immigrants who currently use mainstream financial institutions. The organization says forcing consumers out of regulated banking channels could increase reliance on cash transactions and alternative financial services.
Credit-union groups and financial-inclusion advocates have also expressed concern that restrictions on ITIN lending and banking could reduce access to mortgages, small-business loans and basic checking accounts for tax-paying immigrants.
### What this means for consumers
For now, consumers who use ITINs can still open bank accounts and obtain financial services where institutions offer those products. The executive order does not automatically change existing banking rules.
However, banks, credit unions and lenders may face new compliance requirements in the coming months as Treasury, FinCEN, the CFPB and federal banking regulators develop guidance and proposed regulations required by the order.
The result could be tougher verification procedures, more questions during account opening, and increased scrutiny of certain lending and banking relationships involving customers who do not have Social Security numbers.
### **Bottom line**
The administration says the order is aimed at fraud prevention and protecting taxpayers. Critics say it risks cutting law-abiding immigrants off from the banking system. The biggest impacts will depend on how aggressively federal regulators implement the order over the next several months. ([The White House](https://www.whitehouse.gov/fact-sheets/2026/05/fact-sheet-president-donald-j-trump-restores-integrity-to-americas-financial-system/?utm%5Fsource=chatgpt.com))
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### Banks cash in - overdraft fees climb above $12 billion after Trump, Congress slash consumer protection rules
URL: https://www.consumernews.ai/banks-cash-in-overdraft-fees-climb/
Last updated: 2026-06-19T19:15:26.000Z
### Overdraft fees are rising again
Consumers paid more than $12 billion in overdraft and NSF fees last year, reversing a downward trend that followed years of regulatory pressure on banks, according to a [new report](https://www.nclc.org/overdraft-and-nsf-fees-rise-above-12-billion/?ref=consumernews.ai) from the National Consumer Law Center.
The report ([full copy here](https://www.nclc.org/resources/the-12-billion-overdraft-trap/?ref=consumernews.ai)) estimates that banks and credit unions collected more than $12.1 billion in overdraft-related fees during 2025\. The total marks a significant increase from recent years.
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> The increased comes after Congress repealed a Consumer Financial Protection Bureau rule that would have capped most overdraft fees at $5.
NCLC argues that overdraft fees remain one of the most expensive forms of short-term credit available to consumers, often hitting people who are already struggling financially.
### Biggest banks remain major fee collectors
According to the report, some of the nation’s largest financial institutions continue to generate substantial revenue from overdraft programs.
NCLC said:
- JPMorgan Chase collected roughly $1 billion in overdraft fees.
- Wells Fargo collected about $1 billion.
- Several regional banks also reported substantial increases.
Some of the report’s findings were a bit surprising:
- USAA Federal Savings Bank, which caters to the military community, has dramatically increased its overdraft fee revenue since 2023, by a larger percentage than any other bank, primarily by introducing overdraft fees in late 2023.
- On a per account basis, Regions Bank had the most overdraft fee revenues among large banks, $30 a year on average, and many families paid far more.
- Overdraft revenues are no longer available for credit unions after the National Credit Union stopped requiring reporting of that data, but in 2024 Navy Federal Credit Union had $28 in overdraft fees per account, higher than all but one of the top 20 banks.
Notably, some national players charge no overdraft fees, including Capital One, Citibank, American Express, and Ally Bank, and none of the top 20 banks charges NSF fees.
The report notes that a relatively small percentage of customers often account for a large share of overdraft fees, with lower-income households disproportionately affected.
“With Congress and the Trump Administration reversing protection against abusive and unfair bank practices that multiply overdraft fees, some banks are seizing the opportunity to turn struggling families into a profit center,” said Lauren Saunders, senior attorney at the National Consumer Law Center.
### Why consumers get hit
An overdraft occurs when a bank approves a transaction even though the account lacks sufficient funds. The bank covers the payment and then charges a fee, typically ranging from $30 to $40.
Consumer advocates argue that a $35 overdraft fee on a small purchase can amount to an annualized interest rate of several hundred percent if viewed as a short-term loan.
Banks contend that overdraft services help customers avoid bounced checks, declined transactions and other disruptions.
### Affordability Watch
The resurgence of overdraft fees comes as many households continue to struggle with:
- High credit-card balances.
- Elevated interest rates.
- Rising housing costs.
- Persistent grocery and utility inflation.
Consumer advocates say overdraft charges often strike just before payday, creating a cycle in which repeated fees make it even harder for households to recover financially.
### What consumers can do
Financial counselors recommend:
- Opting out of debit-card overdraft programs when possible.
- Setting low-balance alerts through online banking apps.
- Linking savings accounts for overdraft protection.
- Choosing institutions that offer grace periods or low-cost overdraft alternatives.
- Reviewing account disclosures to understand when fees are charged.
Several online banks and credit unions have eliminated overdraft fees entirely, arguing that the charges are unnecessary and damage customer relationships.
### What happens next?
NCLC is urging lawmakers and regulators to revisit overdraft reforms, including a cap on fees and a ban on NSF charges.
The debate is likely to continue as banks defend overdraft programs as a valuable service while consumer advocates characterize them as a costly penalty that falls most heavily on financially vulnerable households.
[Subscribe](#/portal/signup)
### GLP-1 drugs are reshaping the world while raising longterm questions
URL: https://www.consumernews.ai/glp-1-drugs-are-reshaping-the-world-while-raising-longterm-questions/
Last updated: 2026-07-04T16:58:29.000Z
## A blockbuster class with reach far beyond diabetes
The drugs — a class known as GLP‑1 receptor agonists that includes brands like Ozempic, Wegovy, Mounjaro and Zepbound — were developed to treat type 2 diabetes but are now widely prescribed for obesity and off‑label weight loss.
They mimic a naturally occurring hormone that boosts insulin, slows stomach emptying and blunts appetite, often leading to double‑digit percentage weight loss in clinical trials and real‑world use, according to [Medcentral](https://www.medcentral.com/endocrinology/obesity/glp-1-agonists-the-latest-obesity-long-term-use-data?ref=consumernews.ai).
As use has exploded, researchers have scrambled to track the ripple effects across the body and the wider economy.
New studies and employer surveys suggest GLP‑1s can cut the risk of heart attack and stroke, reduce sleep apnea and perhaps even curb addiction and dementia, but they also bring higher odds of gastrointestinal trouble, gallstones and rare but serious kidney and pancreas problems, [researchers at Washington University](https://medicine.washu.edu/news/study-identifies-benefits-risks-linked-to-popular-weight-loss-drugs/?ref=consumernews.ai) say.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
### Side effects: from nuisance nausea to serious organ damage
Most patients quickly learn that the path to a smaller waistline runs through the stomach.
The most common side effects remain gastrointestinal: nausea, vomiting, diarrhea, indigestion and abdominal discomfort, all tied to the way GLP‑1s slow gastric emptying and alter gut signaling.
Those symptoms are usually mild to moderate and tend to improve over time or with dose adjustments, but they are a primary reason many patients stop treatment.
Cardiologists and anesthesiologists are also flagging a more [procedural risk](https://pubmed.ncbi.nlm.nih.gov/41697736/?ref=consumernews.ai): slowed gastric emptying increases the chance that food remains in the stomach during sedation, raising concerns about aspiration during endoscopy or surgery, especially in people with long‑standing diabetes.
At the more serious end of the spectrum, emerging data point to uncommon but consequential harms.
A large Veterans Affairs analysis found GLP‑1 users had higher rates of pancreatitis and kidney problems than comparable patients, prompting calls for closer monitoring of kidney function and vigilance for warning signs like severe abdominal pain.
Eye health has surfaced as another weak spot.
Rapid reductions in blood sugar on GLP‑1s can worsen existing diabetic retinopathy in some people, leading experts to recommend retinal screening and early ophthalmology involvement before starting therapy in high‑risk patients.
## Long‑term risks still coming into focus
For now, long‑term safety data are a patchwork.
Recent reviews report that years‑long use of GLP‑1s in people with diabetes and obesity has not confirmed earlier fears of increased pancreatic cancer, but some evidence points to a higher risk of certain thyroid cancers and modest increases in overall cancer risk among sustained users.
An [analysis](https://www.sciencedirect.com/science/article/pii/S2666776225001383?ref=consumernews.ai) of Danish registry data found long‑term GLP‑1 users had a small uptick in overall cancer risk, a signal researchers say could partly reflect the fact that these patients are living longer due to better cardiovascular health.
Other studies suggest elevated risks of bone‑related conditions such as osteoporosis and osteomalacia, as well as gout, compared with non‑users over five years of follow‑up.
Even within the class, some risks appear drug‑specific. A [recent study](https://medicalxpress.com/news/2025-11-glp-1s-impact-heart-kidneys.html?ref=consumernews.ai) of veterans found semaglutide was more often linked to gallstones than older GLP‑1 drugs, for reasons that remain unclear.
Still, many endocrinologists stress that, for properly selected patients with obesity and diabetes, the long‑term balance of benefit and harm currently favors staying on medication.
Large cardiovascular outcomes trials and observational data show similar kidney and heart safety across several major GLP‑1 drugs and hint that they may be “fairly safe” overall in real‑world use.
## Beyond the scale: heart, brain, kidneys and more
Even as side‑effect reports mount, so do claims that GLP‑1s are doing far more than shrinking waistlines.
Cardiologists now say the [most striking benefit](https://www.jmcfoundation.org/pinnacle-magazine/widespread-use-reveals-glp-1-benefits-for-cardiovascular-conditions-sleep-apnea-and-addiction?ref=consumernews.ai) may be in the heart: multiple large randomized trials have found that GLP‑1s cut major adverse cardiovascular events — heart attacks, strokes and cardiovascular death — by roughly 12% to 26% in high‑risk patients.
[Researchers at the University of Colorado](https://news.cuanschutz.edu/news-stories/the-underappreciated-benefits-of-glp-1-receptor-agonists?ref=consumernews.ai) Anschutz Medical Campus recently argued that the cardiovascular and kidney advantages appear to extend even to people who do not lose much weight, suggesting anti‑inflammatory or direct kidney and liver effects.
Veterans Affairs researchers likewise found that several GLP‑1 drugs delivered similar kidney and cardiovascular protection across different patient groups, with generally low rates of serious heart‑ and kidney‑related complications.
The brain may also be getting a boost.
In a [Washington University–VA study](https://medicine.washu.edu/news/study-identifies-benefits-risks-linked-to-popular-weight-loss-drugs/?ref=consumernews.ai) of more than 2 million people with diabetes taking GLP‑1 drugs, users had lower risks of neurocognitive disorders such as Alzheimer’s disease and dementia, as well as fewer seizures and psychotic disorders.
Behavioral health findings are equally striking, if still early.
The same study reported reduced risks of addiction to alcohol, cannabis, stimulants and opioids, along with lower rates of suicidal ideation, self‑harm and bulimia among GLP‑1 users, while a separate cardiovascular journal analysis suggested tirzepatide and semaglutide may dampen overall “anticonsumption” behaviors, from recreational drug use to heavy drinking.
Taken together, clinicians increasingly talk about GLP‑1s as a platform therapy that could alter the trajectory of heart disease, kidney failure, liver disease, cognitive decline and addiction — not just obesity and diabetes.
But they caution that many of these apparent benefits are modest in size, often in the 10% to 20% risk‑reduction range, and based on observational data that will need confirmation in targeted clinical trials.\[[news.cuanschutz](https://news.cuanschutz.edu/news-stories/the-underappreciated-benefits-of-glp-1-receptor-agonists?ref=consumernews.ai)\]
## Sticker shock and uneven insurance coverage
While the medical picture grows more nuanced, the financial one is already clear: these drugs are expensive.
Retail prices typically run from about $700 to $1,300 per month before insurance, a recurring bill that can rival a mortgage payment for those paying out of pocket.
Employers and health plans are wrestling with how — or whether — to absorb those costs.
A 2025 [employer health benefits survey](https://www.healthsystemtracker.org/brief/perspectives-from-employers-on-the-costs-and-issues-associated-with-covering-glp-1-agonists-for-weight-loss/?ref=consumernews.ai) found a sharp increase in the share of large firms with 5,000 or more workers that now cover GLP‑1s for weight loss, but benefit managers warn that broad coverage could significantly drive up premiums given how many employees medically qualify.
Roughly one‑third of non‑elderly people with employer coverage, an estimated 36.2 million individuals, have a body mass index high enough to qualify them for GLP‑1 treatment under typical clinical guidelines, according to the same analysis.
Policy analysts say that if even a fraction of those patients start and remain on GLP‑1 therapy, the drugs could become one of the largest line items in employer health spending for years to come.
For now, coverage is highly patchy.
Legal and benefits experts note that federal law does not require employers to cover GLP‑1s for either diabetes or obesity, and most group plans impose strict conditions or prior authorization hurdles for weight‑loss use.
State‑level mandates are even rarer.
North Dakota stands out as the only state that has updated its Affordable Care Act essential‑health‑benefit benchmark plan to require coverage of GLP‑1 and related drugs for prevention of diabetes and treatment of metabolic syndrome, insulin resistance and morbid obesity beginning in 2025.
At the federal level, the Trump administration has signaled an interest in widening access.
As 2025 ended, administration officials announced plans to pursue lower costs and expanded GLP‑1 coverage for Medicare and Medicaid beneficiaries, although detailed policy proposals have yet to be finalized.
## Retail, food and fashion feel the tremors
The GLP‑1 era is also remaking consumer behavior in ways that could hit corporate earnings.
Wall Street analysts are increasingly building GLP‑1 adoption into their models, projecting that sustained appetite suppression and weight loss will reduce spending on certain foods, alcohol and perhaps even larger‑sized clothing.
A [recent report](https://www.jpmorgan.com/insights/global-research/current-events/obesity-drugs?ref=consumernews.ai) from JPMorgan researchers, for example, flagged GLP‑1s as a key swing factor for fast‑food chains, snack makers and soft‑drink companies, while also highlighting potential upside for fitness and wellness brands if patients translate weight loss into more active lifestyles.
Other industry notes have pointed to possible declines in demand for bariatric surgery and devices as patients and payers opt for medication instead, creating pressure on surgical centers and medical‑device makers.
Clothing retailers, already grappling with cost‑conscious shoppers, are bracing for a more subtle shift.
If GLP‑1‑driven weight loss proves durable, analysts say retailers may see reduced demand for plus‑size apparel and more frequent turnover of wardrobes as customers “shrink” through several sizes, potentially boosting spending on mid‑range sizes while compressing the size curve overall.
The ripple effects extend into workplace policies as well.
[Employment lawyers](https://www.fisherphillips.com/en/insights/insights/employer-faqs-on-the-rise-of-glp-1-drugs-for-weight-loss-and-the-workplace-impact?ref=consumernews.ai) are advising companies to prepare for more accommodation requests tied to GLP‑1 side effects, scheduling around injections, and disputes over coverage decisions in employer health plans.
## Unequal access and the open questions ahead
Even as GLP‑1s promise to reshape chronic disease, their high cost and uneven insurance coverage risk deepening health disparities.
People with lower incomes, the uninsured and those in plans that exclude weight‑loss drugs may be least able to afford therapy, even as they shoulder disproportionate burdens of obesity, diabetes and cardiovascular disease.
Clinicians warn that stopping GLP‑1s often leads to regaining much of the lost weight, meaning patients who cannot afford to stay on the drugs may see only temporary benefits.
That raises ethical questions about whether society is effectively creating a two‑tier obesity and heart‑disease system, in which more affluent patients enjoy long‑term protection while others cycle on and off therapy.
For regulators and manufacturers, the next few years will test whether they can broaden access while monitoring long‑term safety.
[Researchers](https://aaos-annualmeeting-presskit.org/2026/research-news/studies-explore-glp-1-receptor-agonist-use-and-its-impact-on-long-term-musculoskeletal-health/?ref=consumernews.ai) are calling for more independent, long‑duration studies on cancer, bone health and rare organ complications, as well as trials targeted at cognitive and addiction outcomes hinted at in early observational work.
In the meantime, millions of patients — and their insurers — are betting that the benefits outweigh the risks.
If emerging data on heart, kidney, brain and behavioral benefits hold up, GLP‑1s could become one of the most consequential drug classes in modern medicine, despite the lingering side effects, long‑term unknowns and hefty monthly price tag.
### Meta’s Smart Glasses Renew Privacy Concerns as Adoption Grows
URL: https://www.consumernews.ai/metas-smart-glasses-renew-privacy-concerns-as-adoption-grows/
Last updated: 2026-07-05T22:06:12.000Z
Meta’s latest generation of smart glasses is gaining traction with consumers, but the devices are also reviving familiar concerns among privacy advocates, regulators, and everyday bystanders who may be recorded without their knowledge.
The glasses, developed in partnership with eyewear giant EssilorLuxottica and marketed under the Ray-Ban Meta brand, combine a traditional frame design with embedded cameras, microphones, speakers, and artificial intelligence features. Users can capture photos and video, livestream content, take calls, and interact with Meta’s AI assistant using voice commands.
While Meta positions the product as a hands-free way to stay connected, critics say the technology blurs the line between convenience and surveillance.
“This is essentially a camera you wear on your face all day,” said Albert Fox Cahn, executive director of the Surveillance Technology Oversight Project. “That raises serious questions about consent, especially for people who are recorded without realizing it.”
The latest models include improved battery life, higher-resolution cameras, and tighter integration with Meta’s AI ecosystem. Users can ask the glasses to identify objects, translate languages, or provide real-time information about their surroundings. Meta says these features are designed to make everyday tasks easier and more intuitive.
[Meta glasses viewed skeptically over privacy & other concernsMeta wants smart-glasses buyers to pay monthly for a feature their glasses already runMeta is putting monthly usage limits on Conversation Focus, a smart-glasses feature that helps users hear nearby speech more clearly in noisy placesConsumerNews.aiJames R. HoodMeta quietly removes facial recognition code after backlash over smartConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/)
### Potential for misuse
But privacy advocates warn that the addition of AI capabilities significantly increases the potential for misuse.
“When you combine always-on sensors with AI that can analyze what it sees and hears, you move into a much more sensitive territory,” said Calli Schroeder, senior counsel at the [Electronic Privacy Information Center](https://epic.org/?ref=consumernews.ai). “It’s no longer just about recording—it’s about interpreting and potentially storing that information.”
Meta says it has built safeguards into the product. A small LED light on the front of the glasses illuminates when the camera is active, signaling to others that recording is taking place. The company also says it limits certain types of facial recognition and does not allow third-party developers to access raw camera feeds without user consent.
“We’ve worked closely with privacy experts and regulators to design features that respect people’s expectations,” a Meta spokesperson said in a statement. “Transparency and user control are central to the experience.”
### Is that enough?
Still, critics question whether those safeguards are sufficient in real-world settings.
In crowded environments such as public transportation, restaurants, or retail stores, it may be difficult for bystanders to notice the recording indicator or understand what it signifies. Some experts also note that similar visual cues have proven ineffective in past wearable devices.
“Google Glass had a similar concept, and it didn’t resolve the underlying concern,” said Avi Greengart, president of [Techsponential](https://www.techsponential.com/?ref=consumernews.ai). “People don’t want to wonder whether they’re being recorded during everyday interactions.”
The issue has drawn attention from regulators in both the United States and Europe. Ireland’s Data Protection Commission, which oversees Meta’s European operations, has previously sought assurances about how the company handles data collected through wearable devices. In the U.S., lawmakers have raised questions about whether existing privacy laws adequately address emerging technologies like smart glasses.
Unlike smartphones, which are typically held up and visible when recording, smart glasses can operate more discreetly. That distinction has led some policymakers to call for updated rules requiring clearer notification or limitations on use in certain settings.
“There’s a gap between what current laws cover and what these devices can do,” said a staff attorney at a consumer protection group who was not authorized to speak publicly. “We’re still relying on frameworks that were developed before wearable AI became practical.”
### Consumer sentiment mixed
Consumer sentiment appears mixed. Early adopters have praised the glasses for their convenience, particularly for capturing moments without interrupting activities. Content creators and social media influencers have also embraced the technology as a way to produce more immersive video.
But surveys suggest that a significant portion of the public remains uneasy about being recorded without explicit consent. A [2025 Pew Research Center study](https://www.pewresearch.org/science/2025/09/17/how-americans-view-ai-and-its-impact-on-people-and-society/?ref=consumernews.ai) found that 62 percent of Americans are concerned about the use of facial recognition and similar technologies in everyday life, a sentiment that extends to wearable devices.
Retailers and businesses are also grappling with how to respond. Some establishments have considered policies restricting the use of recording-enabled wearables, similar to existing rules around photography. However, enforcement may be challenging.
“It’s one thing to ban handheld cameras, but it’s another when the camera is part of someone’s eyewear,” said a restaurant owner in Northern Virginia. “You can’t realistically check every customer.”
### Competition growing
Meta is not alone in pursuing the smart glasses market. Competitors including Apple, Google, and several startups are reportedly developing their own versions, signaling that wearable computing could become a major new category.
Industry analysts say the success of these products may depend as much on public trust as on technical innovation.
“If consumers feel uncomfortable, adoption will stall,” Greengart said. “The companies that win will be the ones that can convincingly address privacy concerns, not just add features.”
For now, Meta continues to promote its glasses as a step toward a broader vision of augmented reality, where digital information seamlessly overlays the physical world. CEO Mark Zuckerberg has described wearable devices as a key part of the company’s long-term strategy.
“We believe glasses are the ideal form factor for AI,” Zuckerberg said during a recent earnings call. “They let you stay present in the world while accessing powerful technology.”
That vision, however, may hinge on resolving the tension between innovation and privacy—a challenge that has followed Meta through multiple product cycles.
As smart glasses move closer to the mainstream, the debate over how they should be used—and regulated—is likely to intensify.
“Technology is moving faster than social norms,” Schroeder said. “The question is whether we can catch up before these devices become ubiquitous.”
### Weight-loss drugs are creating a costly new problem for retailers: Clothing returns
URL: https://www.consumernews.ai/weight-loss-drugs-are-creating-a/
Last updated: 2026-06-19T19:15:26.000Z
##
### Consumers shrinking faster than retailers can keep up
It used to be a law of nature that matter is neither created nor destroyed. But when it comes to American consumers, nature had better stand aside because all bets are off.
Take GLP-1, the booming weight-loss medication that has made the tonnage equivalent of a few million consumers disappear. It’s a bonanza for drug companies but a headache for retailers, who find themselves facing a growing wave of clothing returns.
Retailers say customers who are losing significant amounts of weight are increasingly ordering garments in multiple sizes, unsure which will fit. Many then return larger sizes or exchange items repeatedly as their bodies continue to change.
The trend is becoming particularly noticeable for online apparel sellers, where returns already represent one of the industry’s biggest profit drains.
“It’s becoming a real issue,” said Farnam Elyasof, founder of online suit retailer FlexSuits, in a [Wall Street Journal report](https://www.wsj.com/business/retail/americans-on-glp-1s-are-overwhelming-retailers-with-their-nonstop-returns-9c512caf?mod=hp%5Flead%5Fpos6&ref=consumernews.ai). Elyasof said returns have risen about 50% over the past year as more customers rapidly move through multiple clothing sizes.
### A growing financial headache
Returns are expensive for retailers. Companies must pay for shipping, processing, inspection, restocking and warehousing. Returned merchandise may also miss peak selling seasons and ultimately be sold at a discount.
According to retail analytics firm [Impact Analytics](https://www.impactanalytics.ai/reports/glp-1-study-retail-size-curve?ref=consumernews.ai), a $1 billion retailer with a typical 20% return rate could see gross margins reduced by roughly $20 million if returns rise by just five to 10 percentage points.
Industry data suggest the sizing-down trend is accelerating. [Narvar](https://www.cwill.com/?utm%5Fsource=google&utm%5Fmedium=paidsearch&utm%5Fcampaign=%E7%AB%9E%E5%93%81%5FNarvar%5FUS&utm%5Fterm=&utm%5Fcontent=narvar&gad%5Fsource=1&gad%5Fcampaignid=23689404634&gbraid=0AAAAA9t8JqeA9LynpCbHe9lH2sYFt-88y&gclid=Cj0KCQjw54nRBhDCARIsAMcY%5FSC8KQf8j1HKdjZ9DzlyBBN%5FUossfw1L2VRK8Iu3VfHRYu9QtwzoCCAaAmy9EALw%5FwcB), which manages returns for dozens of retailers, found that the share of apparel exchanges involving customers moving to smaller sizes reached 14.6% in 2025, the highest level in at least three years.
The effect appears strongest in medium, large and extra-large apparel categories, where consumers often buy multiple sizes to account for ongoing weight loss.
### The GLP-1 effect on wardrobes
Popular medications such as Zepbound, Wegovy and related [GLP-1 drugs](https://www.theoutragedconsumer.com/p/glp-1-may-protect-against-heart-attacks?utm%5Fsource=publication-search) can produce dramatic weight reductions.
[Clinical studies](https://www.consumernews.ai/glp-1-drugs-are-reshaping-the-world-while-raising-longterm-questions/) have shown many patients lose 15% to 25% or more of their body weight, often over a relatively short period. Consumers frequently replace wardrobes piece by piece as they slim down, beginning with jeans, bras and athleisure wear before moving to dresses, tops and formal clothing.
Retailers including Levi Strauss & Co., Costco Wholesale and Walmart have acknowledged they are studying how widespread weight-loss drug adoption could affect purchasing patterns, the Journal said.
Some analysts believe the phenomenon could reshape apparel demand much as remote work reshaped office fashion during the pandemic.
### Retailers tighten policies
To offset rising costs, some merchants are taking a tougher stance on returns.
Online formalwear seller The Dress Outlet recently doubled its restocking fee to 20% of the purchase price for many items, with even higher fees for some designer gowns.
Other retailers are focusing on better sizing guidance, encouraging customers to review measurement charts before ordering.
Women’s apparel brand June Adel says it has increased purchases of smaller-size inventory while providing more detailed descriptions about whether garments run large or oversized.
The company reports that complaints about items being too large or no longer fitting because of weight loss now account for roughly 60% of returns, up sharply from 30% to 40% a year ago.
### What this means for consumers
> For shoppers, the trend could eventually translate into stricter return policies and higher prices.
Retailers have long absorbed the cost of generous return programs as a competitive necessity. But if return rates continue climbing, especially among online sellers, consumers may face more restocking fees, shorter return windows and tighter restrictions on free returns.
At the same time, retailers are likely to expand offerings in smaller sizes and improve fit technology, including AI-powered sizing tools designed to reduce costly trial-and-error purchases.
The result is another example of how GLP-1 drugs are reshaping consumer markets far beyond healthcare — from grocery purchases and restaurant spending to apparel sales and now the economics of product returns.
### Is sunscreen really contaminated with heavy metals, like lead and arsenic?
URL: https://www.consumernews.ai/is-sunscreen-really-contaminated/
Last updated: 2026-06-19T19:15:27.000Z
There are scattered reports lately— just in time for summer — of heavy metal contaminants in sunscreen. But before you pitch all your sunscreen and face the sun’s rays alone, it’s worth doing the old risk vs. benefit analysis.
Longterm exposure to heavy metals like lead, cadmium, arsenic and mercury isn’t ideal but melanoma, the most deadly form of skin cancer, is no walk on the beach either.
It’s worth keeping in mind that few of us spend all day in the sunshine and many of those who do, like grizzled road and construction workers, are mostly covered up with protective gear. So for most Americans, sunscreen is a sometime thing.
The likelihood that applying sunscreen for a few hours now and then will cause grievous harm from heavy metal exposure appears slim, whereas the [American Cancer Society](https://www.cancer.org/cancer/types/melanoma-skin-cancer/about/key-statistics.html?utm%5Fsource=chatgpt.com) expects about 8,510 people to die from melanoma in 2026\. About 112,000 people are expected to contract the disease and many will undergo surgery, chemotherapy, immunotherapy and other unpleasant treatments.
So, according to the [U.S. Food and Drug Administration](https://www.fda.gov/cosmetics/potential-contaminants-cosmetics/fdas-testing-cosmetics-arsenic-cadmium-chromium-cobalt-lead-mercury-and-nickel-content?utm%5Fsource=chatgpt.com), the safest strategy today is not to stop using sunscreen. Instead, choose reputable brands that disclose testing, avoid aerosol sprays when possible, and pay attention to emerging heavy-metal test results as more independent labs begin examining sunscreen products.
### What to know
- Some independent testing has found trace amounts of lead and other heavy metals in certain sunscreens, particularly mineral sunscreens that use zinc oxide or titanium dioxide. Those minerals are mined from the earth and can contain naturally occurring contaminants.
- The FDA has found that most externally applied cosmetics contain either very low levels of lead or none that can be detected, and says the amounts it has found generally do not appear to pose a health risk.
- Lead is poorly absorbed through intact skin, so a trace amount in a sunscreen does not create the same risk as lead in drinking water, food, dust, or paint chips. Research on dermal exposure suggests only a tiny fraction passes through the skin barrier.
- There is ongoing debate because some consumer advocates argue that any avoidable lead exposure is too much, especially for children. Independent testing groups have recently reported finding lead in many sunscreen products, although the levels and health significance vary widely.
### What brands are “clean?”
Unfortunately, there is no universally accepted “clean list,” because neither the FDA nor Consumer Reports currently rates sunscreens specifically on heavy-metal contamination. However, if minimizing potential lead, cadmium, arsenic, and mercury exposure is your goal, you might want to look for brands that provide supplier testing, batch testing, or third-party verification.
The [Environmental Working Group](https://www.ewg.org/sunscreen/?ref=consumernews.ai) publishes an annual list of “certified” sunscreens that can provide some guidance. There are also several ventures that herald various health risks and then offer to sell you their research — like [ConsumerLab.com](https://www.consumerlab.com/answers/cancer-causing-compounds-benzene-benzophenone-in-sunscreen/carcinogens-sunscreen/?anchor=table-less-problematic&j=3476953&sfmc%5Fsub=360627063&l=529%5FHTML&u=38678468&mid=7276525&jb=13048&utm%5Fmedium=email&utm%5Fsource=exacttarget&utm%5Fcampaign=newsletter&utm%5Fterm=&utm%5Fcontent=akg%5Fnon%5Fmember%5Fde%5Fsend#table-less-problematic).
Its site discusses which chemicals may be found in sunscreen and what the risks are and also promotes its list of “clean” brands. Want to see what’s on that list? It will cost you $4.79 per month for two years (billed in one lump sum for $115.00).
If you’d rather save $115.00, check this list. Based on the available testing and transparency programs, these are among the more credible brand options:
**Brand - Why it’s worth considering (sources in parentheses)**
**Pipette** \- One of the few brands reported by independent testers as having “non-detect” results for lead, cadmium, arsenic, and mercury in at least one sunscreen product tested. ([Lead Safe Mama](https://tamararubin.com/2025/07/pipette-spf-50-sunscreen/?utm%5Fsource=chatgpt.com))
**Thinkbaby** \- Frequently appears on dermatologist and environmental-health recommendation lists and emphasizes ingredient transparency. ([Dr. Axe](https://draxe.com/beauty/best-sunscreens/?utm%5Fsource=chatgpt.com))
**Thinksport** \- Similar sourcing and formulation approach to Thinkbaby; often recommended by safety-focused reviewers. ([Dr. Axe](https://draxe.com/beauty/best-sunscreens/?utm%5Fsource=chatgpt.com))
**Stream2Sea** \- Publicly discusses contaminant testing and environmental screening of ingredients. ([Dr. Axe](https://draxe.com/beauty/best-sunscreens/?utm%5Fsource=chatgpt.com))
**ATTITUDE** \- Participates in EWG Verified programs and publishes substantial ingredient documentation, though that is not the same as heavy-metal certification. ([EWG](https://www.ewg.org/sunscreen/?utm%5Fsource=chatgpt.com))
**A few caveats:**
- Many of the recent heavy-metal findings come from activist-led testing projects rather than government testing, so results should be viewed as useful but not definitive.
- Zinc oxide itself can contain trace contaminants because it is derived from mined minerals. That doesn’t mean all zinc-based sunscreens are problematic, but it does mean manufacturing controls matter.
- Some independent testing has found elevated heavy metals in products from brands that otherwise have strong safety reputations, which suggests consumers should focus on testing transparency rather than marketing claims alone.
### What to do
It’s up to the individual to decide how much credence to put into the most alarming claims. In some ways, the sunscreen lead issue is beginning to resemble the talc controversy — naturally occurring mineral ingredients, trace contamination, evolving testing methods, and a regulatory system that has not yet established clear heavy-metal limits.
### Meta’s smart glasses may be getting facial recognition, reigniting privacy fears
URL: https://www.consumernews.ai/metas-smart-glasses-may-be-getting/
Last updated: 2026-07-05T22:04:10.000Z
### Meta quietly ships facial-recognition code
A new investigation by [WIRED](https://www.wired.com/story/meta-smart-glasses-face-recognition-nametag-connections/?utm%5Fsource=nl&utm%5Fbrand=wired&utm%5Fmailing=WIR%5FDaily%5F060526&utm%5Fcampaign=aud-dev&utm%5Fmedium=email&utm%5Fcontent=WIR%5FDaily%5F060526&bxid=5be9e9813f92a40469fd8f77&cndid=17389618&hasha=d6a691656531c4771c044dbae6f454e8&hashc=db581b786448d81a837b5e7f5bdd16971eb1eab2ac39e159eb5df7e8796fa31c&esrc=AUTO%5FPRINT&utm%5Fterm=WIR%5FDaily%5FActive) has intensified concerns about the future of wearable surveillance technology after reporters discovered dormant facial-recognition software embedded in [Meta’s smart-glasses](https://www.theoutragedconsumer.com/p/ai-smart-glasses-may-see-and-hear?utm%5Fsource=publication-search) ecosystem.
According to the report, Meta has already distributed key components of the technology to millions of smartphones through its Meta AI app, even though the feature is not yet active for consumers.
The system is designed to work with Meta’s smart glasses, including its popular Ray-Ban models. Code examined by researchers indicates the software can detect faces, crop facial images and convert them into biometric identifiers, sometimes called “faceprints.” When activated, it could notify a wearer when a person has been recognized, [WIRED](https://www.wired.com/story/meta-smart-glasses-face-recognition-nametag-connections/?utm%5Fsource=chatgpt.com) said.
WIRED found references suggesting Meta may present the feature as a way to “remember the people you met,” although the company has not publicly detailed how the database would be created, whose faces would be included or what limits would apply.
[Meta glasses viewed skeptically over privacy & other concernsMeta wants smart-glasses buyers to pay monthly for a feature their glasses already runMeta is putting monthly usage limits on Conversation Focus, a smart-glasses feature that helps users hear nearby speech more clearly in noisy placesConsumerNews.aiJames R. HoodMeta quietly removes facial recognition code after backlash over smartConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/)
### A technology Meta once abandoned
The discovery is notable because Meta shut down a large-scale facial-recognition system in 2021 following years of privacy complaints and legal challenges. Reports earlier this year indicated the company was exploring bringing the technology back through smart glasses under the internal project name “Name Tag.”
Meta has publicly said it does not currently offer facial recognition in its smart glasses and has suggested any future deployment would require a careful approach. However, critics say the existence of largely completed software raises questions about how far development has already progressed, [Engadget](https://www.engadget.com/2187824/wired-found-code-for-an-unreleased-facial-recognition-feature-in-meta-s-ai-app/?utm%5Fsource=chatgpt.com) reported.
### Privacy groups sound the alarm
More than 70 civil-liberties, privacy and advocacy organizations have already urged Meta to abandon facial-recognition plans for its glasses. The coalition includes groups concerned about domestic violence, immigrant rights, LGBTQ+ safety and digital privacy.
Critics argue that combining discreet cameras with facial recognition could fundamentally change expectations of anonymity in public spaces. A person wearing the glasses could potentially identify strangers in real time, creating new risks for stalking, harassment, doxxing and unwanted data collection.
Those concerns are amplified because smart glasses already face criticism for enabling covert recording. Privacy advocates say facial recognition would transform the devices from recording tools into portable identification systems.
### What this means for consumers
For consumers, the [debate goes beyond smart glasses](https://www.consumernews.ai/metas-smart-glasses-renew-privacy-concerns-as-adoption-grows/). The technology raises broader questions about whether people should be able to move through public spaces without being instantly identified by strangers wearing connected devices.
If facial recognition becomes common in consumer wearables, privacy experts warn that the practical ability to remain anonymous in public could shrink dramatically. While Meta says no such feature is currently available, the latest findings suggest the technology may be much closer to deployment than many consumers realized.
### Privacy Watch
**Questions consumers should ask before buying AI smart glasses:**
- Does the device collect biometric information?
- Where is facial data stored and who can access it?
- Can other people opt out of being scanned?
- How long is data retained?
- Can law enforcement or third parties obtain the information?
- What happens if the data is breached or misused?
As AI-powered wearables become more sophisticated, privacy advocates say transparency and consent may become just as important as the technology itself.
### National Recall Roundup - June 4
URL: https://www.consumernews.ai/national-recall-roundup-june-4/
Last updated: 2026-06-19T19:15:27.000Z
## CPSC Recalls
### Wyze Solar Cam Pan Security Cameras
Incorrect assembly instructions can cause users to puncture the lithium-ion battery casing, creating fire and burn hazards and risking serious injury or property damage. Consumers should stop using affected units immediately.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Wyze-Labs-Recalls-Solar-Cam-Pan-Security-Cameras-Due-to-Risk-of-Serious-Injury-from-Fire-and-Burn-Hazards?utm%5Fsource=chatgpt.com)
**Consumer Contact:** Wyze Labs; 888-832-7226, [recall@wyze.com](mailto:recall@wyze.com), or wyze.com/SCPrecall. Gudook Adult Bike Helmets
The helmets fail to meet federal bicycle helmet safety standards and may not adequately protect riders in a crash, creating a risk of serious head injury or death.
Consumers should stop using the helmets immediately, destroy them and submit proof to the company.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Bicycle-Helmets-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Head-Injury-Violates-Mandatory-Standard-for-Bicycle-Helmets-Sold-on-Amazon-by-Gudook-Outdoor-Sports?utm%5Fsource=chatgpt.com)
**Consumer Contact:** Gudook Outdoor Sports; email: [lexi\_kuyou@163.com](mailto:lexi%5Fkuyou@163.com).
### Boon NURSH 8 oz Reusable Baby Bottles
The hard plastic shell can bubble or peel, creating loose plastic pieces that pose a choking hazard to young children.
Consumers should stop using the bottles immediately.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/TOMY-Recalls-Boon-NURSH-8-oz-Reusable-Baby-Bottles-Due-to-Choking-Hazard-Sold-at-Walmart?utm%5Fsource=chatgpt.com)
**Consumer Contact:** TOMY; 866-725-4407, [cs@tomy.com](mailto:cs@tomy.com), or recall.tomy.com/nursh.
### Crenlux Pool Drain Covers
The covers violate federal entrapment protection standards, posing deadly entrapment and drowning hazards. Consumers should stop using pools equipped with the recalled covers immediately and destroy the covers.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
**Consumer Contact:** Crenlux/Eicong; [Crenlux\_recall@outlook.com](mailto:Crenlux%5Frecall@outlook.com).
### Tiny Land Children’s Play Tents
Fiberglass support poles can shed fibers, causing skin and eye irritation. Eight incidents have been reported. Consumers should stop using the tents and keep children away from the fiberglass poles.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Tiny-Land-Childrens-Play-Tents-Recalled-Due-to-Risk-of-Injury-from-Irritation-to-Skin-and-Eyes?utm%5Fsource=chatgpt.com)
**Consumer Contact:** Tiny Land; 833-556-5252, [customer\_care@tinylandus.com](mailto:customer%5Fcare@tinylandus.com), or tinylandus.com/pages/recalls.
### Little Grape Land Nursing Pillows
The pillows violate mandatory safety standards because they can obstruct an infant’s breathing, creating a suffocation risk that could result in serious injury or death. Consumers should stop using the pillows immediately and destroy them.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Little-Grape-Land-Recalls-Nursing-Pillows-Due-to-Risk-of-Serious-Injury-or-Death-from-Suffocation-Violate-Mandatory-Standards-for-Nursing-Pillows-and-Infant-Support-Cushions?utm%5Fsource=chatgpt.com)
**Consumer Contact:** Little Grape Land; [recall@evermorepartner.com](mailto:recall@evermorepartner.com) or littlegrapeland.com/recall.
### SUNS Residential Elevator Interlock Switches
The switch can become stuck, allowing an elevator door to remain unlocked when the elevator car is not present, creating a fall or crushing hazard with risk of death or serious injury. Consumers should stop using affected elevators immediately.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
**Consumer Contact:** SUNS International; 978-349-2329, [recall@suns-usa.com](mailto:recall@suns-usa.com), or suns-usa.com.
### Vornado SRTH Small Room Tower Heaters
**Hazard:** Fire hazard.
**Details:** [U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
**Consumer Contact** Vornado Air. Additional details available through the CPSC recall notice.
These are the recalls posted by the CPSC on June 4, 2026\. Several involve products used by children or products presenting life-threatening hazards, including drowning, suffocation, fire and head-injury risks.
## FDA
No major new nationwide FDA food recalls emerged as leading national consumer alerts during this review period.
## USDA FSIS
No major new nationwide meat or poultry recalls were announced during this review cycle.
## Highest-Priority Hazards
1. Seat-belt failures that could reduce crash protection.
2. Steering-control failures subject to a do-not-drive warning.
3. Child tip-over and entrapment hazards involving dressers.
4. Airbag system defects affecting crash protection.
5. Fire and burn hazards involving sauna blankets.
6. Finger-amputation hazards involving adjustable lounge chairs.
### Walmart's OnePay angling to be your primary financial app, taking on PayPal, Cash App, etc.
URL: https://www.consumernews.ai/walmarts-onepay-angling-to-be-your/
Last updated: 2026-06-19T19:15:28.000Z
### OnePay grows from Walmart side project into banking challenger
A financial technology company that many Americans have never heard of is quietly becoming one of the most ambitious challengers to traditional banking.
[OnePay](https://www.onepay.com/?utm%5Fsource=chatgpt.com), the Walmart-backed fintech formerly known as One, is leveraging Walmart’s massive customer base to build what executives describe as a “super app” for consumers’ financial lives. The company now offers checking and savings accounts, debit cards, digital wallets, credit products, investing services, credit-building tools, and installment loans through a single mobile app.
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According to [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-02/how-walmart-backed-onepay-is-taking-on-banks?ref=consumernews.ai), OnePay has doubled both its user base and payments volume over the past year and is now looking beyond Walmart shoppers as it seeks broader growth.
The strategy mirrors efforts by companies such as PayPal, Cash App, and Chime to become consumers’ primary financial relationship, but OnePay enters the market with a unique advantage: Walmart’s enormous reach.
Roughly 90% of Americans live within 10 miles of a Walmart store, giving OnePay access to one of the largest built-in customer bases in the country.
### Building a full-service financial ecosystem
The company has been steadily expanding its offerings.
OnePay currently provides banking services through partner banks, including savings accounts, debit cards with Walmart rewards, digital wallets, credit-builder products, investing services, and cryptocurrency plans.
Last year, Walmart and OnePay partnered with Synchrony Financial to launch a new credit card program, including both a Walmart-only card and a Mastercard that can be used anywhere. The cards are integrated directly into the OnePay app.
The company has also partnered with [Klarna](https://www.klarna.com/international/press/klarna-announces-partnership-with-onepay-to-exclusively-power-installment/?utm%5Fsource=chatgpt.com) to offer [Buy Now, Pay Later](https://www.theoutragedconsumer.com/p/buy-now-pain-later?utm%5Fsource=publication-search) financing for Walmart purchases, allowing consumers to spread payments over periods ranging from months to years.
For Walmart+ subscribers, some products offer enhanced rewards, including up to 5% cash back on Walmart purchases.
### What consumers should watch
As OnePay expands, experts recommend that consumers compare its products with traditional banks and credit unions before moving their primary financial relationship.
Consumers should pay close attention to:
- Savings account yields and any qualification requirements.
- Credit card interest rates and fees.
- Buy-now-pay-later financing costs.
- Deposit insurance protections.
- Data-sharing and privacy policies.
- Customer service options if problems arise.
For consumers who already shop regularly at Walmart, OnePay’s rewards and convenience may prove attractive. But financial experts continue to emphasize the same rule that applies to any bank or fintech product: compare the costs, understand the terms, and avoid borrowing more simply because credit has become easier to access.
### What it means for consumers
For consumers frustrated by traditional banks, OnePay’s growth could create additional competition in a sector long dominated by large financial institutions.
Digital-first providers often attract customers by offering higher savings yields, fewer fees, early access to direct deposits, and integrated budgeting tools. OnePay currently advertises high-yield savings accounts and cash-back rewards tied to Walmart spending.
Competition from [fintech firms](https://www.theoutragedconsumer.com/p/trump-fintech-order-could-reshape?utm%5Fsource=publication-search) has already pressured banks to improve mobile banking experiences and reduce certain fees. Industry analysts say OnePay’s continued expansion could intensify that pressure, particularly among lower- and middle-income consumers who frequently shop at Walmart.
However, consumer advocates note that the same app that helps customers save money may also encourage increased borrowing through installment loans, credit cards, and other lending products.
### A growing trend in consumer finance
OnePay reflects a broader shift in consumer finance in which retailers, technology firms, and fintech companies increasingly offer banking-like services without becoming traditional banks themselves.
The company is not a bank. Instead, it partners with FDIC-insured financial institutions that hold customer deposits and provide regulated banking services.
> Consumer advocates say [looser fintech regulation](https://www.theoutragedconsumer.com/p/trump-fintech-order-could-reshape?utm%5Fsource=publication-search) backed by the Trump administration is opening the door to lighter regulation that would enable predatory lending, hidden fees, high interest rates and fewer protections against consumer losses.
That model has become increasingly popular because it allows fintech firms to move quickly while avoiding many of the costs associated with operating a chartered bank.
The approach has helped companies such as Chime, Cash App, and PayPal attract millions of customers. OnePay’s backers believe Walmart’s scale could allow it to reach an even larger audience.
###
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### Sleep apps may be keeping some users awake, study finds
URL: https://www.consumernews.ai/sleep-apps-may-be-keeping-some-users/
Last updated: 2026-06-19T19:15:28.000Z
## Sleep tech boom comes with a warning
Millions of consumers now rely on smartwatches, fitness bands and smartphone apps to track their sleep, but a [new study](https://www.frontiersin.org/news/2026/03/20/sleep-apps-help-some-users-but-they-stress-out-people-with-insomnia?utm%5Fsource=chatgpt.com) suggests the technology may not be helping everyone rest easier.
Researchers at the [University of Bergen](https://bergen.esn.no/partners/university-bergen?utm%5Fsource=chatgpt.com) surveyed more than 1,000 adults in Norway and found that while sleep-tracking apps can improve awareness of sleep habits, they may also increase anxiety among people who already struggle with insomnia.
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The study found that 46% of respondents had used a sleep-tracking app or wearable device. Among those users, about 15% said the technology improved their sleep, while only a small percentage reported that it made their sleep worse. However, people with insomnia symptoms were far more likely to experience negative effects from tracking their sleep.
“The results indicate that sleep tracking may not be suitable for everyone,” the researchers concluded.
## When sleep data becomes a source of stress
The findings highlight a growing phenomenon known as “orthosomnia,” a term used to describe an unhealthy obsession with achieving perfect sleep metrics.
Many sleep apps generate nightly scores based on estimates of sleep quality, duration and sleep stages. While those numbers can provide useful information, they are not the same as clinical sleep studies conducted in a laboratory.
For some consumers, particularly those already worried about their sleep, a low score can trigger additional stress.
Instead of reassuring users, the data may reinforce concerns that they are not sleeping well enough. Researchers found that increased worry about sleep was the most commonly reported negative effect among users.
That can create a vicious cycle: anxiety about sleep makes it harder to sleep, which leads to more worrying and more attention to sleep metrics.
## Data box
**University of Bergen sleep-tracking study**
- Adults surveyed: 1,002
- Current or previous sleep-app users: 46%
- Users reporting improved sleep: \~15%
- Users reporting worsened sleep: \~2.3%
- Most common benefit: Better awareness of sleep habits
- Most common drawback: Increased worry about sleep
- Group most likely to report negative effects: People with insomnia symptoms
## A booming consumer market
The findings arrive as the sleep-tech industry continues to expand rapidly.
Major products from companies such as [Apple](https://www.apple.com/?utm%5Fsource=chatgpt.com), [Google Fitbit](https://www.fitbit.com/?utm%5Fsource=chatgpt.com), [Samsung](https://www.samsung.com/?utm%5Fsource=chatgpt.com), [Garmin](https://www.garmin.com/?utm%5Fsource=chatgpt.com) and [Oura](https://ouraring.com/?utm%5Fsource=chatgpt.com) promise insights into sleep quality, readiness, recovery and overall health.
Industry analysts estimate that tens of millions of Americans now use wearable devices that provide some form of sleep monitoring. The devices have become increasingly sophisticated, offering daily recommendations, sleep coaching and long-term trend analysis.
Yet sleep specialists have long cautioned that consumer devices are best viewed as wellness tools rather than medical diagnostic instruments.
## Why insomnia sufferers may be especially vulnerable
Researchers found that younger adults reported both the greatest benefits and the greatest drawbacks from sleep tracking.
People experiencing insomnia symptoms were especially likely to report negative effects.
The concern is that users who are already preoccupied with sleep may place too much trust in a device’s estimates. If a tracker reports poor sleep, users may feel tired or worried even when they subjectively feel rested.
Sleep experts say that perception matters. Clinical treatment for insomnia often focuses on reducing anxiety about sleep and helping patients develop confidence in their ability to rest naturally.
Constant monitoring can sometimes undermine that process.
## What this means for consumers
> The researchers are not recommending that consumers abandon sleep trackers altogether.
Instead, they suggest treating sleep data as one piece of information rather than a definitive judgment about health.
Consumers who find themselves becoming anxious about sleep scores may benefit from focusing on broader sleep habits, including:
- Maintaining a consistent sleep schedule.
- Limiting caffeine late in the day.
- Reducing screen exposure before bedtime.
- Creating a comfortable sleep environment.
- Paying attention to how rested they feel rather than obsessing over nightly metrics.
For most users, sleep trackers appear to be helpful or neutral. But the new findings suggest that for people struggling with insomnia, the pursuit of perfect sleep data may become another obstacle to getting a good night’s rest.
## What the research says
Sleep researchers increasingly distinguish between healthy self-monitoring and orthosomnia, a condition in which users become overly focused on optimizing sleep metrics. Previous studies have found that consumer sleep trackers can overestimate or underestimate sleep quality compared with clinical sleep testing, making it important to interpret scores cautiously rather than treating them as medical diagnoses.
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### American Airlines drops six routes, and the hybrid lot is on fire as fuel prices remain airborne
URL: https://www.consumernews.ai/american-airlines-drops-six-routes/
Last updated: 2026-06-19T19:15:28.000Z
The clearest evidence that fuel prices are rewriting summer schedules came overnight from Fort Worth, where American Airlines confirmed to [CBS News](https://www.cbsnews.com/news/american-airlines-california-route-cuts-jet-fuel-iran-war/?ref=consumernews.ai) it is temporarily cutting six routes in August and September because of elevated jet fuel costs. United is also “pruning” its schedule.
The American casualties are mostly Los Angeles and Charlotte connections:
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- Los Angeles to Cleveland, Columbus, Pittsburgh and Washington Dulles;
- Charlotte to Ontario and Sacramento.
These are not minor routes. The Los Angeles-Washington Dulles route carries about 410,000 passengers per year, making it the 4th-busiest domestic route at IAD behind Denver, San Francisco and Atlanta.
United was the only mainline carrier flying it nonstop in that ranking, which is why American’s decision to walk away from LAX-IAD this August is noteworthy but not market-breaking — United still operates multiple daily nonstops, and travelers can connect via DFW, ORD, CLT or PHX.
United is keeping the route but is widely reported to be thinning frequencies on it as part of its 5 percent Q2/Q3 pullback, with red-eyes and midweek departures most exposed.
A few caveats worth noting:
- That 409,700 figure counts passengers in both directions combined (origin-and-destination plus connecting traffic that touches both endpoints).
- It is airport-pair data for IAD; it does not include LAX-DCA (Reagan National) or LAX-BWI, which together carry several hundred thousand more Washington-region travelers each year.
- Pre-pandemic the LAX-IAD pair ran closer to 450,000-475,000 annually, so 2025 was a recovery year but still slightly below the 2018-2019 peak.
### Just an “adjustment”
“American is not suspending any routes indefinitely as part of this adjustment,” a company spokesperson said in the [CBS News](https://www.cbsnews.com/news/american-airlines-california-route-cuts-jet-fuel-iran-war/?ref=consumernews.ai) report. Jet fuel typically accounts for 25 percent to 30 percent of an airline’s total costs, the report noted, and other carriers have either raised fares or tacked on jet-fuel surcharges; Delta has raised its baggage fees, citing “evolving global conditions.” European peers KLM and Lufthansa have also cut routes.
### Back on the ground …
The other side of the fuel coin is showing up on car lots. Hybrid sales jumped 33 percent in May from a year earlier, according to Motor Intelligence figures cited by the [Wall Street Journal](https://www.wsj.com/business/autos/sticker-shock-at-the-pump-fuels-a-surge-in-hybrid-sales-198f8e39?ref=consumernews.ai), a “positive development in an otherwise sluggish new-car market.”
The newspaper attributed the surge to rising fuel costs “exacerbated by U.S.-Israel tensions in Iran.”
That dovetailed with one of the day’s more consequential auto-safety stories: Ford Motor Co. is recalling nearly 420,000 Ford Expedition and Lincoln Navigator SUVs from model years 2018 through 2022 because their front seat-belt retractors can unintentionally lock, preventing them from extending or retracting properly, the [Associated Press](https://apnews.com/article/ford-recall-seat-belt-nhtsa-88df7aa473d20d64fb868ecd438c2e2a?ref=consumernews.ai) reported. Ford has received two warranty claims, two field reports and knowledge of one injury. Owners can have the retractors inspected and replaced at no charge through any Ford or Lincoln dealer, and notification will arrive by mail; Ford customer service is reachable through the company’s recall line, with the National Highway Traffic Safety Administration’s hotline as a backup, per [AP](https://apnews.com/article/ford-recall-seat-belt-nhtsa-88df7aa473d20d64fb868ecd438c2e2a?ref=consumernews.ai).
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### Consumer rage Is boiling over as Americans battle high prices, hidden fees and vanishing customer service
URL: https://www.consumernews.ai/consumer-rage-is-boiling-over-as/
Last updated: 2026-06-19T19:15:29.000Z
### Consumer anger reaches a boiling point
American consumers are increasingly frustrated, and not just because prices remain high.
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A new investigation by [The Guardian](https://www.theguardian.com/us-news/ng-interactive/2026/jun/04/us-consumer-rage-prices-economy?CMP=Share%5FiOSApp%5FOther&ref=consumernews.ai) points to a surge in what researchers call “consumer rage” — a growing sense among Americans that they are constantly fighting billing errors, poor customer service, hidden charges, defective products and automated systems that seem designed to make complaints harder to resolve.
According to the latest [National Consumer Rage survey](https://customercaremc.com/resources/the-national-customer-rage-survey/?ref=consumernews.ai), nearly 80% of Americans experienced a product or service problem in 2025, and roughly two-thirds of those consumers reported feeling rage as a result.
The findings come as consumer confidence has fallen to record lows amid rising living costs and inflation concerns. Recent surveys from the University of Michigan found consumer sentiment at historic lows as households struggle with higher prices for necessities including fuel, food and housing.
### It’s about more than inflation
While rising prices remain a major source of frustration, consumer advocates say the problem runs deeper.
The Guardian investigation identifies several long-term trends contributing to consumer dissatisfaction, including increased corporate consolidation, weakened regulations, court decisions that limit consumer remedies, [private-equity](https://www.theoutragedconsumer.com/p/pet-insurance-premiums-unleashed?utm%5Fsource=publication-search) ownership of service providers, and the growing use of artificial intelligence in customer service systems. These changes often leave consumers feeling trapped in automated complaint loops with few opportunities to speak to a human representative.
The report also highlights concerns that federal consumer-protection agencies have been weakened in recent years, reducing oversight and making it harder to hold companies accountable for deceptive practices or poor service.
### Affordability Watch
Consumer frustration is being amplified by a broader affordability crisis.
[Consumer sentiment](https://www.theoutragedconsumer.com/p/spring-housing-season-sputters-as?utm%5Fsource=publication-search) hit a record low in May, according to University of Michigan data. Researchers found that consumers across income levels are increasingly worried about the cost of living, with many reporting that higher prices are eroding their finances.
Recent inflation data show prices rising at the fastest pace in three years, driven in part by higher energy costs and broader supply-chain pressures. Analysts say households are increasingly forced to devote more of their budgets to essentials, leaving less money for discretionary spending.
### Why consumers feel powerless
Consumer advocates say one of the biggest drivers of anger is the perception that the system is stacked against ordinary people.
When companies dominate markets, consumers often have fewer alternatives. At the same time, shrinking local news coverage and reduced investigative reporting mean fewer watchdogs are scrutinizing corporate behavior. The Guardian notes that local consumer reporting — once a staple of newspapers and television stations — has largely disappeared in many communities.
Local news websites have popped up in recent years but many are little more than outlets for corporate news releases and announcements of store openings, holiday sales and other business promotions. Honest local reviews are hard to find.
As a result, consumers often find themselves navigating disputes alone, whether the issue involves a billing mistake, a denied refund, a defective product or a misleading contract.
### What this means for consumers
The rise in consumer rage is more than a customer-service issue. It reflects growing anxiety about affordability, fairness and accountability in the marketplace.
> For consumers, experts recommend documenting transactions, saving receipts and communications, escalating complaints in writing, and filing reports with regulators when companies fail to respond.
Consumer advocates also argue that stronger enforcement, clearer disclosures and more accessible dispute-resolution processes could help reduce frustration and rebuild trust.
**The bottom line:** Americans are angry about prices, but many are even angrier about the feeling that when something goes wrong, nobody is listening. The result is a growing sense of consumer frustration that extends far beyond inflation and into the structure of the modern marketplace.
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### National Recall Roundup
URL: https://www.consumernews.ai/national-recall-roundup/
Last updated: 2026-06-19T19:15:29.000Z
New & continuing recall campaigns today:
## NHTSA — High-Priority Vehicle Recalls
### Ford recalls nearly 420,000 SUVs over seat-belt defect
Ford Expedition and Lincoln Navigator vehicles are being recalled because front seat-belt retractors can lock unexpectedly, preventing the belts from extending or retracting properly. The defect could increase injury risk in a crash. Nearly 420,000 vehicles are affected. Dealers will inspect and replace defective retractors at no cost. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-nearly-420000-us-vehicles-over-seat-belt-issue-nhtsa-says-2026-06-03/?utm%5Fsource=chatgpt.com))
### Ford issues do-not-drive warning for some Bronco Sport and Maverick vehicles
Certain Ford Bronco Sport and Ford Maverick vehicles are subject to a do-not-drive warning because improperly installed front lower control-arm ball joints could detach, causing loss of steering control and increasing crash risk. Approximately 4,600 vehicles are involved. ([AP News](https://apnews.com/article/88df7aa473d20d64fb868ecd438c2e2a?utm%5Fsource=chatgpt.com))
### Honda recalls nearly 99,000 vehicles over airbag sensor defect
Honda Accord, Honda Civic, Honda CR-V, Honda Odyssey and several Acura models are being recalled because a passenger-seat weight sensor can crack and short-circuit, potentially causing improper airbag deployment decisions during a crash. Nearly 99,000 vehicles are affected. ([New York Post](https://nypost.com/2026/06/02/us-news/honda-recalling-nearly-99k-vehicles-over-vital-defect-that-can-unintentionally-deploy-airbags/?utm%5Fsource=chatgpt.com))
### Jeep recalls 419,000 SUVs over delayed side-airbag deployment
Jeep Grand Cherokee and Jeep Grand Cherokee L SUVs are being recalled because software defects could delay side-airbag deployment during a collision, increasing injury risks. More than 419,000 vehicles are affected. ([Car and Driver](https://www.caranddriver.com/news/a71443237/jeep-grand-cherokee-419k-models-side-airbags-recall/?utm%5Fsource=chatgpt.com))
## CPSC — Major Consumer Product Hazards
### Walmart recalls 165,000 dressers over child tip-over risk
Mainstays 9-Drawer Fabric Dressers sold by Walmart were recalled because they can tip over if not anchored to a wall, creating serious entrapment and fatal injury hazards for children. Regulators said the dressers violate mandatory federal STURDY Act safety requirements. Approximately 165,000 units are affected. ([Houston Chronicle](https://www.houstonchronicle.com/news/houston-texas/trending/article/walmart-mainstays-dresser-recall-22280972.php?utm%5Fsource=chatgpt.com))
### Sauna blankets recalled over fire and burn hazards
SLF Sauna Blankets were recalled because they can overheat, creating fire and burn hazards. Consumers are advised to stop using them immediately. About 3,600 units are affected. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Outdoor lounge chairs recalled after finger amputation report
Giantex Outdoor Lounge Chairs were recalled because a pinch point in the adjustment mechanism can amputate fingers. The recall followed a report that a user lost a finger while adjusting the chair. About 1,155 chairs were sold online. ([Houston Chronicle](https://www.houstonchronicle.com/news/houston-texas/trending/article/recall-giantex-amazon-chairs-22282179.php?utm%5Fsource=chatgpt.com))
## FDA
No major new nationwide FDA food recalls emerged as top national consumer alerts during this review cycle.
## USDA FSIS
No major new nationwide meat or poultry recalls were identified during this review period.
## Highest-Priority Hazards
1. Seat-belt failures that could reduce occupant protection in a crash.
2. Child tip-over and entrapment hazards involving dressers.
3. Airbag defects that could delay or improperly deploy safety systems.
4. Steering and suspension defects subject to do-not-drive warnings.
5. Fire and burn hazards involving sauna blankets.
6. Finger-amputation hazards involving adjustable lounge chairs.
**Largest new recall:** Ford’s recall of nearly 420,000 Expeditions and Navigators for seat-belt retractor defects. ([Reuters](https://www.reuters.com/legal/litigation/ford-recall-nearly-420000-us-vehicles-over-seat-belt-issue-nhtsa-says-2026-06-03/?utm%5Fsource=chatgpt.com))
### Clean-energy loans promised savings but some delivered debt, surprises and lawsuits instead
URL: https://www.consumernews.ai/clean-energy-loans-promised-savings/
Last updated: 2026-08-20T12:54:35.000Z
For years, clean-energy financing was promoted as a win-win: homeowners could make energy-saving upgrades with little or no money down, while reducing utility bills and shrinking their carbon footprint.
But for some consumers, the reality proved far more complicated.
Complaints involving solar financing, PACE loans and contractor-arranged home-improvement loans have generated lawsuits, regulatory actions and calls for stronger consumer protections. While the industry has matured and regulations have tightened, advocates say the underlying risks have not disappeared.
### What are clean-energy loans?
Clean-energy financing generally refers to loans used to pay for solar panels, energy-efficient windows, insulation, roofs, heat pumps, HVAC systems and other upgrades intended to reduce energy consumption.
> One of the most controversial financing products has been PACE, or Property Assessed Clean Energy financing. Unlike a traditional loan, PACE financing is repaid through a homeowner’s property tax bill.
Supporters say the structure allows homeowners to finance major improvements without large upfront costs. Critics argue that many borrowers never fully understood what they were signing.
### Why consumers complained
Consumer complaints have tended to center on a few recurring themes:
- Promises that utility bills would disappear or drop dramatically.
- Claims that federal tax credits would offset most or all of the cost.
- Financing agreements arranged by contractors rather than independent lenders.
- Unexpected increases in property-tax bills.
- Difficulties refinancing or selling homes with outstanding PACE obligations.
In some cases, homeowners reported learning only after closing that their financing obligations were significantly larger than expected.
Consumer advocates say older homeowners have been especially vulnerable.
The National Consumer Law Center has [repeatedly warned](https://www.nclc.org/final-pace-rule-will-protect-homeowners-improve-mortgage-performance/?ref=consumernews.ai) that some homeowners have been steered into financing products that were unaffordable or poorly explained.
[The clean-energy loan hiding in your utility billWho wouldn’t want to save money on their energy bill with no money upfront? It’s often not quite what it seems though.ConsumerNews.aiThe Editors](https://www.consumernews.ai/the-clean-energy-loan-hiding-in-your-utility-bill/)
### The solar sales problem
Today, many consumer advocates say the greatest concern involves residential solar sales and financing rather than the clean-energy products themselves.
Solar installations often involve multiple parties, including sales representatives, contractors, lenders and equipment providers. That complexity can make it difficult for consumers to understand who is responsible when problems arise.
State attorneys general and regulators have pursued enforcement actions against some solar companies accused of exaggerating energy savings, misrepresenting tax incentives or failing to disclose financing costs adequately.
Consumer complaints commonly involve allegations that promised savings never materialized or that financing payments exceeded expected reductions in electric bills.
### Protections have improved
The clean-energy financing industry of 2026 looks very different from the market of a decade ago.
Federal regulators have imposed ability-to-repay requirements on residential PACE financing, bringing it closer to mortgage-style consumer protections. Several states have also strengthened disclosure requirements and increased oversight of contractors and financing providers.
Many lenders now require clearer documentation, recorded confirmation calls and more detailed explanations of repayment obligations.
These reforms have reduced some of the most severe abuses that drew criticism in the 2010s.
### Why advocates remain concerned
Consumer groups say the fundamental incentives that created problems in the first place still exist.
Contractors often earn commissions based on completed projects, creating pressure to emphasize potential savings while downplaying costs or risks. Because many homeowners focus primarily on monthly payments, they may overlook total borrowing costs, interest charges or the effect of financing on future property transactions.
Advocates also note that aggressive marketing often targets consumers facing high energy bills, making them more receptive to promises of immediate savings.
### What consumers should do
Experts recommend several precautions before signing any clean-energy financing agreement:
- Obtain competing bids from multiple contractors.
- Review financing separately from the home-improvement contract.
- Verify projected energy savings independently.
- Understand whether the financing will appear on a property-tax bill.
- Ask how the financing could affect refinancing or selling the home.
- Read all loan disclosures carefully and verify total repayment costs.
### What this means
Clean-energy financing remains an important tool for homeowners seeking to reduce energy costs and improve their homes. Most projects proceed without major problems.
However, consumer advocates say the market still contains enough misleading sales practices and financing pitfalls to warrant caution. The greatest danger may not be the solar panels, windows or heat pumps themselves, but the financing arrangements attached to them.
For consumers considering a clean-energy upgrade, the lesson is simple: treat the financing agreement with the same scrutiny as the product being installed. A system that promises savings can still become an expensive mistake if the loan terms are not fully understood.
### Fraud Watch
**Warning signs of a potentially risky clean-energy financing offer:**
- “No cost” or “free solar” claims.
- Guarantees that utility bills will disappear.
- Pressure to sign immediately.
- Promises that tax credits will cover most costs without verifying eligibility.
- Refusal to provide written savings estimates.
- Financing documents presented only at the last minute.
- Salespeople discouraging independent review of loan terms.
Consumers who believe they were misled should contact their state attorney general’s office, state consumer-protection agency, or the [Federal Trade Commission](https://reportfraud.ftc.gov/?ref=consumernews.ai).
###
### Amazon sued over Ring facial recognition feature as privacy concerns resurface
URL: https://www.consumernews.ai/amazon-sued-over-ring-facial-recognition/
Last updated: 2026-06-19T19:15:30.000Z
### Lawsuit claims Ring collected face data without permission
Amazon is facing a new privacy lawsuit over facial recognition technology built into its Ring doorbell cameras, adding to years of scrutiny over how the company handles customer and bystander data.
The proposed class-action lawsuit was filed in federal court in Seattle by Virginia resident Charles Sigwalt, who alleges that Ring’s “Familiar Faces” feature captured and stored images of his face while he visited homes and businesses equipped with Ring cameras. According to the complaint, neither Sigwalt nor millions of other people who may have appeared on Ring cameras consented to having their biometric information collected, [Reuters](https://www.reuters.com/legal/government/amazons-ring-sued-over-facial-recognition-feature-latest-privacy-concern-2026-06-02/?utm%5Fsource=chatgpt.com) reported.
The lawsuit seeks at least $5 million in damages and asks the court to certify a nationwide class of people whose facial data may have been collected through the system. Amazon has declined public comment on the litigation.
### How the technology works
Ring introduced the “Familiar Faces” feature in late 2025\. The optional tool uses artificial intelligence to recognize and remember individuals who frequently appear on a homeowner’s camera feed. Once identified, users can receive personalized alerts such as “John is at the front door” instead of a generic notification that a person has arrived.
Privacy advocates argue that while homeowners can choose whether to activate the feature, visitors, delivery workers, neighbors and passersby have no meaningful opportunity to consent to having their faces analyzed and stored. Critics contend that facial recognition systems create unique biometric identifiers, sometimes called faceprints, that can raise privacy and security concerns if retained, shared or breached, according to a [CBS News](https://www.cbsnews.com/news/amazon-ring-lawsuit-facial-recognition-familiar-faces/?utm%5Fsource=chatgpt.com) report.
### A familiar controversy for Ring
The lawsuit is the latest chapter in Ring’s long-running privacy battles.
Amazon acquired Ring in 2018 for roughly $1 billion and has repeatedly faced criticism over the company’s relationships with law enforcement agencies, employee access to customer video footage and the broader implications of neighborhood camera networks.
In 2023, the Federal Trade Commission reached a $5.8 million settlement with Ring over [allegations](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/complaint%5Fring.pdf?ref=consumernews.ai) that employees and contractors had improper access to customer video recordings. Amazon denied wrongdoing while agreeing to the settlement.
More recently, Ring drew criticism after a Super Bowl advertisement promoted its neighborhood camera network. Privacy groups argued that the technology could contribute to widespread surveillance, prompting renewed scrutiny from lawmakers and civil liberties advocates, [AP News](https://apnews.com/article/32b7d32a06d369bffe3ffdcdd31962a1?utm%5Fsource=chatgpt.com) said.
### What the case could mean
The lawsuit arrives as courts and regulators continue to wrestle with how biometric privacy laws apply to rapidly expanding AI-powered consumer technologies.
Several states, including Illinois and Texas, already impose restrictions on the collection and use of biometric information. Legal experts say the Ring case could become an important test of whether companies can deploy facial recognition systems that inevitably capture people who never agreed to participate, according to a [Washington Post](https://www.washingtonpost.com/technology/2025/10/03/amazon-ring-doorbell-facial-recognition-pricacy/?utm%5Fsource=chatgpt.com) report.
For consumers, the case highlights a growing reality: facial recognition technology is moving beyond airports, smartphones and law enforcement databases and into residential neighborhoods. Whether courts determine that those scans require explicit consent may shape the future of AI-powered home security products across the country.
### Why consumers should care
If the plaintiffs ultimately prevail, companies that use facial recognition could face stricter consent requirements and higher compliance costs. The [Electronic Frontier Foundation](https://www.eff.org/deeplinks/2025/11/legal-case-against-rings-face-recognition-feature?utm%5Fsource=chatgpt.com) and other privacy advocates argue that stronger protections would give consumers greater control over how their biometric information is collected and stored, while industry groups contend that facial recognition can provide convenience and security benefits when used responsibly.
The case is in its early stages, and the court has not yet ruled on the merits of the allegations. Amazon has not publicly responded to the specific claims in the lawsuit.
### France fines Shein over consumer-rule breaches
URL: https://www.consumernews.ai/france-fines-shein-over-consumer/
Last updated: 2026-06-19T19:15:30.000Z
#
France today [fined fast-fashion retailer Shein](https://www.economie.gouv.fr/dgccrf/laction-de-la-dgccrf/injonctions-et-sanctions/la-dgccrf-sanctionne-shein-pour-de-nouveaux-manquements?ref=consumernews.ai) nearly about $27 million after regulators said the online giant failed to give shoppers required information about returns, environmental characteristics and order confirmations, the latest escalation in a widening French campaign against the e-commerce platform. [\[3\]](https://www.economie.gouv.fr/dgccrf/laction-de-la-dgccrf/injonctions-et-sanctions/la-dgccrf-sanctionne-shein-pour-de-nouveaux-manquements?ref=consumernews.ai)
The Directorate General for Competition, Consumer Affairs and Fraud Control, known as the DGCCRF, said shoppers were denied legally compliant cancellation rights in some cases, while order-confirmation emails lacked mandatory details such as price, delivery timing, seller identity and contact information, legal guarantees, mediation options and withdrawal information.
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Shein pushed back hard. In a [statement](https://www.reuters.com/business/retail-consumer/france-fines-shein-22-million-shein-calls-fines-disproportionate-2026-06-03/?ref=consumernews.ai) quoted by Reuters, a company spokesperson called the case “Technical issues, with no impact on consumers,” and said Shein would strongly contest the sanctions in full.
### Earlier actions against Shein
The new penalties come on top of a $46 million DGCCRF fine announced in July 2025, when the agency said Shein had misled consumers about discounts and could not substantiate some environmental claims. In that earlier case, the French watchdog said 57% of checked promotions were not real price cuts, 19% were smaller discounts than advertised and 11% were actually price increases; the agency said the company accepted the transaction.
Pressure intensified later in 2025 after French authorities said Shein’s marketplace was offering illicit products, including childlike sex dolls, weapons and medicines. A Nov. 1 government statement said the DGCCRF referred the matter to prosecutors after finding sexual dolls with childlike appearance on the site.
A [Nov. 7 statement](https://presse.economie.gouv.fr/la-dgccrf-saisit-le-procureur-de-la-republique-apres-avoir-constate-la-commercialisation-de-poupees-sexuelles-a-caractere-pedopornographique-par-shein/?ref=consumernews.ai) said Shein suspended its marketplace and removed illicit products after a DGCCRF injunction, but the government still pursued broader judicial action.
That broader push stalled in court. In a March 19 press communication, the Paris Court of Appeal said the harm that originally justified the state’s action no longer existed, noted that Shein had acted quickly to remove the products and put control measures in place, and rejected the state’s broader demands. The court did, however, maintain an age-verification requirement for pornographic products.
French small-business minister Serge Papin signaled there will be no letup. In a June 3 post on X, Papin said that the fight would continue; Reuters separately reported that he said the government would keep acting until platforms changed their practices or left the French market.
> For consumers, the case goes to the basics of online shopping: knowing who sold an item, what it costs, when it should arrive, how returns work and what product-impact information must be disclosed.
For Shein, the practical next step is legal: the company says it will challenge the sanctions, while French authorities have made clear that wider scrutiny of the platform is continuing.
##
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### Consumer News & Updates
URL: https://www.consumernews.ai/consumer-news-updates/
Last updated: 2026-06-03T15:28:30.000Z
We're trying something new today – a quick summary of consumer news from around the United States. Click on the links for more. Some may require a password.
### Major wires and agency pieces
- “US retailers brace for bigger consumer stress test as war drags on” – Reuters notes that prolonged conflict in the Middle East and higher gas prices are starting to erode the buffer that’s kept U.S. consumers spending, raising the risk of a broader pullback in retail.\[[reuters](https://www.reuters.com/business/retail-consumer/?ref=consumernews.ai)\]
- “France fines Shein $26 million over consumer rule breaches; Shein to challenge” – Reuters reports that French authorities hit Shein with a roughly €22 million penalty related to returns, product information and order confirmations, highlighting EU enforcement of consumer rules against fast fashion.\[[reuters](https://www.reuters.com/business/retail-consumer/?ref=consumernews.ai)\]
- “Amazon’s Ring sued over facial recognition feature, latest privacy concern for doorbell maker” – Reuters describes a lawsuit by a Virginia resident alleging Ring cameras collected and stored facial images without adequate consent, adding to ongoing debates about consumer privacy and surveillance tech.\[[reuters](https://www.reuters.com/business/retail-consumer/?ref=consumernews.ai)\]
### Consumer sentiment and macro context
- Retail Dive is leading with “Consumer sentiment falls to new low; cost of living ‘first-order’ worry,” tying record-low sentiment to persistent inflation concerns and suggesting a higher chance the Fed will hike rates if long-run expectations drift up.\[[retaildive](https://www.retaildive.com/?ref=consumernews.ai)\]
- The Wall Street Journal’s consumer section highlights that higher gasoline prices and Middle East tensions have driven consumer sentiment to an all‑time low, with rising anxiety about future economic conditions.\[[wsj](https://www.wsj.com/economy/consumers?ref=consumernews.ai)\]
### Regulatory and protection angles
- The Consumer Financial Protection Bureau’s recent updates emphasize its push for a marketplace that “works for American consumers,” including ongoing rulemakings and enforcement actions in credit reporting, mortgage servicing and junk fees (site front page framing, not a single headline but a useful backdrop).\[[consumerfinance](https://www.consumerfinance.gov/?ref=consumernews.ai)\]
- Tennessee’s Attorney General and Commerce & Insurance Department have several new “CONSUMER ALERT” headlines, including warnings about tree‑trimming and removal scams and guidance to protect consumers during winter storms, plus a lawsuit against Roblox over alleged child-safety misrepresentations.\[[tn](https://www.tn.gov/attorneygeneral/working-for-tennessee/consumer-affairs.html?ref=consumernews.ai)\]
### Practical story ideas for journalists and consumers
- A consumer-protection explainer on what Shein’s fine signals about cross‑border enforcement and what rights U.S. consumers have (or don’t) under EU‑style rules.\[[reuters](https://www.reuters.com/business/retail-consumer/?ref=consumernews.ai)\]
- A piece tying the “consumer stress test” and record‑low sentiment to specific household pain points: fuel, food, and credit card APRs, with a service-y angle on budgeting and avoiding high‑cost credit.\[[wsj](https://www.wsj.com/economy/consumers?ref=consumernews.ai)\]
- Privacy and surveillance story built around the Ring facial-recognition suit, expanding to doorbells, landlord‑installed cameras, and HOA‑mandated systems, with practical steps for consumers to limit data collection.\[[reuters](https://www.reuters.com/business/retail-consumer/?ref=consumernews.ai)\]
- A short with regional color on state‑level consumer alerts (e.g., scams around home services, robocalls), paired with CFPB guidance and your own Virginia AG resources for complaint filing.\[[oag.state.va](https://www.oag.state.va.us/consumer-Protection/index.php/file-a-complaint?ref=consumernews.ai)\]
### Pet insurance premiums unleashed, profit margins surging as private equity expands its grip
URL: https://www.consumernews.ai/pet-insurance-premiums-unleashed/
Last updated: 2026-06-19T19:15:30.000Z
A reader wrote to us the other day, saying she had received a letter from the New Jersey [insurance regulators](https://www.nj.gov/dobi/division%5Finsurance/index.htm?ref=consumernews.ai) telling her about a pending 17% increase in her pet insurance premium.
A little research led us to the rather startling finding that 17% is actually pretty good in New Jersey, where some companies have applied unsuccessfully for rate hikes as high as 65%. Even more startling is that New Jersey is the only state that requires pet insurers to apply for rate changes. Most states do next to nothing.
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> **Maybe that’s why American pet owners paid $4.74 billion in pet insurance premiums in 2024 while their insurers paid out $3.07 billion in claims.**
That means pet insurers as a group retained roughly 28–35 cents of every premium dollar for expenses and profit, with no legal obligation to return a single cent to policyholders even if they kept 60% of what they collected.
The New Jersey reader’s rate shock is widespread. A sampling of what consumers are reporting in other states:
- **California**: Policyholders with Embrace reported 43% hikes for 2025 renewals; some Nationwide customers saw premiums double from $1,700 to $3,400 annually; one Healthy Paws customer reported a 73% increase. California approved Embrace’s 23.12% base rate filing, but actual individual increases exceeded that, according to a sampling of [Reddit comments](https://www.reddit.com/r/petinsurancereviews/comments/1mdgcwv/can%5Fsomeone%5Fexplain%5Fthe%5Fpe%5Fownership/?ref=consumernews.ai).
- **Most states**: Unlike New Jersey, The Zebra [notes](https://www.thezebra.com/pet-insurance/pet-insurance-costs-state/?ref=consumernews.ai), in most states “insurers can set and raise premiums without prior approval, leading to wide price variations.”
- **Maine** saw a 24% increase in vet care costs in a single year (2023–2024) that flowed directly into premiums.
## **Industrywide trend**
The pet insurance market has grown more than 20% annually for five straight years, according to [industry reports](https://naphia.org/industry-data/section-2-total-pets-insured/?ref=consumernews.ai). Gross written premiums hit $4.27 billion in 2023 and surpassed $4.7 billion in 2024.
That growth reflects both more policies being sold and higher premiums per policy — the average monthly cost now runs about $52 for dogs and $28 for cats nationally, [per MetLife](https://www.metlifepetinsurance.com/blog/pet-insurance/how-much-does-pet-insurance-cost/?ref=consumernews.ai).
## **Private equity is a factor**
If you’re thinking [private equity](https://www.reddit.com/r/YouShouldKnow/comments/1ekfbaj/ysk%5Fprivate%5Fequity%5Fcompanies%5Fhave%5Fbeen%5Fbuying%5Fup/?ref=consumernews.ai) might be to blame, your instinct is well-founded, and it runs even deeper than the vet side.
A single company — [JAB Holding Company](https://www.jabholco.com/?ref=consumernews.ai) — now controls both a massive network of veterinary clinics and a dominant share of the pet insurance market. JAB owns [National Veterinary Associates](https://www.nva.com/?ref=consumernews.ai) (1,000+ hospitals) and, through its Independence Pet Group, owns more than 20 pet insurance brands including ASPCA Pet Insurance, Figo, Spot, Pumpkin, AKC Pet Insurance, Pets Best, and PetPartners. Business Wire reported that JAB’s pet insurance portfolio is expected to generate over $3 billion in global revenue in 2024.
Separately, [Warburg Pincus ](https://warburgpincus.com/?ref=consumernews.ai)owns both Fetch Pet Insurance and Bond Vet. The Atlantic reported that [Mars Inc.](https://www.mars.com/?ref=consumernews.ai) (yes, the candy company) owns over 2,000 vet practices under Banfield, VCA, and BluePearl brands. About 25% of general vet practices are now corporate-owned, up from roughly 5% a decade ago; for specialty/emergency practices, that figure is around 75%.
The conflict of interest concern is legitimate: a single private equity entity setting both veterinary service prices and the insurance premiums meant to cover those services faces no market pressure to keep either in check. As [The Atlantic’s analysis](https://www.theatlantic.com/ideas/archive/2024/04/vet-private-equity-industry/678180/?ref=consumernews.ai) noted, vet services rose 9.6% year-over-year in early 2024, compared to 3.5% overall CPI — and veterinary care costs are up roughly 60% over the last decade overall.
## **Other commonly cited causes**
Beyond the PE consolidation issue, insurers and industry analysts point to:
- **Advanced treatments**: Procedures once exclusive to human medicine (cancer treatment, orthopedic surgery, advanced imaging) are now routine in veterinary care and extremely expensive.
- **Pandemic-era pet adoption surge**: Millions of new pets entered the insured pool, many with breeds prone to hereditary conditions.
- **Actuarial undercutting**: Some insurers priced policies too cheaply to gain market share and are now correcting with large one-time jumps.
- **Claims utilization**: More people are actually using their policies as awareness grows, raising loss ratios for insurers.
### Is regulation the answer?
At this point, you may be ready to mount a crusade for tougher pet insurance rules in your state. But, hold on — do we know for sure that regulation is the answer to holding down costs?
An [Insurify analysis](https://insurify.com/pet-insurance/insights/state-pet-insurance-regulations/?ref=consumernews.ai) found that the 14 states with pet-specific legislation have a combined average annual premium of $395, virtually identical to the national average of $396\. [NAPHIA](https://naphia.org/industry-data/section-2-total-pets-insured/?ref=consumernews.ai), a trade group, reported that comprehensive accident-and-illness premiums rose 11% for dogs and 0.9% for cats industry-wide from 2023 to 2024 regardless of state regulatory environment.
Meanwhile, back in New Jersey, we told our reader that she was living in the best state for pet insurance. Her response: “If New Jersey really is the best state, that’s unfortunate because it’s damned expensive here.”
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### Ford bets on dealership service growth as it issues ‘Do Not Drive’ recall
URL: https://www.consumernews.ai/ford-bets-on-dealership-service-growth/
Last updated: 2026-06-19T19:15:31.000Z
### Ford pushes dealerships as service becomes a bigger business
Ford is rolling out a major national marketing campaign aimed at convincing vehicle owners that dealership service departments offer the easiest and most reliable option for repairs and maintenance.
The new campaign, branded “Real Parts. Real Pros. Real Easy.,” promotes Ford dealerships, Motorcraft replacement parts, factory-trained technicians and a growing menu of convenience services including mobile repairs and vehicle pickup-and-delivery programs.
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The campaign arrives at a time when Americans are holding onto their vehicles longer than ever. According to industry data from Cox Automotive, the average age of vehicles on U.S. roads is nearing 13 years, reflecting years of high vehicle prices, elevated interest rates and affordability pressures that have encouraged consumers to delay replacing their cars and trucks.
That trend has created a significant opportunity for automakers and dealers to generate revenue through maintenance and repairs rather than new vehicle sales alone.
“Consumers are keeping vehicles longer, which means more opportunities for maintenance, repairs and replacement parts,” said one industry analyst quoted by the trade publication [CBT](https://www.cbtnews.com/ford-expands-mobile-service-push-and-recall/?ref=consumernews.ai). “The service lane has become one of the most important profit centers for dealerships.”
### Dealerships still capture only a fraction of repairs
Although dealerships often handle warranty work and recall repairs, they continue to face intense competition from independent repair shops and national service chains.
Cox Automotive estimates that only about 30% of vehicle service visits occur at franchised dealerships.
Ford’s campaign is designed to capture a larger share of that business by emphasizing expertise and convenience.
The company says customers can schedule service through Ford’s mobile applications, arrange vehicle pickup and delivery, or in some cases have technicians perform repairs at home or work.
Ford reports that roughly one out of every seven service visits now occurs through its mobile service network.
The mobile model allows dealerships to reserve service bays for larger repair jobs while completing routine maintenance, software updates and certain inspections at customer locations.
### Recall puts service network in spotlight
The service campaign is launching at the same time Ford is relying heavily on dealerships to handle a safety recall involving approximately 4,653 vehicles.
The automaker has issued a “Do Not Drive” advisory covering certain 2021-2026 Ford Bronco Sport SUVs and Ford Maverick pickups.
The affected vehicles may contain improperly assembled front lower control arm ball joints.
If a ball joint separates while the vehicle is in motion, drivers could experience a sudden loss of steering control, substantially increasing the risk of a crash.
Ford is advising affected owners not to drive their vehicles until inspections and repairs are completed.
To address the problem, dealers will inspect the front lower control arm ball joint assemblies on both sides of the vehicle and perform any necessary repairs free of charge.
Ford also says complimentary towing will be available for affected vehicles. In some areas, mobile service inspections may also be offered.
### A familiar challenge for Ford
The recall arrives after a difficult period for Ford’s quality-control efforts.
Ford has consistently ranked among the automakers with the [highest number of recalls](https://www.theoutragedconsumer.com/p/ford-setting-records-in-safety-recalls?utm%5Fsource=publication-search) in recent years. According to federal recall data, the company led the industry in recall actions during 2025, continuing a trend that has drawn scrutiny from safety regulators and consumer advocates.
Industry analysts note that a large number of recalls does not necessarily mean vehicles are less safe than competitors’ products. In some cases, aggressive recall activity can reflect a manufacturer’s willingness to identify and correct defects.
Still, repeated recalls can create costs and inconvenience for consumers while increasing pressure on dealerships that must complete repair work.
For Ford, however, recalls also create opportunities to reconnect with customers who may not regularly visit dealerships.
Once customers return for recall repairs, dealers can introduce other maintenance services, inspections and convenience programs that may encourage future visits.
### What consumers should know
Owners of Bronco Sport and Maverick vehicles should check whether their vehicle is included in the recall by entering their Vehicle Identification Number (VIN) on the [National Highway Traffic Safety Administration recall lookup tool](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com) or through [Ford’s recall website](https://www.ford.com/support/recalls/?utm%5Fsource=chatgpt.com).
Consumers who receive a recall notice should not ignore it, particularly when manufacturers issue a “Do Not Drive” warning. Such advisories are relatively rare and generally indicate a defect that could create an immediate safety risk.
The recall also serves as a reminder of the growing role dealerships hope to play as Americans continue to hold onto aging vehicles.
With vehicle affordability remaining a challenge and the average car or truck staying on the road longer, service departments increasingly represent a critical battleground for automakers seeking long-term customer loyalty — and a growing source of revenue long after the original sale.
### What this means
For consumers, Ford’s new campaign reflects a broader industry shift. As vehicle prices remain high and replacement cycles stretch longer, automakers are looking beyond showroom sales and focusing on maintenance, repairs and subscription-style service relationships. The challenge for Ford will be convincing owners that dealership convenience and expertise justify returning to the dealer rather than using independent repair shops that often compete on price. Meanwhile, owners affected by the Bronco Sport and Maverick recall should arrange inspections immediately, since steering-related defects rank among the most serious safety problems regulators encounter.
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### Tariffs still costing consumers — by the category
URL: https://www.consumernews.ai/tariffs-still-costing-consumers-by/
Last updated: 2026-06-19T19:15:31.000Z
The April CPI laid out a granular tariff bill for households. A [Bloomberg Opinion column](https://www.bloomberg.com/opinion/articles/2026-06-01/tariffs-two-biggest-losers-you-and-you-again?ref=consumernews.ai) walked through the data:
- dishes were 15.4 percent more expensive in April than a year earlier,
- men’s shirts were up 7.7 percent,
- jewelry up 16.1 percent and
- personal-computer accessories up 13.9 percent.
Those are all categories with high import exposure, not statistical noise. A typical “stock the kitchen” run that cost $200 a year ago now lists at roughly $231 before applying any cashback or warehouse-club discount.
President Trump signed a proclamation late Monday cutting tariffs on combines, harvesters and a slate of heavy industrial gear to 15 percent from 25 percent, the first sustained walk-back of the 2025 reciprocal tariffs.
But Monday’s tariff carve-outs do not move that needle for households. Combines and forklifts are not in the consumer cart.
The clearest read on whether the administration extends relief to apparel, electronics or housewares will come from the May CPI on June 11 and from the next batch of executive actions, which the White House has not yet detailed.
In the meantime, retailers are reverting to the playbook of the past 12 months: targeted price cuts on bellwether items (Clorox, Kraft Heinz), expanded value packs, and quietly pulling back tariff surcharges in categories where elasticity is highest, including beauty, where e.l.f. Beauty’s chief executive said last week the company would dial back some tariff-driven increases because “the consumer is suffering.”
[More top consumer news …](https://www.consumernews.ai/brent-jumps-toward-97-as-trump-edits-the-iran-deal-factories-accelerate-tariffs-come-off-farm-gear-uaw-shuts-a-gm-truck-plant-and-dishes-still-cost-15-percent-more/)
### Brent jumps toward $97 as Trump edits the Iran deal, factories accelerate, tariffs come off farm gear, UAW shuts a GM truck plant — and dishes still cost 15 percent more
URL: https://www.consumernews.ai/brent-jumps-toward-97-as-trump-edits-the-iran-deal-factories-accelerate-tariffs-come-off-farm-gear-uaw-shuts-a-gm-truck-plant-and-dishes-still-cost-15-percent-more/
Last updated: 2026-06-02T13:51:08.000Z
*By Perplexity*
Five stories Tuesday morning underscore that the consumer economy is still being whipsawed by Washington and the Strait of Hormuz. President Donald Trump returned a third round of edits to the U.S.-Iran memorandum of understanding, pushing oil up sharply Monday — Brent closed at $94.98 in one read and traded near $97 in another — and keeping the war premium intact even as roughly 70 commercial ships finally squeezed through the strait in the past three weeks.
The Institute for Supply Management's manufacturing index hit 54, the highest reading since May 2022, a sign the factory sector is reaccelerating even as households retrench.
Trump signed a proclamation late Monday cutting tariffs on combines, harvesters and a slate of heavy industrial gear to 15 percent from 25 percent, the first sustained walk-back of the 2025 reciprocal tariffs.
Almost 1,000 UAW workers struck an American Axle plant in Three Rivers, Michigan, halting production of essential parts for the Chevy Silverado and GMC Sierra.
And a Bloomberg Opinion column built off April CPI data put a sharp number on what the tariff regime is still costing the household budget: dishes up 15.4 percent, jewelry up 16.1 percent, PC accessories up 13.9 percent and men's shirts up 7.7 percent from a year earlier.
### **Trump's third round of edits sends oil sharply higher**
Trump made a third round of edits to the U.S.-Iran memorandum of understanding on Friday and returned it to Tehran via Pakistani mediators, [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai). The changes were "somewhat significant" and dealt with "the Strait of Hormuz and the removal of highly enriched uranium," according to [CBS News](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai). The broad framework calls for "a 60-day cessation of violence" with clauses to reopen the strait and a framework for nuclear talks, and the deal could ultimately include "waivers or sanctions relief to Iran that could allow it to access billions in frozen assets depending on the progress of the diplomacy," [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai).
Trump's tone Monday alternated between confident and combative. He said talks "are continuing, at a rapid pace," predicted "all shooting will stop" between Israel and Hezbollah, and said the administration plans to "just go silent. We'll keep the blockade. Blockade is a piece of steel," [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai). On Friday Trump had said Iran "really wants to make a deal," and told a Lara Trump interview he was "in 'no hurry' to make a deal."
Markets did move. Brent crude jumped 4.2 percent to settle at $94.98 in one report and was described as climbing "almost 7 percent to $97.47" in another, [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai), well above the roughly $70 level that prevailed before the war. Brent eased early Tuesday to about $94.70 a barrel, while U.S. benchmark crude slipped 39 cents to $91.77 in early Asian trade, according to [The Associated Press](https://apnews.com/article/stock-markets-iran-nvidia-energy-oil-ba4257d9938ef6aea558db3010b4a53f?ref=consumernews.ai). United Airlines fell 2.6 percent, Alaska Air 3.3 percent and Carnival 2.7 percent on the energy spike, [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai).
The strait itself is once again moving cargo, slowly. About 70 commercial ships transited the Strait of Hormuz over the past three weeks with help from U.S. Central Command, an official told [CBS News](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai), with CENTCOM guiding vessels onto a U.S. Navy-cleared lane farther from the Iranian coast. Iran, meanwhile, said 15 vessels — four of them oil tankers — had transited "under its supervision" in the past 24 hours and warned that ships moving through in "cooperation with hostile extra-regional forces" would be treated as "an imminent security threat," [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-trump-strikes-ceasefire-lebanon-israel/?ref=consumernews.ai).
### **Factory pulse quickens: ISM hits a four-year high**
U.S. manufacturing activity expanded for a fifth straight month in May, and the Institute for Supply Management's purchasing managers' index climbed to 54, its highest reading since May 2022, according to [The Wall Street Journal](https://www.wsj.com/economy/central-banking/u-s-factory-activity-expands-in-may-799a2ac6?ref=consumernews.ai). Readings above 50 signal sector expansion, and the May print topped the 53.2 forecast by economists polled by [The Wall Street Journal](https://www.wsj.com/economy/central-banking/u-s-factory-activity-expands-in-may-799a2ac6?ref=consumernews.ai).
For households, a hotter factory survey is mixed news. Production momentum supports continued hiring and overtime in industrial-heavy states, but it also reinforces the case that the Federal Reserve will hold rates higher for longer. Bond markets, already leaning toward removing the central bank's easing bias at the June 17 and 18 meeting under Chairman Kevin Warsh, will read the print as one more reason to do so. JOLTS job openings data for April are due Tuesday, the next datapoint feeding into Friday's payrolls report and the new Fed framework debate over whether to anchor on trimmed mean inflation rather than the hotter core PCE figure.
### **Trump trims tariffs — on combines and heavy industrial gear**
In the first sustained pullback on the 2025 reciprocal tariff regime, Trump signed a proclamation late Monday cutting U.S. tariffs on agricultural equipment such as combines and harvesters to 15 percent from 25 percent, according to [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-02/us-cuts-agricultural-equipment-tariffs-citing-rising-farm-costs?ref=consumernews.ai). Foreign producers can qualify for an even lower 10 percent duty if their capital equipment contains "at least 85 percent US steel or aluminum," according to a White House fact sheet cited by [Bloomberg](https://www.bloomberg.com/news/articles/2026-06-02/us-cuts-agricultural-equipment-tariffs-citing-rising-farm-costs?ref=consumernews.ai).
The list extends beyond agriculture. According to [The Wall Street Journal](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-06-01-2026/card/trump-lowers-tariffs-on-some-heavy-metal-goods-to-benefit-farmers-others-DDtKxR0962mLoilCyCGp?ref=consumernews.ai), the president lowered duties on heating and cooling apparatus, bulldozers, forklifts and various types of mobile industrial machinery, in addition to agricultural tools, all dropping to 15 percent from a steel-, aluminum- and copper-driven 25 percent. The administration cast the move as relief for farmers and capital-intensive manufacturers facing surging input costs.
The signal matters as much as the savings. The administration has spent more than a year defending the broad tariff structure on national-security and reshoring grounds. The willingness to carve out exceptions for politically vulnerable rural and industrial constituencies hints at the political ceiling on broad consumer tariffs, especially with midterms five months out.
### **UAW walks out at a critical GM truck-parts plant**
Almost 1,000 employees at American Axle & Manufacturing's plant in Three Rivers, Michigan, walked off the job, halting production of essential components for General Motors' midsize and full-size pickup trucks, according to [The Wall Street Journal](https://www.wsj.com/business/autos/uaw-to-strike-at-key-general-motors-truck-supplier-plant-870e4ff4?ref=consumernews.ai). Workers, the Journal reported, "assert that their wages have not rebounded since 2008," when they accepted "a 50 percent pay cut to maintain operations during challenging economic conditions." American Axle has reported "significant profits in recent years, largely attributed to robust sales of GM trucks," [the Journal reported](https://www.wsj.com/business/autos/uaw-to-strike-at-key-general-motors-truck-supplier-plant-870e4ff4?ref=consumernews.ai).
The consumer angle is fast-moving. Chevy Silverado and GMC Sierra are GM's two highest-volume nameplates and among the most profitable pickup lines in the industry. Even a short stoppage at a single-source axle plant can throttle Silverado and Sierra deliveries within days, lifting dealer transaction prices and squeezing trade-in offers for buyers still digesting elevated auto-loan rates. With used-car prices already softening, a supply hit on the biggest-selling pickups in America has the potential to reshape the second-quarter auto pricing curve.
### **Tariffs still costing consumers — by the category**
The April CPI laid out a granular tariff bill for households. A [Bloomberg Opinion column](https://www.bloomberg.com/opinion/articles/2026-06-01/tariffs-two-biggest-losers-you-and-you-again?ref=consumernews.ai) walked through the data: dishes were 15.4 percent more expensive in April than a year earlier, men's shirts were up 7.7 percent, jewelry up 16.1 percent and personal-computer accessories up 13.9 percent, all categories with high import exposure. Those are not statistical noise. A typical "stock the kitchen" run that cost $200 a year ago now lists at roughly $231 before applying any cashback or warehouse-club discount.
Monday's tariff carve-outs do not move that needle for households. Combines and forklifts are not in the consumer cart. The clearest read on whether the administration extends relief to apparel, electronics or housewares will come from the May CPI on June 11 and from the next batch of executive actions, which the White House has not yet detailed. In the meantime, retailers are reverting to the playbook of the past 12 months: targeted price cuts on bellwether items (Clorox, Kraft Heinz), expanded value packs, and quietly pulling back tariff surcharges in categories where elasticity is highest, including beauty, where e.l.f. Beauty's chief executive said last week the company would dial back some tariff-driven increases because "the consumer is suffering."
### **The bigger picture**
Tuesday's themes describe a consumer economy with two engines pulling in different directions. Manufacturing is reaccelerating, but the strength gives the Fed political and analytical cover to keep rates higher. The Iran negotiations are inching closer to a paper deal but the path runs through Trump's editing pen and the strait still moves the pump price by the hour. The administration is willing to walk back tariffs for politically important constituencies but has not yet relieved the household categories doing the most damage to the consumer price index. A targeted UAW strike at a critical supplier plant threatens to lift truck transaction prices just as households are stretching credit-card balances to record levels. And the catalog of tariff-driven price increases — 16.1 percent on jewelry, 15.4 percent on dishes — is a reminder that the cost of the trade strategy is still being paid one shopping cart at a time.
For consumers, the practical playbook for the week is concrete: avoid big-ticket truck purchases until the American Axle situation is resolved, time apparel and housewares restocks against expected tariff carve-outs rather than current sticker prices, and watch JOLTS today and Friday's payrolls report as the next read on Fed direction. For policymakers, the data converges on the same uncomfortable conclusion: factories are stronger, households are weaker, and the foreign-policy backdrop can wipe out a month of good news in a single Truth Social post.
### Roof replacement costs jump as hail damage rises
URL: https://www.consumernews.ai/roof-replacement-costs-jump-as-hail/
Last updated: 2026-06-19T19:15:32.000Z
If you own or rent a house, condo or other dwelling, chances are pretty good it has a roof — and it won’t be too long before that roof needs repairs or replacement. The odds are also that it won’t be cheap.
A report from data analytics firm [Verisk](https://www.verisk.com/?ref=consumernews.ai) finds roof replacement costs climbed sharply in 2025 even as overall property claims declined, with hail volatility and aging roofs pushing up severity.
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Recent research published in *Nature* found that storms capable of producing large hail are projected to become substantially more common as the climate warms, [AP News reported](https://apnews.com/article/hail-climate-change-damage-storms-warming-8573b10ae336f3705865466e5bc986ef?ref=consumernews.ai). Depending on future emissions, storms producing hail larger than a large marble could increase by roughly 38%–47% by the end of the century, scientists say.
Verisk said average U.S. residential roof replacement costs jumped 33% in 2025 compared with the prior four-year average, while average repair costs rose 25%. The average replacement job reached $17,631, with repairs averaging $4,699\. Overall residential roof replacement cost value slipped to $23 billion from an average of $24.4 billion between 2021 and 2024, a drop the firm attributed to a relatively quiet U.S. landfall hurricane season.
Roof losses remained elevated even as overall claims volume fell 20% in 2025, highlighting how roofs are driving a larger share of loss costs. Roofing line items now account for about 30% of all line items in property claims estimates, and Verisk said roofing trends often mirror broader claims patterns.
**What Homeowners Can Do Now**
- **Check your roof’s age and condition.** If your roof is more than 15–20 years old, or you can see curling, missing shingles or patches of discoloration from the ground, it may be time for a professional inspection.
- **Schedule a pro inspection after hail.** Even if a hailstorm looks “minor,” ask a licensed roofer or independent inspector to check for hidden damage that could worsen over time.
- **Document everything.** Take clear, date‑stamped photos of your roof and exterior now, and again after major storms. Good records make it easier to support an insurance claim later.
- **Review your homeowners policy.** Confirm your coverage for wind and hail, your deductibles, and whether your insurer pays for full replacement cost or actual cash value (which deducts for age and wear).
- **Ask about roof discounts.** Some insurers offer lower premiums for impact‑resistant shingles or other upgrades; check whether a planned replacement could qualify you for a break on your rate.
- **Don’t wait on small repairs.** Fix loose flashing, minor leaks and missing shingles quickly. Deferred maintenance can give insurers grounds to deny or reduce a claim if damage gets worse.
## Hail and aging roofs
The Verisk study found that hail volatility and an aging national roof inventory are increasing risk across insurance, construction and housing markets. In states Verisk designates as hail-prone, 57% of residential properties have roofs nine years old or newer, compared with 38% in non-hail states, indicating faster replacement cycles in those regions.
The Midwest and Northeast have the highest concentrations of older roofs, with 17% and 18% of residential roofs respectively at least 31 years old, compared with just 4% in the South. Verisk said roofs in moderate to poor condition show roughly 60% higher loss costs than those in good or excellent condition, based on its 2025 Roof Condition Score baseline data.
## Hail patterns by region
Severe hail, defined as stones at least 1 inch in diameter, was concentrated in the Central Plains in 2025, after earlier years that hit the Northern and Southern Plains more heavily. Arkansas, Kansas, Nebraska, Oklahoma and South Dakota ranked among the top states by the share of roofs impacted by severe hail, and 16 states saw severe hail affect more than 20% of roofs, up from 12 states in 2024.
Verisk reported that “giant” hail of at least 2 inches tends to follow relatively stable geographic patterns year to year, while “large” hail in the 1–2 inch range shows much greater metro-level volatility. Hundreds of local markets experienced meaningful year-to-year increases in large hail activity, creating what the study described as unexpected concentrations of damage.
“Hail risk is not just about one monster storm; it’s the cadence of frequent, smaller-scale events that can rapidly age and weaken a roof,” said Tory Farney, vice president at Verisk Weather Solutions in an [Insurance Journal report](https://www.insurancejournal.com/news/national/2026/06/01/871878.htm?ref=consumernews.ai). He said large hail may cause less damage per event than giant hail, but its wider footprint and annual variability can drive clusters of losses, underscoring the need for insurers, contractors and communities to anticipate where hail is most likely to cluster.
## Roof age mix by region
Verisk’s analysis of the nation’s roof inventory showed marked regional differences.
- In the South, 28% of roofs are 0–4 years old and only 4% are at least 31 years old, reflecting rapid turnover driven by severe weather and strong housing growth.
- In the Midwest, 21% of roofs are 0–4 years old and 17% are 31 years or older;
- In the Northeast, the shares are 14% and 18%, respectively;
- In the West, 20% of roofs are 0–4 years old and 11% are at least 31 years old.
“Accurately assessing roof age, condition and remaining life is a critical part of understanding a property’s vulnerability to wind and hail,” said Ryan D’Amario, senior vice president of property product management at Verisk. He said aerial imagery analytics show that as of 2025, 38% of U.S. residential homes have roofs in moderate to poor condition, often with visible defects that can materially affect performance in severe weather.
D’Amario added that when more than a third of the housing stock falls into that category, roof condition becomes a core underwriting signal with significant implications for risk selection, loss predictability and pricing accuracy.
## Cost pressures and inflation
The report also pointed to inflation dynamics that are helping to keep roofing costs elevated. Verisk said roofing material inflation continues to outpace labor, with roofer labor costs up 0.79% in 2025 versus a 1.48% increase in material costs.
Those national averages mask wide state-level swings: roofing material costs jumped 10.37% in Nevada in 2025 while falling 15.80% in New Hampshire. Verisk said such sharp regional discrepancies in material pricing, layered on top of hail volatility and aging stock, are compounding the challenges for carriers and contractors managing roof-related risk.
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### National Recall Roundup - June 1
URL: https://www.consumernews.ai/national-recall-roundup-june-1/
Last updated: 2026-06-19T19:15:32.000Z
## Highest-Priority Hazards Today
1. Child tip-over and entrapment risks involving dressers.
2. Airbag defects that could reduce crash protection.
3. Unexpected automatic braking events that may trigger collisions.
4. Fire and burn hazards involving sauna blankets.
5. Finger-amputation hazards involving adjustable lounge chairs.
The largest product recall remains the Walmart dresser action affecting approximately 165,000 units, while the largest automotive recalls involve more than 419,000 Jeep SUVs and more than 421,000 Hyundai vehicles. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Walmart-Recalls-Mainstays-9-Drawer-Fabric-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violates-Mandatory-Standard-for-Clothing-Storage-Units?utm%5Fsource=chatgpt.com))
## NHTSA — Major Vehicle Safety Recalls
### Jeep recalls more than 419,000 SUVs over delayed side-airbag deployment
Jeep Grand Cherokee and Jeep Grand Cherokee L vehicles are being recalled because software defects in the occupant restraint controller may delay side-airbag deployment during a crash, increasing injury risks. Dealers will update the software free of charge. More than 419,000 vehicles are affected. ([Car and Driver](https://www.caranddriver.com/news/a71443237/jeep-grand-cherokee-419k-models-side-airbags-recall/?utm%5Fsource=chatgpt.com))
### Hyundai recalls 421,000 vehicles over unexpected braking hazard
Certain Hyundai Tucson, Hyundai Tucson Hybrid, Hyundai Tucson Plug-In Hybrid and Hyundai Santa Cruz vehicles are being recalled because a software error may cause the forward-collision system to apply the brakes unexpectedly, increasing crash risks. NHTSA said crashes and injuries have been reported. ([Reuters](https://www.reuters.com/legal/litigation/hyundai-recall-over-421000-us-vehicles-over-software-brake-issue-nhtsa-says-2026-05-22/?utm%5Fsource=chatgpt.com))
### Honda recalls nearly 99,000 vehicles over airbag sensor defect
Honda Accord, Honda Civic, Honda CR-V and several Acura models are being recalled because a passenger-seat sensor can crack and malfunction, potentially affecting airbag deployment decisions during a crash. Nearly 99,000 vehicles are involved. ([People.com](https://people.com/honda-recalls-nearly-99-000-vehicles-over-airbag-sensor-defect-11987425?utm%5Fsource=chatgpt.com))
## CPSC — Major Consumer Product Hazards
### Walmart recalls 165,000 dressers over tip-over and child death risk
Mainstays 9-Drawer Fabric Dressers sold by Walmart were recalled because the dressers can tip over if not anchored to a wall, creating serious entrapment and fatal injury hazards for children. The CPSC said the products violate federal STURDY Act safety requirements. About 165,000 units are affected. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Walmart-Recalls-Mainstays-9-Drawer-Fabric-Dressers-Due-to-Risk-of-Serious-Injury-or-Death-from-Tip-Over-and-Entrapment-Hazards-Violates-Mandatory-Standard-for-Clothing-Storage-Units?utm%5Fsource=chatgpt.com))
### Sauna blankets recalled after overheating reports
SLF Sauna Blankets were recalled because they can overheat, posing fire and burn hazards. Regulators said at least six incidents were reported involving overheating and minor property damage. Roughly 3,600 units sold through retailers including Target and Macy’s are affected. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Tzumi-Electronics-Recalls-SLF-Sauna-Blankets-Due-to-Fire-and-Burn-Hazards?utm%5Fsource=chatgpt.com))
### Lounge chairs recalled after finger amputation injury
Giantex Outdoor Lounge Chairs were recalled because a pinch point in the adjustment mechanism can amputate fingers. The recall followed a report that a consumer lost a finger while adjusting the chair. Consumers are being urged to stop using the chairs immediately. ([Houston Chronicle](https://www.houstonchronicle.com/news/houston-texas/trending/article/recall-giantex-amazon-chairs-22282179.php?utm%5Fsource=chatgpt.com))
## FDA
No major new nationwide FDA food recalls emerged as dominant national alerts during this review cycle. Consumers should continue monitoring FDA notices for contamination, allergen and foodborne-illness warnings.
## USDA FSIS
No major new nationwide meat or poultry recalls were identified during this review period.
##
### Retail’s tax-refund camouflage starts to wear off
URL: https://www.consumernews.ai/retails-tax-refund-camouflage-starts/
Last updated: 2026-06-19T19:15:32.000Z
The retail sector pulled off a “surprisingly robust” first quarter, but executives and analysts now agree the tax-refund tailwind that propped up spending is fading, [CNBC reported](https://www.cnbc.com/2026/06/01/q1-2026-retail-earnings-tax-refunds-bnpl.html?ref=consumernews.ai).
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Target posted a 5.6 percent comparable-sales gain — its first positive print in five quarters — Best Buy’s comps rose 2 percent, Burlington’s grew 6 percent, and Ross posted a 17 percent jump against an expectation of 9 percent, [CNBC reported](https://www.cnbc.com/2026/06/01/q1-2026-retail-earnings-tax-refunds-bnpl.html?ref=consumernews.ai). TJX Companies delivered its largest earnings-per-share beat since August 2021 and a 6 percent same-store gain, nearly two percentage points above Wall Street forecasts. Walmart’s sales rose 7 percent.
Tax refunds, larger in dollar terms and broader in reach than last year, did the heavy lifting. Walmart Chief Financial Officer John David Rainey told [CNBC](https://www.cnbc.com/2026/06/01/q1-2026-retail-earnings-tax-refunds-bnpl.html?ref=consumernews.ai), “I believe higher tax returns alleviated some of the pressure from rising fuel prices.” He warned, “Now that we’re moving into a period where those tax refunds are largely absent, consumers are likely to feel more of the strain from elevated fuel costs.”
Target’s finance chief James Lee acknowledged the boost from refunds would “diminish throughout the remainder of the year.” Burlington said refunds contributed roughly 1.5 to 2 points of its 6 percent same-store gain.
### Buy now, pay later to the ‘rescue’
[Buy now, pay later](https://www.theoutragedconsumer.com/p/buy-now-pain-later?utm%5Fsource=publication-search) (BNPL) picked up the rest of the slack. Adoption hit fresh highs across income brackets in the first quarter, with use among those earning over $150,000 approaching 13 percent, [CNBC reported](https://www.cnbc.com/2026/06/01/q1-2026-retail-earnings-tax-refunds-bnpl.html?ref=consumernews.ai).
Consumer advocates and bankers are both wary of BNPL, fearing that it seems painless and could tempt consumers into taking on more debt than they realize, with unfortunate consequences down the line.
On the other hand, retailers are also fearful that the consumer gold mine days may be behind them.
Tarang Amin, chief executive of e.l.f. Beauty, told CNBC bluntly that “the consumer is suffering” and that the company plans to dial back some tariff-driven price increases, [CNBC reported](https://www.cnbc.com/2026/06/01/q1-2026-retail-earnings-tax-refunds-bnpl.html?ref=consumernews.ai). Ross, even after its blowout quarter, guided to a more normal back half.
The retail second-quarter scoreboard, which begins arriving later this month, will be the cleanest read in months on whether the consumer cracked once the refund check stopped landing.
## Trump voters wrestle with $4.34 gas and war in Iran
Five months from the midterms, [The New York Times](https://www.nytimes.com/2026/06/01/us/politics/trump-gas-prices-iran-war.html?ref=consumernews.ai) surveyed Trump voters at gas stations across three battleground states with high-profile Senate races and found a coalition under strain.
With pump prices at $4.34 a gallon — “over a dollar more than it was at the same time last year” and just shy of a four-year high — voters who 19 months ago backed the president’s “affordable again” promise and his pledge of “no new conflicts” said they are now “grappling with the financial strain at the pump and whether it should influence their voting choices in the upcoming fall,” [The Times reported](https://www.nytimes.com/2026/06/01/us/politics/trump-gas-prices-iran-war.html?ref=consumernews.ai)
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### National Recall Roundup, May 29
URL: https://www.consumernews.ai/national-recall-roundup-may-29/
Last updated: 2026-06-19T19:15:33.000Z
## FDA — Significant Recent Food Safety Alerts
### Snack mix products recalled over potential health risk
John B. Sanfilippo & Son voluntarily recalled certain snack mix products due to a potential health risk. Consumers should review lot numbers and product information in the FDA notice. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/john-b-sanfilippo-son-inc-voluntarily-recalls-snack-mix-products-due-possible-health-risk?utm%5Fsource=chatgpt.com))
### Powdered milk-related Salmonella recalls continue
The FDA continues to track multiple recalls associated with powdered milk ingredients from California Dairies because of a potential Salmonella contamination risk. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-powdered-milk-california-dairies-inc-due-potential-salmonella?utm%5Fsource=chatgpt.com))
### Potato chips recalled
Utz Quality Foods recalled certain varieties of Zapp’s and Dirty Potato Chips. Consumers should check FDA notices for affected products and distribution areas. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/utz-quality-foods-llc-issues-voluntary-recall-certain-limited-varieties-zapps-and-dirty-potato-chips?utm%5Fsource=chatgpt.com))
### Credit-card debt hits $1.25 trillion as families slip into ‘survival debt’
URL: https://www.consumernews.ai/credit-card-debt-hits-125-trillion/
Last updated: 2026-06-19T19:15:33.000Z
Total U.S. credit-card debt has reached $1.25 trillion, and delinquencies are climbing toward the highest level since the financial crisis, according to [The Wall Street Journal](https://www.wsj.com/personal-finance/credit/us-credit-card-debt-af5c7c77?ref=consumernews.ai).
The Journal profiled Catherine Clarke, 42, who earns $194,000 a year but watched a Chase Sapphire balance grow to $15,000 at a 26 percent annual interest rate, with a $572 monthly minimum that barely dented the principal, [the Journal reported](https://www.wsj.com/personal-finance/credit/us-credit-card-debt-af5c7c77?ref=consumernews.ai).
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The story has resonated because it is no longer a problem confined to the lowest income brackets. Even with a high salary, “soaring interest rates and stubborn inflation have led to the highest delinquencies since the financial crisis,” [the Journal reported](https://www.wsj.com/personal-finance/credit/us-credit-card-debt-af5c7c77?ref=consumernews.ai), with more families shifting into “a pattern of survival debt.”
That pattern fits the broader picture coming out of Thursday’s [BEA release](https://www.bea.gov/news/2026/personal-income-and-outlays-april-2026?ref=consumernews.ai): spending up but flat after adjusting for inflation, incomes stagnant, savings rate near record lows, and a growing share of households turning to revolving credit to cover groceries, gasoline and electric bills.
### Big brands take action to hang onto customers
The corporate response is starting to shift. [The Wall Street Journal](https://www.wsj.com/business/retail/americans-are-sick-of-high-prices-companies-are-finally-doing-something-about-it-a4506def?ref=consumernews.ai) reported Thursday that companies including Clorox and Kraft Heinz are conceding that significant portions of their customer base can no longer afford their products at current prices, and are beginning to cut prices or expand value packs.
Dollar Tree Chief Executive Michael Creedon Jr. said on the company’s earnings call that “lower-income” customers are “navigating higher fuel costs and broader macro uncertainty” and are “shopping more thoughtfully and closer to their immediate needs,” [The New York Times reported](https://www.nytimes.com/2026/05/28/business/oil-gas-price-iran.html?ref=consumernews.ai).
### **The playbook keeps tightening**
To put it simply, the consumer is running out of slack. April’s economic reports showed that inflation is still beating wages and that families are dipping into savings simply to stay even.
The Iran negotiations could give the Fed and the household budget a reprieve, but the truce is tentative, gasoline is still up nearly 50 percent since the conflict began, and the strait’s tolling fight is unresolved.
Costco’s quarter shows what is working in this economy — bulk buying and discount fuel — and reveals what is breaking elsewhere, with lower-income shoppers boxed in. Housing remains stalled at 6.5-plus percent mortgages, draining the wealth-building channel most middle-class families relied on. And the $1.25 trillion credit-card balance is the bill for all of it: when paychecks cannot stretch, the plastic does.
For consumers, the practical playbook tightens with each Friday report: lock in fixed-rate borrowing if it is still available, treat savings goals as a fixed expense rather than a residual, and watch the next jobs report and gas-price reading like a hawk.
For policymakers, the message Kevin Warsh inherits is unambiguous. With inflation at 3.8 percent, incomes flat, and a foreign-policy crisis still capable of moving the pump price overnight, the path back to a 2 percent target — and to the rate cuts most households are counting on — has rarely looked longer.
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### Foreclosures at highest level in six years, mortgage rates stuck at 6.53%, Realtors bailing out
URL: https://www.consumernews.ai/foreclosures-at-highest-level-in/
Last updated: 2026-06-19T19:15:34.000Z
Not to be disrespectful to our Realtor friends, but they are displaying the behavior often attributed to rats trapped aboard a troubled ship. A lethal combination of high interest rates, a shortage of inventory and payment troubles by current homeowners, make it clear the real estate market is not a pleasant place to be right now.
Perhaps the most distressing development finds rising mortgage delinquencies and foreclosures. The latest report from analytics firm [Cotality](https://www.cotality.com/press-releases/u-s-foreclosure-rate-reaches-six-year-high?ref=consumernews.ai) found that the share of mortgages in some stage of delinquency was 3%, a 0.2 percentage point increase from March 2025.
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The foreclosure inventory rate also increased for the first time in 15 months to 0.4%, a 0.1 percentage increase from March 2025, signaling a shift from the extended period of stability seen since late 2024.
The highest foreclosure rate “reflects a gradual transition from the historically low levels seen through 2024, as more loans move through later stages of delinquency,” said Molly Boesel, Senior Principal Economist at Cotality. “The uptick is not isolated — 77% of U.S. metros are now experiencing increases in foreclosure rates, signaling that the trend is broad-based rather than concentrated in a few markets.
“In many areas, particularly across parts of Florida and Texas, the rise in foreclosure activity aligns with earlier increases in serious delinquencies, suggesting that once borrowers fall behind, it is becoming more difficult to recover,” she said.
### Mortgage rates edging up
The housing market continues to deliver the slow-motion grind it has produced since 2022\. The average rate on a 30-year fixed mortgage edged up to 6.53 percent from 6.51 percent the prior week, according to [Bloomberg](https://www.bloomberg.com/news/articles/2026-05-28/us-mortgage-rates-tick-up-to-6-53-freddie-mac-says?ref=consumernews.ai) citing Freddie Mac. Buyside data at [The Wall Street Journal](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-5-27-2026?ref=consumernews.ai) put Bankrate’s national 30-year average at 6.62 percent, with 15-year fixed at 6.01 percent and 5/1 ARMs at 5.96 percent.
CBS News [reported this week](https://www.cbsnews.com/news/what-experts-expect-mortgage-rates-inflation-keeps-rising/?ref=consumernews.ai) that mortgage costs have climbed nearly 10 percent on average since January and that Jeff Taylor of the Mortgage Bankers Association expects rates to remain in the mid-to-upper 6 percent range for the balance of the year, with potential for a move into the 7s “if the Iran conflict is protracted.”
### Agents head for the door
The drumbeat is wearing down the industry that depends on volume. The Wall Street Journal on Thursday reported on [real-estate agents quitting](https://www.wsj.com/real-estate/real-estate-agents-are-quitting-the-slow-housing-market-d95fc524?ref=consumernews.ai) after a fourth straight year of weak transaction counts, with brokerage owners in places like Fort Worth, Texas, describing a profession reaching a breaking point.
For would-be buyers, the math is unforgiving: higher rates push monthly payments higher just as inflation eats into the down-payment savings households were supposed to be building.
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### Savings rate sinks to a 65-year low as hot April inflation, Hormuz truce talks, Costco's fuel windfall and a credit-card crackup converge
URL: https://www.consumernews.ai/savings-rate-sinks-to-a-65-year-low-as-hot-april-inflation-hormuz-truce-talks-costcos-fuel-windfall-and-a-credit-card-crackup-converge/
Last updated: 2026-05-29T15:00:32.000Z
*By Perplexity*
American consumers are heading into the weekend caught in an uncomfortable squeeze: prices keep rising, paychecks are not, and the cushion is wearing thin.
The April personal consumption expenditures price index, the Federal Reserve's preferred inflation gauge, climbed at a 3.8 percent annual rate, the hottest reading in three years, while incomes flatlined and the savings rate fell to 2.6 percent — its lowest since 2022 and, by one economist's account, a level rarely seen in 65 years.
Tentative news of a 60-day U.S.-Iran memorandum of understanding eased oil briefly and trimmed gasoline to a $4.43 national average, though the war premium since the conflict began is still close to 50 percent.
Costco delivered a quarter built on record fuel volume and a steady renewal rate but warned about lower-income shoppers.
Mortgages stayed stuck near 6.53 percent, dragging a fourth straight year of housing stagnation that is now pushing real-estate agents to quit the business.
And a Wall Street Journal report put the nation's credit-card pile at $1.25 trillion, with delinquencies at the highest level since the financial crisis.
### **Inflation tops 3.8 percent, savings rate falls to 2.6 percent**
The Bureau of Economic Analysis on Thursday reported that the PCE price index rose 0.4 percent in April from March and 3.8 percent from a year earlier, with core PCE up 3.3 percent over 12 months, in line with forecasts, according to [CNBC](https://www.cnbc.com/2026/05/28/core-inflation-hit-an-annual-rate-of-3point3percent-in-april-as-expected-feds-preferred-gauge-shows-.html?ref=consumernews.ai). Goods prices jumped 0.7 percent for the month, driven by a 5.5 percent surge in gasoline, while overall housing prices climbed 0.5 percent, the largest monthly gain since at least January 2025, [CNBC reported](https://www.cnbc.com/2026/05/28/core-inflation-hit-an-annual-rate-of-3point3percent-in-april-as-expected-feds-preferred-gauge-shows-.html?ref=consumernews.ai).
The household story behind the headline number is grimmer. Personal income was unchanged in April against expectations of a 0.4 percent rise, and the personal saving rate fell to 2.6 percent — the lowest level since June 2022, [CNBC reported](https://www.cnbc.com/2026/05/28/core-inflation-hit-an-annual-rate-of-3point3percent-in-april-as-expected-feds-preferred-gauge-shows-.html?ref=consumernews.ai). Heather Long, chief economist at Navy Federal Credit Union, told [CNBC](https://www.cnbc.com/2026/05/28/savings-inflation-americans-financial-stress.html?ref=consumernews.ai) the figure was so striking she initially thought it was a typo.
"Aside from the spending surge" of 2022, "the savings rate has rarely been this diminished in the last 65 years," Long said, according to [CNBC](https://www.cnbc.com/2026/05/28/savings-inflation-americans-financial-stress.html?ref=consumernews.ai). She added that "even with tax reductions, salaries are not keeping up with inflation currently," and warned that household budgets are likely to tighten further "as tax refunds dwindle and most households see no further income increases on the horizon," [CNBC reported](https://www.cnbc.com/2026/05/28/savings-inflation-americans-financial-stress.html?ref=consumernews.ai).
A NerdWallet survey of roughly 2,000 U.S. adults conducted in May found that 37 percent of Americans — including 35 percent of households earning more than $100,000 — expect to lean on credit cards, buy-now-pay-later services or other loans to cover bills this month. Fidelity separately said the share of 401(k) participants with outstanding loans rose sharply in the first quarter.
For the Fed, the report does little to clear the air. Traders are now pricing in continued inaction at least through late 2026, with the next move increasingly seen as a rate hike rather than a cut, [CNBC reported](https://www.cnbc.com/2026/05/28/core-inflation-hit-an-annual-rate-of-3point3percent-in-april-as-expected-feds-preferred-gauge-shows-.html?ref=consumernews.ai). It is the first PCE release under newly installed Fed chief Kevin Warsh, and [The Wall Street Journal](https://www.wsj.com/economy/central-banking/iran-war-keeps-feds-inflation-gauge-above-inflation-target-7b6926d1?ref=consumernews.ai) noted that the Iran conflict is now the central force keeping inflation above target.
### **A tentative 60-day Iran deal — and a still-fragile Strait**
U.S. and Iranian negotiators have reached a tentative 60-day memorandum of understanding to extend the ceasefire and continue nuclear talks, pending President Donald Trump's approval, [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-strikes-trump-oman-strait-of-hormuz-deal/?ref=consumernews.ai), citing U.S. sources told to the White House press pool. Vice President JD Vance told reporters negotiators are "going back and forth," that the Iranian side appears to be "negotiating at least so far in good faith" and that "we're not there yet, but we're very close," [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-strikes-trump-oman-strait-of-hormuz-deal/?ref=consumernews.ai).
Treasury Secretary Scott Bessent said Iran must hand over enriched uranium and cannot have a nuclear program, adding, "Trump is not going to make a bad deal for the American people," according to [CBS News](https://www.cbsnews.com/live-updates/iran-war-us-strikes-trump-oman-strait-of-hormuz-deal/?ref=consumernews.ai). Bessent also announced sanctions Wednesday on Iran's Persian Gulf Strait Authority, the new Tehran agency set up to collect tolls for ships passing through the Strait of Hormuz. Calling the agency "a joke" on X, Bessent said Treasury has "warned any corporate or state entities against paying tolls or hiding them as aid payments," [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-us-strikes-trump-oman-strait-of-hormuz-deal/?ref=consumernews.ai). Trump struck a sharper tone, telling Oman it would "behave just like everybody else or we'll have to blow them up" and saying of the strait, "It's international waters."
For drivers, the news shaved oil prices but did not erase the damage. Brent crude rose roughly 2 percent to about $94 a barrel Thursday and West Texas Intermediate climbed past $91, according to [The New York Times](https://www.nytimes.com/2026/05/28/business/oil-gas-price-iran.html?ref=consumernews.ai), while pump prices dipped 3 cents to a national average of $4.43 a gallon, the [Times reported](https://www.nytimes.com/2026/05/28/business/oil-gas-price-iran.html?ref=consumernews.ai) citing AAA. Diesel slipped to $5.55\. Even after the modest pullback, gasoline is up nearly 50 percent and diesel is up nearly 50 percent since the conflict began, [the Times reported](https://www.nytimes.com/2026/05/28/business/oil-gas-price-iran.html?ref=consumernews.ai).
### **Costco's fuel windfall papers over a softening middle**
Costco Wholesale reported fiscal third-quarter results late Thursday that showed the warehouse club still working as a refuge for cost-conscious shoppers. Revenue rose 11.6 percent to $70.53 billion, ahead of Wall Street's $69.81 billion estimate, and adjusted earnings per share of $4.28 matched forecasts, according to [CNBC](https://www.cnbc.com/2026/05/28/costco-issues-a-lukewarm-quarter-but-delivers-on-the-metric-that-matters-most.html?ref=consumernews.ai). Membership fee revenue jumped to $1.50 billion, beating estimates, [CNBC reported](https://www.cnbc.com/2026/05/28/costco-issues-a-lukewarm-quarter-but-delivers-on-the-metric-that-matters-most.html?ref=consumernews.ai).
The line investors had been watching — renewal rates — held up. The global renewal rate came in at 89.7 percent and the U.S./Canada rate ticked back up to 92.2 percent, [CNBC reported](https://www.cnbc.com/2026/05/28/costco-issues-a-lukewarm-quarter-but-delivers-on-the-metric-that-matters-most.html?ref=consumernews.ai). Paid memberships grew 4.1 percent to 82.9 million, slightly short of expectations, while executive-tier memberships expanded 9.6 percent to 41.2 million. Comparable sales rose 9.8 percent, accelerating from 7.4 percent the prior quarter, with digital comps up 21 percent and e-commerce traffic up 37 percent, [CNBC reported](https://www.cnbc.com/2026/05/28/costco-issues-a-lukewarm-quarter-but-delivers-on-the-metric-that-matters-most.html?ref=consumernews.ai).
The fuel pump was the quarter's biggest unsung hero. Chief Executive Officer Ron Vachris told analysts that "all four fiscal periods" of the quarter set "all-time volume sales," with the final five weeks producing Costco's top five gas-volume weeks ever, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-28/costco-gains-ground-with-stronger-than-expected-earnings?ref=consumernews.ai). Several high-traffic stations required multiple tanker deliveries each day, and a meaningful number of members filled up at Costco for the first time during the quarter, [CNBC reported](https://www.cnbc.com/2026/05/28/costco-issues-a-lukewarm-quarter-but-delivers-on-the-metric-that-matters-most.html?ref=consumernews.ai). The implicit signal: when gasoline is near four-year highs, the warehouse club's discount fuel becomes a customer-acquisition machine.
### **Mortgages stuck near 6.53 percent as agents quit the market**
The housing market continues to deliver the slow-motion grind it has produced since 2022\. The average rate on a 30-year fixed mortgage edged up to 6.53 percent from 6.51 percent the prior week, according to [Bloomberg](https://www.bloomberg.com/news/articles/2026-05-28/us-mortgage-rates-tick-up-to-6-53-freddie-mac-says?ref=consumernews.ai) citing Freddie Mac. Buyside data at [The Wall Street Journal](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-5-27-2026?ref=consumernews.ai) put Bankrate's national 30-year average at 6.62 percent, with 15-year fixed at 6.01 percent and 5/1 ARMs at 5.96 percent. CBS News [reported this week](https://www.cbsnews.com/news/what-experts-expect-mortgage-rates-inflation-keeps-rising/?ref=consumernews.ai) that mortgage costs have climbed nearly 10 percent on average since January and that Jeff Taylor of the Mortgage Bankers Association expects rates to remain in the mid-to-upper 6 percent range for the balance of the year, with potential for a move into the 7s "if the Iran conflict is protracted."
The drumbeat is wearing down the industry that depends on volume. The Wall Street Journal on Thursday reported on [real-estate agents quitting](https://www.wsj.com/real-estate/real-estate-agents-are-quitting-the-slow-housing-market-d95fc524?ref=consumernews.ai) after a fourth straight year of weak transaction counts, with brokerage owners in places like Fort Worth, Texas, describing a profession reaching a breaking point. For would-be buyers, the math is unforgiving: higher rates push monthly payments higher just as inflation eats into the down-payment savings households were supposed to be building.
### **Credit-card debt hits $1.25 trillion as families slip into 'survival debt'**
Total U.S. credit-card debt has reached $1.25 trillion, and delinquencies are climbing toward the highest level since the financial crisis, according to [The Wall Street Journal](https://www.wsj.com/personal-finance/credit/us-credit-card-debt-af5c7c77?ref=consumernews.ai). The Journal profiled Catherine Clarke, 42, who earns $194,000 a year but watched a Chase Sapphire balance grow to $15,000 at a 26 percent annual interest rate, with a $572 monthly minimum that barely dented the principal, [the Journal reported](https://www.wsj.com/personal-finance/credit/us-credit-card-debt-af5c7c77?ref=consumernews.ai).
The story has resonated because it is no longer a problem confined to the lowest income brackets. Even with a high salary, "soaring interest rates and stubborn inflation have led to the highest delinquencies since the financial crisis," [the Journal reported](https://www.wsj.com/personal-finance/credit/us-credit-card-debt-af5c7c77?ref=consumernews.ai), with more families shifting into "a pattern of survival debt." That pattern fits the broader picture coming out of Thursday's BEA release: spending up but flat after adjusting for inflation, incomes stagnant, savings rate near record lows, and a growing share of households turning to revolving credit to cover groceries, gasoline and electric bills.
The corporate response is starting to shift. [The Wall Street Journal](https://www.wsj.com/business/retail/americans-are-sick-of-high-prices-companies-are-finally-doing-something-about-it-a4506def?ref=consumernews.ai) reported Thursday that companies including Clorox and Kraft Heinz are conceding that significant portions of their customer base can no longer afford their products at current prices, and are beginning to cut prices or expand value packs. Dollar Tree Chief Executive Michael Creedon Jr. said on the company's earnings call that "lower-income" customers are "navigating higher fuel costs and broader macro uncertainty" and are "shopping more thoughtfully and closer to their immediate needs," [The New York Times reported](https://www.nytimes.com/2026/05/28/business/oil-gas-price-iran.html?ref=consumernews.ai).
### **The bigger picture**
Five stories, one through-line: the consumer is running out of slack. April PCE showed that inflation is still beating wages and that families are dipping into savings simply to stay even. The Iran negotiations could give the Fed and the household budget a reprieve, but the truce is tentative, gasoline is still up nearly 50 percent since the conflict began, and the strait's tolling fight is unresolved. Costco's quarter shows what is working in this economy — bulk buying and discount fuel — and reveals what is breaking elsewhere, with lower-income shoppers boxed in. Housing remains stalled at 6.5-plus percent mortgages, draining the wealth-building channel most middle-class families relied on. And the $1.25 trillion credit-card balance is the bill for all of it: when paychecks cannot stretch, the plastic does.
For consumers, the practical playbook tightens with each Friday report: lock in fixed-rate borrowing if it is still available, treat savings goals as a fixed expense rather than a residual, and watch the next jobs report and gas-price reading like a hawk. For policymakers, the message Warsh inherits is unambiguous. With inflation at 3.8 percent, incomes flat, and a foreign-policy crisis still capable of moving the pump price overnight, the path back to a 2 percent target — and to the rate cuts most households are counting on — has rarely looked longer.
### Scammers hijack real hotel bookings in global travel fraud scheme, researchers warn
URL: https://www.consumernews.ai/scammers-hijack-real-hotel-bookings/
Last updated: 2026-06-19T19:15:34.000Z
Millions of summer travelers are being warned to think twice before clicking links in hotel emails or text messages after security researchers uncovered a sprawling global scam that uses real reservation information to trick consumers into surrendering credit card data.
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According to a new investigation reported by [Wired](https://www.wired.com/story/hundreds-of-hotels-caught-up-in-vacation-booking-scams/?utm%5Fsource=chatgpt.com), cybercriminals obtained booking details tied to hundreds of hotels and vacation properties worldwide, then used the information to create highly personalized “reservation hijacking” scams.
The attacks are unusually convincing because the scammers often know a traveler’s actual hotel name, reservation dates and payment details. Researchers at Norton, owned by cybersecurity company Gen, said the criminals are sending messages that appear to come directly from hotels or major booking services such as [Booking.com](https://www.booking.com/?utm%5Fsource=chatgpt.com).
“This is really targeted,” Norton researcher Luis Corrons told Wired.
In many cases, victims receive urgent warnings claiming there is a payment issue or that a reservation may be canceled unless they immediately “verify” a credit card. Clicking the link takes consumers to fake payment pages designed to steal financial information.
Researchers estimate the affected hotels collectively serve as many as 80,000 guests at peak occupancy. Most of the compromised properties were reportedly small and medium-sized hotels, guesthouses and vacation rentals rather than major chains. Germany, France, the United Kingdom, Italy, Spain and the United States appeared among the most heavily affected countries.
### Weak security practices
The scam appears to exploit weak security practices among hotels and third-party booking systems. Norton researchers said many hotel employees were themselves targeted through phishing emails designed to steal login credentials.
Booking.com denied suffering a direct breach, saying attackers instead targeted hotel partners through credential theft campaigns. Cloudbeds, a hotel-management software provider referenced in the investigation, also said its systems were not breached directly.
Still, cybersecurity experts say the fraud campaign demonstrates how vulnerable the travel ecosystem has become as hotels, booking platforms, payment processors and messaging systems increasingly share customer data across interconnected systems.
The FBI reported Americans lost more than $200 million to phishing scams last year, and travel scams are becoming more sophisticated as criminals adopt AI-generated messaging and automated phishing kits.
Consumer complaints about fake hotel confirmations and fraudulent Booking.com messages have circulated online for years. In one widely shared [Reddit](https://www.reddit.com/r/travel/comments/163icx6/urgent%5Fwarning%5Fphishing%5Fthrough%5Fbookingcoms/?utm%5Fsource=chatgpt.com) post, a traveler described receiving what appeared to be a legitimate in-app message demanding payment verification, only to discover criminals attempted to use the stolen card information within minutes.
Federal regulators have repeatedly warned travelers to avoid clicking links in unsolicited travel messages and to verify reservations directly with hotels or booking platforms. The [Federal Trade Commission](https://consumer.ftc.gov/articles/avoid-scams-when-you-travel?utm%5Fsource=chatgpt.com) advises consumers to avoid wire transfers, cryptocurrency or gift-card payments for travel services and to be skeptical of urgent demands for immediate action.
Researchers say travelers should treat any unexpected request for payment verification, account confirmation or reservation updates as suspicious — even when the message contains accurate booking details.
### What to do
Travel fraud experts recommend:
- Contacting hotels directly using verified phone numbers rather than links in emails or texts.
- Keeping all communications inside official booking apps or websites.
- Using credit cards instead of debit cards for travel purchases because of stronger fraud protections.
- Enabling two-factor authentication on booking accounts.
- Monitoring accounts closely while traveling.
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### National Recall Roundup — May 28
URL: https://www.consumernews.ai/national-recall-roundup-may-28/
Last updated: 2026-06-19T19:15:35.000Z
## NEW TODAY — CPSC
### 165,000 Walmart dressers recalled over tip-over death hazard
Mainstays 9-Drawer Fabric Dressers sold by Walmart were recalled because the dressers are unstable if not anchored to a wall, posing tip-over and entrapment hazards that can seriously injure or kill children. The CPSC said the products violate the federal STURDY Act safety standard for clothing storage units.
### Joy Furniture recliner sets recalled over fire hazard
About 10,400 Talan and Royce Living Room Furniture Sets reclining furniture sets were recalled because the power switch can malfunction and overheat, creating a serious fire hazard. Consumers are being told to unplug the furniture immediately until replacement switches are installed.
### Sauna blankets recalled after overheating incidents
SLF Sauna Blankets sold by Tzumi Electronics were recalled because they can overheat, posing fire and burn hazards. Injuries have already been reported.
### Portable steam saunas recalled over burn hazard
Giantex and Costway Portable Steam Saunas were recalled because the steam diffuser can direct hot steam onto users, causing burn injuries.
### Lounge chairs recalled over amputation risk
Giantex Lounge Chairs were recalled because consumers can place fingers into a pinch point while adjusting the chair, creating an amputation hazard.
## Battery ingestion and magnet hazards dominate today’s toy recalls
### Light-up racket sets recalled over button battery hazard
Misco Sports Light-Up Racket Sets were recalled because children can easily access button cell batteries inside the toy shuttlecock and racket. Swallowed batteries can cause internal burns and death. Injuries have been reported.
### Fidget spinner toys recalled over accessible batteries
Luminous Fidget Spinner Balls sold on Amazon were recalled because children can access button cell batteries inside the mini flashlight attachment, creating a potentially fatal ingestion hazard.
### High-powered magnets recalled over intestinal injury risks
Primal Horizon Disc Magnets and Zen Magnetic Promotional Ball Sets were recalled because the magnets are small and powerful enough to be swallowed by children. Federal officials warned swallowed magnets can perforate intestines, cause blood poisoning, and lead to death.
### Coin batteries recalled under Reese’s Law
Lithium Coin Batteries were recalled because the packaging allegedly violates federal child-resistant packaging requirements under Reese’s Law. Swallowed coin batteries can cause severe internal burns and death.
**For details, see** [**https://www.cpsc.gov/Recalls**](https://www.cpsc.gov/Recalls?ref=consumernews.ai)
## NEW TODAY — FDA / USDA / NHTSA
No comparably large same-day national postings surfaced today from:
- [FDA Recall Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
- [USDA FSIS Recalls](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
- [NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
The dominant recall activity today came from the CPSC, particularly involving:
- child safety hazards
- fire hazards
- button batteries
- magnets
- tip-over risks
## Trend Watch
Today’s recalls reinforce several growing national safety themes:
- aggressive CPSC enforcement of Reese’s Law battery rules
- continued crackdown on high-powered magnets
- furniture tip-over enforcement under the STURDY Act
- growing scrutiny of low-cost imported children’s products sold online
- recurring overheating/fire hazards in powered furniture and wellness products
### Vermont becomes first state to ban paraquat weedkiller tied to Parkinson’s disease
URL: https://www.consumernews.ai/vermont-becomes-first-state-to-ban/
Last updated: 2026-06-19T19:15:35.000Z
Vermont has become the first state in the nation to ban paraquat, a widely used but highly controversial herbicide that researchers, advocacy groups and thousands of lawsuits have linked to Parkinson’s disease.
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Gov. Phil Scott signed the measure Tuesday after bipartisan support emerged in the Vermont legislature, making the state the first in the U.S. to prohibit the sale and use of the chemical. The law takes effect Nov. 1, 2026, though certain exemptions for small fruit crops may continue through 2030 under limited permits, [The Guardian](https://www.theguardian.com/environment/2026/may/26/vermont-paraquat-weedkiller-ban?utm%5Fsource=chatgpt.com) reported.
The decision marks a significant escalation in the long-running battle over paraquat, one of the most toxic herbicides still legal in the United States. The chemical has been used for decades to control weeds in crops including soybeans, cotton and orchards.
Supporters of the Vermont law say the state acted because federal regulators have moved too slowly despite mounting evidence of health risks.
“Instead of waiting for EPA action,” Vermont lawmakers [wrote in the legislation](https://legislature.vermont.gov/Documents/2026/Docs/BILLS/S-0176/S-0176%20As%20Introduced.pdf?utm%5Fsource=chatgpt.com), “the State of Vermont should ban the use of paraquat in order to protect Vermonters from the known, significant health effects of exposure.”
### Growing Parkinson’s concerns
Paraquat has long been controversial because of research suggesting that exposure can substantially increase the risk of Parkinson’s disease, a progressive neurological disorder that affects movement and cognition.
The Vermont legislation cites multiple National Institutes of Health studies linking paraquat exposure to Parkinson’s disease, non-Hodgkin lymphoma and childhood leukemia (see below).
The [American Parkinson Disease Association](https://www.apdaparkinson.org/article/paraquat-parkinsons-disease-ban-state-legislation/?utm%5Fsource=chatgpt.com) says studies show people exposed to paraquat may be more than twice as likely to develop Parkinson’s compared with people not exposed to the chemical.
The [Michael J. Fox Foundation](https://www.michaeljfox.org/news/vermont-passes-first-nation-ban-paraquat-pesticide-linked-parkinsons-disease?utm%5Fsource=chatgpt.com), which has pushed for tighter restrictions on the pesticide, praised Vermont’s action and urged other states to follow.
“Vermont’s leadership sends a clear message,” the organization said after the bill passed. “We do not have to wait to act.”
Paraquat manufacturer Syngenta has repeatedly denied that the product causes Parkinson’s disease. The company maintains that regulators worldwide have reviewed the herbicide and concluded it can be used safely when label directions are followed.
## Banned overseas, still used in the U.S.
Paraquat has already been banned in more than 70 countries, including members of the European Union, China and several developing nations, the [American Parkinson Disease Association](https://www.apdaparkinson.org/article/paraquat-parkinsons-disease-ban-state-legislation/?utm%5Fsource=chatgpt.com) said.
Yet the herbicide remains legal in the United States, where it is classified by the EPA as a “restricted use” pesticide available only to licensed applicators because of its extreme toxicity.
The EPA approved continued registration of paraquat in 2021, but later reopened portions of its review after legal challenges and concerns that the agency had underestimated risks from airborne exposure and drift.
Advocacy groups say Vermont’s action reflects growing frustration with federal regulators.
“This EPA action is a starting point, not a finish line,” the American Parkinson Disease Association said earlier this year while calling for a nationwide ban.
## Litigation and financial exposure mounting
The Vermont ban also lands amid intensifying litigation against Syngenta and other companies connected to paraquat.
Thousands of plaintiffs nationwide have alleged the chemical contributed to Parkinson’s disease diagnoses among farmers, landscapers and agricultural workers. Several [bellwether lawsuits](https://www.thenewlede.org/2026/01/first-us-paraquat-trial-to-start/?utm%5Fsource=chatgpt.com) have already been settled, including a high-profile Philadelphia case earlier this year.
Consumer attorneys continue [advertising heavily](https://www.sokolovelaw.com/product-liability/paraquat/?utm%5Fsource=chatgpt.com) for potential plaintiffs, highlighting the growing financial risks facing manufacturers and insurers tied to pesticide liability claims.
At the same time, lawmakers in states including Pennsylvania, Illinois, New York and Virginia have introduced legislation to restrict or ban paraquat use.
## What it could mean for consumers
For consumers, the Vermont decision highlights a broader shift in how states are approaching chemical safety as trust in federal oversight weakens.
Health advocates argue the issue extends beyond farmworkers because paraquat can drift into nearby communities or contaminate the environment. Recent reporting has also raised concerns about industrial emissions tied to paraquat processing facilities in parts of the South.
Farm groups and some agricultural interests, however, warn that eliminating paraquat could raise production costs and complicate weed control for growers already dealing with inflation and supply pressures.
That tension — between public health concerns and agricultural economics — is likely to shape the next phase of the national debate.
For now, Vermont has become the first testing ground for what advocates hope becomes a nationwide movement against one of agriculture’s most controversial chemicals.
---
## Studies find an association between paraquat and Parkinson’s
Several NIH-linked and NIH-funded studies have found an association between exposure to paraquat and an increased risk of Parkinson’s disease, though federal regulators have not formally concluded that paraquat definitively causes the disease.
Among the most cited NIH-backed research:
- A 2011 study led by researchers at the National Institute of Environmental Health Sciences (part of NIH) found that people who used paraquat were about 2.5 times more likely to develop Parkinson’s disease than non-users. The study examined pesticide exposure in the Agricultural Health Study cohort. ([PMC](https://pmc.ncbi.nlm.nih.gov/articles/PMC3114824/?utm%5Fsource=chatgpt.com))
- NIH’s National Toxicology Program later conducted a major scoping review and concluded there is “a considerable body of evidence” linking paraquat exposure with Parkinson’s disease. ([National Toxicology Program](https://ntp.niehs.nih.gov/research/assessments/noncancer/completed/parkinsons?utm%5Fsource=chatgpt.com))
- A 2024 epidemiological study using California pesticide application data found that higher long-term paraquat exposure near homes or workplaces was associated with increased Parkinson’s risk. ([PubMed](https://pubmed.ncbi.nlm.nih.gov/38309714/?utm%5Fsource=chatgpt.com))
- Earlier NIH-archived research also found that combined exposure to paraquat and another pesticide, maneb, substantially increased Parkinson’s risk, especially among younger people exposed earlier in life. ([PMC](https://pmc.ncbi.nlm.nih.gov/articles/PMC2727231/?utm%5Fsource=chatgpt.com))
The NIH/NTP review summarized dozens of epidemiological studies — including cohort, case-control and environmental exposure analyses — and said the literature collectively describes a “potential association” between paraquat exposure and Parkinson’s disease. ([NCBI](https://www.ncbi.nlm.nih.gov/books/NBK563358/?utm%5Fsource=chatgpt.com))
At the same time:
- The U.S. Environmental Protection Agency has said evidence remains insufficient to establish a definitive causal relationship, though it continues reviewing newer data, accordint to [The Guardian](https://www.theguardian.com/environment/2026/mar/03/syngesta-pesticide-parkinsons?utm%5Fsource=chatgpt.com).
- Paraquat manufacturer Syngenta has repeatedly denied that paraquat causes Parkinson’s disease, despite thousands of lawsuits alleging otherwise.
- Several states, including Vermont, have moved toward restrictions or bans citing the growing scientific evidence.
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### Erin Brockovich launches nationwide AI data center map, asks residents to report local impacts
URL: https://www.consumernews.ai/erin-brockovich-launches-nationwide/
Last updated: 2026-06-19T19:15:36.000Z
Consumer and environmental activist Erin Brockovich is asking Americans to help document what she calls the “real-world footprint” of the rapidly expanding AI data center industry.
The new website, [Brockovich Data Center Reporting Project](https://www.brockovichdatacenter.com/?utm%5Fsource=chatgpt.com), features an interactive national map showing operational, proposed and under-construction AI data centers, along with “community reported” complaints submitted by residents.
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The map already includes thousands of reports, with the largest number coming from Texas, according to the project. The site says residents are reporting concerns ranging from soaring electricity demand and heavy water use to noise pollution and pressure on local infrastructure.
“The race to build AI infrastructures is unfolding town by town across America,” Brockovich said on the site. “In some places, data centers are welcomed. In others, they are delayed, contested or abandoned altogether.”
The initiative reflects growing tension between the explosive growth of artificial intelligence and mounting community resistance to the infrastructure needed to power it.
### Why consumers may care
AI systems require enormous computing power, much of it housed in massive “hyperscale” data centers packed with servers and cooling equipment.
Industry analysts say AI workloads consume far more electricity than traditional cloud computing operations, triggering concerns about whether local power grids, water supplies and utility systems can keep up.
The Brockovich site lists six primary concerns:
- Energy consumption;
- Water usage;
- Electronic waste;
- Location and disaster risks;
- Infrastructure strain; and
- Noise pollution.
Those concerns increasingly overlap with consumer affordability issues.
In several states, utility regulators and consumer advocates have warned that the rapid expansion of data centers could eventually contribute to higher residential electricity costs if utilities are forced to build additional generation and transmission capacity.
That debate has become especially intense in Northern Virginia — home to the world’s largest concentration of data centers — where residents and lawmakers have raised questions about land use, transmission lines, water consumption and electricity demand.
Image: ChatGPT
Northern Virginia is the largest data center market globally, with over 500 facilities processing an estimated 70% of the world's internet traffic. Centered around "Data Center Alley" in Loudoun, Fairfax, and Prince William counties, the region is a powerhouse for global cloud computing and AI infrastructure, to the consternation of many residents.
“Swapping human health for revenue is not a tradeoff we want to make,” Renee Grebe, the Northern Virginia conservation advocate for Nature Forward, [said](https://www.ffxnow.com/2026/03/19/fairfax-county-oks-chantilly-land-sale-to-data-center-builder-as-some-cry-foul/?ref=consumernews.ai) as a 86-acre land sale to a data center developer was approved.
Online discussion surrounding Brockovich’s map reflected those same tensions.
Some commenters on [Reddit](https://www.reddit.com/r/technology/comments/1toe7m2/erin%5Fbrockovich%5Flaunches%5Fmap%5Fof%5Fover%5F4200%5Fdata/?utm%5Fsource=chatgpt.com) argued data centers generate relatively few long-term jobs while consuming large amounts of electricity and water. Others countered that AI infrastructure is essential to economic growth and technological competitiveness.
### Communities push back
The backlash against AI infrastructure has become increasingly bipartisan.
Recent opposition campaigns have emerged in Montana, Utah, Maine, Pennsylvania and elsewhere as residents challenge proposed facilities over concerns about environmental impact, tax incentives and local quality of life.
The Brockovich project specifically encourages residents to submit local complaints and observations through an online reporting form.
The site says “self-reporting is the best way” to make information public and claims many smaller or unannounced facilities are not yet reflected on the map.
Critics on [Reddit](https://www.reddit.com/r/technology/comments/1toe7m2/erin%5Fbrockovich%5Flaunches%5Fmap%5Fof%5Fover%5F4200%5Fdata/?utm%5Fsource=chatgpt.com) questioned some of the map’s methodology, noting that “community reported” locations may include approximate or unverified submissions.
Still, the launch reflects how quickly data centers — once largely invisible to consumers — have become a public flashpoint.
### Affordability Watch
The AI boom is colliding with an already strained electric grid in many parts of the country.
Utilities nationwide are forecasting sharply rising electricity demand after years of relatively flat growth, driven largely by AI data centers, electrification and manufacturing expansion.
Consumer advocates warn that unless regulators closely scrutinize infrastructure spending, households could ultimately bear part of the cost through higher monthly electric bills.
Large AI data centers can consume as much electricity as small cities, and some also require millions of gallons of water annually for cooling operations.
### What consumers can do
Consumers concerned about proposed data center projects in their communities may want to:
- Monitor local zoning and utility commission hearings
- Ask utilities whether residential customers could face higher rates
- Review water-use and environmental impact filings
- Check whether tax incentives are being offered to developers
- Track proposed transmission line or substation expansions
Residents can also submit reports directly through [Brockovich Data Center Reporting](https://www.brockovichdatacenter.com/?utm%5Fsource=chatgpt.com).
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### The Trump Era has successfully protected consumers from consumer protectors
URL: https://www.consumernews.ai/the-trump-era-has-successfully-protected/
Last updated: 2026-06-19T19:15:37.000Z
President Trump has shifted his attention to his legacy in recent weeks and, other than the Iran War, seems most focused on the imperial gateway to Washington he hopes to build along the Potomac and on the grand ballroom he envisions where the White House East Wing used to be.
But there’s one group that can’t say Trump didn’t attend to their needs — consumers. Unfortunately, Trump’s idea of consumer protection is protecting them from the agencies that once worked on their behalf, thus abandoning them to the banks, fintech sharks and insurance companies that had been at least partially tamed during previous administrations.
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To put it in plain language: The biggest consumer-protection changes under the second Trump administration have centered on weakening or reversing federal oversight — especially by the Consumer Financial Protection Bureau (CFPB) — while shifting more responsibility to states and private lawsuits, which at best can mount a haphazard effort.
Big money is at stake and corporations are ready to pony up when they see a chance of slicing a bit more off your net worth. That means political contributions, a blight on democracy, and lobbying, which is breaking new records under this White House.
OpenSecrets.org
Here are some of the highlights:
### 1\. Scaling back the CFPB
The most significant change has been the administration’s effort to dramatically reduce the power, staffing, enforcement activity, and even long-term viability of [the CFPB](https://protectborrowers.org/cfpb-press-conference-borrowers-over-billionaires/?utm%5Fsource=chatgpt.com), the agency created after the 2008 financial crisis to police consumer financial abuses.
Key actions include:
- Halting or slowing investigations and enforcement actions;
- Attempting major staff reductions;
- Dropping or settling some pending cases;
- Suspending vital supervisory activities; and
- Challenging the bureau’s funding structure in court.
Critics say this leaves consumers more exposed to abusive lending, junk fees, and fraud. Trump supporters and lobbyists for the affected industries argue the CFPB had become overly aggressive and burdensome to banks and [fintech firms](https://www.theoutragedconsumer.com/p/trump-fintech-order-sparks-warnings?utm%5Fsource=publication-search), which had cried out piteously for rescue.
### 2\. Repeal of the overdraft fee rule
Trump’s team [axed a CFPB ](https://www.consumerfinancemonitor.com/2025/05/12/trump-signs-resolution-nullifying-cfpb-overdraft-rule/?utm%5Fsource=chatgpt.com)rule that would have capped many overdraft fees at $5 for large banks.
The Biden-era rule was projected to save consumers billions annually by limiting high overdraft charges. Banks argued with a straight face that the rule would reduce access to overdraft services — by which they meant they would stop covering overdrafts if they couldn’t continue charging $25 or more for each one — thereby pushing consumers toward worse alternatives, like payday loans and various fintech schemes.
This rollback is one of the clearest examples of the administration reversing “junk fee” regulation, proving once again that junk, like beauty, is in the eye of the beholder.
### 3\. Rollback of oversight for payment apps and digital wallets
The administration’s minions also [abolished a CFPB rule](https://www.hklaw.com/en/insights/publications/2025/05/cfpb-overdraft-and-digital-payment-rules-repealed?utm%5Fsource=chatgpt.com) that would have subjected large payment platforms — such as digital wallets and peer-to-peer payment apps — to stronger federal supervision similar to banks.
That affects oversight of:
- Digital wallets;
- Peer-to-peer payment systems;
- Some fintech firms; and
- Big-tech financial services.
Supporters of the repeal said the rule was “regulatory overreach.” Critics warned it reduced fraud and privacy protections in rapidly growing payment systems.
### 4\. Narrowing fair-lending and discrimination standards
The administration has moved to [weaken how anti-discrimination laws apply](https://www.reuters.com/legal/government/trump-administration-prepares-final-lending-rule-narrow-civil-rights-protections-2026-03-31/?utm%5Fsource=chatgpt.com) in lending. A proposed CFPB rule would largely eliminate “disparate impact” enforcement — the idea that lenders can violate fair-lending laws even without openly discriminatory intent if policies disproportionately harm minorities or women.
If finalized, this would:
- Make fair-lending enforcement narrower;
- Reduce compliance burdens on lenders; and
- Make it harder to challenge discriminatory lending patterns.
Consumer advocates and civil-rights groups strongly oppose the change.
### 5\. Reduced emphasis on “junk fees”
Several [Biden-era efforts](https://bettermarkets.org/newsroom/new-report-highlights-demise-of-consumer-financial-protection-regulations-under-trumps-cfpb-and-its-costs-for-consumers-2/?utm%5Fsource=chatgpt.com) targeting:
- credit-card late fees;
- overdraft fees;
- surprise charges; and
- restrictive contract clauses
have been delayed, challenged, repealed, or deprioritized.
Industry mouthpieces argue these rules interfered with pricing flexibility and innovation. Consumer groups say they would have saved households billions of dollars annually.
### 6\. Slower movement on medical debt protections
The CFPB had pursued rules to:
- remove [medical debt](https://vantagescore.com/resources/knowledge-center/how-to-deal-with-medical-bills-on-your-credit-report/?utm%5Fsource=google&utm%5Fmedium=cpc&utm%5Fcampaign=22818952724&utm%5Fterm=&utm%5Fcontent={creative%29}&hsa%5Facc=3463654223&hsa%5Fcam=22818952724&hsa%5Fgrp=182418801309&hsa%5Fad=765146810596&hsa%5Fsrc=g&hsa%5Ftgt=kwl-3500001&hsa%5Fkw=&hsa%5Fmt=a&hsa%5Fnet=adwords&hsa%5Fver=3&gad%5Fsource=1&gad%5Fcampaignid=22818952724&gbraid=0AAAAAC-cE4Mb0eFwOxtSiLOiFTFMecg5v&gclid=CjwKCAjwidXQBhAZEiwA4egw6J2qM2VM6jJRQZX5VaAgnX7EUJXR4HbQN5dA2bukVm162dy5C-0iDhoCsNYQAvD%5FBwE) from credit reports;
- restrict debt-collection practices; and
- strengthen contract rights for consumers.
Many of these initiatives have [stalled or faced repeal efforts](https://www.washingtonpost.com/business/2025/04/28/cfpb-consumer-protections-end/?utm%5Fsource=chatgpt.com) under the Trump administration.
This is particularly important because medical debt remains one of the largest sources of damaged consumer credit and bankruptcy.
### 7\. More industry-friendly approach to fintech and banking
The administration has generally taken a more permissive approach toward:
- [fintech companies](https://www.theoutragedconsumer.com/p/trump-fintech-order-sparks-warnings?utm%5Fsource=publication-search);
- digital payment systems;
- bank partnerships; and
- regulatory “sandboxes.”
The philosophy has been:
- less federal intervention;
- more innovation;
- lighter compliance burdens; and
- greater reliance on market competition.
Critics argue that lighter oversight increases fraud, data harvesting, predatory lending, and privacy risks.
### 8\. Greater reliance on state attorneys general
As federal enforcement has weakened, [state attorneys general](https://www.winston.com/en/insights-news/changes-from-the-top-the-2nd-trump-administrations-efforts-to-sharply-limit-the-cfpb-and-the-growing-role-of-state-ags-and-other-actors-in-the-consumer-protection-landscape?utm%5Fsource=chatgpt.com) — especially in states like California and New York — have increasingly filled the gap with their own lawsuits and regulations. So-called “red” states generally spend their resources on social issues and leave consumers to look out for themselves.
This means consumer protections are becoming more uneven nationally:
- stronger in some states;
- weaker in others.
### The broader policy shift
Supporters say these changes:
- reduce regulatory burdens,
- encourage innovation,
- lower compliance costs,
- and expand financial options.
Critics argue they:
- weaken protections against predatory practices,
- reduce accountability,
- and shift more financial risk onto consumers.
### Quick: What’s the biggest growth industry in Washington?
The promise of all this deregulations is that it supposedly reduces paperwork and helps bankers sleep better at night. Perhaps but for whatever reason, companies are eager to get their share of the new relaxed approach to consumer protection.
They do that in the time-honored American way — by hiring lobbyists to woo the White House, Congress and the regulatory agencies. And sure enough, spending on federal lobbying appears to have [increased significantly](https://www.tucsonsentinel.com/nationworld/report/020226%5Frecord%5Flobbying/lobbying-firms-took-record-5-billion-2025/?ref=consumernews.ai) during both Donald Trump’s first term and especially during his second administration.
Total federal lobbying spending reportedly topped roughly $5 billion in 2025, up about 14% from 2024 and the highest level ever recorded under modern disclosure rules. This funding free-for-all is fueled by battles over taxes, trade policy, healthcare, tariffs, and AI rules.
- Industries facing major regulatory changes — including tobacco, artificial intelligence, higher education, energy, crypto, and healthcare — sharply increased lobbying activity, [Reuters](https://www.reuters.com/legal/litigation/big-tobacco-comes-out-top-after-us-fda-shake-up-2026-05-26/?utm%5Fsource=chatgpt.com) reported.
- Research universities alone boosted federal lobbying spending from about $28 million in 2024 to more than $37 million in 2025 as they reacted to proposed funding cuts and policy shifts, according to [Inside Higher Ed](https://www.insidehighered.com/news/government/politics-elections/2026/01/23/higher-ed-spent-millions-lobbying-2025?utm%5Fsource=chatgpt.com).
- AI companies that barely had Washington operations a few years ago are now spending millions quarterly on lobbying tied to copyright, export controls, cybersecurity, and regulation, per [Axios](https://www.axios.com/2026/04/21/anthropic-outspends-openai-biggest-lobbying-quarter?utm%5Fsource=chatgpt.com).
Historically, lobbying also increased during Trump’s first administration. Analyses from groups including OpenSecrets and Statista found both the number of registered lobbyists and overall lobbying expenditures rose between 2017 and 2021, despite Trump’s campaign pledge to “drain the swamp,” according to [Statista](https://www.statista.com/chart/18978/lobby-spending-number-of-lobby-organizations-us/?srsltid=AfmBOoq1cHd7xZ4ZlyVuyR0wXGp%5FQ6ZuOjc4wDx2PynZrWpcMgQF1Qwl&utm%5Fsource=chatgpt.com).
Why the increase?
In general, Washington lobbying spending tends to rise whenever businesses believe major federal policy changes could strongly affect profits or regulation — and Trump’s administrations, particularly the current one, have created a high-uncertainty environment that encourages more lobbying, not less.
The psychology behind this madcap spending is clear: Companies are reluctant to spend too freely when they face a White House and Congress that are trying to at least look like they give a damn about their constituents. When the gates are thrown open, as in the current climate, a land-rush mentality takes over and it’s a seller’s market for influence peddlers, “strategists” and out-of-work politicians, who are highly prized by lobbying firms.
### Big bucks, for nothing
And what does all this frantic jockeying for power get for Americans looking for help with education, healthcare, infrastructure, consumer protection and other socially beneficial programs?
Good question, especially when you consider how much is spent on election campaigns. The total raised by all 2024 presidential candidates was about $1.87 billion, [per OpenSecrets](https://www.opensecrets.org/2024-presidential-race?ref=consumernews.ai) — notably lower than 2020’s $3.98 billion, partly because Biden’s pre-July fundraising rolled into Harris’s operation rather than starting fresh.
So round up spending on federal lobbying and the presidential campaign and you have $7 billion that produced nothing of value but could have been spent on something worthwhile or simply not spent at all.
Oh, and don’t forget: the federal deregulation that got underway in the Reagan years returned a lot of regulatory power to the states, resulting in hefty spending on political campaigns at the state level and — you guessed it — lobbying.
A final slight digression: the author spent a few years in a D.C. lobbying firm commonly described as a “powerhouse.” We had a startlingly large conference room with a table that easily seated 40\. We would gather there to hold meetings where our corporate clients’ needs were supposedly discussed and analyzed, each of us billing a very healthy hourly rate and producing nothing of any particular value.
I always thought this was basically consumer fraud, except that in this case, the consumers were huge corporations that sought every opportunity to throw money at their problems in hopes of eradicating them, or at least giving them someone to blame when things went south.
> Want to drain the swamp, return power to the people, make government more responsive and so forth? Provide public funding of campaigns and outlaw campaign contributions.
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### Used-car prices dip as gas costs surge, signaling strain on household budgets
URL: https://www.consumernews.ai/used-car-prices-dip-as-gas-costs/
Last updated: 2026-06-19T19:15:38.000Z
After years of relentless vehicle inflation, the used-car market is finally showing signs of cooling — but economists say the shift reflects growing financial stress for many American households rather than a broad improvement in affordability.
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Wholesale used-vehicle prices declined 1.6 percent in April from March, according to [Cox Automotive](https://www.coxautoinc.com/insights/manheim-used-vehicle-value-index-april-2026-trends/?utm%5Fsource=chatgpt.com)’s closely watched Manheim Used Vehicle Value Index, marking the first monthly drop in six months.
The decline coincided with a sharp jump in gasoline prices tied to instability in the Middle East and fears of disruptions around the Strait of Hormuz. National gas prices climbed above $4.50 a gallon this month, with California topping $6 in some areas, according to multiple reports.
For many families, the higher cost of commuting is forcing painful trade-offs.
“Household budgets are zero-sum,” said one industry analyst. “When fuel suddenly costs hundreds more per month, consumers often postpone or scale back major purchases like vehicles.”
### Consumers being squeezed
The pressure appears strongest among middle- and lower-income consumers, who are increasingly squeezed by rising costs for fuel, groceries, insurance and housing. Analysts say those consumers are more likely to delay replacing a vehicle, keep aging cars longer, or seek cheaper used models.
That divide is creating what economists increasingly describe as a “two-track” consumer economy. Higher-income households continue spending heavily on travel, restaurants and premium services, while lower-income consumers cut back on durable goods and big-ticket purchases.
The result: economic growth can remain positive even as consumer confidence weakens.
## Prices still elevated despite recent decline
The recent pullback follows several years of historically abnormal vehicle pricing.
During the pandemic and its aftermath, supply-chain disruptions and semiconductor shortages pushed both new and used vehicle prices sharply higher. In 2022, some used vehicles were selling for more than their original sticker price.
Conditions have improved since then, but prices remain far above pre-pandemic norms.
According to Edmunds data cited by Investopedia, the average three-year-old used vehicle sold for 66 percent of its original MSRP in the first quarter of 2026, down from 81 percent during the pandemic-era peak but still above the historical norm of roughly 60 percent, according to [Investopedia](https://www.investopedia.com/after-years-of-weirdness-used-car-prices-are-finally-getting-back-to-normal-11984249?utm%5Fsource=chatgpt.com).
> The average used vehicle still costs more than $31,000, while new vehicles average above $51,000.
That pricing gap has helped sustain strong used-car demand for much of the past year, especially as high interest rates made new-car financing increasingly difficult.
Earlier this spring, used-car prices had actually surged. [Cox Automotive](https://www.coxautoinc.com/insights/q1-2026-muvvi/?utm%5Fsource=chatgpt.com) reported wholesale values in March reached their highest levels since 2023 because of tight inventory and strong demand.
But April’s decline suggests the market may be hitting resistance as consumers absorb higher fuel and living costs.
## Dealers and lenders watching closely
The slowdown matters far beyond dealership lots.
Used-car prices influence trade-in values, lease residuals and the health of auto-loan portfolios. Falling resale values can leave consumers owing more than a vehicle is worth and can increase losses for lenders when loans default.
Auto finance companies are already facing rising delinquency rates after years of record-high vehicle prices and elevated borrowing costs.
Industry analysts say even modest declines in used-vehicle values can ripple through the broader automotive market.
“Trade-ins are the backbone of the dealership ecosystem,” one industry observer noted. “If used values soften materially, it affects everything from leasing to financing to dealer profitability.”
Cox Automotive still expects used-car prices to remain relatively elevated overall this year, though it forecasts softer demand in the second half of 2026.
## Used EVs emerge as bargain option
One notable exception to the broader affordability crunch is the used electric vehicle market.
Prices for used EVs have fallen sharply as more off-lease vehicles enter the market and technology improves. Reuters recently reported that used EV sales rose 21 percent year over year in January as prices dropped closer to — and in some cases below — comparable gasoline vehicles, [Reuters](https://www.reuters.com/business/autos-transportation/falling-prices-steer-us-buyers-toward-used-electric-vehicles-2026-03-11/?utm%5Fsource=chatgpt.com) reported.
Industry analysts say high gas prices are accelerating that shift.
[The Washington Post](https://www.washingtonpost.com/climate-environment/2026/05/05/iran-war-oil-gas-electric-vehicles/?utm%5Fsource=chatgpt.com) reported that used EV sales surged after the latest spike in oil prices because many consumers view them as a hedge against volatile gasoline costs.
Still, affordability challenges remain significant across the broader auto market, especially for households already burdened by high insurance premiums, rising repair costs and elevated interest rates.
For many consumers, the recent dip in used-car prices may offer only limited relief — and a broader warning sign about how much financial pressure households are under heading into summer.
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### Strait jitters return as new U.S.-Iran strikes collide with inflation report, Salesforce stumble, Costco verdict and a softening used-car market
URL: https://www.consumernews.ai/strait-jitters-return-as-new-u-s-iran-strikes-collide-with-inflation-report-salesforce-stumble-costco-verdict-and-a-softening-used-car-market/
Last updated: 2026-05-28T12:49:54.000Z
*By Perplexity*
American consumers woke up Thursday to a fresh round of headlines that promise to keep wallets pinched and policymakers on edge.
Overnight, the United States carried out a second limited strike in southern Iran while Tehran claimed it had hit a U.S. air base near the Strait of Hormuz, sending oil futures higher and reviving fears of another summer gasoline shock.
At 8:30 a.m. ET the Commerce Department will publish April personal consumption expenditures data, the Federal Reserve's preferred inflation gauge, with Wall Street braced for a print that could tip the central bank toward an interest-rate hike rather than a cut.
Salesforce shares slid in premarket trading after a lukewarm sales outlook reignited worries that artificial intelligence is starting to eat into the software industry that helped build the modern consumer economy. Costco reports fiscal third-quarter earnings after the bell, a test of whether the membership warehouse model can keep absorbing higher costs without breaking its renewal streak.
And new data show used-car prices falling for the first time this year — a rare bright spot that doubles as a warning sign about how households are reshuffling spending as pump prices climb.
**Hormuz back in the headlines after second U.S. strike, Iranian counterclaim**
The U.S. military carried out a second "very limited" and "very precise" strike against a ground control station near Bandar Abbas on Wednesday, a U.S. official told [NBC News](https://www.nbcnews.com/world/iran/us-military-carries-limited-attacks-southern-iran-us-official-says-rcna347254?ref=consumernews.ai), describing the action as defensive and aimed at radar and command equipment close to the Strait of Hormuz. It was the second such operation in three days. Three explosions were heard east of Bandar Abbas at about 1:25 a.m. local time, and Iranian air defenses were activated, according to the [NBC News report](https://www.nbcnews.com/world/iran/us-military-carries-limited-attacks-southern-iran-us-official-says-rcna347254?ref=consumernews.ai).
Iranian state outlets escalated quickly. The semi-official Tasnim news agency and the Islamic Revolutionary Guard Corps claimed Iran struck an unspecified U.S. air base at 4:50 a.m. local time, a claim the Pentagon has not confirmed, [NBC News reported](https://www.nbcnews.com/world/iran/us-military-carries-limited-attacks-southern-iran-us-official-says-rcna347254?ref=consumernews.ai). Iran's Foreign Ministry said Tuesday that the United States had "committed a violation of the ceasefire in the Hormuz region over the past 48 hours," and the IRGC on Thursday warned of a "more decisive" response if Washington acts again, [NBC News reported](https://www.nbcnews.com/world/iran/us-military-carries-limited-attacks-southern-iran-us-official-says-rcna347254?ref=consumernews.ai).
The market reaction was immediate. Oil prices surged in Asian trading after dropping more than 5 percent Wednesday on hopes that a ceasefire would hold. The administration announced new sanctions Wednesday targeting an Iranian agency, and President Donald Trump addressed the Strait of Hormuz directly during a Cabinet meeting. Iranian state television, meanwhile, claimed Tehran would restore shipping flows through the strait to prewar levels "within a month."
For drivers, the practical question is whether gasoline, already at a national average of $4.56 a gallon, holds at that level or punches higher into Memorial Day's rearview mirror. Roughly 20 percent of the world's oil moves through the Strait of Hormuz, and even short interruptions ripple quickly through retail pumps in the Midwest and along the East Coast.
### **April PCE arrives with the Fed staring at a possible rate hike**
At 8:30 a.m. ET, the Commerce Department will release April personal income, spending and PCE inflation data. The release lands at an unusually fraught moment. Headline PCE ran at 3.5 percent year-over-year in March and core PCE at 3.2 percent, according to [CNBC](https://www.cnbc.com/2026/04/30/pce-inflation-rate-march-2026.html?ref=consumernews.ai). The April consumer price index came in at 3.8 percent, the highest reading in roughly three years, and producer prices jumped 1.4 percent in April alone, according to [The Wall Street Journal](https://www.wsj.com/economy/central-banking/wholesale-inflation-shot-higher-in-april-f91d6fc0?ref=consumernews.ai).
Forecasters have been ratcheting up their expectations. The Philadelphia Fed's Survey of Professional Forecasters now pegs second-quarter headline PCE at 4.5 percent, up from a 2.7 percent forecast in the prior survey, with core PCE seen at 3.4 percent versus 2.7 percent previously, according to projections cited by [CNBC](https://www.cnbc.com/2026/05/15/inflation-rate-projected-to-hit-6percent-in-the-second-quarter-top-economic-forecasters-say.html?ref=consumernews.ai). Some forecasters see headline inflation pushing toward 6 percent in the second quarter as tariffs, energy and shelter costs compound, [CNBC reported](https://www.cnbc.com/2026/05/15/inflation-rate-projected-to-hit-6percent-in-the-second-quarter-top-economic-forecasters-say.html?ref=consumernews.ai).
The pressure on the Federal Reserve is the story behind the story. A hotter print could push the central bank closer to a rate hike rather than the cut consumers had been hoping for, according to a week-ahead preview from [The Wall Street Journal](https://www.wsj.com/economy/week-ahead-for-fx-bonds-u-s-pce-data-middle-east-developments-in-focus-54f5cd63?ref=consumernews.ai). CME futures data tracked by traders this week showed roughly 60 percent odds of a rate hike before year-end, with Fed nominee Kevin Warsh's confirmation hearings hanging over the debate.
A rate increase would push 30-year mortgage rates higher, raise credit card minimums and lift the floor on auto loans, deepening affordability problems for households already squeezed by tariffs and gas. The April spending figure released alongside PCE will offer the cleanest read yet on whether consumers are starting to retrench.
### **Salesforce outlook revives the AI-disruption fear trade**
Salesforce reported first-quarter fiscal 2027 profit of $2.11 billion, or $2.42 a share, on the quarter that ended April 30, according to [The Wall Street Journal](https://www.wsj.com/business/earnings/salesforce-first-quarter-sales-profit-rise-amid-agentforce-efforts-797ac52f?ref=consumernews.ai). Revenue grew, and the company touted progress on Agentforce, its AI-agent product. But the guidance is what drove the stock lower.
Salesforce told investors to expect second-quarter revenue of roughly $11.3 billion against an analyst consensus of $11.4 billion, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-27/salesforce-gives-lukewarm-outlook-that-fuels-disruption-fears?ref=consumernews.ai). Remaining performance obligations — a closely watched proxy for future bookings — came in at $67.9 billion versus a $68.9 billion estimate, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-27/salesforce-gives-lukewarm-outlook-that-fuels-disruption-fears?ref=consumernews.ai). The shortfall is "unnerving investors already concerned about the possibility that artificial intelligence will disrupt the software business," according to [Bloomberg](https://www.bloomberg.com/news/articles/2026-05-27/salesforce-gives-lukewarm-outlook-that-fuels-disruption-fears?ref=consumernews.ai).
The consumer angle is less direct than gas or groceries but no less real. Salesforce manages customer relationships for retailers, banks, insurers and airlines, and the company's pricing and product cycle increasingly influence the cost of doing business for the firms that send Americans their bills, refunds and receipts. A reset of expectations for AI-era enterprise software signals more uncertainty for hiring, capital spending and the software-driven services consumers depend on every day.
### **Costco's renewal streak goes on trial**
Costco Wholesale will release fiscal third-quarter earnings after Thursday's close, covering the 12-week period that ended May 3\. The report follows an April-to-early-May four-week sales window in which net sales rose 13 percent to more than $23 billion and comparable sales climbed 11.6 percent, according to [CNBC](https://www.cnbc.com/2026/05/07/costco-delivers-another-strong-sales-month-even-as-a-question-hangs-over-the-stock.html?ref=consumernews.ai).
The line investors will study most closely is membership. In the prior fiscal quarter, Costco reported 82.1 million paid memberships, up 4.7 percent year over year but below the 82.7 million Wall Street had expected, [CNBC reported](https://www.cnbc.com/2026/05/07/costco-delivers-another-strong-sales-month-even-as-a-question-hangs-over-the-stock.html?ref=consumernews.ai). Revenue had reached $69.6 billion in the prior quarter, up 9.2 percent, with earnings per share of $4.58, up 13.9 percent, according to [CNBC](https://www.cnbc.com/2026/05/07/costco-delivers-another-strong-sales-month-even-as-a-question-hangs-over-the-stock.html?ref=consumernews.ai).
Households are using Costco as an inflation hedge, buying larger packs of gasoline, rotisserie chicken and pantry staples to stretch fixed paychecks. If renewal rates slip even modestly, it will be the first hard data point that the warehouse club's pandemic-era pricing power is finally being tested by tariffs, energy costs and rising credit card debt. If renewals hold, it will reinforce a familiar pattern of the 2026 economy — consumers trading down to membership-based bulk buying while pulling back at traditional grocery and department stores.
### **Used-car prices slip as gas prices climb**
A rare break in vehicle-cost inflation is providing a reminder that household budgets are zero-sum. Used vehicle prices fell for the first time this year as gasoline prices climbed sharply, according to [CNBC](https://www.cnbc.com/2026/05/07/used-car-prices-gas.html?ref=consumernews.ai). At the end of April, gas was up $1.12 a gallon year over year to $4.30, and the national average has since pushed to $4.56 amid the Iran flare-up, [CNBC reported](https://www.cnbc.com/2026/05/07/used-car-prices-gas.html?ref=consumernews.ai).
Regional pain is worse. California gas hit $6.01 a gallon and diesel reached $7.50, a 47 percent jump since Feb. 28, according to [CNBC](https://www.cnbc.com/2026/04/30/california-gas-price-iran-war-oil.html?ref=consumernews.ai). For households juggling higher pump prices, deferring a vehicle purchase or trading down to a cheaper used model is one of the few discretionary levers left. Auto dealers and lenders are watching nervously, because softer demand for used cars tends to ripple into trade-in values, lease residuals and the resale prices of off-lease vehicles already on the road.
The shift is also a clue about how this consumer cycle is sorting itself. Higher-income households continue to splurge on travel, premium memberships and dining out, while middle- and lower-income households are pulling back on big-ticket purchases to keep up with energy and grocery bills. That divide explains how the headline economy can keep printing growth even as confidence surveys sag.
### **The bigger picture**
The five themes meeting Thursday's headlines tell one story: a consumer economy operating with no margin for error. A renewed Hormuz scare moves oil and gasoline directly into household budgets within days. A hot inflation print would push the Fed toward a rate hike that lifts mortgage, credit card and auto loan costs at exactly the moment families are absorbing higher fuel bills. Salesforce's guidance hints that the AI-driven business reset is reaching the enterprise software layer that quietly powers most American retail, financial services and travel. Costco's earnings will reveal how durable the membership-club inflation hedge really is. And the small dip in used-car prices is the canary in the coal mine — a reminder that when one cost rises, another piece of the household budget has to give.
For consumers, the practical takeaway is the same it has been all spring: lock in fixed-rate borrowing where possible, watch gasoline prices day by day, and treat every "deal" against the rising baseline of grocery, energy and insurance costs. For policymakers, the message is sharper. With a possible rate hike, a hot inflation reading, and a foreign-policy crisis all converging in a single Thursday, the second half of 2026 is starting to look less like a soft landing and more like a stress test.
### U.S. consumers showing signs of SUV fatigue, as life begins to stir in long-neglected sedans
URL: https://www.consumernews.ai/us-consumers-showing-signs-of-suv/
Last updated: 2026-06-19T19:15:38.000Z
American car buyers may be falling out of love with sport-utility vehicles after a decade-long boom, as rising prices, fuel costs and a desire to stand out from a sea of look‑alike crossovers breathe new life into the humble sedan.
Industry analysts say “SUV fatigue” is beginning to creep into the U.S. market following years in which SUVs and crossovers grabbed a majority of new‑vehicle sales and pushed traditional passenger cars to the sidelines. A recent report from industry publication [CBT News](https://www.cbtnews.com/suv-fatigue-is-fueling-renewed-interest-in-sedans/?ref=consumernews.ai) said younger buyers and budget‑conscious shoppers are rediscovering sedans as automakers push up prices on high‑riding models.
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In research reported by the [Detroit Free Press](https://www.freep.com/?ref=consumernews.ai), 51% of teenagers surveyed in an Escalent “EVForward” study said they imagine themselves driving a sedan in the future, versus 31% who preferred SUVs and 14% who chose trucks.
Analysts say that cohort increasingly views SUVs as their [parents’ vehicle](https://autos.yahoo.com/general/articles/america-may-finally-getting-sick-134500782.html?guccounter=1&guce%5Freferrer=aHR0cHM6Ly93d3cucGVycGxleGl0eS5haS8&guce%5Freferrer%5Fsig=AQAAAKBL0QlSZFEyT31lyIqKgCtqQw-puaV3Dt4XDF2ftRedouu1nHyUFhuCMxwUu0Kqoax9UxXUGQKHARQtRnVrNq25FMtIYyuv5%5FSfPpMBQleneHj06gBBodJzmpZn8MI0-CbWYS91Hvx8fHjvrjdBUFpwwTlMGhYn5Z5EnruSnkyW&ref=consumernews.ai) of choice, much as older generations once dismissed station wagons and minivans.
“There seems to be a sort of SUV fatigue that consumers, car designers, and rental agencies are experiencing,” said Karl Brauer, executive analyst at iSeeCars. “There’s a group of people looking just to not look like everyone else. A sedan offers that — which is funny because they were considered boring and now they are cool.”
### Affordability boosting the trend
Affordability is giving sedans an added tailwind. Cox Automotive data reported by the Detroit Free Press show the average sale price for a new compact car at about $27,590 in April, compared with roughly $37,500 for a compact SUV, while midsize sedans average around $34,000 against more than $50,000 for midsize SUVs.
With the average new‑vehicle transaction price hovering near $50,000, sedans undercut SUVs not only on sticker price but also on insurance, fuel and, in many cases, parking costs, [analysts say](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai).
High fuel prices are reinforcing that gap. The Free Press reported that average gasoline prices recently topped about $4.50 a gallon, and analysts say a typical gasoline sedan can deliver roughly a 10% advantage in combined fuel economy versus a large gasoline SUV, although the gap narrows when compared with smaller crossovers and hybrids.
“As affordability becomes a more pressing concern, the appeal of sedans is growing,” said Edmunds analyst Ivan Drury in comments cited by the paper.
### Starting to shift
Early sales data hint that consumer behavior is starting to shift, even as SUVs retain the upper hand in the showroom. In the first quarter of 2026, the Toyota Camry remained America’s best‑selling passenger car, with sales up 11.3% to 78,255 units, while the smaller Corolla rose 12.8% and moved into the top 10, according to registration figures compiled by [BestSellingCars.com](https://www.best-selling-cars.com/usa/2026-q1-usa-top-10-best-selling-vehicle-models/?ref=consumernews.ai). Those gains “hint at renewed interest in sedans, likely driven by pricing pressures and improved availability compared to recent years,” the site said.
Automakers are paying attention. CBT News reports that Ford chief executive Jim Farley has repeatedly hinted the company could re‑enter the affordable sedan market in the U.S. with a potential sub‑$40,000 model, a sharp turn after Ford dropped most of its traditional cars from the lineup. Stellantis is also weighing plans to revive Chrysler sedans as companies reassess how much SUV exposure consumers really want, according to [Reuters](https://www.reuters.com/business/autos-transportation/?ref=consumernews.ai).
The U.S. market offers plenty of room for new contenders if sedans do claw back share. The Free Press noted there were about 130 sedan models for sale in 2016, a number that has shrunk to roughly 50 today after automakers slashed passenger‑car offerings in favor of crossovers and trucks.
Market‑tracking site [TrueCar](https://www.truecar.com/deals/sedans/?ref=consumernews.ai), meanwhile, lists aggressive deals on dozens of sedans this month, including sub‑$260 leases on models like the Hyundai Elantra and Toyota Corolla and promotional financing as low as 0.99% on some midsize cars.
### Still the default … for now
For now, SUVs remain the default choice for many American households, especially as manufacturers continue to roll out new hybrid and electric crossovers aimed at improving efficiency without sacrificing utility.
But with younger buyers signaling a preference for traditional three‑box cars and budget pressures intensifying, analysts say the U.S. could be headed toward a more balanced mix of sedans and SUVs than it has seen in years.motortrend+6
“It’s too early to call a full‑blown sedan renaissance,” said one industry analyst, “but the days of writing obituaries for the segment may be behind us.”
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### National Recall Roundup, May 27
URL: https://www.consumernews.ai/national-recall-roundup-may-27/
Last updated: 2026-06-19T19:15:38.000Z
## New and notable consumer hazards
- Peanut allergen contamination in packaged noodles
- Salmonella contamination tied to powdered dairy ingredients used in grocery foods
- Crash risks involving missing vehicle labels and rearview camera failures
- Autonomous vehicle software defects involving flooded-road navigation
## FDA food recalls and alerts
### Sesame noodles recalled over undeclared peanuts
Fly By Jing Creamy Sesame Noodles sold through Whole Foods, Thrive Market, and online retailers were recalled nationwide because they may contain undeclared peanuts caused by manufacturing cross-contact. The recall poses potentially life-threatening risks to consumers with peanut allergies.
### Salmonella-related recalls continue expanding
The FDA continues tracking expanding recalls linked to powdered milk ingredients from California Dairies Inc. because of possible Salmonella contamination. Affected products include chips, snack foods, seasonings, croutons, and packaged grocery items sold nationwide.
## Vehicle recalls and transportation safety (NHTSA)
### Tesla recalls Model Y SUVs over missing labels
Tesla recalled 14,575 Model Y SUVs because some vehicles are missing federally required weight certification labels warning owners about maximum safe loading limits. NHTSA warned overloaded vehicles could face increased crash risks.
### Tesla rearview camera recall remains active
Tesla continues addressing a recall involving more than 218,000 vehicles because rearview camera images may lag or fail to display while reversing.
### Waymo recalls robotaxis after flooded-road incidents
Waymo recalled nearly 3,800 autonomous vehicles after software defects allegedly allowed robotaxis to continue driving into flooded roadways, potentially resulting in loss of vehicle control.
### Ford recalls continue involving seat bolts and camera defects
Ford Motor Company continues addressing recalls involving loose seat-frame bolts, rearview camera failures, and driver-assistance system outages affecting hundreds of thousands of vehicles.
## USDA FSIS public health alerts
### Listeria warning tied to deli meat products
The USDA Food Safety and Inspection Service continues warning consumers about headcheese deli meat products from Crawford Sausage Co. because of possible Listeria contamination tied to reported illnesses.
## Official recall resources
- [CPSC Recalls](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
- [FDA Recall Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
- [NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
- [USDA FSIS Recalls](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### What's a safe car for teen drivers? Here's an authoritative, no-hype, no-ads list
URL: https://www.consumernews.ai/whats-a-safe-car-for-teen-drivers/
Last updated: 2026-06-19T19:15:39.000Z
Letting your teen loose with a car is an angst-producing exercise but one that nearly every parent will face. And no, buying a new BMW isn’t the answer to ensuring a safe start.
The [Insurance Institute for Highway Safety](https://www.iihs.org/news/detail/updated-teen-vehicle-list-spotlights-good-buys-with-solid-safety-credentials?ref=consumernews.ai) (IIHS) and Consumer Reports (CR) have identified 45 used vehicles starting under $10,000 that offer good crash protection and are suitable for teen drivers. Another 29 vehicles that also have highly rated headlights and automatic emergency braking with pedestrian detection can be found for under $20,000.
> **Here is the** [**list of recommended used vehicles for teen drivers**](https://www.iihs.org/ratings/safe-vehicles-for-teens?ref=consumernews.ai)**. It was compiled by experts using reliable data and is free of commercial influence.**
“We curate this annual list specifically for teens because driving holds extra risk for them,” said IIHS Senior Research Scientist Rebecca Weast in a [news release](https://www.iihs.org/news/detail/updated-teen-vehicle-list-spotlights-good-buys-with-solid-safety-credentials?ref=consumernews.ai). “That said, the suggestions are suitable for drivers of any age looking to balance affordability with crash protection and crash avoidance.”
“A teen’s first car is a major milestone. Whether you’re buying them a vehicle or deciding which family car they should begin driving, these lists help parents make those choices with confidence, and without compromising on safety,” said Emily A. Thomas, associate director of auto safety at Consumer Reports.
For those who prefer a 2026 model, IIHS and CR have identified 22 vehicles with excellent crashworthiness and advanced safety features that are on the [less expensive](https://www.iihs.org/ratings/safe-vehicles-for-teens?ref=consumernews.ai) end of the new-car spectrum.
These cars can can help keep a new driver safe while staying within budget constraints. Many models on the list make good family vehicles too. That could be helpful for parents who plan to share a vehicle with their child or who are looking for one they can pass along to them in a few years.
### **What teens should avoid**
As in past years, the list doesn’t include anything with excessive horsepower relative to weight or anything marketed for performance. However, many seemingly benign vehicles come in high-horsepower versions, so even when shopping from the IIHS-CR list, families should make sure to stick to the base engine. Powerful vehicles can entice young drivers to take risks or lead them to speed inadvertently.
Minicars, as well as anything under 2,750 pounds, are also excluded. Although smaller models tend to be popular with young drivers, they can’t protect their occupants adequately in crashes with bigger vehicles.
On the flip side, large SUVs and large pickups aren’t a good choice for inexperienced drivers because they can be hard to handle and take longer to stop. They also pose more risk to others on the road, including pedestrians, bicyclists and people in smaller vehicles.
### **Making the cut**
All used and new vehicles on the list have average or better scores (3 out of 5) from CR for braking and for emergency and routine handling. They also have usability scores of at least 2 out of 5 for controls and displays, meaning the models with the most confusing and distracting setups are excluded.
Listed vehicles also provide strong protection in a crash, based on IIHS testing. For used vehicles, this means a good rating in the driver-side small overlap front test, which was introduced in 2012\. This test was one of the final evaluations in the original series of IIHS crashworthiness tests, which also looked at side crash protection, roof strength and head restraints.
In recent years, most of the original tests were phased out — and in some cases replaced with more challenging ones. The small overlap remains in the current IIHS test line-up, making it a good proxy for comparing overall crashworthiness of vehicles of different ages.
When it comes to features that help avoid a crash, all listed vehicles have standard electronic stability control, which has been mandatory since the 2012 model year.
Models in the top tier of used vehicles, designated as Best Choices, come with headlights that earn a good or acceptable rating from IIHS across all trim levels. They also have standard automatic emergency braking (AEB) with pedestrian detection that performs well in daytime IIHS track tests. In addition to reducing the risk of a pedestrian crash, AEB helps drivers avoid rear-ending another vehicle. The technology is useful for everyone but can be particularly helpful for young, inexperienced drivers, who may be prone to distraction.
### **New vehicle criteria**
For families who can afford a new vehicle for a teen driver, IIHS and CR recommend getting the most state-of-the-art safety that money can buy.
The list of recommended new vehicles consists of winners of the 2026 IIHS *Top Safety Pick* or *Top Safety Pick*\+ award that also earn a CR Safety Verdict of Best.
The IIHS awards mean these vehicles have good ratings in the Institute’s newer, more challenging crash tests and have standard good or acceptable headlights and standard high-performing AEB.
A CR Safety Verdict of Best means the vehicles also have standard highway-speed AEB, blind spot warning and rear cross traffic warning.
Finally, the recommended new vehicles earn good ratings from IIHS for seat belt reminders. Young drivers are less likely to buckle up than others, and loud, persistent reminders have been shown to boost belt use substantially.
### **Other considerations**
While the IIHS-CR list focuses on safety and price, families may also want to consider a vehicle’s reliability and the cost of insurance. The IIHS-affiliated Highway Loss Data Institute publishes [insurance losses by make and model](https://www.iihs.org/research-areas/auto-insurance/insurance-losses-by-make-and-model?ref=consumernews.ai), which can provide a sense of which vehicles could cost more to insure. It’s a good idea to contact your insurance company to get a quote before buying. When it comes to vehicle reliability, CR maintains ratings for its members.
Electric vehicles, which are becoming more common on used car lots as leases expire, show up on this year’s list a few times. While EVs are fundamentally no less safe than gas-powered vehicles, they can allow for rapid acceleration. Unlike gas engines, electric motors give drivers immediate access to all of the vehicle’s power. Parents should keep that in mind if they are considering an EV for a teen driver.
### Robinhood lets AI agents trade stocks and make purchases for consumers
URL: https://www.consumernews.ai/robinhood-lets-ai-agents-trade-stocks/
Last updated: 2026-06-19T19:15:39.000Z
##
Image: MidJourney
Retail investing platform [Robinhood Markets](https://robinhood.com/us/en/invest/?utm%5Fsource=google&utm%5Fcampaign=8140492012&utm%5Fcontent=193065182385&utm%5Fterm=808190840782%5F%5Frobinhood%20markets%5F%5Fe&utm%5Fmedium=cpc&gad%5Fsource=1&gad%5Fcampaignid=8140492012&gbraid=0AAAAADNGvrPR3Z5HB%5FD7h7TEaPdXgWDr0&gclid=CjwKCAjwrNrQBhBjEiwAoR4VO7Q-2XxvuXq5OglrH28G3izn%5FuCd79RvBKmUdRWnfxYB71M-FseDKxoCfKoQAvD%5FBwE) says customers will soon be able to authorize artificial intelligence agents to trade stocks and make purchases using their accounts — a major step toward automated consumer finance that could reshape how people invest and spend money.
Under the new system, customers will be able to create separate “agentic” trading accounts that allow AI software to buy and sell equities without directly accessing the customer’s primary portfolio, according to company statements released Wednesday.
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Robinhood said customers could instruct an AI agent to build a diversified stock portfolio, rebalance investments automatically, or adjust holdings when market opportunities emerge.
“Some people are setting up hypotheses, some people are doing rebalancing,” Robinhood Vice President of Product Management Abhishek Fatehpuria said in a [Bloomberg interview](https://www.bloomberg.com/news/articles/2026-05-27/robinhood-launches-ai-stock-trading-purchases-on-credit-cards?ref=consumernews.ai) discussing the product rollout.
The company said the AI-controlled accounts will initially support only stock trading, though options, cryptocurrencies, futures and event contracts may be added later.
The announcement also extends beyond investing.
Robinhood said users of its premium Gold credit card will eventually be able to authorize AI agents to make purchases of general merchandise and services on their behalf, subject to monthly spending limits and optional manual approval settings.
Examples cited by the company include an AI agent booking a hard-to-get restaurant reservation or searching online for a designer handbag and automatically purchasing it if the price stays below a preset threshold.
The development comes as financial firms race to integrate AI into consumer products.
### Consumer risks could grow
While Robinhood and competitors argue AI can simplify investing and financial management, consumer advocates have increasingly warned about the risks of turning financial decisions over to algorithms.
Among the concerns:
- AI systems may react unpredictably during volatile markets;
- Consumers may not fully understand how recommendations are generated;
- Fraudsters could potentially exploit automated purchasing systems;
- Rapid-fire AI trading could magnify losses for inexperienced investors; and
- Consumers could lose track of spending when purchases become automated.
The move also raises questions about liability if an AI agent makes unauthorized trades or purchases, particularly if outside third-party AI tools are eventually connected to Robinhood accounts.
Robinhood said users will be able to limit the amount of money accessible to AI agents by funding separate accounts dedicated solely to automated trading activity.
Still, experts say many consumers already struggle with app-based investing tools that encourage rapid trading and constant market engagement.
“Automation can reduce friction,” said one longtime consumer-finance analyst who studies digital investing trends. “But friction is sometimes what protects consumers from impulsive or risky financial decisions.”
### AI expands across Wall Street
Robinhood is far from alone in embracing AI.
Financial firms across the industry are rapidly introducing AI-powered tools for portfolio analysis, budgeting, customer service and financial planning.
Charles Schwab has promoted AI tools designed to help financial advisers work more efficiently, while Robinhood has already introduced a service called Robinhood Cortex that uses AI to provide investment analysis and portfolio insights.
Banks and payment companies are also experimenting with “agentic commerce,” in which AI systems shop, compare prices and complete transactions with limited human involvement.
Supporters say such systems could save consumers time, help automate budgeting and potentially reduce emotional investing mistakes.
Critics, however, worry the technology could deepen existing problems tied to speculative trading apps, buy-now-pay-later systems and algorithm-driven marketing.
### A new era of automated spending?
Robinhood’s announcement reflects a broader push by technology and finance companies to normalize AI as a decision-maker in everyday life.
For consumers, that could eventually mean AI systems that:
- Automatically move money between accounts;
- Pay bills;
- Rebalance retirement portfolios;
- Hunt for discounts;
- Book travel;
- Reorder household items; and
- Execute stock trades in real time.
But consumer advocates say regulators may soon face pressure to establish rules governing disclosure, liability, privacy and consumer protections surrounding AI-directed financial activity.
Federal agencies including the Federal Trade Commission and the Consumer Financial Protection Bureau have previously warned companies that existing consumer-protection laws still apply to AI-powered financial products.
For now, Robinhood’s rollout may offer an early glimpse into what could become one of the next major shifts in consumer finance: letting artificial intelligence not just advise consumers, but actually spend and invest their money for them.
### Robinhood’s brushes with regulators
Robinhood Markets and its brokerage subsidiaries have been repeatedly sanctioned by regulators including the Financial Industry Regulatory Authority (FINRA) and the U.S. Securities and Exchange Commission over the past several years.
Among the major actions:
- In March 2025, [FINRA](https://www.finra.org/media-center/newsreleases/2025/finra-orders-robinhood-financial-pay-375-million-restitution?utm%5Fsource=chatgpt.com) ordered Robinhood Financial to pay $3.75 million in restitution to customers and fined Robinhood Financial and Robinhood Securities $26 million for violations involving anti-money-laundering controls, supervisory failures, misleading disclosures, social-media promotions and reporting problems.
- [FINRA](https://www.finra.org/media-center/newsreleases/2025/finra-orders-robinhood-financial-pay-375-million-restitution?utm%5Fsource=chatgpt.com) said Robinhood failed to properly detect suspicious trading activity, opened thousands of accounts without adequately verifying customer identities, and failed to respond to “red flags” involving possible misconduct and account takeovers by hackers.
- In January 2025, the [SEC](https://www.sec.gov/newsroom/press-releases/2025-5?utm%5Fsource=chatgpt.com) announced Robinhood broker-dealer units agreed to pay $45 million in civil penalties to settle allegations involving recordkeeping failures, inaccurate trade reporting, cybersecurity deficiencies, suspicious activity reporting violations and improper retention of employee communications.
- In 2021, FINRA imposed what was then a record $70 million penalty against Robinhood — including a $57 million fine and roughly $12.6 million in restitution — tied to outages, misleading information provided to customers and supervisory failures, according to [Regulatory Compliance Watch](https://www.regcompliancewatch.com/finra-fines-robinhood-a-record-70m/?utm%5Fsource=chatgpt.com).
- Robinhood also paid a $65 million SEC settlement in 2020 related to allegations it failed to properly disclose its “payment for order flow” practices and how those arrangements affected trade execution quality, [Lowey Dannenberg](https://lowey.com/finra-hits-robinhood-with-70m-fine-and-restitution-penalty/?utm%5Fsource=chatgpt.com) reported.
Robinhood has generally settled the cases without admitting or denying wrongdoing and has said many of the cited issues were historical and have since been corrected. (
At the same time, regulators have not uniformly ruled against the company. For example, the SEC closed an investigation into Robinhood’s crypto unit in early 2025 without taking enforcement action.
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### Big-box retailers chase the tariff refund pot
URL: https://www.consumernews.ai/big-box-retailers-chase-the-tariff/
Last updated: 2026-06-19T19:15:40.000Z
A big story for shoppers played out in a corner of corporate filings this past week: the country’s biggest retailers are formally pursuing federal tariff refunds tied to the Trump administration’s IEEPA duties, [CNBC reported](https://www.cnbc.com/2026/05/22/trump-tariff-refunds-walmart-home-depot-target-apply.html?ref=consumernews.ai).
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Walmart Finance Chief John David Rainey confirmed the company has applied, said it does not expect a “substantial financial windfall” and pledged any refunds would be invested back into prices. The dollar pool is real: more than $35 billion in refund claims have already been processed and are en route to businesses, according to figures cited in the CNBC piece.
Target CFO Jim Lee said the discount retailer is “working through the process” of getting its share, and Home Depot Finance Chief Richard McPhail said the home-improvement chain had filed, with “an immaterial amount to recover” but enough that “the refunds could significantly offset tariff costs.”
Apple is also in the queue: CEO Tim Cook said the company has applied and would reinvest any recovered funds in “U.S. innovation and advanced manufacturing.”
Mr. Trump, who had warned he would “remember” companies that opted out, told Walmart in a separate exchange to “eat the tariffs” and that he would be “watching.” Lowe’s CEO Marvin Ellison said only that “we’re just monitoring the situation,” declining to confirm a filing.
### **Spring housing market is shaping up as a bust**
The peak buying season is ending without the lift sellers expected. The S&P CoreLogic Case-Shiller National Home Price Index rose just 0.7 percent in the 12 months ending in March, [The Wall Street Journal reported Tuesday](https://www.wsj.com/economy/housing/u-s-home-price-growth-slowed-in-march-4e6b871b?ref=consumernews.ai), down from 0.8 percent in February.
Mortgage rates remain a roadblock: CBS News’ latest forecast had the 30-year fixed running between 6.2 percent and 6.4 percent in May, with the Iran conflict raising oil prices and “fueling inflation across the economy,” [according to Del Palacio’s CBS commentary](https://www.cbsnews.com/news/mortgage-interest-rate-forecast-may-2026-experts/?ref=consumernews.ai).
April home sales reflected the same drag. National Association of Realtors chief economist Lawrence Yun said the modest April increase came “despite varied macroeconomic indicators — featuring a record-high stock market alongside historically low consumer confidence,” [CNBC reported](https://www.cnbc.com/2026/05/11/april-home-sales-disappoint-higher-mortgage-rates.html?ref=consumernews.ai). The Journal earlier framed the broader picture more bluntly, describing the spring season as “shaping up as a bust after April sales were flat,” [in its May 11 housing dispatch](https://www.wsj.com/economy/housing/housing-markets-spring-is-shaping-up-as-a-bust-after-april-sales-were-flat-7a908092?ref=consumernews.ai).
> For sellers, the takeaway is that the post-pandemic appreciation engine has stalled; for buyers, the affordability math still does not work despite the headline price moderation.
### **Gas hangs at $4.55, with California a $6 preview**
National gasoline prices ended Tuesday at $4.56 a gallon, AAA data show, up more than $1.40 from a year ago and more than 50 percent since the war began on Feb. 28\. GasBuddy now forecasts a summer-average pump price of $4.80 between Memorial Day and Labor Day, [CBS News reported](https://www.cbsnews.com/news/gas-prices-memorial-day-2026-iran-war/?ref=consumernews.ai), with a possible test of the all-time $5.02 a gallon record if the Strait of Hormuz remains closed late into summer.
GasBuddy’s Patrick De Haan said a $5 national average is “plausible” in June if traffic does not resume.
California is already a preview. AAA put the state’s regular gasoline average at roughly $6.15 a gallon this week, [The New York Times reported](https://www.nytimes.com/2026/05/23/us/gas-prices-california.html?ref=consumernews.ai), up from $4.90 a year ago, while the national average sat at $4.56\. CNBC earlier put California diesel at about $7.50 a gallon, [a 47 percent jump since the war’s Feb. 28 onset](https://www.cnbc.com/2026/04/30/california-gas-price-iran-war-oil.html?ref=consumernews.ai).
Energy consultant David Goldwyn warned in CNBC’s Memorial Day coverage that the country is “likely already facing $6 diesel, possibly $7 diesel” because of global competition for refined products.
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### How do you build an emergency fund in inflationary times?
URL: https://www.consumernews.ai/how-do-you-build-an-emergency-fund/
Last updated: 2026-06-19T19:15:40.000Z
Inflation rages, consumer confidence sinks, employment looks uncertain, healthcare is a challenge. It’s no time to be without an emergency fund. And yet, many if not most Americans are.
> A [2026 report](https://www.facebook.com/usnewsandworldreport/posts/survey-43-of-americans-dont-have-savings-to-pay-for-a-1000-emergency/1296420559020327/) summarized that about one-third of Americans lack a dedicated emergency fund, and 43% don’t have enough savings to pay for a $1,000 emergency expense.
Multiple national surveys suggest that a majority of Americans are financially exposed, with roughly six in ten adults saying they live paycheck to paycheck and about four in ten lacking even a modest emergency fund to cover a $500–$1,000 surprise expense.
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Going it alone — with nothing in reserve — doesn’t work well for anything, whether it’s running a marathon, driving through the desert or trying to survive modern life with no financial reserves.
The solution is pretty obvious: build an emergency fund. But actually doing it is another matter. It can be done but it takes determination and attention to detail.
Building an emergency fund during inflation means focusing on both speed (getting cash set aside quickly) and preservation (losing as little as possible to rising prices), according to [Fidelity Investments](https://www.fidelity.com/learning-center/personal-finance/how-to-beat-inflation?ref=consumernews.ai). For most people, that means using high-yield, very safe cash vehicles and automating contributions, then periodically “inflation-adjusting” the target as costs rise.
## Step 1: Set the right target in real terms
- First, total your monthly expenses (rent/mortgage, food, insurance, utilities, transportation, debt payments, basic healthcare, and essential subscriptions) so your target is reality-based, not a guess, [Vanguard advises](https://investor.vanguard.com/investor-resources-education/emergency-fund?ref=consumernews.ai).
- Aim for 3–6 months of expenses for job-loss risk; if you’re in volatile work (freelance, commission), lean toward 6–9 months, and increase the nominal target each year at least by the inflation rate so the fund keeps pace with rising prices.
- Example: If your core expenses are $4,000 a month and inflation is running 4 percent, a 6‑month fund is $24,000; next year you’d treat the target as roughly $24,960 and round up to $25,000.
## Step 2: Choose “least-bad” parking spots for cash
- Use FDIC/NCUA‑insured high-yield savings or money‑market accounts where yields move up as rates rise and funds stay liquid for real emergencies.
- If you already hold several months of expenses, you can ladder short‑term CDs or use a portion in a high‑yield money‑market to pick up a bit more yield without sacrificing much access, but keep anything you might need on short notice in instantly accessible accounts, [Morgan Stanley recommends](https://www.morganstanley.com/articles/how-to-build-an-emergency-fund?ref=consumernews.ai).
In high inflation, it’s usually not worth putting emergency money into stocks because a market drawdown can coincide with income shocks, exactly when you need the cash.
## Step 3: Make saving automatic and flexible
- Automate transfers from checking to your emergency account each payday so the contribution happens before you see the money; starting as low as $5–$20 per week is useful if you have no cushion yet, because the habit matters more than the initial size, according to the [Consumer Financial Protection Bureau](https://www.consumerfinance.gov/an-essential-guide-to-building-an-emergency-fund/?ref=consumernews.ai).
- If pay is predictable, consider splitting direct deposit so a fixed percentage goes straight to savings, and then review contributions every few months as inflation changes your expense baseline.
Small windfalls like tax refunds, bonuses, or cash‑back rewards can be routed directly to the fund to accelerate progress without squeezing the monthly budget further during a period of higher prices. Resist the urge to splurge when you come into some extra cash.
## Step 4: Carve out cash despite higher prices
- Trim or renegotiate the big levers first: housing (roommate, downsizing), transportation (cheaper car or insurance), and recurring subscriptions, then redirect those savings intentionally into the emergency account rather than letting them be absorbed by general spending, [Bankrate advises](https://www.bankrate.com/banking/federal-reserve/inflation-and-emergency-funds/?ref=consumernews.ai).
- Build a simple “spending and savings plan” where each price increase forces a conscious trade‑off (e.g., offset a higher grocery bill by cutting a lesser priority) so you still protect a specific monthly transfer to the fund.
Side income — freelance work, gig economy, selling unused items — is particularly powerful in inflationary periods because you can dedicate 100 percent of that incremental money to the emergency fund until you hit your target.
## Step 5: Maintain, adjust, and don’t over‑optimize
- Once you reach your target, keep contributions roughly in line with inflation and life changes (new dependents, higher rent, new car payment) so the fund remains pegged to current expenses instead of an outdated lifestyle.
- Treat the emergency fund like insurance: do not tap it for predictable or non-essential spending, and if you use it for a real emergency, prioritize replenishing it before ramping up longer‑term investing or lifestyle upgrades again.
During high inflation, it’s normal that your cash earns less than inflation; the goal is not to “beat” inflation with your emergency fund but to be sure it’s there, in full and on time, when something goes wrong.
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### Security deposit ‘alternatives’ may leave renters paying more — with fewer protections
URL: https://www.consumernews.ai/security-deposit-alternatives-may/
Last updated: 2026-06-19T19:15:41.000Z
##
Image: MidJourney
A new [consumer advocacy report](https://www.nclc.org/resources/tenant-insecurity-how-security-deposit-alternatives-raise-tenants-costs-and-erode-their-protections/?ref=consumernews.ai) is warning that a rapidly growing class of rental housing financial products may be worsening the affordability crisis for millions of tenants.
The report, released today by the National Consumer Law Center, argues that so-called security deposit “alternatives” frequently leave renters paying more money overall while weakening legal protections that traditionally apply to security deposits.
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The products are increasingly marketed by “PropTech” — or property technology — firms and landlords as a substitute for traditional security deposits. Instead of paying a refundable lump-sum deposit upfront, tenants pay recurring fees or purchase insurance-like products that allow them to move into an apartment with lower initial cash costs.
But according to the NCLC report, many renters ultimately pay far more than they would under a standard deposit arrangement because the fees are generally nonrefundable and continue month after month.
“Security deposit alternative products attempt to evade state laws designed to protect tenants,” s[aid April Kuehnhoff](https://www.nclc.org/security-deposit-alternative-products-are-hurting-tenant-financial-security/?ref=consumernews.ai), a senior attorney at NCLC and co-author of the report.
### Additional financial risks
The report also alleges that some products expose renters to additional financial risks, including debt collection actions tied to landlord damage claims. In some cases, the companies may seek reimbursement directly from tenants after paying landlords, effectively functioning more like a loan obligation than a traditional deposit.
“People pay and pay, but at the end of the lease none of the fees are refunded, unlike a traditional security deposit,” said Steve Sharpe, another senior attorney at NCLC. “On top of that, they can face debt collection to reimburse the PropTech company.”
Housing affordability pressures have made the products increasingly attractive to renters struggling to cover steep move-in costs. In many cities, tenants must come up with first month’s rent, last month’s rent, application fees, broker fees and security deposits all at once — often totaling thousands of dollars.
Consumer advocates say that financial pressure has opened the door for new fee-based products marketed as affordability solutions.
### Data Box: Why this matters
- More than half of Black renters and Hispanic renters are considered cost burdened, according to Harvard housing researchers.
- Security deposit alternatives often involve monthly nonrefundable fees instead of refundable deposits.
- Consumer groups say renters can still face debt collection even after paying the recurring fees.
- PropTech firms are becoming increasingly involved in rent collection, screening and lease management nationwide.
### Renters facing heavier burdens
The issue comes as renters nationwide continue to face heavy financial burdens. Data from [Harvard Joint Center for Housing Studies](https://www.jchs.harvard.edu/americas-rental-housing-2026?ref=consumernews.ai) cited in the report found that more than half of Black renters and Hispanic renters are considered “cost burdened,” meaning they spend more than 30% of their income on housing and utilities.
The report also connects the issue to broader concerns about algorithmic tenant screening and “junk fees” in the rental market. Consumer advocates have increasingly criticized landlords and PropTech firms for layering on technology-driven charges that can include application fees, mandatory “convenience” charges, lease processing fees and tenant screening costs.
Federal regulators have also been scrutinizing rental junk fees more aggressively in recent years. The Federal Trade Commission has proposed broader crackdowns on [hidden or misleading fees](https://www.ftc.gov/news-events/news/press-releases/2025/05/ftc-rule-unfair-or-deceptive-fees-take-effect-may-12-2025?ref=consumernews.ai) across multiple industries, while the Consumer Financial Protection Bureau previously warned about abusive practices tied to tenant screening and rental payment systems.
Housing advocates say traditional security deposits, while often expensive upfront, are at least subject to longstanding state laws governing how the money must be held, when it must be returned and what deductions landlords may legally make.
By contrast, many deposit “alternative” products operate in legal gray areas because they are structured as fees, insurance products or guarantees rather than deposits.
The NCLC report urges state and local governments to strengthen tenant protections, regulate rental junk fees and expand access to safer alternatives for renters struggling with move-in costs.
“Local governments can increase access to traditional security deposits, increase enforcement of existing laws, and prohibit abusive practices,” said Ariel Nelson.
### What renters should watch for
> Consumer advocates recommend tenants carefully review any security deposit “alternative” product before signing a lease. Key questions include:
- Are the fees refundable?
- Is the tenant still liable for damages after paying fees?
- Can the company send unpaid claims to collections?
- Does the landlord still have access to traditional eviction or damage claims?
- Are automatic bank withdrawals authorized in the contract?
Advocates also suggest comparing the total long-term cost of recurring fees against a one-time refundable security deposit.
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### Walmart says it has to raise prices, and that customers are tapping out
URL: https://www.consumernews.ai/walmart-says-it-has-to-raise-prices/
Last updated: 2026-06-19T19:15:42.000Z
The country’s largest retailer used a recent earnings call to deliver an unusually blunt warning: it will lift shelf prices in the second quarter and through the second half of 2026 to offset war-driven costs.
Walmart absorbed $175 million in unanticipated fuel expense during its most recent quarter, even as revenue climbed 7.3 percent to $177.8 billion and U.S. same-store sales rose 4.1 percent, [NBC News reported](https://www.nbcnews.com/business/consumer/walmart-quarterly-earnings-fuel-costs-rcna345914?ref=consumernews.ai).
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Chief Financial Officer John David Rainey said the average number of gallons customers pump at Walmart fuel stations had fallen below 10 per visit for the first time since 2022, [The Wall Street Journal noted](https://www.wsj.com/business/retail/walmart-wmt-q1-earnings-report-2027-bf5912d7?ref=consumernews.ai). “This reflects a sign of strain,” Mr. Rainey said. He told NBC that lower-income customers “are spending with intent” while higher-income shoppers continue to trade down to budget brands and “perhaps navigating financial distress.”
AAA put the national average for regular gasoline at $4.56 a gallon Thursday, up from $2.98 before the conflict, and diesel at $5.66 a gallon, up about $2 since the war began. Consumer prices climbed 3.8 percent in April, outpacing wage growth for the first time since 2023.
### No surprise: Consumer confidence is down
It’s hardly surprising that consumer confidence is sinking. A monthly survey from The Conference Board said its consumer confidence index fell to 93.1 in May from an upwardly revised 93.8 in April. Economists polled by The Wall Street Journal had [expected](https://www.wsj.com/economy/central-banking/u-s-consumer-sentiment-worsened-in-may-74ee03ed?ref=consumernews.ai) a reading of 92.0.
Among age groups, confidence ticked up for consumers aged 35-54, but trended downward for older and younger consumers.
Consumers’ assessment of business and labor-market conditions retreated by 3.2 points to 121.2 in May. The expectations index, based on short-term outlook for income, business, and labor market conditions rose by one point to 74.4.
### What does that mean?
When economists say “consumer confidence” is down, they mean Americans are feeling more pessimistic about their personal finances and the economy overall. That may sound abstract, but it can have very real effects on household budgets, jobs, borrowing costs and prices.
At the individual level, falling consumer confidence often changes behavior before anything else changes. People tend to delay large purchases, reduce discretionary spending and build savings cushions because they are worried about what might happen next.
That matters because consumer spending drives roughly two-thirds of the U.S. economy. If millions of households cut back at once, businesses notice quickly.
Employers may become more cautious, hiring fewer workers and delaying expansion plans. This does not necessarily mean a recession is imminent, but declining confidence is often treated as an early warning sign.
A troubling pattern in recent years is that many households continue spending even when confidence falls — often by relying more heavily on credit cards or buy-now-pay-later financing.
### What can you do?
Financial advisers commonly recommend:
- Reducing high-interest debt
- Building emergency savings
- Avoiding large unnecessary purchases
- Comparing insurance and service costs
- Locking in budgets before prices rise further
- Being cautious about variable-rate debt
In many ways, falling consumer confidence reflects a broader consumer mood: households are increasingly worried that their incomes are not keeping pace with the cost of living. That anxiety alone can slow economic activity — even before any formal downturn begins.
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### National Recall Roundup, May 25
URL: https://www.consumernews.ai/national-recall-roundup-may-25/
Last updated: 2026-06-19T19:15:42.000Z
Hyundai Motor Company recalled 421,078 vehicles because software errors may cause unexpected braking events
- Affected models include:
- Tucson
- Tucson Hybrid
- Tucson Plug‑In Hybrid
- Santa Cruz
Regulators said the forward collision‑avoidance system could activate brakes unexpectedly, increasing crash risks
Dealers will install updated software free of charge
---
### Hyundai also recalls more than 54,000 Elantra hybrids over overheating risk
Hyundai separately recalled 54,337 Elantra Hybrid vehicles from model years 2024–2026
Regulators said overheating in the Hybrid Power Control Unit could increase fire risk
Hyundai plans a software update to improve cooling and reduce overheating risks
## Is your car affected?
Check the [NHTSA Recall Site](https://www.nhtsa.gov/recalls?ref=consumernews.ai) for details.
### Google’s Gemini AI shopping push raises new questions about hidden advertising and paid product placement
URL: https://www.consumernews.ai/googles-gemini-ai-shopping-push-raises/
Last updated: 2026-06-19T19:15:42.000Z
As Google rolls out new Gemini-powered shopping and product-review features, consumer advocates and advertising watchdogs are warning that shoppers may not realize how deeply commercial interests are shaping the AI’s recommendations.
The new tools, integrated into Google Search and its Gemini AI assistant, are supposedly designed to help consumers compare products, summarize reviews and receive personalized buying advice in a conversational format. But unlike traditional search results, the new AI-generated answers can also contain sponsored products, paid placements and AI-written promotional summaries woven directly into the conversation.
Google has openly acknowledged that advertising will play a major role in the system. At recent industry presentations, the company showcased Gemini-generated shopping experiences that include “Sponsored Products” and AI-enhanced advertising integrated directly into search responses.
Instead of simply displaying a banner ad or sponsored link, Gemini can generate what appears to be a neutral recommendation while incorporating advertiser-funded products and merchant data behind the scenes.
That has sparked growing concern among researchers, regulators and consumer advocates who say the approach risks making advertising far less recognizable.
“This is fundamentally different from the old search model where ads were more clearly separated from organic results,” said one digital advertising analyst who studies AI commerce systems. “Now the AI itself may be generating the sales pitch.”
## A shift from search engine to shopping intermediary
The rollout reflects Google’s broader strategy to transform its AI systems into a full-scale shopping platform that handles everything from product discovery to recommendations and eventually even checkout.
Gemini shopping tools now draw from multiple sources simultaneously, including:
- online product reviews,
- retailer feeds,
- Google Shopping data,
- user behavior signals,
- advertiser campaigns,
- pricing information,
- and merchant-sponsored content.
Google says the system is designed to provide “helpful and relevant” shopping guidance tailored to individual users. But critics argue the enormous complexity of the underlying system makes it difficult for consumers to know when commercial incentives are influencing the advice they receive.
> Industry analysts say merchants participating in Google’s shopping and advertising ecosystem may gain visibility advantages inside Gemini-generated responses, even if consumers never see an explicit “ad” label.
In many cases, AI-generated summaries may synthesize both organic reviews and paid promotional material into a single conversational answer.
## Consumer groups warn of “invisible advertising”
Consumer advocates say the concern is not simply that ads exist — consumers have long dealt with sponsored search results — but that AI systems may obscure where marketing ends and neutral information begins.
Several digital rights groups have warned that conversational AI interfaces can create what researchers sometimes call “trust laundering,” in which advertising is presented with the tone and authority of an impartial assistant.
That risk becomes especially significant when users ask highly specific shopping questions such as:
- “What’s the best refrigerator for reliability?”
- “Which baby formula is safest?”
- “What laptop has the fewest problems?”
- or “Which insurance company has the best customer service?”
In those cases, consumers may assume the AI is independently evaluating products when commercial relationships may also be influencing the response.
Researchers have also raised concerns that AI shopping systems could amplify existing marketplace distortions by favoring:
- large advertisers,
- dominant retail platforms,
- companies with richer product feeds,
- or merchants spending heavily on AI-optimized ad campaigns.
## Regulators already scrutinizing “dark patterns”
The debate comes as federal regulators are increasingly focused on so-called “[dark patterns](https://www.ftc.gov/news-events/news/press-releases/2022/09/ftc-report-shows-rise-sophisticated-dark-patterns-designed-trick-trap-consumers?ref=consumernews.ai)” — digital design techniques that manipulate consumer behavior or disguise advertising.
The Federal Trade Commission has repeatedly warned technology companies that advertising disclosures must remain “clear and conspicuous,” even in emerging AI interfaces.
While Google says sponsored shopping results are labeled, critics argue the disclosures may become less obvious inside conversational AI systems where users are focused on the natural-language response rather than scanning for ad markers.
Some experts say AI-generated commerce recommendations could eventually become one of the biggest consumer-protection battlegrounds in the technology industry.
“Search advertising was already enormously powerful,” one consumer policy researcher said. “But when the AI becomes the trusted advisor making personalized recommendations in human language, the influence becomes even greater.”
## Why it matters to consumers
For consumers, the changes could affect:
- how products are ranked and recommended,
- which reviews are emphasized,
- what prices and offers are shown,
- and whether cheaper or better alternatives are surfaced at all.
The rise of AI shopping assistants also raises broader questions about transparency and accountability:
- Are recommendations truly independent?
- Are merchants effectively paying for visibility?
- Can consumers tell the difference?
- And who audits the AI systems making those choices?
For now, the answers remain murky.
What is clear is that the next generation of online shopping may no longer look like traditional advertising at all — even when advertising is deeply embedded in the experience.
## What about the others?
Google’s Gemini is not alone. Although the approaches differ widely, most major AI companies are actively exploring or already deploying some form of monetized recommendations, affiliate commerce, sponsored content or paid integrations.
What separates them right now is mostly:
- how aggressively commercialization is being rolled out,
- how visible the sponsorship is,
- and whether the system is positioned as a neutral assistant versus a commerce platform.
Here’s the current landscape:
## [OpenAI](https://openai.com/?utm%5Fsource=chatgpt.com) (ChatGPT)
OpenAI has so far been more restrained than Google about advertising inside ChatGPT itself, but the company has openly discussed commerce integrations and shopping features.
Recent ChatGPT shopping and product recommendation features generally rely on:
- structured product feeds,
- retailer information,
- review summaries,
- and web search integrations.
OpenAI executives have publicly said they are interested in affiliate-style commerce models in the future, particularly where users make purchases directly from recommendations. But OpenAI has also said it wants to avoid making ChatGPT feel overloaded with ads.
At present:
- there is no broad traditional ad network embedded in ChatGPT responses,
- but commerce partnerships and transactional integrations are increasingly likely,
- especially as AI assistants evolve into shopping intermediaries.
The key distinction is that OpenAI currently appears to emphasize subscription revenue over advertising revenue.
## [Microsoft Copilot](https://copilot.microsoft.com/?utm%5Fsource=chatgpt.com)
Microsoft has experimented heavily with ads in AI search and chatbot experiences through Bing and Copilot.
That includes:
- sponsored search-style insertions,
- shopping recommendations,
- affiliate-style product suggestions,
- and travel/hotel commerce integrations.
Microsoft Advertising has discussed “conversational ads” designed specifically for AI assistants.
Because Copilot is deeply integrated with Bing search, sponsored content can influence responses similarly to traditional search advertising.
## [Meta AI](https://www.meta.ai/?utm%5Fsource=chatgpt.com)
Meta’s entire business model revolves around advertising, so most analysts expect Meta AI eventually to become highly commercialized.
Meta has already explored:
- AI-generated product discovery,
- conversational shopping,
- Instagram and Facebook commerce integrations,
- and personalized advertising through AI assistants.
Meta’s vast behavioral advertising infrastructure gives it unusual targeting power if AI recommendations become ad-driven.
## [Anthropic](https://www.anthropic.com/?utm%5Fsource=chatgpt.com) (Claude)
Anthropic has so far taken a more cautious public posture toward advertising and monetized recommendations.
Claude currently appears less commerce-focused than Gemini or Copilot. The company emphasizes:
- enterprise subscriptions,
- API licensing,
- safety,
- and constitutional AI principles.
However, analysts expect economic pressure eventually to push nearly all major LLM providers toward some type of monetization beyond subscriptions alone.
## [Perplexity AI](https://www.perplexity.ai/?utm%5Fsource=chatgpt.com)
Perplexity has already begun integrating shopping features and merchant links into some responses.
The company has reportedly explored:
- affiliate commerce,
- sponsored answer modules,
- and merchant partnerships.
Because Perplexity markets itself as an “answer engine,” questions about neutrality and commercial influence have already surfaced.
## Why this matters
The central consumer-protection concern is that AI systems speak with an authoritative, conversational voice that users may perceive as neutral or trustworthy — even when commercial incentives are influencing the output.
That creates several risks:
- sponsored recommendations may feel like objective advice,
- paid placement may become harder to identify,
- affiliate incentives may shape rankings,
- and consumers may not know why certain products appear first.
Regulators are increasingly focused on whether AI-generated recommendations require stronger disclosure rules than traditional digital advertising.
The FTC has already warned companies that AI systems do not exempt them from truth-in-advertising laws or disclosure requirements.
The broader industry trend is becoming clear:
AI companies are rapidly evolving from information tools into transaction and recommendation platforms — and wherever recommendations influence purchases, advertising and commercial incentives usually follow.
—
*Research from ChatGPT was used in preparing this article.*
### It's not a good time to buy a car but with today's price of gas ...
URL: https://www.consumernews.ai/its-not-a-good-time-to-buy-a-car/
Last updated: 2026-06-19T19:15:43.000Z
The spiraling gas prices brought on by the Iran War have many consumers wishing they’d bought an electric car, or at least a hybrid, the last time they refreshed their fleet. With gas closing the weekend at a nationwide average of $4.55 a gallon, consumers with lengthy daily commutes may be wondering how long this is likely to last.
Unfortunately, the news on that front is not so good. GasBuddy head of petroleum analysis Patrick De Haan [said](https://www.consumernews.ai/holiday-spending-squeezed-by-war-prices-as-iran-framework-offers-thin-relief-at-the-pump/) a $5 national average is plausible in June and warned that "prices may not stabilize until well into 2027," even if Hormuz traffic resumes in the coming weeks.
While it’s never a good idea to rush out and buy a new vehicle just because gas prices fluctuate, the current conditions may be exceptional enough for some consumers to start pricing possible replacements. And although the promise of [super-economical Chinese cars](https://www.theoutragedconsumer.com/p/dont-buy-a-new-car-today?utm%5Fsource=publication-search) may be tempting, they may not arrive soon enough to offer much relief.
So, given the unusual circumstances, what’s the best choice for consumers looking for an economical and safe family car?
We quizzed our various researchers, human and otherwise, about the best car for normal consumer applications and got the expected answer:
> For most typical consumers, a compact or midsize Japanese-brand sedan or small crossover (for example, a Toyota Corolla/Corolla Hybrid, Honda Civic, Toyota RAV4, or Honda CR‑V) is usually the best overall choice when you weigh fuel cost, insurance, safety, and depreciation together, [US News](https://cars.usnews.com/cars-trucks/advice/cars-with-the-slowest-depreciation?ref=consumernews.ai) and others advise.
If you truly need a light truck, a smaller, efficient model like a Ford Maverick Hybrid or a used Honda Ridgeline minimizes fuel and depreciation compared with full-size trucks.cars.
### What “best” means here
When you combine gas, insurance, safety, and depreciation, you’re really trying to minimize “total cost of ownership” while still getting a safe, practical vehicle, according to [Mercury Insurance](https://www.mercuryinsurance.com/resources/auto/what-car-should-i-buy.html?ref=consumernews.ai). That generally pushes you toward:
- Mainstream, non-luxury brands (especially Toyota and Honda) because of strong reliability and resale value.
- Smaller, lighter vehicles (compact sedans and crossovers) because they get better fuel economy and are usually cheaper to insure, says [AutoInsurance.com](https://www.autoinsurance.com/articles/what-are-consumers-looking-for-in-new-cars/?ref=consumernews.ai).
- High safety ratings ([NHTSA](https://www.nhtsa.gov/ratings?utm%5Fsource=google&utm%5Fmedium=search&utm%5Fcampaign=5-starsafetyratings2025-2026&gad%5Fsource=1&gad%5Fcampaignid=23383570006&gbraid=0AAAAAoa-qF1WQIPoDSuPfd%5FhvvbPHZUhW&gclid=CjwKCAjw5s%5FQBhAdEiwADD%5FgBqT12tzFdt86jPuMg4EkYfCai2MeaZHuiSnNpoUsprXtGwxHCKK5thoCDRsQAvD%5FBwE) and [IIHS](https://www.iihs.org/ratings?ref=consumernews.ai) crash-test scores and active safety features) which can lower both injury risk and insurance premiums.
### Why compact/midsize cars are usually best
Compact and midsize sedans like the Toyota Corolla, Honda Civic, Toyota Camry, and Honda Accord are repeatedly recommended as practical, low-cost choices. They tend to:
- Have excellent fuel economy, which matters more as gas prices fluctuate.
- Be cheaper to insure than trucks, luxury SUVs, or performance cars because they cost less to repair and have good safety records.
- Depreciate slowly, especially models like the Corolla and Civic, which have strong used-market demand, [Caredge.com says](https://caredge.com/ranks/depreciation?ref=consumernews.ai).
An example: a Toyota Corolla or Honda Civic is cited as both fuel-efficient and relatively cheap to insure, with strong long-term value retention. That combination makes them hard to beat for a “typical” user who mainly commutes, runs errands, and occasionally takes road trips.cars.
### Small crossovers and depreciation
If you prefer something a bit higher off the ground, small crossovers such as the Toyota RAV4 (especially the Hybrid) and similar models from Honda show some of the slowest depreciation among mainstream vehicles. These models offer:
- Better cargo space and an easier step-in height than sedans, which many families appreciate, [Consumer Reports notes](https://www.consumerreports.org/cars/best-used-cars-10-top-picks-a8027733372/?ref=consumernews.ai).
- Strong resale value, particularly from brands with durability reputations like Toyota, which helps offset the higher initial price, says [Kelley Blue Book](https://www.kbb.com/awards/best-resale-value-cars-trucks-suvs/?ref=consumernews.ai).
- Fuel economy that is still reasonable, especially in hybrid versions, further controlling gas costs, per [fueleconomy.gov](https://www.fueleconomy.gov/feg/Find.do?action=sbsSelect&ref=consumernews.ai).
For a typical household that occasionally needs extra room but doesn’t tow heavy loads, a compact crossover from a high-resale brand is often the sweet spot.
### Light trucks: when you really need one
Trucks cost more to fuel and insure, and they usually depreciate faster than compact cars unless you buy carefully, typically used. If you truly need a pickup but still care about cost.
- Smaller, efficient trucks like the Ford Maverick Hybrid combine pickup utility with sedan-like fuel economy (around mid-30s mpg combined in estimates), making them far cheaper to run than most full-size trucks.
- A used, reliable truck like a Honda Ridgeline can offer better fuel economy than many body-on-frame trucks and avoids the steepest new-vehicle depreciation.
Even then, for a “typical” consumer who doesn’t tow frequently or haul heavy loads, the total costs of a truck will usually be higher than a compact car or crossover, especially in gas and insurance.
### How to decide for yourself: car or truck
Yeah, we know. Guys like trucks. But is it worth buying a truck just so you can haul a few bags of mulch every now and then? Do you tow a boat or camper? Move large boulders around?
It’s tempting to think that trucks are built big and tough — you know, like us guys like to think of ourselves. But in both cases, the fantasy may not stand the test of time.
Pickup trucks don’t automatically have a better service record than cars; reliability is more about the specific model, brand, and how it’s maintained than whether it’s a truck or car. Trucks are often built more robustly for heavy use, but they can also cost more to maintain and repair, especially if used hard.
Pickup trucks are designed with heavier frames, suspensions, and often larger engines to handle towing and hauling, which can make them very durable when properly maintained. That’s why you commonly see work trucks and fleet pickups with very high mileage that are still in service.
If you want to narrow this to a specific model for your situation, the key next step is clarifying whether you actually need truck capability (towing/hauling) or mainly want a practical commuter and family vehicle. Do you primarily need a commuter/family car, or do you regularly tow/haul enough that a pickup is truly necessary?
### New vs. used
All this brings us to the question — new or used?
For most people, a slightly used car is the better financial value — especially a vehicle that’s about 3 to 5 years old. That’s because the original owner already absorbed the steepest depreciation.
Keep in mind that new cars commonly lose 15%–30% of their value in the first year alone, and around 40%–60% within five years. Unusual, high-end or high-performance models lose much more.
So if someone buys a $45,000 SUV new and sells it three years later, a second owner may get a very similar vehicle for $28,000–$32,000.
That’s why many financial experts consider the “sweet spot” to be:
- 3–5 years old
- Under \~60,000 miles
- Strong reliability history
- Good maintenance records
- Ideally certified pre-owned (CPO).
But before making a decision, be sure to check new prices as well. You can sometimes get better financing on a new car, which can help offset the depreciation.
So the smarter comparison is:
> total ownership cost = price + interest + insurance + repairs + depreciation
—not just sticker price.
### Caution wins the day
As a last cautionary note, a car purchase is a major transaction that carries six or seven years of debt, higher insurance costs, and high property tax and registration fees in many areas. If a purchase involves rolling over existing debt, it is almost never a good idea.
The sour taste of monthly payments often outlasts that sweet new-car smell.
—
The author has long experience with cars, much of it ill-advised. He has owned Porsches, Peugeots, Mini Coopers and at one time owned four Alfa Romeos, none of which ran reliably.
### The holiday weekend slogs on, despite weather, inflation and congestion
URL: https://www.consumernews.ai/the-holiday-weekend-slogs-on-despite/
Last updated: 2026-06-19T19:15:43.000Z
Americans fired up grills, packed minivans and queued at airports for an unofficial summer kickoff dominated by one number: the war premium. A weekend framework between Washington and Tehran left the Strait of Hormuz blockade in place even as both sides signaled openness to reopening the world’s busiest oil chokepoint, gasoline sat at $4.55 a gallon, and Memorial Day cookouts ran double-digit percentages above last year.
A record 45 million travelers hit the roads and skies anyway, while a fresh New York Federal Reserve readout showed credit-card balances near $1.25 trillion and most cardholders leaning on plastic to cover groceries and gasoline.
Much of the country had overcast skies with frequent rain.
### **Memorial Day cookout is a wallet event**
The classic American backyard menu has become an inflation report. Ground beef and steak prices ran 16 percent above Memorial Day 2025, hot dogs were up 11 percent and tomatoes climbed a stunning 40 percent, [CNBC reported](https://www.cnbc.com/2026/05/23/memorial-day-weekend-prices-inflation-war.html?ref=consumernews.ai) in a holiday weekend roundup. Lettuce was 8 percent higher, condiments rose 4 percent, desserts gained 5 percent, soft drinks added 3.7 percent, beer ticked up 2.2 percent and coffee — squeezed by global supply problems — was 18 percent more expensive than a year ago. Drivers of the spike include shrinking U.S. cattle herds, rising fertilizer costs and the Iran conflict’s ripple into freight and packaging.
Bank of America economist Stephen Juneau said shoppers heading to the meat counter and produce section “are going to be displeased with what they encounter,” predicting “a lot of complaints this weekend.” McDonald’s chief executive Chris Kempczinski described the operating environment as “difficult,” echoing a broader corporate refrain.
The University of Michigan’s consumer sentiment index fell on Friday to its lowest recorded level, even as cosmetics maker E.l.f. Beauty said it would reverse some recent price increases to protect demand. The pressure starts upstream: grocery prices in the “food at home” category jumped 0.7 percent in April from March — the biggest monthly increase in roughly four years — and were up 2.9 percent year over year, with fresh vegetables a stunning 44 percent more expensive than April 2025, [according to NBC News](https://www.nbcnews.com/business/consumer/grocery-prices-jumped-april-iran-war-gas-rcna344762?ref=consumernews.ai). Overall inflation now sits at 3.8 percent, the highest reading since 2023.
### **Pump prices punch through $4.55 and analysts warn of more**
Gasoline closed the holiday weekend at a national average of $4.55 a gallon, up more than 50 percent since the conflict began on Feb. 28 and 28 percent above the same week last year, [CNBC reported](https://www.cnbc.com/2026/05/22/gas-price-iran-war-strait-hormuz-memorial-day.html?ref=consumernews.ai). U.S. crude is up roughly 40 percent from its pre-war level. GasBuddy head of petroleum analysis Patrick De Haan said a $5 national average is plausible in June and warned that “prices may not stabilize until well into 2027,” even if Hormuz traffic resumes in the coming weeks. Energy consultant David Goldwyn was blunter on the freight side: “We’re likely already facing $6 diesel, possibly $7 diesel.”
The president has shown no appetite for a price-driven climbdown. “I don’t think about Americans’ financial situation,” Mr. Trump said when pressed on pump prices Friday. “I focus on one thing: We cannot allow Iran to develop a nuclear weapon.”
That posture has put the administration on a political collision course with diesel-dependent industries — trucking, agriculture, construction — and with retailers who depend on freight margins. Friday’s 7 percent oil pullback on news of the framework offered some hope, but refiners, traders and the AAA all cautioned that the savings, if they come, will take weeks to filter from crude to retail tanks.
### **Travel records fall despite the bill**
Americans ignored the sticker shock and traveled anyway. AAA projected 45 million people would venture at least 50 miles from home over the long weekend, with more than 39 million driving despite gasoline running roughly $1.38 a gallon higher than last Memorial Day, [CBS News Texas reported](https://www.cbsnews.com/texas/video/gas-prices-airfare-surge-as-memorial-day-travel-hits-record-levels/?ref=consumernews.ai).
The Transportation Security Administration was on pace to screen millions of fliers through Monday, and Dallas-Fort Worth International — which on Friday clocked 25-minute checkpoint waits — was a national bellwether for how stretched the system has become.
Airfares rose 20 percent from Memorial Day 2025, and lodging costs climbed 4.3 percent over the same period. The bifurcation in who is traveling matches the bifurcation in who is hurting: airline executives have spent the spring earnings cycle describing strong premium and international demand while domestic main-cabin bookings soften.
Hotel chains reported similar splits, with luxury and resort properties outpacing budget brands. The headline numbers, however, are unambiguous — never have Americans paid more, in nominal dollars, to take a holiday road trip or a Memorial Day flight.
—
This report is adapted from a lengthier version on [*ConsumerNews.ai*](https://www.consumernews.ai/)
### Holiday spending squeezed by war prices as Iran framework offers thin relief at the pump
URL: https://www.consumernews.ai/holiday-spending-squeezed-by-war-prices-as-iran-framework-offers-thin-relief-at-the-pump/
Last updated: 2026-05-25T13:23:14.000Z
*By Perplexity*
Americans fired up grills, packed minivans and queued at airports for an unofficial summer kickoff dominated by one number: the war premium. A weekend framework between Washington and Tehran left the Strait of Hormuz blockade in place even as both sides signaled openness to reopening the world's busiest oil chokepoint, gasoline sat at $4.55 a gallon, and Memorial Day cookouts ran double-digit percentages above last year.
A record 45 million travelers hit the roads and skies anyway, while a fresh New York Federal Reserve readout showed credit-card balances near $1.25 trillion and most cardholders leaning on plastic to cover groceries and gasoline.
Five storylines defined the consumer landscape this holiday Monday — the [Iran-U.S. framework](https://www.nytimes.com/live/2026/05/24/world/iran-war-trump?ref=consumernews.ai), the [grocery-aisle shock](https://www.cnbc.com/2026/05/23/memorial-day-weekend-prices-inflation-war.html?ref=consumernews.ai), the [pump-price climb](https://www.cnbc.com/2026/05/22/gas-price-iran-war-strait-hormuz-memorial-day.html?ref=consumernews.ai), the [record travel rush](https://www.cbsnews.com/texas/video/gas-prices-airfare-surge-as-memorial-day-travel-hits-record-levels/?ref=consumernews.ai), and the [K-shaped credit strain](https://www.cnbc.com/2026/05/12/new-york-fed-credit-card-debt-stands-at-1point25-trillion.html?ref=consumernews.ai).
### **Hormuz framework reached but blockade holds**
President Trump and Iranian negotiators agreed on broad principles for reopening the Strait of Hormuz, though the deal stopped well short of a peace treaty, a nuclear accord or a missile pact. Iran walked back its demand for transit tolls, saying it "would not impose tolls" on shipping through the strait, and agreed in principle to dispose of roughly 11 tons of uranium enriched to 60 percent purity, [according to The New York Times](https://www.nytimes.com/live/2026/05/24/world/iran-war-trump?ref=consumernews.ai). Tehran also gave a verbal commitment to suspend any new enrichment while talks continue.
Secretary of State Marco Rubio described the weekend talks as productive, telling reporters "we have what I think is a pretty solid thing on the table" and adding that the administration "has a Plan B" should Iran refuse to sign, [per CBS News live updates](https://www.cbsnews.com/live-updates/iran-war-trump-us-peace-talks-strait-of-hormuz-control/?ref=consumernews.ai). Rubio reiterated that any "tolling system" on the waterway remains unacceptable to Washington.
Critically, the disposal mechanism for the enriched uranium has not been agreed and Supreme Leader Ali Khamenei has not personally endorsed the framework, leaving the blockade — what U.S. Central Command on Sunday called still "in full force and effect until an agreement is reached, certified and signed" — fully intact.
Mr. Trump struck a deliberate tone on Truth Social, urging negotiators "not to rush into a deal" because "time is on our side," insisting on a "good and proper one" unlike what he called the flawed 2015 Obama-era accord and warning "there can be no mistakes." Pakistan Army Chief Asim Munir is mediating between Beijing and Tehran, while Israeli Prime Minister Benjamin Netanyahu publicly insisted any final agreement must dismantle Iranian enrichment facilities outright. CENTCOM confirmed that since operations began April 13 it has repositioned 15,000 service members, 200 aircraft and 20 warships, redirected roughly 100 commercial ships from the strait, and allowed 25 humanitarian vessels through; four ships have been disabled.
Senator Roger Wicker, the Mississippi Republican, warned that backing off militarily now would mean "everything accomplished by Operation Epic Fury would be for nothing," while Maryland Democrat Chris Van Hollen countered, "when you're digging a hole, you should stop digging." Friday markets read the framework as a green light: the Dow closed up 0.7 percent at 50,643.74, the S&P 500 rose 0.6 percent to 7,492.84, the Nasdaq added 0.4 percent to 26,413.65, and crude oil dipped about 7 percent.
### **Memorial Day cookout is a wallet event**
The classic American backyard menu has become an inflation report. Ground beef and steak prices ran 16 percent above Memorial Day 2025, hot dogs were up 11 percent and tomatoes climbed a stunning 40 percent, [CNBC reported](https://www.cnbc.com/2026/05/23/memorial-day-weekend-prices-inflation-war.html?ref=consumernews.ai) in a holiday weekend roundup.
Lettuce was 8 percent higher, condiments rose 4 percent, desserts gained 5 percent, soft drinks added 3.7 percent, beer ticked up 2.2 percent and coffee — squeezed by global supply problems — was 18 percent more expensive than a year ago. Drivers of the spike include shrinking U.S. cattle herds, rising fertilizer costs and the Iran conflict's ripple into freight and packaging.
Bank of America economist Stephen Juneau said shoppers heading to the meat counter and produce section "are going to be displeased with what they encounter," predicting "a lot of complaints this weekend." McDonald's chief executive Chris Kempczinski described the operating environment as "difficult," echoing a broader corporate refrain.
The University of Michigan's consumer sentiment index fell on Friday to its lowest recorded level, even as cosmetics maker E.l.f. Beauty said it would reverse some recent price increases to protect demand. The pressure starts upstream: grocery prices in the "food at home" category jumped 0.7 percent in April from March — the biggest monthly increase in roughly four years — and were up 2.9 percent year over year, with fresh vegetables a stunning 44 percent more expensive than April 2025, [according to NBC News](https://www.nbcnews.com/business/consumer/grocery-prices-jumped-april-iran-war-gas-rcna344762?ref=consumernews.ai). Overall inflation now sits at 3.8 percent, the highest reading since 2023.
### **Pump prices punch through $4.55 and analysts warn of more**
Gasoline closed the holiday weekend at a national average of $4.55 a gallon, up more than 50 percent since the conflict began on Feb. 28 and 28 percent above the same week last year, [CNBC reported](https://www.cnbc.com/2026/05/22/gas-price-iran-war-strait-hormuz-memorial-day.html?ref=consumernews.ai). U.S. crude is up roughly 40 percent from its pre-war level.
GasBuddy head of petroleum analysis Patrick De Haan said a $5 national average is plausible in June and warned that "prices may not stabilize until well into 2027," even if Hormuz traffic resumes in the coming weeks. Energy consultant David Goldwyn was blunter on the freight side: "We're likely already facing $6 diesel, possibly $7 diesel."
The president has shown no appetite for a price-driven climbdown. "I don't think about Americans' financial situation," Mr. Trump said when pressed on pump prices Friday. "I focus on one thing: We cannot allow Iran to develop a nuclear weapon."
That posture has put the administration on a political collision course with diesel-dependent industries — trucking, agriculture, construction — and with retailers who depend on freight margins. Friday's 7 percent oil pullback on news of the framework offered some hope, but refiners, traders and the AAA all cautioned that the savings, if they come, will take weeks to filter from crude to retail tanks.
### **Travel records fall despite the bill**
Americans ignored the sticker shock and traveled anyway. AAA projected 45 million people would venture at least 50 miles from home over the long weekend, with more than 39 million driving despite gasoline running roughly $1.38 a gallon higher than last Memorial Day, [CBS News Texas reported](https://www.cbsnews.com/texas/video/gas-prices-airfare-surge-as-memorial-day-travel-hits-record-levels/?ref=consumernews.ai).
The Transportation Security Administration was on pace to screen millions of fliers through Monday, and Dallas-Fort Worth International — which on Friday clocked 25-minute checkpoint waits — was a national bellwether for how stretched the system has become.
Airfares rose 20 percent from Memorial Day 2025, and lodging costs climbed 4.3 percent over the same period. The bifurcation in who is traveling matches the bifurcation in who is hurting: airline executives have spent the spring earnings cycle describing strong premium and international demand while domestic main-cabin bookings soften.
Hotel chains reported similar splits, with luxury and resort properties outpacing budget brands. The headline numbers, however, are unambiguous — never have Americans paid more, in nominal dollars, to take a holiday road trip or a Memorial Day flight.
### **A K-shaped consumer leans harder on plastic**
The New York Federal Reserve's first-quarter household debt report, released earlier this month, captured the squeeze underneath the holiday data. Credit-card balances stood at $1.25 trillion at the end of March — down about $25 billion from the fourth quarter, the usual seasonal paydown after the winter holidays, but still up 5.9 percent year over year, [according to CNBC](https://www.cnbc.com/2026/05/12/new-york-fed-credit-card-debt-stands-at-1point25-trillion.html?ref=consumernews.ai).
Survey work cited alongside the data found 53 percent of consumers are now carrying card balances to cover everyday essentials like groceries and gasoline, and 57 percent said they would need six months or more to pay those balances off.
"The recent surge in gasoline prices could lead to higher delinquency rates," Principal Asset Management economist Christian Floro warned, flagging the gap between front-line consumer stress and the more resilient picture in higher-income households still benefiting from equity-market gains.
With the University of Michigan sentiment index at record lows, McDonald's flagging traffic, and shoppers hunting for ground beef and tomatoes that cost a tenth to two-fifths more than last spring, the macroeconomic shorthand for 2026 has crystallized: a K-shaped economy in which the top of the income distribution travels, dines and invests while the bottom borrows to barbecue.
### **The bigger picture**
The five stories converge on a single proposition: the Iran conflict has become the dominant macro variable for American households heading into summer, and Memorial Day 2026 is the first holiday to be fully priced under wartime conditions. A framework on Hormuz may unlock relief at the pump by July; it will not, by itself, rebuild cattle herds, refill fertilizer pipelines or restore the freight-margin assumptions that retailers built into shelf prices for the back half of the year.
Until the blockade lifts, the disposal of Iran's enriched uranium is verified and the Supreme Leader's signature is on paper, the working assumption in boardrooms, kitchens and gas-station forecourts is the same — costs stay high, plastic gets stretched, and the K keeps widening. Whether the relief promised by the weekend framework actually arrives, and how fast, will define the consumer story for the rest of 2026.
### Trump fintech order could reshape how Americans move money — and who controls the system
URL: https://www.consumernews.ai/trump-fintech-order-could-reshape/
Last updated: 2026-06-19T19:15:44.000Z
**Three things to know:**
- A new [White House executive order](https://www.whitehouse.gov/presidential-actions/2026/05/integrating-financial-technology-innovation-into-regulatory-frameworks/?utm%5Fsource=chatgpt.com) could make it easier for fintech and crypto firms to plug directly into the Federal Reserve’s payment system.
- Supporters say the move could speed up payments, lower costs and increase competition with big banks.
- Critics warn it could weaken safeguards against fraud, money laundering and financial instability.
Lost in the commotion over White House ballroom construction, a triumphal arch and a $1 billion “slush fund” for Trump supporters, the Trump administration this week launched what potentially amounts to the biggest shakeup in financial technology policy in years, ordering federal regulators to remove barriers that officials say are blocking innovation in digital payments and financial services.
[Subscribe](#/portal/signup)
Those are the same barriers that are intended to protect consumers from fraud, hidden fees, predatory lending and other hazards.
At the center of the move is a push to give fintech companies — including some digital payment and crypto firms — greater access to the Federal Reserve’s payment infrastructure, the behind-the-scenes network banks use to move trillions of dollars every day.
> Consumer advocates say Trump is opening to door to lighter regulation that would enable predatory lending, hidden fees, high interest rates and fewer protections against consumer losses.
Fintech companies — like PayPal, SoFi and Stripe — use apps, software, websites, artificial intelligence, cloud computing, or digital networks to handle activities such as:
- Payments and money transfers;
- Banking and savings;
- Loans and credit;
- Investing and trading;
- Insurance;
- Budgeting and personal finance; and
- Cryptocurrency and digital assets;
Fintech companies often compete with or partner with traditional banks. Many operate mainly through mobile apps and websites rather than physical branches.
### Trump wants to let them loose
The executive order, signed this week by President Trump, directs regulators to review rules, supervisory practices and licensing systems that the White House says favor large incumbent banks and slow financial innovation.
In plain English, the administration wants to make it easier for nontraditional financial companies to operate more like banks — especially when it comes to moving money electronically.
### Why consumers may notice
For consumers, the biggest practical effect could be faster and potentially cheaper digital payments.
Today, many fintech firms — including payment apps and digital financial platforms — rely on partner banks to connect to the Federal Reserve’s payment rails. Those middlemen can add delays, fees and compliance hurdles.
Under the administration’s plan, some fintechs could eventually gain more direct access to the Fed’s systems, allowing transactions to clear more quickly and at lower cost.
Supporters say that could help:
- speed up paycheck deposits;
- reduce transfer fees;
- improve instant payment services;
- increase competition against major banks; and
- expand access to digital financial products.
The White House said the goal is to “streamline regulatory processes” and remove “unnecessary barriers to entry.”
Industry groups applauded the move almost immediately. The [Financial Technology Association](https://www.ftassociation.org/fta-applauds-president-trumps-executive-order-directing-agencies-to-integrate-fintech-into-regulatory-frameworks/?utm%5Fsource=chatgpt.com) said the order signals support for “a competitive, innovative, and modern financial system.”
### What exactly is changing?
The executive order itself does not immediately rewrite banking rules.
Instead, it orders agencies including the CFPB, FDIC, OCC, SEC and others to review regulations that may be discouraging fintech growth or limiting partnerships between banks and technology firms.
It also specifically asks the [Federal Reserve](https://www.federalreserve.gov/) to examine whether more nonbank financial firms should gain access to Fed payment accounts and services.
Those accounts — often called “master accounts” — are essentially special banking relationships with the Federal Reserve itself.
Historically, access has largely been limited to traditional banks. But pressure from fintech and crypto companies has intensified in recent years as digital payments exploded in popularity.
The issue gained momentum after crypto exchange Kraken reportedly obtained a limited Fed account earlier this year after a years-long application process. Other firms including Ripple, Anchorage Digital and Wise are reportedly pursuing similar access.
### The fight behind the scenes
The proposal has triggered a growing battle between fintech firms, crypto companies, regulators and traditional banks.
Large banks have long argued that giving lightly regulated companies direct access to the Fed’s systems could create major risks if those firms fail or experience cyberattacks, liquidity problems or fraud incidents.
Some regulators appear worried as well.
Federal Reserve Governor Michael Barr [publicly dissented](https://www.reuters.com/business/finance/fed-proposes-establish-limited-payment-accounts-2026-05-20/?utm%5Fsource=chatgpt.com) from the Fed’s new proposal for limited-access payment accounts, warning that the plan may lack sufficient safeguards against illicit finance and anti-money-laundering violations.
Critics also fear the changes could blur the line between regulated banks and nonbank tech companies that may not face the same oversight standards.
Consumer advocates have raised broader concerns in recent years about fintech firms operating in regulatory gray areas, particularly involving:
- high-interest lending;
- buy-now-pay-later products;
- data privacy;
- crypto-related losses; and
- hidden fees or weak fraud protections.
### What happens next?
The executive order sets deadlines for regulators and the Federal Reserve to report back with recommendations later this year.
Meanwhile, the Federal Reserve has already proposed creating a new category of limited payment account specifically designed for fintech and crypto firms. Those accounts would provide some access to the payment system but stop short of granting all the privileges traditional banks receive.
For now, consumers are unlikely to see immediate changes in their banking apps or payment services.
But the order signals a major policy shift in Washington: the federal government is increasingly willing to integrate fintech and digital asset firms deeper into the core U.S. financial system, according to [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/05/21/white-house-executive-order-signals-major-shift-in-federal-policy-for-fintechs-and-payment-systems/?utm%5Fsource=chatgpt.com).
Whether that ultimately lowers costs and improves convenience for consumers — or introduces new risks into the financial system — will depend on how aggressively regulators move and how much oversight remains in place.
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### A record 45.1 million travelers — at $4.56 a gallon
URL: https://www.consumernews.ai/a-record-451-million-travelers-at/
Last updated: 2026-06-19T19:15:44.000Z
AAA expects a record 45.1 million Americans to travel between Thursday and Monday, breaking a holiday-weekend mark that had stood since 2005, [NBC News reported](https://www.nbcnews.com/news/us-news/memorial-day-weekend-travel-records-rcna208633?ref=consumernews.ai). More than 38 million of them will drive — the most Memorial Day motorists AAA has ever counted.
About 3 million more will fly across nearly 54,000 scheduled flights, up about 2 percent from a year ago. The Transportation Security Administration projects it will screen more than 18 million passengers and crew members between Tuesday and Wednesday alone, [The New York Times reported in its holiday travel forecast](https://www.nytimes.com/2026/05/22/travel/memorial-day-flights-rental-car-gas-prices.html?ref=consumernews.ai).
What the drivers are paying for is the part that has changed. The national average for regular gasoline opened the week at $4.56 a gallon, [according to AAA figures cited by the Times](https://www.nytimes.com/2026/05/22/travel/memorial-day-flights-rental-car-gas-prices.html?ref=consumernews.ai) — a year ago, the same gallon cost about $3.18\. California drivers are paying $6.11 a gallon, Washington $5.71 and Hawaii $5.62, [GasBuddy data in the Times piece show](https://www.nytimes.com/2026/05/22/travel/memorial-day-flights-rental-car-gas-prices.html?ref=consumernews.ai). Only Texas, at $3.92, is anywhere near pre-war territory.
### Stultifying traffic predicted
The traffic forecast is brutal. INRIX expects Friday between 3 p.m. and 6 p.m. and Monday afternoon to bring more than double normal volumes on key corridors. The 70-mile drive from Boston to Hyannis, [the Times noted](https://www.nytimes.com/2026/05/22/travel/memorial-day-flights-rental-car-gas-prices.html?ref=consumernews.ai), is forecast to run close to three hours instead of the usual 1 hour and 15 minutes.
The airlines, for their part, are bracing for a summer of their own: American Airlines expects a record 75 million passengers between May 21 and Sept. 8, United is planning for three million more customers than last summer, and Delta said it will fly its largest trans-Atlantic schedule ever, adding service to Malta and Sardinia.
Memorial Day began as “Decoration Day” after the Civil War to honor Union war dead, then gradually evolved into a national day of remembrance for all Americans who died in military service.pbs+2
## What the holiday honors
Memorial Day grew out of local springtime customs in the late 1860s, when communities across the North and South decorated soldiers’ graves with flowers, flags, and wreaths.
One early and often-cited observance took place in Charleston, South Carolina, on May 1, 1865, when formerly enslaved people organized a ceremony and reburial to honor Union soldiers who had died in a prison camp there.
## “Decoration Day” and 1868 national proclamation
On May 5, 1868, Gen. John A. Logan, leader of the Union veterans’ group Grand Army of the Republic, issued General Order No. 11 calling for a nationwide “Decoration Day” to decorate the graves of Civil War dead.
He set May 30, 1868, for the first large national observance, likely because flowers would be in bloom across the country.
By the late 1800s, most Northern states were observing Decoration Day annually, and by 1890 every Northern state had made it an official state holiday, while many Southern states held separate memorial days for Confederate dead.
## From Civil War dead to all war dead
Originally, Decoration Day honored only those who died in the Civil War.facebook
After World War I, the observance broadened to commemorate Americans who died in all wars, including later conflicts such as World War II, Korea, Vietnam, and more recent wars.
Over time, “Decoration Day” gradually came to be known as “Memorial Day,” a name that appears with increasing frequency in the early 20th century and was widely used after World War II.
For about a century the date remained May 30, but in 1968 Congress passed the Uniform Monday Holiday Act, moving Memorial Day to the last Monday in May to create a three-day weekend; the change took effect in 1971.
### National Recall Roundup, May 21
URL: https://www.consumernews.ai/national-recall-roundup-may-21/
Last updated: 2026-06-19T19:15:44.000Z
## **CPSC – Children’s products, furniture, fitness**
## **Lil Pick Up youth ATVs**
The U.S. Consumer Product Safety Commission said Thursday that Lil Pick Up is recalling about 700 youth all‑terrain vehicles because of a risk of serious injury or death.
The agency said the ATVs do not comply with federal safety standards for youth vehicles and can pose crash and injury hazards to young riders.
Consumers are urged to stop using the ATVs immediately and contact Lil Pick Up for repair, replacement or refund options as outlined in the recall notice.
---
## **ABC Trading children’s toys and light‑up glasses**
CPSC announced a separate recall of about 84,700 children’s toys imported by ABC Trading because button batteries can be accessed by children, creating a risk of serious injury or death if swallowed.
The toys fail to meet federal requirements for secure battery compartments, and the agency warned that ingestion of button batteries can cause internal burns and other severe medical outcomes.
About 2,900 pairs of ABC Trading WSDZ light‑up glasses are also being recalled for the same battery ingestion hazard, with consumers told to stop using the products and contact the company for remedies.
---
## **PandaEar portable hook‑on chairs**
PandaEar is recalling about 9,700 portable hook‑on high chairs sold for infants and toddlers because the chairs can detach or otherwise fail, posing fall and injury hazards, CPSC said.
The agency said caregivers should stop using the chairs and contact PandaEar for information on refunds or replacement options provided under the recall.
---
## **HomeProGym resistance bands**
CPSC said HomeProGym is recalling about 700 resistance band sets because the bands can snap or detach while in use, presenting an impact hazard that can cause serious injury.
The commission urged consumers to immediately stop using the resistance bands and to contact HomeProGym for details on refunds or replacements.
---
## **Orb “Funkee” squeeze toys**
About 121,340 Orb “Funkee” squeeze toys are being recalled because they contain asbestos, creating a risk of serious injury or death from asbestos exposure, according to CPSC.
The agency said consumers should take the toys away from children and follow Orb’s instructions for returning or disposing of the products and obtaining a refund.
---
## **FDA – Medical device recall notice**
## **Omnicell automated compounding system syringe labels**
The Food and Drug Administration said Thursday that Omnicell has initiated a recall involving syringe labels used with its i.v.STATION automated compounding system.
The Center for Devices and Radiological Health listed the action under its May 21, 2026 updates, indicating that the company is removing affected syringe labels from the market.
FDA directed healthcare providers to follow Omnicell’s instructions to identify and remove recalled labels to prevent medication compounding or dosing errors.
### Trump immigration banking order draws warnings of mass debanking
URL: https://www.consumernews.ai/trump-immigration-banking-order-draws/
Last updated: 2026-06-19T19:15:45.000Z
A new Trump administration executive order targeting financial services for immigrants is drawing sharp criticism from consumer advocates, immigrant-rights groups and some banking organizations, who warn the move could cut millions of people off from the mainstream financial system.
The [National Consumer Law Center](https://www.nclc.org/?ref=consumernews.ai) said the order could lead to widespread “debanking” of immigrant communities by forcing banks and lenders to scrutinize immigration status more aggressively when opening accounts or issuing loans.
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“This ill-conceived executive order will radically destabilize the U.S. financial system and force debanking on an unprecedented scale,” Diane Thompson, deputy director at NCLC, said in a statement.
The White House says the order is intended to strengthen anti-fraud safeguards, improve customer identification standards and address financial risks tied to undocumented immigration, according to the [ABA Banking Journal](https://bankingjournal.aba.com/2026/05/new-executive-orders-target-banks-and-citizenship-nonbank-access-to-fed-services/?utm%5Fsource=chatgpt.com).
According to an administration fact sheet, regulators are being directed to review Bank Secrecy Act rules, strengthen customer due diligence requirements and consider changes involving foreign consular identification cards used by some immigrants to access banking services.
### What the order could change
Consumer advocates say the practical effect could be far-reaching.
Under the executive order, federal regulators are being asked to review rules governing checking accounts, mortgages, auto loans, credit cards and other consumer financial products.
The order also directs the Consumer Financial Protection Bureau to consider whether deportation risk should factor into “ability-to-repay” lending standards.
NCLC says that could make lenders reluctant to issue mortgages or other loans to immigrants — including many legally present residents — out of fear they could later lose legal status or income.
> “People must not be denied mortgages based on assumptions about their immigration status,” said Alys Cohen, director of federal housing advocacy at NCLC.
Consumer groups warn that even immigrants with legal work authorization or mixed-status families could avoid banks altogether if they fear their financial information could be used for immigration enforcement.
“Removing the ability of immigrants to hold secure bank accounts and send payments to family members in need is misguided and cruel,” said Carla Sanchez-Adams, senior attorney at NCLC.
### Banks warn against uneven regulation
The banking industry has responded cautiously, but the [American Bankers Association](https://www.aba.com/?ref=consumernews.ai) signaled concern that expanding financial access rules for some nonbank firms while tightening scrutiny elsewhere could create risks for consumers and the financial system.
ABA President Rob Nichols said banks support efforts to combat financial crime but warned that all companies offering bank-like services should be held to the same regulatory and consumer-protection standards.
“Unless everyone is held to the same high standards, the financial system and consumers will be at risk,” Nichols said.
The administration argues the order is necessary to prevent fraud and protect taxpayer-funded systems from abuse.
The White House also says stronger verification systems will help ensure federal resources are reserved for U.S. citizens and lawful residents.
### Consumer advocates fear cash economy expansion
Critics say pushing immigrants away from traditional banks could backfire economically and create new consumer risks.
Advocates warn that households without access to insured bank accounts are more likely to rely on expensive check cashers, payday lenders and informal cash networks. They also face greater risks of theft, fraud and financial instability.
NCLC said forcing families to keep cash outside banks could undermine neighborhood economies and increase financial insecurity in immigrant-heavy communities.
The group also warned that broader “debanking” fears could discourage eligible consumers from applying for mortgages, opening savings accounts or using mainstream credit products.
[Research groups](https://www.nilc.org/articles/five-things-to-know-about-the-executive-order-targeting-immigrants-and-federal-assistance-programs/?utm%5Fsource=chatgpt.com) have long warned that aggressive immigration-related verification systems can create “chilling effects” that extend beyond undocumented immigrants to legal residents and even U.S. citizens in mixed-status households.
### Affordability Watch
The battle over immigrant access to banking comes as millions of households — immigrant and non-immigrant alike — continue struggling with high housing costs, rising food prices and elevated borrowing rates.
Consumer advocates say limiting access to safe bank accounts and affordable credit could worsen financial instability for already vulnerable families.
“This administration should be directing its resources to resolving the worsening affordability crisis that’s putting groceries, gas, and healthcare beyond the reach of most working people,” Thompson said.
The executive order is expected to trigger months of regulatory reviews, guidance changes and possible rulemaking across federal banking agencies.
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### Trump fintech order sparks warnings over predatory lending, consumer protections
URL: https://www.consumernews.ai/trump-fintech-order-sparks-warnings/
Last updated: 2026-06-19T19:15:45.000Z
The [National Consumer Law Center](https://www.nclc.org/?utm%5Fsource=chatgpt.com) is warning that a sweeping new Trump administration executive order aimed at promoting financial technology innovation could expose consumers to higher-cost loans, weaker safeguards and greater financial risk.
The order, signed this week by President Donald Trump, directs federal financial regulators to review and potentially loosen rules governing fintech companies, bank partnerships and access to the nation’s payments infrastructure.
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Consumer advocates say the move could accelerate so-called “rent-a-bank” arrangements in which nonbank lenders partner with federally chartered banks to bypass state interest-rate caps and offer triple-digit-interest loans nationwide.
> “This order is an assault on consumers and on federal and state laws that protect people from high-cost loans and other risky products,” Lauren Saunders, senior attorney at NCLC, said in a [statement](https://www.nclc.org/trump-fintech-order-will-promote-predatory-lending-endanger-consumer-funds/?ref=consumernews.ai).
According to NCLC, the administration is simultaneously considering national bank charter applications from lenders including [Enova](https://www.theoutragedconsumer.com/p/high-cost-lender-enova-wants-to-be?utm%5Fsource=publication-search) and [OppFi,](https://www.theoutragedconsumer.com/p/consumer-groups-urge-congress-to?utm%5Fsource=publication-search) companies critics say have offered loans with annual percentage rates ranging from 100% to 300%. ([NCLC](https://www.nclc.org/trump-fintech-order-will-promote-predatory-lending-endanger-consumer-funds/?utm%5Fsource=chatgpt.com))
### “Modernization effort”
The White House defended the order as a modernization effort designed to make financial services cheaper and more accessible.
In a [fact sheet](https://www.whitehouse.gov/fact-sheets/2026/05/fact-sheet-president-donald-j-trump-integrates-financial-technology-innovation-into-regulatory-frameworks/?utm%5Fsource=chatgpt.com) accompanying the order, the administration said current rules “favor incumbents at the expense of innovators” and argued that fintech firms can provide “low-cost and efficient access to financial markets.”
The administration also said the order would help integrate digital assets and modern payment technologies into the financial system while maintaining “safety and soundness.”
## Fight over state rate caps
At the center of the debate is whether fintech-bank partnerships allow lenders to evade state usury laws.
Most states cap interest rates on small-dollar consumer loans, often around 36% APR. Consumer groups argue fintech lenders increasingly partner with out-of-state banks to claim federal preemption from those caps.
NCLC said the executive order could make those partnerships easier and faster to approve.
### A fierce battle
The issue has become one of the hottest battlegrounds in consumer finance.
In recent months, California regulators battled OppFi over whether a partner bank was the “true lender” behind high-interest loans, while industry groups have argued fintech partnerships expand credit access to borrowers who might otherwise be shut out of traditional banking, as [Ballard Spahr](https://www.ballardspahr.com/insights/alerts-and-articles/2026/03/05-mortgage-banking-update?utm%5Fsource=chatgpt.com) reported.
> Consumer advocates counter that many fintech products resemble traditional payday loans with new branding.
A 2023 joint analysis by NCLC and the [Center for Responsible Lending](https://www.responsiblelending.org/?utm%5Fsource=chatgpt.com) found some fintech cash advances carried effective APRs exceeding 200% or even 600% for ultra-short-term loans.
### Crypto concerns
The order is also drawing scrutiny for encouraging broader integration of crypto and digital-asset firms into the financial system.
Among other provisions, the order asks the Federal Reserve to review whether uninsured institutions and nonbank fintech companies should gain broader access to Federal Reserve payment services and accounts.
NCLC attorney Carla Sanchez-Adams warned that consumers could mistake fintech or crypto-linked accounts for federally insured bank accounts.
“These accounts can mimic bank accounts but without clear consumer protections against fraud or deposit insurance,” Sanchez-Adams said.
The White House argues expanded access could promote competition and innovation in payments.
### Consumer advocates split over fintech
Not all consumer-oriented groups oppose fintech innovation itself, but many are warning against loosening oversight too aggressively.
The [National Community Reinvestment Coalition](https://www.ncrc.org/?utm%5Fsource=chatgpt.com) said the executive order “dresses up deregulation as innovation” and could allow fintech firms to gain access to banking infrastructure without equivalent obligations to consumers and communities.
Still, fintech firms and industry advocates have long argued that digital lending platforms can reduce borrowing costs, speed approvals and expand access to credit for consumers and small businesses underserved by traditional banks.
The Trump administration echoed that argument, saying the order would “help drive down costs and create greater economic opportunities for hardworking Americans.”
### Debt Watch
The fight comes as Americans continue to grapple with elevated debt burdens, higher interest rates and persistent affordability pressures.
Consumer advocates say those conditions create fertile ground for high-cost lending products marketed as emergency cash solutions.
NCLC warned that weaker oversight could be especially dangerous now because the Consumer Financial Protection Bureau has been significantly weakened under the current administration.
Industry groups, meanwhile, argue tighter regulation can also reduce credit availability and increase borrowing costs for consumers with limited options.
The executive order is expected to trigger months of regulatory reviews and potential rule changes across banking and financial agencies.
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### Kochava banned from selling consumers' private, sensitive location data
URL: https://www.consumernews.ai/kochava-banned-from-selling-consumers/
Last updated: 2026-06-19T19:15:46.000Z
The Federal Trade Commission will [prohibit](https://www.ftc.gov/news-events/news/press-releases/2026/05/ftc-ban-kochava-subsidiary-selling-sensitive-location-data-settle-charges-they-sold-location-data?utm%5Fsource=chatgpt.com) data broker [Kochava](https://www.kochava.com/?ref=consumernews.ai) from selling, sharing or disclosing sensitive location data without consumers’ affirmative express consent to settle allegations the companies sold location data from hundreds of millions of mobile devices that could be used to trace the movements of individuals.
The FTC [sued Idaho-based Kochava in August 2022](https://www.ftc.gov/news-events/news/press-releases/2022/08/ftc-sues-kochava-selling-data-tracks-people-reproductive-health-clinics-places-worship-other?ref=consumernews.ai) alleging that its collection, use and disclosure of precise location data invaded consumers’ privacy by revealing their movements, including visits to sensitive locations such as health facilities and places of worship.
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[Kochava](https://www.kochava.com/?utm%5Fsource=chatgpt.com) is a mobile advertising and data analytics company based in Idaho that specializes in tracking how people use apps and respond to digital ads. It operates in the “ad tech” and data broker industry, helping marketers measure whether an ad led someone to install an app, visit a store, or make a purchase.
### Consumers’ privacy at risk
In recent years, Kochava and its subsidiary Collective Data Solutions (CDS) became much better known because of privacy lawsuits and investigations over its handling of cellphone location data. The Federal Trade Commission accused the company of selling highly detailed geolocation information tied to millions of mobile devices — data that could allegedly be used to track visits to places such as:
- reproductive health clinics
- houses of worship
- addiction treatment centers
- domestic violence shelters
The FTC argued that this exposed consumers to risks including stalking, discrimination, and harassment.
The case became one of the most closely watched privacy fights in the U.S. data broker industry because it tested whether the government could treat the sale of sensitive location data as an “unfair practice” under consumer protection law.
In the settlement with the FTC, Kochava and CDS agreed to be barred from selling sensitive location data without explicit consumer consent and would have to implement stronger controls, deletion policies, and consumer opt-out rights.
More broadly, Kochava is part of the largely invisible ecosystem of companies that collect and trade data generated by smartphones, apps, advertising systems, and online activity. Much of this industry revolves around “mobile advertising IDs” — identifiers attached to phones that allow advertisers and analytics firms to follow behavior across apps and locations.
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### Memorial Day weekend opens at $4.56 a gallon — and GasBuddy sees $4.80 by September
URL: https://www.consumernews.ai/memorial-day-weekend-opens-at-456/
Last updated: 2026-06-19T19:15:46.000Z
###
By the time Americans pulled into gas stations Wednesday for the Memorial Day getaway, AAA’s national average sat at $4.56 a gallon — more than $1.40 above a year earlier and more than 50 percent above where prices stood before the late-February U.S. and Israeli strikes on Iran, [CBS News reported](https://www.cbsnews.com/news/gas-prices-memorial-day-2026-iran-war/?ref=consumernews.ai).
GasBuddy now forecasts an average of $4.80 a gallon for the stretch between Memorial Day and Labor Day, with the all-time high of $5.02 in play if the Strait of Hormuz remains closed deep into summer.
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“This is the most volatile summer at the pump in years,” GasBuddy’s Patrick De Haan said in [the same forecast](https://www.cbsnews.com/news/gas-prices-memorial-day-2026-iran-war/?ref=consumernews.ai). “Americans are going to pay billions more to get where they’re going this summer, and even after the strait reopens, it could take a year or more for prices to fully recover.”
> More than half of Americans now describe gas prices as a financial hardship in CBS’s most recent poll, and 77 percent say their income is not keeping up with inflation.
The driving still has not stopped. The Transportation Security Administration is staffing up for what is expected to be one of its busiest weekends of the year, with travel volumes climbing despite the price shock — a pattern motorists, airlines and the Fed are all watching closely.
Higher fuel costs, summer-blend refining add-ons of up to 15 cents a gallon and stronger seasonal demand will layer on top of any further crude moves.
### Time to spare, go by air
Air travel this Memorial Day weekend looks busy but manageable: AAA projects about 3.66 million people will fly domestically, which is a slight increase from last year and part of a record holiday travel period overall. The busiest days are expected to be Thursday and Friday, and FAA forecasts are pointing to near-record or record flight levels, with Thursday’s peak around 54,000 flights.
### What to expect
- Crowded airports and fuller flights are likely, especially at major leisure destinations like Orlando.
- The average round-trip domestic airfare is projected around $800, about 6% lower than last year, although costs remain elevated overall, [Yahoo](https://www.yahoo.com/news/us/article/memorial-day-traveler-forecast-45-million-americans-expected-to-travel-over-holiday--another-record-165315786.html?ref=consumernews.ai) reports.
- TSA and airline data suggest heavy passenger volumes across the holiday window, so security lines and boarding delays are more likely than usual.
## Delay risk
Weather and air-traffic-system constraints are the main reasons delays could build, especially at the busiest airports and on peak travel days. Recent reporting also notes that the air-traffic system is under strain, which could make disruptions more noticeable even if flights remain safe.
### Practical takeaway
If you’re flying, the best strategy is to avoid Thursday and Friday departures if you can, arrive earlier than usual, and expect longer waits at security and at the gate.
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### Nvidia delivers a $42 billion quarter, Target snaps its slump, and a Fed minutes leak puts a rate hike back on the table heading into a $4.56 holiday weekend
URL: https://www.consumernews.ai/nvidia-delivers-a-42-billion-quarter-target-snaps-its-slump-and-a-fed-minutes-leak-puts-a-rate-hike-back-on-the-table-heading-into-a-4-56-holiday-weekend/
Last updated: 2026-05-21T14:27:54.000Z
*By Perplexity*
Two giant earnings reports landed on the same evening and pointed in opposite directions for the American consumer. Nvidia booked $81.62 billion in revenue and authorized $80 billion in buybacks while telling investors it has "largely conceded" China. Target — the company most associated with the consumer slowdown of the past four years — finally snapped a five-quarter streak of falling same-store sales.
In between, the Federal Reserve released minutes that broke a single, unmistakable way: the next move may be a rate hike, not a cut. That is the backdrop heading into a Memorial Day weekend with the national gas average at $4.56, a GasBuddy summer forecast at $4.80, and a White House that came within an hour of striking Iran on Monday.
Five stories, one consumer through-line — and almost all of it traces back to a strait of water 7,000 miles away that no American driver, homeowner or shopper has ever seen.
### **Nvidia books an $81.6 billion quarter, then walks away from China**
Nvidia's first-quarter results, posted after Wednesday's close, came in big enough to reset the market's mental math on artificial-intelligence demand. Revenue rose 85 percent year over year to $81.62 billion, with net income of $42.96 billion and earnings of $0.76 per share, according to [CNBC's live coverage of the report](https://www.cnbc.com/2026/05/20/nvidia-nvda-earnings-report-q1-2027.html?ref=consumernews.ai). Gross margin held at 75 percent. Free cash flow reached $48.6 billion in a single quarter. Data center revenue alone hit $75.2 billion, doubling from a year earlier and accounting for 92 percent of sales. Edge computing — the bucket that now houses gaming, PCs and robotics — added another $6.4 billion.
Guidance was the part that moved the stock. The company told investors to expect $91 billion in revenue for the current quarter, well above the $86.7 billion analyst consensus, while explicitly stating it does not anticipate any data-center compute revenue from China in that outlook, [CNBC reported](https://www.cnbc.com/2026/05/20/nvidia-nvda-earnings-report-q1-2027.html?ref=consumernews.ai). The board authorized $80 billion in share repurchases and raised the cash dividend to 25 cents from a single penny.
Chief Executive Jensen Huang used the post-earnings interview to make the China abandonment official. "Huawei is extremely robust. They have experienced a record year, and they are likely to have an exceptional year ahead. Their local ecosystem of chip manufacturers is thriving, especially since we have withdrawn from that market," Huang told [CNBC's Sara Eisen](https://www.cnbc.com/2026/05/21/nvidia-jensen-huang-china-ai-chip-market-huawei.html?ref=consumernews.ai). "We have effectively conceded that market to them." Huang said Nvidia has been engaged in China for 30 years, that the company would "be thrilled to serve that market" again, and that he has "advised all our analysts and investors to anticipate nothing" from there for now.
The retail-investor read on Nvidia matters because the stock is now a household holding. Nvidia sits at roughly a $5.5 trillion market value, [according to The New York Times](https://www.nytimes.com/2026/05/20/business/nvidia-earnings.html?ref=consumernews.ai), and is the largest position in many index funds owned through 401(k)s. A blowout from Nvidia is, in 2026, a wealth-effect event for tens of millions of American households.
### **Target snaps a five-quarter losing streak**
Target landed on the opposite end of the earnings calendar — and the consumer story — with a quarter that genuinely surprised Wall Street. Same-store sales rose 5.6 percent, the first positive comparable result in five quarters, [CNBC reported](https://www.cnbc.com/2026/05/20/target-tgt-q1-2026-earnings.html?ref=consumernews.ai). In-store and online traffic each rose 4.4 percent. Digital comparable sales jumped 8.9 percent, lifted by same-day delivery through the Target Circle 360 membership. Non-merchandise revenue surged nearly 25 percent on membership and the Target+ marketplace. Merchandise revenue of $24.89 billion was the largest the company has reported since November 2021.
Reported earnings came in at $781 million, or $1.71 per share, down from $1 billion and $2.27 a year ago. But the magnitude of the same-store turn was the headline, and management raised full-year sales guidance to 4 percent growth from 2 percent and said earnings per share would land at the upper end of its previous $7.50-to-$8 range, [per CNBC](https://www.cnbc.com/2026/05/20/target-tgt-q1-2026-earnings.html?ref=consumernews.ai).
CEO Michael Fiddelke, who took the top job last fall, struck a careful tone. "While we are encouraged by this initial progress, we recognize that our efforts are just beginning, and we are confident we are headed in the right direction because customers are responding positively in areas where we are focusing and implementing changes," he said on the [earnings call as reported by CNBC](https://www.cnbc.com/2026/05/20/target-tgt-q1-2026-earnings.html?ref=consumernews.ai). Fiddelke also told investors, "We observe a consumer base that remains resilient, despite encountering a blend of challenges and advantages in the first quarter," and added: "We will not mistake this progress for potential."
On tariffs, Chief Financial Officer Jim Lee told the same call that Target is "working through process" applying for tariff refunds and that "it is still too early to assess how policy changes are influencing margins." The company opened seven new stores in the quarter, has more than 100 remodels underway and is rolling out Target Beauty Studio to more than 600 stores. Capital spending for the year is projected at about $5 billion, up more than $1 billion.
### **Fed minutes leak the word everyone was waiting for: hike**
Hours before the two big earnings prints landed Wednesday, the Federal Reserve released the minutes of its April 28-29 meeting — Jerome Powell's final session as chair — and the document made an unmistakable shift. A majority of officials embraced the possibility of higher rates as their next move, [The New York Times reported](https://www.nytimes.com/2026/05/20/business/economy/fed-minutes-interest-rates.html?ref=consumernews.ai). The minutes said keeping "policy firm would likely \[be\] appropriate if \[inflation were\] to continue \[to\] run persist\[ently\] above \[the 2\] percent" target, language the Times reproduced from the document.
The April meeting had already been the most divided FOMC vote since October 1992, with four dissenters splitting an 8-4 hold on the 3.5-to-3.75 percent funds-rate range, [as CNBC noted](https://www.cnbc.com/2026/04/29/fed-interest-rate-decision-april-2026.html?ref=consumernews.ai). Three policymakers — Cleveland's Beth Hammack, Minneapolis's Neel Kashkari and Dallas's Lorie Logan — dissented against the "easing bias" in the policy statement, arguing for "a clearer indication that the next action could just as easily be a rate hike as a rate cut," [the Times wrote](https://www.nytimes.com/2026/05/20/business/economy/fed-minutes-interest-rates.html?ref=consumernews.ai). Governor Stephen Miran dissented in the other direction, in favor of a quarter-point cut.
The minutes confirmed what the bond market began pricing on Tuesday, when the 30-year Treasury yield touched 5.197 percent — its highest since July 2007 — and the 10-year hit 4.687 percent, the most since January 2025, [CNBC reported](https://www.cnbc.com/2026/05/19/treasurys-yields-inflation-traders-fed-interest-rates.html?ref=consumernews.ai). Yields backed off Wednesday — the 30-year to about 5.116 percent and the 10-year to 4.576 percent — but the directional shift is clear. "At the start of this year, everyone anticipated that rates would decline — that was part of the optimistic outlook. Now, it appears we are heading towards a rate increase," Lacamp, a senior vice president at Morgan Wealth Management, told [CNBC](https://www.cnbc.com/2026/05/19/treasurys-yields-inflation-traders-fed-interest-rates.html?ref=consumernews.ai). A separate Bank of America survey released the same day found that 62 percent of global fund managers now expect the 30-year yield to reach 6 percent — a level last seen in late 1999.
For consumers, the FOMC pivot lands directly on mortgages and credit. The 30-year fixed mortgage averaged 6.58 percent on Wednesday and 15-year fixed loans averaged 5.94 percent, [the Wall Street Journal's Bankrate dashboard showed](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-5-20-2026?ref=consumernews.ai). Fannie Mae now expects rates to stay above 6 percent through year-end, having forecast 5-handle rates as recently as winter. April inflation came in at 3.8 percent, the highest reading since early 2023, the Journal noted — and the data is what the Fed's dissenters keep pointing at.
### **Memorial Day weekend opens at $4.56 a gallon — and GasBuddy sees $4.80 by September**
By the time Americans pulled into gas stations Wednesday for the Memorial Day getaway, AAA's national average sat at $4.56 a gallon — more than $1.40 above a year earlier and more than 50 percent above where prices stood before the late-February U.S. and Israeli strikes on Iran, [CBS News reported](https://www.cbsnews.com/news/gas-prices-memorial-day-2026-iran-war/?ref=consumernews.ai). GasBuddy now forecasts an average of $4.80 a gallon for the stretch between Memorial Day and Labor Day, with the all-time high of $5.02 in play if the Strait of Hormuz remains closed deep into summer.
"This is the most volatile summer at the pump in years," GasBuddy's Patrick De Haan said in [the same forecast](https://www.cbsnews.com/news/gas-prices-memorial-day-2026-iran-war/?ref=consumernews.ai). "Americans are going to pay billions more to get where they're going this summer, and even after the strait reopens, it could take a year or more for prices to fully recover." More than half of Americans now describe gas prices as a financial hardship in CBS's most recent poll, and 77 percent say their income is not keeping up with inflation.
The driving still has not stopped. The Transportation Security Administration is staffing up for what is expected to be one of its busiest weekends of the year, with travel volumes climbing despite the price shock — a pattern motorists, airlines and the Fed are all watching closely. Higher fuel costs, summer-blend refining add-ons of up to 15 cents a gallon and stronger seasonal demand will layer on top of any further crude moves.
### **Iran negotiations stagger on, and the Senate quietly votes to clip the war powers**
The reason a single waterway determines what Americans pay for everything from gas to mortgages is that the war that closed it is still very much active. President Trump told reporters at the White House on Tuesday that he had been "an hour away" from ordering a fresh round of strikes on Iran before pulling back at the request of Gulf allies, [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-trump-peace-deal-attack-possible/?ref=consumernews.ai). "I tell you what, when we explain it to people, I don't really have enough time to explain to people," he said of the war's domestic support. "I'm too busy getting it done."
The same day, the Senate took a step it had failed to take seven prior times in this war: it voted 50-47 to discharge a war-powers resolution from committee. Four Republicans — Susan Collins of Maine, Lisa Murkowski of Alaska, Rand Paul of Kentucky and Bill Cassidy of Louisiana — joined Democrats, [CBS reported in the same live blog](https://www.cbsnews.com/live-updates/iran-war-trump-peace-deal-attack-possible/?ref=consumernews.ai). It was the first time Cassidy supported advancing such a resolution, and it came just days after he failed to make a runoff in the Louisiana GOP Senate primary against a Trump-endorsed opponent.
Treasury Secretary Scott Bessent, meanwhile, used a G7 finance ministers' "No Money for Terror" conference in Paris on Tuesday to launch what the administration is calling Operation Economic Fury — a coordinated push to "expose shell and front companies, close bank branches, and dismantle proxies" supporting Iran, [The New York Times reported](https://www.nytimes.com/2026/05/19/business/inflation-g7-economic-agenda-iran-war.html?ref=consumernews.ai). The State Department on Tuesday sanctioned 19 vessels and several Iranian currency-exchange houses, [per CBS](https://www.cbsnews.com/live-updates/iran-war-trump-peace-deal-attack-possible/?ref=consumernews.ai). Vice President JD Vance, asked at the White House whether he believes Tehran will actually sign a deal, replied: "I will not say with confidence that we're going to reach a deal until we're actually signing a negotiated settlement here."
### **The bigger picture**
Strip out the noise and Thursday morning's American consumer is being pulled in five directions at once by the same currents. Nvidia's blowout — and its retreat from China — confirms that the artificial-intelligence build-out is still the single most important wealth event in the equity portfolios that fund retirements, college tuition and down payments. Target's surprise turnaround says the discount-and-discretionary shopper is not done, even with gas at $4.56\. The Fed's minutes say that resilience is precisely what could prompt the next move on rates to be a hike, not a cut — pushing the 30-year mortgage further from where buyers wanted it and the 30-year Treasury closer to a level not seen since the Clinton administration. The Memorial Day weekend opens with the highest pump prices for the holiday since 2022, with the summer top end at $5.02 if the Strait of Hormuz stays closed. And the war that closed the strait is still on a three-day clock that the president himself could restart at any moment.
For Jim Hood's readers, the takeaway is unusually clean: the AI boom is real, the consumer is more resilient than the headlines suggest, but the cost of money and the cost of a tank of gas are both heading the wrong way for everyone trying to refinance, buy a house, or simply get to the lake this weekend. The Fed's next decision and a Friday-to-Sunday window in the Persian Gulf will probably matter more to the household budget than anything either Nvidia or Target reported.
### National Recall Roundup, May 20
URL: https://www.consumernews.ai/national-recall-roundup-may-20/
Last updated: 2026-06-19T19:15:47.000Z
## Major hazards emerging today
- Child entrapment and fall hazards involving toddler tower stools
- Burn hazards tied to electric kettles and pressure cookers
- Peanut allergen contamination in packaged noodles
- Salmonella and Listeria contamination concerns in multiple foods
- Crash risks involving rearview cameras, flooded-road navigation, and seat defects
## Consumer product recalls (CPSC)
### Toddler tower stools recalled over “risk of death”
More than 125,000 Cosyland Children’s Tower Stool toddler tower stools sold online through Amazon were recalled because they can collapse, tip over, or trap children in frame openings large enough to create entrapment and suffocation hazards. The CPSC warned the defect poses a risk of serious injury and death.
### Additional standing tower recall issued
About 25,000 Guidecraft Children’s Standing Tower units were recalled because the standing platform can loosen or detach, creating a fall hazard for children.
### Electric kettles recalled after burn injuries
More than 157,000 Zwilling Enfinigy Electric Kettle electric kettles sold at Costco, HomeGoods, and other retailers were recalled because the handles can loosen or detach while filled with hot liquid. The company reported more than 160 incidents, including burn injuries and one second-degree burn.
### Pressure cooker warning expanded
The CPSC warned consumers to immediately stop using certain Gourmia pressure cookers after reports that the lids can open during use, ejecting hot food and liquids and causing severe burns.
## FDA food recalls and alerts
### Sesame noodles recalled over hidden peanut contamination
Fly By Jing Creamy Sesame Noodles sold at Whole Foods, Thrive Market, and online retailers were recalled nationwide because the products may contain undeclared peanuts due to cross-contamination during manufacturing. The recall poses serious risks for people with peanut allergies.
### Salmonella-related dairy recalls continue expanding
The FDA continues tracking expanding recalls tied to powdered milk ingredients from California Dairies Inc. because of potential Salmonella contamination. Affected products now include snack foods, chips, seasonings, and packaged grocery products sold nationwide.
### Mushroom recalls continue over Listeria risk
The FDA issued additional warnings involving enoki mushrooms distributed by:
- IQ Produce LLC
- HH Fresh Trading
Testing found possible contamination with Listeria monocytogenes.
## USDA FSIS public health alerts
### Deli meat alert linked to Listeria illnesses
The USDA Food Safety and Inspection Service continued warning consumers about headcheese deli meat products from Crawford Sausage Co. because of possible Listeria contamination tied to reported illnesses.
## Vehicle recalls and transportation safety (NHTSA)
### Tesla recalls more than 218,000 vehicles
Tesla recalled more than 218,000 Model 3, Model Y, Model S, and Model X vehicles because rearview camera images may lag or fail to display while reversing, increasing crash risks.
### Waymo robotaxis recalled after flood incidents
Waymo recalled nearly 3,800 autonomous vehicles after software defects allegedly allowed robotaxis to drive into flooded roadways during severe weather events.
### Ford recalls continue expanding
Ford Motor Company continues issuing recalls involving:
- Loose seat-frame bolts
- Trailer brake software failures
- Visibility-system defects
- Engine block heater fire hazards
Some campaigns affect hundreds of thousands of vehicles across multiple model years.
## Official recall lookup resources
- [CPSC Recalls](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
- [FDA Recall Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
- [NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
- [USDA FSIS Recalls](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### Texas probing Meta Glasses, Disney being sued for allegedly using facial recognition at its parks
URL: https://www.consumernews.ai/texas-probing-meta-glasses-disney/
Last updated: 2026-07-05T22:06:55.000Z
The eyes of Texas are trained on [Meta Glasses](https://www.theoutragedconsumer.com/p/meta-glasses-brighten-some-days-darken?utm%5Fsource=publication-search), and they don’t like what they see. The state, represented by Attorney General Ken Paxton, has launched an investigation into the rather bulky AI glasses, expressing fears that Texans’ privacy may be at stake.
“I will continue to relentlessly stand up to any company that threatens the privacy and safety of Texans,” said Paxton in a [news release](https://www.oag.state.tx.us/news/releases/attorney-general-ken-paxton-launches-investigation-meta-glasses-protect-texans-privacy-unlawful?ref=consumernews.ai). “Meta’s glasses raise serious concerns, and my office will thoroughly investigate these devices to ensure that no individual is being unlawfully recorded, tracked, or subjected to the unauthorized collection of their data.”
Meta Glasses are smart glasses equipped with cameras, speakers, and other communication tools. Many wearers say they use them mostly to answer and make telephone calls, monitor text messages and read the fine print on packages and documents.
The glasses enable wearers to capture and share audio and video data from around them. Meta’s privacy policy notes that its smart glasses have an “always enabled” mode which permits the device to constantly process video data for use with Meta AI products.
Although Meta advertises its glasses as “designed for privacy” and claims that it takes steps to protect private and key identifiable information, serious concerns have arisen, according to Paxton. Individuals at Meta’s subcontractor Sama, located in Kenya, access consumers private information despite Meta’s privacy representations. Sama’s data annotators have claimed that they have access to video material of users’ private moments, such as bathroom visits and other private moments.
[Meta glasses viewed skeptically over privacy & other concernsMeta wants smart-glasses buyers to pay monthly for a feature their glasses already runMeta is putting monthly usage limits on Conversation Focus, a smart-glasses feature that helps users hear nearby speech more clearly in noisy placesConsumerNews.aiJames R. HoodMeta quietly removes facial recognition code after backlash over smartConsumerNews.aiJames R. Hood](https://www.consumernews.ai/meta-glasses-viewed-skeptically-over-privacy-other-concerns/)
In addition to these concerns, [reporting](https://www.nytimes.com/2026/02/13/technology/meta-facial-recognition-smart-glasses.html?ref=consumernews.ai) from the New York Times indicates that Meta plans to bring facial recognition technology to the Meta Glasses. Internally code-named “Name Tag,” this feature would allow Meta to collect unsuspecting individuals’ facial geometry from Meta Glasses’ built-in, inconspicuous cameras.
In July of 2024, Paxton secured a $1.4 billion [settlement](https://www.texasattorneygeneral.gov/news/releases/attorney-general-ken-paxton-secures-14-billion-settlement-meta-over-its-unauthorized-capture?ref=consumernews.ai) with Meta over its unlawful facial recognition technology software in its applications. Now, Paxton has issued a Civil Investigative Demand (“CID”) to the company to investigate and determine whether Meta deceptively misrepresents the extent of its use of private data from consumers in violation of Texas law.
### Magic Kingdom snoops on visitors, lawsuit claims
In another privacy-centered case, [Disney](https://www.hollywoodreporter.com/business/business-news/disney-class-action-lawsuit-facial-recognition-disneyland-1236598890/?ref=consumernews.ai) has been sued for deploying facial recognition technology at park entrances to verify tickets.
A class action accuses the entertainment giant of violating privacy, competition and consumer protection laws by implementing the technology at Disneyland, where photographs of guests’ faces are taken and compared with images when they first used the ticket or annual pass, according to [The Hollywood Reporter](https://www.hollywoodreporter.com/business/business-news/disney-class-action-lawsuit-facial-recognition-disneyland-1236598890/?ref=consumernews.ai).
The company “does not adequately disclose the use of their biometric collection, so consumers – which almost always include children – have no idea that Disney is collecting this highly sensitive data,” reads the complaint, filed in California federal court on Friday.
### Ford setting records in safety recalls as software issues plague drivers
URL: https://www.consumernews.ai/ford-setting-records-in-safety-recalls/
Last updated: 2026-06-19T19:15:49.000Z
What is going on with Ford? Hardly a week goes by that there isn’t a big recall of Ford cars or trucks. The company has had 36 [recalls this year](https://data.transportation.gov/Automobiles/NHTSA-Recalls-by-Manufacturer/mu99-t4jn?ref=consumernews.ai), following last year’s record-breaking total of 152\. Chrysler (Stellantis) has had 14, General Motors 13.
Those numbers may not sound too high but keep in mind that each recall potentially affects millions of vehicles and their owners. Ford’s 152 recalls last year, for example, affected approximately 20 million vehicles, nearly half of the total for all manufacturers.
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NHTSA recalls by manufacturer 2026
The largest single recall was the result of a [trailer brake light software defect](https://www.techradar.com/vehicle-tech/hybrid-electric-vehicles/ford-issues-safety-warning-for-over-4-3-million-vehicles-as-a-software-glitch-sparks-one-of-the-biggest-recalls-for-years?utm%5Fsource=chatgpt.com) affecting F-Series and other trucks, affecting about 4.4 million vehicles.
Some of Ford’s biggest recalls have been massive software-related actions involving millions of vehicles at once:
- Rearview camera software failures affecting more than 1 million vehicles;
- Trailer brake and lighting software failures affecting roughly 4.4 million trucks and SUVs; and
- ADAS (Advanced Driver Assistance Systems) and camera-system failures affecting hundreds of thousands of Explorers, Navigators and Lincolns.
Ford has [defended its approach](https://nypost.com/2025/10/30/business/ford-recalls-227k-more-vehicles-in-record-breaking-year/?ref=consumernews.ai), saying the volume of recalls reflects a more aggressive internal safety strategy rather than declining quality.
“The number of vehicles recalled reflects our intensive strategy to quickly find and fix hardware and software issues and go the extra mile to help protect customers,” the company told Fox Business.
### Complex software driving recalls
In their defense, Ford and other manufacturers say the complex software that’s now an integral part of modern vehicles is to blame for many of the recalls. Further, they note that many recalls are now conducted over-the-air, saving consumers from a trip to the dealership.
That creates a new class of recall:
- camera image freezes;
- over-the-air update failures;
- trailer brake communication faults;
- ADAS resets; and
- infotainment integration problems.
### Older models often at fault
Ford executives and analysts have argued that many defects trace back to vehicles engineered between roughly 2013 and 2020, before CEO Jim Farley took over. One industry [analysis ](https://www.cbtnews.com/ford-leads-industry-in-recalls/?utm%5Fsource=chatgpt.com)estimated roughly 90% of Ford’s recent recalls originated from those older programs.
In its defense, Ford says it intentionally expanded its safety operations and became more aggressive about detecting and reporting defects before regulators forced action. The company reportedly:
- doubled parts of its safety staff;
- increased testing;
- expanded software audits; and
- tightened supplier oversight.
Ford argues the spike reflects more aggressive disclosure rather than worsening safety culture.
It also puts much of the blame on supplier-related defects:
- fuel pumps;
- camera modules;
- seat bolts;
- injectors; and
- electronic control units.
The transition toward EVs and software-defined vehicles has also increased manufacturers’ dependence on outside electronics suppliers and software integration.
Source: NHTSA Annual Report
### Big numbers, big problems
In one sense, the recall spike is partly a function of Ford’s sales success. Its bestselling vehicles — especially the F-Series pickup lineup — are produced in enormous volumes, nearly [830,000 last year](https://www.best-selling-cars.com/usa/2025-full-year-usa-top-10-best-selling-vehicle-models/?utm%5Fsource=chatgpt.com). That means even a single defect can instantly affect millions of vehicles. The 4.4 million-vehicle towing-system recall is a prime example.
An interesting wrinkle: Ford’s extraordinarily high recall count does not necessarily mean it has the highest [fatality rate](https://www.reddit.com/r/f150/comments/138k7h3/in%5Fresponse%5Fto%5Fdeadliest%5Fvehicles%5Fon%5Fthe%5Froad%5Fi/?utm%5Fsource=chatgpt.com) or worst crash performance. The [Insurance Institute for Highway Safety (IIHS)](https://www.iihs.org/?utm%5Fsource=chatgpt.com) and [NHTSA](https://www.nhtsa.gov/?utm%5Fsource=chatgpt.com) give recent F-150 models strong overall crash scores, including good roof-strength ratings designed to protect occupants in rollovers, although older models were faulted for roof collapses in rollovers.
Many recalls involve compliance or software-display issues rather than catastrophic mechanical failures. But consumer advocates and dealers have complained that repeated recalls damage confidence and overwhelm repair capacity.
### Recall fixes often delayed
One especially important consumer issue is remedy delays. NHTSA’s latest [annual recalls report](https://www.nhtsa.gov/sites/nhtsa.gov/files/2026-03/2025-annual-recalls-report.pdf?utm%5Fsource=chatgpt.com) noted continuing industrywide concerns about the speed at which manufacturers provide recall fixes.
The National Highway Traffic Safety Administration has repeatedly cited delays by automakers in carrying out recalls — especially when repairs require complex parts replacements, software fixes, or large-scale logistics.
According to NHTSA, manufacturers are legally required to provide a remedy “within a reasonable time,” but the agency has acknowledged that delays have become more common as vehicles become more software-driven and supply chains remain strained.
A few major reasons NHTSA and industry analysts cite for recall delays:
- Parts shortages — especially airbags, electronic modules, and sensors;
- Software complexity — newer recalls increasingly involve code fixes rather than simple mechanical replacements;
- Dealer capacity limits — dealers may lack technicians or equipment to perform large recall campaigns quickly;
- Scale of modern recalls — some campaigns affect millions of vehicles simultaneously; and
- OTA transition problems — many legacy automakers still are not set up for seamless over-the-air software repairs.
NHTSA has taken enforcement action in some cases involving delayed recalls or ineffective remedies. The agency specifically cites past consent orders involving:
- Hyundai Motor Company and Kia Corporation for “untimely recalls;”
- FCA US LLC (Chrysler) for failing to adequately remedy defects; and
- Takata Corporation over delayed defect reporting.
The Takata airbag crisis became the most prominent example. Roughly 67 million airbags were recalled in the U.S., but replacement delays stretched for years because replacement inflators simply were not available fast enough.
### Software recalls
Software recalls are now another major issue. Industry analysis of NHTSA data found software-related recalls rose from about 5% historically to nearly 15% of recall incidents by 2023, affecting tens of millions of vehicles.
That trend is especially important for ADAS and automated-driving systems. For example, Waymo LLC recently recalled more than 3,000 vehicles over software that allowed robotaxis to improperly pass stopped school buses. The fix was deployed through a software update.
### So, do more recalls mean more safety?
A skeptic might look at these statistics and say they’re an obvious sign of declining safety. But safety experts don’t necessarily agree.
Safety recalls are fundamentally a consumer-protection tool — they exist because regulators and automakers discovered a defect before (or sometimes after) it caused injuries or deaths. In that sense, recalls improve safety. But a sustained surge in recalls, especially repeat recalls, can also signal declining manufacturing quality, software reliability problems, or breakdowns in engineering oversight.
Ford says its spike in recalls partly reflects a “find-and-fix” strategy that expanded internal audits and defect detection. Other automakers have made similar arguments. At the same time, analysts say the current recall explosion almost certainly reflects worsening quality control in some areas — especially software integration.
### Safety stats are improving, sort of
The goal of all this recall activity is to reduce deaths and injuries on the highways. Whether that’s happening is debatable.
An estimated 36,640 people died in U.S. traffic crashes in 2025, according to preliminary data from the National Highway Traffic Safety Administration. That was a 6.7% decline from 2024 and the second-lowest traffic fatality rate on record.
Raw numbers don’t tell the whole story. NHTSA said the fatality rate in 2025 fell to
1.10 deaths per 100 million vehicle miles traveled, down from 1.19 in 2024, a slight but measurable improvement.
Safety experts credit several factors:
- wider adoption of ADAS safety systems;
- increased seat belt use;
- stronger vehicle crash protection;
- more enforcement against impaired and reckless driving; and
- a gradual normalization after the pandemic-era spike in dangerous driving.
So, recalls can’t take all the credit but 2025’s safety figures represent a [significant improvement](https://www.reuters.com/world/us/us-traffic-deaths-fell-82-first-half-2025-lowest-number-since-2020-2025-09-16/?utm%5Fsource=chatgpt.com) — though roadway deaths remain historically high compared with other wealthy countries.
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### Two Chinese tankers slip past the blockade as Trump pencils Iran strikes for the weekend and Treasury bonds price in a longer war
URL: https://www.consumernews.ai/two-chinese-tankers-slip-past-the-blockade-as-trump-pencils-iran-strikes-for-the-weekend-and-treasury-bonds-price-in-a-longer-war/
Last updated: 2026-05-20T12:05:02.000Z
*By Perplexity*
Five threads pulled tighter overnight. President Donald Trump told reporters Tuesday afternoon that he is considering a second wave of strikes on Iran "Friday, Saturday or Sunday," even as two Chinese tankers carrying roughly 4 million barrels of crude quietly transited the Strait of Hormuz and sent oil prices easing for a second straight session.
The 30-year Treasury bond briefly touched a high last seen in July 2007, Target's first-quarter report lands at the same moment its strategy reset takes hold, and a food bank in Portland is paying $20,000 a month in extra diesel costs to keep its trucks rolling — the clearest sign yet that the Middle East war has reached the kitchen counter.
### **Trump pencils a 'big hit' for the weekend**
A day after he postponed a planned Tuesday strike on Iran, Trump told reporters at the White House Tuesday afternoon that he might "deliver another significant blow" against Tehran within days — and then narrowed the window in unusually concrete language.
"Well, I mean, I'm considering two or three days, possibly Friday, Saturday or Sunday. Perhaps something early next week — just a short duration," he said, according to [Bloomberg's account](https://www.bloomberg.com/news/articles/2026-05-19/trump-threatens-iran-with-big-hit-in-days-if-there-s-no-deal?ref=consumernews.ai) of the exchange. He framed the next move as a fallback if the diplomatic track collapses: "I hope we don't have to engage in war, but we might need to deliver another significant blow," he said ([Bloomberg](https://www.bloomberg.com/news/articles/2026-05-19/trump-threatens-iran-with-big-hit-in-days-if-there-s-no-deal?ref=consumernews.ai)).
Vice President JD Vance offered a softer line Tuesday afternoon, telling reporters that the administration has "made substantial progress" in talks and that "we think the Iranians are eager to reach an agreement," while acknowledging that an "option B" — restarting military operations — remains on the table but "is not the president's preference" ([Bloomberg](https://www.bloomberg.com/news/articles/2026-05-19/trump-threatens-iran-with-big-hit-in-days-if-there-s-no-deal?ref=consumernews.ai)).
On Capitol Hill, Louisiana Senator Bill Cassidy joined three other Republican senators in voting Tuesday evening to advance a resolution aimed at halting hostilities, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-19/trump-threatens-iran-with-big-hit-in-days-if-there-s-no-deal?ref=consumernews.ai). The conflict, which began with joint U.S.-Israel actions in late February, has now run weeks past the four-to-five-week timeline Trump himself laid out in March.
### **Two Chinese tankers slip through Hormuz, and oil eases**
The most consequential consumer story of the morning is the one that almost did not happen at all. Two Chinese-operated tankers carrying approximately 4 million barrels of oil passed through the Strait of Hormuz, [CNBC reported](https://www.cnbc.com/2026/05/20/us-treasury-yields-inch-lower-amid-significant-inflation-risk.html?ref=consumernews.ai) — a level of through-traffic from Chinese carriers not seen since the conflict began.
West Texas Intermediate crude was down about 0.3 percent to around $103.70 a barrel by mid-morning, after Brent crude had already retreated more than 2 percent on Tuesday on Trump's strike postponement ([CNBC](https://www.cnbc.com/2026/05/20/us-treasury-yields-inch-lower-amid-significant-inflation-risk.html?ref=consumernews.ai)).
For weeks the strait has functioned as a wartime checkpoint where Beijing's tankers were largely absent. The two transits represent a meaningful, if narrow, opening — China is the world's largest importer of Iranian crude under sanction, and any movement at all by Chinese shipowners signals that the war-risk math may finally be tilting back toward normal commerce.
[Bloomberg's vessel-tracking analysis](https://www.bloomberg.com/news/articles/2026-05-18/tankers-entering-hormuz-during-iran-war-are-making-their-way-out?ref=consumernews.ai) earlier this week noted that since March 1, only 19 non-Iranian-linked oil and liquefied petroleum gas vessels had both entered and exited the strait, with roughly 100 still stranded inside the Persian Gulf. Wednesday's Chinese transits do not change the balance, but they are the first crack in a months-long pattern.
The lower oil pulled headline gas costs off their peak in a few places — though not where it counts most. [The New York Times reported Wednesday](https://www.nytimes.com/2026/05/20/us/food-bank-gas-prices.html?ref=consumernews.ai) that the surge in diesel prices driven by the Iran conflict is now squeezing the country's food banks, with the Oregon Food Bank alone absorbing an additional $20,000 in monthly fuel expenses to keep canned goods, frozen meats and fresh produce moving on a fleet of semi-trucks from Portland to the Idaho border.
"It's an opportunity cost," Andrea Williams, president of the Oregon Food Bank, told the Times, explaining that money intended for food is now paying for diesel. Up to 50 million Americans seek emergency food assistance each year, according to a 2024 Feeding America report cited by [The New York Times](https://www.nytimes.com/2026/05/20/us/food-bank-gas-prices.html?ref=consumernews.ai).
### **The 30-year touches a July 2007 high, and the Fed is split**
The U.S. bond market sent its loudest signal yet Wednesday morning. The 30-year Treasury bond briefly climbed to 5.197 percent on Tuesday, the highest level since July 2007, before edging back to about 5.172 percent in early trading Wednesday ([CNBC](https://www.cnbc.com/2026/05/20/us-treasury-yields-inch-lower-amid-significant-inflation-risk.html?ref=consumernews.ai)). The benchmark 10-year yield, which peaked Tuesday at 4.687 percent — its highest since January 2025 — slipped to 4.653 percent ([CNBC](https://www.cnbc.com/2026/05/20/us-treasury-yields-inch-lower-amid-significant-inflation-risk.html?ref=consumernews.ai)).
Rathbones fixed-income head Bryn Jones told CNBC's "Early Edition" Wednesday that "global bond markets are now factoring in a 'significant' risk of inflation, as worldwide borrowing costs remain high," and warned: "If \[the conflict\] continues for a few more months, it is evident that yields and inflationary pressures will escalate," but "conversely, if a resolution is reached, yields are likely to rebound sharply" ([CNBC](https://www.cnbc.com/2026/05/20/us-treasury-yields-inch-lower-amid-significant-inflation-risk.html?ref=consumernews.ai)). HSBC strategists wrote that Treasurys have entered a "danger zone" in which persistent inflation and aggressive rate expectations begin to pressure a broader range of risk assets ([CNBC](https://www.cnbc.com/2026/05/20/us-treasury-yields-inch-lower-amid-significant-inflation-risk.html?ref=consumernews.ai)).
The afternoon will bring the minutes from the Federal Reserve's April 27-28 meeting — the gathering where the Federal Open Market Committee held the federal funds rate at 3.5 to 3.75 percent on an 8-4 vote, the deepest split in more than three decades ([CNBC](https://www.cnbc.com/2026/05/20/us-treasury-yields-inch-lower-amid-significant-inflation-risk.html?ref=consumernews.ai)). Barclays, separately, told clients that "macroeconomic challenges are intensifying, elevating the risk of a near-term market correction" ([CNBC](https://www.cnbc.com/2026/05/20/market-correction-equities-stocks-bonds-iran-inflation.html?ref=consumernews.ai)).
Wellington investment director Paul Skinner said the gap between bond and stock pricing now "makes equities susceptible to a correction," and Bank of America noted its Bull & Bear Indicator is approaching a "sell-signal" threshold that often flags early-summer profit-taking ([CNBC](https://www.cnbc.com/2026/05/20/market-correction-equities-stocks-bonds-iran-inflation.html?ref=consumernews.ai)). Deutsche Bank pushed back, arguing it is "challenging to argue" that the preconditions for a sustained sell-off — a sustained oil shock, clear economic contraction, aggressive central bank tightening — are yet in place ([CNBC](https://www.cnbc.com/2026/05/20/market-correction-equities-stocks-bonds-iran-inflation.html?ref=consumernews.ai)).
For households, the practical translation is unchanged. The 30-year fixed mortgage sat at 6.49 percent on Monday per [The Wall Street Journal's Bankrate-based survey](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-5-18-2026?ref=consumernews.ai), the 30-year fixed refinance at 6.69 percent, and Wednesday's bond move does little to change either number until the long end actually trends down.
### **Bessent rolls out 'Operation Economic Fury' in Paris**
Treasury Secretary Scott Bessent stood at the "No Money for Terror" conference in Paris on Tuesday and asked the G7 to widen Washington's economic blockade of Tehran. He told allies that "no opponent has experienced the impact of America's economic policies more devastatingly than Iran," and credited what he called a "revamped sanctions framework" supporting an initiative branded "Operation Economic Fury" ([CNBC](https://www.cnbc.com/2026/05/19/bessent-g7-iran-finance-terrorism.html?ref=consumernews.ai)).
"We are reassessing outdated and irrelevant designations to assist financial institutions in concentrating on the most advanced terrorist financing and sanctions evasion tactics," he said, adding that sanctions "should not persist for so long that their intended impacts lead to unintended repercussions" ([CNBC](https://www.cnbc.com/2026/05/19/bessent-g7-iran-finance-terrorism.html?ref=consumernews.ai)).
His specific ask was that European allies help identify Iran's financial backers, "expose shell and front companies, close bank branches, and dismantle proxies" ([CNBC](https://www.cnbc.com/2026/05/19/bessent-g7-iran-finance-terrorism.html?ref=consumernews.ai)). The closing line was the diplomatic equivalent of an invoice: he urged allies to "unite with the United States in taking decisive action" if they share outrage at Iran's destabilizing actions. [The New York Times' coverage of the G7 day](https://www.nytimes.com/2026/05/19/business/inflation-g7-economic-agenda-iran-war.html?ref=consumernews.ai) framed the meetings around the difficulty of containing inflation while the conflict drags on. No formal oil price cap was announced from Paris.
### **Target reports, and the discretionary aisle is the tell**
Target reports fiscal first-quarter results Wednesday morning, the second of the week's big-box reads following Tuesday's Home Depot beat. The retailer enters the day with annual sales that have been "relatively stagnant for the past four years," declining customer traffic over several quarters, a stock that has plunged more than 40 percent over the past five years even as it has rallied roughly 30 percent year-to-date in 2026, and capital expenditures budgeted at $5 billion this year — more than $1 billion above last year — to fund CEO Michael Fiddelke's turnaround ([CNBC](https://www.cnbc.com/2026/05/20/target-tgt-q1-2026-earnings.html?ref=consumernews.ai)).
On Tuesday the company appointed a Walmart executive surnamed England as chief supply officer, a personnel move [CNBC characterized](https://www.cnbc.com/2026/05/20/target-tgt-q1-2026-earnings.html?ref=consumernews.ai) as part of the broader rejuvenation strategy.
Fiddelke told CNBC last quarter that strong February sales suggested a "positive trajectory" and expressed "confidence" that Target could return to growth, but the company is guiding to net sales of only about 2 percent for the full year ([CNBC](https://www.cnbc.com/2026/05/20/target-tgt-q1-2026-earnings.html?ref=consumernews.ai)). The arc lines up almost too neatly with Tuesday's Home Depot read: the homeowner who is still buying small repairs is the same shopper who is no longer adding the throw pillow and the rug. Wednesday afternoon, Nvidia reports after the close.
### **The bigger picture**
Five reports today, and a single thermometer. The market's three favorite numbers — the price of oil, the yield on the 30-year Treasury, the price of a gallon of diesel — are all reading the same temperature, and each of them now traces its source to a single shoreline 7,000 miles away. A Chinese tanker passing through Hormuz is not a peace deal, but it is the first time in nine weeks that the world's largest oil buyer has tested the water itself.
If Trump's strike window passes without action and Tehran returns with anything that looks like a credible offer, the food bank in Portland gets cheaper diesel by Friday and Target's discretionary aisle could see its first real lift in 18 months. If instead Friday morning brings the "big hit" the president has now twice rehearsed, the next 30-year auction will price the war for years, not weeks.
### New law requires platforms to honor victims' requests for removal of intimate images
URL: https://www.consumernews.ai/new-law-requires-platforms-to-honor/
Last updated: 2026-06-19T19:15:49.000Z
The Federal Trade Commission says it has started enforcing the [TAKE IT DOWN Act](https://www.congress.gov/bill/119th-congress/senate-bill/146?ref=consumernews.ai) (TIDA), a law requiring platforms, at the request of victims, to remove intimate photos or videos shared online without victims’ consent.
As part of its enforcement role, the FTC has launched [TakeItDown.ftc.gov](https://takeitdown.ftc.gov/?ref=consumernews.ai), a website allowing victims and survivors to submit complaints about platforms that have failed to act on valid requests for the removal of nonconsensual intimate images. The website also accepts complaints about platforms that have failed to create a process for people to request removal of these images.
“The public, especially children, will have recourse against digital exploitation and extortion,” [said](https://www.ftc.gov/news-events/news/press-releases/2026/05/ftc-begins-enforcing-take-it-down-act?ref=consumernews.ai) FTC Chairman Andrew N. Ferguson. “In the age of AI, anyone can be targeted, and that becomes even more appalling if children are involved. The TAKE IT DOWN Act empowers families and provides the FTC with an effective tool to protect minors against this form of abuse.”
### Enforcement is key, lawmakers remind FTC
Lawmakers who shepherded the bill through Congress say they intend to make sure the FTC follows through.
“We request the FTC brief our offices on how it intends to enforce the Act, including updates on what mechanisms it has put into place to respond to user complaints of non-compliance, resources dedicated to investigating non-compliance and bringing cases when non-compliance is discovered, issues the FTC is seeing among online platforms with compliance, and any additional resources or authorities the FTC may require to effectively protect victims and hold non-compliant platforms accountable,” [said](https://salazar.house.gov/media/press-releases/salazar-klobuchar-cruz-dean-request-information-implementation-take-it-down?ref=consumernews.ai) U.S. Representative María Elvira Salazar (R-FL), along with U.S. Senators Amy Klobuchar (D-MN) and Ted Cruz (R-TX), and Representative Madeleine Dean (D-PA)
The FTC is charged with enforcing Section 3 of the TAKE IT DOWN Act, which set a May 19, 2026, deadline for covered platforms to give people a way to request the removal of intimate photos or videos shared online without their consent and to remove those intimate images, and known identical copies, within 48 hours of a valid request. The FTC has [published new guidance to help consumers](https://consumer.ftc.gov/node/331881?ref=consumernews.ai)in the event that nonconsensual intimate images of them are posted online. The FTC also issued [guidance for businesses](https://www.ftc.gov/business-guidance/resources/complying-take-it-down-act?ref=consumernews.ai) about how to ensure they are complying with the law.
Ferguson [sent letters last week](https://www.ftc.gov/news-events/news/press-releases/2026/05/ftc-chairman-ferguson-advises-companies-comply-take-it-down-act?ref=consumernews.ai) to major platforms—Alphabet, Amazon, Apple, Automattic, Bumble, Discord, Match Group, Meta, Microsoft, Pinterest, Reddit, SmugMug, Snapchat, TikTok and X—reminding them of businesses’ obligation to comply fully with TIDA no later than May 19, 2026.
### Food delivery's not cheap and besides fries, often includes unexpected fees and surcharges
URL: https://www.consumernews.ai/food-deliverys-not-cheap-and-besides/
Last updated: 2026-06-19T19:15:49.000Z
People used to go to McDonald’s because it was at least consistent and not likely to cause any major gastric side effects. Now, it seems that everyone just orders out and lets DoorDash or UberEats do the legwork.
That saves time, but it’s a far cry from picking up a nice bag of salty fried fat for $10 and millions of consumers are choosing to stay home and let the food come to them.
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So, food delivery is suddenly big business. In fact, one [recent analysis](https://www.marketdataforecast.com/market-reports/united-states-food-delivery-market?ref=consumernews.ai) found a standard McDonald’s family meal averaging about $62 via delivery apps, versus about $37 in-store.
Both fast food and groceries are increasingly being carted from the curb to your front porch or lobby, to the tune of about $130 billion annually, according to [Market Data Forecast](https://www.marketdataforecast.com/market-reports/united-states-food-delivery-market?ref=consumernews.ai). Uber says its delivery division now exceeds $100 billion.
As with so many things we buy these days, a fairly hefty portion of this rather wanton spending consists of fees, surcharges and other often-unexpected add-ons.
### Feds urged to act
The [National Consumers League](https://nclnet.org/?ref=consumernews.ai) (NCL)and six other public interest organizations are upset about that. They’ve [filed](https://nclnet.org/wp-content/uploads/2026/05/NCL-EPIC-et-al-Food-Delivery-Fees-ANPRM-Comments.pdf?ref=consumernews.ai) a joint comment supporting Federal Trade Commission (FTC) action to prohibit hidden fees in food delivery services.
The FTC’s proposal would bring relief and clarity to shoppers who use food and grocery delivery apps, they say, noting that a fair portion of home delivery customers have limited mobility or disabilities.
NCL urged the agency to go after hidden fees in additional industries by expanding the scope of the regulation to apply economy-wide, rather than being specific to food delivery. The groups also urged the FTC to ban personalized pricing, also known as [predatory or dynamic pricing](https://www.theoutragedconsumer.com/p/maryland-outlaws-predatory-pricing?utm%5Fsource=publication-search) — a practice fueled by invasive data collection that preys on everyday Americans.
“There is a longstanding consensus that hidden fees harm consumers and violate the law. Americans now know that dynamic pricing is just as rotten, especially when it’s personalized to exactly how much businesses think they can squeeze from you,” said NCL Senior Public Policy Manager Eden Iscil. “We should not be subjected to a guessing game just to figure out the price of something. It’s important that the FTC works quickly to investigate and stop these unlawful business practices.”
### Rental housing fees
Recently, the FTC initiated a proceeding to address hidden fees in rental housing. In 2024, the Commission finalized a regulation to prohibit hidden fees in [live-event ticketing and short-term lodging.](https://nam12.safelinks.protection.outlook.com/?url=https%3A%2F%2Fnclnet.org%2Fncl-hails-ftc-ban-on-hidden-junk-fees-in-ticketing-and-lodging%2F&data=05%7C02%7Cmaggieo%40nclnet.org%7C3ee3d84a1a024c97d8ff08deb1ca2feb%7C4e1d2f3fec00459892401b9071ab6582%7C0%7C0%7C639143679115869079%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&sdata=MiyE2Ma9MJvtwVhQhOfVZr9qgNdSyzj73mXPP7Q3sAo%3D&reserved=0&ref=consumernews.ai) NCL said it supports each of these rulemakings, but the FTC’s industry-by-industry approach will take several years to adequately address the breadth of fees plaguing the American economy — and risks excluding currently unforeseen industries’ use of hidden fees.
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### Bank of America slammed over new arbitration clause that limits customers’ right to sue
URL: https://www.consumernews.ai/bank-of-america-slammed-over-new/
Last updated: 2026-06-19T19:15:50.000Z
[National Consumer Law Center](https://www.nclc.org/?utm%5Fsource=chatgpt.com) and more than two dozen consumer and public-interest organizations are accusing [Bank of America](https://www.bankofamerica.com/?utm%5Fsource=chatgpt.com) of quietly reviving a controversial legal tactic that critics say strips customers of their right to take the bank to court.
In a sharply worded [statement](https://www.nclc.org/bank-of-america-forces-customers-out-of-courts-and-into-private-arbitrations/?utm%5Fsource=chatgpt.com) released this week, the groups condemned the banking giant’s decision to add a forced arbitration clause to its [Online Banking Service Agreement](https://www.bankofamerica.com/online-banking/service-agreement.go?ref=consumernews.ai), requiring many customer disputes to be resolved in private arbitration rather than through lawsuits in public court.
Consumer advocates argue the provision could make it far harder for customers to challenge improper fees, account freezes, billing disputes or other alleged misconduct — especially in cases involving relatively small amounts of money.
“Forced arbitration blocks customers’ access to the court system and eliminates their right to a jury trial,” the National Consumer Law Center said in its release.
The change also bars most class-action lawsuits, preventing consumers from joining together in large cases involving systemic practices that may affect millions of people, according to the advocacy groups.
### A return to an old fight
The controversy revives a long-running national debate over mandatory arbitration clauses buried in consumer contracts.
Bank of America had largely abandoned forced arbitration in consumer agreements in 2009 amid mounting criticism and litigation involving the banking industry. At the time, major banks faced accusations that they had coordinated the use of arbitration clauses to shield themselves from consumer lawsuits.
Now, nearly 17 years later, advocates say the bank is reversing course.
Under the new policy, customers reportedly have just 60 days after receiving notice to opt out of arbitration. Consumer groups warn many customers may never notice the change because it is embedded in lengthy digital account agreements and online disclosures.
The groups are urging customers to immediately reject the clause through an online opt-out process or by phone.
### Why arbitration matters to consumers
Arbitration is a private dispute-resolution system in which claims are decided by an arbitrator rather than a judge or jury. Businesses frequently argue arbitration is faster and less expensive than traditional litigation.
But critics say the process overwhelmingly favors corporations.
Consumer advocates point to what they call the “repeat player” problem: large companies regularly appear before arbitration firms, while consumers usually participate only once. They also argue arbitration proceedings are often confidential, reducing public scrutiny of corporate practices.
For consumers with small-dollar disputes — such as overdraft fees or questionable charges — class actions may be the only economically realistic way to seek relief, critics say.
“Customers rarely pursue individual arbitration over small claims,” said one [advocacy analysis](https://en.wikipedia.org/wiki/Consumer%5Farbitration?utm%5Fsource=chatgpt.com) cited by the coalition.
The issue has become especially [contentious](https://clalegal.com/arbitration-clauses-in-everyday-contracts-what-they-are-and-why-theyre-everywhere/?utm%5Fsource=chatgpt.com) in recent years as arbitration clauses spread across banking, credit cards, cell phone contracts, employment agreements and online services.
### Political and regulatory backdrop
The dispute also comes during a period of heightened concern about consumer financial protections.
The [advocacy coalition](https://www.consumeradvocates.org/news/coalition-tells-bank-of-america-to-remove-newly-inserted-arbitration-clause-urges-customers-to-opt-out/?utm%5Fsource=chatgpt.com) argued that consumers are facing increasing economic pressure from inflation, debt burdens and higher banking costs while federal regulators have scaled back some aggressive enforcement efforts seen in earlier years.
The groups are backing the proposed [FAIR Act](https://www.congress.gov/bill/119th-congress/senate-bill/126?ref=consumernews.ai) — legislation sponsored by Sen. Richard Blumenthal and Rep. Hank Johnson — which would sharply restrict the use of forced arbitration clauses in consumer, employment and civil-rights disputes. ([NCLC](https://www.nclc.org/bank-of-america-forces-customers-out-of-courts-and-into-private-arbitrations/?utm%5Fsource=chatgpt.com))
Business groups, however, have long defended arbitration as an efficient alternative to lengthy court battles and say class-action litigation often benefits lawyers more than consumers.
The U.S. Supreme Court has repeatedly upheld mandatory arbitration clauses over the past two decades, helping fuel their widespread use in consumer contracts.
### What Bank of America customers can do
Consumer advocates say customers who want to preserve their right to sue in court should carefully review notices from the bank and act quickly if they wish to opt out.
The coalition also encouraged consumers unhappy with the new policy to consider switching to banks or credit unions that do not require mandatory arbitration.
### Data Box: Forced arbitration by the numbers
- Millions of U.S. consumers are covered by arbitration clauses in banking and credit-card agreements
- Bank of America customers reportedly have 60 days to opt out of the new clause
- The bank had not broadly used forced arbitration in consumer contracts for roughly 17 years
- Arbitration clauses commonly prohibit class-action lawsuits
- Critics say many consumers never realize they agreed to arbitration until after a dispute arises
### Consumer Watch: Why this matters
> If a bank customer is hit with a disputed fee, account closure or alleged improper practice, the new agreement could prevent them from filing a lawsuit in court or joining a larger consumer case.
Instead, disputes would generally be handled privately through arbitration — a process critics say is less transparent and less favorable to consumers than public court proceedings.
### Ebola outbreak in Congo and Uganda triggers global alarm, risk to Americans still low
URL: https://www.consumernews.ai/ebola-outbreak-in-congo-and-uganda/
Last updated: 2026-06-19T19:15:50.000Z
The Centers for Disease Control and Prevention is mobilizing an international response to a rapidly expanding [Ebola outbreak in Central and East Africa](https://www.cdc.gov/media/releases/2026/cdc-mobilizes-international-ebola-response.html?utm%5Fsource=chatgpt.com) that has already killed dozens of people and prompted the World Health Organization to declare a global public health emergency.
The outbreak, centered in the Democratic Republic of Congo’s Ituri Province and spreading into neighboring Uganda, is being caused by the Bundibugyo strain of Ebola — a less common form of the virus that has no approved vaccine and no FDA-approved targeted treatment, [CDC](https://www.cdc.gov/media/releases/2026/cdc-mobilizes-international-ebola-response.html?utm%5Fsource=chatgpt.com) said.
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CDC officials said the agency has activated its Emergency Response Center and is deploying additional staff to help with surveillance, contact tracing, laboratory testing, border health screening and infection-control efforts.
“As mentioned earlier in the week, CDC is responding to an outbreak of Ebola disease in the Democratic Republic of Congo and Uganda,” CDC officials said in a public briefing Sunday. “CDC is urgently coordinating with our interagency partners on this outbreak to ensure the outbreak is managed and prevent further spread of Ebola.”
According to WHO and CDC updates, the outbreak has spread across multiple health zones in eastern Congo, with imported cases confirmed in Uganda. WHO officials warned Tuesday that the outbreak is growing quickly and could worsen because of armed conflict, population movement and strained health systems in the region, [Reuters](https://www.reuters.com/business/healthcare-pharmaceuticals/who-chief-concerned-speed-scale-ebola-outbreak-cases-rise-2026-05-19/?utm%5Fsource=chatgpt.com) reported.
WHO Director-General Dr. Tedros Adhanom Ghebreyesus said he is “deeply concerned” about the speed and scale of the outbreak.
### Why this outbreak is drawing unusual concern
Ebola outbreaks are not uncommon in parts of Central Africa, but public health experts say several factors make this episode especially worrying.
First, the Bundibugyo strain is relatively rare. Unlike the Zaire strain of Ebola — the version involved in the devastating 2014-2016 West Africa epidemic — there is currently no licensed vaccine specifically approved for Bundibugyo virus disease, according to the [World Health Organization](https://www.who.int/emergencies/disease-outbreak-news/item/2026-DON602?utm%5Fsource=chatgpt.com).
Second, the outbreak has reportedly reached urban areas and major transit corridors, increasing the risk of cross-border spread. WHO officials say cases have appeared in or near densely populated areas including Kampala, Uganda’s capital.
Third, several infections have reportedly involved healthcare workers, a warning sign that infection-control systems are being strained.
The WHO has already released emergency funding and elevated the outbreak to a “Public Health Emergency of International Concern,” its highest alert level, WHO said.
### What consumers and travelers should know
CDC officials stress that the risk to the general U.S. public remains low. Ebola spreads through direct contact with bodily fluids of infected individuals or contaminated materials — not through casual airborne transmission like influenza or COVID-19.
Still, federal officials are tightening travel precautions.
CDC, the Department of Homeland Security and other agencies announced enhanced screening and travel restrictions Monday aimed at preventing the virus from entering the United States.
Travel health notices have been issued for both Congo and Uganda.
[Some reports](https://www.reuters.com/business/healthcare-pharmaceuticals/americans-congo-may-have-had-exposure-ebola-in-outbreak-stat-news-reports-2026-05-17/?utm%5Fsource=chatgpt.com) also indicate that several Americans working in the region may have been exposed and are being monitored or evacuated.
Public health experts say Americans are unlikely to face widespread risk unless sustained community transmission occurs outside Africa — something officials say has not happened.
### Lessons from COVID still shape the response
The aggressive international response reflects how dramatically global public-health strategy changed after COVID-19.
During the 2014 West Africa Ebola epidemic, critics accused governments and health agencies of reacting too slowly as infections spread through Guinea, Liberia and Sierra Leone, eventually causing more than 11,000 deaths worldwide.
This time, WHO declared a global emergency much earlier in the outbreak’s trajectory.
CDC is also moving faster on airport screening, travel notices and interagency coordination than in many previous outbreaks.
At the same time, some infectious-disease specialists warn against panic.
Ebola is far harder to spread than respiratory viruses, and outbreaks historically have been contained through aggressive contact tracing, isolation and protective equipment protocols. Still, [experts caution](https://pmc.ncbi.nlm.nih.gov/articles/PMC4622264/?utm%5Fsource=chatgpt.com) that unstable conditions in eastern Congo could complicate those efforts.
### Data Box: Ebola by the numbers
- More than 300 suspected cases reported in Congo and Uganda ([Al Jazeera](https://www.aljazeera.com/news/2026/5/17/who-declares-ebola-outbreak-in-dr-congo-uganda-a-global-health-emergency?utm%5Fsource=chatgpt.com))
- At least 80 to 130 suspected deaths, depending on reporting period ([World Health Organization](https://www.who.int/news/item/17-05-2026-epidemic-of-ebola-disease-in-the-democratic-republic-of-the-congo-and-uganda-determined-a-public-health-emergency-of-international-concern?utm%5Fsource=chatgpt.com))
- Nine affected health zones in eastern Congo ([CDC](https://www.cdc.gov/ebola/situation-summary/index.html?utm%5Fsource=chatgpt.com))
- No approved vaccine for the Bundibugyo strain ([CDC](https://www.cdc.gov/media/releases/2026/transcript-ebola-update-05-17-2026.html?utm%5Fsource=chatgpt.com))
- WHO emergency declaration issued May 16-17 ([World Health Organization](https://www.who.int/news/item/17-05-2026-epidemic-of-ebola-disease-in-the-democratic-republic-of-the-congo-and-uganda-determined-a-public-health-emergency-of-international-concern?utm%5Fsource=chatgpt.com))
### What consumers can do
Health officials say most Americans do not need to alter daily routines, but travelers to affected regions should:
- Monitor CDC travel advisories
- Avoid contact with sick individuals or bodily fluids
- Avoid handling wild animals or bushmeat
- Seek medical care immediately if symptoms develop after travel
Symptoms can include fever, weakness, vomiting, diarrhea and bleeding, typically appearing between two and 21 days after exposure.
Public health agencies are expected to provide additional updates this week as case numbers evolve and more testing data becomes available.
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### A canceled strike, a steady shopper at Home Depot and a 30-year bond that won't come down
URL: https://www.consumernews.ai/a-canceled-strike-a-steady-shopper-at-home-depot-and-a-30-year-bond-that-wont-come-down/
Last updated: 2026-05-19T13:33:12.000Z
*By Perplexity*
The week's second act began with the strike that didn't happen. President Donald Trump told reporters at the White House Monday evening that he had authorized — and then postponed — a "very significant attack" on Iran that was scheduled for Tuesday, sending Brent crude down more than 2 percent and giving Home Depot's first-quarter results a slightly less ominous backdrop than they otherwise would have had. Five threads are running through the day's consumer story: an oil market that finally exhaled, a homeowner who still won't postpone the deck repair, a 30-year Treasury bond stuck near a 1999 peak, a small fleet of tankers quietly trickling back through the Strait of Hormuz, and a grocery cart whose contents have gone in five different directions since January 2025.
### **Trump cancels the Tuesday strike, and oil exhales**
Brent crude for July delivery slid to about $109.15 a barrel Tuesday morning, down more than 2 percent, while West Texas Intermediate for June fell 1.27 percent to $107.28, after the president disclosed that he had pulled back on a planned military operation against Iran ([CNBC](https://www.cnbc.com/2026/05/19/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude.html?ref=consumernews.ai)). "We were preparing for a very significant attack tomorrow," Trump told reporters at a White House event Monday, adding, "I postponed it for a while, hopefully perhaps indefinitely, but maybe just for a short time" ([CNBC](https://www.cnbc.com/2026/05/19/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude.html?ref=consumernews.ai)). He said the leaders of Qatar, Saudi Arabia and the United Arab Emirates had asked him for more time, and that "we've had extensive discussions with Iran, and we will see what comes of them" ([CNBC](https://www.cnbc.com/2026/05/19/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude.html?ref=consumernews.ai)).
The pattern is by now familiar. [The New York Times wrote](https://www.nytimes.com/2026/05/18/us/politics/trump-iran-strikes.html?ref=consumernews.ai) that the president "has consistently issued warnings about potential strikes, only to retract those threats at the last moment," and noted that the conflict — which began with joint U.S.-Israel actions on February 28 — is now entering its third month, weeks past Trump's own initial forecast that it would last four to five weeks. White House deputy press secretary Anna Kelly said the administration's position remains that Iran must permanently renounce its nuclear aspirations ([CBS News](https://www.cbsnews.com/live-updates/iran-war-trump-warning-oil-stock-prices-futures-ceasefire-diplomacy/?ref=consumernews.ai)). U.S. Central Command continues to redirect 85 vessels around the blockade of Iranian ports, [CBS News reported](https://www.cbsnews.com/live-updates/iran-war-trump-warning-oil-stock-prices-futures-ceasefire-diplomacy/?ref=consumernews.ai), and Treasury extended a 30-day sanctions waiver for Russian oil purchases. ING analysts cautioned that "the persistent supply disruptions mean the market has had to depend largely on inventories and alternative sources of supply, wherever feasible," and warned that flows through the Strait "could deteriorate swiftly" if talks collapse ([CNBC](https://www.cnbc.com/2026/05/19/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude.html?ref=consumernews.ai)).
### **Home Depot's homeowner is still spending, but the deck is on hold**
Half an hour before the opening bell Tuesday, Home Depot delivered the first major real-economy read of the week. The retailer posted fiscal first-quarter sales of $41.77 billion for the period ended May 3, up nearly 5 percent from $39.86 billion a year earlier, with adjusted earnings per share of $3.43 ([CNBC](https://www.cnbc.com/2026/05/19/home-depot-hd-q1-2026-earnings.html?ref=consumernews.ai)).
Importantly, the company reaffirmed full-year fiscal 2026 guidance for sales growth of 2 to 4 percent and said it now expects adjusted earnings to rise by as much as 4 percent — above the 2 percent Wall Street had penciled in ([CNBC](https://www.cnbc.com/2026/05/19/home-depot-hd-q1-2026-earnings.html?ref=consumernews.ai)).
Chief Financial Officer Richard McPhail offered the most useful sentence in the release: "The homeowner segment appears to be somewhat more financially secure than other customer groups, and we continue to observe their engagement," he said, but added that with rising geopolitical tensions and a faltering housing market, those customers are engaged "up to a certain point" ([CNBC](https://www.cnbc.com/2026/05/19/home-depot-hd-q1-2026-earnings.html?ref=consumernews.ai)).
"They have indicated that they plan to postpone spending on larger projects," McPhail said, calling it a continuation of feedback the company has been hearing for the past few years ([CNBC](https://www.cnbc.com/2026/05/19/home-depot-hd-q1-2026-earnings.html?ref=consumernews.ai)). The company noted that homeowner hopes for relief from a decline in mortgage rates "were dashed with conflict in the Middle East, resulting in a renewed spike in mortgage rates" ([CNBC](https://www.cnbc.com/2026/05/19/home-depot-hd-q1-2026-earnings.html?ref=consumernews.ai)).
The pro story is where management is leaning. McPhail framed the prize as a "$700 billion pro market" that Home Depot can take a larger share of through its 2024 acquisition of SRS Distribution — a supplier to roofing, landscaping and pool professionals — plus last year's GMS deal and the SRS-led purchase last week of a wholesale HVAC distributor that serves residential and commercial customers ([CNBC](https://www.cnbc.com/2026/05/19/home-depot-hd-q1-2026-earnings.html?ref=consumernews.ai)). The translation for a homeowner: small repairs and pro-driven fixes are holding; the new bathroom is waiting.
### **The bond market won't take the hint**
Treasury yields backed off a sliver Tuesday morning but stayed near the multi-year peaks they set Monday. The 10-year U.S. Treasury yield slipped to 4.6073 percent — down barely more than 1 basis point — and the 30-year sat at 5.1428 percent, unchanged from a level last seen in 1999 ([CNBC](https://www.cnbc.com/2026/05/19/treasurys-yields-inflation-traders-fed-interest-rates.html?ref=consumernews.ai)). The 2-year, the maturity most sensitive to the Federal Reserve, fell 2 basis points to 4.0695 percent ([CNBC](https://www.cnbc.com/2026/05/19/treasurys-yields-inflation-traders-fed-interest-rates.html?ref=consumernews.ai)).
That stickiness is what matters for households. [CNBC also reported](https://www.cnbc.com/2026/05/19/treasurys-yields-inflation-traders-fed-interest-rates.html?ref=consumernews.ai) that a Bank of America survey of global fund managers found 62 percent expect the 30-year yield to climb to 6 percent, while only 20 percent see it falling toward 4 percent. Jefferies chief economist strategist Kumar told the network that "even with a potential deal in the Middle East, oil prices are unlikely to revert to pre-war levels," forecasting a 25 to 30 percent increase within the next six months ([CNBC](https://www.cnbc.com/2026/05/19/treasurys-yields-inflation-traders-fed-interest-rates.html?ref=consumernews.ai)). "Every government will need to provide subsidies for households regarding fuel, which translates to increased borrowing, adding pressure to the long end of the curve," Kumar said, and characterized the market's current pricing of further rate hikes as "not warranted" given the risk of inflation rising alongside slowing growth ([CNBC](https://www.cnbc.com/2026/05/19/treasurys-yields-inflation-traders-fed-interest-rates.html?ref=consumernews.ai)).
The bond move is already in the mortgage paperwork. [The Wall Street Journal's Bankrate-based survey](https://www.wsj.com/buyside/personal-finance/mortgage/mortgage-rates-today-5-18-2026?ref=consumernews.ai) put the 30-year fixed mortgage at 6.49 percent on Monday, four basis points higher than a week earlier, with the 30-year jumbo at 6.62 percent and the 30-year fixed refinance at 6.69 percent. Equity futures slipped Tuesday morning as well, with [The Wall Street Journal noting](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-05-19-2026?ref=consumernews.ai) that Brent has risen more than 20 percent in the past month and that traders are watching Nvidia's results Wednesday plus a coming SpaceX initial public offering prospectus. The bond market's verdict is the one that will hit the family budget first: as long as the 10-year sits near 4.60 percent and the 30-year hovers above 5.10 percent, a mortgage refinance is not coming back this spring.
### **A handful of brave tankers slip through the Strait of Hormuz**
Beneath the macro headlines, the wartime plumbing of the global oil market is showing the first signs of working around the blockade. [Bloomberg's vessel-tracking analysis](https://www.bloomberg.com/news/articles/2026-05-18/tankers-entering-hormuz-during-iran-war-are-making-their-way-out?ref=consumernews.ai) found that since March 1, 19 oil- and liquefied petroleum gas-carrying ships without Iranian links have both entered and exited the Strait of Hormuz, while about 100 tankers that entered the Persian Gulf before the conflict still remain stuck for fear of attacks. "Almost all" large non-Iranian tankers that have entered the Persian Gulf during the war have managed to exit with a cargo, [Bloomberg added](https://www.bloomberg.com/news/articles/2026-05-18/tankers-entering-hormuz-during-iran-war-are-making-their-way-out?ref=consumernews.ai), describing the trend as "the emergence of a small group of shipowners willing to risk crossing."
[CBS News confirmed the broader picture](https://www.cbsnews.com/live-updates/iran-war-trump-warning-oil-stock-prices-futures-ceasefire-diplomacy/?ref=consumernews.ai), reporting 55 vessels crossed Hormuz last week — a modest improvement over the wartime low but still far below the typical pre-war traffic that carried roughly a fifth of the world's oil and gas. ING noted that the resumed traffic specifically included several crude tankers and an Iraqi oil shipment bound for Vietnam, but that "overall flows remain significantly below normal levels" ([CNBC](https://www.cnbc.com/2026/05/19/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude.html?ref=consumernews.ai)). For American drivers, the practical takeaway is that the marginal barrel is moving again — not enough to lower pump prices meaningfully, but enough to put a soft ceiling on the next panic spike.
### **The grocery cart goes in five directions**
While the macro picture cools, the receipt at the checkout aisle is doing exactly what receipts do — telling whichever story the shopper most fears. [NBC News' grocery price tracker](https://www.nbcnews.com/data-graphics/grocery-price-tracker-inflation-trends-eggs-bread-trump-administration-rcna257424?ref=consumernews.ai), which has monitored average transaction prices since 2021, found that egg prices have fallen 30 percent since Trump took office in January 2025 — a rare bright spot driven mostly by recovery from the bird-flu shock — but that ground beef has risen 15 percent over the same window and orange juice has jumped 28 percent. Chicken and pork bacon are also higher, the tracker reported, while bread movements were not quantified in the published graphic ([NBC News](https://www.nbcnews.com/data-graphics/grocery-price-tracker-inflation-trends-eggs-bread-trump-administration-rcna257424?ref=consumernews.ai)).
Those mixed signals come a week before the first wave of Walmart's tariff-driven price increases is expected to hit shelves nationwide, with more rolling through June. The arc lines up neatly with Home Depot's lived-by-the-CFO description of a homeowner who is willing to spend on repair but unwilling to commit to discretionary upgrades. As [The Wall Street Journal's livecoverage of the market noted](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-05-19-2026?ref=consumernews.ai), equity investors are also keeping an eye on the early shopper read, with Nvidia's results due Wednesday and Memorial Day weekend looming as the unofficial start of the U.S. summer season. [NBC News' shopping team advised buyers](https://www.nbcnews.com/select/shopping/memorial-day-2026-shopping-guide-rcna345663?ref=consumernews.ai) that seasonal home and outdoor goods, including grills, pizza ovens and Adirondack furniture, will see the deepest cuts of the year — Wayfair, for instance, was offering a foldable outdoor chair at $98.99, down from $269, a 63 percent discount.
### **The bigger picture**
Five separate stories on Tuesday, five very different speeds. The president walks back a strike at 6 p.m. Eastern and oil reprices in time for the European open. Home Depot's homeowner walks into the store at 9 a.m. and still tells the cashier the deck rebuild is going to wait. Bond traders look at the 30-year and price in another decade of pricier money. A handful of supertanker captains decide the war risk is worth a paycheck. And five aisles inside a Walmart, the egg case has cheap eggs while the meat case has expensive beef. What ties them together is not a single shock but a single hesitation — American consumers, businesses and lenders are all watching the same Persian Gulf coastline, ready to move when it does, and pausing on big decisions while it doesn't.
If Wednesday's Nvidia call lands well and Tehran returns to the table with something more credible than a delay, that pause could shorten. If not, Memorial Day will be the first full holiday the country celebrates with a 5 percent 30-year Treasury, a $4.50 gallon of gas and a homeowner still saying maybe next year.
### National Recall Roundup - May 18
URL: https://www.consumernews.ai/national-recall-roundup-may-18/
Last updated: 2026-06-19T19:15:51.000Z
#
## Key hazards emerging today
- Serious injury and death risks involving toddler tower stools
- Burn hazards tied to electric kettles
- Peanut allergen contamination in noodles sold nationwide
- Salmonella and Listeria contamination concerns in multiple food products
- Flood-related software defects in autonomous vehicles
- Major vehicle recalls involving seats, visibility systems, and trailer brakes
## Consumer product recalls (CPSC)
### Toddler tower stools recalled over “risk of death”
More than 125,000 Cosyland Children’s Tower Stool toddler tower stools sold on Amazon were recalled because the products can collapse, tip over, or trap children in openings large enough to create entrapment and suffocation hazards. The CPSC said the defect poses a risk of serious injury and death. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Cosyland-Childrens-Tower-Stools-Recalled-Due-to-Risk-of-Serious-Injury-and-Death-from-Entrapment-and-Fall-Hazards-Imported-by-Cosyland-Official?utm%5Fsource=chatgpt.com))
### Additional children’s tower recall issued
Separately, about 25,000 Guidecraft Children’s Standing Tower units were recalled because the standing platform can loosen and detach, creating fall hazards for children. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Guidecraft-Childrens-Standing-Towers-Recalled-Due-to-Risk-of-Serious-Injury-from-Fall-Hazard?utm%5Fsource=chatgpt.com))
### Zwilling electric kettles recalled over burn hazard
More than 157,000 Zwilling Enfinigy Electric Kettle electric kettles sold through Costco, HomeGoods, and other retailers were recalled because handles can loosen or detach, causing hot liquids to spill. The company received more than 160 complaints, including burn injuries. ([EatingWell](https://www.eatingwell.com/zwilling-electric-kettles-recalled-11975299?utm%5Fsource=chatgpt.com))
## FDA food recalls and alerts
### Sesame noodles recalled over undeclared peanut risk
Fly By Jing Creamy Sesame Noodles were recalled nationwide because the products may contain undeclared peanuts due to cross-contamination during manufacturing. The products were sold through Whole Foods, Thrive Market, and online retailers. ([Allrecipes](https://www.allrecipes.com/fly-by-jing-creamy-sesame-noodles-recall-may-2026-11974096?utm%5Fsource=chatgpt.com))
### Enoki mushroom recalls expand over Listeria contamination
The FDA announced recalls involving enoki mushrooms distributed by:
- IQ Produce LLC
- HH Fresh Trading
Testing found possible contamination with Listeria monocytogenes. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
### Salmonella-related dairy ingredient recalls continue
The FDA continues tracking expanding recalls tied to powdered milk ingredients from California Dairies Inc. over potential Salmonella contamination. Affected products include snack foods, chips, and packaged grocery items sold nationwide. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-powdered-milk-california-dairies-inc-due-potential-salmonella?utm%5Fsource=chatgpt.com))
### Glass contamination alert for desserts
The FDA elevated a recall involving Aldi crème brûlée desserts sold in glass jars because of possible glass contamination hazards. ([The Independent](https://www.the-independent.com/bulletin/lifestyle/aldi-creme-brulee-recall-glass-b2973408.html?utm%5Fsource=chatgpt.com))
## Vehicle recalls and transportation safety (NHTSA)
### Waymo robotaxis recalled after flooded-road incidents
Waymo recalled nearly 3,800 autonomous vehicles after software defects allegedly allowed robotaxis to drive into flooded roadways. Federal regulators said the issue emerged after a driverless vehicle entered floodwaters in Texas. ([Reuters](https://www.reuters.com/legal/litigation/waymo-recall-nearly-3800-robotaxis-over-self-driving-software-issue-2026-05-12/?utm%5Fsource=chatgpt.com))
### Tesla recalls more than 218,000 vehicles
Tesla recalled more than 218,000 Model 3, Model Y, Model S, and Model X vehicles because rearview camera images may lag or fail to display properly while reversing. ([Yahoo Autos](https://autos.yahoo.com/safety-and-recalls/articles/tesla-recalls-over-218-000-163046256.html?utm%5Fsource=chatgpt.com))
### Ford recall activity continues
Ford Motor Company continues issuing major recalls involving:
- Loose seat-frame bolts
- Trailer brake software failures
- Visibility-system problems
- Engine heater fire hazards
Some Ford campaigns now affect millions of vehicles across multiple model years. ([The Sun](https://www.thesun.co.uk/motors/39140066/car-recalls-ford-tesla-mercedes-benz-harley-davidson/?utm%5Fsource=chatgpt.com))
## Official recall lookup resources
- [CPSC Recalls](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
- [FDA Recall Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
- [NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
- [USDA FSIS Recalls](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### Should businesses apologize when they fail to deliver, or turn out substandard products?
URL: https://www.consumernews.ai/should-businesses-apologize-when/
Last updated: 2026-06-19T19:15:51.000Z
A new study in the University of Oxford-published [Journal of Consumer Research](https://academic.oup.com/jcr/article-abstract/53/1/1/8364031?redirectedFrom=fulltext&ref=consumernews.ai) is challenging one of corporate America’s favorite crisis-management assumptions: that apologizing to customers is always the safest move.
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The study found that proactive apologies can actually reduce customer trust and satisfaction when consumers were not previously aware a problem had occurred.
The researchers — Mason R. Jenkins, Paul W. Fombelle and Mary Steffel — conducted five experiments, including a large field study, and found that apologies often create awareness of a failure that customers otherwise would have ignored or never noticed.
The researchers concluded that apologies lowered:
- customer satisfaction,
- trust,
- recommendation intentions, and
- willingness to return,
when customers did not already know about the problem.
### ‘Failure’ is the key word
The key mechanism: apologies frame an event as a “failure,” not merely an inconvenience or minor issue.
A related [Harvard Business Review analysis](https://hbr.org/2026/04/when-apologizing-to-customers-hurts-more-than-it-helps?utm%5Fsource=chatgpt.com) summarized the finding this way: when customers are unaware of a problem, an apology can “increase awareness” and make consumers judge the company more harshly.
The research appears especially relevant in an era of predictive AI systems and automated customer-service alerts, where companies increasingly notify customers about delays, glitches or disruptions before consumers even notice them.
But the broader literature on apologies is more nuanced — and in some cases contradictory.
### On the other hand …
Older service-recovery research has generally found apologies helpful when customers already know something went wrong. A widely cited [2004 study](https://www.researchgate.net/publication/235315833%5FConsumer%5Fresponses%5Fto%5Fcompensation%5Fspeed%5Fof%5Frecovery%5Fand%5Fapology%5Fafter%5Fa%5Fservice%5Ffailure?utm%5Fsource=chatgpt.com) in the *International Journal of Service Industry Management* found apologies improved post-recovery satisfaction when paired with quick action and fair treatment.
Similarly, a [2018 study](https://www.sciencedirect.com/science/article/abs/pii/S1567422318300796?utm%5Fsource=chatgpt.com) on trust repair after service failures found apologies can be effective when consumers have already experienced a visible problem and are seeking reassurance or accountability.
Another [2024 study](https://www.sciencedirect.com/science/article/pii/S0148296324001243?utm%5Fsource=chatgpt.com) in the *Journal of Business Research* argued that apologies work largely because they signal reform and reduced chances of repeat misconduct. Researchers found that although apologies can increase perceptions of corporate culpability, consumers may still respond positively if they believe the company is genuinely changing behavior.
Other research suggests apologies can backfire under very different circumstances than the Oxford study examined.
A [2023 study](https://www.researchgate.net/publication/377133688%5FWhen%5Fapologies%5Fbackfire%5Fa%5Fmoderated%5Fmediation%5Fmodel%5Fof%5Fexposure%5Fby%5FNGOs%5Fcompanies%27%5Fhypocrisy%5Fand%5Fconsumers%27%5Fpolitical%5Forientations?utm%5Fsource=chatgpt.com) on corporate hypocrisy found apologies worsened consumer reactions when watchdog groups or NGOs had exposed misconduct first, because consumers perceived the company as insincere or opportunistic.
And a [2021 study](https://news.asu.edu/20210706-discoveries-when-companies-say-sorry-it-doesnt-always-help-their-reputation?utm%5Fsource=chatgpt.com) highlighted by Arizona State University found public corporate apologies after crises sometimes damage reputations in the short term by reminding consumers of the wrongdoing.
Taken together, the emerging research suggests that whether an apology helps or hurts depends heavily on context:
The Oxford researchers themselves emphasized that apologies still have value when customers are already aware of a service failure. In those cases, apologies boosted perceptions of warmth and honesty.
The findings could complicate customer-service playbooks across industries ranging from airlines and food delivery apps to banks and streaming services, where automated “we apologize for the inconvenience” messages have become routine.
### What about AI?
The debate also extends beyond human customer service. Researchers studying AI systems and chatbots are increasingly [examining](https://arxiv.org/abs/2412.15787?utm%5Fsource=chatgpt.com) whether machine-generated apologies can repair trust — or simply sound hollow and manipulative.
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### Tesla Model Y passes new federal safety benchmark, but advocates warn drivers not to confuse it with self-driving
URL: https://www.consumernews.ai/tesla-model-y-passes-new-federal/
Last updated: 2026-06-19T19:15:52.000Z
The 2026 Tesla Model Y has become the first vehicle to pass a new series of federal [Advanced Driver Assistance System ](https://www.aamva.org/topics/advanced-driver-assistance-systems?ref=consumernews.ai)(ADAS) safety evaluations, marking a milestone for crash-avoidance technology while also reigniting debate over how such systems are marketed to consumers.
The [announcement](https://www.nhtsa.gov/press-releases/tesla-model-y-first-vehicle-pass-nhtsa-new-advanced-driver-assistance-system-tests?ref=consumernews.ai) came from the National Highway Traffic Safety Administration (NHTSA), which said the Model Y successfully completed new testing procedures added to the government’s New Car Assessment Program.
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According to [NHTSA](https://www.nhtsa.gov/press-releases/tesla-model-y-first-vehicle-pass-nhtsa-new-advanced-driver-assistance-system-tests?utm%5Fsource=chatgpt.com), the tests evaluated systems including pedestrian automatic emergency braking, lane-keeping assistance, blind-spot warning and blind-spot intervention.
Federal officials described the results as evidence that advanced safety technology can help reduce crashes and injuries.
### It doesn’t replace drivers
But safety advocates and industry observers quickly stressed that the benchmark applies to driver-assistance features — not self-driving capability.
“Consumers should understand these systems are designed to assist attentive drivers, not replace them,” NHTSA said in its announcement.
That distinction has become especially important for Tesla because the automaker’s higher-profile “Autopilot” and “Full Self-Driving” features remain the subject of ongoing public debate and federal scrutiny.
## Safety advocates: Important achievement, but context matters
Some safety analysts praised the benchmark as a meaningful step for vehicle safety technology.
Automatic emergency braking and lane-support systems have increasingly been viewed by regulators and insurers as among the most effective crash-reduction technologies now available in mass-market vehicles.
The [Insurance Institute for Highway Safety](https://www.iihs.org/?ref=consumernews.ai) and other safety groups have repeatedly pushed automakers to improve pedestrian detection and crash-avoidance systems, particularly after a rise in pedestrian fatalities nationwide.
Still, some critics argued the announcement should not be interpreted as proof that Tesla has solved broader concerns surrounding automated driving.
[Electrek](https://electrek.co/2026/05/07/tesla-model-y-first-pass-nhtsa-new-adas-tests/?utm%5Fsource=chatgpt.com) noted that the systems tested are increasingly common across the industry and said many competing automakers simply have not yet undergone the revised federal evaluations.
The publication also pointed out that NHTSA continues to investigate Tesla’s “Full Self-Driving” system in connection with crashes involving visibility limitations and difficult roadway conditions.
Consumer safety advocates have long expressed concern that branding terms such as “Autopilot” and “Full Self-Driving” may lead some motorists to overestimate what the technology can actually do.
Tesla has consistently stated that drivers must remain attentive and maintain control of their vehicles at all times.
## A strong safety reputation — alongside controversy
The Model Y has generally performed well in traditional crash testing.
The vehicle has previously received high ratings from IIHS and other testing organizations for occupant crash protection, battery safety and rollover resistance.
Tesla supporters argue the company has helped push the broader auto industry toward faster adoption of advanced safety systems and over-the-air software updates that can improve vehicle performance after purchase.
But the company’s driver-assistance technology has also generated years of regulatory investigations, lawsuits and public criticism following crashes in which drivers allegedly relied too heavily on automated features.
Transportation safety researchers say the larger issue extends beyond Tesla alone.
Many automakers are racing to add increasingly sophisticated automation features, while regulators struggle to establish consistent standards for naming, testing and consumer disclosures.
## What consumers should know
Safety experts say drivers shopping for vehicles equipped with ADAS technology should understand several key points:
- Driver-assistance systems are not self-driving systems
- Drivers are still legally and practically responsible for controlling the vehicle
- Automatic emergency braking and lane-support systems can reduce crash risk but are not foolproof
- Performance can vary in rain, fog, glare, construction zones and other difficult conditions
- Drivers should regularly review software updates and manufacturer safety guidance
For consumers, the federal benchmark may ultimately signal an industrywide shift toward tougher testing of crash-avoidance technology.
But advocates say the bottom line remains simple: even the most advanced driver-assistance systems still require a fully engaged human behind the wheel.
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### Without Spirit, summer travel is a different country
URL: https://www.consumernews.ai/without-spirit-summer-travel-is-a/
Last updated: 2026-06-19T19:15:52.000Z
###
In Wilmington, Delaware, two weeks after Spirit Airlines shut down in the middle of the night on May 3, the carrier’s lawyer Marshall Huebner stood before a bankruptcy judge and apologized — not to investors, but to passengers. “We apologize most specifically for those Americans who may now be priced entirely out,” he said, thanking customers who had relied on Spirit during its 34-year run, many of whom “could not otherwise have afforded air travel,” [The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai) reported.
The piece of context that did not make it into Huebner’s apology is that rising jet fuel costs tied to the Iran war — which put a chokehold on Middle East oil shipments 11 weeks ago — have pushed up airfares and fees across the entire commercial aviation industry, not just at the discount carriers
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In late April, the Association of Value Airlines asked the Trump administration for $2.5 billion in temporary financial aid; Transportation Secretary Sean Duffy rejected the request the day Spirit stopped flying. Airlines for America — the trade group representing Alaska Airlines, American, Delta, JetBlue and Southwest — argued that any federal help for budget carriers would punish the carriers that had already made “tough decisions,” [AP](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai) said.
The remaining budget players are consolidating fast. Alaska finished its $1 billion takeover of Hawaiian Airlines in September 2024; last week Allegiant closed its roughly $1.5 billion acquisition of Sun Country Airlines. Former airline captain Shye Gilad, who teaches at Georgetown University, said the economics of cheap flying have fundamentally shifted: “Dynamic pricing has taken away one of the last structural advantages that low-cost carriers had,” he said, adding that the survivors “can’t just be the cheapest airline anymore.”
Dartmouth aviation systems expert Vikrant Vaze added that the surviving carriers have “very different levels of budget-ness,” meaning the practical replacement for Spirit’s $39 fare may simply not exist, according to the [AP](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai).
All of this lands a week before the traditional Memorial Day kickoff to the U.S. summer travel season.
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### Trump warns Iran the clock is ticking as $111 oil, a drone on a nuclear plant and a 30-year bond at 5.14 percent rewrite the American budget
URL: https://www.consumernews.ai/trump-warns-iran-the-clock-is-ticking-as-111-oil-a-drone-on-a-nuclear-plant-and-a-30-year-bond-at-5-14-percent-rewrite-the-american-budget/
Last updated: 2026-05-18T12:50:50.000Z
*By Perplexity*
The week opens with a presidential threat, a drone on the Arab world's only nuclear power station, a global bond market that no longer believes inflation will quietly fade and a vanished discount airline whose absence is now showing up in vacation budgets. President Donald Trump told Iran over the weekend that "the clock is ticking," Brent crude jumped above $111 a barrel, the U.S. 10-year Treasury yield reached its highest level in 15 months, and finance ministers from the world's richest economies sat down in Paris to figure out what to do about an oil shock that has already begun to bleed into household spreadsheets.
For American consumers, the through-lines are the same five they have been living with for weeks — energy, inflation, borrowing costs, travel and the slow rewiring of where they shop and what they can afford — but each one moved this morning.
### **Trump tells Iran the clock is ticking, and oil answers with another leg up**
Brent crude futures for July delivery rose nearly 2 percent on Monday to about $111.42 a barrel, while West Texas Intermediate for June climbed past $107, after the president spent the weekend escalating his rhetoric toward Tehran ([CNBC](https://www.cnbc.com/2026/05/18/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude-.html?ref=consumernews.ai)). "For Iran the clock is ticking, they better get moving, or there won't be anything left of them," Trump posted, adding in capital letters that "time is of the essence" ([CNBC](https://www.cnbc.com/2026/05/18/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude-.html?ref=consumernews.ai)). The April cease-fire is intact in name only.
The International Energy Agency warned in its monthly report that "global oil inventories are diminishing at an unprecedented rate as the closure of the Strait of Hormuz continues," and added that "rapidly shrinking buffers amid ongoing disruptions herald future spikes ahead" ([CNBC](https://www.cnbc.com/2026/05/18/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude-.html?ref=consumernews.ai)). UBS analysts estimated last week that global crude stocks could approach a record low of 7.6 billion barrels by the end of May if demand holds ([CNBC](https://www.cnbc.com/2026/05/18/oil-today-brent-wti-iran-trump-hormuz-iea-supply-crude-.html?ref=consumernews.ai)). Before the fighting started, the Strait of Hormuz carried almost 20 percent of the world's oil and gas, and Bloomberg's ship tracker showed only 10 transits Saturday and none Sunday morning — most of those linked to Iranian shipping rather than international trade ([Bloomberg](https://www.bloomberg.com/news/articles/2026-05-17/hormuz-tracker-gridlock-persists-while-blocked-tanker-sails-on?ref=consumernews.ai)). The supertanker that had been halted by the U.S. naval blockade did resume its voyage, but the surrounding waterway remains, in Bloomberg's word, "frozen" ([Bloomberg](https://www.bloomberg.com/news/articles/2026-05-17/hormuz-tracker-gridlock-persists-while-blocked-tanker-sails-on?ref=consumernews.ai)).
At the pump, AAA showed the national average sitting near $4.52 a gallon, more than 40 percent above year-ago levels and within striking distance of last week's $4.53 peak ([The New York Times](https://www.nytimes.com/2026/05/17/business/for-trump-soaring-prices-test-voters-finances-and-patience.html?ref=consumernews.ai)).
### **A drone hits the Arab world's only nuclear plant, and the war risk gets a new address**
The pressure on energy markets is not theoretical. On Sunday, three drones crossed the western border of the United Arab Emirates from Saudi Arabia and targeted the Barakah nuclear power plant, the only such station in the Arab world ([The Associated Press](https://apnews.com/article/iran-us-uae-nuclear-drones-71e7e58f45193b7dee3df28740532a7b?ref=consumernews.ai)). Two of the drones were intercepted; the third sparked a fire on the perimeter, and the International Atomic Energy Agency confirmed an electrical generator burned and one reactor was running on emergency diesel power ([The Associated Press](https://apnews.com/article/iran-us-uae-nuclear-drones-71e7e58f45193b7dee3df28740532a7b?ref=consumernews.ai)). The UAE's nuclear regulator said the fire "didn't affect plant safety" and that "all units are operating as normal," and the IAEA reported no radiological release ([The Associated Press](https://apnews.com/article/iran-us-uae-nuclear-drones-71e7e58f45193b7dee3df28740532a7b?ref=consumernews.ai)).
The $20 billion Barakah plant, built with South Korean help and brought online in 2020, supplies roughly a quarter of the UAE's electricity ([The Associated Press](https://apnews.com/article/iran-us-uae-nuclear-drones-71e7e58f45193b7dee3df28740532a7b?ref=consumernews.ai)). No one immediately claimed responsibility. Yemen's Iran-backed Houthi rebels had claimed an earlier 2017 strike while the plant was still under construction, a claim Abu Dhabi denied at the time ([The Associated Press](https://apnews.com/article/iran-us-uae-nuclear-drones-71e7e58f45193b7dee3df28740532a7b?ref=consumernews.ai)). Trump spoke with Israeli Prime Minister Benjamin Netanyahu on Sunday, his office said, and two people familiar with the situation, including an Israeli military officer, told the AP that Israel is coordinating with the United States on a possible resumption of attacks against Iran ([The Associated Press](https://apnews.com/article/iran-us-uae-nuclear-drones-71e7e58f45193b7dee3df28740532a7b?ref=consumernews.ai)). The Iranian foreign minister, Abbas Araghchi, had no public comment on Barakah, but the message in oil markets was unmistakable: the war is moving up the energy chain, not down it.
### **A global bond rout sends the 30-year yield to a two-decade peak**
Wall Street arrived on Monday morning to the bond market's verdict. The 10-year U.S. Treasury yield climbed past 4.61 percent — its highest level in 15 months — and the 30-year yield reached 5.14 percent, a two-decade peak, while the 2-year traded above 4.10 percent ([CNBC](https://www.cnbc.com/2026/05/18/treasury-yields-inflation-bond-rout-oil.html?ref=consumernews.ai)). The 10-year added 14 basis points across last week alone, a move large enough to slam the door on hopes for spring mortgage refinancing ([CNBC](https://www.cnbc.com/2026/05/18/treasury-yields-inflation-bond-rout-oil.html?ref=consumernews.ai)). The selloff was global — 10-year German bunds rose to 3.7 percent, Japanese 10-year government debt jumped 13 basis points to 2.739 percent, and U.K. gilts hovered near 5.17 percent ([CNBC](https://www.cnbc.com/2026/05/18/treasury-yields-inflation-bond-rout-oil.html?ref=consumernews.ai)).
"This is going to be annoying for central banks and bond investors," said Hobbs, chief investment officer at Brooksdonald, in a CNBC interview Monday ([CNBC](https://www.cnbc.com/2026/05/18/treasury-yields-inflation-bond-rout-oil.html?ref=consumernews.ai)). Aberdeen senior political economist Lizzie Galbraith told the network that the shock to energy prices, layered on top of political instability across Western governments, had imposed "an extra risk premium" on sovereign debt ([CNBC](https://www.cnbc.com/2026/05/18/treasury-yields-inflation-bond-rout-oil.html?ref=consumernews.ai)). For American households, the practical translation is straightforward: every leg higher in the 10-year Treasury yield drags the 30-year fixed mortgage rate up with it, and Morgan Stanley analysts described the housing market this morning as "continuing to bounce along the bottom" ([CNBC](https://www.cnbc.com/2026/05/17/3-big-things-were-watching-in-the-stock-market-for-the-week-ahead.html?ref=consumernews.ai)). Home Depot reports first-quarter earnings Tuesday morning, with Wall Street forecasting same-store sales growth of just 0.9 percent and Bernstein analysts expecting the home-improvement chain to hold its flat-to-2 percent annual guidance ([CNBC](https://www.cnbc.com/2026/05/17/3-big-things-were-watching-in-the-stock-market-for-the-week-ahead.html?ref=consumernews.ai)).
### **Without Spirit, summer travel is a different country**
In Wilmington, Delaware, two weeks after Spirit Airlines shut down in the middle of the night on May 3, the carrier's lawyer Marshall Huebner stood before a bankruptcy judge and apologized — not to investors, but to passengers. "We apologize most specifically for those Americans who may now be priced entirely out," he said, thanking customers who had relied on Spirit during its 34-year run, many of whom "could not otherwise have afforded air travel" ([The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai)).
The piece of context that did not make it into Huebner's apology is that rising jet fuel costs tied to the Iran war — which put a chokehold on Middle East oil shipments 11 weeks ago — have pushed up airfares and fees across the entire commercial aviation industry, not just at the discount carriers ([The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai)).
In late April, the Association of Value Airlines asked the Trump administration for $2.5 billion in temporary financial aid; Transportation Secretary Sean Duffy rejected the request the day Spirit stopped flying ([The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai)). Airlines for America — the trade group representing Alaska Airlines, American, Delta, JetBlue and Southwest — argued that any federal help for budget carriers would punish the carriers that had already made "tough decisions" ([The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai)).
The remaining budget players are consolidating fast. Alaska finished its $1 billion takeover of Hawaiian Airlines in September 2024; last week Allegiant closed its roughly $1.5 billion acquisition of Sun Country Airlines ([The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai)). Former airline captain Shye Gilad, who teaches at Georgetown University, said the economics of cheap flying have fundamentally shifted: "Dynamic pricing has taken away one of the last structural advantages that low-cost carriers had," he said, adding that the survivors "can't just be the cheapest airline anymore" ([The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai)).
Dartmouth aviation systems expert Vikrant Vaze added that the surviving carriers have "very different levels of budget-ness," meaning the practical replacement for Spirit's $39 fare may simply not exist ([The Associated Press](https://apnews.com/article/summer-travel-budget-airlines-prices-spirit-88d30798625a44283973936eccef984f?ref=consumernews.ai)). All of this lands a week before the traditional Memorial Day kickoff to the U.S. summer travel season.
### **Paris hosts the world's bill, while Beijing's consumers stop showing up**
The G7 finance ministers convened in Paris on Monday for a two-day meeting whose stated purpose is mitigating the economic damage from the Iran conflict — a damage list that now spans energy prices, sovereign borrowing costs and an unsettled global trading system ([The New York Times](https://www.nytimes.com/2026/05/18/business/g7-finance-ministers-look-to-contain-iran-economic-fallout.html?ref=consumernews.ai)).
The agenda also covers sanctions design, illicit financial flows, the future of aid to Ukraine and how to respond to China's restrictions on critical-mineral exports ([The New York Times](https://www.nytimes.com/2026/05/18/business/g7-finance-ministers-look-to-contain-iran-economic-fallout.html?ref=consumernews.ai)). French Finance Minister Lescure, who spoke with The New York Times before the meetings, framed the moment plainly: "I believe that one lesson from the past six months is that survival of the fittest is not effective," he said, arguing that reopening the Strait of Hormuz and confronting Beijing's mineral leverage both demand international cooperation ([The New York Times](https://www.nytimes.com/2026/05/18/business/g7-finance-ministers-look-to-contain-iran-economic-fallout.html?ref=consumernews.ai)).
That cooperation matters more this week because the Chinese consumer — for years the off-ramp for global goods — is no longer holding up his end. Retail sales in China grew at their slowest pace in 40 months in April as the war and lingering trade frictions drained urban spending, [CNBC reported](https://www.cnbc.com/2026/05/18/china-april-retail-sales-industrial-output-investment-unemployment-iran-war.html?ref=consumernews.ai), and [The Wall Street Journal](https://www.wsj.com/economy/chinas-april-activity-data-weakens-despite-export-strength-d6e12d09?ref=consumernews.ai) noted that China's economy "unexpectedly weakened" in April despite export strength.
The implication for American shoppers is indirect but real — a Chinese demand slump usually shows up months later in U.S. retail inventory levels, promotional pricing and the bargaining power of the U.S. consumer at companies such as Walmart, which warned last week that more of its tariff-driven price increases will hit shelves through June ([The Wall Street Journal](https://www.wsj.com/business/retail/walmart-wmt-q1-earnings-report-stock-2026-b978bcf5?ref=consumernews.ai)).
Domestically, the price story has finally curdled into politics. Last month consumer prices "surged at their quickest rate in nearly three years," outpacing wage growth, and businesses are reporting input-cost increases not seen since 2022, [The New York Times reported](https://www.nytimes.com/2026/05/17/business/for-trump-soaring-prices-test-voters-finances-and-patience.html?ref=consumernews.ai). The paper described "widespread public dissatisfaction with Mr. Trump's economic management" in recent political surveys, even as the White House points to last week's positive Trump-Xi communique and to retail sales gains as proof the consumer remains intact ([The New York Times](https://www.nytimes.com/2026/05/17/business/for-trump-soaring-prices-test-voters-finances-and-patience.html?ref=consumernews.ai)).
### **The bigger picture**
Pull these five stories together and what emerges is not five problems but one — an oil shock whose original disruption sat in a single strait of water and which has since rewritten every line on the household ledger. Five-dollar gasoline becomes 5 percent mortgage rates becomes a $39 airfare that is no longer for sale becomes a Paris meeting becomes a Chinese shopper who stays home. The thread tying them is interest — both the kind paid on a Treasury bond and the kind politicians lose when grocery bills outrun paychecks. Tuesday brings Home Depot's first-quarter results, Wednesday brings Target and Nvidia, and the Treasury yield curve will be the loudest voice in every one of those rooms. If the 10-year keeps moving toward 4.75 percent, the conversation will shift in a hurry from how much American families are spending to how much they can no longer afford to borrow.
### National Recall Roundup, May 16
URL: https://www.consumernews.ai/national-recall-roundup-may-16/
Last updated: 2026-06-19T19:15:52.000Z
#
## Major consumer hazards
- Burn hazards from electric kettles
- Entrapment and fall risks involving children’s tower stools
- Listeria contamination in mushrooms and deli meat
- Salmonella concerns tied to dairy ingredients and pet food
- Vehicle defects involving seats, tires, and fire risks
## Consumer product recalls (CPSC)
### Zwilling electric kettles recalled over burn hazard
More than 157,000 Zwilling Enfinigy Electric Kettle units sold in the U.S., Canada, and Mexico are being recalled because the handles can loosen or detach, causing hot liquids to spill. The company received more than 160 reports, including several injuries and at least one second-degree burn. ([EatingWell](https://www.eatingwell.com/zwilling-electric-kettles-recalled-11975299?utm%5Fsource=chatgpt.com))
### Children’s tower stools recalled over injury and death risk
More than 125,000 Cosyland Children’s Tower Stool toddler tower stools sold through Amazon were recalled because they can tip over, collapse, or trap a child’s torso in frame openings. The CPSC warned the defect poses a risk of serious injury or death. ([People.com](https://people.com/over-125-000-toddler-towers-recalled-over-risk-of-death-11975478?utm%5Fsource=chatgpt.com))
### Lithium coin batteries recalled
The CPSC also highlighted recalls involving lithium coin batteries sold online that allegedly failed child-resistant packaging requirements, creating potentially fatal ingestion hazards for children. ([Forth News](https://www.forth.news/lists/cpsc/Cb4xMzE7jHr9sRqgSYWbk?utm%5Fsource=chatgpt.com))
## FDA food recalls and alerts
### Enoki mushrooms recalled for possible Listeria contamination
Two mushroom brands — IQ Enoki Mushrooms and HH Fresh Trading Enoki Mushrooms — were recalled after FDA testing found possible contamination with Listeria monocytogenes. The products were distributed in multiple states including Texas and Florida. ([EatingWell](https://www.eatingwell.com/enoki-mushroom-recall-may-2026-11976423?utm%5Fsource=chatgpt.com))
### Salmonella-related dairy ingredient recalls continue expanding
The FDA continues tracking expanding recalls tied to powdered milk products from California Dairies Inc. over potential Salmonella contamination. Affected products include snack foods, frozen items, and packaged grocery products sold nationwide. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-powdered-milk-california-dairies-inc-due-potential-salmonella?utm%5Fsource=chatgpt.com))
### Raw pet food recalled for Salmonella risk
Albright’s Raw Pet Food voluntarily recalled one lot of frozen dog food after FDA testing detected possible Salmonella contamination. The products were distributed nationwide. ([People.com](https://people.com/raw-pet-food-company-recalls-dog-food-potential-salmonella-contamination-11972599?utm%5Fsource=chatgpt.com))
## USDA FSIS public health alerts
### Deli meat alert tied to Listeria concerns
The USDA’s Food Safety and Inspection Service issued a public health alert involving headcheese deli meat products from Crawford Sausage Co. because of possible Listeria contamination. Federal officials said illnesses have already been reported. ([FSIS](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-headcheese-deli-meat-products-may-be-contaminated?utm%5Fsource=chatgpt.com))
## Vehicle recall watch (NHTSA)
### Ram heavy-duty trucks recalled over tire-speed defect
Ram is recalling more than 12,000 Ram 2500 HD pickup trucks because the vehicles may exceed the maximum speed rating of their tires, increasing the risk of tire failure and crashes. ([Road & Track](https://www.roadandtrack.com/news/a71269708/ram-2500-hd-heavy-duty-pickup-truck-recall-too-fast-for-tires/?utm%5Fsource=chatgpt.com))
### Ford recalls continue expanding
Ford Motor Company issued several new recalls involving:
- Loose front-seat frame bolts
- Airbag occupant sensor failures
- Engine block heaters that may overheat and catch fire
- Ongoing backup-camera and visibility problems
Some recalls affect hundreds of thousands of vehicles. ([Reuters](https://www.reuters.com/legal/litigation/ford-recalls-about-180000-vehicles-over-loose-bolt-front-seat-frame-nhtsa-says-2026-05-01/?utm%5Fsource=chatgpt.com))
### Waymo robotaxis recalled after flood incidents
Waymo recalled roughly 3,800 robotaxis after software problems reportedly caused vehicles to drive into flooded areas. ([New York Post](https://nypost.com/2026/05/13/lifestyle/waymo-recalls-nearly-4000-robotaxis-after-vehicle-drove-into-flood/?utm%5Fsource=chatgpt.com))
## Recall resources
Consumers can check official databases here:
- [CPSC Recalls](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
- [NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
- [FDA Recall Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
- [USDA FSIS Recalls](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### Consumer sentiment hits a record low — and beer is paying the price
URL: https://www.consumernews.ai/consumer-sentiment-hits-a-record/
Last updated: 2026-06-19T19:15:53.000Z
##
The University of Michigan’s preliminary May consumer sentiment index slid to 48.2, a fresh all-time low and below the 49.7 reading economists had expected, [The Wall Street Journal reported](https://www.wsj.com/economy/consumers/consumer-sentiment-falls-to-new-record-lows-amid-war-in-iran-7ae40a27?ref=consumernews.ai) last week. The Journal said the dip undercut even April’s record-low print, and that “rising gasoline prices intensified worries regarding the U.S. economy.”
The fingerprints of that pessimism are now showing up in volume data for one of the most price-elastic discretionary purchases in the store. Nielsen data covering the week ending May 2 showed sales of beer, flavored malt beverages and cider down 6.3 percent year over year on a two- and four-week trailing basis, [CNBC reported](https://www.cnbc.com/2026/05/13/beer-demand-stumbles-as-gas-prices-surge-data-show.html?ref=consumernews.ai).
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Beer sales had already slipped about 3 percent between November and mid-April. Bernstein analysts found convenience-store chains saw sales drop roughly 9 percent year over year in the two weeks after April 26.
California — where gas pump prices are the highest in the nation — had the steepest fall, with beer volume down 16 percent over the four weeks ending May 2; Arizona’s volume was off 10 percent. AB InBev’s Michelob Ultra has held volume steady, but Bud Light and Budweiser are facing double-digit declines, CNBC said, and Constellation Brands is taking share.
Nadine Sarwat, the Bernstein analyst, drew a tidy line from the gas pump to the cooler. “We observe a negative correlation between the current gas prices in a state and the sequential trend in beer/FMB/cider growth,” she [told CNBC](https://www.cnbc.com/2026/05/13/beer-demand-stumbles-as-gas-prices-surge-data-show.html?ref=consumernews.ai). “The additional weakness in beer/FMB/cider seems to be emerging in other beverage categories as well, potentially indicating increasing cyclical pressures on the U.S. consumer.”
The University of Michigan survey CNBC cited found that one-third of respondents named gasoline as their biggest economic concern.
## The bigger picture
Read together, the week’s stories sketch the same economy from five angles. Diplomatically, the United States got the most it was going to get out of Beijing — a Hormuz statement, a private no-arms pledge from Xi, an expression of Chinese interest in buying more American oil. None of it has reopened the strait, and ships are still being attacked at sea.
Statistically, the consumer kept buying in April for the third month in a row. Operationally, Walmart admitted what cardholders are about to see at the register, and a federal appeals court let the tariffs that drive those prices keep running.
Aerially, the jet fuel that vacationers will need in July is being rationed today. And behaviorally, sentiment is now lower than it was during the 2008 financial crisis or the 2022 inflation peak, and Americans, finally, are quietly putting a six-pack back on the shelf.
The summit produced words; the spreadsheet is still doing its own talking.
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### GoFundMe faces growing scrutiny over fees, donor confusion and charity complaints
URL: https://www.consumernews.ai/gofundme-faces-growing-scrutiny-over/
Last updated: 2026-06-19T19:15:53.000Z
Crowdfunding giant [GoFundMe](https://www.gofundme.com/?utm%5Fsource=chatgpt.com) is facing mounting criticism from consumer advocates, nonprofit groups and regulators over complaints ranging from [fraudulent campaigns](https://arxiv.org/abs/2006.16849?utm%5Fsource=chatgpt.com) to donor confusion about fees and fundraising practices.
The online fundraising platform, which has become synonymous with medical emergencies, disaster relief and personal hardship campaigns, has helped raise billions of dollars worldwide. But critics increasingly argue the system also exposes consumers to scams, weak oversight and emotionally driven fundraising that can [divert money away](https://www.theguardian.com/technology/2026/feb/03/crowdfunding-mixed-blessing-giving-bushfires-bondi-attack?utm%5Fsource=chatgpt.com) from established charities.
Among the most common complaints are allegations involving misleading campaigns, frozen accounts, delayed withdrawals and confusion over the company’s payment structure, according to [consumer complaints](https://www.bbb.org/us/ca/redwood-city/profile/crowdfunding/gofundme-1116-876254/complaints?utm%5Fsource=chatgpt.com) filed with the [Better Business Bureau](https://www.bbb.org/?ref=consumernews.ai) and discussions across consumer forums.
### No fee but plenty of “tips”
GoFundMe says it does not charge a platform fee for most personal fundraisers in the United States. However, donations are still subject to payment-processing deductions of roughly 2.9% plus 30 cents per transaction. The company also asks donors to provide an additional voluntary “tip” to support the platform itself.
Critics say many consumers do not fully understand the distinction.
“People think they’re donating $100 to a family in crisis, but some of that money goes to payment processing and some may go to GoFundMe itself through tips,” said one nonprofit fundraising consultant who has criticized crowdfunding platforms. “The checkout process can be confusing.”
GoFundMe says the tips are optional and help fund fraud prevention, trust-and-safety operations and customer support.
### Growing concerns from charities
Some of the sharpest criticism has come from nonprofit organizations and state charity regulators.
The controversy intensified after reports that GoFundMe automatically created fundraising pages for charities using publicly available IRS information, even when organizations had not authorized the pages. Critics argued the practice could confuse donors and redirect donations away from charities’ own websites.
Several state attorneys general, including New York’s Letitia James, [demanded greater transparency](https://hudsonvalleypress.com/2026/03/11/attorney-general-james-demands-transparency-from-gofundme/?utm%5Fsource=chatgpt.com) from the company earlier this year after nonprofit groups complained that donors sometimes believed they were giving directly to the charity itself.
Some nonprofit advocates said the automatically generated pages occasionally appeared prominently in search results, potentially diverting traffic and donor relationships away from charities.
GoFundMe later apologized and announced changes to its nonprofit fundraising policies, including shifting toward an opt-in model for charity pages.
### Critics question fairness of crowdfunding model
Large charitable organizations and philanthropy researchers have also raised broader concerns about the crowdfunding model itself.
Unlike traditional charities, crowdfunding campaigns often depend heavily on social media reach, emotional storytelling and viral attention. Researchers studying medical crowdfunding and disaster fundraising have found that campaigns tied to compelling narratives or affluent social networks often raise far more money than equally needy cases that receive less attention.
Consumer advocates say that can create a system where aid flows disproportionately toward the most visible or emotionally compelling stories rather than the greatest need.
A [recent analysis](https://www.theguardian.com/technology/2026/feb/03/crowdfunding-mixed-blessing-giving-bushfires-bondi-attack?ref=consumernews.ai) in Queensland University of Technology research described crowdfunding as a “mixed blessing” for charities. Experts interviewed said it can increase overall generosity and attract younger donors, but may also divert money from experienced nonprofits that know how to deploy aid more effectively.
Health policy experts have been especially critical of medical crowdfunding, arguing that platforms increasingly function as a substitute for failing insurance and social safety systems.
“Crowdfunding has become a parallel healthcare financing system,” one recent academic review concluded, warning that fundraising success often reflects popularity and digital literacy more than medical urgency.
### Lawsuits and regulatory scrutiny
GoFundMe has also faced legal challenges, including proposed class-action litigation tied to its nonprofit fundraising practices.
Recent lawsuits allege the company created charity fundraising pages [without authorization](https://momentivesoftware.com/blog/gofundme-nonprofit-scandal/?utm%5Fsource=chatgpt.com) while collecting transaction fees and platform tips from donor traffic associated with those pages.
Most earlier lawsuits involving GoFundMe focused instead on fraudulent campaign organizers rather than the company itself. One of the most famous cases involved a widely publicized New Jersey fundraiser in which prosecutors alleged organizers fabricated a story involving a homeless veteran to solicit donations.
GoFundMe says it maintains fraud-detection systems and offers donor protections, though critics argue the company’s enforcement can be inconsistent and reactive.
### Before you donate …
Consumer advocates suggest you take several precautions before contributing to crowdfunding campaigns:
- Verify that the organizer is directly connected to the beneficiary
- Be cautious about emotionally urgent campaigns shared only through social media
- Confirm whether the fundraiser is tied to a verified nonprofit
- Understand that most personal GoFundMe donations are [not tax-deductible](https://support.gofundme.com/hc/en-us/articles/360039267752-Tax-information-for-donors?utm%5Fsource=chatgpt.com)
- Review checkout screens carefully to identify optional “tips” added to donations
It’s also good to consider whether direct contributions to established charities may provide more accountability and long-term impact than highly viral individual campaigns.
“Crowdfunding can help people quickly in moments of crisis,” said one nonprofit policy analyst. “But consumers should understand that it is not the same thing as donating to a regulated charitable organization with audited financial reporting and formal oversight.”
### Daily National Recall Report — May 15, 2026
URL: https://www.consumernews.ai/daily-national-recall-report-may-83c/
Last updated: 2026-06-19T19:15:53.000Z
#
## NHTSA Vehicle Recalls
- Ford recalled nearly 274,000 Expedition and Lincoln Navigator SUVs because front brake lines may rub against engine components, potentially causing brake fluid leaks and reduced braking performance. ([reuters.com](https://www.reuters.com/business/autos-transportation/ford-recalls-nearly-274000-us-vehicles-due-brake-issue-nhtsa-says-2026-05-14/?utm%5Fsource=chatgpt.com))
- Waymo’s recall of approximately 3,800 autonomous robotaxis remains active after software failures reportedly allowed vehicles to enter flooded roadway conditions. ([nypost.com](https://nypost.com/2026/05/13/lifestyle/waymo-recalls-nearly-4000-robotaxis-after-vehicle-drove-into-flood/?utm%5Fsource=chatgpt.com))
- Mercedes-Benz continues recalling about 144,000 vehicles because infotainment software resets may disable dashboard instrument displays while driving. ([reuters.com](https://www.reuters.com/legal/litigation/mercedes-benz-recall-144049-us-vehicles-over-display-issues-nhtsa-says-2026-05-08/?utm%5Fsource=chatgpt.com))
Official VIN lookup:
[NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
---
## CPSC Consumer Product Recalls
- CPSC warned consumers to stop using Northlight bio-ethanol tabletop fireplaces immediately because of flame jetting and severe burn/fire hazards. Multiple injuries have been reported. ([cpsc.gov](https://www.cpsc.gov/Warnings/2026/CPSC-Warns-Consumers-to-Stop-Using-Northlight-Bio-Ethanol-Portable-Tabletop-Fireplaces-Immediately-Due-to-Risk-of-Serious-Burn-Injury-or-Death-from-Flame-Jetting-and-Fire-Hazards?utm%5Fsource=chatgpt.com))
- Thermos’ recall of approximately 8.2 million Stainless King food jars and beverage bottles remains active because lids may eject under pressure, posing laceration and impact hazards. ([cpsc.gov](https://www.cpsc.gov/Recalls/2026/Thermos-Recalls-8-2-Million-Stainless-King-Food-Jars-and-Bottles-Due-to-Serious-Impact-Injury-and-Laceration-Hazards?utm%5Fsource=chatgpt.com))
- EEMB USA battery pouch recalls continue because packaging may fail child-resistant safety standards, creating potentially fatal ingestion hazards involving coin batteries. ([cpsc.gov](https://www.cpsc.gov/Recalls/2026/EEMB-USA-Recalls-Battery-Pouches-Due-to-Risk-of-Serious-Injury-or-Death-from-Battery-Ingestion-Violate-Federal-Statute-for-Child-Resistant-Packaging-of-Coin-Batteries?utm%5Fsource=chatgpt.com))
Official recalls page:
[CPSC Recalls & Alerts](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
---
## FDA Food, Drug & Medical Product Recalls
### Food recalls
- FDA continues overseeing a widespread Salmonella-related recall tied to powdered milk ingredients supplied by California Dairies. Affected products include chips, frozen foods, prepared meals, and snack products sold nationally. ([fda.gov](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-powdered-milk-california-dairies-inc-due-potential-salmonella?utm%5Fsource=chatgpt.com))
- Utz Quality Foods continues recalling certain Zapp’s and Dirty potato chip varieties because seasoning ingredients may contain Salmonella-contaminated dairy powder. ([fda.gov](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/utz-quality-foods-llc-issues-voluntary-recall-certain-limited-varieties-zapps-and-dirty-potato-chips?utm%5Fsource=chatgpt.com))
- Spring & Mulberry’s nationwide chocolate bar recall remains active over potential Salmonella contamination linked to imported date ingredients. ([fda.gov](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/spring-mulberry-expands-voluntary-recall-select-chocolate-bars-because-possible-health-risk?utm%5Fsource=chatgpt.com))
- FDA also continues warning consumers about Ma Cohen’s kippered herring products because of possible Clostridium botulinum contamination. ([fda.gov](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
### Drug & medical recalls
- Acella Pharmaceuticals’ naproxen oral suspension recall remains active after FDA testing detected elevated lead and lithium contamination. ([eatingwell.com](https://www.eatingwell.com/naproxen-recalled-chemical-contamination-11971796?utm%5Fsource=chatgpt.com))
- FDA continues its highest-risk recall classification for certain Boston Scientific pacemaker devices because battery software problems may interrupt pacing support. ([aha.org](https://www.aha.org/news/headline/2026-05-08-fda-issues-most-serious-recall-certain-pacemaker-devices-boston-scientific?utm%5Fsource=chatgpt.com))
Official FDA alerts page:
[FDA Recalls & Safety Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
---
## USDA / FSIS Alerts
- USDA FSIS continues its public health alert involving meat and poultry products made with recalled dairy ingredients potentially contaminated with Salmonella. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-various-meat-and-poultry-products-containing-fda?utm%5Fsource=chatgpt.com))
- FSIS maintains warnings involving ravioli pasta products with undeclared allergens and labeling issues. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-ravioli-pasta-beef-sauce-due-misbranding-and?utm%5Fsource=chatgpt.com))
- USDA also continues monitoring ready-to-eat deli meat products associated with possible Listeria contamination and reported illnesses. ([people.com](https://people.com/public-health-alert-issued-for-headcheese-for-possible-listeria-contamination-11971682?utm%5Fsource=chatgpt.com))
Official USDA alerts page:
[USDA FSIS Recalls & Alerts](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### Lease-to-own company American First Finance hit with $7.8 million penalty
URL: https://www.consumernews.ai/lease-to-own-company-american-first/
Last updated: 2026-06-19T19:15:54.000Z
A Texas-based rent-to-own company, [American First Finance](https://americanfirstfinance.com/?ref=consumernews.ai), has agreed to a $7.8 million settlement of Massachusetts charges that it used deceptive business practices to sign up customers.
The settlement requires AFF to pay $2 million to the Commonwealth, which will be returned to impacted customers as restitution once it is paid, and provides nearly $5.8 million in credits to existing consumer accounts.
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“Consumers making significant purchases deserve to be presented with clear, straightforward payment options. When companies mislead buyers and profit off the confusion they create, that violates our consumer protection laws and unfairly puts our residents at risk,” said Attorney General Andrea Joy Campbell.
AFF partners with brick-and-mortar retailers to provide point-of-sale lease-to-own contracts for goods such as auto parts, furniture, home appliances, electronics, and jewelry. AFF serves customers who may not be able to pay the full price of an item up front and who may not qualify for other payment solutions due to low income or poor credit.
### “Unreasonable and unfair barriers”
The lease-to-own contracts AFF offers allow customers to take products home immediately and make payments on the product over the course of months or years to eventually own the item.
However, the state charged that AFF placed unreasonable and unfair barriers to consumers exercising the “Early Buyout Option” (EBO), a feature of its contract that AFF advertises prominently, which allows consumer to obtain ownership of the merchandise after just 90 or 101 days, for a minimal fee above the cash price.
The EBO is always significantly less than the total payment amount required to obtain ownership after the EBO period expires, which can be more than triple the cash price of the merchandise. The Attorney General’s Office (AGO) investigation found that AFF created artificial barriers that made it more difficult for consumers to exercise the much less expensive EBO.
The investigation also found that AFF’s advertising did not consistently make it clear to consumers that they were entering into a lease agreement. According to the AGO, this conduct misled consumers about the terms and true cost of the agreement.
Many AFF customers who filed complaints believed they were financing, not leasing, their merchandise and were shocked to find out how much it would cost them to obtain ownership.
Today’s settlement agreement returns millions in restitution to thousands of consumers who paid far more than the retail price for their merchandise. Consumers receiving restitution under this settlement will be contacted in the coming months.
It also requires AFF to correct its marketing practices to, among other things, make clear that it only offers lease-to-own products in Massachusetts, and not loans, protecting future consumers from being misled. The agreement ensures AFF’s compliance with other Massachusetts consumer protection laws and AGO debt collection regulations.
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### Justice Department sues Premium Home Service for allegedly creating phony listings
URL: https://www.consumernews.ai/justice-department-sues-premium-home/
Last updated: 2026-06-19T19:15:54.000Z
The U.S. Department of Justice has sued Chicago-based company Premium Home Service (PHS) and its owner for fraudulently creating thousands of fake online business listings for home repair and handyman companies to deceive consumers into thinking they were choosing reputable local companies for home repairs.
The complaint also alleges that PHS and its CEO and owner Yosef Bernath posted fabricated five-star reviews that appeared to be from customers of the fake companies. PHS used these made-up five-star reviews to dilute legitimate one-star reviews from actual customers, artificially boosting the overall ratings of the listed companies.
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“Premium Home Service’s use of fake business profiles and reviews violates federal and state laws, harming consumers and businesses,” said Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection. “The Trump-Vance FTC is committed to addressing deceptive conduct that harms the American people and undermines competition.”
### Fabricated company names
Since at least 2018, Illinois-based B.E.S.T. GDR LLC, which does business as PHS, has operated around the country using scores of fabricated company names, according to the [complaint](https://www.ftc.gov/legal-library/browse/cases-proceedings/best-gdr-llc-et-al-united-states-state-illinois-v-timeline-item-2026-05-11?ref=consumernews.ai).
The complaint alleges that PHS pretends to operate as an established brick-and-mortar company located near where consumers live. To market its services, PHS has created thousands of online business profiles for non-existent home-repair companies, which are typically not registered with the state. The local addresses in these profiles belong to unrelated third parties or are made up, according to the complaint.
Tens of thousands of consumers searching for local home repair service companies have been diverted to the defendants’ business profiles, which include common keywords used to search for such services, including “electrical services,” “plumbing,” “heating and cooling” and “garage door repair,” the complaint alleges.
Consumers who reach the defendants’ business profiles allegedly see fabricated five-star reviews and ratings designed to encourage them to select that company for service.
According to the [complaint](https://www.ftc.gov/legal-library/browse/cases-proceedings/best-gdr-llc-et-al-united-states-state-illinois-v-timeline-item-2026-05-11?ref=consumernews.ai), consumers who try to call local phone numbers for local businesses are instead routed to representatives located elsewhere, including in the Philippines. These representatives typically tell consumers a “technician” can be dispatched to their address within a particular window of time. Often, however, the representatives do not know whether any technician is available and, in many cases, no one shows up at the consumers’ homes. In other cases, PHS arranges for technicians who are not licensed or qualified to perform the job, resulting in subpar—and at times dangerous—work.
### Violations listed
Based on this conduct, the complaint alleges that the defendants violated:
- the FTC Act by making deceptive claims about being a local home-repair business operating from a specific address, making deceptive claims about sending technicians on a specific date and time from a local business, and making deceptive claims related to fake reviews;
- the Reviews and Testimonials Rule by writing, creating, buying, or selling fake reviews and seeking and using fake reviews from employees and relatives; and
- the Gramm-Leach-Bliley Act by making false, fictitious, or fraudulent statements to obtain consumers’ financial information.
The complaint also alleges PHS violated Illinois consumer protection laws.
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### Shutterstock faces $35 million penalty for FTC finding of unfair subscription charges
URL: https://www.consumernews.ai/shutterstock-faces-35-million-penalty/
Last updated: 2026-06-19T19:15:55.000Z
You may never have heard of [Shutterstock](https://www.shutterstock.com/images?ref=consumernews.ai) but thousands of web publishers have. Its an online stock photo agency that supplies images of happy, smiling people used in advertisements and online news and marketing sites.
But the Federal Trade Commission says the company’s sales pitches didn’t always clearly focus on its subscription policies and now it will have to pay $35 million to settle the FTC’s allegations that it illegally made tens of millions of dollars from a range of unfair and deceptive practices, including charging consumers for products without their informed consent and making it difficult to cancel subscriptions.
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“Subscription and negative option features can be beneficial for both companies and consumers, making renewal simpler and streamlining payment processes,” [said](https://www.ftc.gov/news-events/news/press-releases/2026/05/shutterstock-pay-35-million-settle-ftc-allegations-over-illegal-subscription-cancellation-practices?ref=consumernews.ai) Christopher Mufarrige, Director of the FTC’s Bureau of Consumer Protection. “But these benefits depend critically on firms clearly disclosing material terms, securing express and informed consent before charging consumers, and ensuring cancellation is a straightforward and simple process.
“When firms fail to follow these simple principles, they deprive consumers of the ability to make informed choices, undermining consumer sovereignty and impeding competition. The Commission’s action today underscores its commitment to preserving consumer choice and facilitating competition in digital markets and subscriptions,” he said.
### What it does
New York-based Shutterstock licenses stock photos, graphics, videos and music clips that consumers can pay to use. Since at least 2020, the company has offered most of its content through online subscriptions, which allow consumers to download a specified number of pieces of content per month and retain a license to use the content for a set time.
Consumers subscribe to Shutterstock’s products online, either by going to the company’s website or by clicking on advertisements that allow users to subscribe to specific products. The company offers several plans for licensing content on its website, including annual paid-up-front (APU) and annual paid monthly (APM) subscriptions and on-demand “packs.”
The Commission alleged that Shutterstock failed to disclose important information about the terms of these plans.
According to the [agency’s complaint](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/ShutterStock-Complaint.pdf?ref=consumernews.ai), Shutterstock advertised its on-demand packs as “Best for a one-time project,” with “no commitment,” but failed to adequately disclose that these packs automatically renewed when the last download in the pack was used and—until early 2024—that they automatically renewed after one year.
The complaint further alleges that the “plan selection” page of Shutterstock’s desktop APM enrollment flow frequently failed to clearly disclose material terms of the APM plans including that the plans will automatically renew at the end of each year and that consumers will be charged a fee to cancel an APM plan before the end of the term. Shutterstock often buried such details in difficult-to-find fine print, the complaint alleges.
The FTC’s complaint charged Shutterstock with:
- Failing to clearly and conspicuously disclose material terms before billing. Shutterstock failed to disclose the renewal terms, what cancellation fees applied and when, and the amount of the fees.
- Failing to obtain consumers’ express informed consent. Shutterstock failed to get consent to charge consumers’ credit cards before charging them for subscriptions and content packs.
- Failing to provide simple cancellation mechanisms. Shutterstock has failed to provide simple means for consumers to cancel their subscriptions. For example, before 2024, consumers could not complete early cancellation online and were required to contact customer support by phone, chat, or email, all of which were a complicated and time-consuming process.
Under [the FTC’s proposed order](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/Shutterstock-ExhibitA.pdf?ref=consumernews.ai), Shutterstock will pay $35 million, which will be used to provide full relief to the consumers harmed by Shutterstock’s illegal billing and cancellation practices.
The proposed order also prohibits Shutterstock from misrepresenting material terms of its subscription offerings and requires it to disclose material terms of its subscription offerings, obtain consumers’ express informed consent to charges and maintain simple cancellation mechanisms for negative option features.
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### The American consumer just won’t stop spending
URL: https://www.consumernews.ai/the-american-consumer-just-wont-stop/
Last updated: 2026-06-19T19:15:55.000Z
##
Image: MidJourney
Census Bureau data released Thursday showed retail sales rose 0.5 percent in April and were up by the same amount once automobiles and fuel were stripped out, [The New York Times reported](https://www.nytimes.com/2026/05/14/business/retail-sales-consumer-spending-april.html?ref=consumernews.ai).
It was the third consecutive monthly gain, [Bloomberg said](https://www.bloomberg.com/news/articles/2026-05-14/us-retail-sales-moderated-in-april-as-gas-surge-crimped-budgets?ref=consumernews.ai), following a revised 1.6 percent jump in March. The Bloomberg report noted the figures are not adjusted for inflation, so part of the increase reflects higher prices rather than larger basket sizes.
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The Times found stubborn strength in discretionary spending. “Sales advanced in discretionary segments, such as electronics, which counters the narrative of consumers cutting back,” it noted. Thomas Simons, an economist at Jefferies, [told The Times](https://www.nytimes.com/2026/05/14/business/retail-sales-consumer-spending-april.html?ref=consumernews.ai) the picture is one of “a fairly bulletproof consumer overall” — Americans, he added, are “generally … not changing their behavior much” in response to the war in Iran.
The Wall Street Journal’s read was more cautious: it described retailers’ growth as having “cooled last month,” [pointing to the slower rise in gasoline prices](https://www.wsj.com/business/retail/retailers-sales-growth-cooled-last-month-b121db6e?ref=consumernews.ai) as the main reason for the moderation.
The “bulletproof” customer is not universally distributed. The Times observed that “consumer spending has been largely driven by affluent households for years,” and that even as outlays rise, paychecks “are struggling to keep pace with rising inflation” and “public sentiment among consumers is notably poor.”
## Walmart says price hikes start by month’s end as appeals court saves Trump’s tariffs
The biggest American retailer used its earnings call to do something most chains have spent the spring trying to avoid: tell shoppers the bill is coming. Walmart Chief Financial Officer John David Rainey said customers should expect price increases by the end of May, with “more significant” hikes likely in June, [Reuters reported](https://www.reuters.com/business/retail-consumer/walmart-warns-higher-prices-withholds-second-quarter-profit-guidance-2025-05-15/?ref=consumernews.ai), as the company tries to absorb tariff costs on container imports from China.
Same-store sales rose 4.5 percent in the quarter, and adjusted earnings of 61 cents per share beat the 58-cent analyst consensus, but the company withheld second-quarter profit guidance. Chief Executive Doug McMillon said the chain would try to keep tariff costs from rolling onto food prices.
Walmart is not alone. Walmart said general-merchandise inflation in its stores ran above 3 percent in the most recent quarter, up from 1.7 percent in the summer, [CBS News reported](https://www.cbsnews.com/news/walmart-trump-tariffs-general-merchandise-inflation/?ref=consumernews.ai), and Columbia Sportswear had told analysts earlier this spring it would push spring and fall prices up by a “high single-digit percent.” Walmart’s CFO blamed the climb on tariffs: “tariff-related costs lifted prices across many categories,” he told analysts, [as quoted by CBS News](https://www.cbsnews.com/news/walmart-trump-tariffs-general-merchandise-inflation/?ref=consumernews.ai).
The retailer’s warning lands the same week the U.S. Court of Appeals for the Federal Circuit gave the administration room to keep collecting the 10 percent global tariff that a lower court had struck down.
The appellate court issued an administrative stay on Tuesday in the case brought by two importers and a coalition of 24 states, [The Wall Street Journal reported](https://www.wsj.com/livecoverage/cpi-inflation-report-stock-market-05-12-2026/card/federal-appeals-court-allows-trump-to-keep-collecting-10-tariffs-for-now-Pkt550sUKbcR3cYC9wux?ref=consumernews.ai), allowing the levies to remain in force while the appeal moves forward. [Bloomberg confirmed](https://www.bloomberg.com/news/articles/2026-05-12/court-halts-order-declaring-new-trump-tariffs-unlawful-for-now?ref=consumernews.ai) that the pause keeps officials collecting the tariffs during the litigation. The administration asked the court for a decision by Friday.
—
*This summary, based on AI research, originally appeared on* [*ConsumerNews.ai*](https://www.consumernews.ai/xi-tells-trump-he-will-not-arm-iran-but-the-hormuz-stays-mostly-shut-and-american-shoppers-keep-paying/)*.*
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### Xi tells Trump he will not arm Iran, but the Hormuz stays mostly shut, and American shoppers keep paying
URL: https://www.consumernews.ai/xi-tells-trump-he-will-not-arm-iran-but-the-hormuz-stays-mostly-shut-and-american-shoppers-keep-paying/
Last updated: 2026-05-15T12:45:15.000Z
#
**Compiled by Perplexity**
The Trump-Xi summit ended Thursday with a polite communique, a promise that the Strait of Hormuz "must remain open" and a private assurance from Xi Jinping that China will not send military equipment to Tehran — but the chokepoint is still effectively closed, an Indian-flagged tanker was attacked off Oman the same day, and at $4.53-a-gallon gasoline the American consumer's wallet keeps thinning even as the headline numbers say otherwise.
April retail sales rose for a third straight month. Walmart confirmed it will start raising prices by the end of May because of tariffs that a federal appeals court has now allowed Washington to keep collecting. The airport industry warned that summer fares will stay high as a jet fuel crunch deepens. And U.S. beer sales just had their worst week of the year. Five storylines, one ledger — here is the top of the news.
## A summit produces words on Hormuz, not yet a ship
The two-day Beijing summit closed Friday with President Trump and Chinese President Xi Jinping telling reporters they "feel very similar on Iran" and want the war ended, [as CBS News reported from the meeting](https://www.cbsnews.com/live-updates/trump-xi-iran-war-strait-hormuz-lebanon-israel-peace-talks/?ref=consumernews.ai). According to the White House readout, "The two sides agreed that the Strait of Hormuz must remain open to support the free flow of energy," Xi made clear China's opposition "to the militarization of the Strait and any effort to charge a toll for its use," and "both countries agreed that Iran can never have a nuclear weapon."
The most consumer-relevant line from the meeting did not appear in the formal statement. Trump told Fox News that Xi assured him China would "not going to give \[Iran\] military equipment" — "a big statement," the president said, "He said that today. That's a big statement. He said that strongly," [according to CBS's transcript of the interview](https://www.cbsnews.com/live-updates/trump-xi-iran-war-strait-hormuz-lebanon-israel-peace-talks/?ref=consumernews.ai). Xi also "expressed interest in purchasing more American oil to reduce China's dependence on the Strait in the future," the White House said.
Markets noticed. Treasury Secretary Scott Bessent, traveling with the president, [told CNBC](https://www.cnbc.com/2026/05/14/china-xi-trump-iran-war-oil-strait-hormuz-bessent.html?ref=consumernews.ai) it is "highly advantageous" for Beijing to see the strait reopened and "I think they will be working with, behind the scenes, to the extent anyone has any say over the Iranian leadership." Iran's foreign minister, Abbas Araghchi, kept his line of attack alive in New Delhi: "As far as we are concerned, the Strait of Hormuz is open for all, you know, commercial vessels," he said, but "they need to cooperate with our navy forces," [per CBS News](https://www.cbsnews.com/live-updates/trump-xi-iran-war-strait-hormuz-lebanon-israel-peace-talks/?ref=consumernews.ai). Reports from Iran's semi-official Fars news agency said Tehran has been letting some Chinese ships through after direct conversations with Beijing's foreign minister and ambassador.
The same day the leaders shook hands, two ships were attacked. An Indian-flagged vessel was struck off the coast of Oman, and a separate commercial ship was taken by "unauthorized personnel" 38 nautical miles off the United Arab Emirates and pointed toward Iranian waters, [a U.K. maritime agency told CBS News](https://www.cbsnews.com/live-updates/trump-xi-iran-war-strait-hormuz-lebanon-israel-peace-talks/?ref=consumernews.ai). CENTCOM commander Adm. Brad Cooper said the broader U.S. campaign had "significantly degrade\[d\]" Iran's ability to halt commerce, [as quoted by CBS](https://www.cbsnews.com/live-updates/trump-xi-iran-war-strait-hormuz-lebanon-israel-peace-talks/?ref=consumernews.ai), but "their voice is very loud, and those threats are clearly heard by the merchant industry and the insurance industry."
## The American consumer just won't stop spending
Census Bureau data released Thursday showed retail sales rose 0.5 percent in April and were up by the same amount once automobiles and fuel were stripped out, [The New York Times reported](https://www.nytimes.com/2026/05/14/business/retail-sales-consumer-spending-april.html?ref=consumernews.ai).
It was the third consecutive monthly gain, [Bloomberg said](https://www.bloomberg.com/news/articles/2026-05-14/us-retail-sales-moderated-in-april-as-gas-surge-crimped-budgets?ref=consumernews.ai), following a revised 1.6 percent jump in March. The Bloomberg report noted the figures are not adjusted for inflation, so part of the increase reflects higher prices rather than larger basket sizes.
The Times found stubborn strength in discretionary spending. "Sales advanced in discretionary segments, such as electronics, which counters the narrative of consumers cutting back," it noted. Thomas Simons, an economist at Jefferies, [told The Times](https://www.nytimes.com/2026/05/14/business/retail-sales-consumer-spending-april.html?ref=consumernews.ai) the picture is one of "a fairly bulletproof consumer overall" — Americans, he added, are "generally … not changing their behavior much" in response to the war in Iran.
The Wall Street Journal's read was more cautious: it described retailers' growth as having "cooled last month," [pointing to the slower rise in gasoline prices](https://www.wsj.com/business/retail/retailers-sales-growth-cooled-last-month-b121db6e?ref=consumernews.ai) as the main reason for the moderation.
The "bulletproof" customer is not universally distributed. The Times observed that "consumer spending has been largely driven by affluent households for years," and that even as outlays rise, paychecks "are struggling to keep pace with rising inflation" and "public sentiment among consumers is notably poor."
## Walmart says price hikes start by month's end as appeals court saves Trump's tariffs
The biggest American retailer used its earnings call to do something most chains have spent the spring trying to avoid: tell shoppers the bill is coming. Walmart Chief Financial Officer John David Rainey said customers should expect price increases by the end of May, with "more significant" hikes likely in June, [Reuters reported](https://www.reuters.com/business/retail-consumer/walmart-warns-higher-prices-withholds-second-quarter-profit-guidance-2025-05-15/?ref=consumernews.ai), as the company tries to absorb tariff costs on container imports from China.
Same-store sales rose 4.5 percent in the quarter, and adjusted earnings of 61 cents per share beat the 58-cent analyst consensus, but the company withheld second-quarter profit guidance. Chief Executive Doug McMillon said the chain would try to keep tariff costs from rolling onto food prices.
Walmart is not alone. Walmart said general-merchandise inflation in its stores ran above 3 percent in the most recent quarter, up from 1.7 percent in the summer, [CBS News reported](https://www.cbsnews.com/news/walmart-trump-tariffs-general-merchandise-inflation/?ref=consumernews.ai), and Columbia Sportswear had told analysts earlier this spring it would push spring and fall prices up by a "high single-digit percent." Walmart's CFO blamed the climb on tariffs: "tariff-related costs lifted prices across many categories," he told analysts, [as quoted by CBS News](https://www.cbsnews.com/news/walmart-trump-tariffs-general-merchandise-inflation/?ref=consumernews.ai).
The retailer's warning lands the same week the U.S. Court of Appeals for the Federal Circuit gave the administration room to keep collecting the 10 percent global tariff that a lower court had struck down.
The appellate court issued an administrative stay on Tuesday in the case brought by two importers and a coalition of 24 states, [The Wall Street Journal reported](https://www.wsj.com/livecoverage/cpi-inflation-report-stock-market-05-12-2026/card/federal-appeals-court-allows-trump-to-keep-collecting-10-tariffs-for-now-Pkt550sUKbcR3cYC9wux?ref=consumernews.ai), allowing the levies to remain in force while the appeal moves forward. [Bloomberg confirmed](https://www.bloomberg.com/news/articles/2026-05-12/court-halts-order-declaring-new-trump-tariffs-unlawful-for-now?ref=consumernews.ai) that the pause keeps officials collecting the tariffs during the litigation. The administration asked the court for a decision by Friday.
## A jet fuel crunch is locking in a painful summer for travelers
The Iran war's most visible consumer side-effect is the gas pump. Its less visible one is at the airport. The near-halt of shipping through the Strait of Hormuz "has disrupted oil exports from the Persian Gulf, forcing refineries elsewhere to cut production of jet fuel and its base ingredient, kerosene," [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-11/a-jet-fuel-shortage-why-airlines-are-canceling-flights-and-raising-airfares?ref=consumernews.ai).
More than 10 percent of the world's jet fuel and kerosene is normally produced in the Middle East, and Bloomberg said Mideast refiners "have struggled to deliver cargoes to buyers outside the region."
Airports Council International, the global airport trade body, told Bloomberg this week that higher fuel and ticket costs "are threatening to push airlines to cut more flights and disrupt summer travel." Stefano Baronci, the group's director general for Asia Pacific and the Middle East, [said in remarks reported by Bloomberg](https://www.bloomberg.com/news/articles/2026-05-13/high-airfares-threaten-to-disrupt-summer-flights-group-says?ref=consumernews.ai) that "higher prices are destroying demand and passengers should brace for airfares to stay higher."
The warning lands as travel demand is otherwise holding up: AAA still expects a record number of Memorial Day road-trip drivers despite "surging pump prices," [Bloomberg said](https://www.bloomberg.com/news/articles/2026-05-11/memorial-day-road-trips-to-barely-rise-as-gas-spikes-aaa-says?ref=consumernews.ai), suggesting Americans plan to drive even where they can no longer afford to fly.
## Sentiment hits a new record low — and consumers are starting to skip the beer
The University of Michigan's preliminary May consumer sentiment index slid to 48.2, a fresh all-time low and below the 49.7 reading economists had expected, [The Wall Street Journal reported](https://www.wsj.com/economy/consumers/consumer-sentiment-falls-to-new-record-lows-amid-war-in-iran-7ae40a27?ref=consumernews.ai). The Journal said the dip undercut even April's record-low print, and that "rising gasoline prices intensified worries regarding the U.S. economy."
The fingerprints of that pessimism are now showing up in volume data for one of the most price-elastic discretionary purchases in the store. Nielsen data covering the week ending May 2 showed sales of beer, flavored malt beverages and cider down 6.3 percent year over year on a two- and four-week trailing basis, [CNBC reported](https://www.cnbc.com/2026/05/13/beer-demand-stumbles-as-gas-prices-surge-data-show.html?ref=consumernews.ai).
Beer sales had already slipped about 3 percent between November and mid-April. Bernstein analysts found convenience-store chains saw sales drop roughly 9 percent year over year in the two weeks after April 26\. California — where pump prices are the highest in the nation — had the steepest fall, with beer volume down 16 percent over the four weeks ending May 2; Arizona's volume was off 10 percent. AB InBev's Michelob Ultra has held volume steady, but Bud Light and Budweiser are facing double-digit declines, CNBC said, and Constellation Brands is taking share.
Nadine Sarwat, the Bernstein analyst, drew a tidy line from the gas pump to the cooler. "We observe a negative correlation between the current gas prices in a state and the sequential trend in beer/FMB/cider growth," she [told CNBC](https://www.cnbc.com/2026/05/13/beer-demand-stumbles-as-gas-prices-surge-data-show.html?ref=consumernews.ai). "The additional weakness in beer/FMB/cider seems to be emerging in other beverage categories as well, potentially indicating increasing cyclical pressures on the U.S. consumer." The University of Michigan survey CNBC cited found that one-third of respondents named gasoline as their single biggest economic concern.
## The bigger picture
Read together, Thursday's five stories sketch the same economy from five angles. Diplomatically, the United States got the most it was going to get out of Beijing — a Hormuz statement, a private no-arms pledge from Xi, an expression of Chinese interest in buying more American oil. None of it has reopened the strait, and ships are still being attacked at sea.
Statistically, the consumer kept buying in April for the third month in a row. Operationally, Walmart admitted what cardholders are about to see at the register, and a federal appeals court let the tariffs that drive those prices keep running. Aerially, the jet fuel that vacationers will need in July is being rationed today. And behaviorally, sentiment is now lower than it was during the 2008 financial crisis or the 2022 inflation peak, and Americans, finally, are quietly putting a six-pack back on the shelf. The summit produced words; the spreadsheet is still doing its own talking.
### Daily National Recall Report — May 14, 2026
URL: https://www.consumernews.ai/daily-national-recall-report-may-2d8/
Last updated: 2026-06-19T19:15:56.000Z
#
## NHTSA Vehicle Recalls
- Ford recalled approximately 274,000 Expedition and Lincoln Navigator SUVs because brake lines may contact the engine air cleaner outlet pipe, potentially causing brake fluid leaks and reduced braking performance. ([reuters.com](https://www.reuters.com/business/autos-transportation/ford-recalls-nearly-274000-us-vehicles-due-brake-issue-nhtsa-says-2026-05-14/?utm%5Fsource=chatgpt.com))
- Waymo’s recall of nearly 3,800 autonomous robotaxis remains active after software failures reportedly allowed vehicles to drive into flooded roadways. ([nypost.com](https://nypost.com/2026/05/13/lifestyle/waymo-recalls-nearly-4000-robotaxis-after-vehicle-drove-into-flood/?utm%5Fsource=chatgpt.com))
- Mercedes-Benz continues recalling about 144,000 vehicles because infotainment software resets may disable the instrument cluster display while driving. ([reuters.com](https://www.reuters.com/legal/litigation/mercedes-benz-recall-144049-us-vehicles-over-display-issues-nhtsa-says-2026-05-08/?utm%5Fsource=chatgpt.com))
Official VIN lookup:
[NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
---
## CPSC Consumer Product Recalls
- CPSC warned consumers to immediately stop using Northlight bio-ethanol tabletop fireplaces due to flame jetting and severe burn/fire hazards. Multiple injuries have been reported. ([cpsc.gov](https://www.cpsc.gov/Warnings/2026/CPSC-Warns-Consumers-to-Stop-Using-Northlight-Bio-Ethanol-Portable-Tabletop-Fireplaces-Immediately-Due-to-Risk-of-Serious-Burn-Injury-or-Death-from-Flame-Jetting-and-Fire-Hazards?utm%5Fsource=chatgpt.com))
- Thermos’ massive recall of approximately 8.2 million Stainless King food jars and bottles remains active because lids may eject under pressure, creating impact and laceration risks. ([cpsc.gov](https://www.cpsc.gov/Recalls/2026/Thermos-Recalls-8-2-Million-Stainless-King-Food-Jars-and-Bottles-Due-to-Serious-Impact-Injury-and-Laceration-Hazards?utm%5Fsource=chatgpt.com))
- AirClub bedside bassinets continue under recall due to fall and entrapment hazards violating federal sleep safety standards. ([cpsc.gov](https://www.cpsc.gov/Recalls/2026/AirClub-Convertible-Bassinets-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Fall-Hazard-Violates-Mandatory-Standard-for-Bedside-Sleepers?utm%5Fsource=chatgpt.com))
Official recalls page:
[CPSC Recalls & Alerts](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
---
## FDA Food, Drug & Medical Product Recalls
### Food recalls
- FDA expanded oversight of a broad Salmonella-related recall tied to powdered milk ingredients supplied by California Dairies. Affected products now include snack foods, frozen foods, chips, and prepared meals sold nationally. ([fda.gov](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-powdered-milk-california-dairies-inc-due-potential-salmonella?utm%5Fsource=chatgpt.com))
- Spring & Mulberry’s nationwide chocolate bar recall continues over possible Salmonella contamination linked to date ingredients. ([fda.gov](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/spring-mulberry-expands-voluntary-recall-select-chocolate-bars-because-possible-health-risk?utm%5Fsource=chatgpt.com))
- FDA posted additional alerts involving kippered herring products because of potential Clostridium botulinum contamination. ([fda.gov](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
### Drug & medical recalls
- Acella Pharmaceuticals’ naproxen oral suspension recall remains active after FDA testing found elevated lead and lithium contamination. ([eatingwell.com](https://www.eatingwell.com/naproxen-recalled-chemical-contamination-11971796?utm%5Fsource=chatgpt.com))
- FDA continues its highest-risk recall classification for certain Boston Scientific pacemaker devices because battery software issues could interrupt pacing support. ([aha.org](https://www.aha.org/news/headline/2026-05-08-fda-issues-most-serious-recall-certain-pacemaker-devices-boston-scientific?utm%5Fsource=chatgpt.com))
Official FDA alerts page:
[FDA Recalls & Safety Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
---
## USDA / FSIS Alerts
- USDA FSIS maintained its public health alert involving meat and poultry products made with recalled dairy ingredients potentially contaminated with Salmonella. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-various-meat-and-poultry-products-containing-fda?utm%5Fsource=chatgpt.com))
- FSIS continues warning consumers about ravioli pasta products with undeclared allergens and labeling issues. ([fsis.usda.gov](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-ravioli-pasta-beef-sauce-due-misbranding-and?utm%5Fsource=chatgpt.com))
- USDA also continues monitoring ready-to-eat deli meat products associated with possible Listeria contamination. ([people.com](https://people.com/public-health-alert-issued-for-headcheese-for-possible-listeria-contamination-11971682?utm%5Fsource=chatgpt.com))
Official USDA alerts page:
[USDA FSIS Recalls & Alerts](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### California recruits former CFPB chief Rohit Chopra to lead new consumer “super-agency”
URL: https://www.consumernews.ai/california-recruits-former-cfpb-chief/
Last updated: 2026-06-19T19:15:56.000Z
#### The new Business and Consumer Services Agency will consolidate oversight of banking, real estate, consumer affairs, cannabis, alcohol regulation and other sectors beginning July 1.
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As Washington scales back federal consumer protection efforts, Gov. Gavin Newsom is turning to one of the country’s best-known financial watchdogs to strengthen California’s regulatory muscle.
Newsom announced this week that former Consumer Financial Protection Bureau director Rohit Chopra will become the inaugural secretary of California’s newly created Business and Consumer Services Agency, a cabinet-level entity designed to centralize oversight of major consumer-facing industries, according to [Consumer Finance Monitor](https://www.consumerfinancemonitor.com/2026/05/13/california-governor-newsom-taps-former-cfpb-director-rohit-chopra-to-lead-regulatory-super-agency/?utm%5Fsource=chatgpt.com).
The agency, scheduled to launch July 1, will oversee a broad network of state departments and licensing bodies, including California’s Department of Financial Protection and Innovation, Department of Consumer Affairs and Department of Real Estate.
For consumers, the appointment could mean California becomes even more aggressive in policing junk fees, deceptive lending, hidden charges, privacy abuses and other practices that Chopra frequently targeted during his time leading the CFPB.
“While federal agencies are making life more expensive and enriching special interests, California will be firing on all cylinders to make sure markets aren’t rigged against families and small businesses,” Chopra said in a statement.
## A state-level CFPB?
The announcement comes as the federal [CFPB](https://www.consumerfinance.gov/complaint/?ref=consumernews.ai) — created after the 2008 financial crisis — has faced sharp cutbacks and political attacks during President Donald Trump’s second term.
Chopra, who led the CFPB from 2021 until being dismissed in early 2025, became known for aggressive actions against banks, fintech firms, mortgage companies and payment platforms. During his tenure, the bureau said it recovered nearly $10 billion in consumer refunds and penalties.
California officials are openly framing the new agency as a counterweight to what they describe as weakening federal enforcement.
Newsom’s office [said](https://www.gov.ca.gov/2026/05/12/governor-newsom-appoints-former-federal-regulator-rohit-chopra-to-head-new-business-and-consumer-services-agency-amid-trump-era-rollbacks/?utm%5Fsource=chatgpt.com) the state plans to continue efforts to crack down on hidden fees, predatory practices, online privacy abuses and corporate misconduct even as federal oversight retreats.
The structure of the new agency could give California unusually broad power over multiple sectors affecting consumers, including:
- banking and lending
- debt collection
- real estate
- professional licensing
- cannabis businesses
- alcohol regulation
- consumer complaints and enforcement
Legal analysts say the consolidation could allow regulators to coordinate investigations more aggressively across industries. ([buchalter.com](https://www.buchalter.com/blogs/from-the-cfpb-to-california-what-chopras-appointment-to-lead-the-new-business-and-consumer-services-agency-means-for-regulated-industries/?utm%5Fsource=chatgpt.com))
## What it could mean for consumers
Consumer advocates have long viewed California as a testing ground for stricter financial and consumer protection rules.
The state’s Department of Financial Protection and Innovation already operates under a California consumer-finance law modeled partly on the CFPB and has authority over payday lenders, mortgage companies, debt collectors, fintech firms and certain crypto-related businesses.
Under Chopra, observers expect California could intensify scrutiny of:
- junk fees and hidden charges
- high-interest lending
- fintech and digital payment systems
- consumer data practices
- debt collection
- AI and automated decision-making
- corporate consolidation affecting prices
Business groups and financial institutions are watching closely.
[Industry publications](https://www.gov.ca.gov/2026/05/12/governor-newsom-appoints-former-federal-regulator-rohit-chopra-to-head-new-business-and-consumer-services-agency-amid-trump-era-rollbacks/?utm%5Fsource=chatgpt.com) noted that the new agency will combine “dozens of boards, bureaus and departments under one roof,” potentially creating a more centralized enforcement apparatus.
Some banking and credit union groups said they are still trying to determine how aggressive Chopra’s California agenda may become.
### Affordability Watch
The political backdrop is clear: rising consumer frustration over prices, fees, debt and affordability.
Newsom’s office linked the appointment directly to affordability issues, saying California intends to strengthen enforcement against “corporate abuse” and lower costs for residents.
That could put California regulators at the center of national fights over overdraft fees, buy-now-pay-later lending, digital banking, subscription traps, algorithmic pricing and consumer privacy.
The state already has some of the country’s strongest privacy and financial consumer laws. Chopra’s arrival suggests California may now try to expand its role as the nation’s most aggressive state-level consumer regulator.
For businesses operating nationally, that could mean California increasingly sets the de facto rules for the rest of the country.
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### Consumer watchdog CFPB plans office return but advocates say it remains weakened
URL: https://www.consumernews.ai/consumer-watchdog-cfpb-plans-office/
Last updated: 2026-06-19T19:15:56.000Z
#### Consumer advocates warn the agency’s reduced staffing and enforcement activity could still leave Americans more vulnerable to bank fees, predatory lending and debt collection abuses.
The Trump administration is preparing to recall employees to the office at the Consumer Financial Protection Bureau more than a year after shuttering the agency’s Washington headquarters and attempting to dismantle much of the bureau, according to a [Reuters](https://www.reuters.com/sustainability/boards-policy-regulation/us-consumer-finance-agency-bring-staff-back-office-year-after-closure-2026-05-12/?utm%5Fsource=chatgpt.com) report citing people familiar with the plans.
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The return-to-office plans have not yet been formally announced, and it remains unclear how many workers would be affected or whether the policy would apply to employees outside Washington, Reuters reported.
The CFPB, created after the 2008 financial crisis under the [Dodd-Frank Act](https://www.congress.gov/bill/111th-congress/house-bill/4173/text?ref=consumernews.ai), was designed to police abusive financial practices involving mortgages, credit cards, payday loans, debt collection and banking fees.
But since returning to office, President Donald Trump and allies including acting CFPB Director Russell Vought have repeatedly criticized the bureau as overly aggressive and burdensome to business.
In early 2025, the administration closed the CFPB headquarters, halted much of the agency’s work and sought to slash staffing levels by as much as 90 percent before courts intervened. Reuters previously reported that the administration later scaled back those plans but still proposed cutting the workforce by roughly two-thirds.
Court filings indicate CFPB staffing has already fallen about 30 percent since the start of the current administration.
The agency’s downtown Washington offices are now reportedly partly occupied by the Office of Management and Budget, which Vought also leads.
## Consumer protections still in limbo
While the return-to-office plan could suggest the CFPB will continue operating in some capacity, many of the agency’s major enforcement and regulatory efforts remain stalled or under attack.
This week, Senate Republicans blocked Democratic attempts to reverse several Trump-era CFPB rollbacks involving overdraft fees, medical debt protections and military lending oversight, [AP News](https://apnews.com/article/bb74493239eee8a540e902dd0f85f001?utm%5Fsource=chatgpt.com) reported.
Consumer advocates say the weakening of the CFPB could have real-world consequences for households already struggling with high debt levels and rising costs.
The CFPB has historically returned billions of dollars to consumers through enforcement actions involving banks, credit bureaus, mortgage servicers and fintech companies. Critics of the administration’s approach argue that a smaller CFPB could mean fewer investigations into junk fees, predatory loans and deceptive financial practices.
The agency oversees parts of the roughly $18 trillion U.S. consumer debt market, including credit cards, auto loans, mortgages and payday lending. ([Politico](https://www.politico.com/news/2025/11/11/trump-administration-declares-cfpb-funding-illegal-00646354?utm%5Fsource=chatgpt.com))
## Debt Watch
The CFPB’s uncertain future comes as American households continue facing elevated financial stress.
Recent Federal Reserve Bank of New York data showed rising delinquency rates for credit cards and auto loans, while many consumers are increasingly relying on high-interest borrowing to cover basic expenses.
Consumer groups have warned that reduced federal oversight could especially hurt financially vulnerable borrowers targeted by payday lenders, debt collectors and fee-heavy financial products.
The CFPB has also played a central role in efforts to regulate overdraft charges, medical debt reporting and “buy now, pay later” products — areas that directly affect household budgets.
## What consumers can do now
Financial experts recommend consumers:
- Carefully review bank and credit card fee disclosures.
- Monitor credit reports regularly for errors or fraudulent accounts.
- Be cautious with high-interest payday or installment loans.
- File complaints with regulators if lenders or debt collectors appear deceptive.
Consumers can still submit complaints through the CFPB website, although critics say the agency’s reduced staffing could slow investigations and enforcement activity.
[Subscribe](#/portal/signup)
### DOJ criminal probe into beef companies raises new questions about grocery prices
URL: https://www.consumernews.ai/doj-criminal-probe-into-beef-companies/
Last updated: 2026-06-19T19:15:57.000Z
#
The U.S. Department of Justice has reportedly escalated its scrutiny of the beef industry into a criminal antitrust investigation, a major development that could intensify pressure on some of the country’s largest meatpacking companies as consumers grapple with record-high beef prices.
According to a report by [The Wall Street Journal](https://www.wsj.com/politics/policy/justice-department-is-criminally-investigating-beef-companies-1f91a3c6?mod=Searchresults&pos=7&page=1&ref=consumernews.ai), the DOJ’s antitrust division is conducting a criminal investigation into the conduct of major meatpackers, including companies that dominate the U.S. beef-processing market.
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The companies reportedly under scrutiny include:
- Tyson Foods
- Cargill
- JBS USA
- National Beef Packing Company
Together, the firms process roughly 85% of U.S. grain-fed cattle used for supermarket beef products, according to Reuters.
## Why consumers should care
For many households, beef has become one of the most painful symbols of food inflation.
Ground beef, steaks and other meat products have surged in price over the past several years, driven by:
- shrinking cattle herds
- drought conditions
- higher feed costs
- labor shortages
- export demand
- supply-chain disruptions
But regulators and consumer advocates increasingly argue that market concentration and potentially anti-competitive behavior may also be playing a role.
The criminal investigation appears to center on whether large meatpackers coordinated pricing or supply decisions in ways that unlawfully inflated prices.
Criminal antitrust investigations are typically reserved for the most serious allegations, including:
- price fixing
- bid rigging
- market allocation
- collusion among competitors
No charges have been filed, and the companies involved have not been accused of wrongdoing in court.
## A broader federal crackdown on food prices
The probe comes as the Trump administration has increasingly linked antitrust enforcement to consumer affordability.
President Donald Trump publicly called for an investigation into meatpackers last year, accusing “majority foreign owned meat packers” of artificially inflating beef prices, [Politico](https://www.politico.com/news/2025/11/07/trump-meatpackers-investigation-beef-prices-00643152?utm%5Fsource=chatgpt.com) reported.
The DOJ has since signaled a broader focus on food-market competition.
Earlier this month, the department reached a [settlement](https://www.theoutragedconsumer.com/p/doj-says-meat-price-settlement-could?utm%5Fsource=publication-search) with Agri Stats, a firm accused of helping meat producers coordinate pricing and production decisions through detailed industry reports. DOJ officials said that settlement could help lower grocery costs over time.
Under the Agri Stats agreement:
- the company must limit the data it distributes
- more information must be shared with buyers like grocery stores and restaurants
- the firm will face years of compliance monitoring
Officials argue the changes could increase transparency and competition in meat markets.
## Will grocery bills actually fall?
That remains uncertain.
Economists say beef prices are being driven by multiple overlapping factors beyond market concentration alone.
The U.S. cattle herd is currently at its lowest level since the early 1950s, according to agricultural analysts, after years of drought and elevated feed costs forced ranchers to shrink herds, according to [AP News](https://apnews.com/article/5a15ca4dddb5c9e90b9af2505c101923?utm%5Fsource=chatgpt.com).
That supply shortage has collided with strong consumer demand, helping keep prices elevated.
Still, consumer advocates argue concentrated processing markets may worsen price pressures by giving a handful of companies enormous influence over:
- cattle purchases
- processing capacity
- wholesale pricing
- supermarket supply chains
Critics also say modern data-sharing systems and algorithmic pricing tools can allow companies to monitor competitors in ways that reduce meaningful competition even without explicit agreements.
“This is part of a broader national debate over whether concentrated industries and sophisticated data systems are quietly driving up prices for consumers,” one antitrust analyst said.
## A growing focus on “algorithmic” pricing
The beef investigation is part of a larger regulatory push examining how data and pricing systems shape consumer costs.
Federal and state regulators are increasingly scrutinizing:
- apartment-pricing software
- ticketing algorithms
- hotel pricing systems
- delivery-app fees
- retail dynamic pricing
- agricultural market data exchanges
The concern is that modern technology may make it easier for competitors to align pricing behavior without traditional backroom collusion.
That issue has become central to a widening debate over what some regulators call “surveillance pricing” — the use of detailed market and consumer data to maximize prices.
## What happens next
Criminal antitrust investigations can take months or years and do not always result in charges.
Still, the reported probe signals that the DOJ is treating grocery affordability and food-market concentration as major enforcement priorities.
For consumers frustrated by stubbornly high meat prices, the investigation may offer hope that regulators are taking a closer look at how prices are set throughout the food supply chain.
Whether that scrutiny ultimately translates into lower supermarket bills is another question entirely.
## Data Box: Why beef prices remain high
**Major drivers of beef inflation**
- Shrinking cattle herds
- Drought and feed costs
- Strong consumer demand
- Industry concentration
- Labor shortages
- Transportation costs
- Export demand
- Supply-chain disruptions
## Affordability Watch
Federal regulators are increasingly framing antitrust enforcement as a direct consumer-cost issue rather than a purely corporate or legal matter. The meatpacking investigation reflects a broader shift toward linking competition policy with grocery bills, household affordability and everyday consumer prices.
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### ACA premiums set to soar as enhanced subsidies expire, threatening coverage for millions
URL: https://www.consumernews.ai/aca-premiums-set-to-soar-as-enhanced/
Last updated: 2026-06-19T19:15:57.000Z
###
Image: ChatGPT
#### Analysts warn marketplace enrollment could fall by as much as 20% to 26%, with millions expected to lose coverage entirely.
The cost of health insurance is emerging as a major new affordability crisis for American households, with Affordable Care Act marketplace premiums projected to more than double next year after Congress allowed expanded pandemic-era subsidies to expire.
Average premiums for subsidized ACA coverage are expected to rise from roughly $888 per month in 2025 to about $1,904 in 2026 — an increase of about 114% — according to analysis cited by [KFF](https://www.kff.org/?utm%5Fsource=chatgpt.com) and reported by [CBS News](https://www.cbsnews.com/?utm%5Fsource=chatgpt.com).
[Subscribe](#/portal/signup)
The sticker shock is already pushing consumers away from coverage.
Enrollment for 2026 ACA plans is down by roughly 1.2 million people so far, according to reporting by [The New York Times](https://www.nytimes.com/?utm%5Fsource=chatgpt.com), with insurers and policy analysts warning total enrollment could fall from about 24 million people last year to roughly 19 million this year.
Some projections suggest the decline could be even steeper.
Industry estimates cited by The Times indicate ACA marketplace participation could fall by as much as 26%, while the Congressional Budget Office previously estimated that about four million Americans could ultimately lose health insurance coverage if the enhanced tax credits disappeared.
The subsidies were originally expanded during the COVID-19 pandemic under the [American Rescue Plan Act](https://www.congress.gov/bill/117th-congress/house-bill/1319?ref=consumernews.ai) and later extended through the Inflation Reduction Act. They substantially lowered monthly premiums for middle-income consumers who previously received little or no assistance.
Without those enhanced credits, many families are now facing what consumer advocates describe as “rate shock.”
“People who thought they had finally found affordable coverage are suddenly looking at mortgage-sized insurance bills,” said one marketplace navigator quoted in recent coverage of the issue.
### Middle-class consumers hit especially hard
> The largest increases are expected to hit consumers who earn too much to qualify for traditional Medicaid but relied on the enhanced ACA subsidies to keep premiums manageable.
Before the pandemic-era changes, many households earning above 400% of the federal poverty level received no premium assistance at all. The temporary expansion capped benchmark premiums at a percentage of income, helping millions of middle-income Americans buy insurance.
Now those caps are disappearing.
For older Americans and self-employed workers, monthly costs in some states are expected to climb by hundreds — or even thousands — of dollars.
Health policy experts warn many consumers may respond by downgrading coverage, accepting much higher deductibles, or dropping insurance entirely.
### Employer coverage also becoming more expensive
The affordability squeeze is not limited to ACA plans.
The New York Times reported that employer-sponsored coverage is also becoming more expensive as insurers pass along rising medical costs, prescription drug spending and hospital charges.
Workers are increasingly facing:
- Higher payroll deductions
- Larger deductibles
- Narrower provider networks
- Increased co-pays and coinsurance
- Greater use of high-deductible health plans
According to recent employer-benefit surveys from [KFF](https://www.kff.org/?utm%5Fsource=chatgpt.com), average family premiums for employer-sponsored insurance have already climbed above $25,000 annually, with workers contributing thousands of dollars out of pocket in addition to deductibles and co-pays.
Many consumers effectively remain underinsured even when they technically have coverage.
### Hospitals and insurers warn of ripple effects
Health insurers and hospital systems have warned that sharp enrollment declines could destabilize parts of the ACA marketplace by leaving a smaller and potentially sicker insurance pool behind.
If healthier consumers exit the market because of cost, insurers could respond with additional premium increases in future years.
Some insurers are also warning of growing pressure from:
- Higher hospital labor costs
- Expensive specialty drugs
- Increased use of GLP-1 weight-loss medications
- Rising behavioral health claims
- Medical inflation that has outpaced general inflation in some sectors
The combination has created what analysts increasingly describe as a second wave of household inflation — one centered on healthcare rather than groceries or gasoline.
### Health care poised to become election issue
With millions potentially facing higher premiums or losing insurance coverage altogether, healthcare affordability is expected to become a major political issue in the 2026 midterm elections.
Consumer advocates are urging Congress to restore or replace the enhanced subsidies before open enrollment intensifies later this year.
Without legislative action, analysts warn that many Americans could soon face difficult choices between paying for health coverage and covering other basic household expenses.
> “This is kitchen-table economics,” one health-policy analyst told CBS News. “For many families, these premium increases are simply not sustainable.”
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### Trump shakes hands with Xi in Beijing, but a seized tanker, $4.53 gas and a Thermos recall rule the morning at home
URL: https://www.consumernews.ai/trump-shakes-hands-with-xi-in-beijing-but-a-seized-tanker-4-53-gas-and-a-thermos-recall-rule-the-morning-at-home/
Last updated: 2026-05-14T11:34:05.000Z
**By Perplexity**
President Trump sat down with Xi Jinping in the Great Hall of the People on Thursday, and Wall Street watched in case the meeting produced anything that might pull gasoline back below $4.50 a gallon. It did not.
While the two leaders traded toasts and warnings, an unidentified commercial ship was seized 38 nautical miles off the United Arab Emirates and pointed toward Iran, a fresh reminder that the Strait of Hormuz is still effectively closed. Grocery shoppers, meanwhile, got the largest one-month food-at-home increase in nearly four years; some 1.2 million Americans have already dropped Affordable Care Act coverage as premiums roughly double; and 8.2 million Thermos jars and bottles are under recall after stoppers blew out and blinded three customers.
Five storylines, one wallet — here is the top of the news.
## Trump and Xi shake hands while traders wait for substance
The choreography in Beijing was meticulous. Trump's motorcade rolled past skyscrapers lit with the phrase "Beijing Welcome" on Wednesday night, [the Associated Press reported](https://apnews.com/article/trump-xi-china-iran-trade-a1d63a711a037472f5c1c330c2120bd5?ref=consumernews.ai), and on Thursday morning the two leaders began bilateral talks with a working tea and a state banquet on the schedule.
The White House had signaled possible Chinese commitments to buy U.S. soybeans, beef and aircraft, and Trump arrived with a delegation that included Nvidia's Jensen Huang, Secretary of State Marco Rubio, Treasury Secretary Scott Bessent and Defense Secretary Pete Hegseth, [according to AP's preview](https://apnews.com/article/trump-xi-china-iran-trade-a1d63a711a037472f5c1c330c2120bd5?ref=consumernews.ai).
The early read from the room was friendlier than the substance. Trump told Xi he had brought "the most prominent entrepreneurs" globally and that trade with China "will be completely reciprocal from our side," [NBC News reported from the live event](https://www.nbcnews.com/politics/trump-administration/live-blog/trump-china-trip-xi-live-updates-rcna344529?ref=consumernews.ai). Xi responded with a public warning that relations could "take a perilous turn" if Washington disregards Beijing's requests on Taiwan, [The New York Times said in its live coverage](https://www.nytimes.com/live/2026/05/13/world/trump-xi-summit-china?ref=consumernews.ai).
Analysts in both capitals tempered the optimism. "Neither side will make much headway on the two significant foreign policy issues," said Jim Lewis of the Center for European Policy Analysis, [in remarks carried by AP](https://apnews.com/article/trump-xi-china-iran-trade-a1d63a711a037472f5c1c330c2120bd5?ref=consumernews.ai). "Trump will urge the Chinese to assist him regarding Iran, but they will likely resist."
Markets handicapped a polite outcome. S&P 500 futures pointed to a modest rise and the index has been printing all-time highs on continued enthusiasm for artificial intelligence, [The New York Times reported](https://www.nytimes.com/2026/05/14/business/oil-stocks-gas-iran-trump-china.html?ref=consumernews.ai). South Korea's Kospi jumped nearly 2 percent on the back of chip stocks, while Japan's Nikkei 225 fell 1 percent. "Lying inflation are building, raising risk of tighter financial conditions," Bob Savage, head of markets macro strategy at BNY, [told The Times](https://www.nytimes.com/2026/05/14/business/oil-stocks-gas-iran-trump-china.html?ref=consumernews.ai).
## A ship is seized off the UAE and the strait stays shut
While Trump shook hands in Beijing, the war he is trying to end produced a new headline at sea. The U.K. Maritime Trade Operations said a commercial vessel was taken 38 nautical miles off the UAE coast on Thursday by "unauthorized personnel" and is now bound for Iranian waters, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-14/us-efforts-to-end-iran-war-stumble-as-ship-seized-near-uae?ref=consumernews.ai).
The seizure, Bloomberg said, "dealt a setback" to U.S. efforts to end the Iran war and "increased uncertainty over control of the critical Strait of Hormuz."
Translated into pump prices, the war is now in its 11th week and showing no sign of relenting. AAA put the national average for regular gasoline at $4.53 a gallon on Thursday, up two cents on the day and 52 percent above where it stood before the conflict began, [according to The New York Times](https://www.nytimes.com/2026/05/14/business/oil-stocks-gas-iran-trump-china.html?ref=consumernews.ai). Diesel held steady at $5.67, still 51 percent above its pre-war level. Brent crude was up about 1 percent and sits roughly 45 percent above its pre-war price; West Texas Intermediate closed at $102.18 a barrel.
The Times described the strait as "a vital maritime route that has been largely inaccessible since the conflict commenced." Trump's stated goal in Beijing, the paper noted, includes pressing Xi to lean on Tehran to end hostilities and reopen the chokepoint — China is the largest buyer of Iranian oil, [the AP noted in its summit preview](https://apnews.com/article/trump-xi-china-iran-trade-a1d63a711a037472f5c1c330c2120bd5?ref=consumernews.ai).
## Vegetables, beef and coffee push grocery bills to their worst month in nearly four years
The Bureau of Labor Statistics' April food-at-home index rose 0.7 percent — the largest one-month grocery jump in nearly four years — and is up 2.9 percent on the year, [NBC News reported](https://www.nbcnews.com/business/consumer/grocery-prices-jumped-april-iran-war-gas-rcna344762?ref=consumernews.ai). The category had actually slipped 0.2 percent in March, making the April reversal sharper than the headline number suggests.
The damage was concentrated in three corners of the store. Fresh vegetables are up more than 44 percent on an annualized basis compared with three months ago, NBC said. Coffee prices on grocery shelves have been climbing at a pace equivalent to more than 22 percent annually over the last quarter, hit by severe weather in Brazil and Vietnam, "increased shipping expenses and robust global demand."
Beef and veal "have spiked due to historically low cattle populations," a function of ranchers leaving the industry after years of thin margins and of higher operating costs — "especially diesel, which is crucial for farmers in their daily operations."
The retail picture squares with what producers see. Will Harris, a fourth-generation cattle rancher in Bluffton, Ga., said prices for the beef his farm sells direct to consumers, to restaurants and online are running about 20 percent above two years ago. "It's unprecedented for us," Harris [told NBC News](https://www.nbcnews.com/business/consumer/grocery-prices-jumped-april-iran-war-gas-rcna344762?ref=consumernews.ai). "I believe I can produce it as affordably as anyone else, but I'm uncertain where consumers set their limits."
Bank of America's card data shows households still spending — total card spending per household ran 4.8 percent above year-ago levels in April, up from 4.3 percent in March — but the bank's economists also noted that "the 'K' shape in spending and wage growth continues, with higher-income households performing better than their counterparts," [a divergence NBC reported is now wider than during the 2022 energy shock](https://www.nbcnews.com/business/consumer/grocery-prices-jumped-april-iran-war-gas-rcna344762?ref=consumernews.ai).
## Obamacare premiums double, and millions are walking away from coverage
The other inflation hitting kitchen tables this spring has nothing to do with food. Average premiums for the more than 20 million Americans receiving Affordable Care Act subsidies are on track to rise from roughly $888 a month in 2025 to about $1,904 in 2026 — a 114 percent increase — after Congress allowed the enhanced pandemic-era tax credits to expire on Dec. 31, [CBS News reported](https://www.cbsnews.com/news/aca-health-subsidies-insurance-prices/?ref=consumernews.ai), citing analysis by the health-policy nonprofit KFF.
Consumers are responding the way the actuaries warned they would. Initial sign-ups for 2026 ACA coverage are already down by about 1.2 million people, and "many insurers and analysts are predicting an overall reduction of nearly 20 percent," from 24 million enrollees last year to roughly 19 million this year, [The New York Times reported](https://www.nytimes.com/2026/05/01/business/obamacare-enrollment-decline.html?ref=consumernews.ai).
Some industry data quoted by The Times suggests marketplace enrollment "could decline by as much as 26 percent this year." The Congressional Budget Office has estimated that without an extension of the credits, about four million Americans will eventually lose insurance, [according to CBS News](https://www.cbsnews.com/news/aca-health-subsidies-insurance-prices/?ref=consumernews.ai).
Employer plans are not immune. The Times said premiums "are also rising for those who obtain insurance through their employers," out-of-pocket costs are climbing and high-deductible plans are gaining ground. Health care, the paper said, is "expected to be a significant issue in this year's midterm elections."
## Thermos recalls 8.2 million jars and bottles after stoppers blind three customers
Roughly 8.2 million Thermos containers are under recall after stoppers were "forcefully ejected" on opening, causing lacerations that required medical attention and leaving three customers with permanent vision loss, [CBS News reported](https://www.cbsnews.com/news/thermos-recall-8-million-food-jars-bottles-stopper-injuries/?ref=consumernews.ai). The company has received 27 reports of injury so far.
The recall covers Thermos Stainless King Food Jars (model numbers SK3000 and SK3020) manufactured before July 2023, and all Thermos Sportsman Food & Beverage Bottles (model SK3010). The products were sold in a variety of colors at Target, Walmart, Amazon.com and other retailers between roughly March 2008 and July 2024, [CBS said](https://www.cbsnews.com/news/thermos-recall-8-million-food-jars-bottles-stopper-injuries/?ref=consumernews.ai). Model numbers are stamped on the bottom of the containers.
The defect, the company said, was that the stoppers lacked a pressure-relief vent in the center, allowing built-up internal pressure to launch them on opening.
Consumers should stop using the affected products immediately and contact Thermos for a free replacement pressure-relief stopper or, depending on the model, a replacement bottle. The company has set up a recall site at [support.thermos.com](http://support.thermos.com/?ref=consumernews.ai) and a phone line at 662-563-6822, open 7 a.m. to 3:30 p.m. Central Time, Monday through Friday, [according to CBS News](https://www.cbsnews.com/news/thermos-recall-8-million-food-jars-bottles-stopper-injuries/?ref=consumernews.ai).
## The bigger picture
The day's five storylines look unrelated, but they sit on the same balance sheet. The president is in Beijing trying to talk Xi into helping reopen the Strait of Hormuz; until that strait opens, gasoline stays around $4.53 a gallon, diesel stays above $5.60, and the diesel surcharge keeps rolling forward into produce, beef and coffee at the grocery store. Household card spending is still rising, but the New York Fed says total delinquencies are at their highest level since 2017, even as the latest quarter showed them holding flat at 4.8 percent of balances — a small mercy, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-12/us-household-debt-delinquencies-stay-flat-in-first-quarter?ref=consumernews.ai). On top of that, the families with the least cushion are absorbing a roughly 114 percent jump in ACA premiums, and the simple act of opening a thermos for a worksite lunch has, in 27 documented cases, sent people to the emergency room.
Trump told reporters Wednesday that, on Americans' financial situations and the war, he is "laser focused" only on keeping Iran from building a nuclear weapon, [as reported by AP](https://apnews.com/article/trump-xi-china-iran-trade-a1d63a711a037472f5c1c330c2120bd5?ref=consumernews.ai). At kitchen tables, the focus is shorter-term: the gas tank, the grocery cart, the premium notice and the lunchbox.
### Daily National Recall Report — May 13, 2026
URL: https://www.consumernews.ai/daily-national-recall-report-may/
Last updated: 2026-06-19T19:15:58.000Z
#
## NHTSA Vehicle Recalls
- Waymo recalled approximately 3,800 autonomous robotaxis after a software issue allowed vehicles to drive into standing floodwater during severe weather events. The recall affects vehicles using Waymo’s fifth- and sixth-generation automated driving systems. ([New York Post](https://nypost.com/2026/05/13/lifestyle/waymo-recalls-nearly-4000-robotaxis-after-vehicle-drove-into-flood/?utm%5Fsource=chatgpt.com))
- Mercedes-Benz continues its recall of roughly 144,000 model year 2024–2026 vehicles because infotainment software resets may cause instrument panel displays to go blank while driving. Affected models include the C-Class, E-Class, AMG GT, GLC, SL, and CLE. ([Reuters](https://www.reuters.com/legal/litigation/mercedes-benz-recall-144049-us-vehicles-over-display-issues-nhtsa-says-2026-05-08/?utm%5Fsource=chatgpt.com))
- Stellantis recalled about 12,700 Ram 2500 Heavy Duty pickups because incorrect powertrain calibration may allow the trucks to exceed the speed rating of their tires, increasing crash risk. ([Road & Track](https://www.roadandtrack.com/news/a71269708/ram-2500-hd-heavy-duty-pickup-truck-recall-too-fast-for-tires/?utm%5Fsource=chatgpt.com))
- GM recalled more than 40,000 bottles of ACDelco DOT 3 brake fluid due to particulate contamination that could reduce braking performance. ([Car and Driver](https://www.caranddriver.com/news/a71252258/gm-acdelco-brake-fluid-recall/?utm%5Fsource=chatgpt.com))
Official VIN lookup:
[NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
---
## CPSC Consumer Product Recalls
- Wooden toddler towers sold under several Amazon brands were recalled after reports of collapses, tip-overs, and child injuries. ([Houston Chronicle](https://www.houstonchronicle.com/news/houston-texas/trending/article/nearly-13-000-wooden-toddler-towers-recalled-22234167.php?utm%5Fsource=chatgpt.com))
Official recalls page:
[CPSC Recalls & Alerts](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
---
## FDA Food, Drug & Medical Product Recalls
### Food recalls
- FDA continues monitoring a growing Salmonella-related recall wave tied to powdered milk ingredients supplied by California Dairies. Products affected include chips, popcorn, cheese snacks, pizzas, and packaged foods sold nationally. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-powdered-milk-california-dairies-inc-due-potential-salmonella?utm%5Fsource=chatgpt.com))
- Utz Quality Foods recalled certain Zapp’s and Dirty potato chip products because seasoning ingredients may contain Salmonella-contaminated dairy powder. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/utz-quality-foods-llc-issues-voluntary-recall-certain-limited-varieties-zapps-and-dirty-potato-chips?utm%5Fsource=chatgpt.com))
- Spring & Mulberry expanded a nationwide chocolate bar recall over possible Salmonella contamination linked to date ingredients. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/spring-mulberry-expands-voluntary-recall-select-chocolate-bars-because-possible-health-risk?utm%5Fsource=chatgpt.com))
- Horizon Organic chocolate milk remains under recall because packaging defects may compromise product safety and shelf stability. ([Health](https://www.health.com/horizon-organic-chocolate-milk-recall-may-2026-11969139?utm%5Fsource=chatgpt.com))
- FDA posted an alert for Ma Cohen’s kippered herring because of possible Clostridium botulinum contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
### Drug & medical recalls
- Acella Pharmaceuticals recalled naproxen oral suspension products after testing found elevated lead and lithium contamination. FDA classified the recall as Class II. ([EatingWell](https://www.eatingwell.com/naproxen-recalled-chemical-contamination-11971796?utm%5Fsource=chatgpt.com))
- FDA maintained a high-risk recall classification for certain Boston Scientific pacemakers due to software-related battery issues that may limit pacing functionality. ([American Hospital Association](https://www.aha.org/news/headline/2026-05-08-fda-issues-most-serious-recall-certain-pacemaker-devices-boston-scientific?utm%5Fsource=chatgpt.com))
Official FDA recalls page:
[FDA Recalls & Safety Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
---
## USDA / FSIS Alerts
- USDA FSIS continues a public health alert involving meat and poultry products made with recalled FDA-regulated dairy ingredients potentially contaminated with Salmonella. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-various-meat-and-poultry-products-containing-fda?utm%5Fsource=chatgpt.com))
- FSIS issued a public health alert for ravioli pasta products with beef sauce because of misbranding and undeclared allergens. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-ravioli-pasta-beef-sauce-due-misbranding-and?utm%5Fsource=chatgpt.com))
- USDA also warned consumers about ready-to-eat “headcheese” deli meat products tied to possible Listeria contamination and illnesses in Illinois. ([People.com](https://people.com/public-health-alert-issued-for-headcheese-for-possible-listeria-contamination-11971682?utm%5Fsource=chatgpt.com))
Official USDA alerts page:
[USDA FSIS Recalls & Alerts](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### FedEx, Uber accuse Philadelphia law firm of racketeering
URL: https://www.consumernews.ai/fedex-uber-accuse-philadelphia-law/
Last updated: 2026-06-19T19:15:58.000Z
Uber and FedEx are tired of being sued by [Simon & Simon, P.C.](https://www.gosimon.com/?ref=consumernews.ai), a Philadelphia law firm. So they’re suing the lawyers.
A federal judge in Pennsylvania has allowed the firm’s sweeping racketeering lawsuit to move forward, finding the companies presented enough evidence at this stage to support claims that Simon & Simon and a network of medical providers conspired to inflate personal injury claims stemming from vehicle accidents.
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In a [54-page decision](https://cases.justia.com/federal/district-courts/pennsylvania/paedce/2%3A2025cv05365/643766/99/0.pdf?ref=consumernews.ai), U.S. District Judge Mark Kearney denied efforts by Philadelphia attorney Marc Simon and several medical providers to dismiss the case.
The lawsuit centers on dozens of personal injury claims filed in recent years in Philadelphia courts against Uber and FedEx drivers.
### Tired of paying high claims
According to the complaint, the transportation companies became increasingly suspicious after repeatedly paying legal defense costs and settlements in cases involving what they described as exaggerated or unsupported injury claims.
Uber and FedEx allege the law firm steered clients involved in accidents to a prearranged network of chiropractors, pain specialists and other providers who then generated misleading or fraudulent medical records designed to justify larger legal claims and settlement demands.
The companies described the arrangement as a “conveyor belt of preselected treatment providers and medical experts.”
## Judge rejects early immunity arguments
The defendants argued the lawsuit should be thrown out because attorneys and medical experts are protected by the First Amendment when pursuing legal claims in court.
Judge Kearney rejected that argument for now, ruling that constitutional protections do not automatically shield allegedly fraudulent conduct.
The court found Uber and FedEx had sufficiently alleged that lawyers directed doctors to create records supporting compensation demands “far beyond the actual injuries.”
“\[W\]e are reviewing allegations and today allow the parties to proceed with discovery including into the extent the doctors’ reports informed the lawyers’ decision to bring these cases and then seek more than $50,000 in their complaints,” the judge wrote, noting that plaintiffs’ claim that injuries initially reported as minor suddenly escalated when Simon & Simon became involved.
The defendants also argued the lawsuit improperly attempted to re-litigate matters already settled in Pennsylvania courts and that federal courts lacked authority to revisit those disputes.
But the judge said neither argument justified dismissal at this early stage because of the detailed allegations presented by the plaintiffs.
## Claims involve alleged mail and wire fraud
Uber and FedEx argued the alleged misconduct went beyond courtroom filings and included the transmission of allegedly false medical records through mail and interstate electronic communications.
The court agreed the complaint identified enough specific examples to support potential racketeering claims under federal law.
Judge Kearney wrote that the companies identified participants in the alleged scheme, described the medical records involved, outlined the roles of various providers and explained how the records allegedly were used in settlement demands and litigation filings.
“Uber’s pleaded facts viewed in their totality support a reasonable inference the lawyers and doctors acted with fraudulent intent,” the judge wrote.
The ruling does not determine whether fraud actually occurred. Instead, it allows the case to move into discovery, where both sides can seek evidence and take testimony.
The judge said future proceedings will examine whether medical reports influenced lawyers’ decisions to characterize injuries as “severe” or involving “disfigurement,” and whether the alleged conduct caused Uber and FedEx to incur unnecessary legal fees and settlement costs.
## Why consumers may care
While the case focuses on litigation tactics, the broader financial impact could ultimately affect consumers.
Ride-share companies, delivery firms and insurers often pass rising litigation and settlement costs into pricing models, potentially contributing to higher delivery fees, insurance premiums and transportation costs.
The lawsuit also highlights growing corporate efforts to challenge what businesses describe as organized fraud in personal injury litigation.
At the same time, consumer advocates and plaintiff attorneys frequently argue that large corporations attempt to portray legitimate injury claims as fraudulent in order to reduce payouts to injured people.
The case now moves into discovery, where both sides will seek records, communications and testimony that could determine whether the alleged scheme was aggressive legal advocacy — or unlawful racketeering.
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### FTC targets food-delivery 'junk fees' in new rulemaking push
URL: https://www.consumernews.ai/ftc-targets-food-delivery-junk-fees/
Last updated: 2026-06-19T19:15:58.000Z
The Federal Trade Commission is weighing a broad new crackdown on so-called “junk fees” charged by online food and grocery delivery services, opening the door to tougher disclosure rules that could affect not only third-party apps but also restaurants and supermarkets operating their own delivery platforms.
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In an advance notice of proposed rulemaking published April 16, the FTC asked the public to weigh in on whether delivery companies are engaging in unfair or deceptive practices tied to fees, markups and surprise charges that consumers often encounter when ordering meals or groceries online.
The agency’s inquiry follows years of consumer complaints about rising delivery costs, service fees, small-order fees, priority fees and other add-ons that can dramatically inflate the final bill.
The FTC’s notice includes more than 60 questions covering topics ranging from the structure of the food-delivery market to the legality and transparency of fees charged by delivery platforms and merchants.
### On the list
Among the practices the FTC is examining:
- Failure to clearly disclose the total cost of food or grocery delivery
- Hidden or poorly explained delivery fees
- Unclear explanations of how fees are calculated
- Charges presented as optional that may actually be mandatory
- Higher prices for delivery items compared with in-store purchases
- Restrictions tied to discounts and promotions
- Charges for products or services consumers did not agree to buy
- Fees imposed without consumer consent
The comment period runs through May 18.
## Broader push against hidden fees
The move is the latest step in a broader federal campaign against hidden or misleading consumer charges across multiple industries.
The FTC has already pursued enforcement actions involving delivery platforms, including a high-profile case against Grubhub over allegations tied to deceptive practices and misleading claims involving deliveries and earnings.
The new proposal also builds on the [FTC’s 2025 “junk fees”](https://www.ftc.gov/news-events/news/press-releases/2024/12/federal-trade-commission-announces-bipartisan-rule-banning-junk-ticket-hotel-fees?ref=consumernews.ai) rule requiring upfront pricing disclosures in the live-event ticket and short-term lodging industries.
Consumer advocates have long argued that food-delivery pricing has become increasingly difficult to understand, with fees often layered onto orders late in the checkout process.
A burger, fries and drink that appears to cost $18 at the start of an order can easily exceed $30 after taxes, delivery charges, service fees and tips are added.
The FTC appears especially interested in whether consumers understand which fees go to drivers, which are retained by platforms and which may be shared with restaurants or grocers.
## Restaurants and grocers could also be affected
While much of the attention has focused on third-party delivery giants, the FTC signaled that any eventual rule could reach far beyond those companies.
The agency specifically requested comments on fees charged by “food and grocery merchants” operating their own apps or online ordering systems.
That means restaurant chains, grocery stores and regional delivery operators could eventually face new disclosure requirements if the rulemaking moves forward.
Businesses operating in states with existing pricing-transparency laws may face added compliance pressure if federal standards are adopted.
Industry lawyers said the ultimate scope of any final rule remains uncertain because the FTC is still gathering information about how delivery pricing works across the marketplace.
## Consumer costs remain a growing concern
The FTC’s inquiry comes as Americans continue to rely heavily on app-based delivery services despite ongoing affordability concerns.
Food-delivery usage surged during the pandemic and has remained elevated, even as consumers complain about rising costs and shrinking portion sizes.
Consumer groups have increasingly argued that unclear pricing practices make it difficult for households to comparison shop or understand the real cost of convenience-based services.
Critics also say consumers may not realize that some menu items are marked up for delivery compared with in-store purchases.
The FTC has not yet proposed specific regulations, but the ANPRM suggests the agency is considering rules that would require more detailed and upfront disclosures before consumers complete purchases.
Businesses, consumer groups and members of the public can submit comments through May 18 before the agency decides whether to move to the next stage of formal rulemaking.
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### Ace Hardware hit with nationwide price-fixing lawsuit alleging consumers overpaid
URL: https://www.consumernews.ai/ace-hardware-hit-with-nationwide/
Last updated: 2026-06-19T19:15:59.000Z
Retail giant Ace Hardware has been accused in a sweeping federal antitrust lawsuit of operating what plaintiffs describe as an illegal nationwide price-fixing scheme that allegedly inflated prices for consumers shopping at thousands of Ace-affiliated stores.
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The [proposed class action](https://www.pacermonitor.com/public/case/64540846/Twomey%5Fv%5FAce%5FHardware%5FCorporation%5Fet%5Fal?ref=consumernews.ai), filed in the U.S. District Court for the Northern District of Illinois, claims Ace and its member stores coordinated retail pricing and imposed restrictions on store locations in ways that violated federal antitrust law.
According to the complaint, pricing at nearby Ace stores often moved “in lockstep,” effectively eliminating the competitive pressure that consumers would normally expect between independently owned retailers.
The lawsuit was brought by Illinois resident Sean Twomey on behalf of an estimated 5 million-plus consumers who allegedly purchased goods from Ace stores since 2022.
### Allegations focus on pricing software and shared sales data
The complaint alleges Ace and Texas-based software provider Epicor collected and shared detailed pricing and sales information from member stores through point-of-sale systems and internal reporting tools.
Plaintiffs claim the shared data allowed Ace and participating stores to coordinate pricing strategies instead of competing against one another.
The lawsuit argues the alleged system helped “boost margins and present a more consistent pricing image to consumers,” while reducing price competition on items ranging from tools and hardware supplies to household essentials.
The suit also claims Ace restricted where affiliated stores could operate, preventing new locations from opening too close to existing stores and thereby limiting local competition.
### Consumer impact could be significant
If the allegations are proven, the case could have broad implications for consumers already struggling with elevated prices for home maintenance and repair products.
Hardware costs have remained stubbornly high in recent years as inflation, supply-chain disruptions, tariffs, and housing-related demand pushed up prices for building materials and home improvement goods.
Consumer advocates have increasingly warned that some companies may be using data-sharing systems and pricing software to maintain higher prices across markets. Federal regulators, including the U.S. Department of Justice and the Federal Trade Commission, have stepped up scrutiny of algorithmic pricing and information-sharing arrangements in several industries.
The Ace lawsuit echoes other recent antitrust cases targeting companies accused of using shared pricing systems to soften competition while preserving the appearance of independent ownership.
### Ace says it is a cooperative of local owners
Founded in 1924, [Ace Hardware](https://www.acehardware.com/?utm%5Fsource=google&utm%5Fmedium=cpc&gclsrc=aw.ds&gad%5Fsource=1&gad%5Fcampaignid=21521805025&gbraid=0AAAAADtqLJFbxbucbGLoSUGyMJZdPgKLa&gclid=CjwKCAjwwpDQBhAuEiwAa-4Wo%5FUoW32WGtcLbhZs-pzlsDRn5ZEbBcb82RgKCYVNKvCFRrhT53D0wxoCiaAQAvD%5FBwE) operates as a retailer-owned cooperative made up of thousands of locally owned stores across the United States. The company reported a record $10 billion in revenue for 2025, according to the lawsuit.
Plaintiffs argue, however, that the cooperative structure has evolved into what they characterize as an “illegal cartel” dominated by large multi-store operators, private-equity-backed ownership groups, and Ace itself.
Ace and [Epicor](https://www.epicor.com/?ref=consumernews.ai) had not publicly responded to the allegations as of Thursday afternoon.
The lawsuit seeks unspecified monetary damages and a court order blocking the alleged pricing practices.
### Data Box: What consumers should know
- **Case:** *Sean Twomey v. Ace Hardware Corp. et al.*
- **Court:** U.S. District Court, Northern District of Illinois
- **Filed:** May 2026
- **Main allegation:** Coordinated pricing and anti-competitive store restrictions
- **Potential class:** Consumers who bought goods from Ace stores since 2022
- **Defendants:** Ace Hardware, affiliated entities, and Epicor
### What happens next
The case is still in its early stages, and the allegations have not been proven in court.
If the lawsuit survives early dismissal efforts, plaintiffs will likely seek internal pricing records, communications, and software data that could shed light on how Ace stores set prices nationwide.
Antitrust experts say cases involving cooperative retailers and pricing software can become closely watched tests of how courts interpret competition laws in the era of large-scale retail data sharing.
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### Inflation breaks 3.8 percent, with groceries leading the way; more to come, economists warn
URL: https://www.consumernews.ai/inflation-breaks-38-percent-with/
Last updated: 2026-06-19T19:15:59.000Z
The April consumer price index landed Tuesday morning at 3.8 percent, the hottest annual inflation reading since May 2023, and consumers spent the rest of the day watching the dominoes fall. Grocery prices posted their sharpest monthly jump in nearly four years.
Food-at-home prices rose 0.7 percent in April, the biggest monthly jump since August 2022, [The Associated Press reported](https://apnews.com/article/consumer-prices-food-groceries-war-fuel-f5e442ef60858c96a2fc4b4ee9e18780?ref=consumernews.ai). Year over year, food at home was up 2.9 percent and overall food prices climbed 3.2 percent — above the 2.6 percent 20-year average tracked by the U.S. Department of Agriculture.
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The leaders were the staples shoppers see most often.
- Meat prices rose 8.8 percent from a year earlier,
- beef was up 15 percent,
- fresh fruits and vegetables 6.5 percent,
- nonalcoholic beverages 5 percent and
- coffee 18.5 percent, the AP said.
Tomatoes imported from Mexico — hit by a 17 percent duty the Trump administration imposed last year — were up 40 percent at retail in the 12 months before April. Butter, by contrast, was 5.8 percent cheaper and egg prices were down 39 percent as farmers rebuilt flocks decimated by bird flu.
### Prices still rising
“The full impact of rising energy costs on food likely has not hit retail grocery prices yet,” Ken Foster, a professor of agricultural economics at Purdue, told the AP, noting that higher costs to produce, process, store and transport food typically take three to six months to show up on shelves. Most of April’s increase, Foster said, “probably predates the conflict” with Iran. The next two reports, he warned, will start to capture it.
Raymond Campise, who owns Sparrow Market in Ann Arbor, Michigan, told the AP that vendors have begun tacking fuel surcharges onto deliveries in recent weeks and that wholesale prices for meat, produce and several other categories have moved up. The AP noted that diesel powers the boats, tractors and trucks that ship 83 percent of U.S. agricultural products, and that roughly 30 percent of the world’s fertilizer normally moves through the Strait of Hormuz.
That broader basket builds on a packaging story the same Times reported a day earlier: a 50 percent tariff on imported steel is pushing up the wholesale cost of tin-plated cans that hold corn, beans and tomatoes, [The New York Times said](https://www.nytimes.com/2026/05/12/business/steel-tariffs-tin-cans-food-prices.html?ref=consumernews.ai), with the can itself representing roughly one-third of wholesale cost.
[**Read more about the economy**](https://www.consumernews.ai/inflation-breaks-3-8-percent-as-trump-heads-to-beijing-with-a-gas-tax-idea-in-his-pocket/)
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### Inflation breaks 3.8 percent as Trump heads to Beijing with a gas tax idea in his pocket
URL: https://www.consumernews.ai/inflation-breaks-3-8-percent-as-trump-heads-to-beijing-with-a-gas-tax-idea-in-his-pocket/
Last updated: 2026-05-13T11:27:03.000Z
The April consumer price index landed Tuesday morning at 3.8 percent, the hottest annual inflation reading since May 2023, and consumers spent the rest of the day watching the dominoes fall. Grocery prices posted their sharpest monthly jump in nearly four years. President Donald Trump boarded Air Force One bound for Beijing for a summit that will be defined by the Iran war he can't end. He floated a suspension of the federal gas tax to take the edge off a price spike that has now run for 11 weeks. And a separate New York Times analysis showed the blue-collar trades — the workforce Trump promised would boom — are quietly shedding jobs at a rate not seen since the 2009 recession.
A scan this morning of Reuters, The Associated Press, The New York Times, The Wall Street Journal, CNBC, NBC News, CBS News and Bloomberg surfaced five themes dominating consumer coverage by story volume: the CPI surprise, the grocery aisle's worst month since 2022, the opening of the Trump-Xi summit, the politically charged gas tax proposal and a fraying labor market beneath the headline jobs numbers.
## CPI hits 3.8 percent and shuts the door on Fed cuts
April's consumer price index rose 0.6 percent on the month and 3.8 percent from a year earlier, [CNBC reported](https://www.cnbc.com/2026/05/12/cpi-inflation-april-2026-.html?ref=consumernews.ai), citing the Bureau of Labor Statistics. The annual reading was 0.1 percentage point above the Dow Jones consensus, half a percentage point above March's 3.3 percent, and the highest since May 2023.
Energy was the main driver. Energy prices rose 3.8 percent in April alone and 17.9 percent over the past year, contributing more than 40 percent of the overall monthly increase, according to CNBC. Gasoline prices were up 28.4 percent from a year earlier. Shelter rose 0.6 percent on the month after a stretch of moderation; apparel and household goods, both sensitive to tariffs, each rose 0.6 to 0.7 percent. Airfare jumped 2.8 percent on the month and is now up 20.7 percent over 12 months.
Real wages went the other way. Workers' average hourly earnings, after inflation, fell 0.5 percent on the month and are down 0.3 percent over the year, CNBC said.
"Inflation is currently the primary challenge facing the U.S. economy," Robert Long, an economist at Federal Credit, told CNBC. "For the first time in three years, wage gains are being consumed by inflation, posing a setback for middle-class and lower-income families, who are acutely aware of this reality."
The Federal Reserve's path narrowed sharply. Traders raised the probability of a rate increase by year-end to roughly 30 percent. "Considering that inflation is trending in the wrong direction and the labor market remains stable, it is improbable that the Fed will reduce interest rates in the near future," Chris Zaccarelli, chief investment officer at Northlight Asset Management, told CNBC. "In fact, we may begin to factor in rate increases for the upcoming year."
[Bloomberg](https://www.bloomberg.com/news/articles/2026-05-12/us-cpi-report-april-2026-key-takeaways-on-inflation-consumer-price-index?ref=consumernews.ai) and [The Wall Street Journal's live coverage](https://www.wsj.com/livecoverage/cpi-inflation-report-stock-market-05-12-2026?ref=consumernews.ai) said 10-year Treasury yields rose to 4.462 percent, a one-year high, after the print. The S&P 500 pared earlier losses; Dow futures opened lower Wednesday.
## Groceries post the worst month since 2022
Inside the CPI, the grocery aisle was the story that hit households hardest. Food-at-home prices rose 0.7 percent in April, the biggest monthly jump since August 2022, [The Associated Press reported](https://apnews.com/article/consumer-prices-food-groceries-war-fuel-f5e442ef60858c96a2fc4b4ee9e18780?ref=consumernews.ai). Year over year, food at home was up 2.9 percent and overall food prices climbed 3.2 percent — above the 2.6 percent 20-year average tracked by the U.S. Department of Agriculture.
The leaders were the staples shoppers see most often. Meat prices rose 8.8 percent from a year earlier, beef was up 15 percent, fresh fruits and vegetables 6.5 percent, nonalcoholic beverages 5 percent and coffee 18.5 percent, the AP said. Tomatoes imported from Mexico — hit by a 17 percent duty the Trump administration imposed last year — were up 40 percent at retail in the 12 months before April. Butter, by contrast, was 5.8 percent cheaper and egg prices were down 39 percent as farmers rebuilt flocks decimated by bird flu.
"The full impact of rising energy costs on food likely has not hit retail grocery prices yet," Ken Foster, a professor of agricultural economics at Purdue, told the AP, noting that higher costs to produce, process, store and transport food typically take three to six months to show up on shelves. Most of April's increase, Foster said, "probably predates the conflict" with Iran. The next two reports, he warned, will start to capture it.
Raymond Campise, who owns Sparrow Market in Ann Arbor, Michigan, told the AP that vendors have begun tacking fuel surcharges onto deliveries in recent weeks and that wholesale prices for meat, produce and several other categories have moved up. The AP noted that diesel powers the boats, tractors and trucks that ship 83 percent of U.S. agricultural products, and that roughly 30 percent of the world's fertilizer normally moves through the Strait of Hormuz.
That broader basket builds on a packaging story the same Times reported a day earlier: a 50 percent tariff on imported steel is pushing up the wholesale cost of tin-plated cans that hold corn, beans and tomatoes, [The New York Times said](https://www.nytimes.com/2026/05/12/business/steel-tariffs-tin-cans-food-prices.html?ref=consumernews.ai), with the can itself representing roughly one-third of wholesale cost.
## Trump arrives in Beijing for a summit "of reduced ambitions"
Trump arrives in Beijing on Wednesday for a long-delayed summit with Xi Jinping that he had hoped would be a victory lap. Instead, [The New York Times reported](https://www.nytimes.com/2026/05/12/us/politics/trump-xi-summit.html?ref=consumernews.ai), he is landing six weeks behind his original timetable, with Iran's nuclear stockpile "precisely where it was, still buried beneath the debris of an American airstrike from last June" and the Strait of Hormuz still blocked.
The Times described the agenda as one "of reduced ambitions," shadowed by the war and centered on whether the two presidents can keep the U.S.-China relationship from deteriorating further. The Strait, the paper noted, carries "over 30 percent of China's oil and slightly less of its natural gas." Trump is traveling with a contingent of corporate executives that includes Elon Musk of Tesla and SpaceX, soon-to-retire Apple CEO Tim Cook and top executives from Goldman Sachs.
For consumers, the trade backdrop matters most. [The Associated Press summit primer](https://apnews.com/article/china-us-trump-xi-summit-1a0b28a9a7b9078d736ba94bf3b4d6e2?ref=consumernews.ai) recounted that the U.S.-China trade war "intensified in April of last year during what Trump dubbed 'Liberation Day,'" when he imposed 34 percent tariffs on all Chinese imports. The two sides extended a fragile trade truce in South Korea in October. "It is possible for both sides to announce a comprehensive trade deal this time around," Zhao Minghao, a professor at Fudan University, told the AP. "However, this does not signify the end of the trade war."
The summit also collides with last week's federal court ruling that struck down a major piece of Trump's tariff regime, [The Associated Press reported separately](https://apnews.com/article/trump-global-tariffs-trade-court-df01218b89ca925015fe41c700d6beb9?ref=consumernews.ai). The administration is appealing, but the ruling left companies and retailers without a settled picture of which duties will stand.
## A gas tax holiday — if Congress will allow it
To counter the political damage of the price surge at home, Trump proposed Monday to suspend the federal excise tax on gasoline and diesel until prices fall, [The New York Times reported](https://www.nytimes.com/2026/05/11/us/politics/trump-gas-tax.html?ref=consumernews.ai). The tax is roughly 18 cents a gallon on gasoline and 24 cents on diesel.
"I think it's a great idea," Trump told reporters. "We're to take the gas — a period of time — when gas is down, we'll let it phase back in." The Times noted the savings would amount to "a small percentage" of a $4.50 gallon, and the proposal would require congressional approval; the White House has not said whether it plans to push the bill. In 2022, the Times reminded readers, a similar Biden proposal "ultimately did not materialize," with Republicans calling it "a gimmick and poor policy."
Reaction in Trump's own party was uneven. Representative Marjorie Taylor Greene, the Times reported, posted on X, "please do the peasants more bread." Senator Mark Kelly, an Arizona Democrat who first proposed the idea in March, said: "Families need help now."
Energy Secretary Chris Wright said on NBC's "Meet the Press" that "all measures that can be taken to lower the price at the pump" had the administration's support. The Times reported that gas prices have risen roughly 50 percent since the conflict began, with no firm timeline for relief.
## The labor market beneath the headline
The labor market has been the one cushion under the consumer this spring. But [a New York Times analysis](https://www.nytimes.com/live/2026/04/10/business/inflation-cpi-report?ref=consumernews.ai) found the blue-collar trades — manufacturing and construction — have lost roughly 150,000 jobs annually as of March, with hiring in manufacturing down about 40 percent from its 2022 peak. "There are jobs available," economist Joseph Brusuelas of RSM told the Times, "but at this moment, the demand for blue-collar labor is insufficient to meet the supply."
The contrast with the broader jobs picture is sharp. [CNBC reported](https://www.cnbc.com/2026/05/10/retailer-hiring-consumer-warning-jobs-report.html?ref=consumernews.ai) that the April employment report came in well above expectations, with retailers adding nearly 22,000 jobs and the unemployment rate holding at 4.3 percent. But underemployment has been climbing, and rising interest rates — pushed back up by the Iran shock — have stalled the housing construction that normally sustains the trades.
Health care and social assistance, occupations dominated by women, have driven nearly all the net job growth in 2025 and 2026, the Times said. Employment growth for women this year is running nearly three times that of men.
## The bigger picture
For consumers, Tuesday's CPI changed the question. With inflation at 3.8 percent and energy still climbing, the Federal Reserve is now expected to hold rates — and possibly raise them — through year-end. That keeps mortgage rates above 6.3 percent, auto loan rates near 7 percent and credit card APRs above 21 percent at exactly the moment grocery, fuel and airfare bills are rising the fastest. The Trump-Xi summit and the gas tax holiday are the two near-term political off-ramps, but neither, on its own, will move the math on April's number. As Sam McCann, senior economist at Edward Jones, told CNBC, "the economy appears to be weathering this price shock effectively so far" thanks to refunds, hiring and corporate profits — but "there are limits to these buffers." May's report, on June 11, will start to show where those limits are.
### Safety Recalls, May 12, 2026
URL: https://www.consumernews.ai/safety-recalls-may-12-2026/
Last updated: 2026-06-19T19:15:59.000Z
##
Here are some of the notable consumer safety recalls and alerts issued or updated over the past several days:
### Food and Drug Recalls
- The U.S. Food and Drug Administration posted a recall Tuesday for MG217 eczema cream products after testing found contamination with *Staphylococcus aureus*, a bacteria that can cause skin and bloodstream infections. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
- The FDA also continues to track recalls tied to undeclared kratom ingredients in Better Weather “Fix Elixir” dietary supplements. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com))
- The Food Safety and Inspection Service is maintaining alerts tied to a massive recall of fried rice, ramen, dumpling and related products that may contain glass fragments, likely linked to contaminated carrots. Brands reportedly affected include Trader Joe’s, Kroger, Ling Ling, Tai Pei and Ajinomoto products. ([AgriNews](https://www.agrinews-pubs.com/features/2026/03/27/recall-rice-products-might-contain-glass/?utm%5Fsource=chatgpt.com))
- FSIS also issued a public health alert involving certain meat and poultry products containing recalled dairy ingredients linked to possible salmonella contamination. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com))
- Utz Quality Foods voluntarily recalled limited varieties of Zapp’s and Dirty potato chips after a seasoning ingredient was linked to possible salmonella contamination. ([Association of Food and Drug Officials](https://www.afdo.org/federal-register-update-may-4-5-2026/?utm%5Fsource=chatgpt.com))
### Consumer Product Recalls
The U.S. Consumer Product Safety Commission issued a large batch of recalls and safety warnings this week, including:
- Bicycle and multi-purpose helmets sold on Amazon and Temu that failed federal impact and safety standards, posing head injury risks. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
- Portable bed rails tied to entrapment and asphyxiation hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
- Mattresses that violated federal flammability standards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
- Toys and novelty products containing accessible button-cell batteries that could be swallowed by children. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
- Glass-lined water bottles that can shatter and cause laceration injuries. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
- Steam cleaners and tabletop fireplaces flagged for burn and fire hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
- Infant carriers, bath seats and crib bumpers associated with fall, suffocation and drowning hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Auto Recalls
Recent vehicle recalls highlighted by federal regulators include:
- Ford Transit vehicles with brake pedal defects that could lead to brake failure. ([AgriNews](https://www.agrinews-pubs.com/features/2026/03/27/recall-rice-products-might-contain-glass/?utm%5Fsource=chatgpt.com))
- Certain 2025-2026 Subaru vehicles due to fuel leak fire risks. ([AgriNews](https://www.agrinews-pubs.com/features/2026/03/27/recall-rice-products-might-contain-glass/?utm%5Fsource=chatgpt.com))
- BMW vehicles with damaged air-conditioning wiring that may increase fire risk. ([AgriNews](https://www.agrinews-pubs.com/features/2026/03/27/recall-rice-products-might-contain-glass/?utm%5Fsource=chatgpt.com))
- Kia Telluride SUVs with front-seat restraint concerns affecting crash protection. ([AgriNews](https://www.agrinews-pubs.com/features/2026/03/27/recall-rice-products-might-contain-glass/?utm%5Fsource=chatgpt.com))
### Consumer Watch
Safety officials continue urging consumers to:
- Check recall notices weekly at FDA, FSIS, CPSC and NHTSA websites.
- Stop using recalled products immediately.
- Pay close attention to lithium-ion battery products, children’s items and imported online marketplace goods, which remain major sources of recent recalls. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com))
### Spring housing season sputters as mortgage rates climb and consumers pull back
URL: https://www.consumernews.ai/spring-housing-season-sputters-as/
Last updated: 2026-06-19T19:16:00.000Z
The spring home-buying season — typically the busiest stretch of the year for the U.S. housing market — is turning into a disappointment as higher mortgage rates, rising gasoline prices and worsening consumer confidence weigh on household budgets.
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According to [data](https://www.nar.realtor/research-and-statistics?ref=consumernews.ai) from the National Association of Realtors, existing-home sales edged up just 0.2% in April from March to a seasonally adjusted annual rate of roughly 4.02 million homes, well below expectations from economists who had anticipated a stronger spring rebound.
The sluggish performance comes during what is usually the most active home-selling period of the year. Spring sales normally account for roughly four out of every 10 home transactions in the United States.
Instead, buyers are confronting renewed affordability pressures after mortgage rates moved sharply higher again.
According to the [Associated Press](https://apnews.com/article/mortgage-rates-housing-interest-financing-home-ab9ff0f25a019210585edb59139c02e1?ref=consumernews.ai), the average 30-year fixed mortgage rate climbed to 6.38% last week from 6.22% a week earlier, marking the highest level in more than six months. Fifteen-year mortgage rates also rose, climbing to 5.75% from 5.54%.
Economists and market analysts have linked the rate increases to rising Treasury yields fueled partly by inflation fears connected to renewed tensions involving Iran and higher global oil prices.
For consumers, the impact can be immediate and painful.
Even a modest rise in mortgage rates can add hundreds of dollars to a monthly housing payment, pricing some buyers out of the market entirely and forcing others to delay purchases.
## Affordability Watch
Higher mortgage rates are arriving at the same time many Americans are already struggling with rising costs for gasoline, groceries, insurance and travel.
The result appears to be a growing sense of financial strain across the economy.
The University of Michigan’s preliminary consumer sentiment index for May fell to 48.2 from 49.8 in April, according to reporting from Bloomberg. Economists had expected a reading closer to 49.7.
The latest figure marks another record low for consumer sentiment and reflects deepening worries about inflation and household finances.
Survey respondents cited rising gasoline prices, inflation and deteriorating buying conditions as key concerns.
Weak consumer sentiment is increasingly showing up in spending data.
The Associated Press reported that retail sales fell 0.2% in January and were essentially flat in December, extending a broader slowdown that began in the second half of last year.
Retailers are seeing consumers become more selective with spending.
Walmart has continued attracting shoppers looking for lower prices and faster delivery, while Target has reported weaker sales and profits as more consumers focus spending on necessities instead of discretionary purchases.
## Travel costs add another pressure point
Travel is also becoming more expensive as airlines grapple with surging fuel costs.
According to reporting from CNBC citing Department of Transportation data, U.S. airlines spent 56.4% more on jet fuel in March than in February, with costs jumping from $3.23 billion to $5.06 billion.
Airlines have warned investors that travelers are likely to absorb those higher costs through increased fares over the next several years.
The pressure has already rattled weaker carriers.
Spirit Airlines collapsed over the weekend after failing to emerge from bankruptcy on schedule, with rising jet fuel costs cited as a major factor.
For consumers, the combination of elevated borrowing costs, persistent inflation and rising travel expenses is creating a difficult financial environment at a time when many households had hoped for relief.
Housing analysts say the direction of mortgage rates over the summer could determine whether the market stabilizes later this year — or whether the weak spring season becomes the start of a broader slowdown in consumer spending and economic activity.
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### Steel tariffs raise the price of canned corn and beans
URL: https://www.consumernews.ai/steel-tariffs-raise-the-price-of/
Last updated: 2026-06-19T19:16:00.000Z
##
Tariffs don’t always act as expected. The Trump administration’s 50 percent tariff on imported steel is lifting the wholesale cost of the tin cans used to package fruit, vegetables, corn and beans, [The New York Times reported](https://www.nytimes.com/2026/05/12/business/steel-tariffs-tin-cans-food-prices.html?ref=consumernews.ai).
The can itself accounts for roughly one-third of the wholesale cost of canned fruits and vegetables, the Times said, and tin plate is almost entirely imported.
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“We are required to import all this tin plate,” Robert Breen, president of the [Can Institute](https://www.cancentral.com/?ref=consumernews.ai), said. “There’s no increase in domestic production compared to before.”
The Trump administration said it imposed the tariffs to “protect national security.” It said it wanted to ensure the U.S. retains domestic capacity to produce steel needed for national defense and critical infrastructure, so it isn't dependent on foreign suppliers in an emergency, according to the [Commerce Department](https://www.bis.gov/about-bis/bis-leadership-and-offices/SIES/section-232-investigations/section-232-steel-aluminum?ref=consumernews.ai).
The Times described the steel tariffs as exceeding “many of Mr. Trump’s other import duties” and noted that imports of can-grade steel skyrocketed in 2025 even as the duty climbed. U.S. Steel plans to reopen a tin-plate factory, but the Times said American can makers will continue to rely heavily on foreign supply for the foreseeable future.
### Price-sensitive sector
The pinch lands on the most price-sensitive grocery aisle. For households that depend on shelf-stable corn, beans and tomatoes — staples for low-income shoppers and food banks alike — the steel duty is “placing a financial strain on families that depend on essential items,” the Times reported.
The wider basket continues to send mixed signals. [NBC News’ grocery price tracker](https://www.nbcnews.com/data-graphics/grocery-price-tracker-inflation-trends-eggs-bread-trump-administration-rcna257424?ref=consumernews.ai) showed eggs down about 30 percent from their spring 2025 peak, while orange juice was up 28 percent and ground beef up 15 percent since January 2025\. Pork bacon and chicken have also risen.
Critics — including [Cato](https://www.cato.org/policy-analysis/steeled-protectionism?ref=consumernews.ai) — argue the real driver is protectionism for a politically influential domestic industry, and that downstream manufacturers and consumers bear higher costs.
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### Hantavirus and the cruise ship outbreak: What it really means for you
URL: https://www.consumernews.ai/hantavirus-and-the-cruise-ship-outbreak/
Last updated: 2026-06-19T19:16:01.000Z
When headlines talk about a “deadly hantavirus” on a cruise ship, it’s easy to feel a familiar jolt of dread. Another pandemic? Another virus spreading silently through airports and grocery stores?
Health officials say no.
A rare outbreak of hantavirus tied to a cruise ship in the Atlantic has killed several passengers and sent others to hospitals around the world, including the United States, but experts stress that the risk to people who were not on that ship is extremely low.
> For most Americans, the more realistic hantavirus risk has nothing to do with cruise lines or foreign ports. It’s much closer to home—living in garages, sheds, and cabins, wherever mice and other rodents have settled in.
So what should you actually do?
## How to protect yourself
### 1\. You do not need to overhaul your life because of this outbreak
There is no recommendation for Americans to change everyday routines—school, work, shopping, social events—because of this cruise‑ship cluster. Health agencies describe the risk to the general public as “very low” or “extremely low,” because the known cases all trace back to one ship and a limited group of passengers and crew, according to the Centers for Disease Control and Prevention (CDC).
If you were not on that vessel and haven’t had close, prolonged contact with someone who was, you do not need special testing, monitoring, or quarantine. Normal good‑sense health habits — staying home when you’re sick, washing your hands, getting care if you have serious symptoms—still apply, but there are no hantavirus‑specific restrictions for the general public.
If you are planning a cruise or international trip, the most practical step is simple: check official travel‑health information before you go and again shortly before you return, the way you might check the weather. If guidance changes, that’s where it will show up first, the World Health Organization advises.
### 2\. Make your home less friendly to mice and rats
Where hantavirus is concerned, rodents — not crowds — are the main problem.
In the U.S., officials have traced most past hantavirus infections to encounters with wild rodents, especially deer mice and related species, in and around homes, cabins, sheds, and workplaces. The virus lives in rodent urine, droppings, and saliva, and people usually get infected by breathing in tiny particles from those materials after they dry and get stirred into the air.
Public‑health guidance boils down to a [few simple steps](https://www.lung.org/blog/hantavirus-questions-answered?ref=consumernews.ai):
- **Seal entries.** Close gaps and holes in foundations, walls, roofs, and around pipes or vents where rodents can squeeze in. Remember that mice can slip through openings much smaller than you might expect.
- **Store food smartly.** Keep human and pet food in sturdy containers with tight‑fitting lids. Clean up crumbs and spills quickly, and don’t leave pet food out all night.
- **Manage trash.** Use trash cans with tight lids, and if possible, store them away from doors and windows. Don’t let garbage or recycling pile up in corners where rodents can hide.
- **Cut clutter.** Piles of cardboard, firewood, and junk near the house make great nesting spots. Moving them away from the home and off the ground makes life harder for rodents.
- **Use traps when needed.** Snap traps — used carefully and kept away from kids and pets — are a recommended method for indoor rodent control. For bigger infestations, it may be safer and more effective to hire a pest‑control professional.
These aren’t just hantavirus measures; they’re general home‑health measures that also reduce the risk of other rodent‑borne problems.
### 3\. Clean droppings and nests the right way
The single most important “how‑to” for hantavirus is [**how not to clean**](https://www.cdc.gov/hantavirus/media/pdfs/2025/01/HantavirusBrochure-508.pdf?ref=consumernews.ai).
The instinctive reaction when you see mouse droppings on a garage floor is to grab a broom or a shop‑vac. That’s exactly what experts say *not* to do. Dry sweeping and vacuuming can launch tiny contaminated particles into the air, which you can then breathe deep into your lungs.
Here’s the method recommended by public‑health agencies:
1. **Ventilate first.** If you can, open doors and windows for about 30 minutes before cleaning, and step out during that time so fresh air can circulate.
2. **Protect yourself.** Put on rubber or plastic gloves. For heavy infestations or very dusty spaces, a well‑fitting mask or respirator can provide added protection.
3. **Wet, don’t sweep.** Thoroughly soak droppings, urine, and nests with a household disinfectant or a bleach solution (for example, 1 part household bleach to 10 parts water). Let it sit for at least 5 minutes.
4. **Wipe up.** Use paper towels or disposable rags to pick up the soaked material. Place everything into a plastic bag.
5. **Disinfect surfaces.** Mop or wipe the area again with disinfectant or bleach solution.
6. **Dispose and wash.** Seal the trash bag and throw it away. Remove your gloves and wash your hands thoroughly with soap and water.
If you walk into a space that’s clearly heavily infested — lots of droppings, strong odors, visible nests—it may be safer to call in professionals who have protective equipment and experience with this kind of cleanup, especially if you have underlying lung problems.
### 4\. Take extra care with cabins, sheds, and campers
Many documented hantavirus cases in the U.S. have been associated with rustic cabins, vacation homes, sheds, barns, and similar structures that sit unused for long periods. These spaces are irresistible to rodents: quiet, sheltered, and full of nesting material.
Before spending a night in a cabin or camper that’s been closed up for months, it’s wise to:
- Open the doors and windows, and air it out.
- Look for droppings, nests, or gnaw marks along baseboards, cupboards, and bedding.
- Clean using the “wet, don’t sweep” method if there are signs of rodents.
- Wash any bedding or soft furnishings that might be contaminated.
Campers and hikers should keep food tightly sealed, avoid sleeping directly on bare ground where droppings are visible, and avoid disturbing obvious rodent nests.
### 5\. Know when to call a doctor—and what to say
Hantavirus often starts like a garden‑variety flu: fever, fatigue, and muscle aches, sometimes headache or stomach upset. What makes it different — and dangerous — is that for some patients, it can quickly progress to breathing problems and low blood pressure as the lungs begin to fill with fluid.
Public‑health officials advise you to seek medical care promptly if both of these are true:
- In the past one to five weeks, you had **significant rodent exposure**—cleaning heavy droppings in a closed space, working in a rodent‑infested building, or staying in a cabin with obvious signs of mice or rats; **and**
- You’ve developed fever, fatigue, body aches, and especially new or worsening **shortness of breath** or a feeling that you can’t catch your breath.
If you do see a doctor or visit an emergency room, it helps to say the quiet part out loud: “I’m worried about hantavirus because I was cleaning up a lot of mouse droppings.” That clue can prompt the right tests and infection‑control measures. Early supportive care in a hospital—oxygen, close monitoring, and intensive care for severe cases—can improve outcomes.
## What’s actually happening on that cruise ship?
With the practical advice in hand, it’s worth stepping back to look at the outbreak that put hantavirus into the headlines.
### A rare cluster at sea
In early May, international health officials were [alerted](https://www.who.int/news/item/07-05-2026-who-s-response-to-hantavirus-cases-linked-to-a-cruise-ship?ref=consumernews.ai) to a cluster of passengers with severe, unexplained respiratory illness aboard the MV Hondius, a small expedition cruise ship operating in the Atlantic Ocean. At that point there were 147 passengers and crew from 23 countries on board; 34 others had already left the ship earlier in the voyage.
Several passengers rapidly became critically ill, and at least two died before the ship reached port. Testing confirmed that the cause was a hantavirus. A few days later, the specific culprit was identified: Andes virus, a type of hantavirus previously known from South America.who+5
By the time the World Health Organization issued its first detailed update, eight cases linked to the ship had been reported—six confirmed and two suspected—including three deaths. As more passengers were evacuated and tested in hospitals around the world, that number grew; subsequent tallies described 11 confirmed cases tied to the voyage, still with three fatalities.khou+2
### Americans under observation
The story became a domestic concern when it emerged that Americans were among those on board and had been exposed.
News outlets reported that 18 American passengers were [flown back](https://www.cnn.com/2026/05/11/us/live-news/hantavirus-cruise-outbreak?ref=consumernews.ai) to the United States after the ship docked near Spain’s Canary Islands. Sixteen went to a biocontainment and monitoring facility in Nebraska, and two were sent to Atlanta. At least one of those travelers tested positive for Andes virus; another had mild symptoms but was under observation.
At the same time, health officials discovered that several Americans had already disembarked earlier in the trip and returned home before anyone realized a serious outbreak was underway. The Centers for Disease Control and Prevention alerted state health departments in the relevant states, who then contacted those travelers to advise them on symptom monitoring and to arrange testing if needed.
### No sign of wider spread
Despite the dramatic images of a “virus‑stricken cruise ship,” multiple health agencies have delivered a consistent message: this is a **contained, unusual event**, not the beginning of a broad wave of infections.
CDC’s official situation summary states that there is no evidence of ongoing person‑to‑person transmission in U.S. communities linked to the cruise, and that the risk to the general public remains extremely low. The World Health Organization and the European Centre for Disease Prevention and Control have reached similar conclusions for their regions, calling the risk to the general public “[very low](https://www.ecdc.europa.eu/en/news-events/hantavirus-outbreak-cruise-ship-under-investigation-risk-europe-very-low?ref=consumernews.ai).”
In plainer language: unless you were on that ship—or living in close quarters with someone who was and is now sick—this outbreak does not change your personal risk in any meaningful way.
## So what is hantavirus, really?
Hantaviruses are not newcomers. They’ve been on scientists’ radar for decades.
### A brief history
The first recognized human disease caused by a hantavirus was documented among soldiers during the Korean War in the early 1950s, when thousands developed a severe illness known as Korean hemorrhagic fever. It took years for researchers to identify the responsible virus and connect it to its rodent hosts.
In the Americas, hantavirus burst into public awareness in 1993, when an outbreak of unexplained acute respiratory failure among young, otherwise healthy adults hit the Four Corners region where Arizona, New Mexico, Colorado, and Utah meet. [Investigations](https://pmc.ncbi.nlm.nih.gov/articles/PMC2880890/?ref=consumernews.ai) eventually traced those cases to a previously unknown hantavirus carried by deer mice, leading to the description of hantavirus pulmonary syndrome as a distinct disease.news.
Since then, sporadic cases and occasional small clusters have been reported each year in North and South America, Europe, and Asia—usually in rural areas where people live or work in close proximity to rodent reservoirs. It almost never looks like a flu or COVID‑style wave; instead, it appears as individual tragedies and small outbreaks.
### Two main disease patterns
Globally, hantaviruses cause two primary clinical pictures:cdc+2
- **Hantavirus pulmonary syndrome (HPS/HCPS)** – Seen mainly in the Americas, this form starts with fever and fatigue and can progress to severe lung involvement and shock. Case‑fatality rates in some series have reached around 30–50 percent.news.
- **Hemorrhagic fever with renal syndrome (HFRS)** – More common in parts of Europe and Asia, this form affects blood vessels and kidneys, ranging from mild illness to severe disease with kidney failure and bleeding.
The specific outcome depends in part on which hantavirus species is involved and which rodent carried it. Different regions have different rodent reservoirs, and different reservoirs carry different virus types.
## Why Andes virus is a special case
Most hantaviruses do **not** spread meaningfully from one person to another, [experts say](https://www.nationalgeographic.com/health/article/hantavirus-virus-mice-transmission?ref=consumernews.ai). When someone becomes sick, the usual source is a rodent, not another human.
Andes virus, the type behind the cruise‑ship outbreak, is one of the few known exceptions. Studies from South America have documented limited human‑to‑human transmission in close‑contact settings, such as among household members or healthcare workers caring for very sick patients.
Even then, the virus does not spread easily the way airborne viruses like measles or highly contagious respiratory viruses like SARS‑CoV‑2 do. But it does require an extra layer of caution, especially in confined environments and hospitals.
That is why, once Andes virus was identified on the ship, health authorities moved quickly: evacuating passengers, isolating patients, tracing contacts, and issuing guidance for hospitals on using airborne precautions like N95 respirators and special ventilation rooms when caring for suspected cases.
### Who’s in charge of keeping it that way?
For an American audience, it helps to know there’s a system behind the scenes.
- **The Centers for Disease Control and Prevention (CDC)** leads the U.S. response, from investigating cases and coordinating with state health departments to issuing alerts to doctors and hospitals.
- **State and local health departments** handle the on‑the‑ground work: contacting travelers, arranging testing, and providing information to communities.
- **The World Health Organization (WHO)** coordinates between countries, sharing data and advice, and helps make sure that the response in one place doesn’t leave gaps elsewhere.
- **European and other national agencies** oversee evacuees and cases in their regions, with assessments so far mirroring the U.S. message that risk to the general public is very low.
The system isn’t perfect, but it is there—and for a virus like hantavirus, which moves slowly and rarely in human populations, that’s usually enough to prevent isolated outbreaks from becoming something larger.
## The bottom line
The words “deadly virus” and “cruise ship” in the same sentence will always grab attention. In this case, the danger is very real for the small number of people who’ve become sick—and for their loved ones. But for most Americans, the immediate takeaway is surprisingly practical and unglamorous:
- You don’t need to panic about cruise ships or airports because of hantavirus.
- You do need to pay attention to mice and rats in the places you live, work, and vacation.
- A few simple steps—rodent‑proofing your home, cleaning droppings safely, and getting prompt care if you get sick after heavy rodent exposure—go a long way toward keeping this rare, serious illness exactly that: rare.cdc+3
### Inflation day arrives with gas, groceries and the housing market all in the squeeze
URL: https://www.consumernews.ai/inflation-day-arrives-with-gas-groceries-and-the-housing-market-all-in-the-squeeze/
Last updated: 2026-05-12T12:25:16.000Z
The first hard look at how deeply the war with Iran is leaking into the American household budget arrives Tuesday morning, when the Bureau of Labor Statistics releases April's consumer price index. Wall Street is bracing for a 3.7 percent annual inflation reading, a sharp climb from March, even as the price at the pump remains 51 percent higher than it was three months ago, the cost of canned vegetables creeps up under a 50 percent steel tariff, the spring housing market stalls and consumer sentiment hits a fresh record low. The Trump-Xi summit later this week sits over all of it.
A scan this morning of Reuters, The Associated Press, The New York Times, The Wall Street Journal, CNBC, NBC News, CBS News and Bloomberg surfaced five themes dominating consumer coverage by story volume: today's inflation reading, the renewed oil shock as cease-fire talks falter, the steel-tariff hit to grocery shelves, a spring housing bust and the deepest collapse in consumer confidence in the history of the University of Michigan index.
## CPI day: 3.7 percent expected, the second post-war read
Analysts surveyed by [The Wall Street Journal](https://www.wsj.com/livecoverage/cpi-inflation-report-stock-market-05-12-2026/card/what-to-know-about-april-s-inflation-data-RkoogM2AV5RiBnf2wOpF?ref=consumernews.ai) expect the April consumer price index to show prices rising 3.7 percent from a year earlier, a sharp acceleration from 3.3 percent in March and well above the 2.4 percent rate in February, just before the conflict with Iran began. The Journal called Tuesday's release "the second report following the conflict in Iran, which triggered a significant rise in crude oil and gasoline costs."
A 3.7 percent print would mark the highest annual inflation reading since the post-pandemic peak began rolling off in mid-2023, and it would close out the Federal Reserve's brief easing window. [The Wall Street Journal's live coverage of the inflation report](https://www.wsj.com/livecoverage/cpi-inflation-report-stock-market-05-12-2026?ref=consumernews.ai) noted that Dow futures slipped overnight, oil rose and global stocks retreated as investors waited for the number.
The April data will also be the cleanest test yet of whether the inflation shock is broadening beyond energy. Core CPI, which strips out food and fuel, is where economists and the Fed will be looking for evidence that retailers, restaurants and service providers are passing through tariff and freight costs as well.
## Oil rises again as the Iran cease-fire goes 'on life support'
Hours before the CPI release, the supply side of the inflation story tightened again. President Donald Trump told reporters Monday that the U.S. cease-fire with Iran was "on massive life support" after he dismissed Tehran's latest proposal to end the war and reopen the Strait of Hormuz, [The New York Times reported](https://www.nytimes.com/2026/05/12/business/oil-prices-rise-us-iran.html?ref=consumernews.ai). Brent crude rose more than 1 percent to top $105 a barrel and West Texas Intermediate climbed 2 percent to approach $100.
The pump is feeling it. According to AAA data cited by the Times, the national average for regular gasoline ticked down two cents Tuesday to $4.50 a gallon, but is still 51 percent above the pre-war level. Diesel, which moves nearly every consumer good in the country, held at $5.64, a 50 percent rise. The Strait of Hormuz, the Times noted, normally carries close to 20 percent of the world's seaborne crude.
California, which depends more on Middle Eastern crude than any other state, is the leading edge of the squeeze. [The Wall Street Journal reported Monday](https://www.wsj.com/business/energy-oil/think-6-gas-is-bad-its-about-to-get-even-worse-in-california-354d3d2f?ref=consumernews.ai) that drivers paying $6 a gallon should brace for higher prices still as refinery and shipping constraints tighten.
Trump's pressure campaign has also turned to Beijing. U.S. Treasury Secretary Scott Bessent urged China to lean on Iran to reopen Hormuz, [The Associated Press reported](https://apnews.com/article/china-us-trump-xi-summit-1a0b28a9a7b9078d736ba94bf3b4d6e2?ref=consumernews.ai), warning that by buying Iranian oil, Beijing was "effectively funding terrorism." A trade and Iran-focused Trump-Xi summit later this week is expected to dominate market attention, the AP said, though analysts told the wire service that "few anticipate significant advancements."
## Steel tariffs raise the price of canned corn and beans
A second tariff thread is now showing up on the grocery shelf. The Trump administration's 50 percent tariff on imported steel, imposed under the Section 232 national-security clause of the Trade Expansion Act, is lifting the wholesale cost of the tin-plated cans used to package fruit, vegetables, corn and beans, [The New York Times reported](https://www.nytimes.com/2026/05/12/business/steel-tariffs-tin-cans-food-prices.html?ref=consumernews.ai).
The can itself accounts for roughly one-third of the wholesale cost of canned fruits and vegetables, the Times said, and tin plate is almost entirely imported. "We are required to import all this tin plate," Robert Breen, president of the Can Institute, told the Times. "There's no increase in domestic production compared to before." The paper described the steel tariffs as exceeding "many of Mr. Trump's other import duties" and noted that imports of can-grade steel skyrocketed in 2025 even as the duty climbed. U.S. Steel plans to reopen a tin-plate factory, but the Times said American can makers will continue to rely heavily on foreign supply for the foreseeable future.
The pinch lands on the most price-sensitive grocery aisle. For households that depend on shelf-stable corn, beans and tomatoes — staples for low-income shoppers and food banks alike — the steel duty is "placing a financial strain on families that depend on essential items," the Times reported.
The wider basket continues to send mixed signals. [NBC News' grocery price tracker](https://www.nbcnews.com/data-graphics/grocery-price-tracker-inflation-trends-eggs-bread-trump-administration-rcna257424?ref=consumernews.ai) showed eggs down about 30 percent from their spring 2025 peak, while orange juice was up 28 percent and ground beef up 15 percent since January 2025\. Pork bacon and chicken have also risen.
## Spring housing season turns into a bust
The cost of borrowing, which climbed back above 6.3 percent last week as Treasury yields rose on Iran-driven inflation fears, has now produced the bust spring that home builders feared. [The Wall Street Journal reported](https://www.wsj.com/economy/housing/housing-markets-spring-is-shaping-up-as-a-bust-after-april-sales-were-flat-7a908092?ref=consumernews.ai) that existing-home sales edged up just 0.2 percent in April from March to a seasonally adjusted annual rate of roughly 4.02 million, well below economist expectations.
The National Association of Realtors data, the Journal said, marked "a significant setback for a real estate sector that had anticipated a robust spring to recover from a prolonged downturn." Spring is normally the busiest stretch for home sales in the United States, accounting for roughly four in 10 transactions in a typical year.
Mortgage rates are the proximate cause. [The Associated Press reported](https://apnews.com/article/mortgage-rates-housing-interest-financing-home-ab9ff0f25a019210585edb59139c02e1?ref=consumernews.ai) that the 30-year fixed rate climbed to 6.38 percent last week from 6.22 percent the prior week, the highest level in more than six months and a sharp reversal from a brief sub-6 percent reading earlier this spring. The 15-year rate rose to 5.75 percent from 5.54 percent. The AP attributed the move to "soaring oil prices stemming from the conflict with Iran, which has heightened concerns regarding inflation," and said the higher rates were "constraining" buyers' purchasing power by hundreds of dollars a month.
## Consumer sentiment falls to a record low
The cumulative effect is now visible in how Americans feel about their own finances. The University of Michigan's preliminary consumer sentiment index for May fell to 48.2 from 49.8 in April, a fresh record low, [Bloomberg reported](https://www.bloomberg.com/news/articles/2026-05-08/us-consumer-sentiment-declines-to-record-low-on-inflation-angst?ref=consumernews.ai). The survey period ran from April 21 to May 4, capturing the latest leg of the gasoline run and the renewed cease-fire breakdown.
[The Wall Street Journal](https://www.wsj.com/economy/consumers/consumer-sentiment-falls-to-new-record-lows-amid-war-in-iran-7ae40a27?ref=consumernews.ai) said the figure undershot the 49.7 reading economists had expected, and cited rising gasoline prices as the central driver of "intensified worries regarding the U.S. economy." Bloomberg said respondents cited the impact of inflation on personal finances and on buying conditions as their top concerns.
The reading is consistent with a softer spending picture. [The Associated Press reported](https://apnews.com/article/retail-sales-spending-economy-75bf2d9c96a7650274bdb47fe97f9ac7?ref=consumernews.ai) that retail sales fell 0.2 percent in January and were essentially flat in December, extending a slump that started in the back half of last year. Walmart has continued to draw shoppers across income tiers with lower prices and faster delivery, the AP said, while Target reported another decline in profits and sales as its customer base concentrates spending on essentials.
A separate consumer pressure point is taking shape in travel. [CNBC reported](https://www.cnbc.com/2026/05/06/airlines-jet-fuel-iran-war.html?ref=consumernews.ai) that U.S. airlines spent 56.4 percent more on jet fuel in March than in February — $5.06 billion versus $3.23 billion, according to Department of Transportation data. Carriers have told Wall Street that customers "will begin to absorb the higher costs" through 2027\. Spirit Airlines collapsed over the weekend, CNBC said, citing rising jet fuel prices as a key reason it could not exit bankruptcy on schedule.
## The bigger picture
Tuesday's inflation reading is the first big number that can either ratify or push back on a story that already feels settled in the data: a war-driven oil shock layered on top of an active tariff regime is feeding through to gasoline, packaged groceries, mortgage rates and air travel all at once, and confidence is buckling. If CPI hits 3.7 percent or higher, the Federal Reserve's debate shifts from whether to cut rates back to whether it will have to raise them, with direct consequences for credit card APRs already above 21 percent and auto loan rates near 7 percent. The Trump-Xi summit, expected later this week, is the only near-term off-ramp markets have penciled in — and as the AP noted, even the people inside the talks "anticipate minimal results." For households, that means the squeeze that defined April is, for now, the squeeze that will define May.
### DOJ says meat-price settlement could help consumers, but grocery savings may take time
URL: https://www.consumernews.ai/doj-says-meat-price-settlement-could/
Last updated: 2026-06-19T19:16:01.000Z
#### Consumer advocates say shoppers may not see immediate relief because grocery inflation is also tied to supply, labor and consolidation pressures
The U.S. Department of Justice says a [settlement](https://www.justice.gov/opa/pr/justice-department-requires-agri-stats-end-exchange-competitively-sensitive-information?ref=consumernews.ai) in its antitrust case against agricultural data firm [Agri Stats](https://www.agristats.com/?ref=consumernews.ai) could help reduce grocery prices for American consumers — but experts caution that any savings at the supermarket are likely to emerge slowly, if at all.
The case centers on allegations that Agri Stats helped major meat producers coordinate pricing and production decisions by distributing highly detailed, non-public market information across the industry.
[Subscribe](#/portal/signup)
Federal regulators and six states argued the company’s data-sharing system allowed competing meat processors to monitor one another’s:
- pricing
- production levels
- costs
- profit margins
- supply decisions
The DOJ said the arrangement reduced competition and may have contributed to higher prices for consumers already struggling with years of food inflation.
“This case goes directly to kitchen-table concerns,” antitrust officials said in announcing the settlement, arguing that concentrated agricultural markets can affect the cost of everyday staples including beef, pork and poultry.
## Why this matters to consumers
For millions of households, meat prices remain one of the most visible signs of inflation at the grocery store.
Even though overall inflation has cooled from pandemic-era highs, many shoppers continue reporting “sticker shock” in supermarket meat aisles. Beef prices in particular have remained elevated due to:
- reduced cattle inventories
- drought conditions
- export demand
- processing concentration
- supply-chain disruptions
The Agri Stats case touches on a broader question that has increasingly attracted regulators: whether concentrated industries use shared data systems to quietly reduce competition without explicit price-fixing agreements.
Consumer advocates argue sophisticated data-sharing arrangements can allow companies to “signal” pricing behavior to one another, making it easier for entire industries to keep prices elevated.
“This is part of a much bigger fight over whether dominant corporations are using data to coordinate behavior in ways that hurt consumers,” said one antitrust analyst following the case.
## Will grocery prices actually go down?
That is the big question — and the answer is complicated.
The DOJ argues the settlement could increase competition among meat producers over time, potentially leading to:
- more aggressive pricing
- expanded production
- lower wholesale meat costs
In theory, increased competition could eventually flow through to grocery-store prices.
But economists and consumer groups warn consumers should not expect immediate reductions at the checkout counter.
That is because grocery prices are influenced by many overlapping factors, including:
- transportation costs
- feed prices
- labor expenses
- retailer markups
- global demand
- drought and weather conditions
- supply-chain bottlenecks
In addition, critics say the U.S. meat industry remains highly consolidated even beyond the Agri Stats allegations.
A relatively small number of companies dominate major segments of beef, pork and poultry processing, giving large firms significant pricing power throughout the food chain.
## Growing focus on “algorithmic” or data-driven pricing
The Agri Stats case is also part of a rapidly expanding national debate over data-driven pricing systems.
Regulators increasingly worry that:
- real-time data sharing
- algorithmic pricing tools
- market-monitoring platforms
- AI-assisted pricing systems
could allow competitors to coordinate behavior without traditional backroom collusion.
The issue has become a major focus for:
- the United States Department of Justice
- the Federal Trade Commission
- state attorneys general
- European regulators
Officials have recently scrutinized:
- apartment-pricing software
- airline pricing systems
- ticketing platforms
- hotel pricing algorithms
- grocery and food-supply markets
The broader concern is that advanced data analytics may make it easier for companies to maintain higher prices while avoiding direct communication that would traditionally trigger antitrust violations.
## What consumers should watch next
Consumer advocates say the real test will be whether regulators continue pursuing broader consolidation and pricing issues throughout the food industry.
Questions likely to shape future grocery costs include:
- whether meat-processing concentration declines
- whether independent producers gain market access
- how aggressively regulators challenge data-sharing systems
- whether retailers pass any savings through to shoppers
For now, the settlement is best viewed as part of a larger federal effort to link antitrust enforcement directly to affordability and household costs.
That approach marks a major shift from older antitrust debates that often focused more narrowly on corporate structure and market theory rather than everyday consumer prices.
##
## Data Box: Why meat prices remain high
**Major factors affecting meat prices:**
- Shrinking cattle herds
- Drought conditions
- High feed costs
- Labor shortages
- Export demand
- Industry consolidation
- Transportation costs
- Retail markups
## Affordability Watch
Even if wholesale competition improves, consumers may not see lower grocery bills immediately. Analysts say supermarkets and processors often adjust prices slowly — especially in concentrated industries where a handful of firms dominate supply chains.
[Subscribe](#/portal/signup)
### Safety Recalls, May 11, 2026
URL: https://www.consumernews.ai/safety-recalls-may-11-2026/
Last updated: 2026-06-19T19:16:02.000Z
## NHTSA Vehicle Recalls
- Ram recalled about 12,700 model year 2023–2026 Ram 2500 Heavy Duty pickups because the vehicles may exceed the maximum speed rating of their tires due to incorrect calibration, increasing crash risk. Dealers will update the powertrain software. ([Road & Track](https://www.roadandtrack.com/news/a71269708/ram-2500-hd-heavy-duty-pickup-truck-recall-too-fast-for-tires/?utm%5Fsource=chatgpt.com))
- Mercedes-Benz continues a major recall affecting approximately 144,000 vehicles from model years 2024–2026 due to instrument panel display failures caused by infotainment software resets. ([Reuters](https://www.reuters.com/legal/litigation/mercedes-benz-recall-144049-us-vehicles-over-display-issues-nhtsa-says-2026-05-08/?utm%5Fsource=chatgpt.com))
Official recall lookup:
[NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
## CPSC Consumer Product Recalls
- Thermos recalled approximately 8.2 million Stainless King food jars and beverage bottles because pressure buildup may cause lids to eject forcefully, posing laceration and impact hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Thermos-Recalls-8-2-Million-Stainless-King-Food-Jars-and-Bottles-Due-to-Serious-Impact-Injury-and-Laceration-Hazards?utm%5Fsource=chatgpt.com))
- EEMB USA recalled more than 312,000 battery pouches because the packaging fails child-resistant standards for coin batteries, creating serious ingestion hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/EEMB-USA-Recalls-Battery-Pouches-Due-to-Risk-of-Serious-Injury-or-Death-from-Battery-Ingestion-Violate-Federal-Statute-for-Child-Resistant-Packaging-of-Coin-Batteries?utm%5Fsource=chatgpt.com))
- AirClub convertible bassinets were recalled over fall and infant injury risks tied to bedside sleeper safety standard violations. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/AirClub-Convertible-Bassinets-Recalled-Due-to-Risk-of-Serious-Injury-or-Death-from-Fall-Hazard-Violates-Mandatory-Standard-for-Bedside-Sleepers?utm%5Fsource=chatgpt.com))
Official CPSC recalls page:
[CPSC Recalls & Alerts](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
## FDA Food, Drug & Medical Product Recalls
### Food recalls
- Spring & Mulberry expanded its recall of chocolate bars nationwide due to potential Salmonella contamination linked to date ingredients. ([New York Post](https://nypost.com/2026/05/11/business/pricey-chocolate-bar-recall-over-salmonella-fears-expands-to-include-entire-product-line/?utm%5Fsource=chatgpt.com))
- Utz Quality Foods recalled certain Zapp’s and Dirty potato chips because seasoning ingredients may contain Salmonella contamination associated with recalled dairy powder. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/utz-quality-foods-llc-issues-voluntary-recall-certain-limited-varieties-zapps-and-dirty-potato-chips?utm%5Fsource=chatgpt.com))
- FDA continues monitoring a broader wave of recalls tied to powdered milk ingredients from California Dairies due to possible Salmonella contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/major-product-recalls/2026-recalls-food-products-associated-powdered-milk-california-dairies-inc-due-potential-salmonella?utm%5Fsource=chatgpt.com))
### Drug & medical recalls
- Acella Pharmaceuticals recalled naproxen oral suspension after FDA testing found elevated lead and lithium contamination levels. The FDA classified the recall as Class II. ([EatingWell](https://www.eatingwell.com/naproxen-recalled-chemical-contamination-11971796?utm%5Fsource=chatgpt.com))
- FDA issued a high-risk recall classification for certain Boston Scientific pacemaker devices because software-related battery issues may limit pacing functionality. ([American Hospital Association](https://www.aha.org/news/headline/2026-05-08-fda-issues-most-serious-recall-certain-pacemaker-devices-boston-scientific?utm%5Fsource=chatgpt.com))
Official FDA recalls page:
[FDA Recalls & Safety Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
## USDA / FSIS Alerts
- USDA FSIS issued a public health alert involving deli meat “headcheese” products distributed in Illinois and Indiana due to possible Listeria monocytogenes contamination linked to illnesses. ([People.com](https://people.com/public-health-alert-issued-for-headcheese-for-possible-listeria-contamination-11971682?utm%5Fsource=chatgpt.com))
- FSIS continues alerts involving meat and poultry products made with recalled dairy ingredients potentially contaminated with Salmonella. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-various-meat-and-poultry-products-containing-fda?utm%5Fsource=chatgpt.com))
- FSIS also warned consumers about mislabeled ravioli products sold at Costco locations in Maryland and New Jersey because packages may contain undeclared shellfish allergens. ([EatingWell](https://www.eatingwell.com/usda-alert-costco-ravioli-11967279?utm%5Fsource=chatgpt.com))
Official USDA recalls page:
[USDA FSIS Recalls & Alerts](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### Gas tax holiday, cheaper imported beef? Trump pushes new inflation relief moves as prices squeeze consumers
URL: https://www.consumernews.ai/gas-tax-holiday-cheaper-imported/
Last updated: 2026-06-19T19:16:03.000Z
#### Critics say both moves could provide only limited short-term relief while creating new budget and market disruptions.
As Americans grapple with rising food and fuel costs, the Trump administration is backing a pair of high-profile inflation relief measures: suspending the federal gasoline tax and [temporarily lowering barriers to imported beef.](https://www.theoutragedconsumer.com/p/trump-reduces-import-tariffs-on-beef?ref=consumernews.ai)
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Trump said Monday he supports pausing the federal gas tax “for a period of time” as fuel prices spike following escalating tensions in the Middle East and disruptions tied to the Iran conflict. The federal gasoline tax currently adds 18.4 cents per gallon to the price drivers pay at the pump.
At the same time, the administration is preparing to temporarily suspend tariff-rate quotas on imported beef, allowing more foreign beef to enter the U.S. market at lower tariff rates. The move is aimed at cooling record-high beef prices that have become a growing source of frustration for consumers shopping for steaks, burgers and other staples.
The twin initiatives represent a notable shift for an administration that has broadly embraced tariffs and protectionist trade policies while also facing mounting political pressure over affordability concerns.
According to AAA data cited in multiple reports, average U.S. gasoline prices have climbed to roughly $4.52 per gallon, up sharply from earlier this year as geopolitical tensions rattled oil markets, according to [The Guardian](https://www.theguardian.com/us-news/2026/may/11/trump-federal-gas-tax-prices?utm%5Fsource=chatgpt.com).
Trump told reporters the gas tax suspension would be temporary and could end once fuel prices stabilize. But Congress would have to approve any federal gas tax holiday before it could take effect. Republican lawmakers, including Sen. Josh Hawley and Rep. Anna Paulina Luna, are reportedly preparing legislation to support the move, [Axios](https://www.axios.com/2026/05/11/trump-suspend-federal-gas-tax?utm%5Fsource=chatgpt.com) reported.
### Beef prices become a political problem
The administration’s beef move highlights another major consumer pain point: grocery inflation.
Beef prices have remained stubbornly high amid reduced cattle inventories, drought pressures, higher feed costs and strong consumer demand. By temporarily relaxing import restrictions, the White House hopes to boost supply quickly and put downward pressure on supermarket prices.
The administration is also reportedly planning additional [support for domestic ranchers](https://www.devdiscourse.com/article/headlines/3904614-trumps-beef-import-push-grappling-with-rising-prices?utm%5Fsource=chatgpt.com), including expanded Small Business Administration lending access and the rollback of certain livestock regulations.
The beef decision is particularly notable because Trump has spent much of his second term expanding tariffs on imported goods. In recent months, the administration imposed or threatened a range of new import duties under various trade authorities while defending tariffs as a way to protect American industries.
Now, faced with mounting consumer complaints over grocery bills, the administration appears willing to carve out exceptions for products tied directly to household inflation.
### How much relief would consumers actually see?
Economists have long debated whether gas tax holidays meaningfully lower prices for consumers.
While suspending the federal tax could shave roughly 18 cents off a gallon of gasoline, analysts note that recent fuel price increases tied to oil markets have been far larger. National average gas prices have risen by more than $1.50 per gallon since the Iran conflict escalated, according to reports citing AAA data.
Some economists also warn that retailers and refiners do not always pass the full tax savings directly to drivers.
Meanwhile, suspending the gas tax could reduce funding for the federal Highway Trust Fund, which finances road and bridge projects nationwide. Analysts cited by the [Financial Times](https://www.ft.com/content/94b62354-1966-4d8d-95b7-2749ed5a21ff?utm%5Fsource=chatgpt.com) estimated that a three-month suspension could cost roughly $7 billion in transportation revenue.
The impact of lower beef tariffs is similarly uncertain.
Imported beef could help stabilize supply in the short term, particularly for ground beef and lower-cost cuts. But analysts say broader cattle shortages and global supply constraints may limit how much prices actually fall.
### Affordability Watch
Consumers are increasingly facing a double squeeze from both food and transportation costs.
Gasoline prices are now at their highest levels in roughly four years, while beef prices have climbed steadily amid shrinking U.S. cattle herds and supply disruptions.
For many households, the combined effect is especially painful because fuel and food are among the most visible and unavoidable expenses in family budgets.
### Data Box: Potential consumer impact
### What consumers should watch
If Congress acts quickly, drivers could see lower gas prices within weeks. But any savings may vary by region and retailer.
At grocery stores, imported beef could begin appearing more widely later this year if the tariff suspension proceeds as expected. Consumers may see the biggest impact in ground beef prices rather than premium cuts.
For now, affordability remains a major political issue — and the White House is signaling that even some long-standing tariff policies may be negotiable when inflation hits consumers directly.
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### Trump reduces import tariffs on beef, hoping to drive down prices at the meat counter
URL: https://www.consumernews.ai/trump-reduces-import-tariffs-on-beef/
Last updated: 2026-06-19T19:16:03.000Z
#### Administration also plans new rancher loans, fewer livestock regulations, and reduced wolf protections
The Trump administration is preparing a broad package of measures aimed at lowering soaring beef prices, including temporarily easing tariffs on imported beef and cutting regulations for U.S. cattle producers, the [Wall Street Journal reports](https://www.wsj.com/politics/policy/trump-clears-way-for-more-beef-imports-aiming-to-bring-down-record-high-prices-acf83faa?ref=consumernews.ai).
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According to reports, the administration plans to suspend the annual tariff-rate quota system on beef imports, allowing more foreign beef to enter the U.S. market at lower tariff rates. The change could take effect as soon as Monday and would apply to beef-exporting nations worldwide.
The move comes as consumers continue to face historically high meat prices at grocery stores and restaurants. Beef has remained one of the most persistent inflation problem areas even as prices for eggs, milk and some other staples have stabilized in recent months.
Ground beef prices are now about 40% higher than they were five years ago, according to government inflation data frequently cited by economists and food industry analysts.
The administration says the import changes are intended to address immediate supply shortages while longer-term efforts focus on helping domestic ranchers expand production.
A White House official reportedly said the administration views the tariff reduction as a short-term inflation relief measure while pursuing policies designed to lower costs for cattle producers over time.
## Consumers squeezed at the meat counter
The rising cost of beef has become increasingly visible for shoppers.
Families are paying more for hamburgers, steaks, tacos and other everyday meals, while restaurants have continued raising menu prices or shrinking portion sizes to cope with higher wholesale meat costs.
Industry analysts say several factors have contributed to the price surge, including:
- A historically small U.S. cattle herd
- Drought conditions in major ranching states
- High feed and transportation costs
- Strong consumer demand for beef despite inflation
- Supply-chain disruptions that lingered after the pandemic
The U.S. cattle inventory has fallen to some of its lowest levels in decades after years of drought and financial pressure pushed many ranchers to reduce herd sizes.
That has created tight supplies just as demand for beef has remained relatively resilient.
## More imports could lower prices — eventually
Economists say increasing imports could help stabilize prices by boosting available supply, though the effect may not be immediate.
Countries including Australia, Brazil, Canada, Mexico and Argentina are among major beef exporters that could benefit from the tariff changes.
The administration already moved earlier this year to allow additional beef imports from Argentina as part of its inflation response strategy.
Consumer advocates generally support measures that increase competition and supply in food markets, though some domestic ranchers and cattle industry groups have historically opposed expanded imports, arguing they can depress U.S. cattle prices and create food-safety concerns.
The [National Cattlemen’s Beef Association](https://www.ncba.org/?ref=consumernews.ai) and other industry groups have frequently argued that foreign beef should face strict inspection standards and labeling requirements.
## Ranchers also getting regulatory relief
Alongside the import changes, the administration plans several measures aimed at reducing costs and regulatory burdens for domestic cattle producers.
Those steps reportedly include:
- Expanded Small Business Administration loan access for ranchers
- Reduced Endangered Species Act protections for gray wolves and Mexican wolves
- Rollbacks of certain livestock-tracking requirements
- Less enforcement of electronic ear-tag mandates for cattle
Electronic ear-tag rules have been controversial among some ranchers, who argue the requirements are costly, burdensome and raise privacy concerns about livestock tracking.
Wildlife protections have also long been a flashpoint in western ranching states, where cattle producers say wolves threaten livestock and increase financial losses.
Environmental groups, however, are expected to strongly oppose efforts to weaken wolf protections, arguing they are essential for species recovery and ecosystem balance.
## Affordability Watch
### Why beef prices remain so high
Several economic forces continue driving meat costs upward:
Food inflation has cooled overall compared with the peak pandemic years, but beef remains one of the most expensive categories in the grocery store.
Analysts say meaningful price relief may depend on rebuilding the U.S. cattle herd — a process that could take years even under favorable weather and economic conditions.
For now, consumers may continue seeing elevated prices for steaks, burgers and other beef products throughout much of 2026.
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### Bowlers sue Bowlero, alleging private equity–fueled monopoly “destroyed” America’s pastime
URL: https://www.consumernews.ai/bowlers-sue-bowlero-alleging-private/
Last updated: 2026-06-19T19:16:04.000Z
#### Plaintiffs say some consumers were charged hundreds of dollars for a family bowling outing as the company expanded from six locations in 2012 to nearly 350 today.
A group of avid bowlers from across the country has filed a sweeping [class-action lawsuit](https://drive.google.com/file/d/1dBA0v95yJJGrOj0QxbmPktZGgbild1hx/view?ref=consumernews.ai) accusing Lucky Strike Entertainment — the private equity–backed bowling giant formerly known as Bowlero — of orchestrating a years-long anticompetitive campaign that plaintiffs say has transformed bowling from an affordable pastime into an increasingly expensive corporate entertainment product.
Filed in federal court in Washington state, the lawsuit alleges the company violated federal antitrust law and state consumer protection statutes through aggressive acquisitions of independent bowling alleys and related businesses.
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According to the complaint, the company grew from just six locations in 2012 to nearly 350 bowling centers nationwide, representing roughly 35% of total U.S. bowling revenue. In some local markets, plaintiffs claim the company controls as much as 95% of bowling lanes.
The lawsuit seeks monetary damages but also asks the court to force divestitures — including potentially unwinding the company’s acquisition of the Professional Bowlers Association, one of the sport’s most recognizable organizations.
The company, which has begun rebranding under the Lucky Strike Entertainment name, did not immediately respond to requests for comment, according to the report.
## Claims of rising prices and declining quality
The lawsuit paints a stark picture of what plaintiffs describe as the “corporatization” of bowling.
Bowlers allege the company used [algorithmic dynamic pricing systems](https://www.theoutragedconsumer.com/p/maryland-outlaws-predatory-pricing?utm%5Fsource=publication-search) to maximize weekend profits while reducing weekday hours and cutting maintenance costs at local alleys. Plaintiffs also claim the company emphasized alcohol sales, gambling-style entertainment features, and higher-margin attractions over traditional league bowling and family recreation.
One Seattle-area customer allegedly paid $284 for two hours of bowling at a company-owned center, according to court filings. Another consumer claimed a California location attempted to charge nearly $400 for a holiday family outing.
“The bowling alley felt to me like the last egalitarian, fun, middle-American thing,” one plaintiff reportedly said in the complaint.
The suit further alleges executives openly discussed using the company’s growing scale to extract preferential supplier deals and pricing advantages unavailable to independent bowling operators.
## Antitrust concerns extend beyond bowling lanes
The complaint argues the company’s acquisition of the Professional Bowlers Association created additional competitive concerns by giving the operator influence over both bowling venues and the sport’s premier professional organization.
Plaintiffs claim company executives viewed the association as an “infomercial” platform that could be used to heavily promote corporate branding and properties during televised bowling events.
The lawsuit also highlights the company’s recent embrace of artificial intelligence and algorithmic pricing tools. During a recent earnings call, executives reportedly discussed expanding “AI initiatives,” including pricing systems.
Consumer advocates and antitrust regulators have increasingly scrutinized the use of algorithmic pricing systems across industries ranging from apartment rentals to airline tickets and live entertainment, warning such tools can amplify price increases and reduce competition even without explicit price-fixing agreements.
## Private equity under renewed scrutiny
The case also shines a spotlight on the growing role of [private equity](https://www.theoutragedconsumer.com/p/when-your-landlord-is-a-private-equity?utm%5Fsource=publication-search) in consumer-facing industries.
Private equity firms often pursue “roll-up” strategies in fragmented industries by buying numerous smaller competitors and consolidating operations under a national brand. Critics argue such strategies can reduce local competition, increase prices, and prioritize short-term profits over service quality.
The bowling lawsuit echoes broader national concerns about consolidation in sectors once dominated by local or family-owned businesses, including veterinary clinics, emergency rooms, dental practices, mobile home parks, and funeral homes.
Bowling itself has long held a unique place in American culture, historically serving as an affordable, community-oriented recreational activity centered around local leagues and neighborhood gathering spaces.
The plaintiffs argue that model is rapidly disappearing.
## Data Box: Bowling by the numbers
- Nearly 350 bowling centers allegedly controlled by Bowlero/Lucky Strike
- Roughly 35% of total U.S. bowling revenue tied to the company, according to the lawsuit
- Some local markets allegedly see the company controlling up to 95% of lanes
- One customer allegedly paid $284 for two hours of bowling in Seattle
- Another family was allegedly quoted nearly $400 for holiday bowling in California
## What happens next
The lawsuit faces what could be a lengthy legal battle in federal court.
Antitrust cases involving market consolidation are notoriously difficult and expensive to litigate, particularly when plaintiffs seek to unwind completed mergers and acquisitions.
Still, the case arrives amid heightened federal scrutiny of corporate consolidation and growing bipartisan concern over the impact of private equity ownership on consumers.
If successful, the lawsuit could become one of the most unusual antitrust cases in recent years — centered not on Silicon Valley or Wall Street, but on the future of America’s bowling alleys.
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### Nike hit with lawsuit over tariff surcharges as consumers demand refunds
URL: https://www.consumernews.ai/nike-hit-with-lawsuit-over-tariff/
Last updated: 2026-06-19T19:16:04.000Z
##
#### Consumers accuse [Nike](https://www.nike.com/?utm%5Fsource=chatgpt.com) of raising prices to cover Trump-era tariffs — and then keeping the money after the tariffs were struck down.
Consumers are now taking one of America’s biggest retail brands to court over a question likely to spread far beyond sneakers: If companies raised prices because of tariffs — and those [tariffs are later overturned](https://www.theoutragedconsumer.com/p/170-billion-in-tariff-refunds-will?utm%5Fsource=publication-search) — do shoppers deserve their money back?
A proposed federal class action filed against [Nike](https://www.nike.com/?utm%5Fsource=chatgpt.com) alleges the sportswear giant increased prices on footwear and apparel to offset import tariffs imposed during the Trump administration, then failed to commit to refunding consumers after the U.S. Supreme Court invalidated key parts of those tariffs earlier this year, according to an [Insurance Journal](https://www.insurancejournal.com/news/national/2026/05/11/869226.htm?ref=consumernews.ai) report.
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According to the lawsuit, Nike previously said it paid roughly $1 billion in tariffs on imported goods. Consumers claim the company responded by raising prices on some shoes by $5 to $10 and apparel by $2 to $10.
Now plaintiffs argue Nike could effectively get paid twice — once by consumers and again through tariff refunds from the federal government.
“Unless restrained by this court,” the complaint alleges, Nike could recover tariff costs “twice.”
The lawsuit was filed in federal court in Portland, Oregon. Nike had not publicly responded to the allegations as of Monday.
[**Waiting for your tariff refunds? Keep waiting.**](https://www.theoutragedconsumer.com/p/waiting-for-your-tariff-refunds-keep?utm%5Fsource=publication-search)
### A growing wave of tariff refund lawsuits
Nike is not alone.
The Insurance Journal/Reuters report says consumers have also filed similar lawsuits against retailers including [Costco](https://www.costco.com/?utm%5Fsource=chatgpt.com) and eyewear giant [EssilorLuxottica](https://www.essilorluxottica.com/?utm%5Fsource=chatgpt.com), maker of Ray-Ban sunglasses.
The cases are emerging after a February Supreme Court ruling striking down broad tariffs imposed under the International Emergency Economic Powers Act, or IEEPA. The legal theory behind the lawsuits is straightforward:
If companies justified higher prices because tariffs increased their costs, consumers say those price hikes should disappear — or be refunded — if the tariffs themselves are ruled unlawful.
Legal experts say the cases could open a new front in consumer litigation, particularly if more retailers received tariff reimbursements or avoided expected tariff costs while leaving higher consumer prices in place.
### Consumers already squeezed by inflation
The lawsuits also tap into broader consumer frustration over years of rising prices.
Many Americans have struggled with elevated costs for shoes, clothing, electronics, household goods and groceries since the pandemic-era inflation surge. Tariffs became another frequent explanation companies used for price increases, particularly for imported goods.
Retailers often defended those increases as unavoidable.
But consumer advocates argue companies should not retain windfall profits if those costs disappear.
That debate has become increasingly politically charged as inflation-weary shoppers question whether corporations used tariffs, supply chain disruptions and inflation as cover for broader price hikes.
### What shoppers could get
The Nike case is currently only a proposed class action, meaning a judge would first have to certify a nationwide consumer class before any refunds could be pursued.
If the plaintiffs succeed, consumers who bought qualifying Nike products during the tariff pricing period could potentially receive partial refunds or compensation.
However, such cases can take years to resolve.
Companies facing these lawsuits are also likely to argue that retail pricing depends on many factors beyond tariffs, including transportation, labor, marketing and inventory costs.
Nike has already suggested tariff pressure may be easing. During a March conference call, the company reportedly said the fiscal quarter ending in August 2026 would likely be the last period in which tariffs materially affected profit margins.
### Why this matters for consumers
The Nike lawsuit could have implications far beyond apparel.
If courts allow these refund theories to proceed, similar claims could emerge across industries that blamed tariffs for higher prices, including electronics, appliances, furniture and auto parts.
Consumer advocates say the broader issue is transparency.
If companies impose “temporary” surcharges tied to government policy or supply disruptions, shoppers increasingly want to know whether those fees will disappear once conditions change.
The case may ultimately test whether tariff-related price hikes are treated as ordinary business decisions — or as recoverable overcharges consumers can challenge in court.
### What consumers can do now
Consumer attorneys say shoppers who believe they paid tariff-related surcharges should:
- Keep receipts and online order confirmations.
- Watch for class action notices related to purchases.
- Monitor whether companies announce refunds or pricing adjustments.
- Be cautious of scams promising immediate settlement payments.
For now, the Nike lawsuit is in its early stages — but it could become one of the first major tests of whether consumers can claw back money tied to overturned tariffs.
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### FDA opens door to flavored vapes, alarming anti-smoking advocates
URL: https://www.consumernews.ai/fda-opens-door-to-flavored-vapes/
Last updated: 2026-06-19T19:16:05.000Z
### FDA officials say new technology and marketing restrictions can keep the products away from minors while helping adult smokers switch from cigarettes.
The U.S. Food and Drug Administration has approved the first fruit-flavored electronic cigarettes for sale in the U.S., a decision that could reshape the vaping market and reopen one of the country’s fiercest public-health debates, according to [The Washington Post](https://www.washingtonpost.com/health/2026/05/05/fda-approves-flavored-vapes/?utm%5Fsource=chatgpt.com).
The newly authorized products, made by Los Angeles-based [Glas Inc.](https://glas.com/?ref=consumernews.ai), include mango- and blueberry-flavored vape pods, along with menthol varieties. The FDA said the products may legally be sold only to adults 21 and older and cited age-verification technology and marketing restrictions designed to reduce youth access.
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The move represents a dramatic departure from years of aggressive federal enforcement against flavored vaping products, many of which regulators said were marketed in ways that appeal to teenagers.
For years, the FDA rejected more than a million flavored vape applications, arguing that candy-, fruit- and dessert-flavored nicotine products posed too great a risk to adolescents. The agency has repeatedly described youth vaping as a public-health crisis and has issued [hundreds of warning letters](https://www.fda.gov/tobacco-products/compliance-enforcement-training/advisory-and-enforcement-actions-against-industry-unauthorized-tobacco-products?utm%5Fsource=chatgpt.com) to retailers selling unauthorized flavored products such as Geek Bar and Lost Mary.
The FDA now says the newly approved devices contain safeguards that could limit underage use. According to reports, the products require government ID verification and Bluetooth-enabled device pairing before activation. Still, anti-smoking advocates reacted with alarm.
### “Undermines years of progress”
Groups including the Campaign for Tobacco-Free Kids warned that authorizing fruit flavors could undermine years of progress in reducing teen vaping. Critics argue that flavors such as mango and blueberry are inherently attractive to younger consumers, regardless of technological safeguards.
The approvals come amid mounting political pressure on the FDA and its tobacco division.
Recent reports indicate that President Donald Trump publicly pushed FDA Commissioner Marty Makary to accelerate approvals for flavored vaping products, particularly those favored by adult vaping advocates and small vape businesses, the [Wall Street Journal](https://www.wsj.com/politics/policy/trump-pressures-fda-commissioner-to-approve-flavored-vapes-9dad81ee?utm%5Fsource=chatgpt.com) said.
The agency has also recently signaled a [broader softening of its stance](http://stat/?ref=consumernews.ai) on flavored nicotine products. Draft FDA guidance released earlier this year suggested regulators may consider approving some non-tobacco flavors — including mint, coffee, tea and spice flavors — if manufacturers can demonstrate benefits for adult smokers outweigh the risks to youth.
At the same time, the FDA announced it would ease enforcement against some unauthorized vaping products whose applications are still under review, citing limited enforcement resources and the sheer size of the market.
### Do they help adults quit?
The vaping industry has long argued that flavored e-cigarettes can help adult smokers quit traditional cigarettes by providing a less harmful alternative.
Some research suggests flavor bans may reduce vaping while unintentionally increasing cigarette smoking among young adults. A [2024 study](http://JAMA Network) published in *JAMA Health Forum* found that restrictions on flavored electronic nicotine delivery systems were associated with lower vaping rates but higher cigarette smoking rates among adults ages 18 to 29.
But health experts remain deeply divided over whether flavored vaping products produce a net public-health benefit.
[Researchers](https://www.statnews.com/2026/03/13/fda-guidance-flavored-vapes-teen-vaping-risks/?utm%5Fsource=chatgpt.com) have warned that many flavoring chemicals were never intended for inhalation and may carry respiratory risks. FDA critics also note that unauthorized flavored disposable vapes continue to flood the market despite years of enforcement efforts.
The FDA says only 45 vaping products are currently authorized for legal sale in the United States.
## What this means for consumers
Adult smokers may soon see a wider variety of legally sold flavored vaping products at retail stores and online. But consumers should be aware that many flavored vape products on the market remain unauthorized by the FDA.
Health officials continue to [warn](https://www.fda.gov/tobacco-products/products-ingredients-components/e-cigarettes-vapes-and-other-electronic-nicotine-delivery-systems-ends?utm%5Fsource=chatgpt.com) that no tobacco product — including e-cigarettes — is considered safe, and vaping products have been linked to lung injuries, nicotine addiction, overheating incidents and other health concerns.
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### Iran war reshapes the American household budget as five pressures collide
URL: https://www.consumernews.ai/iran-war-reshapes-the-american-household-budget-as-five-pressures-collide/
Last updated: 2026-05-11T11:46:16.000Z
## Top consumer stories: May 11, 2026
#
Eleven weeks into a war with Iran that no one expected to last this long, the conflict is now the through-line of the American consumer story. It has pushed gasoline 52 percent higher than it was in late February, lifted mortgage rates back above 6.3 percent, helped drive credit card balances to a record $1.23 trillion, complicated a jobs market that economists are still trying to read, and reset the math on summer travel. Tuesday's federal inflation report will offer the next test of how deeply the squeeze is reaching consumers.
A scan this morning of Reuters, The Associated Press, The New York Times, The Wall Street Journal, CNBC, NBC News, CBS News and Bloomberg surfaced five themes dominating consumer coverage by volume: the gasoline shock, the cost of borrowing, the credit card pileup, a still-resilient but fraying labor market and the rising price of travel and food. Retail spending and store investment, while not in the top five by story count, sit underneath all of them as the indicator everyone is watching.
## Gasoline: 52 percent higher and still climbing
The national average price for a gallon of regular gasoline jumped 31 cents in a single week to $4.54 on Wednesday, 52 percent above the pre-war level, [The Associated Press reported](https://apnews.com/article/gasoline-prices-oil-war-iran-strait-of-hormuz-87f47b69ff4d5c0d16853fc36089e81b?ref=consumernews.ai). California drivers are paying $6.16 a gallon on average; Oklahoma, the cheapest state, is at $3.96, according to [a New York Times analysis](https://www.nytimes.com/2026/05/06/business/energy-environment/gasoline-prices-states-iran-war.html?ref=consumernews.ai) of AAA data.
The driver is Iran's effective closure of the Strait of Hormuz, the narrow waterway through which roughly one-fifth of the world's crude oil normally moves. The International Energy Agency, cited by AP, has called the disruption "the largest supply disruption in the history of oil markets." Oil briefly touched $112 a barrel in early April and fell back below $100 on Wednesday as the U.S. and Iran inched toward a preliminary deal.
Relief is unlikely to be quick. "Even if there was a true and lasting resolution of the conflict, both sides agree to play nice and truly do commit to keeping Hormuz open, it will still take months to get back to what it was pre-war, if not even longer," Rob Smith, director of global fuel retail at S&P Global Energy, told the AP. Bob Kleinberg, an adjunct senior research scholar at Columbia University's Center on Global Energy Policy, put it more bluntly: "The oil market is exquisitely sensitive to what's coming out of the White House."
In 2025, oil prices accounted for about 51 percent of the cost of a gallon of gasoline, according to Energy Information Administration figures cited in the AP story. That leverage is now flowing through to almost everything else.
## The cost of borrowing: mortgages and autos creep back up
The Iran-driven inflation scare has reversed a brief reprieve in mortgage costs. The benchmark 30-year fixed mortgage rate climbed to 6.38 percent, up from 6.22 percent the prior week and the highest level in more than six months, [The Associated Press reported](https://apnews.com/article/mortgage-rates-housing-interest-financing-home-ab9ff0f25a019210585edb59139c02e1?ref=consumernews.ai), citing Freddie Mac. Four weeks earlier the rate had briefly dropped below 6 percent for the first time since late 2022\. The 15-year rate rose to 5.75 percent from 5.54 percent.
The AP attributed the reversal to "soaring oil prices stemming from the conflict with Iran, which has heightened concerns regarding inflation." Mortgage rates track the 10-year Treasury yield, which climbed to 4.38 percent on Thursday from about 4.26 percent a week earlier. The result, the AP wrote, is "additional monthly expenses amounting to hundreds of dollars for home buyers, thereby constraining their purchasing power" in what is normally the busiest stretch of the spring buying season.
Auto borrowing is following the same path. The average new-car loan rate has climbed to 7 percent in late March, with borrowers between 601 and 660 in credit score paying 9.77 percent on new cars and 14.11 percent on used, according to [The Wall Street Journal's buyside auto-loan tables](https://www.wsj.com/buyside/personal-finance/auto-loans/best-auto-loan-rates?ref=consumernews.ai). Capital One, one of the largest U.S. auto lenders, told [CNBC](https://www.cnbc.com/2026/05/09/capital-one-auto-forever-loans-used-cars.html?ref=consumernews.ai) that the average monthly cost of owning a car has risen from $390 to $525 since 2019, helping explain the rise of seven- and eight-year "forever loans" on used vehicles.
## Credit card balances at a record $1.23 trillion
Households are increasingly bridging the gap with plastic. U.S. credit card balances reached $1.23 trillion in the last quarter of 2025, a record, and the average borrower now carries nearly $6,600 on cards charging an average rate above 21 percent, [CBS News reported](https://www.cbsnews.com/news/how-much-credit-card-debt-too-much-may-2026/?ref=consumernews.ai). Inflation jumped almost a full percentage point in March alone.
"This is a very tough environment for credit card debt with balances at record highs and credit card interest rates also near historic highs," Bobbi Rebell, a certified financial planner and consumer finance expert, told CBS. "All this is happening with inflation making everyday expenses very costly, which in turn pushes consumers to use credit cards even more."
The picture is consistent with [Sunday's New York Times reporting](https://www.nytimes.com/2026/05/10/business/consumers-credit-inflation-costs.html?ref=consumernews.ai) that more households are turning to a "hamster wheel" of credit as gas, groceries and other staples rise. The danger, Rebell warned CBS, is that "your balance is going to grow as your ability to pay shrinks" and "things can really spiral."
Half of Americans with a credit card say they cannot afford to pay it off in full each month, [CBS News reported separately](https://www.cbsnews.com/philadelphia/video/if-youre-in-credit-card-debt-these-simple-solutions-could-help-get-it-paid-off/?ref=consumernews.ai), citing a survey from progressive think tank The Century Foundation. Researchers told the network that rising rates are pushing balances higher and costing consumers more over time.
## Jobs: resilient on the surface, softer underneath
Friday's labor report offered some relief from the gloom. U.S. employers added 115,000 jobs in April, more than double the 55,000 Dow Jones consensus, with the unemployment rate steady at 4.3 percent, [CNBC reported](https://www.cnbc.com/2026/05/08/jobs-report-april-2026.html?ref=consumernews.ai). Average hourly earnings rose 3.6 percent from a year earlier. Health care led with 37,000 jobs, transportation and warehousing added 30,000, and retail added 22,000, while information services lost 13,000.
"The jobs report a clear surprise, the labor market remains resilient," Eric Merlis, co-head of global markets at Citizens Financial, told [NBC News](https://www.nbcnews.com/business/economy/april-jobs-report-iran-war-pressure-rcna344166?ref=consumernews.ai). "Crucially, the data implies that the conflicts in the Middle East have had minimal discernible impact on the U.S. job market." The Federal Reserve Bank of Chicago's Austan Goolsbee told CNBC he still does not see "substantial evidence that the job market is deteriorating."
But the household survey told a different story. Employment by that measure fell 226,000, the labor force participation rate slipped further, and the number of people working part-time for economic reasons rose 445,000 to 4 million, according to CNBC and NBC News. The broader U-6 underemployment measure rose 0.2 percentage points to 8.2 percent. Scott Smith, investment strategist at Brown Brothers Harriman, told CNBC the report shows "the underlying resilience of this economy and labor market, despite various concerns regarding the Middle East, unemployment, inflation, and the Federal Reserve" but added, "One month does not establish a new trend."
[The Wall Street Journal](https://www.wsj.com/economy/jobs/april-jobs-report-unemployment-35aead9a?ref=consumernews.ai) wrote that retail, transportation and warehousing had carried the report. Markets are now pricing in steady Fed rates through 2026 as the economy "navigates persistent inflation and a labor market that has shown resilience," CNBC said.
## Travel and food: the Iran war hits the grocery aisle and the boarding gate
The conflict that started at the pump has reached the airport and the supermarket. Jet fuel prices have climbed sharply since the late-February strikes on Iran, and [CNBC reported](https://www.cnbc.com/2026/04/28/airlines-fares-fuel.html?ref=consumernews.ai) that JetBlue and major U.S. carriers have told Wall Street they expect customers to absorb the higher fuel costs through early 2027, not just this year. Fares to Europe, the most popular American summer destination, are up about 9 percent, and overall summer airfares are roughly 10 percent above earlier forecasts, [CNBC reported separately](https://www.cnbc.com/2026/05/02/iran-war-airfare-travel-airlines-plane-tickets-when-to-buy.html?ref=consumernews.ai), citing booking platform Hopper.
"If you haven't booked for this summer, get busy," Atmosphere Research Group analyst Henry Harteveldt told [CBS News](https://www.cbsnews.com/news/airline-tickets-will-go-down-jet-fuel-iran-war/?ref=consumernews.ai).
Food is following a similar pattern. Eggs are down about 30 percent from their spring 2025 peak, but orange juice is up 28 percent and ground beef is up 15 percent since January 2025, [NBC News' grocery price tracker shows](https://www.nbcnews.com/data-graphics/grocery-price-tracker-inflation-trends-eggs-bread-trump-administration-rcna257424?ref=consumernews.ai). [CNBC reported](https://www.cnbc.com/2026/04/02/grocery-shock-on-the-horizon-for-us-elections-as-iran-war-drags-on.html?ref=consumernews.ai) that the closure of the Strait of Hormuz is pushing up diesel costs, restricting fertilizer supplies and lifting plastic packaging prices, with economist Kjetil Storesletten warning that if the strait "remains closed until summer, we will see considerable increases in food prices."
Recalls continue to add a separate layer of consumer caution. Utz is recalling Zapp's and Dirty brand chips with July or August 2026 best-by dates over potential salmonella contamination in a milk-powder ingredient, [NBC News reported](https://www.nbcnews.com/news/us-news/utz-recalls-popular-potato-chip-brands-zapps-dirty-due-salmonella-risk-rcna343855?ref=consumernews.ai). The a2 Milk Company is pulling more than 16,000 tins of its a2 Platinum Premium USA infant formula after the toxin cereulide was detected, [NBC reported separately](https://www.nbcnews.com/news/us-news/infant-formula-a2-recall-contamination-toxin-rcna343527?ref=consumernews.ai).
## The bigger picture
Tuesday's consumer price index report from the Bureau of Labor Statistics will be the first read on how much of this is filtering into the broader inflation rate, [The Wall Street Journal](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-05-11-2026/card/inflation-data-trump-xi-meet-what-to-watch-this-week-UwpgTKhqjERNPOhWx9Mb?ref=consumernews.ai) noted, with the Iran war and tariffs expected to dominate President Donald Trump's long-delayed trip to meet Xi Jinping in China later in the week. NBC News, citing earlier CPI data, said inflation already climbed to 3.3 percent in March on the back of the conflict.
Retailers, for their part, are betting the consumer holds. Walmart, Target and Dollar General are among the chains planning to spend at least $20 billion this decade renovating more than 12,000 stores, [The New York Times reported](https://www.nytimes.com/2026/05/11/business/retailers-stores-renovations.html?ref=consumernews.ai). "Target's new chapter is focused on expansion, with our stores playing a crucial role in our strategy," CEO Michael Fiddelke told the Times.
The American consumer has not broken. But every one of the five pressures stacking up this week — fuel, borrowing, debt, jobs and travel — now traces back through the same Iranian chokepoint. How much longer households can absorb that single shock is the question Tuesday's data, and the Trump-Xi meeting that follows, will start to answer.
### ‘Low T’ boom raises concerns over overdiagnosis, aggressive marketing to men
URL: https://www.consumernews.ai/low-t-boom-raises-concerns-over-overdiagnosis/
Last updated: 2026-06-19T19:16:05.000Z
### Some endocrinologists warn the trend is medicalizing normal aging and ordinary health complaints
A booming testosterone industry fueled by social media influencers, online men’s health clinics and aggressive advertising campaigns is reshaping how many men think about aging, energy and masculinity — and alarming some medical experts who say healthy men are increasingly being convinced they have a medical disorder they may not actually have, according to [The Guardian](https://www.theguardian.com/society/2026/may/10/invented-spurious-pseudo-disease-why-are-so-many-men-being-told-they-have-low-testosterone?utm%5Fsource=chatgpt.com).
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The debate is playing out across Britain and the United States as prescriptions for testosterone replacement therapy, commonly called TRT, continue climbing sharply. According to U.K. National Health Service data cited by endocrinologists interviewed by The Guardian, testosterone prescriptions in the U.K. rose 135% between 2021 and 2024\. Doctors also report large increases in younger men seeking testing and treatment.
The controversy centers on a simple but increasingly powerful message aimed at men online: if you feel tired, depressed, anxious, unmotivated, overweight or less sexually active than you once were, low testosterone could be the cause.
Critics say that message risks turning ordinary aspects of aging, stress and unhealthy lifestyles into a lucrative medical diagnosis.
“They’ve invented a spurious pseudo-disease,” endocrinologist Dr. Richard Quinton told The Guardian, arguing that many private testosterone clinics are broadening the definition of deficiency to dramatically expand the pool of potential patients.
### Many men say it’s life-changing
At the same time, many men receiving TRT describe the treatment as life-changing.
The Guardian profiled several men who said testosterone therapy restored their energy, libido and confidence after years of struggling with fatigue, weight gain and declining mental health. One patient described the experience as “like a second puberty.”
### Social media and the rise of ‘T-maxxing’
Medical experts say the testosterone boom is closely linked to the rise of “manosphere” influencers on TikTok, Instagram and YouTube, where hypermasculine fitness personalities frequently promote testosterone testing, supplements and hormone therapy.
Researchers studying the trend say many online influencers portray testosterone as a master key to male success — tied not only to physical fitness but also to confidence, wealth, productivity and sexual dominance.
A [recent study](https://www.sydney.edu.au/news-opinion/news/2026/02/03/influencers-on-social-media-promote-low-testosterone-to-young-men-study-finds.html?utm%5Fsource=chatgpt.com) published in [*Social Science and Medicine*](https://www.sciencedirect.com/journal/social-science-and-medicine?ref=consumernews.ai) found that many high-profile social media posts framed ordinary fluctuations in mood, energy and libido as symptoms of testosterone deficiency. Researchers also found that most influencers promoting hormone testing or therapy had financial relationships tied to clinics, supplements or referral programs.
The language used in online advertising often blurs the line between legitimate medical treatment and lifestyle enhancement, critics say.
Terms such as “low T,” “optimization” and “T-maxxing” have become increasingly common in online male wellness communities, particularly among younger men seeking self-improvement or greater physical performance.
Doctors interviewed by The Guardian said many men arriving at clinics have already been primed by online content to believe testosterone is the answer to a wide range of problems.
## A rapidly growing business
The surge in demand has coincided with the rapid growth of direct-to-consumer men’s health companies offering at-home blood tests, telehealth consultations and subscription-based testosterone treatment programs.
Companies such as Voy, Numan and Hims market testosterone testing alongside treatments for erectile dysfunction, hair loss and obesity. Ads frequently appear on social media feeds targeting men concerned about aging, weight gain or declining sexual performance.
The Guardian reporter who wrote the article described taking an at-home testosterone test after encountering online advertising. After receiving an email warning that his “free testosterone levels are low,” he said he suddenly began questioning symptoms he had previously dismissed as ordinary stress or aging.
“When I got my results,” the reporter wrote, “I found the thought of having low T unexpectedly emasculating.” That emotional reaction is part of what concerns some physicians.
Experts warn that testosterone marketing can exploit male insecurities surrounding masculinity, virility and aging — especially when symptoms like fatigue, low mood or reduced libido may stem from sleep deprivation, obesity, stress, poor diet or depression.
“Was I fat so I had low testosterone,” one patient asked in The Guardian article, “or was my low testosterone causing me to be fat?”
## Doctors divided over treatment thresholds
Part of the controversy stems from the fact that testosterone levels naturally decline with age, and there is no universally agreed threshold defining when low testosterone becomes a medical condition requiring treatment.
NHS guidance generally considers testosterone levels between 8 and 30 nanomoles per liter to be normal, but clinical practices vary.
Some endocrinologists argue many private clinics are treating men whose hormone levels fall within normal ranges.
Others say the medical establishment has historically underdiagnosed testosterone deficiency and ignored symptoms that significantly reduce quality of life.
Doctors supportive of TRT argue the therapy can genuinely help carefully screened patients suffering from clinically meaningful hormone deficiencies.
But critics worry commercial incentives are driving overdiagnosis.
Quinton told The Guardian that private equity firms have invested heavily in testosterone clinics and expect strong financial returns.
Some doctors also fear confusion between legitimate hormone replacement and anabolic steroid use.
“These guys who are ‘T-maxxing,’” one TRT physician told The Guardian, “when you see an absolutely stacked 20-year-old on social media who says he’s using TRT, he’s not; he’s using steroids.”
## Potential health risks
Medical experts stress that testosterone therapy is not risk-free.
Unnecessary TRT can suppress the body’s natural testosterone production and may reduce fertility. Doctors have also raised concerns about blood clots, cardiovascular risks and other side effects associated with long-term hormone use.
Some physicians worry men may bypass careful medical oversight entirely by purchasing testosterone through underground suppliers or online pharmacies.
Yet many users remain enthusiastic despite the risks.
One 60-year-old man interviewed by The Guardian said testosterone therapy restored his energy and social life, describing himself as “zipping around” and enjoying nightlife again.
## Broader concerns about medicalizing aging
The testosterone debate reflects a broader trend in consumer health marketing, where normal aspects of aging increasingly become framed as treatable medical conditions.
Critics say the commercialization of male aging mirrors earlier controversies surrounding hormone replacement therapy, anti-aging medicine and wellness supplements.
Researchers studying social media testosterone marketing warn that influencers often present a narrow vision of masculinity tied to muscularity, dominance and constant high performance.
Some endocrinologists argue the result is growing anxiety among men who might otherwise see gradual changes in energy, mood or libido as ordinary parts of life.
Still, the appeal remains powerful in a culture increasingly focused on self-optimization, longevity and biohacking.
For many men, the promise of renewed energy, sexual vitality and restored confidence is difficult to resist — particularly when promoted through emotionally charged social media content and polished telehealth platforms.
And as online men’s health companies continue expanding, the fight over what counts as legitimate testosterone deficiency — and what may simply be modern marketing — is likely to intensify.
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### Five squeezes, one wallet: The pressures hitting U.S. consumers this week
URL: https://www.consumernews.ai/five-squeezes-one-wallet-the-pressures/
Last updated: 2026-06-19T19:16:06.000Z
There’s a lot of palaver and caterwauling — much of it justified — about the state of the news business and the effect that artificial intelligence (AI) will have on what’s left of independent journalism.
Skeptics say AI may be able to jam words together quickly but won’t have the news judgment and experience to make important story selection decisions. So, in the spirit of journalistic inquiry, we’re putting it to the test, through our new lab site, [ConsumerNews.ai](https://www.consumernews.ai/). The [first report](https://www.consumernews.ai/five-squeezes-one-wallet-the-pressures-hitting-u-s-consumers-this-week/) just rolled out and there’ll be another one tomorrow … and tomorrow and …
It identified today’s top consumer stories as:
- Gas prices and the Iran war;
- Record credit card debt;
- Groceries: eggs down, almost everything else up;
- Health care: Obamacare retreat and rising premiums;
- The cost of borrowing: cars and homes.
**Full results** [**here**](https://www.consumernews.ai/five-squeezes-one-wallet-the-pressures-hitting-u-s-consumers-this-week/)**. Like what you see? Forward it to a friend.**
### Five squeezes, one wallet: The pressures hitting U.S. consumers this week
URL: https://www.consumernews.ai/five-squeezes-one-wallet-the-pressures-hitting-u-s-consumers-this-week/
Last updated: 2026-05-10T15:19:02.000Z
**Edited By** [**ConsumerNews.ai**](http://consumernews.ai/?ref=consumernews.ai) **staff | May 10, 2026**
American consumers are walking into the second week of May juggling a tighter set of trade-offs than at any point this year. Gasoline is again the most expensive item in many household budgets, credit card balances have hit a record, grocery bills are creeping back up, health coverage is slipping out of reach for millions and the cost of borrowing for a car or a home keeps rising even as the Federal Reserve sits still.
A scan of the country's largest news organizations this weekend — including The New York Times, Reuters, CNBC, NBC News, CBS News and The Wall Street Journal — turned up five themes that dominated consumer coverage by sheer story count. Taken together, they paint the picture of a household economy that is still functioning, but increasingly on borrowed money and frayed nerves.
### **1\. Gas prices and the Iran war**
Nothing is squeezing American wallets more visibly than the price at the pump. The national average for regular gasoline hit $4.56 a gallon on Thursday, up more than $1.50 since the conflict with Iran erupted in late February, according to AAA data cited by [CBS News](https://www.cbsnews.com/news/gas-prices-iran-war-california-highest/?ref=consumernews.ai). Drivers in Sacramento, California, are paying $6.16 a gallon, the highest in the country. Michigan's statewide average is $4.80.
Diesel, which moves nearly everything Americans buy, has climbed to $5.67 a gallon from $3.54 a year ago, threatening to push up the price of countless goods delivered by truck and rail.
The pain is not evenly shared. A [report this week from the Federal Reserve Bank of New York](https://www.cnbc.com/2026/05/06/surging-gas-prices-are-hurting-lower-income-households-harder-study-shows.html?ref=consumernews.ai) found a "K-shaped" response to the price surge: households earning under $40,000 a year cut their gasoline consumption by 7 percent in March, while households earning more than $125,000 cut their use by just 1 percent and increased spending 19 percent. Bank of America data cited by CBS News found low-income families spent 4.2 percent of their income on gas in March, compared with 2.7 percent for wealthier households.
The typical car owner could pay roughly $876 more on fuel this year if prices stay elevated, according to an analysis by Sen. Edward Markey, D-Mass.
Mark Zandi, chief economist at Moody's Analytics, told CBS News he expects prices to settle near $3.50 a gallon by the end of 2026, "roughly 50 cents higher than the cost just before the war." White House spokeswoman Taylor Rogers said the administration's "ongoing successful blockade" of Iran would eventually let prices "plummet back to the multi-year lows Americans enjoyed prior to the start of Operation Epic Fury."
For drivers like Daniel Hock, a 33-year-old admissions adviser in Sacramento who now spends about $100 a week on gas — 9 percent of his pre-tax income — the politics matter less than the math. "I ultimately am the one footing the bill under a presidency that said that my gas prices would go down," he said.
### **2\. Record credit card debt**
The clearest sign that households are running out of cushion came Sunday from [The New York Times](https://www.nytimes.com/2026/05/10/business/consumers-credit-inflation-costs.html?ref=consumernews.ai), which reported that U.S. credit card balances "soared to an unprecedented $1.3 trillion" by the end of last year, according to the New York Fed's latest quarterly household debt report. Credit card applications in February hit their highest level since late 2022.
The Times described the trend as a "hamster wheel" of borrowing. Federal Reserve data show the share of after-tax income that families devote to debt repayment has been rising since early 2025.
The story put a face on the numbers in Alex Watts, a 36-year-old hospital nurse and father of three near Columbus, Ohio. The Watts household earns slightly more than $140,000 a year and carries excellent credit, yet a vehicle repair and a medical emergency have pushed monthly spending past income. The family has cut driving to save on fuel and has stopped contributing to savings.
"I am putting in between eight to twelve hours of overtime each week," Watts told the Times. "At best, we're breaking even, but there are times when our spending surpasses our income."
The pressure is being compounded by an unsettled debate in Washington over President Donald Trump's proposed 10 percent cap on credit card interest rates. [Reuters reported](https://www.reuters.com/sustainability/boards-policy-regulation/banks-warn-consumers-will-be-hurt-by-trumps-10-cap-credit-card-interest-rates-2026-01-12/?ref=consumernews.ai) that the Electronic Payments Coalition warned the cap would force the cancellation or sharp restriction of 82 to 88 percent of credit card accounts tied to scores below 740\. A Vanderbilt Policy Accelerator study, by contrast, estimated the cap could save consumers up to $100 billion a year.
### **3\. Groceries: eggs down, almost everything else up**
Food is the second-most-cited household pressure point in this week's coverage, and the story is uneven. [NBC News' grocery price tracker](https://www.nbcnews.com/data-graphics/grocery-price-tracker-inflation-trends-eggs-bread-trump-administration-rcna257424?ref=consumernews.ai), updated this month, shows eggs are down about 30 percent from their spring 2025 peak. But orange juice is up 28 percent, ground beef is up 15 percent, and pork bacon and chicken have also risen since January 2025.
The Iran war is now bleeding into the grocery aisle. [CNBC](https://www.cnbc.com/2026/04/02/grocery-shock-on-the-horizon-for-us-elections-as-iran-war-drags-on.html?ref=consumernews.ai) reported that the closure of the Strait of Hormuz is pushing up diesel costs critical for farmers and food transport, restricting fertilizer supplies and lifting the price of plastic packaging. "If it remains closed until summer, we will see considerable increases in food prices," economist Storesletten told the network.
Shoppers are also navigating a busy recall calendar. [CBS News reported](https://www.cbsnews.com/pittsburgh/news/giant-eagle-pita-chips-roasted-turkey-recall/?ref=consumernews.ai) that Giant Eagle pulled baked pita chips over potential salmonella contamination tied to a California Diaries milk-powder recall, and separately recalled roasted turkey products across five states because of possible metal fragments. [NBC News reported](https://www.nbcnews.com/news/us-news/utz-recalls-popular-potato-chip-brands-zapps-dirty-due-salmonella-risk-rcna343855?ref=consumernews.ai) that Utz is recalling Zapp's and Dirty brand chips with July or August 2026 best-by dates over the same milk-powder issue.
### **4\. Health care: Obamacare retreat and rising premiums**
For the first time since the Affordable Care Act took effect, enrollment is going backward. [The New York Times reported May 1](https://www.nytimes.com/2026/05/01/business/obamacare-enrollment-decline.html?ref=consumernews.ai) that initial sign-ups have already fallen by about 1.2 million people, and insurers and analysts expect an overall drop of nearly 20 percent — from 24 million covered under the law last year to roughly 19 million. A report from Oliver Wyman cited in the article puts the potential decline as high as 26 percent.
The driver is Congress's decision at the end of 2025 not to extend the enhanced premium tax credits enacted during the pandemic. Without those subsidies, monthly premiums jumped sharply, and many people simply dropped coverage.
The squeeze is not limited to the marketplaces. A [Times opinion analysis on May 4](https://www.nytimes.com/2026/05/04/opinion/health-care-hospitals-insurance.html?ref=consumernews.ai) argued that hospital prices have grown faster than prices in virtually any other sector, helping push up employer-sponsored premiums and out-of-pocket costs. High-deductible plans continue to spread, shifting more risk to households already stretched by gas, food and debt service.
### **5\. The cost of borrowing: cars and homes**
The fifth pressure point is the price of money itself. [CNBC reported May 6](https://www.cnbc.com/2026/05/06/mortgage-rates-hit-the-highest-level-in-a-month-causing-lower-income-homebuyers-to-drop-out.html?ref=consumernews.ai) that the average rate on a 30-year fixed conforming mortgage rose to 6.45 percent last week from 6.37 percent, sending overall application volume down 4.4 percent. First-time buyers are dropping out fastest. [CBS News pegged the 30-year average](https://www.cbsnews.com/news/todays-mortgage-interest-rates-may-7-2026/?ref=consumernews.ai) at 6.37 percent on May 7, with refinance rates at 6.43 percent.
Auto debt is even more striking. [CNBC reported](https://www.cnbc.com/2026/05/06/car-payments-squeeze-americans.html?ref=consumernews.ai) that total U.S. auto debt has reached $1.68 trillion, with the average monthly car payment at $680 in 2025\. Households earning under about $35,000 a year are paying an average of $738 a month — more than higher-income borrowers in absolute terms, and a far larger share of income.
Capital One, one of the country's largest auto lenders, told [CNBC May 9](https://www.cnbc.com/2026/05/09/capital-one-auto-forever-loans-used-cars.html?ref=consumernews.ai) that the average monthly cost of car ownership has climbed from $390 to $525 since 2019, helping explain the rise of seven- and eight-year "forever loans" on used vehicles.
The travel budget is no relief valve. [CNBC](https://www.cnbc.com/2026/05/02/iran-war-airfare-travel-airlines-plane-tickets-when-to-buy.html?ref=consumernews.ai) reported that fare experts are advising travelers to book now rather than wait out the Iran conflict, while [NBC News warned](https://www.nbcnews.com/business/travel/spirit-airlines-frontier-cheap-airfare-travel-rcna343428?ref=consumernews.ai) that the era of cheap airfare from carriers like Spirit and Frontier "could be ending" as costs rise and the K-shaped economy hollows out the middle.
### **The bigger picture**
Even with all of that, consumers have not stopped spending — yet. [CNBC reported Sunday](https://www.cnbc.com/2026/05/10/retailer-hiring-consumer-warning-jobs-report.html?ref=consumernews.ai) that retailers added nearly 22,000 jobs in April, about a fifth of all U.S. job growth, lifting industry employment to roughly 15.5 million, the highest level since July 2024\. Job openings in retail were up 48 percent year over year in March, even as overall job listings fell.
"There were a lot of employers holding their breath last year," Cory Stahle, senior economist at Indeed, told CNBC. "Now these employers feel maybe a little more (confident) as they step forward."
But the warning lights are flashing. Whirlpool this past week pointed to weakening demand in the U.S. appliance industry as the Iran war eroded consumer confidence. McDonald's CEO Chris Kempczinski said the day after that the consumer "may be getting a bit worse." The University of Michigan's latest sentiment reading, released Friday, was at a record low, dragged down by gas prices.
Tariffs are quietly compounding all five pressures. The [Yale Budget Lab and the Tax Foundation](https://www.cnbc.com/2026/03/23/household-tariff-costs.html?ref=consumernews.ai) estimate the average household will absorb $570 to $600 in additional costs in 2026 from current tariffs — even after the Supreme Court struck down a major piece of the administration's trade strategy in February. As [The New York Times noted](https://www.nytimes.com/2026/02/20/business/economy/tariff-ruling-consumer-prices.html?ref=consumernews.ai), retailers that raised prices to cover tariffs have been slow to bring them back down.
For now, the American consumer is still on the field. The question every retailer, lender and policymaker is watching this week is how long shoppers can keep pulling out the credit card before the math, like Alex Watts's, finally tips the wrong way.
### Court ruling could force IRS to refund pandemic-era late fees to millions
URL: https://www.consumernews.ai/court-ruling-could-force-irs-to-refund/
Last updated: 2026-06-19T19:16:06.000Z
A federal court ruling could entitle tens of millions of American taxpayers to refunds of late fees and penalties they paid during the coronavirus pandemic, after a judge determined the IRS should have suspended tax-payment deadlines for nearly the entire three-year federal emergency.
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The decision, issued by Judge Molly R. Silfen of the U.S. Court of Federal Claims, concluded that nobody should have been required to file or pay taxes on time during a stretch running from mid-2020 to mid-2023, the duration of the federally declared covid-19 emergency.
If the ruling survives the government’s appeals, the Internal Revenue Service could be forced to return money to anyone who was charged a late-payment fee or penalty during those years — a pool that includes more than 22 million households on 2020 and 2021 returns alone, plus untold numbers of businesses.
> The [Taxpayer Advocate Service](https://www.irs.gov/taxpayer-advocate?ref=consumernews.ai), an independent watchdog inside the IRS, has urged affected filers to act quickly.
The agency’s office says claims must be submitted by July 10 to preserve a taxpayer’s legal rights — a deadline that reflects three years after the end of the pandemic disaster period plus a 60-day grace period built into federal law.
### **A disaster provision stretched to its limits**
At the center of the case is a long-standing provision of U.S. tax law that allows people in federally declared disaster zones to delay paying their taxes. Residents of a town hit by a hurricane, wildfire or tornado generally have at least 60 days after the disaster ends to file returns and pay what they owe without penalty.
That provision was written with localized, short-duration emergencies in mind. The covid-19 pandemic was neither. The federal disaster declaration covered all 50 states, lasted roughly three years, and never confined itself to a specific geographic area. The IRS, weighing those facts, concluded the disaster-suspension rules did not apply to the pandemic and continued collecting taxes and assessing late fees throughout.
A handful of taxpayers disagreed and went to court. Silfen and other judges have now sided with them, finding that the statutory language does not carve out an exception for nationwide emergencies. Under their reading, tax debts still accrued during the pandemic, but enforcement of payment deadlines should have been paused.
The Taxpayer Advocate Service, in its analysis of the rulings, said the logic extends beyond pandemic-era tax bills. Interest and penalties on older tax debts that predate covid-19 may also have been improperly charged if they continued to grow during the pandemic window, the office said. Whether courts ultimately agree on that broader question remains to be seen.
### **A potentially massive refund pool**
The financial stakes are unusually large for a procedural tax dispute. According to figures cited by the Taxpayer Advocate Service, more than 10 million households paid late fees tied to their 2020 returns, and more than 12 million paid such fees on 2021 returns.
Together, those two years alone account for more than $3 billion in penalties and interest paid to the federal government.
Add in 2022 and early 2023 — both still within the disaster period under Silfen’s ruling — and the total grows further. Businesses, which can face steeper penalties for late payment of payroll and corporate taxes, would also qualify if the ruling stands.
The IRS has not published comprehensive figures showing how many filers might ultimately be eligible, and agency officials have not publicly conceded that any refunds are owed. The government is appealing.
### **How to file a protective claim**
Despite the unsettled legal landscape, the Taxpayer Advocate Service is encouraging potentially affected taxpayers not to wait for the courts to finish the appeals process.
> Because tax-refund claims are subject to strict statutory deadlines, anyone who fails to file by July 10 risks losing the right to recover money even if the courts ultimately side with the plaintiffs.
The vehicle for those claims is [Form 843](https://www.irs.gov/forms-pubs/about-form-843?ref=consumernews.ai), the standard IRS form for requesting a refund or abatement of penalties and interest. The form cannot be submitted electronically; it must be filled out on paper and mailed to the IRS.
The Taxpayer Advocate Service has offered specific drafting advice. Filers should identify which tax year or years they believe they overpaid, and they should write “Protective Refund Claim Pursuant to Kwong Case” — or wording substantially similar — across the top of the form. Taxpayers who do not know the precise dollar amount they paid in penalties and interest can still file; the office advised including as much detail as possible without holding back claims for lack of an exact figure.
A “protective” claim is a placeholder filing that preserves a taxpayer’s rights while a controlling legal question is unresolved. If the courts ultimately uphold Silfen’s ruling, the IRS would process protective claims and issue refunds. If the government wins on appeal, the claims would be denied.
### **Open questions for the IRS**
The agency now faces both a legal and administrative challenge. If the ruling holds, the IRS will have to design a process for verifying claims, calculating refund amounts and issuing payments at potentially unprecedented scale. The agency has previously struggled with backlogs of paper filings, including amended returns and identity-theft claims, and Form 843 must be processed by hand.
It is also unclear how the IRS will handle taxpayers who had penalties and interest automatically deducted from later refunds, or those whose pandemic-era debts were absorbed into installment agreements or offers in compromise. The Taxpayer Advocate Service has published a multi-part guide explaining how filers can use IRS account transcripts to identify potential covid-19 disaster-relief refunds and how to complete Form 843 in different scenarios.
For now, the most consequential piece of advice from the watchdog is also the simplest: file by July 10\. Taxpayers who believe they may have been wrongly charged a late fee or interest at any point from mid-2020 through mid-2023 can preserve their claim with a single mailed form, regardless of how the appeals ultimately resolve.
The IRS declined to comment in detail on pending litigation. The case stemming from Silfen’s ruling continues to work its way through the federal appellate system.
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### GM to pay $12.75m to settle California claims it sold drivers’ location data to brokers
URL: https://www.consumernews.ai/gm-to-pay-1275m-to-settle-california/
Last updated: 2026-06-19T19:16:06.000Z
General Motors has agreed to pay $12.75 million to resolve allegations that it illegally sold the precise location and driving data of hundreds of thousands of California motorists to two data brokers, even as the automaker publicly assured customers it would not do so, California Attorney General Rob Bonta [announced](https://oag.ca.gov/news/press-releases/when-it-comes-data-privacy-consumers-must-be-driver%E2%80%99s-seat-attorney-general?ref=consumernews.ai) Friday.
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The settlement, which is subject to court approval, includes civil penalties and imposes sweeping new restrictions on how the Detroit-based automaker can collect, use and share consumer driving data. It also bars GM from selling such information to any data broker for five years — a significant constraint on a revenue stream the company had quietly cultivated for years through its in-vehicle OnStar service.
“General Motors sold the data of California drivers without their knowledge or consent,” Bonta [said](https://oag.ca.gov/news/press-releases/when-it-comes-data-privacy-consumers-must-be-driver%E2%80%99s-seat-attorney-general?ref=consumernews.ai) in a statement. “This trove of information included precise and personal location data that could identify the everyday habits and movements of Californians.”
GM did not immediately respond to a request for comment.
### **Years of data sales**
According to the complaint filed by the state, GM sold the names, contact information, geolocation data and driving-behavior data of hundreds of thousands of California drivers to Verisk Analytics and LexisNexis Risk Solutions between 2020 and 2024.
The company is alleged to have generated roughly $20 million from those transactions during that period — meaning Friday’s settlement amounts to more than half of the revenue investigators say GM took in from the practice.
The data was harvested through OnStar, GM’s long-running connected-vehicle subscription service marketed to customers as a safety and security feature offering automatic crash response, stolen-vehicle assistance and turn-by-turn navigation.
Investigators say the same technology was simultaneously feeding granular records of where drivers went, how fast they drove, how hard they braked and how often they accelerated to outside firms in the data-broker industry.
Bonta’s office argued that the practice violated California consumer-protection laws not only because customers had not meaningfully consented, but because GM had explicitly told them in its privacy policy that it would not sell driving or location data. The state contends the company handed that information to brokers anyway.
“Modern cars are rolling data-collection machines,” said San Francisco District Attorney Brooke Jenkins, one of several local prosecutors who joined the investigation. “Californians must have confidence that they know what data is being collected, how it is being used and what their opt-out rights are. Those duties fall on the automobile companies.”
### **What the data revealed**
State officials emphasized that vehicle-location data is particularly sensitive because, when aggregated, it can paint an intimate portrait of a person’s life. Pinpoint coordinates collected over weeks or months can reveal where a driver lives, works, attends school, worships, seeks medical care or socializes — information that becomes effectively impossible for consumers to claw back once it enters the broker ecosystem and is resold to insurers, marketers, employers, lenders or government agencies.
That ecosystem has drawn growing scrutiny from state and federal regulators. Verisk and LexisNexis, the two brokers identified in the complaint, are major players in insurance analytics, packaging driver-behavior data into risk scores that auto insurers use to set premiums in many states.
Bonta said California drivers should not expect to see higher auto-insurance premiums as a direct result of GM’s sales, because California law already prohibits insurers from using driving-behavior data to set rates. He stressed, however, that the financial protection in California does not absolve the automaker. The core harm, he said, was that GM misled customers about what was happening with their information.
### **Origins of the investigation**
California began examining GM and other automakers in 2023, with the attorney general’s office working alongside several district attorneys and the California Privacy Protection Agency, the state body created to enforce the California Consumer Privacy Act and its successor, the [California Privacy Rights Act](https://cppa.ca.gov/regulations/?ref=consumernews.ai).
The inquiry intensified after a 2024 New York Times investigation found that GM and other carmakers had been quietly forwarding granular driving-behavior data to insurers through intermediaries, in some cases resulting in higher premiums for consumers who said they had no idea their cars were tracking them in such detail.
The reporting prompted GM to announce later that year that it would stop sharing data with the insurance-industry-linked broker Verisk and would wind down certain telematics-sharing programs.
Friday’s settlement formalizes those changes for California drivers and goes further. In addition to the civil penalty and the five-year ban on selling driving data to brokers, the agreement places limits on GM’s collection and use of consumer driving data overall, the attorney general’s office said.
### **A broader reckoning**
The action against GM is part of a wider regulatory push to rein in the auto industry’s data practices. Connected vehicles routinely collect hundreds of data points per drive, ranging from GPS coordinates and speed to seatbelt use, infotainment activity and even biometric inputs from driver-monitoring cameras.
> Privacy advocates have long argued that the consent flows offered to car buyers — typically buried in lengthy terms-of-service documents signed at the dealership or accepted on a touchscreen — fall short of what the law requires.
Federal regulators have also signaled interest. The Federal Trade Commission has opened separate inquiries into automaker data-sharing, and members of Congress have called for stricter limits on how vehicle telematics can be monetized. Several states, including New York and Texas, have launched their own probes.
For consumers, advocates say the GM case underscores how difficult it can be to know what a car is doing with the data it collects. Even drivers who never enroll in a usage-based insurance program may have data passing through their vehicles’ connected services, and opt-out tools are often hard to find or incomplete.
“Once the precise location of a vehicle is revealed, all sorts of sensitive information can be gleaned,” Bonta said.
The settlement still requires approval from a California court. If approved, it will rank among the largest state enforcement actions to date targeting an automaker over connected-car data, and is likely to serve as a template for similar cases pending elsewhere.
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### Delays in EpiPen Use Drive Fatal Anaphylaxis in Children, New Studies Find
URL: https://www.consumernews.ai/delays-in-epipen-use-drive-fatal/
Last updated: 2026-06-19T19:16:07.000Z
Fatal delays in administering epinephrine auto-injectors such as EpiPens are emerging as a leading preventable factor in pediatric food-allergy deaths, according to new research that warns the window to save a child suffering anaphylaxis can be as short as 14 minutes.
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Two studies from the [University of Bristol](https://www.bristol.ac.uk/news/2026/april/fatal-delays-in-epipen-treatment-for-food-anaphylaxis-in-children.html?ref=consumernews.ai) and Bristol Children’s Hospital, presented at the Royal College of Emergency Medicine Conference and published in *Clinical & Experimental Allergy*, found that in nearly three-quarters of fatal pediatric food-anaphylaxis cases reviewed, children received either no epinephrine at all or only a single dose before going into cardiac arrest. In every case, the child collapsed before reaching a hospital.
Researchers analyzed records from the United Kingdom’s National Childhood Mortality Database covering 19 children who died from food-induced anaphylaxis between 2019 and 2023\. The [findings](https://snacksafely.com/2026/04/delayed-epinephrine-drives-fatal-anaphylaxis-in-children-according-to-new-study/?ref=consumernews.ai), they say, expose a dangerous gap between current emergency guidance and the way children actually die from severe allergic reactions.
### **A 14-minute window**
The average time from the first symptom of anaphylaxis to cardiac arrest was just 14 minutes in the 12 cases where data was available, the researchers reported. In 37 percent of deaths — seven of the 19 children — the child did not have an auto-injector with them when the reaction began. In one additional case, only a single device was on hand, preventing a critical second dose from being given, according to [Medical Xpress](https://medicalxpress.com/news/2026-04-uncovers-fatal-delays-epipen-treatment.html?ref=consumernews.ai).
Adolescents bore the heaviest toll. Nearly 90 percent of the deaths occurred in children aged 10 to 17, with 47 percent in the 15-to-17 age bracket. Sixty-eight percent of the children who died were male. All had been diagnosed with both asthma and food allergy, and 17 of the 19 had been prescribed an auto-injector — but possessing a prescription, the [data show](https://www.bristol.ac.uk/news/2026/april/fatal-delays-in-epipen-treatment-for-food-anaphylaxis-in-children.html?ref=consumernews.ai), is not the same as carrying the device.
Cow’s milk was the responsible allergen in 38 percent of cases, followed by tree nuts or peanuts in 32 percent and egg in one case. In about a third of cases, multiple possible allergens were involved and the trigger could not be definitively identified.
“Anaphylaxis from a food allergy is a life-threatening emergency requiring immediate adrenaline,” said Dr. Tom Roberts, an A&E clinician at North Bristol NHS Trust and co-author of the research. “Our research reveals that in many cases, children did not receive enough adrenaline before cardiac arrest, and some didn’t carry an \[auto-injector\] at all.
“There is a very short window of time, often just minutes, in which appropriate treatment can potentially alter the clinical course of these events. Delays in delivering adrenaline treatment, which sometimes may require more than one dose, can have fatal consequences,” Roberts said.
### **Rethinking what kills**
A second study by the same team analyzed the timeline of 17 fatal cases in which the failing organ system could be identified. In all but one, lung failure — not heart failure — was the primary cause of death.
That finding cuts against the grain of current NHS emergency protocols, which emphasize circulatory collapse, the researchers said. They are calling for guidance that reorients prehospital and in-hospital care around airway and breathing management when food is the trigger.
“Our research also found that airway and breathing problems were the most common causes of fatal food-related anaphylaxis in children,” said Dr. John Coveney, the lead author from Bristol Children’s Hospital. “NHS guidelines currently focus on heart and circulatory failure in emergency management. Our findings suggest that the focus should be on breathing issues, which were by far the most frequent cause of death in the cases we analyzed. Circulatory problems without breathing issues were rare, indicating that updated guidelines should prioritize airway and breathing management in these critical situations.”
The pattern matches results from Australia, where Dr. Ben McKenzie, an emergency physician at the University of Melbourne, has led parallel work after losing his own 15-year-old son to food anaphylaxis. “This UK research confirms our Australian findings that fatal food anaphylaxis is driven by a closing of the airways in the lungs,” McKenzie said. “We need to promote the chain of survival in anaphylaxis — get help, give adrenaline, and for healthcare workers, get oxygen into the body as a priority.”
### **A growing public-health problem**
Food-allergy hospital admissions in children have surged roughly 600 percent over the past two decades, according to figures cited by the researchers. In the United States, food allergies are estimated to affect about one in 13 children, or roughly two students per classroom, according to the advocacy group Food Allergy Research & Education [FARE](https://www.foodallergy.org/fare-blog/study-epinephrine-management-children-and-adults?ref=consumernews.ai).
A systematic review published earlier this year in [PMC](https://pmc.ncbi.nlm.nih.gov/articles/PMC13108942/?ref=consumernews.ai) reached similar conclusions on a global scale, identifying delayed epinephrine — defined as administration more than 30 minutes after symptom onset, or no prehospital administration at all — as one of the strongest predictors of death from anaphylaxis. The review also flagged poorly controlled asthma, peanut and cow’s-milk allergy in children, and accidental ingestion as recurring contributors to fatal outcomes.
Earlier landmark work by British allergist Richard Pumphrey, cited by the Bristol team, found that the median time from symptom onset to respiratory or cardiac arrest in food-induced anaphylaxis is about 30 minutes — short, but still longer than the 14-minute average seen in the new pediatric series, suggesting children may decline even faster than adults.
Cost and access remain barriers. The wholesale list price of a two-pack of branded EpiPens in the United States hovers around $700, although authorized generics and competing devices have lowered out-of-pocket costs for some families.
Advocacy groups have repeatedly pushed for expanded school stocking laws, broader insurance coverage and the development of needle-free alternatives. The U.S. Food and Drug Administration in 2024 approved [neffy](https://www.neffy.com/?utm%5Fmedium=paidsearch&utm%5Fsource=GoogleAds&utm%5Fcampaign=Neffy&utm%5Fcontent=BRANDED&utm%5Fterm=neffy&gclsrc=aw.ds&gad%5Fsource=1&gad%5Fcampaignid=22549347272&gbraid=0AAAAApkIkqOfpsVkehK6gTi1982I7tHBv&gclid=CjwKCAjwtvvPBhBuEiwAPMijr9xtCEk0bmSa4LYaXSBF6Li1LtvFCg6mO1NmjysSDNil3xs4lLaa5BoCfpAQAvD%5FBwE), a needle-free epinephrine nasal spray, as the first non-injectable option for anaphylaxis — a development clinicians hope will lower the threshold for prompt treatment.
### **What parents can do**
The Bristol researchers and outside experts say the lessons are unambiguous: epinephrine must be given at the first sign of a severe reaction, not held in reserve; children at risk should always carry two doses; and caregivers, schools and bystanders need to be trained — and willing — to use the devices without hesitation.
“If your child has food allergies or is allergic to insect venom or an environmental allergen such as latex, do not let them out of the house unless they carry two doses of epinephrine and have been trained on how and when to use them,” [SnackSafely.com](http://snacksafely.com/?ref=consumernews.ai) publisher Dave Bloom wrote in summarizing the findings. “Their life depends on it.”
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### GLP-1 Drug Lawsuits Swell Past 3,600 Cases as Courts Tighten Proof Standards
URL: https://www.consumernews.ai/glp-1-drug-lawsuits-swell-past-3-600-cases-as-courts-tighten-proof-standards/
Last updated: 2026-07-04T17:00:46.000Z
### The cases involve Ozempic, Wegovy, Mounjaro, Zepbound and Trulicity
Federal litigation over the blockbuster class of GLP-1 drugs that includes Ozempic, Wegovy, Mounjaro, Zepbound and Trulicity has ballooned to more than 3,600 pending cases across two multidistrict proceedings, as a federal judge moves to tighten the medical evidence required from patients claiming severe gastrointestinal and vision injuries.
As of mid-April, more than 3,546 cases were pending in MDL No. 3094, the gastrointestinal-injury docket consolidated in the Eastern District of Pennsylvania, up from roughly 3,097 in early January, according to court filings tracked by [the Lawsuit Information Center](https://www.lawsuit-information-center.com/ozempic-naion-gastroparesis-lawsuit.html?ref=consumernews.ai). A separate vision-loss MDL created in December now has at least 73 pending lawsuits and is growing, [plaintiffs' firms reported](https://www.1800law1010.com/defective-drugs/ozempic-wegovy-lawsuit/?ref=consumernews.ai).
The two proceedings, both assigned to U.S. District Judge Karen Marston, target the same group of glucagon-like peptide-1 receptor agonists — drugs originally approved to treat Type 2 diabetes that have become a cultural and commercial phenomenon as weight-loss treatments. The lawsuits accuse Novo Nordisk and Eli Lilly of failing to adequately warn patients and physicians that the medications could cause severe and sometimes permanent injuries.
Neither company has agreed to a global settlement, and bellwether trial scheduling is just getting underway.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
### **Two tracks, two sets of injuries**
MDL 3094, consolidated in September 2023, focuses on gastrointestinal injuries, including gastroparesis — a condition often called "stomach paralysis" — as well as ileus, intestinal obstruction, pancreatitis and gallbladder disease, [according to court materials posted by the Eastern District of Pennsylvania](https://www.paed.uscourts.gov/mdl/mdl-3094-re-glucagon-peptide-1-receptor-agonists-glp-1-ras-products-liability-litigation-gi?ref=consumernews.ai). Plaintiffs allege Novo Nordisk knew, or should have known, that semaglutide carried a meaningful risk of severe and sometimes irreversible GI complications and did not say so clearly enough on the label, [the Spencer Law firm wrote in an April analysis](https://www.spencer-law.com/post/ozempic-lawsuit-2026-mdr-updates-eligibility-settlements?ref=consumernews.ai).
The newer proceeding, MDL No. 3163, was created by the U.S. Judicial Panel on Multidistrict Litigation in December 2025 to handle a wave of cases alleging that GLP-1 drugs caused non-arteritic anterior ischemic optic neuropathy, or NAION — a sudden, often permanent vision loss caused by reduced blood flow to the optic nerve. The new docket covers Ozempic, Wegovy, Mounjaro, Zepbound, Saxenda, Victoza, Trulicity and Rybelsus and names both Novo Nordisk and Eli Lilly as defendants, [according to a case tracker maintained by Seeger Weiss](https://www.seegerweiss.com/product-liability/glp-1-naion-vision-loss-lawsuit/?ref=consumernews.ai).
The vision-loss claims gained momentum after a study published in JAMA Ophthalmology found patients prescribed semaglutide developed NAION at more than seven times the rate of patients on other medications.
### **A higher evidentiary bar**
In a ruling that plaintiffs' lawyers say will reshape the litigation, Judge Marston recently held that any plaintiff claiming gastroparesis must back the diagnosis with an objective gastric emptying study — a nuclear-medicine test known as scintigraphy that measures how quickly food leaves the stomach.
"Any plaintiff claiming to suffer (or have suffered) from gastroparesis must show that their diagnosis is based on a properly performed gastric emptying study," Marston wrote in resolving a cluster of Daubert motions, [as quoted by the Lawsuit Information Center](https://www.lawsuit-information-center.com/ozempic-naion-gastroparesis-lawsuit.html?ref=consumernews.ai). The order also kept warranty, labeling, negligence and state-law claims alive, leaving Novo Nordisk and Eli Lilly to defend allegations that they downplayed life-altering side effects in pursuit of market share.
The decision is widely expected to narrow the pool of viable claims by weeding out cases built on symptom reports alone, while clarifying the proof standard for plaintiffs who can produce hard diagnostic results.
### **Who qualifies?**
Plaintiffs' attorneys say the ruling has sharpened the screening criteria they apply to potential clients. Most firms organize the analysis around four pillars: drug exposure, qualifying injury, medical documentation and timing.
To clear the first hurdle, claimants must show verifiable use of a brand-name GLP-1 medication — not a compounded or "research" version — typically through pharmacy printouts, insurance or electronic-health-record data, and physician notes confirming the prescription, [according to a guide published by Boesen Law](https://boesenlaw.com/blog/what-evidence-do-you-need-for-a-glp-1-injury-lawsuit/?ref=consumernews.ai). Off-label use of Ozempic for weight loss does not, by itself, disqualify a patient, [Spencer Law noted](https://www.spencer-law.com/post/ozempic-lawsuit-2026-mdr-updates-eligibility-settlements?ref=consumernews.ai).
The second pillar — a qualifying injury — depends on which MDL applies. The GI track covers gastroparesis, ileus, intestinal obstruction, pancreatitis, gallbladder disease, cyclic vomiting syndrome, malnutrition requiring hospitalization, pulmonary aspiration during anesthesia and Wernicke's encephalopathy, [the Goldwater Law Firm has outlined](https://goldwaterlawfirm.com/torts/ozempic-lawsuit/eligibility/?ref=consumernews.ai). Some intake forms exclude ileus diagnoses dated before November 2022, when the FDA label was updated. The vision track covers NAION, sudden vision loss in one or both eyes, sudden blurred or color-vision loss, and persistent dark areas in the visual field, with some firms also evaluating worsening diabetic retinopathy, retinal vein occlusion and macular edema, [according to Morris James](https://www.morrisjames.com/p/102mnz0/who-is-eligible-to-file-a-glp-1-vision-loss-lawsuit-understanding-criteria-timi/?ref=consumernews.ai).
The third pillar — objective documentation — is where many cases now fail. Beyond the gastric emptying study required for gastroparesis claims, attorneys are looking for CT, ultrasound or HIDA imaging for other GI injuries; elevated amylase or lipase for pancreatitis; operative or pathology reports for gallbladder or bowel surgery; and ophthalmologic exams with optic-nerve imaging for NAION cases, [Boesen Law has advised](https://boesenlaw.com/blog/what-evidence-do-you-need-for-a-glp-1-injury-lawsuit/?ref=consumernews.ai). Specialist involvement — a gastroenterologist, hepatologist or ophthalmologist — generally carries more weight than a primary-care note.
The fourth pillar is timing. Lawyers look for a clean sequence in which symptoms began during or shortly after GLP-1 use, with no pre-existing diagnosis of the same condition. Most states impose two- to four-year statutes of limitations on personal-injury and product-liability claims, but apply a "discovery rule" that starts the clock when a patient knew, or reasonably should have known, that an injury was linked to a drug, [according to the Defective Drug Site](https://defectivedrugsite.com/glp-1-drugs/lawsuits/statute-limitations/?ref=consumernews.ai) and [Zanes Law](https://zaneslaw.com/faq/how-long-do-you-have-to-file-ozempic-lawsuit/?ref=consumernews.ai).
### **A separate front against compounders**
While the personal-injury MDLs grind forward, the manufacturers are pressing their own legal offensive against telehealth companies selling compounded knockoffs of their drugs.
In April 2025, Eli Lilly sued Mochi Health, Fella Health, Willow and Henry Meds, accusing them of marketing "untested, unapproved" compounded versions of tirzepatide — the active ingredient in Mounjaro and Zepbound — and using unlicensed prescribers to dictate patient care, [CNBC reported](https://www.cnbc.com/2025/04/23/eli-lilly-sues-compounded-mounjaro-zepbound-providers-.html?ref=consumernews.ai). NPR reported that Lilly accused the companies of mass-marketing slightly altered formulations, including untested oral tablets and drops, in a bid to evade FDA regulation, [in a separate report on the suits](https://www.npr.org/sections/shots-health-news/2025/04/23/nx-s1-5374063/eli-lilly-sues-companies-selling-alternative-versions-of-its-weight-loss-drug?ref=consumernews.ai). Novo Nordisk has filed similar actions against compounding pharmacies marketing its semaglutide products.
### **What's next**
No timeline for global settlement has been announced in either MDL. Most large pharmaceutical multidistrict proceedings resolve within three to six years of consolidation, placing a possible MDL 3094 resolution window between 2026 and 2029, [Spencer Law estimated](https://www.spencer-law.com/post/ozempic-lawsuit-2026-mdr-updates-eligibility-settlements?ref=consumernews.ai). The bellwether process — a small group of representative cases tried first to inform settlement talks — is in early stages on the GI side, while the NAION docket is still in consolidation and discovery.
For now, both sides are bracing for an expensive fight. Novo Nordisk and Eli Lilly have signaled they will defend their warnings and labels vigorously. Plaintiffs' lawyers, armed with the JAMA Ophthalmology data and Marston's evidentiary framework, say they are prepared to push a growing roster of patients with documented injuries toward trial.
### Lawsuits against GLP-1 drugmakers surge over alleged failure to warn about serious side effects
URL: https://www.consumernews.ai/lawsuits-against-glp-1-drugmakers/
Last updated: 2026-06-19T19:16:07.000Z
### Plaintiffs allege drugmakers failed to adequately warn consumers and doctors about risks including stomach paralysis, intestinal blockages and possible vision loss
A rapidly expanding wave of lawsuits against makers of popular [GLP-1 drugs](https://www.theoutragedconsumer.com/p/glp-1-may-protect-against-heart-attacks?utm%5Fsource=publication-search) is putting new scrutiny on whether consumers were adequately warned about potentially serious side effects tied to the blockbuster diabetes and weight-loss medications.
The litigation targets products including Novo Nordisk’s Ozempic and Wegovy and Eli Lilly and Company’s Mounjaro and Zepbound — drugs that have transformed the obesity and diabetes markets while generating billions in sales.
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Most of the lawsuits center on allegations that manufacturers failed to properly disclose or emphasize severe gastrointestinal complications allegedly linked to the medications, including gastroparesis, also known as stomach paralysis.
Plaintiffs claim they suffered debilitating nausea, vomiting, dehydration, malnutrition, intestinal blockages and repeated hospitalizations after taking the drugs. Some lawsuits allege the injuries became permanent.
Other cases focus on reports of sudden vision loss tied to a condition known as [non-arteritic anterior ischemic optic neuropathy](https://www.ncbi.nlm.nih.gov/books/NBK559045/?ref=consumernews.ai), or NAION, sometimes described as an “eye stroke.”
The lawsuits generally argue that consumers and physicians were not adequately warned about the severity or potential permanence of the risks.
## Thousands of cases consolidated
Many of the federal lawsuits have been consolidated into multidistrict litigation in federal court in Pennsylvania, where the number of cases has continued to climb.
Legal filings and court records indicate that the litigation has grown into one of the largest emerging pharmaceutical mass torts in the country, with additional lawsuits expected as awareness of the alleged injuries spreads.
Attorneys representing plaintiffs argue that stronger warnings could have changed prescribing decisions or prompted consumers to seek treatment earlier.
“This litigation is fundamentally about informed consent,” several complaints argue in varying language. “Patients cannot weigh risks they were never clearly told about.”
**A more detailed version of this story is available at** [**ConsumerNews.ai**](https://www.consumernews.ai/glp-1-drug-lawsuits-swell-past-3-600-cases-as-courts-tighten-proof-standards/)
## Drugmakers defend products
Drugmakers have strongly defended the medications, noting that gastrointestinal side effects are already disclosed in prescribing information and that regulators approved the drugs after extensive clinical testing.
The companies also point to growing evidence that GLP-1 medications can reduce risks associated with obesity, diabetes and cardiovascular disease.
Researchers caution that some of the newer safety concerns remain under investigation and that observational studies do not necessarily prove the drugs directly caused the injuries alleged in the lawsuits.
At the same time, regulators in the United States and Europe continue to monitor reports involving gastrointestinal complications and vision-related adverse events.
## Consumer concerns growing
The lawsuits come amid [explosive demand](https://www.theoutragedconsumer.com/p/fda-weighs-loosening-restrictions?utm%5Fsource=publication-search) for GLP-1 drugs, which have become some of the most prescribed and heavily advertised medications in the country.
Consumer advocates say the litigation highlights broader concerns about direct-to-consumer pharmaceutical marketing and whether patients fully understand the risks associated with newer classes of drugs.
For consumers currently taking GLP-1 medications, experts say patients should not abruptly stop treatment without consulting a physician. But they also recommend discussing persistent gastrointestinal symptoms, severe abdominal pain or sudden vision changes with a healthcare provider immediately.
## What consumers should watch for
Patients taking GLP-1 drugs are being urged to seek medical attention if they experience:
- Persistent vomiting or nausea
- Severe abdominal pain
- Inability to keep food down
- Symptoms of intestinal blockage
- Sudden vision changes or partial vision loss
- Signs of dehydration or malnutrition
Health experts say consumers should also review medication guides carefully and report suspected side effects to the FDA’s [MedWatch](https://www.fda.gov/safety/medwatch-fda-safety-information-and-adverse-event-reporting-program?ref=consumernews.ai) adverse event reporting system.
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### Safety Recalls May 8, 2026
URL: https://www.consumernews.ai/safety-recalls-may-8-2026/
Last updated: 2026-06-19T19:16:07.000Z
Here are some notable U.S. safety recalls and alerts reported today and this week from the major agencies:
## Vehicle Recalls (NHTSA)
- Mercedes-Benz Instrument Panel Recall — Mercedes-Benz is recalling about 144,000 vehicles because the instrument panel display can suddenly go blank while driving due to infotainment software resets. Affected models include several 2024–2026 C-Class, E-Class, AMG GT, GLC, SL, and CLE vehicles. ([Reuters](https://www.reuters.com/legal/litigation/mercedes-benz-recall-144049-us-vehicles-over-display-issues-nhtsa-says-2026-05-08/?utm%5Fsource=chatgpt.com))
- ACDelco brake fluid recall — GM recalled more than 40,000 bottles of DOT 3 brake fluid because particulates could affect braking performance. ([Car and Driver](https://www.caranddriver.com/news/a71252258/gm-acdelco-brake-fluid-recall/?utm%5Fsource=chatgpt.com))
- Ford also recently recalled roughly 180,000 vehicles over loose front seat frame bolts. ([Reuters](https://www.reuters.com/legal/litigation/ford-recalls-about-180000-vehicles-over-loose-bolt-front-seat-frame-nhtsa-says-2026-05-01/?utm%5Fsource=chatgpt.com))
You can check any VIN directly here:
[NHTSA Recall Lookup](https://www.nhtsa.gov/recalls?utm%5Fsource=chatgpt.com)
---
## Consumer Product Recalls (CPSC)
- Thermos recalled 8.2 million Stainless King food jars and bottles because pressure buildup may cause the lids to eject forcefully, creating impact and laceration hazards. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Thermos-Recalls-8-2-Million-Stainless-King-Food-Jars-and-Bottles-Due-to-Serious-Impact-Injury-and-Laceration-Hazards?utm%5Fsource=chatgpt.com))
- Build-A-Bear recalled about 36,000 “Heartwarming Hugs” bears because a zipper component can detach and create a choking hazard. ([People.com](https://people.com/build-a-bear-recalls-36k-bears-due-to-choking-hazard-11963892?utm%5Fsource=chatgpt.com))
- Northlight bio-ethanol tabletop fireplaces were flagged by CPSC for severe burn and fire risks caused by flame jetting and pooled-fuel fires. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Warnings/2026/CPSC-Warns-Consumers-to-Stop-Using-Northlight-Bio-Ethanol-Portable-Tabletop-Fireplaces-Immediately-Due-to-Risk-of-Serious-Burn-Injury-or-Death-from-Flame-Jetting-and-Fire-Hazards?utm%5Fsource=chatgpt.com))
- Youth ATVs sold under Lil Pick Up were recalled for crash and burn hazards; one death was reported. ([U.S. Consumer Product Safety Commission](https://www.cpsc.gov/Recalls/2026/Lil-Pick-Up-Recalls-Youth-All-Terrain-Vehicles-ATVs-Due-to-Risk-of-Serious-Injury-or-Death-from-Crash-and-Burn-Hazards-Violates-Mandatory-Standard-for-ATVs-One-Death-Reported?utm%5Fsource=chatgpt.com))
Official recalls page:
[CPSC Recalls & Warnings](https://www.cpsc.gov/Recalls?utm%5Fsource=chatgpt.com)
---
## FDA Food & Medical Recalls
### Food recalls
- Horizon Organic chocolate milk recall — over 60,000 cartons were recalled because of packaging integrity problems. ([EatingWell](https://www.eatingwell.com/chocolate-milk-recalled-11969773?utm%5Fsource=chatgpt.com))
- Zapp’s and Dirty potato chips were recalled due to possible Salmonella contamination tied to dry milk powder seasoning. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/utz-quality-foods-llc-issues-voluntary-recall-certain-limited-varieties-zapps-and-dirty-potato-chips?utm%5Fsource=chatgpt.com))
- a2 Milk infant formula recall — several batches were recalled due to possible cereulide contamination. ([U.S. Food and Drug Administration](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts/a2-platinum-usa-label-infant-formula-recalled-because-possible-health-risk?utm%5Fsource=chatgpt.com))
### Medical device recalls
- Boston Scientific heart devices received the FDA’s highest-risk recall classification due to possible serious injury or death risk. ([Reuters](https://www.reuters.com/legal/litigation/us-fda-issues-recall-boston-scientific-heart-devices-2026-05-07/?utm%5Fsource=chatgpt.com))
Official FDA recall portal:
[FDA Recalls & Safety Alerts](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?utm%5Fsource=chatgpt.com)
---
## USDA / FSIS Alerts
- FSIS expanded a Salmonella-related public health alert involving meat and poultry products made with recalled dairy ingredients. Some frozen pizzas sold at Aldi under the Mama Cozzi’s label were included. ([Good Housekeeping](https://www.goodhousekeeping.com/food-products/a71202690/salmonella-aldi-products-recall/?utm%5Fsource=chatgpt.com))
- FSIS also issued a recent alert for ravioli products with undeclared allergens. ([Food Safety and Inspection Service](https://www.fsis.usda.gov/recalls-alerts/fsis-issues-public-health-alert-ravioli-pasta-beef-sauce-due-misbranding-and?utm%5Fsource=chatgpt.com))
Official USDA FSIS alerts page:
[USDA FSIS Recalls & Alerts](https://www.fsis.usda.gov/recalls?utm%5Fsource=chatgpt.com)
### What if you put all the AIs in a room together ...
URL: https://www.consumernews.ai/what-if-you-put-all-the-ais-in-a/
Last updated: 2026-06-19T20:26:30.000Z
There used to be a saying about putting all the world’s typewriters and monkeys in a room together and seeing if they would eventually duplicate Shakespeare’s work. Well, that’s sort of what AI is — unimaginable computing power suddenly at everyone’s fingertips.
This might, or perhaps should, usher in a new world of intellectual curiosity, learning and informed civic participation. Or maybe it will just be the end of the world as we know it. Either way, journalism will be blamed, as it is for everything.
Maybe AI will be able to gather, report, edit and present the news in a way that wins accolades, furthers human understanding and so forth. Or maybe it will just be more of the same.
We decided to try a [small experiment](https://www.consumernews.ai/what-are-the-top-consumer-stories-right-now-we-asked-ai/). We gathered three leading AI LLMs together and asked them — since they’re so smart — what are the top news stories affecting consumers today.
Not wanting to put our thumbs on the scale, we drew no conclusions. But you can read the AIs’ testimony verbatim [right here](https://www.consumernews.ai/what-are-the-top-consumer-stories-right-now-we-asked-ai/) and make your own judgment.
### What are the top consumer stories right now? We asked AI
URL: https://www.consumernews.ai/what-are-the-top-consumer-stories-right-now-we-asked-ai/
Last updated: 2026-05-08T19:19:25.000Z
Everyone is always complaining about the news. It's biased, it's wrong, it's boring, it's irrelevant, etc.
"They ought to just let AI cover the news and throw all the journalists overboard," seems to be the prevailing school of thought in some circles these days.
OK, maybe so. We decided to test that theory. We lined up three of the top AIs and asked them what they think the top five consumer news stories are right now.
### A simple experiment
A simple experiment produced a revealing snapshot of the AI era: three leading large language models were asked to identify the five biggest consumer news stories of the moment — and while there was overlap, each system brought its own priorities, assumptions and editorial “judgment” to the task.
The results highlighted how AI systems increasingly surface stories around affordability, safety, technology, privacy and corporate accountability, but also showed meaningful differences in what each model considered most important to consumers. Some leaned toward economic pressure points like rising costs and insurance, while others elevated AI, scams, travel disruptions and product safety issues.
The exercise underscores a larger question facing journalism and consumers alike: if AI systems are becoming a primary gateway to news discovery, who — or what — decides what matters most? Even among top-tier AI models trained on massive datasets, there was no universal agreement on the day’s defining consumer stories. The experiment suggests AI may eventually become a useful editorial tool, but not an objective replacement for human news judgment.
## ChatGPT
Here’s my read on the five biggest consumer news stories emerging over the last several days — judged by a mix of consumer impact, likely staying power, affordability implications, and broader regulatory significance.
### 1\. The growing rollback — and fragmentation — of consumer financial protection
The biggest meta-story right now is the continued weakening or retrenchment of federal consumer enforcement, especially around the CFPB, paired with aggressive moves by state attorneys general to fill the vacuum. That has implications for mortgages, credit cards, debt collection, AI, junk fees, privacy, and online safety. ([Reuters](https://www.reuters.com/legal/transactional/state-attorneys-general-increase-antitrust-consumer-protection-enforcement--pracin-2026-05-07/?utm%5Fsource=chatgpt.com))
Why it matters:
- Consumers may increasingly face a patchwork of protections depending on where they live.
- States are stepping up on hidden fees, AI harms, algorithmic pricing, and children’s online safety.
- Debt collection complaints remain elevated amid uncertainty over federal oversight. ([https://www.kplctv.com](https://www.kplctv.com/2026/03/27/debt-collection-complaints-surge-cfpb-faces-changes/?utm%5Fsource=chatgpt.com))
This is arguably the defining “consumer beat” story of 2026.
---
### 2\. The national crackdown on junk fees and “annoyance economy” pricing
Hidden fees, drip pricing, delivery app surcharges, manipulative countdown timers, and deceptive ticket pricing are becoming a central consumer-policy battlefield. Several stories this week point to an accelerating crackdown. ([Investopedia](https://www.investopedia.com/how-the-annoyance-economy-is-costing-americans-billions-in-hidden-fees-and-wasted-time-11959705?utm%5Fsource=chatgpt.com))
Key developments:
- Regulators are increasingly targeting delivery app fees and deceptive checkout pricing. ([Business Insider](https://www.businessinsider.com/delivery-apps-fee-backlash-federal-regulation-2026-4?utm%5Fsource=chatgpt.com))
- Ticketmaster/Live Nation refund and fee-transparency settlements continue to ripple outward. ([The Washington Post](https://www.washingtonpost.com/dc-md-va/2026/04/20/live-nation-dc-ticket-pricing-settlement/?utm%5Fsource=chatgpt.com))
- The broader “Annoyance Economy” framing — where consumers lose money through friction, delays, opaque billing, robocalls, and manipulative UX — is gaining traction. ([Investopedia](https://www.investopedia.com/how-the-annoyance-economy-is-costing-americans-billions-in-hidden-fees-and-wasted-time-11959705?utm%5Fsource=chatgpt.com))
This has huge “Affordability Watch” potential because it directly affects household budgets in dozens of small daily transactions.
---
### 3\. Consumer data privacy is becoming a front-burner issue again
This week brought several major developments around surveillance, location tracking, driving data sales, and state privacy legislation. ([LA County DA's Office](https://da.lacounty.gov/media/news/general-motors-pay-1275m-settle-california-consumer-protection-lawsuit-alleging-data?utm%5Fsource=chatgpt.com))
The standout:
- [General Motors settlement announcement](https://da.lacounty.gov/media/news/general-motors-pay-1275m-settle-california-consumer-protection-lawsuit-alleging-data?utm%5Fsource=chatgpt.com) — GM agreed to pay $12.75 million over allegations it sold OnStar driving and location data without proper consent. ([LA County DA's Office](https://da.lacounty.gov/media/news/general-motors-pay-1275m-settle-california-consumer-protection-lawsuit-alleging-data?utm%5Fsource=chatgpt.com))
At the same time:
- Connecticut advanced a sweeping privacy bill targeting data brokers, surveillance pricing, facial recognition, and automated pricing systems. ([CBIA](https://www.cbia.com/news/issues-policies/privacy-law-expansion?utm%5Fsource=chatgpt.com))
- The FTC moved against Kochava over location-data sales tied to millions of devices. ([Federal Trade Commission](https://www.ftc.gov/about-ftc/bureaus-offices/press-releases?utm%5Fsource=chatgpt.com))
This is increasingly converging into one giant consumer narrative: companies monetizing behavioral and location data in ways consumers never fully understood.
---
### 4\. PFAS and toxic chemical exposure in everyday consumer products
The Maine PFAS food-packaging ban is small geographically but potentially huge symbolically because it hits mainstream takeout and restaurant packaging. ([The Sun](https://www.the-sun.com/money/16333160/olive-garden-takeout-change-toxic-packaging-ban-maine/?utm%5Fsource=chatgpt.com))
Why this matters:
- PFAS regulation is moving from industrial contamination into ordinary consumer experience.
- Restaurants, retailers, and packaging manufacturers are being forced to redesign products.
- Consumers are increasingly connecting food packaging, cookware, clothing, and household items to long-term health concerns.
This story fits into a larger trend toward:
- “Forever chemicals” regulation,
- ingredient transparency,
- and chemical disclosure fights that are likely to intensify nationwide.
---
### 5\. The affordability squeeze is broadening beyond inflation into structural costs
The dominant affordability narrative is no longer just grocery inflation. It’s now:
- fees,
- insurance,
- debt servicing,
- platform costs,
- housing,
- and financing friction all piling together.
Recent reporting and enforcement actions point toward a broader consumer-cost crisis:
- rising debt complaints,
- aggressive lending concerns,
- hidden platform fees,
- and mounting pressure from financial products and subscription ecosystems. ([https://www.kplctv.com](https://www.kplctv.com/2026/03/27/debt-collection-complaints-surge-cfpb-faces-changes/?utm%5Fsource=chatgpt.com))
One especially important under-the-radar development:
- consumer groups are increasingly pushing for stronger national interest-rate caps and tighter controls on high-APR fintech lending models — a story likely to grow substantially this year.
That “everything costs more, and every transaction has friction” theme is becoming one of the defining consumer narratives of 2026.
If you'd like, I can also do:
- a “Top 10 Consumer Stories This Week” version,
- a “stories with the biggest staying power” list,
- a “best undercovered consumer stories” list,
- or a “what major outlets are missing” analysis.
## Claude
Here's a roundup of what I'd call the five biggest consumer news stories dominating the last few days:
---
**1\. Grocery Prices at the Forefront of the Affordability Crisis**
This is the story with the broadest resonance. A recent CNBC-SurveyMonkey poll found more than half of Americans say everyday life has become less affordable over the past year, with 76% pointing to rising grocery prices as the leading cause — ahead of gas, healthcare, and housing. The USDA projects food costs could rise by 3.1% in 2026 compared with last year. Strong follow-up angle for reporting: the human faces behind the data.
---
**2\. The Tariff Aftermath — What the Supreme Court's IEEPA Ruling Means for Shoppers**
Still generating significant coverage. In a landmark 6-3 decision, the Supreme Court held that the president lacks authority to impose tariffs under the International Emergency Economic Powers Act, effectively ruling that all tariffs imposed under IEEPA are invalid. The consumer angle: will prices actually come down? Some retailers might share recovered funds with customers by lowering prices, but many businesses are expected to hold off on price adjustments until the tariff picture becomes clearer. Meantime, U.S. Customs and Border Protection has launched a portal to allow more than 300,000 eligible importers to file refund claims for $166 billion in illegal IEEPA tariffs that were collected.
---
**3\. Product Recall Surge — Button Batteries Pose Deadly Risk**
A timely safety story with strong local and parental appeal. EEMB USA is recalling more than 312,000 lithium coin batteries whose packaging does not meet child-resistant standards, with the hazard being battery ingestion, which can cause internal chemical burns, serious injury, and death. The batteries were sold on Amazon from August 2023 through April 2026 for between $3 and $9\. Also flagged this week: ZMC Group is recalling about 124,560 battery-operated light-up toys sold at discount stores because children can too easily access the button cell batteries inside.
---
**4\. Connected Car Data Privacy Crackdown**
A slow-burn story that's been gaining pace. A recent FTC settlement with an automaker includes a five-year ban on disclosing geolocation and driver behavior data to consumer reporting agencies, and requires the manufacturer to give customers the ability to disable geolocation data collection from their vehicles. Meanwhile, Virginia passed a bill that would amend its Consumer Data Protection Act to ban the sale of precise geolocation data, joining a growing number of states acting against the monetization of connected-vehicle data.
---
**5\. Tariff-Driven Grocery Price Hikes: The Granular Picture**
A strong companion piece to story #1, with concrete numbers that resonate with readers. Between March 2025 and March 2026, one grocery chain saw the price of a 12 oz. bag of frozen tilapia rise nearly 47%, and a bag of frozen hash brown patties rise about 33%. Researchers at Harvard Business School estimate tariff pass-through added 0.7 percentage points to the all-items Consumer Price Index by September 2025.
---
The through-line connecting most of these stories is consumer purchasing power under pressure — tariffs, sticky post-pandemic prices, and safety concerns affecting everyday household products. Lots of strong angles for deep dives or sidebars if any of these are in your wheelhouse.
## Gemini
Based on news sites and recent updates over the last few days, here are the top five consumer news stories, focusing on areas that affect consumer finances, rights, and well-being:
**1\. Consumer Anxiety Over High Prices and Inflation**
Surging fuel costs, driven by a spike in Brent crude oil prices (past $126 a barrel), are causing widespread concern among consumers. Economic data shows the price increases are affecting consumer confidence, with companies like McDonald's and Kraft Heinz warning that high gas prices are denting consumer sentiment and that people are "literally running out of money". Although consumer spending remains resilient, experts note that much of this spending is increasingly going onto credit cards, indicating an underlying struggle and debt.
**2\. Intensified Crackdown on "Junk Fees" and Hidden Costs**
Regulators at the state and federal levels are intensifying efforts to combat "junk fees," which are mandatory charges often added late in the buying process (known as "drip pricing"). This movement targets hidden charges in sectors like hotel bookings, food delivery, and live-event ticketing. Enforcement includes the Federal Trade Commission securing a recent $10 million settlement with StubHub for allegedly advertising ticket prices without mandatory fees.
**3\. Push to Cap Loan Rates and Stop "Predatory" Bank Charters**
A coalition of over 100 advocacy organizations is pressuring Congress to crack down on high-interest lending. They are urging lawmakers to:
- Block bank charter applications by lenders like Enova and OppFi, which they warn could allow lenders charging 100% to 300% APR loans to bypass state interest-rate caps nationwide.
- Pass a national 36% APR cap on loan rates, while still preserving states' ability to enact stricter limits.
**4\. Apple Agrees to Proposed $250 Million Consumer Settlement**
A major proposed $250 million class action settlement has been reached to compensate millions of consumers who purchased the iPhone 16, iPhone 15 Pro, or iPhone 15 Pro Max. The settlement resolves claims that Apple used false advertising regarding an enhanced AI model in its marketing for these devices.
**5\. Surprise Medical Billing Law Inadvertently Drives Up Doctor Earnings**
A major report highlighted that the 2020 No Surprises Act, a consumer protection law meant to eliminate surprise medical bills for patients, has inadvertently created a multibillion-dollar industry. This new system is reportedly making some doctors significantly richer, in contrast to the law's original intent of protecting consumers.
## We don't want to influence your opinion ...
So we're not summarizing the responses or drawing any conclusions from them. 'We compile, you decide, ' you might say.
### Consumer groups urge Congress to block ‘predatory’ bank charters, cap loan rates nationwide
URL: https://www.consumernews.ai/consumer-groups-urge-congress-to/
Last updated: 2026-06-19T19:16:08.000Z
### The groups warn the move could allow lenders charging 100% to 300% APR loans to bypass state interest-rate caps across the country.
A coalition of more than 100 advocacy organizations is calling on Congress to crack down on high-interest lending, warning that pending bank charter applications by [Enova](https://www.theoutragedconsumer.com/p/high-cost-lender-enova-wants-to-be?utm%5Fsource=publication-search) and [OppFi](https://www.theoutragedconsumer.com/p/predatory-lender-seeks-bank-charter?utm%5Fsource=publication-search) could dramatically expand access to triple-digit-interest loans nationwide.
In a letter sent to lawmakers Thursday, the groups said the lenders’ efforts to become national banks would allow them to sidestep state interest-rate caps that currently restrict or prohibit many high-cost loans.
[Subscribe](#/portal/signup)
“These would be the first national banks dedicated to directly making predatory loans,” [the organizations wrote](https://www.nclc.org/broad-coalition-urges-congress-to-oppose-unaffordable-100-apr-bank-loans/?ref=consumernews.ai), warning that approval could open the door for other high-cost lenders to seek similar treatment.
The coalition includes consumer advocates, civil rights organizations and community groups concerned about the growing use of loans carrying annual percentage rates exceeding 100%.
### What the groups are asking Congress to do
The organizations urged Congress to:
- Oppose Enova and OppFi’s efforts to obtain national bank charters;
- Pass a national 36% APR cap while preserving states’ ability to enact stricter limits;
- Close legal loopholes allowing some banks to evade state interest-rate laws;
- Reject legislation that would expand exemptions from state lending protections.
The groups also urged support for several Democratic-backed bills aimed at tightening consumer lending rules.
Among them are Sen. Jack Reed’s [Predatory Lending Elimination Act](https://www.congress.gov/bill/119th-congress/senate-bill/3793?ref=consumernews.ai), which would extend the [Military Lending Act](https://mla.dmdc.osd.mil/mla/?ref=consumernews.ai#/home)’s 36% interest-rate cap to all consumers, and Sen. Sheldon Whitehouse’s Empowering States’ Rights to Protect Consumers Act, which would require banks to comply with state interest-rate caps.
At the same time, the coalition urged lawmakers to oppose Sen. Bernie Moreno’s American Lending Fairness Act, arguing it would weaken states’ authority to curb high-cost lending by out-of-state banks.
### Focus on Enova and OppFi
The letter singles out Enova — parent company of CashNetUSA, NetCredit and OnDeck — and OppFi as examples of lenders that could significantly expand high-cost lending if granted national bank status.
According to the groups, Enova’s consumer lending brands offer loans with rates ranging from 100% to 300% APR. The organizations also cited company charge-off rates exceeding 50% on some loans as evidence that many borrowers cannot afford repayment.
OppFi, another online lender, was criticized for offering loans with rates exceeding 160% APR.
Currently, both companies must comply with varying state interest-rate laws. But under existing federal banking rules, national banks can often export interest rates from their home states and avoid stricter caps elsewhere.
Consumer advocates argue that structure could undermine protections in dozens of states that have adopted lower rate caps.
### Affordability crisis fuels debate
The push comes as policymakers increasingly debate the role of high-cost lending amid rising consumer debt, inflation pressures and affordability concerns.
Supporters of strict rate caps argue that triple-digit-interest loans trap financially vulnerable consumers in cycles of debt. Industry supporters, however, have argued that tighter limits could reduce access to credit for borrowers with poor credit histories who may not qualify for traditional loans.
The advocacy groups said strong bipartisan public support exists for interest-rate caps and accused federal regulators and some lawmakers of moving in the opposite direction.
“With people struggling to make ends meet, the last thing they need is predatory bank lending,” the letter states. “Congress needs to step up to address the affordability crisis by stopping banks from making high-cost loans.”
[Subscribe](#/portal/signup)
### Fake party invites are the latest phishing bait, Pennsylvania attorney general warns
URL: https://www.consumernews.ai/fake-party-invites-are-the-latest/
Last updated: 2026-06-19T19:16:09.000Z
### The scam often uses links tied to digital invitation or social-planning platforms and may prompt users to log in with Google, Apple, Microsoft, or other accounts.
Pennsylvania officials are warning consumers about a growing phishing scam that disguises itself as an online party invitation or event RSVP.
[Subscribe](#/portal/signup)
According to the Pennsylvania Office of Attorney General, scammers are sending emails from compromised accounts belonging to friends, relatives, coworkers, or acquaintances. The messages often appear to invite recipients to a birthday party, conference, wedding, social gathering, or other event and include a link to “view” the invitation or RSVP.
But clicking the link can expose consumers to malware or credential theft, officials warned.
The scam typically escalates when the recipient is asked to log in using a Google, Apple, Microsoft, or similar account to access the invitation. Authorities stressed that legitimate invitation platforms generally do not require recipients to sign in simply to view an invite.
“Scammers are constantly evolving their tactics to appear more credible and trustworthy,” Attorney General Sunday [said in a statement](https://www.attorneygeneral.gov/taking-action/attorney-general-sunday-alerts-pennsylvanians-of-a-new-email-invitation-phishing-scam/?ref=consumernews.ai). “If you receive an unexpected invitation that requires you to log in or provide personal information, take a moment to verify it directly with the sender — that extra step can protect your personal data and prevent serious harm.”
## How the scam works
Consumer protection officials say the scheme relies heavily on trust and familiarity. Because the emails appear to come from someone the recipient knows, users may be more likely to click links without carefully checking them.
Once a victim enters credentials into a fake login page, scammers can gain access to email accounts, contacts, stored passwords, financial information, and other sensitive data. In some cases, malware may also be installed on the victim’s device.
Officials warned that compromised email accounts are often then used to target additional victims, allowing the scam to spread rapidly through contact lists and social networks.
## Warning signs consumers should watch for
Pennsylvania officials urged consumers to take extra precautions before opening invitation links or entering credentials online.
### Red flags include:
- Invitations that unexpectedly require a password or account login
- Requests to download unfamiliar software or files
- Generic or poorly written invitations
- Links that do not match the claimed website destination
- Invitations that seem unusual or out of character for the sender
Consumers are encouraged to hover over links before clicking to inspect the destination URL and to independently verify suspicious invitations by text message or phone call.
## What to do if you clicked
Officials said consumers who believe they may have interacted with a fraudulent invitation should act quickly.
### Recommended steps include:
- Change email passwords immediately
- Enable two-factor or two-step authentication
- Review account recovery settings and connected devices
- Report the email as phishing or spam to the provider
- Monitor accounts for suspicious activity
## What this means
Cybercriminals increasingly rely on “social engineering” tactics that exploit trust instead of obvious technical tricks. Fake package notices, shared documents, password-reset emails, and now digital invitations are designed to look routine enough that consumers lower their guard.
Security experts say the safest approach is to treat unexpected login requests with skepticism — even when messages appear to come from someone you know.
[Subscribe](#/portal/signup)
### Airlines crack down on personal chargers
URL: https://www.consumernews.ai/airlines-crack-down-on-personal-chargers/
Last updated: 2026-05-08T00:00:12.000Z
Airlines are moving to rein in the use of portable chargers onboard, citing a sharp rise in fire risks linked to the popular devices.
Lithium-ion “power banks,” widely used by travelers to keep phones and tablets charged, have become the top source of battery-related fire incidents in aircraft cabins, according to aviation safety officials. In response, carriers are layering new restrictions on top of an existing ban on storing such batteries in checked luggage.
[**Read more ...**](https://www.theoutragedconsumer.com/p/airlines-crack-down-on-portable-chargers?ref=consumernews.ai)
### Safety Recalls for May 7, 2026
URL: https://www.consumernews.ai/safety-recalls-for-may-7-2026/
Last updated: 2026-06-19T19:16:09.000Z
**Editor’s Query: Would you like for us to list each day’s safety recalls?** They would be published mid- to late afternoon weekdays. Use the comment box to reply.
Here’s a roundup of today’s safety recalls (May 7, 2026), organized by category:
---
**Consumer Products (CPSC)**
The U.S. Consumer Product Safety Commission — [CPSC.gov](https://www.cpsc.gov/?ref=consumernews.ai) — issued five recalls today:
- **EEMB USA Battery Pouches** — risk of serious injury or death from battery ingestion; violates federal statute for child-resistant packaging of coin batteries
- **ZMC Group Light Up Toys** (multiple) — risk of serious injury or death from battery ingestion; violates mandatory toy standard
- **Svnntaa Bed Rails** (sold on Amazon by Eokeanon) — risk of serious injury or death from entrapment and asphyxiation; violates mandatory standard for adult portable bed rails
- **Favoto Bicycle Helmets** (sold on Amazon) — risk of serious head injury; violates mandatory bicycle helmet standard
- **EVLWZL and Gunugu Mattresses** — risk of serious injury or death from fire hazard; violates mandatory mattress flammability standard
---
**CPSC Safety Warnings (stop-use alerts, not formal recalls)**
The CPSC also issued three stop-use warnings today:
- **CPLRECR Crib Bumpers** — suffocation hazard; violates federal ban on crib bumpers
- **Dovety Steam Cleaners** — risk of serious burn injury
- **Northlight Bio Ethanol Portable Tabletop Fireplaces** — risk of serious burn injury or death from flame jetting and fire hazards
---
**Vehicles (**[**NHTSA.gov**](https://www.nhtsa.gov/recalls?ref=consumernews.ai)**\-related)**
Several vehicle recalls are active with owner notification letters going out imminently:
- **2026 Ram 2500 Pickup trucks** (Chrysler/FCA) — steering column control modules may cause loss of electronic stability control; owner notification letters expected to be mailed today, May 7
- **2024–2026 Ford Ranger and Bronco** — loose or dislodged seat frame height-adjust pivot bolt in front seats; interim letters expected May 11
- **2024–2025 Jeep Wagoneer S and Dodge Charger EVs** — software error may cause instrument panel display failure, affecting multiple federal safety standards; owner notification letters expected May 21
---
For full details and remedy information, the primary sources are [CPSC.gov](https://www.cpsc.gov/?ref=consumernews.ai), [NHTSA.gov](https://www.nhtsa.gov/recalls?ref=consumernews.ai), and [FDA.gov](https://www.fda.gov/safety/recalls-market-withdrawals-safety-alerts?ref=consumernews.ai).
### States crack down on ‘junk fees’ as regulators target hidden costs and drip pricing
URL: https://www.consumernews.ai/states-crack-down-on-junk-fees-as/
Last updated: 2026-06-19T19:16:09.000Z
As consumers grapple with rising prices and affordability pressures, regulators at both the federal and state level are intensifying efforts to crack down on so-called “junk fees” — extra mandatory charges that often appear late in the buying process.
The growing wave of enforcement and legislation targets pricing practices commonly known as “drip pricing,” in which businesses advertise a lower base price and then add mandatory fees later in the transaction. Common examples include service fees, convenience fees, resort fees, and handling charges.
[Subscribe](#/portal/signup)
While the term “junk fees” has become a political buzzword in recent years, state attorneys general have long used consumer protection laws to challenge allegedly deceptive pricing practices. What has changed is the scale and specificity of new laws requiring businesses to display the full mandatory price earlier and more clearly to consumers.
### Feds step up
Federal regulators have ramped up pressure in recent years. Under the Biden administration, the Federal Trade Commission finalized a rule targeting unfair or deceptive fees in industries including live-event ticketing and short-term lodging. The rule, which took effect during the Trump administration in 2025, requires companies to prominently display the total price — excluding taxes — upfront and throughout the purchasing process.
The FTC’s rule also requires businesses to clearly disclose additional charges such as shipping, taxes, or optional add-ons before consumers reach the final payment screen. Regulators argue the goal is to prevent consumers from being lured by artificially low advertised prices that do not reflect the true unavoidable cost.
The issue has drawn bipartisan attention.
President Trump signed an executive order in March 2025 focused on “Combating Unfair Practices in the Live Entertainment Market,” directing the FTC to strengthen price transparency in ticket sales and target deceptive ticketing practices.
At the same time, states have adopted a growing patchwork of laws governing price disclosures.
Broad “all-in pricing” statutes or regulations have been enacted in states including California, Colorado, Connecticut, Massachusetts, Minnesota, Oregon and Virginia. Other states have focused more narrowly on industries such as live-event ticketing or hospitality.
### Trouble spots targeted
The enforcement push has increasingly focused on sectors where regulators say hidden fees are widespread.
Hotel chains and online booking platforms have faced scrutiny over resort fees and other mandatory charges allegedly buried in checkout pages rather than included in advertised room rates. Food delivery companies have also been targeted for allegedly obscuring delivery and service fees until late in transactions.
The live-event ticketing industry has become a major battleground.
The FTC recently secured a $10 million settlement with [StubHub](https://www.stubhub.com/?utm%5Fsource=chatgpt.com) over allegations that the company advertised ticket prices without mandatory fees and failed to clearly disclose total costs to consumers during a high-volume NFL ticket sales period in 2025.
Meanwhile, the FTC and several states continue pursuing litigation against [Live Nation Entertainment](https://www.livenationentertainment.com/?utm%5Fsource=chatgpt.com) and [Ticketmaster](https://www.ticketmaster.com/?utm%5Fsource=chatgpt.com) over alleged deceptive ticket-pricing practices. The companies deny wrongdoing and have moved to dismiss portions of the case.
Consumer advocates say hidden fees can distort comparison shopping and undermine household budgeting at a time when many Americans are already strained by inflation, rising housing costs, insurance premiums, and debt payments.
Regulators increasingly argue that consumers should be able to see the true unavoidable cost of a product or service before investing time in a purchase process.
Despite differences among state laws, regulators appear united around one core principle: the full mandatory price should be disclosed clearly and early.
Businesses now face a rapidly evolving compliance landscape as states adopt differing definitions of mandatory fees, disclosure timing requirements, and rules about what must be included in advertised prices. Companies operating nationwide may have to navigate multiple overlapping legal standards.
### What regulators expect businesses to disclose
Regulators are increasingly focused on whether businesses:
- Clearly display the full mandatory price upfront
- Include mandatory fees in advertised prices
- Identify optional or waivable fees separately
- Disclose shipping, taxes, and government fees before checkout
- Avoid hiding charges in vague “taxes and fees” categories
### Affordability Watch
Consumer groups say drip pricing can make already-expensive purchases feel even less transparent for households trying to budget carefully.
Hidden fees are especially common in sectors where consumers may feel locked into a purchase late in the transaction process — such as airfare, hotels, concert tickets, and food delivery — reducing the likelihood that shoppers will abandon the purchase once additional charges appear.
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### ‘Point of no return’: Study says New Orleans may need planned relocation as seas rise
URL: https://www.consumernews.ai/point-of-no-return-study-says-new/
Last updated: 2026-08-20T20:25:08.000Z
### Researchers say billions spent on levees and flood protection may only buy time.
A paper, published in the journal [*Nature Sustainability*](https://www.nature.com/natsustain/volumes/9/issues/4?ref=consumernews.ai), argues that coastal Louisiana has already passed a “point of no return” because of climate-driven sea-level rise combined with rapid land subsidence and erosion.
Researchers warned that southern Louisiana could experience 3 to 7 meters of sea-level rise over time, while losing up to three-quarters of its remaining coastal wetlands. The result, the authors said, could push the Gulf shoreline as much as 62 miles inland and eventually leave New Orleans surrounded by open water.
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“In paleo-climate terms, New Orleans is gone; the question is how long it has,” said co-author Jesse Keenan, a climate adaptation expert at Tulane University.
Keenan said the timeline is uncertain but likely measured in decades rather than centuries.
“Even if you stopped climate change today, New Orleans’s days are still numbered,” he said.
### Flood risks already severe
The study comes as New Orleans already faces some of the highest flood exposure in the United States.
A separate recent study found that 99% of the city’s population is at major risk of severe flooding — the highest exposure rate among U.S. cities.
Researchers say the risks are compounded by several overlapping problems:
- Rising global sea levels
- Stronger hurricanes fueled by warmer oceans
- Rapid coastal erosion
- Land subsidence causing the ground itself to sink
- Decades of oil-and-gas canal dredging and wetland destruction
Since the 1930s, Louisiana has lost roughly 2,000 square miles of coastal land — about the size of Delaware — according to the article. Another 3,000 square miles could disappear over the next 50 years.
The rate of land loss is so severe that an area roughly the size of a football field disappears every 100 minutes.
### Katrina protections may not be enough
After Hurricane Katrina devastated New Orleans in 2005, billions of dollars were spent building levees, pumps and floodgates around the city.
But researchers behind the new paper say those defenses may ultimately be overwhelmed by worsening climate conditions and rising waters.
The study also criticized Louisiana’s recent decision to cancel the [Mid-Barataria Sediment Diversion](https://mississippiriverdelta.org/project/mid-barataria-sediment-diversion/?ref=consumernews.ai) project, a massive coastal restoration effort designed to rebuild wetlands using sediment from the Mississippi River.
Former Louisiana coastal officials and restoration advocates argued the project was one of the state’s best opportunities to slow land loss.
Louisiana Gov. Jeff Landry canceled the $3 billion project last year, citing costs and concerns from the fishing industry.
The study argues that abandoning the diversion project “effectively means giving up on extensive portions of coastal Louisiana, including the New Orleans area.”
### Insurance and affordability pressures expected to grow
The findings also highlight mounting affordability concerns for Gulf Coast residents.
Climate experts say worsening flood risks are already pushing insurance costs higher across Louisiana, with some homeowners struggling to maintain coverage or sell homes in vulnerable areas.
Researchers warned that market pressures may ultimately force relocation even if governments do not formally require it.
“The market will speak as people won’t be able to get insurance,” Keenan said.
The issue mirrors broader national concerns over climate-related insurance instability in states including Florida, California and Louisiana, where rising disaster risks are straining insurers and driving up premiums.
### ‘Managed retreat’ increasingly discussed
While the idea of relocating a major U.S. city remains politically explosive, researchers say “managed retreat” may become unavoidable.
Experts suggested Louisiana could begin investing in infrastructure and housing farther inland, potentially north of Lake Pontchartrain.
Some climate migration has already begun, researchers said, but without coordinated planning it could become chaotic and deepen economic inequality.
“I know it’s a politically and emotionally charged issue,” said Wanyun Shao, a geographer at University of Alabama. “But managed retreat, no matter how unappealing it may be, is the ultimate solution at some point.”
### Data Box: Louisiana’s climate risk by the numbers
- **2,000 square miles** of Louisiana coastal land lost since the 1930s
- **3,000 additional square miles** projected to disappear over the next 50 years
- **99%** of New Orleans residents at major flood risk, according to a recent study
- **$3 billion** cost of canceled Mid-Barataria restoration project
- **360,000** approximate population of New Orleans
- **Football field-sized area** of land lost every 100 minutes
### Data Box: Louisiana’s climate risk by the numbers
- **2,000 square miles** of Louisiana coastal land lost since the 1930s
- **3,000 additional square miles** projected to disappear over the next 50 years
- **99%** of New Orleans residents at major flood risk, according to a recent study
- **$3 billion** cost of canceled Mid-Barataria restoration project
- **360,000** approximate population of New Orleans
- **Football field-sized area** of land lost every 100 minutes
### What this means for consumers
For residents, the long-term implications extend far beyond climate science:
- Rising homeowners and flood insurance premiums
- Falling property values in high-risk zones
- Growing difficulty obtaining mortgages or rebuilding after storms
- Infrastructure strain on roads, utilities and evacuation systems
- Potential future relocation costs for families and businesses
Experts say the debate over New Orleans may become a national test case for how the U.S. handles climate migration, insurance collapse and the future of vulnerable coastal communities.
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### Insurers paying less, charging more, report says
URL: https://www.consumernews.ai/insurers-paying-less-charging-more-report-says/
Last updated: 2026-05-07T15:59:43.000Z
U.S. consumers may be overpaying for insurance by as much as $150 billion annually as the gap between premiums collected and claims paid reaches historic levels, according to a new analysis by the [Vanderbilt Policy Accelerator](https://cdn.vanderbilt.edu/vu-URL/wp-content/uploads/sites/412/2026/04/29171033/How-to-Lower-the-Insurance-Tax-By-150-Billion.pdf?ref=consumernews.ai).
The report, released May 5, finds that the insurance industry paid out just 62 cents in claims for every $1 collected in premiums in 2024\. This "loss ratio" is significantly lower than the 80-cent average maintained during the 1980s and 1990s, suggesting that while premiums are surging, the actual value returned to policyholders has plummeted.
"The fact that the loss ratios are so low means that the insurance industry is charging too much," said Brian Shearer, a policy director involved in the analysis.
### Rising Costs vs. Payout Gaps
The findings arrive as American households face a 28% inflation-adjusted increase in home insurance premiums since 2017, with average annual costs now reaching approximately $2,750.
Industry leaders have defended the price hikes, citing the "triple threat" of higher construction costs, increased exposure to climate-related disasters, and the rising cost of reinsurance. However, the Vanderbilt researchers argue these factors do not explain the widening disparity between revenue and payouts.
The report proposes a federal "medical loss ratio" style standard for the property and casualty industry, which would require insurers to return a higher percentage of premiums to customers. If payouts returned to the historical 80% benchmark, researchers estimate consumers would save roughly $150 billion of the more than $1 trillion paid in annual premiums.
### Industry Warning
Insurance representatives were quick to push back, warning that federal mandates could destabilize the sector.
"We have seen what happens when government limits insurers’ ability to appropriately price policies: markets deteriorate and policyholders are left with fewer options," an industry spokesperson said in a statement, emphasizing the need to maintain financial reserves for catastrophic events.
### California Enforcement Action
The national debate over insurer conduct is reaching a boiling point in California, where state regulators announced a major enforcement action against State Farm General Insurance on May 4.
Following an investigation into the 2025 Los Angeles wildfires, California Insurance Commissioner Ricardo Lara alleged "significant mishandling" of claims. The Department of Insurance documented a pattern of unlawful behavior in over half of the claims reviewed, potentially affecting thousands of the 11,300 residential claims filed with State Farm following the disaster.
The state is seeking millions of dollars in penalties—the largest such pursuit this century—and has ordered the insurer to accelerate payments to survivors.
State Farm leadership rejected the allegations, calling the enforcement action a "reckless, politically motivated attack" and characterizing the identified issues as "primarily administrative and procedural errors."
### By The Numbers: The Insurance Gap
| **Metric** | **2024 Figure** | **Historical Average (80s-90s)** |
| ------------------------- | ----------------- | -------------------------------- |
| **Claims Payout per $1** | 62¢ | 80¢ |
| **Home Premium Increase** | +28% (since 2017) | N/A |
| **Total Premiums Paid** | $1 Trillion+ | N/A |
| **Estimated Overcharge** | $150 Billion | $0 |
As insurance becomes a larger portion of the American household budget, the Vanderbilt findings suggest that the tension between consumer affordability and industry stability is likely to trigger further calls for transparency and federal oversight.
###
### States object to new rule allowing mailing of guns
URL: https://www.consumernews.ai/states-object-to-new-rule-allowing/
Last updated: 2026-06-19T19:16:10.000Z
Guns by mail? A coalition of 23 state attorneys general think it’s a bad idea.
Illinois Attorney General Kwame Raoul joined a coalition of 22 attorneys general on Thursday to formally oppose a [proposed U.S. Postal Service (USPS) rule](https://www.federalregister.gov/documents/2026/04/02/2026-06376/revised-mailing-standards-for-firearms?ref=consumernews.ai) that would allow individuals to mail certain firearms, arguing the move is unlawful and threatens public safety.
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The opposition comes in response to the April 2 proposed rulemaking by the USPS, which seeks to align postal regulations with a January 2026 U.S. Department of Justice (DOJ) [opinion](https://www.justice.gov/olc/media/1423701/dl?ref=consumernews.ai). That opinion declared a century-old federal ban on mailing concealable firearms unconstitutional and directed the USPS to cease enforcement.
In a comment letter sent to postal officials, Raoul and the multistate coalition argued that the executive branch lacks the authority to unilaterally bypass the 1927 statute passed by Congress.
### A new gun gap
“The proposed rule would open a new gap through which guns which are prohibited in Illinois could enter our state, and could provide people prohibited from owning firearms with a new way to access them,” Raoul said in a statement. “From my city of Chicago to Peoria, Rockford, East St. Louis, Danville, and every community in between... such unchecked access to guns would be disastrous.”
The coalition contends that allowing private individuals to bypass licensed sellers when mailing firearms would facilitate the flow of weapons to prohibited persons, including felons and domestic abusers.
The National Rifle Association disagrees.
“In a monumental development for gun owners, the Department of Justice has acknowledged that one of the oldest federal gun control laws on the books is unconstitutional,” the [NRA said](https://www.nraila.org/articles/20260119/doj-determines-1927-prohibition-on-mailing-handguns-violates-second-amendment?ref=consumernews.ai).
It said the USPS prohibition “continues to create massive and needless headaches for law-abiding gun owners.” It said that licensed gun owners have been blocked from mailing guns to themselves when traveling or moving.
### Lack of oversight
The attorneys general also cited a lack of oversight, noting that unlike private carriers, the Postal Service does not have a statutory obligation to ensure shipments comply with varying state laws regarding firearm acquisition or transfers. This, they argue, creates a loophole that could see state-banned weapons shipped across borders undetected.
Furthermore, the letter warns of the fiscal and operational impact on local government, stating that the rule would make it significantly more difficult and expensive for law enforcement to trace weapons used in crimes, thereby reducing the effectiveness of existing investigative tools.
The DOJ’s January 2026 opinion marked a radical shift in federal policy, claiming the [1927 Mailing of Firearms Act](https://www.law.cornell.edu/uscode/text/18/1715?ref=consumernews.ai) violates the Second Amendment. However, the coalition noted Thursday that the statute has stood for nearly 100 years without any court finding it invalid.
### A longstanding law
Prior to the 1930s, the Act was the only federal provision regulating firearms — a ban on using the mail to send firearms capable of concealment on one’s person, [University of Chicago](https://chicagounbound.uchicago.edu/cgi/viewcontent.cgi?article=1310&context=uclf&ref=consumernews.ai) researchers said.
Its core provision is that pistols, revolvers, and other firearms capable of being concealed on the person are nonmailable and shall not be deposited in or carried by the mails or delivered by any officer or employee of the Postal Service, according to the [Legal Information Institute](https://www.law.cornell.edu/uscode/text/18/1715?ref=consumernews.ai).
Recently, as the 23 AGs noted, the Department of Justice asserted that the law is unconstitutional, with the executive branch stating it may not enforce Section 1715 with respect to constitutionally protected firearms, and directing the Postal Service to modify its regulations accordingly. [NRA-ILA](https://www.nraila.org/articles/20260119/doj-determines-1927-prohibition-on-mailing-handguns-violates-second-amendment?ref=consumernews.ai)
There’s also a bill in the current Congress to repeal it outright — [H.R. 3033](https://www.congress.gov/bill/119th-congress/house-bill/3033?ref=consumernews.ai) in the 119th Congress, called the “Protecting the Mailing of Firearms Act,” which would repeal Section 1715 entirely. [Congress.gov](https://www.congress.gov/bill/119th-congress/house-bill/3033/text/ih?ref=consumernews.ai)
Raoul was joined in the opposition by the attorneys general of Arizona, California, Colorado, Connecticut, Delaware, the District of Columbia, Hawaii, Maine, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, New York, Oregon, Rhode Island, Vermont, Virginia, and Washington.
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### Simple kitchen tricks may cut pesticide residues on produce, study finds
URL: https://www.consumernews.ai/simple-kitchen-tricks-may-cut-pesticide/
Last updated: 2026-06-19T19:16:10.000Z
Consumers worried about [pesticide exposure](https://www.theoutragedconsumer.com/p/pfas-forever-chemicals-found-on-majority?utm%5Fsource=publication-search) may be able to reduce some risks with inexpensive kitchen staples already sitting in their pantry, according to a new study from scientists at the [Environmental Working Group](https://www.ewg.org/?utm%5Fsource=chatgpt.com).
The peer-reviewed research, published in the journal *Frontiers in Environmental Health*, reviewed dozens of studies examining how household washing methods affect pesticide residues on produce.
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Researchers analyzed 47 studies involving 23 types of fruits and vegetables and 79 pesticides. They found that nearly all washing methods reduced pesticide levels to some degree, though results varied widely depending on the produce, the pesticide involved and the washing technique used.
“Fruits and vegetables are essential to a healthy diet, but they can also [increase exposure](https://www.theoutragedconsumer.com/p/healthy-food-is-good-for-you-unless?utm%5Fsource=publication-search) to pesticides,” said Dayna de Montagnac, the study’s lead author.
Among the findings:
- Plain water rinsing reduced pesticide residues by a median of 30.2%.
- Soaking produce in plain water achieved a median reduction of 33.7%.
- Baking soda soaks reduced residues by a median of 50.9%.
- Vinegar soaks were the most effective overall, with a median reduction of 54.2%.
### Baking soda, vinegar solutions can help
The researchers noted that baking soda and vinegar solutions outperformed plain water by more than 15 percentage points in median pesticide reduction across the studies reviewed.
Still, the study cautioned that some experiments used stronger baking soda or vinegar concentrations than consumers would typically use at home, meaning real-world reductions could be lower.
The findings come amid growing scrutiny of pesticide exposure and its potential health effects. Studies in the general population have linked pesticide exposure to cancer, reproductive harm, hormone disruption and neurological effects in children.
EWG said [produce samples](https://www.theoutragedconsumer.com/p/shoppers-face-pesticide-trade-offs?utm%5Fsource=publication-search) frequently contain mixtures of pesticides. According to the group’s analysis of U.S. Department of Agriculture testing data, most produce items — except potatoes — contained an average of four or more pesticide residues per sample.
The organization has also published research linking consumption of produce with higher pesticide residues to measurable pesticide levels in urine. Other recent studies have focused on chemicals including glyphosate, chlormequat and so-called “PFAS pesticides.”
### More monitoring needed
Researchers said more government monitoring is needed for pesticides that remain on produce even after washing. They also called for more realistic testing methods that mirror how consumers actually wash fruits and vegetables at home.
Despite the concerns, EWG emphasized that consumers should continue eating produce regularly.
“Washing produce in any way will always be better than no washing,” the group said.
EWG recommends quick rinsing or soaking when time is limited and suggests adding baking soda or vinegar when practical. The organization also encourages consumers to prioritize organic versions of produce items listed on its annual “Dirty Dozen” list, which ranks produce with the highest pesticide residues, while noting that items on its “Clean Fifteen” list generally carry lower residue levels.
### What consumers can do
- Rinse fruits and vegetables under cold water before eating.
- Soak produce briefly in water mixed with baking soda or vinegar for added residue reduction.
- Scrub firm produce like apples or cucumbers when possible.
- Prioritize organic purchases for high-residue produce items if budget allows.
- Continue eating fruits and vegetables despite pesticide concerns, health experts say.
###
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### AI 'doctors' under fire: Pennsylvania sues Character.AI over alleged medical claims
URL: https://www.consumernews.ai/ai-doctors-under-fire-pennsylvania/
Last updated: 2026-06-19T19:16:11.000Z
### Officials say bots on Character.AI falsely presented themselves as licensed doctors, including psychiatrists
The Shapiro administration has [sued Character Technologies, Inc.](https://www.pa.gov/governor/newsroom/2026-press-releases/shapiro-administration-sues-character-ai-over-fake-medical-claim?ref=consumernews.ai), alleging its AI companion bots on [Character.AI](https://character.ai/?ref=consumernews.ai) misled users into believing they were interacting with licensed medical professionals.
According to the [complaint](https://www.pa.gov/content/dam/copapwp-pagov/en/governor/documents/dos%20character.ai%20complaint%20marked%20accepted%2005.01.26.pdf?ref=consumernews.ai), some chatbot “characters” claimed to be psychiatrists and even said they were licensed in Pennsylvania—at times providing invalid license numbers while discussing mental health symptoms with users.
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Governor Josh Shapiro said the practice crosses a clear line: people must know “who — or what — they are interacting with online, especially when it comes to their health.”
The state is seeking a preliminary injunction to halt the behavior while the case proceeds.
The company defended itself in an email to The Outraged Consumer.
“Our highest priority is the safety and well-being of our users, a spokesperson said.“ The user-created Characters on our site are fictional and intended for entertainment and roleplaying. We have taken robust steps to make that clear, including prominent disclaimers in every chat to remind users that a Character is not a real person and that everything a Character says should be treated as fiction. Also, we add robust disclaimers making it clear that users should not rely on Characters for any type of professional advice.”
### Why it matters
At the core of the lawsuit is Pennsylvania’s [Medical Practice Act](https://www.palegis.us/statutes/unconsolidated/law-information/view-statute?txtType=HTM&SessYr=1985&ActNum=0112.&SessInd=0&ref=consumernews.ai), which bars anyone from presenting themselves as a licensed medical professional without proper credentials.
State officials argue that AI tools blur that boundary — especially when platforms allow users to create custom chatbot “characters” that can mimic professionals.
Secretary of State Al Schmidt [said](https://www.pa.gov/governor/newsroom/2026-press-releases/shapiro-administration-sues-character-ai-over-fake-medical-claim?ref=consumernews.ai) the law applies regardless of the technology: “You cannot hold yourself out as a licensed medical professional without proper credentials.”
### What the state found
The Department of State’s investigation concluded that:
- Some AI bots explicitly claimed professional credentials
- At least one chatbot said it was licensed in Pennsylvania and supplied a fake license number
- The platform enables users to create bots that can present as doctors or therapists
The lawsuit alleges this amounts to the unauthorized practice of medicine.
### What the site says
On its website, Character.AI says it “empowers people to connect, learn, and tell stories through interactive entertainment.” It claims that, “Millions of people visit Character.AI every month, using our technology to supercharge their imaginations.”
The home page displays a revolving series of dramatic photos. Though abstract, the photos seem to illustrate people in trouble. Some display people apparently standing on the ledge of a tall building.
> Such photos are strongly discouraged by media and healthcare organizations. A commonly used [media training guide](https://cmhlp.org/wp-content/uploads/2021/04/Resource-2-SPIRIT-Media-Guidelines-for-Reporting-Suicides.pdf?utm%5Fsource=chatgpt.com) states:
- “**Avoid using dramatic… images such as a person standing on a ledge**”
### Bigger crackdown on AI “companions”
The case is part of a broader push by Pennsylvania to regulate AI tools that interact directly with consumers.
Recent steps include:
- Launching an AI Literacy Toolkit (nearly 3,000 uses so far)
- Creating an AI Enforcement Task Force to investigate complaints
- Setting up a reporting system for suspected unlawful AI behavior
The administration has also coordinated with the state attorney general and held public roundtables on AI risks.
### What could change next
Shapiro’s proposed 2026–27 budget calls for new consumer protections targeting AI companion bots, including:
- Age verification and parental consent requirements
- Mandatory alerts when bots detect self-harm or violence risks
- Regular reminders that users are not interacting with a human
- A ban on sexual or violent content involving minors
### What this means for consumers
This case signals a growing regulatory focus on AI systems that simulate human expertise — especially in high-risk areas like health.
For users, the takeaway is simple:
- AI chatbots are not licensed professionals, even if they sound convincing
- Medical advice should come from verified, real-world providers
- Misleading AI claims may soon face tighter legal consequences nationwide
### Bottom line
Pennsylvania’s lawsuit could set a precedent for how states police AI “companion” platforms—drawing a hard line between helpful tools and illegal impersonation of professionals.
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### Siri wasn't so smart after all; Apple to pay $250 million to iPhone buyers
URL: https://www.consumernews.ai/siri-wasnt-so-smart-after-all-apple/
Last updated: 2026-06-19T19:16:11.000Z
Like a proud parent touting a child’s imagined smarts, Apple claimed back in 2024 that iPhone buyers would be getting a device with a super-smart Siri, one possessed of advanced artificial intelligence capabilities.
But alas, the company has agreed to tone down its claims and pay $250 million to settle a [class action lawsuit](https://clarksonlawfirm.com/wp-content/uploads/2026/05/05-01-2026-AMENDED-COMPLAINT-Second-Consolidated-Amended-Class-Action-Complaint-against-Apple-Inc.-Filed-by-Mic.pdf?ref=consumernews.ai) that accused it of having “promoted AI capabilities that did not exist at the time, do not exist now, and will not exist for two or more years” in order to boost [iPhone](https://www.theguardian.com/technology/iphone?ref=consumernews.ai) sales.
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In fact, Apple’s more “personalized” version of Siri is still struggling to make the grade and is not yet available.
The Better Business Bureau’s [National Advertising Division](https://bbbprograms.org/programs/advertising/nad?ref=consumernews.ai), the US advertising watchdog, had also concluded that Apple falsely suggested the new AI-powered Siri was “available now”.
## Lost its edge?
In the suit, the plaintiffs said the exaggerated claims came because Apple was being perceived as having lost its edge.
“Apple badly needed a perceived AI breakthrough to recapture consumer enthusiasm. That came in mid-2024 when Apple launched a sweeping marketing campaign introducing ‘Apple Intelligence,’ a suite of supposed next generation generative AI features, to promote its new iPhone 16 lineup. Apple marketed the iPhone 16 as ‘\[t\]he first iPhone built for Apple Intelligence,’” the suit alleged.
“One of Apple’s most prominent ad campaigns coincided with the official launch of the iPhone 16 and featured acclaimed actor Bella Ramsey, star of Game of Thrones and The Last of Us, showcasing Siri’s AI capabilities. These commercials depicted a fully operable Enhanced Siri working as advertised,” the suit further argued.
“These ads aired extensively across television, YouTube, social media, and even in movie theaters, amplifying consumer belief that Enhanced Siri was real, available, and revolutionary,” it said.
### Settlement filed, awaiting judge’s approval
The [settlement](https://clarksonlawfirm.com/wp-content/uploads/2026/05/05-05-2026-Exhibit-1-Settlement-Agreement.pdf?ref=consumernews.ai) filed Tuesday for court approval, which includes no admission of wrongdoing by Apple, covers roughly 36m eligible devices – the iPhone 16, as well as the iPhone 15 Pro and 15 Pro Max – bought in the US from 10 June 2024 to 29 March 2025.
“We resolved this matter to stay focused on what we do best: delivering the most innovative products and services to our users,” Apple told the [Financial Times](https://www.ft.com/content/f2c6a27e-8ed9-487c-9384-7e0f0dca3061?syn-25a6b1a6=1&ref=consumernews.ai).
Each class member could receive $25 per device, a sum that could reach $95 million depending on the number of approved claimants.
“We are proud to secure a historic settlement on behalf of consumers who should feel confident and protected when deciding where to spend their hard-earned dollars,” said Ryan Clarkson, founder and managing partner of [Clarkson Law Firm](https://clarksonlawfirm.com/lp/apple-intelligence-false-advertising/?ref=consumernews.ai), which brought the suit on behalf of consumers. “We are at an inflection point with AI, and the choices companies and regulators make now will shape how this technology impacts everyday people.”
Apple denied any wrongdoing in the settlement.
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### Airlines crack down on portable chargers as in-flight fire risk rises
URL: https://www.consumernews.ai/airlines-crack-down-on-portable-chargers/
Last updated: 2026-06-19T19:16:12.000Z
Airlines are moving to rein in the use of portable chargers onboard, citing a sharp rise in fire risks linked to the popular devices.
Lithium-ion “power banks,” widely used by travelers to keep phones and tablets charged, have become the top source of battery-related fire incidents in aircraft cabins, according to aviation safety officials. In response, carriers are layering new restrictions on top of an existing ban on storing such batteries in checked luggage.
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American Airlines recently barred passengers from recharging portable chargers using in-flight power outlets, aligning with similar policies at Delta Air Lines and Southwest Airlines. Southwest has also begun limiting travelers to a single power bank per passenger.
Some international airlines are going further, and industry groups say additional crackdowns are likely.
### Why airlines are worried
At the center of the concern is a phenomenon known as [thermal runaway](https://ul.org/research-updates/what-causes-thermal-runaway/?ref=consumernews.ai) — a chain reaction in lithium-ion batteries that can cause rapid overheating, fire, or even explosions.
Experts say portable chargers pose a particular hazard because they often lack the safety protections built into more expensive devices like smartphones or laptops. Many are [cheaply manufactured](https://www.theoutragedconsumer.com/p/fcc-says-it-wiped-out-3-million-risky?ref=consumernews.ai) or counterfeit, increasing the chances of failure.
Officials at the [International Civil Aviation Organization](https://www.icao.int/operational-safety/cargo-safety?ref=consumernews.ai) say power banks accounted for more in-flight battery incidents than any other device in 2025.
[Data](https://www.faa.gov/hazmat/packsafe/lithium-batteries?ref=consumernews.ai) from the Federal Aviation Administration show airlines reported lithium-battery incidents involving smoke, fire, or extreme heat nearly twice a week on average last year — more than double the rate seen in 2020.
### A growing travel essential — and risk
The crackdown comes as travelers rely more heavily on portable power.
Frequent fliers often carry multiple chargers to stay connected during long trips, especially on flights without reliable seat power. That surge in usage has increased the number of batteries onboard — and the chances something goes wrong.
“If we wanted to make it completely safe, there would be no batteries on airplanes,” said a safety official with the ICAO. “But realistically, we’re dealing with reality.”
### What happens if a battery overheats
When a device starts to smoke or catch fire mid-flight, cabin crews must act quickly.
Standard procedure includes cooling the device with water and placing it in a fire-resistant containment bag to prevent flames or smoke from spreading.
Safety experts say keeping devices in the cabin — rather than in checked baggage — is critical, because it allows crews to respond immediately.
### What this means for travelers
Passengers should expect tighter rules — and more scrutiny — around portable chargers.
**Key tips before you fly:**
- Keep power banks in your carry-on, never checked luggage
- Avoid using in-seat outlets to recharge portable batteries if prohibited
- Stick to reputable brands; avoid cheap or counterfeit chargers
- Limit the number of batteries you bring onboard
- Monitor devices for heat, swelling, or damage
With incidents rising and regulators on alert, portable chargers are shifting from a travel convenience to a growing safety concern — and airlines are responding accordingly.
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### FCC says it wiped out 3 million “risky” device listings in online crackdown
URL: https://www.consumernews.ai/fcc-says-it-wiped-out-3-million-risky/
Last updated: 2026-06-19T19:16:12.000Z
### It’s part of a broader push to block unsafe, non-certified, or national-security-flagged tech from reaching U.S. consumers
The Federal Communications Commission says it has successfully pressured online marketplaces to take down millions of listings for devices that don’t meet U.S. safety or security standards.
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These aren’t products already in your home — they’re items that were being offered for sale online, often at very low prices, without proper certification or oversight.
The removals are part of an ongoing enforcement campaign aimed at cleaning up the online electronics marketplace and tightening control over what devices can legally be sold in the U.S.
### What kinds of products were targeted
The crackdown focuses on devices that:
- Bypass FCC authorization (no certification for radio-frequency emissions)
- Are imported through gray-market supply chains
- Include certain routers, cameras, and wireless gear with potential security vulnerabilities
- Come from companies or labs flagged under federal national security restrictions
Many of these products are commonly found on large online marketplaces, often marketed as cheap alternatives to brand-name electronics.
### Why regulators are doing this
The FCC has been expanding its authority over telecom and connected devices amid rising concerns about:
- Cybersecurity risks (devices that can be hacked or used as entry points)
- Surveillance vulnerabilities tied to foreign-made equipment
- Weak oversight of third-party testing labs that certify electronics
The agency has also tightened rules around its so-called “Covered List,” which blocks certain companies and technologies from entering U.S. networks.
### Data Box: FCC device crackdown (latest snapshot)
- **3,000,000+** listings removed from online marketplaces
- Focus: **unauthorized wireless + telecom devices**
- Target: **non-certified, potentially insecure electronics**
- Scope: **online sales — not in-home recalls**
### What this means for consumers
**The upside**
- Fewer sketchy, non-compliant gadgets flooding online marketplaces
- Lower risk of buying devices with hidden security flaws or backdoors
- Stronger enforcement of basic safety standards
**The downside**
- Fewer ultra-cheap electronics options online
- Potential price increases for compliant devices
- Some products may disappear or become harder to find
### What to watch
The Federal Communications Commission is expected to keep tightening controls — including scrutiny of foreign testing labs and certification pathways.
That means the pool of low-cost, lightly regulated electronics available to U.S. consumers could continue to shrink.
### Bottom line
This wasn’t a recall — it was a mass takedown of questionable product listings.
> For consumers, it’s a trade-off: fewer risky gadgets, but potentially higher prices and less choice.
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### Virginia poised to allow state-court class actions, expanding consumer lawsuits
URL: https://www.consumernews.ai/virginia-poised-to-allow-state-court/
Last updated: 2026-06-19T19:16:13.000Z
### Business groups warn of more lawsuits, higher costs and limited payouts for consumers
Virginia is on the verge of a major shift in its legal landscape, with legislation awaiting Gov. Abigail Spanberger that would authorize class action lawsuits in state courts and broaden consumer protections.
If signed, the measure would take effect Jan. 1, 2027 — and leave Mississippi as the only state without a comparable state-court class action process.
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### Why it matters
Class actions are already permitted in federal courts but many disputes involving Virginia consumers — especially those tied to state law — stay in state courts.
Allowing class actions at that level could:
- Make Virginia a more attractive venue for lawsuits involving fees, subscriptions, privacy, discrimination and consumer claims
- Increase legal exposure for companies doing business in the state
- Shift more disputes away from federal courts, where stricter rules often apply
### What changes in consumer protection law
The bill would also update the Virginia Consumer Protection Act, the state’s primary law against deceptive business practices.
Supporters say the changes would:
- Allow damages for each violation of the law
- Make it easier to stop deceptive practices without proving individual reliance
- Bring Virginia more in line with federal and other state consumer laws
Consumer advocates argue the updates would give residents more practical ways to challenge widespread misconduct.
### The debate over class actions
Supporters say class actions are often the only realistic way for consumers to recover small-dollar losses that would otherwise go unchallenged.
But critics — including business groups and defense attorneys — say the system often delivers limited benefits to consumers.
They point to data from the Consumer Financial Protection Bureau showing:
- Many class members receive little or no compensation
- Average payouts in some cases are relatively small
- Attorneys’ fees can reach hundreds of millions of dollars
They also note that claims rates are often low, meaning many eligible consumers never receive payments.
### Potential impact on prices and services
Companies facing greater litigation risk may respond by:
- Raising prices
- Tightening credit or eligibility standards
- Cutting product offerings or services
- Increasing spending on compliance and legal defenses
Economists and industry groups argue those costs are often passed on to consumers.
### What businesses are watching
If the bill becomes law, companies are expected to review contracts and legal strategies—especially arbitration clauses that can limit class actions.
The Supreme Court of the United States has upheld many arbitration agreements requiring disputes to be handled individually rather than as class actions, making them a key tool for managing litigation risk.
### What this means for consumers
**Potential upsides**
- Easier path to challenge widespread corporate practices
- Ability to band together over small individual losses
- Stronger enforcement of consumer protection laws
**Potential downsides**
- Small or delayed payouts in many cases
- Fewer choices or higher prices if businesses adjust
- Legal outcomes that primarily benefit attorneys rather than consumers
### Bottom line
Virginia’s move toward state-court class actions would align it with most of the country and significantly expand legal options for consumers.
But the real-world impact remains uncertain: while the change could open the courthouse doors wider, history suggests the biggest gains may not always reach the consumers the law is designed to protect.
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### Affordability Watch: Are insurers overcharging Americans by $150B a year?
URL: https://www.consumernews.ai/affordability-watch-are-insurers/
Last updated: 2026-06-19T19:16:13.000Z
## Insurers paying less, charging more, report says
Americans may be paying far more than necessary to insure their homes, cars and businesses, according to a new analysis that estimates a $150 billion annual overcharge.
[The report](https://cdn.vanderbilt.edu/vu-URL/wp-content/uploads/sites/412/2026/04/29171033/How-to-Lower-the-Insurance-Tax-By-150-Billion.pdf?ref=consumernews.ai) from the Vanderbilt Policy Accelerator finds insurers paid out just 62 cents in claims for every $1 collected in premiums in 2024 — well below the roughly 80-cent average seen in the 1980s and 1990s.
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That gap, researchers say, suggests consumers are footing a much larger bill than in previous decades.
“The fact that the loss ratios are so low means that the insurance industry is charging too much,” said Brian Shearer, a policy director involved in the analysis.
## Affordability pressure meets rising premiums
The findings land as insurance costs surge alongside other household expenses.
Separate research cited in the analysis shows home insurance premiums rose 28% (inflation-adjusted) between 2017 and 2024, reaching about $2,750 annually.
Insurers argue those increases reflect real pressures:
- Higher construction and repair costs
- Greater exposure to climate-related disasters
- Rising costs for reinsurance (insurance for insurers)
But the Vanderbilt analysis focuses on what consumers actually get back—highlighting a widening gap between premiums paid and claims received.
## Proposed fix: federal guardrails on payouts
The report proposes a major shift: federal standards requiring insurers to return a higher share of premiums to policyholders.
If insurers paid out closer to historical levels — about 80 cents per $1 — consumers could have saved roughly $150 billion out of more than $1 trillion in premiums paid in 2024, the analysis found.
The proposal would move oversight beyond the current state-based system, making it harder for insurers to challenge stricter rules.
## Industry pushback: ‘markets could deteriorate’
The insurance industry strongly disputes the findings and the proposed solution. Industry representatives say lower loss ratios reflect recent catastrophic losses and the need to maintain financial stability.
They also warn that federal mandates could backfire.
“We have seen what happens when government limits insurers’ ability to appropriately price policies: markets deteriorate and policyholders are left with fewer options,” an industry spokesperson said.
## What the research says
**Key data points:**
- 62¢: Claims paid per $1 in premiums in 2024
- 80¢: Historical average payout (1980s–1990s)
- $150B: Estimated annual overcharges
- $1T+: Total premiums paid in 2024
- +28%: Increase in home insurance premiums since 2017
## What this means for consumers
For households already squeezed by housing, food and energy costs, insurance is becoming a bigger piece of the affordability puzzle.
If the analysis is correct, consumers may be paying significantly more for coverage while receiving less in return — raising new questions about transparency, pricing and regulation.
At the same time, insurers’ warnings highlight a real tension: pushing premiums down too far could reduce availability in high-risk areas.
The fight over who should bear the cost — consumers, insurers, or regulators — is likely just beginning.
## State Farm goes to war with California
The Vanderbilt report will sound familiar to those following the escalating war of words between State Farm Insurance and state regulators in California.
The California Department of Insurance on May 4 announced a [major enforcement action](https://www.insurance.ca.gov/0400-news/0100-press-releases/2026/release019-2026.cfm?ref=consumernews.ai) against State Farm after an investigation uncovered what it said was “significant mishandling of insurance claims” filed by survivors of the 2025 Los Angeles wildfires.
Acting on consumer complaints, Insurance Commissioner Ricardo Lara ordered an examination that he said documented a pattern of unlawful behavior in more than half of the claims reviewed.
State Farm policyholders filed approximately 11,300 residential claims related to the Los Angeles wildfires, nearly one-third of the 38,835 claims filed across all insurers, according to the department’s official claims tracker. The violations identified by the department indicate that thousands of survivors may have been affected.
The department’s enforcement action seeksmillions of dollars in penalties, considered the largest amount pursued this century following a wildfire disaster. In addition to penalties, the department is requiring State Farm to take corrective actions to speed up payments and resolve outstanding claims.
State Farm responded angrily.
“The threat to suspend State Farm General’s ability to serve customers over primarily administrative and procedural errors is a reckless, politically motivated attack that could ultimately cripple California’s homeowners insurance market,” the insurance giant, which insures over a million in California, [said](https://finance.yahoo.com/sectors/healthcare/articles/state-farm-launches-war-california-204433520.html?ref=consumernews.ai).
“We reject any suggestion that State Farm engaged in a general practice of mishandling or intentionally underpaying wildfire claims, and we will respond through the process,” the statement added.
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### New Mexico seeks $3.7B, platform overhaul in youth harm trial against Meta Platforms
URL: https://www.consumernews.ai/new-mexico-seeks-37b-platform-overhaul/
Last updated: 2026-06-19T19:16:13.000Z
New Mexico is asking a state judge to order sweeping changes to social media and impose billions in penalties on Meta Platforms, escalating one of the most closely watched youth-harm cases in the country.
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In opening statements Monday, lawyers for the state urged the court to declare Meta’s platforms a “public nuisance,” impose State asks judge to declare Facebook, Instagram and WhatsApp a “public nuisance,” impose a $3.7 billion in damages and order major product redesigns affecting young users on Facebook, Instagram and WhatsApp, [Reuters reported](https://www.reuters.com/legal/government/meta-faces-new-mexico-trial-that-could-force-changes-facebook-other-platforms-2026-05-02/?ref=consumernews.ai).
“Across the country, children are begging for help,” said attorney David Ackerman, arguing the platforms have contributed to a worsening youth mental health crisis.
### Second phase after jury verdict
The trial marks the second phase of a lawsuit brought by New Mexico Attorney General Raúl Torrez.
- In March, a jury found Meta violated state consumer protection laws
- The [jury awarded](https://www.theoutragedconsumer.com/p/jury-slaps-meta-with-375-million?utm%5Fsource=publication-search) $375 million in damages
- Meta has said it plans to appeal
Now, the judge — Bryan Biedscheid — will decide whether the company’s conduct rises to the level of a public nuisance, a legal finding that could unlock broader remedies.
### What the state wants
New Mexico is pushing for structural changes to how social media works for minors, including:
- Age verification requirements
- Algorithm changes to prioritize “quality” content
- Ending autoplay and infinite scroll for young users
State lawyers argue these features are deliberately designed to keep kids engaged — and potentially addicted — while exposing them to harmful content, including sexual exploitation risks.
### Meta: ‘This is regulatory overreach’
Meta pushed back, arguing the case stretches public nuisance law beyond its limits.
Attorney Alex Parkinson told the court the state is trying to regulate product design through the judiciary rather than the legislature.
“If social media is a public nuisance, then so is alcohol… cell phones… supermarkets,” Parkinson said.
He warned the requested changes could make it “untenable” for the company to operate in New Mexico.
### Why this case matters
The lawsuit is part of a broader wave of litigation targeting social media companies over youth harm.
Public nuisance claims — once used for pollution or public safety hazards — are increasingly being applied to:
- Tobacco
- Opioids
- Vaping
- Climate-related harms
A ruling against Meta could:
- Open the door to similar claims nationwide
- Force industry-wide design changes
- Accelerate federal or state regulation of social media
Meta has already warned investors that growing legal and regulatory pressure in the U.S. and Europe could significantly affect its business.
### What this means for consumers (and parents)
If the state prevails, users — especially families — could see:
- Less addictive design features for teens
- More guardrails around harmful content
- Stronger age verification systems
But critics warn changes could also:
- Limit platform functionality
- Trigger patchwork rules by state
- Shift decisions about online design from lawmakers to courts
### The bottom line
> New Mexico’s case could redefine how courts treat social media — not just as platforms, but as products with public health consequences.
If the judge agrees that Meta’s apps constitute a public nuisance, it would mark a major legal turning point — one that could reshape how tech companies design their products for millions of young users.
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### GLP-1 may protect against heart attacks and strokes, UK study finds
URL: https://www.consumernews.ai/glp-1-may-protect-against-heart-attacks/
Last updated: 2026-07-04T17:01:44.000Z
Everybody knows by now that [GLP-1 drugs](https://www.theoutragedconsumer.com/p/microdosing-glp-1-too-little-of-a?utm%5Fsource=publication-search) — you know, Ozempic, Wegovy, Mounjaro and Zepbound — can help you lose weight but what about side effects? There’ve been some reports of such relatively minor effects as stomach upset and dry skin but is there anything good to report?
Well, there may be. New research has shown that GLP‑1 drugs deliver protection against heart attacks, strokes and premature death over a sustained period of time. Om the other hand, there may be a psychological cost for women losing weight with the drugs, as a Georgetown study found recently.
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Emerging studies are also finding some apparent benefits for [slowing Alzheimer’s disease](https://www.eurekalert.org/news-releases/1125458?ref=consumernews.ai) through the use of GLP-1 drugs.
It’s an important question since more than 100 million people in America are clinically eligible to use GLP-1 medications and about 18% of U.S. adults are currently using or have previously used a GLP-1 drug.
[GLP-1 Lawsuit & News Tracker: Ozempic, Wegovy, Mounjaro, Zepbound, TrulicityThe GLP-1 family of drugs might be the biggest thing since AI. There have been unexpected benefits and about as many unexpected problems.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/glp-1-lawsuit-news-tracker-ozempic-wegovy-mounjaro-zepbound-trulicity/)
### Cardiovascular effects
Researchers from [Anglia Ruskin University](https://www.aru.ac.uk/?ref=consumernews.ai) (ARU) in the UK analyzed data from more than 90,000 patients enrolled in large-scale international studies and found that people given GLP‑1 were significantly less likely to suffer heart attacks and other major cardiovascular events than those given a placebo.
The [review of 11 major cardiovascular outcome trials](https://link.springer.com/article/10.1186/s40842-026-00295-3?ref=consumernews.ai), published in the journal *Cardiovascular Diabetology – Endocrinology Reports* showed treatment with GLP‑1 reduced the risk of major cardiovascular events, such as heart attack, stroke and cardiovascular death, by approximately 13% compared with placebo over an average follow‑up of almost three years.
The research is significant because it has focused on the long-term benefits of the drug — only studies with a minimum of one year follow-up were considered. The results are also independent of whether or not a patient is diabetic.
Patients taking the drugs were also less likely to die from any cause, and experienced lower rates of non‑fatal heart attacks, non‑fatal strokes and hospital admissions for heart failure.
The benefits were seen in people already at high cardiovascular risk, including those with type 2 diabetes, obesity or existing heart disease.
### No serious safety concerns
The review found no meaningful increase in serious safety concerns, such as severe hypoglycemia or acute pancreatitis, compared with placebo. Gastrointestinal side effects, including nausea and vomiting, were more common, but are already well recognized.
“This is the most comprehensive review to date of long‑term cardiovascular outcome trials for GLP‑1 receptor agonists. We know that one of the factors that weighs on people’s minds when considering going onto these drugs is the potential long-term side effects, said lead author [Dr Simon Cork](https://www.aru.ac.uk/people/simon-cork?ref=consumernews.ai).
“Our results show that, when taken over a prolonged period of at least one year, these medications do much more than help control blood sugar or weight. They significantly reduce the risk of heart attacks, strokes and premature death in people who are already vulnerable,” he said.
### Women may be judged more harshly
But while the physical effects may be positive for many users, a new study finds that women who lost weight using GLP-1 medications were judged more harshly than those who lost weight through diet and exercise, with negative reactions driven largely by beliefs that medication-assisted weight loss is a “shortcut.”
The study also found higher levels of stigma when the women in sample scenarios were portrayed as white rather than Black.
The findings, [published April 9](https://psycnet.apa.org/doiLanding?doi=10.1037%2Fsah0000689&ref=consumernews.ai) in the American Psychological Association’s journal Stigma & Health, highlight how social narratives about “acceptable” weight loss strategies can shape attitudes toward women with obesity, even when the weight loss is clinically significant.
“GLP-1 medications can offer meaningful health benefits for people with obesity, but many patients report feeling shame and guilt for using them,” said social psychologist Stacy Post, PhD.
“Our results show that the ‘easy way out’ perception does more than spark casual criticism. It can translate into measurable stigma, including fat phobia and a desire for social distance.”
For the study, Post and her colleagues recruited 402 U.S. women ages 30 to 49 who identified as Black or white and who also reported being overweight or having obesity. Participants were randomly assigned to read a brief vignette about a woman named Evette who lost 15% of her body weight either through diet and exercise or with a GLP-1 medication.
Evette was depicted as either Black or white using a photo paired with the vignette. The images of Evette were pre-tested to ensure there were no perceptual differences between the two women.
Participants then rated Evette on multiple stigma-related dimensions, including fat phobia, dislike, blame, and desire for social distance, and reported whether they believed she took a weight loss “shortcut.”
Stigma was higher when Evette lost weight with a GLP-1 medication rather than diet and exercise. The researchers found that “shortcut” beliefs were a key driver: perceiving GLP-1–assisted weight loss as an easy way out predicted higher fat phobia, greater dislike, more blame, and more desire for social distance.
### More stigma for white women
Unexpectedly, stigma was also higher when Evette was portrayed as a white woman rather than a Black woman. When Evette was portrayed as white and as losing weight with a GLP-1, participants were more likely to endorse shortcut beliefs, which predicted greater stigma.
Interestingly, the race of study participants did not significantly influence stigma outcomes when Evette lost weight with a GLP-1, suggesting that assumptions about GLP-1s as a shortcut may operate similarly across groups.
Weight stigma is associated with harmful health outcomes, including stress, depression and anxiety symptoms, and negative health behaviors. Post and her colleagues say stigma related to GLP-1 medications may discourage people from seeking evidence-based care or may intensify shame for those already managing a chronic condition.
“Having obesity carries many health challenges including increased risk of cancer, diabetes and heart disease,” said Post. “Treatment decisions should be guided by health, not judgments about how someone manages their weight.”
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### Crowd tries to buy Spirit out of bankruptcy — but airline history suggests a steep climb
URL: https://www.consumernews.ai/crowd-tries-to-buy-spirit-out-of/
Last updated: 2026-06-19T19:16:15.000Z
### What’s happening - and what’s not
After Spirit Airlines abruptly shut down on May 2, 2026, a viral campaign — “Let’s Buy Spirit” — is pitching a radical idea:
> Turn the failed airline into a crowd-owned cooperative, funded by small contributions from travelers.
The pitch taps into a real gap in the market. Spirit was the largest ultra-low-cost carrier in the U.S., and its disappearance removes a key source of cheap fares — especially on leisure routes.
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But the airline didn’t just stumble — it collapsed after years of losses, two bankruptcies, failed mergers, and a last-ditch bailout that never materialized.
### The bigger picture: airline bankruptcies are common — shutdowns are not
U.S. aviation has a long history of bankruptcy, but most airlines don’t disappear — they restructure or merge.
**Major examples:**
- United Airlines — Chapter 11 (2002–2006), emerged stronger
- Delta Air Lines — Chapter 11 (2005–2007), restructured and expanded
- US Airways — two bankruptcies before merging with American
- Trans World Airlines — bankruptcy led to acquisition by American Airlines
Even in recent years:
- Regional carriers like Ravn Alaska and others have filed and disappeared or been absorbed. Donald Trump “saved” the Eastern Shuttle in 1989 but it ceased operations in 1992 and was eventually absorbed by USAir.
> 👉 The key takeaway:
> Bankruptcy is normal. Total liquidation — what just happened to Spirit — is rare
### When airlines fail, billionaires — not crowds — usually step in
Historically, airline rescues have required deep-pocketed investors, not small contributors.
Examples of billionaire/major-capital interventions:
- Richard Branson
- Built Virgin Atlantic with substantial private backing
- Later relied on government-backed rescue financing during crises
- David Neeleman
- Founded or backed multiple airlines including JetBlue and Breeze Airways
- Carl Icahn
- Took stakes in distressed airlines in past cycles, pushing restructurings
- Private equity and hedge funds
- Routinely provide debtor-in-possession (DIP) financing during bankruptcies
- Often end up owning the reorganized airline
Even Spirit itself explored traditional rescue paths:
- merger attempts with Frontier and JetBlue (blocked)
- a proposed government-backed bailout that collapsed ([Reuters](https://www.reuters.com/legal/litigation/spirit-airlines-says-it-has-no-choice-liquidate-operations-2026-05-04/?utm%5Fsource=chatgpt.com))
> 👉 In other words:
> Airlines typically require hundreds of millions to billions in capital, not grassroots pledges.
### Why the “buy Spirit” idea is so difficult
**1) Scale problem**
Spirit once had:
- 100+ aircraft
- tens of thousands of employees
- billions in debt obligations
Even a stripped-down restart would require massive capital and regulatory approval.
**2) Asset competition**
Other airlines are already positioned to scoop up:
- planes
- airport slots
- routes
**3) Regulatory barriers**
- FAA certification
- DOT approvals
- bankruptcy court oversight
**4) Timing**
Spirit is already liquidating quickly to repay creditors, not holding a long auction process
### Affordability Watch: What consumers lose if Spirit stays gone
Spirit’s impact went beyond its own passengers.
- Its ultra-low fares forced competitors to match prices
- Without it, fares are already rising on some routes
- Fewer low-cost options =
- higher baseline ticket prices
- fewer “budget” travel opportunities
**Translation:** Even travelers who never flew Spirit may soon pay more.
### Could a consumer-owned airline actually work?
There are precedents for fan-owned or cooperative models (like the Green Bay Packers), but none in modern U.S. aviation at scale.
To succeed, a “Spirit 2.0” would need:
- institutional investors (not just small donors)
- experienced airline leadership
- regulatory approval and operating certificates
- a radically different cost structure
### What this means
The crowd-buy movement reflects something real:
**Consumers want cheaper flights — and fewer dominant carriers.**
But airline history is blunt:
> **Airlines are capital-intensive, heavily regulated, and brutally competitive.**
That’s why past bankruptcies have been resolved by:
- mergers
- hedge funds
- billionaires
—not the crowd.
## Bottom line
The “Let’s Buy Spirit” campaign is a fascinating test of consumer power — and a sign of frustration with rising travel costs.
But if history is any guide, the most likely outcome is still the traditional one:
👉 **Spirit’s pieces get sold off — and the industry consolidates further.**
**Translation: Don’t put any money in the Spirit 2.0 dream. It will go the way of all dreams. Away.**
## Data Box: The “Spirit effect” on airfares
**Before Spirit exits a route (typical impact):**
- Fares run **\~14% lower** on routes where Spirit operates, according to [FOX 13 Tampa Bay](https://www.fox13news.com/news/spirit-airlines-collapse-could-drive-up-airfare-across-u-s?utm%5Fsource=chatgpt.com)
- Ultra-low fares often act as a **price ceiling**, forcing legacy airlines to match or discount, [WRAL News](https://www.wral.com/news/ap/spirit-airlines-shutdown-what-to-know-may-2026/?utm%5Fsource=chatgpt.com) reports
**After Spirit exits (historical data):**
- Average fares rise **\~14% (+$19 one-way)** on affected routes, said [Business Insider](https://www.businessinsider.com/airfare-data-ticket-prices-could-jump-14-if-spirit-collapses-2026-4?utm%5Fsource=chatgpt.com)
- In some cases, fares jump **23% (+\~$60 round trip),** [CBS News](https://www.cbsnews.com/news/spirit-airlines-tickets-flghts-shutting-down-impact/?utm%5Fsource=chatgpt.com) found
- Passenger traffic can fall **\~20%** after exit
**Extreme route examples (post-exit spikes):**
- Some routes have seen **fares double or more** after Spirit leaves, per [Business Insider](https://www.businessinsider.com/airfare-data-ticket-prices-could-jump-14-if-spirit-collapses-2026-4?utm%5Fsource=chatgpt.com)
### What’s happening right now (post-shutdown signals)
- Airlines are already gaining pricing power after Spirit’s collapse
- Fares are rising heading into summer travel season
- Experts warn some routes could see 15–20% increases without a low-cost competitor
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### Google to pay $700 million, loosen app store rules in antitrust settlement
URL: https://www.consumernews.ai/google-to-pay-700-million-loosen/
Last updated: 2026-06-19T19:16:15.000Z
### What the settlement does
A federal court has signaled it will approve a sweeping settlement requiring Google to overhaul key parts of how its Google Play Store operates.
Under the agreement, Google must:
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- Allow app developers to use alternative payment systems for at least five years.
- Let developers steer users to lower prices outside Google’s billing system.
- Permit apps to be listed on competing app stores without retaliation.
- Allow Android users to download apps outside the Play Store (so-called sideloading) for at least seven years.
The changes target longstanding complaints that Google charged commissions of up to 30% on in-app transactions and restricted competition.
### Payouts to consumers
Most of the $700 million settlement will go directly to consumers who made purchases on the Play Store between August 2016 and September 2023.
- Many users are expected to receive payments automatically via PayPal or Venmo.
- Those without those services can file a claim through a separate process.
Officials said the goal is to streamline payouts and avoid burdensome claims paperwork.
### What officials are saying
Illinois Attorney General Kwame Raoul called the deal a win for consumers and competition.
> “This settlement will provide relief to impacted consumers while ensuring Google takes concrete steps to prevent future anticompetitive conduct,” he [said](https://illinoisattorneygeneral.gov/news/story/attorney-general-raoul-secures-final-approval-in-700-million-google-settlement-over-app-store-monopoly?ref=consumernews.ai).
The bipartisan coalition included attorneys general from all 50 states, the District of Columbia, and U.S. territories.
### Why this matters (Affordability Watch)
The case zeroes in on how digital gatekeepers can influence prices:
- App prices and subscriptions: Developers often pass platform fees on to users.
- Limited payment choices: Restrictions can prevent cheaper alternatives.
- Market competition: Fewer competitors can mean higher prices and less innovation.
By opening the ecosystem, regulators aim to put downward pressure on app costs and expand consumer choice.
### What consumers should do
- Watch for payments: Check PayPal, Venmo, or email notices tied to your Google account.
- Verify eligibility: If you made Play Store purchases during the covered period, you may qualify.
- Be scam-aware: Only use official settlement communications—avoid unsolicited messages asking for personal or payment information.
### The bigger picture
The case adds to mounting scrutiny of dominant tech platforms and their control over digital marketplaces. Alongside similar actions involving Apple and others, regulators are increasingly targeting app store fees, payment rules, and platform gatekeeping as potential drivers of higher consumer costs.
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### Purdue Pharma shut down as opioid settlement takes effect, new nonprofit takes over
URL: https://www.consumernews.ai/purdue-pharma-shut-down-as-opioid/
Last updated: 2026-06-19T19:16:15.000Z
### A long-running opioid giant is dismantled
The maker of OxyContin is no more.
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[Purdue Pharma](https://www.purduepharma.com/restructure/?utm%5Fsource=chatgpt.com) has shut down and ceased operations under a bankruptcy plan backed by a bipartisan coalition of attorneys general, marking a major milestone in efforts to hold the company accountable for its role in the U.S. opioid crisis.
New York Attorney General Letitia James [said in a press release](https://ag.ny.gov/press-release/2026/attorney-general-james-announces-shutdown-opioid-manufacturer-purdue-pharma?ref=consumernews.ai) that the move ends decades of Sackler family control over the company.
> “This company that put profits over people for decades is now shut down forever,” James said.
The shutdown follows criminal sentencing in federal court tied to [Purdue’s conduct](https://en.wikipedia.org/wiki/Purdue%5FPharma?ref=consumernews.ai) in marketing opioids.
### What replaces Purdue
In its place, a new entity — [Knoa Pharma, LLC](https://knoapharma.com/?ref=consumernews.ai) — begins operations immediately.
Key differences:
- Owned entirely by a nonprofit, the Knoa Foundation
- Governed by independent directors and trustees with no ties to Purdue
- Subject to court-ordered oversight and an independent monitor
- Banned from marketing opioids or lobbying
- Cannot tie executive pay to opioid sales
Former Montana governor and attorney general [Steve Bullock](https://en.wikipedia.org/wiki/Steve%5FBullock%5F%28American%5Fpolitician%29?ref=consumernews.ai) will oversee compliance.
Knoa Pharma will continue manufacturing medications — including opioids — but under tighter public-health-focused controls.
### The money: $7.4 billion over time
The restructuring is tied to a sweeping $7.4 billion settlement with the Sackler family and Purdue.
Payment schedule includes:
- $900 million from Purdue (initial)
- $1.5 billion from the Sacklers (initial)
- $500 million in 2027
- $500 million in 2028
- $400 million in 2029
Funds will flow to state, local, and tribal governments over 15 years for:
- Addiction treatment
- Prevention programs
- Recovery services
### Where the money goes
After covering operating costs, Knoa Pharma’s excess revenue will also be distributed to governments and the nonprofit foundation to support opioid abatement.
New York alone is set to receive more than $3 billion across multiple opioid-related settlements secured by the attorney general’s office.
Those deals include manufacturers such as Johnson & Johnson and Teva Pharmaceuticals, distributors like McKesson, and retailers including CVS, Walgreens, and Walmart.
### What this means for consumers
**The bottom line:** The company most associated with the opioid epidemic is gone — but opioids themselves are not.
**What changes:**
- No more Purdue brand or Sackler involvement in opioid sales
- New limits on how opioid drugs can be marketed and sold
- Billions in funding aimed at treatment and prevention
**What doesn’t:**
- Opioid medications will still be prescribed and manufactured
- Oversight depends on enforcement of court-ordered restrictions
### Affordability Watch
The settlement could ease some long-term public costs of the opioid crisis — but its impact will depend on how effectively funds are used.
State and local governments now face pressure to:
- Direct funds to evidence-based treatment
- Expand access to addiction care
- Prevent misuse through education and monitoring
Advocates have warned in past settlements that misuse of funds — or delays in spending — can blunt the real-world impact.
### The bigger picture
The dismantling of Purdue Pharma represents one of the most significant corporate reckonings tied to a public health crisis in U.S. history.
But officials acknowledge it’s only one step.
> As James put it: nothing can fully undo the damage — but ending Purdue’s operations marks a turning point in how the opioid crisis is addressed and funded going forward.
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### Livestream shopping boom sparks spending concerns as Whatnot surges
URL: https://www.consumernews.ai/livestream-shopping-boom-sparks-spending/
Last updated: 2026-06-19T19:16:16.000Z
### A shopping app built for speed—and impulse
A new generation of livestream shopping apps is gaining traction in the U.S., with Whatnot emerging as a breakout player by turning online buying into a rapid-fire auction experience.
On the platform, sellers stream live video while pitching products — from beauty items to collectibles — prompting viewers to bid in auctions that can close in seconds. The format creates a sense of urgency that many users say is hard to resist.
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For some, the result is a mix of deals and regret. Shoppers describe accumulating piles of unused products and spending far more than intended, drawn in by the quick-hit excitement of winning auctions and scoring perceived bargains.
### From niche startup to $11.5B platform
Founded in 2019, Whatnot initially focused on collectibles before pivoting to livestream auctions during the pandemic. The shift helped fuel rapid growth:
- Roughly $8 billion in sales in 2025, up from $3 billion a year earlier
- More than 5 million listings per day
- Valued at about $11.5 billion after its latest funding round
- Among the top-downloaded U.S. shopping apps, rivaling Amazon and eBay
The company takes a cut of each transaction and earns additional revenue from seller services.
Livestream shopping remains far more established overseas — especially in China, where it accounted for about 60% of e-commerce in 2024, compared with roughly 5% in the U.S., according to [Bloomberg News](https://www.bloomberg.com/news/articles/2026-05-04/livestream-shopping-app-whatnot-cracks-code-to-us-market?ref=consumernews.ai).
### Sellers thrive — but barriers fall
The model has created new income streams for small sellers, some of whom report tens of thousands of dollars in annual revenue and rapidly growing businesses.
At the same time, longtime users say the platform has lowered entry barriers as it scales, raising concerns about inconsistent product quality and seller vetting. The company says it verifies sellers and bans tens of thousands of accounts weekly, while expanding its trust and safety team.
### The psychology: “So easy, so social”
Experts say the platform’s design mirrors features long criticized in social media—and even gambling.
The combination of:
- real-time competition
- social interaction
- one-tap purchasing
can encourage impulsive decisions, according to digital media researchers.
Users report:
- bidding wars that escalate faster than expected
- accidental purchases due to one-swipe checkout
- difficulty tracking cumulative spending
While sellers sometimes reverse mistaken transactions, refunds are not guaranteed under platform rules.
### Gambling concerns and legal scrutiny
Some of the sharpest criticism centers on “breaks,” a popular auction format in trading card categories where buyers pay for a chance to receive valuable items—introducing an element of randomness.
Consumer attorneys have argued in arbitration filings that such mechanics resemble unregulated lotteries or casino-style systems. The company disputes that characterization, saying gambling is not allowed and that only a small share of sellers host such events.
### Real-world fallout for users
For some shoppers, the consequences are significant.
Users interviewed described:
- thousands of dollars spent on unwanted goods
- tens of thousands in debt tied to repeated bidding
- difficulty disengaging from the platform despite losses
Even those who recognize the risks say they continue to return, underscoring the app’s pull.
### What the company says
Whatnot says it is aware of concerns about compulsive spending and has introduced tools such as:
- spending and time-tracking dashboards
- self-imposed purchase limits
The company maintains that product quality and safety enforcement have kept pace with growth, citing increased user feedback and monitoring systems.
### **What this means for consumers**
Livestream shopping is poised to expand rapidly in the U.S.—but it brings a new set of risks that blur the line between entertainment and spending.
**Watch for:**
- **Impulse traps:** Fast auctions leave little time to compare prices
- **“Deal illusion”:** Discounts may feel bigger than they are
- **One-tap spending:** Frictionless checkout can lead to accidental buys
- **Addictive design cues:** Competition and social interaction can amplify spending
> **Bottom line:** The format may be fun—but consumers should treat livestream auctions less like shopping and more like a high-speed game where the house often has the edge.
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### Supreme Court lifts ban on mail-order and online mifepristone
URL: https://www.consumernews.ai/supreme-court-lifts-ban-on-mail-order/
Last updated: 2026-06-19T19:16:16.000Z
The U.S. Supreme Court on has temporarily lifted a ban on telehealth access to the abortion medication mifepristone, pausing a [lower-court order](https://www.theoutragedconsumer.com/p/appeals-court-blocks-mailing-of-abortion?ref=consumernews.ai) that had blocked by-mail and remote prescriptions.
Justice Samuel A. Alito penned the brief order, which had been issued last weekend by the Fifth U.S. Circuit Court of Appeals in New Orleans. His one-sentence ordered pauses that action until at least May 11.
Attorneys for the parties are asked to file briefs by Thursday. The full court will then decide how to proceed.
The Fifth Circuit’s ruling came in response to a lawsuit filed by the state of Louisiana against the Food and Drug Administration, saying the availability of the medication by mail has allowed abortions to continue in the state despite its near-total ban.
[Read the original story about the ban.](https://www.theoutragedconsumer.com/p/appeals-court-blocks-mailing-of-abortion?ref=consumernews.ai)
## States had urged a stay of the Fifth Circuit’s order
New York Attorney General Letitia James today led a coalition of 21 other states and the District of Columbia in urging the U.S. Supreme Court to stay the mifepristone ruling.
In [an amicus brief filed with the Supreme Court](https://ag.ny.gov/sites/default/files/amicus-curiae/danco-laboratories-llc-v-lousiana-et-al-amicus-brief-2026.pdf?ref=consumernews.ai), Attorney General James and the coalition argue that the Fifth Circuit’s ruling is not supported by science, would create regulatory and administrative chaos nationwide, and would interfere with states’ ability to protect access to reproductive health care within their borders. They are calling on the Court to stay the lower court’s order and prevent these restrictions from taking effect.
“Forcing patients to obtain mifepristone in person will not make anyone safer, and it will not stop people from needing abortions,” said James, in a news release.“Every unnecessary restriction on abortion care has a human cost. It is paid by the patient who now must drive hundreds of miles, the mother who cannot find child care, the worker who cannot lose a day’s pay, and every person whose health is put at risk by delayed care. The Supreme Court must follow the science and stop this dangerous rollback of reproductive freedom.”
## 75 million people
Mifepristone, when used in combination with misoprostol, is the standard medication used to terminate a pregnancy through 10 weeks. Since the U.S. Food and Drug Administration (FDA) approved mifepristone in 2000, an estimated 7.5 million people in the United States have used the medication safely.
Medication abortion now accounts for 63 percent of all abortions in the formal U.S. health care system, with approximately one in four abortions provided via telehealth. Studies have consistently found mifepristone to be safe and effective.
In 2023, after extensive review, the FDA eliminated the in-person dispensing requirement for mifepristone as medically unnecessary. That decision followed years of evidence, including during the COVID-19 pandemic, showing that mifepristone could be safely provided without requiring patients to appear in person.
The FDA’s action allowed providers to offer mifepristone through telehealth and enabled patients to obtain the medication through certified mail-order pharmacies and other approved channels, expanding access for patients who face significant barriers to in-person care.
## Rural, underserved communities hard hit
Attorney General James and the coalition argue that reinstating the in-person dispensing requirement would vastly curtail telehealth access to mifepristone, forcing patients to rely on more difficult alternatives or travel for in-person care.
Telehealth has become an increasingly important way for patients to access abortion care, with the share of abortions provided through telemedicine growing from five percent in 2022 to 27 percent in 2025\. The coalition warns that the Fifth Circuit’s ruling would hit hardest in rural and underserved communities, and for patients who cannot afford to miss work, arrange child care, pay for travel, or navigate long distances to reach a clinic.
The brief also argues that the ruling would disrupt care in states like New York, where abortion remains legal and protected.
Since the Supreme Court’s decision in *Dobbs v. Jackson Women’s Health Organization*, clinics in states that protect abortion access have faced increased demand from both in-state and out-of-state patients.
By forcing more patients to seek in-person care, the Fifth Circuit’s ruling would place new strain on clinics and health care systems that are already stretched, potentially delaying access not only to abortion care but also to other essential health services, including prenatal care, family planning, cancer screenings, and testing and treatment for sexually transmitted infections, James said.
The Fifth Circuit “has placed a federal thumb on the scale in favor of states that have made contrary policy choices, but that is the exact opposite of what \[the Supreme\] Court directed in *Dobbs*.”
Joining Attorney General James in filing today’s brief are the attorneys general of Arizona, California, Colorado, Connecticut, Delaware, Hawaii, Illinois, Maryland, Massachusetts, Michigan, Minnesota, Nevada, New Jersey, New Mexico, North Carolina, Oregon, Rhode Island, Vermont, Virginia, Washington, and the District of Columbia, as well as the Governor of Pennsylvania.
### Looking for an escape? An escape room might be just the thing
URL: https://www.consumernews.ai/looking-for-an-escape-an-escape-room/
Last updated: 2026-06-19T19:16:17.000Z
Beau the dog and I have been puzzled lately. On our morning walks, we’ve been coming across a business in a strip mall claiming to be an “escape room.” I thought that was a fortified room where billionaires could hide out if angered consumers stormed their castle.
But it turns out — you probably knows this already — it’s sort of an indoor amusement park, where you’re placed in a story scenario (e.g., a prison break, haunted house, spy mission, bank heist) and challenged to find a way out in 60 minutes or so.
“Yeah, it’s basically the real life version of Facebook,” one youngish adult said when I asked him about it. “It’s like an adult scavenger hunt,” another said. “What, are old people just finding out about this?” I didn’t think that last question deserved an answer.
As far as we could tell, escape rooms aren’t generating tons of consumer complaints, although [scattered Redditors](https://www.reddit.com/r/escaperooms/comments/186y4wx/what%5Fmakes%5Fa%5Fbad%5Fescape%5Froom/?ref=consumernews.ai) say some games are too hard. The few problems reported center around claustrophobia and other psychological reactions, while people with mobility issues say they have trouble keeping up in many of the scenarios.
People form teams to tackle each challenge and must “escape” to win. They’re becoming popular with employers as team-building exercises and often play a part in birthday parties and other observances.
### Looking for an escape?
An afternoon or evening in an escape room falls slightly on the higher end when it comes to the price of admission — about the same as axe-throwing, quite a bit less than a concert.
There are about 2,000 escape rooms in the U.S. and the segment has been growing steadily if a bit slowly. Like everything from veterinary offices to car washes, small operators are being steadily squeezed out by bigger national players and franchises. This is often a prelude to higher prices so if you feel the need to escape, it might be best to do it now.
# Data Box: Escape room industry snapshot
**Market size**
- U.S.: \~**$300 million annually**
- Global: **$10B–$12B** (wide estimates depending on definition)
**Growth**
- Global: **\~13%–15% annually**
- U.S.: **\~10% annually**
**Footprint**
- \~**2,000 venues** in the U.S.
- **50,000+ venues worldwide**
**Usage**
- \~**28% of Americans** have tried one
- Typical group: **4–6 players**
- \~**40,000 bookings/week** in the U.S.
**Customer mix**
- Largest revenue driver: **corporate/team-building groups**
- Core audience: **ages 18–34**
**Typical pricing**
- **$25–$50 per person**
- \~$**100–$200 per group booking**
### Prediction markets pitched as side hustle — but most traders are losing money
URL: https://www.consumernews.ai/prediction-markets-pitched-as-side/
Last updated: 2026-06-19T19:16:17.000Z
[Prediction markets](https://www.theoutragedconsumer.com/p/prediction-markets-like-kalshi-are?utm%5Fsource=publication-search) are exploding in popularity as a supposed side hustle for cash-strapped Americans. But new data suggest the reality looks a lot more like gambling — and most people are losing.
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An analysis of blockchain data from Polymarket, one of the largest event-betting platforms, found that the vast majority of users are in the red. Since January 2025, more than 100,000 accounts lost at least $1,000 — almost twice as many as those who made that much, a [Bloomberg News analysis ](https://www.bloomberg.com/news/articles/2026-04-28/most-prediction-market-traders-are-losing-money-while-bots-rack-up-gains?cmpid=BBD050326%5FSUNNL&utm%5Fcampaign=sundaynl&utm%5Fmedium=email&utm%5Fsource=newsletter&utm%5Fterm=260503&utm%5Fcontent=4086)found.
Even among the roughly two million active wallets, nearly half made or lost less than $10, suggesting many users are dabbling. Still, most ended up losing money.
## A market dominated by bots
The biggest winners weren’t casual traders — they were highly active, bot-like accounts.
Researchers found a small group of high-frequency traders accounted for most of the activity and profits. These accounts executed dozens — sometimes hundreds — of trades per day and collectively netted about $131 million.
By contrast, everyday users — trading far less frequently — lost roughly the same amount in aggregate.
“What looks like peer-to-peer betting is increasingly dominated by sophisticated players,” said researchers analyzing the data.
## Even correct bets can lose money
One of the more surprising findings: retail traders often picked the right outcome — but still lost money.
Why? Timing.
Less experienced users tended to enter markets late, buying at worse prices. Meanwhile, high-frequency traders got in early and locked in better odds.
“The execution edge is an underrated aspect of trading,” said Joshua Della Vedova, who studied the data, Bloomberg reported.
That means even being right isn’t enough — you also have to trade like a professional.
## A familiar pattern in a new market
The results mirror long-standing research on retail investors in stocks and crypto, where a small percentage of traders capture most gains.
A study co-authored by Charles Martineau found about 69% of Polymarket users have lost money since 2022, while the top 1% captured roughly three-quarters of all profits.
Unlike stocks, however, prediction markets come with a sharper downside: if you’re wrong, you can lose 100% of your bet.
## Affordability watch: “Not a rent strategy”
Despite the hype on social media, experts say prediction markets are a risky way to try to make extra income — especially for younger users facing high rent and student debt.
Profitable traders tend to have capital, discipline, and clearly defined strategies — not the profile of someone looking for quick cash.
## Data box: Prediction markets by the numbers
- **100,000+** accounts lost at least $1,000 since Jan. 2025
- **\~2x more losers than winners** at that threshold
- **$131 million**: total net losses by everyday traders
- **$131 million**: total net gains by high-frequency traders
- **69%**: share of users who’ve lost money since 2022
- **Top 1%**: captured \~75% of profits
- **Up to 100% loss** on a single bad bet
## What this means for consumers
Prediction markets may look like investing — but they behave more like a high-speed trading arena where experienced players have the edge.
For most users, the data show:
- You’re competing against bots and pros
- Being right isn’t enough — price and timing matter
- Losses can be total, not partial
In other words, what’s marketed as a side hustle may function more like a casino — one where the house isn’t a company, but a handful of sophisticated traders.
## Quick checklist: before you “trade the news”
- Treat prediction markets like **gambling, not income**
- Never risk money you **can’t afford to lose بالكامل**
- Watch out for **“easy money” claims on social media**
- Understand that **high-frequency traders dominate pricing**
- Remember: **most users lose — even when they’re right**
> **Bottom line:** Prediction markets are growing fast — but for most participants, they’re not a path to extra income. They’re a fast-moving, high-risk environment where a few players win big and the majority quietly lose.
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### Consumer groups warn heavier trucks could shift billions in road costs to drivers, taxpayers
URL: https://www.consumernews.ai/consumer-groups-warn-heavier-trucks/
Last updated: 2026-06-19T19:16:18.000Z
Safety concerns mount as larger trucks require longer stopping distances and may worsen crash severity
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A [coalition](https://nclnet.org/media/press-release/?ref=consumernews.ai) led by the Taxpayers Protection Alliance and the National Consumers League is warning Congress that allowing heavier trucks on U.S. highways could saddle consumers with billions in new costs while increasing safety risks.
In a letter to congressional leaders, the groups urged lawmakers to maintain the current federal limit of 80,000 pounds for truck gross vehicle weight, calling it a “prudent, evidence-based safeguard” for both infrastructure and public safety.
### Heavier trucks, faster road damage
The coalition argues that even modest increases in truck weight could significantly accelerate wear and tear on highways and bridges — infrastructure already strained by age and underfunding.
Research cited in the letter shows a fully loaded 80,000-pound truck can cause as much road damage as thousands of passenger vehicles. Raising weight limits, the groups said, would shorten pavement lifespan and drive up maintenance costs.
Those costs would ultimately fall on taxpayers.
“Raising the cap would accelerate pavement deterioration \[and\] shift billions of dollars in additional repair and reconstruction costs onto consumers and taxpayers,” the letter states.
With governments already spending hundreds of billions annually on transportation infrastructure, the coalition warned that heavier trucks could compound funding shortfalls at the federal, state, and local levels.
### Safety concerns: longer stops, deadlier crashes
Beyond infrastructure, advocates say heavier and longer trucks pose increased safety risks.
Larger vehicles require longer stopping distances, are more difficult to maneuver, and can increase the severity of crashes — particularly for passenger vehicle occupants and first responders.
Groups including AAA, the Consumer Federation of America, and Public Citizen joined the letter, highlighting concerns about a “growing traffic safety crisis” that already costs the U.S. economy hundreds of billions of dollars annually.
### Industry pressure vs. public cost
Proposals to increase truck weight limits have surfaced periodically, often backed by segments of the trucking industry seeking greater efficiency — fewer trips carrying larger loads.
But critics argue those efficiency gains are outweighed by hidden public costs, including infrastructure damage, higher insurance losses, and increased crash risks.
The coalition’s message to Congress is blunt: avoid shifting private-sector benefits onto the public ledger.
### What this means for consumers
- **Higher taxes or fees:** Road repairs tied to heavier trucks could mean higher fuel taxes, tolls, or local taxes
- **Insurance impacts:** More severe crashes can push up auto insurance premiums
- **Road conditions:** Faster deterioration may lead to more potholes, construction delays, and congestion
### Bottom line
At a time of strained infrastructure budgets and rising roadway fatalities, consumer and safety groups are urging lawmakers to keep truck weight limits where they are — warning that bigger rigs could mean bigger bills for everyone else.
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### Dry Farm Wine says it's sugar-free. Is that possible?
URL: https://www.consumernews.ai/dry-farm-wine-says-its-sugar-free/
Last updated: 2026-06-19T19:16:18.000Z
The Outraged Consumer was nosing around the Facebook the other day when he caught the aroma of an advertising claim that seemed too good to be true — a wine claiming to be “sugar free.”
These wines are quite the rage in Napa Valley and other areas frequented by oenophiles and their hangers-on. By the way, [Dry Farm Wines](https://www.dryfarmwines.com/??ref=consumernews.ai) is a brand but just plain old “dry farming” describes a [method of growing grapes](https://www.winespectator.com/articles/what-is-dry-farming-56158?ref=consumernews.ai) without using irrigation.
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We looked into it a bit and it turns out that the “sugar free” claim is technically true but requires some important unpacking. Here’s what’s actually going on.
### The regulatory loophole
Under [FDA rules](https://www.fda.gov/regulatory-information/search-fda-guidance-documents/guidance-industry-and-fda-dear-manufacturer-letter-regarding-sugar-free-claims?ref=consumernews.ai), if a food or drink contains less than 0.5 grams of sugar per serving, the manufacturer can round down to zero and legally claim it is “sugar-free.” Dry Farm Wines exploits this threshold, though they apply a stricter internal standard: the company tests its wines and allows a maximum of 0.15 grams of sugar per glass.
So their wines do contain *some* sugar — just not enough to legally require disclosure, according to Amy Burkhart MD, RD, a doctor who writes [The Celiac MD](https://theceliacmd.com/dry-farm-wine-what-is-it-is-it-really-keto-paleo-low-carb/?ref=consumernews.ai), a website devoted to information about gut health.
### How they achieve very low sugar
The answer lies in [fermentation](https://www.winespectator.com/articles/what-is-dry-farming-56158?ref=consumernews.ai). During fermentation, yeasts convert sugar into alcohol, gradually turning grape juice into wine. With the right fermentation process, the wines can be essentially sugar-free.
Dry Farm Wines (the brand) claims to specifically seek out wines that have fermented fully — meaning nearly all the grape sugar has been converted to alcohol. Each wine is lab-tested to ensure it contains less than 1g/L of sugar, less than 12.5% alcohol, and less than 75 ppm sulfites, according to [The Chalkboard Mag](https://thechalkboardmag.com/sugar-free-wine-dry-farm-wines/?ref=consumernews.ai), a website dealing with nutrition and healthful living.
But there’s a catch that undermines the health halo: it doesn’t matter if wine is sugar-free when measured, because the body converts the alcohol in wine to sugar after you consume it. So while the *residual sugar* in the bottle is negligible, the metabolic effect of alcohol itself isn’t avoided.
### What’s legitimately different
The FDA allows any wine with fewer than 2.5g/L of sugar to be labeled “sugar-free,” and the only way to find truly low-sugar wine is to lab test. Dry Farm Wines says it does actually lab test every bottle, which is more than most wine companies do. And conventional American wines often contain substantially more residual sugar — sometimes several grams per glass — due to incomplete fermentation or deliberate sweetening, Chalkboard says.
Dry-farmed wines are also said to be lower in alcohol content and contains fewer additives than the full-bore varieties.
### Bottom line
The claim is *legally defensible* but *scientifically misleading* in the way that matters most to consumers. The wines are genuinely lower in residual sugar than many commercial alternatives, and the lab-testing process is real. But “sugar free” implies a health benefit that the alcohol content itself undermines — and that’s a marketing sleight of hand worth scrutinizing.
We haven’t tried any dry-farmed wines and we’re neither endorsing nor dissing them. It’s better not to drink at all but you already knew that. Cheers.
##
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### Spirit Airlines collapse strands travelers, scrambles refunds and fares
URL: https://www.consumernews.ai/spirit-airlines-collapse-strands/
Last updated: 2026-06-19T19:16:19.000Z
### Flights halted, passengers stranded
The sudden collapse of Spirit Airlines — the largest U.S. airline failure in years — has triggered widespread disruption, with all flights canceled and customer service offline.
Aviation experts say there’s no standard playbook for airline shutdowns, leaving travelers to navigate a patchwork of options.
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“Each bankruptcy shutdown can differ from the last,” said William McGee of the [American Economic Liberties Project](https://www.economicliberties.us/?ref=consumernews.ai) in a published report.
Some competing carriers, including American Airlines, United Airlines and Frontier Airlines, are expected to add capacity or offer limited “rescue fares.” But these seats are not guaranteed — and often aren’t free.
### Refunds: your best shot may be your credit card
Travelers who booked directly with Spirit using a credit or debit card are expected to receive automatic refunds.
But beyond that, things get murky:
- Booked through a travel agency? You’ll need to go through them
- Paid with points, vouchers or credits? You may have to file a claim in bankruptcy court
- Used travel insurance? Coverage depends on policy fine print
Consumers filing bankruptcy claims face long odds.
“Travelers usually are at the end of the line to see any money,” said Katy Nastro.
> In many cases, requesting a chargeback from your credit card issuer is the fastest and most effective path.
### Prices likely to rise without Spirit’s low fares
For years, Spirit acted as a price disruptor, forcing competitors to match or undercut its rock-bottom fares.
With that pressure gone, analysts expect ticket prices to climb — especially on routes where Spirit was a major player.
Even when airlines offer short-term rescue fares, they tend to be limited and temporary.
### Loyalty points likely lost
Members of Spirit’s Free Spirit program face a harsh reality: their points may now be worthless.
Unlike cash, airline miles aren’t protected assets.
“Millions of dollars in unused miles and points have been rendered useless due to airline shutdowns,” McGee said.
### What about your Spirit credit card?
If you carry a co-branded Spirit credit card, it should continue to work — because it’s issued by Bank of America, not the airline itself.
However:
- Your account could be converted to another card product
- You still owe any outstanding balance
- Rewards tied to Spirit may lose value or disappear
## What this means for consumers
The shutdown highlights the risks of booking with ultra-low-cost carriers — especially when finances are shaky.
Travelers now face a triple hit:
- Immediate disruption (canceled trips, stranded passengers)
- Financial uncertainty (refund delays or losses)
- Higher future costs (less competition, rising fares)
## Quick checklist: what to do now
**If you had a Spirit booking:**
- ✅ Check your email and card statement for automatic refunds
- ✅ File a chargeback with your credit card issuer if needed
- ✅ Contact your travel agent (if applicable)
- ✅ Save all documentation (receipts, confirmations)
- ✅ Look for rescue fares from other airlines
- ✅ Review your travel insurance policy
## Affordability Watch: what happens to fares now?
### **Why ticket prices are likely to rise**
- **Spirit’s role:** A major “price disruptor” forcing competitors to match ultra-low fares
- **Now gone:** Less competition on many domestic routes
- **Short term:** Limited rescue fares (not free, not guaranteed)
- **Long term:** Analysts expect higher baseline ticket prices
**Translation for consumers:**
Even if you weren’t flying Spirit, you may soon pay more — especially on routes where it kept prices low.
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### Appeals court blocks mailing of abortion pill mifepristone, tightening access nationwide
URL: https://www.consumernews.ai/appeals-court-blocks-mailing-of-abortion/
Last updated: 2026-06-19T19:16:19.000Z
A panel of the [Fifth U.S. Circuit Court of Appeals](https://www.ca5.uscourts.gov/electronic-case-filing/case-information/current-opinions?ref=consumernews.ai) has blocked, for now, a federal policy that allowed doctors to prescribe and mail the abortion drug mifepristone without an in-person visit — a move that could sharply restrict access to medication abortion across the U.S.
The court ruled for Louisiana officials, who argued the FDA relied on flawed data when it loosened restrictions on the drug. Judges said the state was likely to succeed in its challenge and could suffer harm if the mailing rule stayed in place during litigation.
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The decision puts on hold a 2023 FDA change that had expanded telehealth access to the drug, which is typically used with misoprostol to terminate pregnancies up to 10 weeks.
## Why this matters now
Medication abortion — using pills rather than a procedure — now accounts for a majority of U.S. abortions. Access has expanded in recent years, especially after the Supreme Court’s 2022 decision in Dobbs v. Jackson Women’s Health Organization ended federal abortion protections.
Telemedicine and mail delivery became a critical workaround, particularly for patients in states with bans.
This ruling directly targets that workaround.
## What options women still have
> Even with the mailing restriction temporarily blocked, access to abortion pills hasn’t disappeared — but it has become more complicated and uneven. Here’s how options now break down:
### In states where abortion is legal
- Patients can still obtain mifepristone in person at clinics, hospitals, or certified providers
- Some providers may pivot to clinic pickup models instead of mailing
- Telehealth may still be used for consultation — but not for mailing pills under this ruling
### Shield-law states and telehealth networks
- A handful of states (like California, New York, and Massachusetts) have “shield laws” allowing doctors to prescribe across state lines
- However, the ruling creates legal uncertainty about whether those providers can continue mailing pills
- Some providers may continue operating while litigation proceeds, but access could vary quickly
### Misoprostol-only regimens
- Doctors can prescribe misoprostol alone, which is less restricted and widely available
- Medical groups say it is safe and effective, though slightly less effective than the two-drug regimen
- This may become a more common fallback option
### Traveling for care
- Patients may need to travel to another state to obtain pills in person
- This raises costs for transportation, lodging, and time off work — a major barrier for many
### Online and international pharmacies
- Some patients have turned to overseas pharmacies or informal networks
- Legal risks and quality concerns vary widely depending on source
## What research says
Major medical organizations — including American College of Obstetricians and Gynecologists — say mifepristone is [safe and effective](https://www.acog.org/womens-health/experts-and-stories/the-latest/what-to-know-about-abortion-and-miscarriages-with-or-without-mifepristone?ref=consumernews.ai), citing decades of use and millions of patients.
But anti-abortion groups argue federal safety data are incomplete, particularly around nonfatal complications — a key issue in the lawsuit.
## What happens next
The ruling is temporary and part of ongoing litigation. The FDA is also conducting a broader safety review of mifepristone under the current administration.
The case could:
- Move toward a full trial
- Be appealed to the U.S. Supreme Court
- Lead to further nationwide restrictions — or reinstatement of telehealth access
## What this means for consumers
Access to abortion medication is becoming:
- More fragmented — varying sharply by state
- More costly — due to travel and in-person requirements
- More uncertain — as legal rules shift quickly
For now, the biggest immediate impact is the loss of mail-order convenience, which had become a primary access point for many patients — especially those in restrictive states.
### **How to find abortion pill care now (post-ruling checklist)**
**Step 1: Check your state laws**
- Confirm whether abortion is legal in your state and up to how many weeks
- Use trusted sources like state health departments or major medical groups
- Rules can change quickly — verify before making plans
**Step 2: Contact local providers first**
- Search for nearby clinics, OB-GYN offices, or reproductive health centers
- Ask specifically about **in-person access to abortion pills**
- Some providers may require an office visit but still offer medication abortion
**Step 3: Ask about telehealth limits**
- Telehealth consults may still be available
- But **mail delivery of pills may be restricted** under current rulings
- Ask if **clinic pickup** is an option after a virtual visit
**Step 4: Look into shield-law providers (with caution)**
- Some states allow doctors to prescribe across state lines
- Availability may be **uncertain or changing** due to legal challenges
- Confirm current status before relying on this option
**Step 5: Consider misoprostol-only regimens**
- Ask providers about **misoprostol-only abortion**, which may be easier to access
- Medical groups consider it safe and effective
- May be used when mifepristone access is limited
**Step 6: Plan for travel if needed**
- If local access is blocked, identify the **nearest state where care is legal**
- Ask clinics about:
- Appointment wait times
- Total cost
- Required number of visits
- Look into abortion funds that may help with travel and lodging
**Step 7: Watch for scams and unsafe sources**
- Be cautious with unfamiliar online pharmacies or social media offers
- Verify providers through established organizations
- Avoid sources that don’t require prescriptions or medical screening
**Step 8: Act early**
- Medication abortion is typically approved for **early pregnancy (up to \~10 weeks)**
- Delays can limit options and increase costs
**Step 9: Keep documentation**
- Save appointment confirmations, receipts, and medical instructions
- Helpful if follow-up care is needed
**Step 10: Have a backup plan**
- Identify a second provider or location in case availability changes
- Laws and access points are shifting quickly
---
**Bottom line:**
Access hasn’t disappeared — but it now requires **more planning, verification, and flexibility**. Acting early and confirming details directly with providers is critical.
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### CFPB News Tracker
URL: https://www.consumernews.ai/cfpb-news-tracker/
Last updated: 2026-08-16T18:34:34.000Z
[CFPB will stop publishing consumers’ stories about banks and lendersThe Consumer Financial Protection Bureau says it will stop publicly posting the detailed narratives consumers submit with complaints about banks, lenders, credit bureaus, debt collectors and other financial companies.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/cfpb-will-stop-publishing-consumers-stories-about-banks-and-lenders/)
[CFPB examiners warned against being ‘too aggressive’ with the firms they’re supposed to regulateAn internal CFPB email obtained by Reuters warned examiners that there could be “most unpleasant” consequences if they were overly aggressive in their dealings with financial institutions.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/cfpb-examiners-warned-against-being-too-aggressive-with-the-firms-theyre-supposed-to-regulate/)
August 10, 2026
[Trump’s CFPB nominee says he won’t eliminate the agency — but its future remains uncertainBrian Johnson told senators that abolishing the Consumer Financial Protection Bureau is “not my intention”ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/trumps-cfpb-nominee-says-he-wont-eliminate-the-agency-but-its-future-remains-uncertain/)
July 25, 2026
[As the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe Editors](https://www.consumernews.ai/as-the-cfpb-retreats-a-new-consumer-protection-network-is-taking-shape/)
July 23, 2026
[Trump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed with a plan that would eliminate most of the bureau’s enforcement and supervision staffConsumerNews.aiJames R. Hood](https://www.consumernews.ai/trumps-cfpb-nominee-faces-senate-hearing-as-consumer-watchdog-hangs-in-the-balance/)
July 21, 2026
[CFPB may reopen fight over credit card late feesFor consumers, the stakes are familiar: banks say late fees deter missed payments and keep costs down for on-time payers; consumer advocates say the fees have become a major profit center.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/cfpb-may-reopen-fight-over-credit-card-late-fees/)
July 8, 2026
[Trump taps former CFPB deputy Brian Johnson to lead the weakened consumer bureauTiming points to deeper succession play as Trump tries again to fill the postConsumerNews.aiJames R. Hood](https://www.consumernews.ai/trump-taps-former-cfpb-deputy-brian/)
June 11, 2026
[CFPB overhauls complaint system, raising fears of new hurdles for consumersThe CFPB says it is cleaning up an overloaded complaint portal but consumer advocates are skeptical.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/cfpb-overhauls-complaint-system-raising-fears-of-new-hurdles-for-consumers/)
June 25, 2026
[CFPB rollback could weaken fair lending practices, consumer advocates sayCritics say the move could limit loans for mortgage, car loans, credit cardsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/cfpb-rollback-could-weaken-fair-lending/)
April 23, 2026
[CFPB can’t go home again; Trump canceled its leaseThe agency returned billions to consumers but has been largely shut down by the Trump White HouseConsumerNews.aiJames R. Hood](https://www.consumernews.ai/cfpb-cant-go-home-again-trump-canceled/)
April 16, 2026
### Predatory lender seeks bank charter, raising fears of nationwide 160% loans
URL: https://www.consumernews.ai/predatory-lender-seeks-bank-charter/
Last updated: 2026-06-19T19:16:20.000Z
### Triple-digit lending could go national
A high-cost online lender is seeking federal approval to expand its reach — and potentially its sky-high interest rates — nationwide.
Opportunity Financial, known as OppFi, has applied to acquire BNC Bank, a move that would convert it into a national bank. Consumer advocates say that shift would allow the company to sidestep interest-rate caps in most states and continue charging annual percentage rates (APRs) of 160% or more.
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The application is under review by federal regulators including the Office of the Comptroller of the Currency, the Federal Reserve Board, and the Federal Deposit Insurance Corporation.
### How the loophole works
At the center of the dispute is a long-standing feature of federal banking law: nationally chartered banks can “export” interest rates from their home state, even when lending to borrowers in states with stricter caps.
Advocates at the [National Consumer Law Center](https://www.nclc.org/another-100-apr-bank-seeks-trump-administration-approval/?ref=consumernews.ai) say that would effectively nullify rate limits in 45 states if OppFi becomes a bank.
Most states cap interest rates for nonbank lenders. On a typical $2,000, two-year loan, the median APR cap is about 35.5%, and nearly all states prohibit rates above 100%.
> By contrast, OppFi’s current products can carry APRs of 160% or higher.
### Affordability Watch
The proposal lands as consumers face sustained financial pressure from housing, food, and debt costs — raising concerns about the impact of ultra-high interest loans.
Consumer advocates warn that triple-digit APR loans can:
- Rapidly balloon balances, even on small loans
- Trap borrowers in cycles of reborrowing
- Damage credit scores through missed or escalating payments
“Allowing national banks to charge these kinds of rates would spread high-cost debt across the country,” [said](https://www.nclc.org/another-100-apr-bank-seeks-trump-administration-approval/?ref=consumernews.ai) Lauren Saunders of NCLC.
### Growing trend among fintech lenders
OppFi is not alone. Another online lender, [Enova International](https://www.theoutragedconsumer.com/p/fed-should-reject-banking-application?utm%5Fsource=publication-search) — owner of CashNetUSA, NetCredit, and OnDeck — has applied to acquire Grasshopper Bank.
Advocates say both deals reflect a broader strategy: fintech lenders pursuing bank charters to avoid state-level consumer protections.
### Legislative pushback
Lawmakers are already weighing responses.
Two bills introduced in Congress aim to close the so-called “rate exportation” loophole:
- [Empowering States’ Rights to Protect Consumers Act](https://www.congress.gov/bill/119th-congress/senate-bill/3721?ref=consumernews.ai) would restore states’ authority to enforce their own rate caps
- [Predatory Lending Elimination Act](https://www.congress.gov/bill/119th-congress/senate-bill/3793?ref=consumernews.ai) would impose a national 36% APR cap
Voters in states across the political spectrum — including Arizona, Colorado, Montana, Nebraska, and South Dakota — have already approved rate caps at or below 36%.
### What this means for consumers
If approved, OppFi’s bank acquisition could mark a significant shift in how high-interest loans are regulated — and who is protected.
For borrowers, the stakes are straightforward:
- Loans that are illegal in your state today could become widely available
- Interest rates far above traditional credit cards or personal loans could become normalized
- Consumer protections set by state law may no longer apply
The decision now rests with federal regulators — and could shape the future of high-cost lending nationwide.
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### AI trading - good for the small investor? Or not?
URL: https://www.consumernews.ai/ai-trading-good-for-the-small-investor/
Last updated: 2026-06-19T19:16:21.000Z
### The democratization argument is real — but overstated
Nearly two-thirds of U.S. retail investors are now using AI to help inform investment decisions, according to an April 2026 [Investing.com survey,](https://www.investing.com/news/stock-market-news/survey-nearly-twothirds-of-retail-investors-use-ai-to-inform-market-decisions-4598846?ref=consumernews.ai) with tools now available at a fraction of what they cost just a couple of years ago.
There’s a lot of hype around it but when you scrape away all the superlatives, the most compelling upside is access.
[Subscribe](#/portal/signup)
Robo-advisers, AI-powered ETFs, and automated portfolio rebalancing tools have genuinely lowered the cost of getting decent financial advice — something that historically required a broker relationship that most small investors couldn’t afford.
AI also helps reduce one of the small investor’s most persistent enemies: emotional decision-making. Systems that execute based on data rather than fear or greed can help avoid the classic retail traps of panic-selling at the bottom or piling in at the top.
### The structural disadvantage hasn’t gone away
Here’s the uncomfortable truth for retail AI traders: the gap between what institutional quant funds can do and what consumer tools offer remains enormous.
Top actively managed “quant” funds invest hundreds of millions of dollars in specialized hardware that can achieve latencies in nanoseconds — far beyond what retail setups can manage. When a retail AI bot “spots” a pattern, it’s almost certainly doing so after institutional algorithms have already acted on it, priced it in, and moved on.
> The edge retail AI tools provide is real but modest — and it’s being competed away in real time as more people use the same tools.
### The systemic risk problem cuts both ways
Over [80% of trades](https://www.pymnts.com/artificial-intelligence-2/2025/nyse-sees-record-message-volumes-as-ai-fuels-trading/?ref=consumernews.ai) on the New York Stock Exchange are now executed by AI algorithms, which has increased market liquidity and narrowed bid-ask spreads — a genuine benefit to small investors. But the same report notes the downside: the 2025 incident when an algorithm malfunction led to a sudden 6% drop in the S&P 500 within minutes is a preview of what can happen when AI systems interact in ways no one anticipated.
Small investors sitting on retirement savings are the ones who can least afford to absorb those flash crashes — even temporary ones.
Researchers warn that coordinated algorithmic action could heighten market volatility during times of stress, a risk that becomes more acute as AI adoption continues to rise.
### The fraud amplification risk is underreported
One effect that rarely makes the headlines: AI is turbocharging [investment scams](https://dfpi.ca.gov/news/insights/ai-investment-scams-are-here-and-youre-the-target/?ref=consumernews.ai) at the same rate it’s improving legitimate tools. Scammers are using AI to produce fraudulent materials more quickly and increase the reach and effectiveness of written scams, contributing to a near ten-fold increase in reported investment fraud losses in Canada over a recent two-year period.
American retail investors are not immune — and the same trust in AI that leads someone to follow a legitimate robo-adviser can lead them to follow a convincingly packaged fraud.
### The honest bottom line
AI is probably a net positive for small investors *in its passive and advisory forms* — robo-advisers, AI-enhanced index funds, portfolio optimization tools. These applications are largely doing what they claim: reducing costs, removing emotion, and improving diversification for ordinary savers.
It’s a much cloudier picture for retail investors using AI to actively trade. As one investment strategist put it, AI outputs should be “the start of the process, not the conclusion” — a framing that most consumer trading apps are not exactly incentivized to emphasize.
The marketing promise of institutional-grade returns through a phone app remains, at best, a significant exaggeration. The small investor who understands that distinction is probably better off. The one who doesn’t is taking on risks they may not fully see.
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### Cryptocurrency platform Uphold HQ misled investors, New York State charges
URL: https://www.consumernews.ai/cryptocurrency-platform-uphold-hq/
Last updated: 2026-06-19T19:16:21.000Z
The [cryptocurrency platform Uphold HQ](https://ag.ny.gov/sites/default/files/settlements-agreements/uphold-hq-inc-assurance-of-discontinuance-2026.pdf?ref=consumernews.ai) has agreed to pay more than $5 million for misleading investors and promoting a fraudulent cryptocurrency investment scheme orchestrated by Cred, LLC (Cred) and it’s Chief Executive Officer, Daniel Schatt.
An investigation by New York Attorney General Letitia James found that Uphold misleadingly promoted and offered Cred’s investment product, CredEarn, to its customers, in violation of New York law.
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Uphold advertised CredEarn as a reliable savings product, when in reality, Cred was making risky loans to borrowers in China who had no credit histories. When Cred collapsed in 2020, thousands of Uphold’s customers across the world who had invested in CredEarn lost millions of dollars. As a result of today’s settlement, Uphold will pay $5 million to harmed investors – more than five times the amount it earned in fees it collected – and change its policies to better protect users from third-party investment schemes.
## Devastating consequences
“When crypto companies break the law and mislead investors, the consequences can be devastating to New Yorkers’ livelihoods,” [said James](https://ag.ny.gov/press-release/2026/attorney-general-james-secures-over-5-million-crypto-platform-promoting?ref=consumernews.ai). “Uphold promoted risky investments and misled its customers to believe they were safe. Investors should be able to trust the industry advice they receive, and my office will always work to ensure bad actors are held accountable for endangering their customers’ financial security.”
Uphold is a cryptocurrency platform that offers users the ability to buy, sell, and trade digital assets. From January 2019 through October 2020, Uphold offered CredEarn on its platform and mobile app. CredEarn promised significant annual interest payments to customers who invested their cryptocurrency in the company.
In advertising CredEarn, Uphold misleadingly promoted it as a safe, reliable savings product, James charged. In reality, Cred generated interest through risky micro-loans to video game players in China who had low monthly incomes, no credit histories, and no access to credit through traditional Chinese financial institutions.
In promoting CredEarn, Uphold also stated that Cred was covered by “comprehensive insurance,” but no insurance that would protect retail investors from investment losses of digital assets existed in the industry. The OAG’s investigation also found that Uphold was illegally promoting CredEarn without registering as either a broker or commodity broker-dealer.
## Significant losses
Starting in March 2020, Cred incurred significant losses due to its risky lending practices and mismanagement, and declared bankruptcy in November 2020, resulting in investor losses of millions of dollars.
As a result of the New York investigation, Uphold will pay $5 million to customers who suffered losses. All payments Uphold receives from Cred’s bankruptcy proceedings, in which it is owed $545,189, will also be paid to customers who were harmed.
Investors will receive an email from Uphold informing them that funds will be distributed to their accounts. Additionally, Uphold must maintain and improve its due diligence policies before partnering with or recommending a third-party investment product. As part of the settlement, Uphold will also register as a broker with New York.
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### The U.S. owes more than it makes. Here's what that means for your wallet
URL: https://www.consumernews.ai/the-us-owes-more-than-it-makes-heres/
Last updated: 2026-06-19T19:16:22.000Z
The number is almost too big to picture: the United States government now owes more money than the entire country produces in a year. The **debt-to-GDP ratio** — Washington’s tab measured against the economy’s output — has crossed 100 percent, a threshold that once seemed unthinkable and now seems permanent.
It doesn’t mean the country is going broke. It doesn’t mean your personal finances are suddenly on the hook. And it almost certainly doesn’t mean a crisis is arriving next week. What it does mean is quieter, slower, and in some ways harder to fight: a steady erosion of financial flexibility — for the government, and through it, for ordinary Americans.
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> “The impact is gradual, not sudden,” said one economist. “But gradual doesn’t mean painless.”
## **The bill is already in your mailbox**
The most direct effect on consumers isn’t some future reckoning — it’s the borrowing costs they’re paying right now. When the federal government needs to finance its debt, it issues Treasury bonds. More bonds mean more competition for capital, which pushes interest rates higher across the economy. Those rates don’t stay on Wall Street.
They show up in the 7 percent mortgage that priced a first-time buyer out of their neighborhood. In the credit card balance that compounds faster than a family can pay it down. In the auto loan that turned a $35,000 car into a five-year financial commitment.
Interest rates are shaped by many forces — Federal Reserve policy chief among them — but the sheer scale of federal borrowing acts as a persistent floor, making it harder for rates to fall and easier for them to stay elevated.
## **The tax and benefits squeeze is coming**
The arithmetic of debt service is unforgiving. The federal government now spends more on interest payments than on national defense — money that is not building roads, funding research, or keeping Medicare solvent. As that share of the budget grows, policymakers face a narrowing set of options: raise taxes, cut spending, or some combination of both.
That eventually means one of several things. Higher income or payroll taxes. Reduced deductions. Trimmed benefits. Social Security and Medicare, already under long-term fiscal pressure, become even harder to protect when a growing slice of every budget goes to bondholders before it reaches beneficiaries.
None of this happens overnight. But the direction of travel is not ambiguous.
## **The cushion is thinner than it used to be**
When the 2008 financial crisis hit, Washington spent aggressively to cushion the blow. When COVID arrived in 2020, Congress deployed trillions in stimulus with unusual speed. Both responses were possible, in part, because the U.S. had accumulated less debt relative to its economy and retained more credibility with bond markets.
That cushion is thinner now. A future recession, a major geopolitical emergency, a financial shock — any of these will test a government that has less room to maneuver than it did a decade ago. Smaller stimulus. Slower response. More political gridlock over the price tag.
## **Why the sky hasn’t fallen — and may not**
It is worth saying plainly what the debt milestone does *not* mean. Japan has run a debt-to-GDP ratio above 200 percent for years without a financial collapse. The United States issues the world’s reserve currency and enjoys deep, global demand for its Treasury bonds — advantages no other country fully shares. A default under normal conditions remains essentially unthinkable.
The genuine risk isn’t a sudden crash. It’s a slow drift: higher baseline borrowing costs, less generous public programs, less margin for error when things go wrong. Countries don’t usually go broke — they gradually become less able to do the things they once did.
## **What to do now**
For households thinking practically rather than politically, the implications point toward a few concrete moves: lock in lower interest rates when the opportunity arises, attack high-interest debt with urgency, and build more financial flexibility into budgets that have long assumed a government ready to step in during hard times.
The debt clock keeps running. The effects arrive not as a thunderclap but as a slow tightening — in loan rates, in tax bills, in benefit checks, in the diminished capacity of a heavily indebted government to catch its citizens when they fall.
> While it’s true that no individual consumer can do anything about the big picture, it’s also true that nearly everyone can take a careful look at their household spending and find a way to build in a little cushion to create a bit of what engineers call “headroom.”
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### Bay Area startup finds college students to help older adults at home
URL: https://www.consumernews.ai/bay-area-startup-finds-college-students/
Last updated: 2026-04-30T20:04:01.000Z
There’s a shortage of affordable housing in the U.S. and also a shortage of qualified caregivers for older people who need a bit of help with everyday chores.
You don’t normally connect the two but Alison Donnally did. After some tragedies affected her family members, Donnally hit upon the idea of finding college students who needed affordable housing and were willing to provide a helping hand along the way.
She began developing the idea and launched the service in the San Francisco Bay Area. In one of her first pairings, she placed a Dominican University basketball player, Nanik, with Paige, a Marin County woman with early-stage dementia.
Nanik moved into a spare room in Paige’s home, where his duties included walking the dog, sorting the mail, making lunch, and taking out the trash. In exchange, he pays $1,700 a month for a room in Marin County — one of the most expensive places to live in the country — and earns back about $500 of that for the hours he works. Paige’s husband Robert, who is her full-time caregiver while also running a company, no longer worries about leaving her home alone.
The arrangement is the product of [JoeyCo](https://www.withjoey.com/blog/welcome-to-joey-co?ref=consumernews.ai), Donnally’s Bay Area startup. It’s betting it can solve two of the region’s most stubborn problems with a single platform: a shortage of affordable housing for college students and a growing need for in-home support among older adults who aren’t yet ready for formal caregiving.
“It just didn’t make sense to me why we couldn’t have something similar to an au pair, but for older adults,” Donnally said in a recent [SFChron](https://www.sfchron.com/?ref=consumernews.ai) story.
**A specialized matching app**
The model is deceptively simple. JoeyCo uses a matchmaking app to connect homeowners with spare bedrooms to college students willing to trade light household help for reduced rent. With roughly 60 percent of U.S. homes containing at least one unused bedroom, Donnally sees the inventory as hiding in plain sight.
Because of employment regulations, the financial arrangement works on a reimbursement basis: students pay full rent upfront and are paid back for their hours, a structure designed to stay compliant with labor law.
Nanik, whose options in the Bay Area rental market were limited before he found JoeyCo, says the work doesn’t feel transactional. “It doesn’t feel like a chore to lend a helping hand,” he said.
For the Millers, the match has provided something harder to quantify. Robert’s initial concern wasn’t logistics — it was whether his wife would be comfortable. “My worry actually was Paige,” he said. “Would she feel comfortable having somebody else live in the house?”
She was.
The arrangement speaks to a gap that professional home care agencies and assisted living facilities don’t easily fill. Many older adults with early-stage cognitive or mobility challenges don’t need — or want — a formal caregiver. What they often need is presence: someone to help with the small daily tasks that enable independence, without the clinical formality or significant expense of home health aides.
JoeyCo’s pitch to both sides is essentially the same: this can work for you.
For students, the appeal is obvious in a region where a single bedroom in Marin County routinely tops $2,000 a month and commuting from further-flung areas can add hours to an already demanding schedule. For older homeowners, the pitch is subtler but potentially more valuable — a vetted, background-checked housemate whose presence provides both practical help and social connection, two things that research consistently links to better outcomes for people aging in place.
**A good fit**
The startup enters a space that larger platforms have largely ignored. Existing home-sharing programs for seniors tend to be small and locally run, often through nonprofits, without the technological infrastructure or growth ambitions of a venture-backed company.
### Payment giants urged to crack down on illegal e-cigarette sales
URL: https://www.consumernews.ai/payment-giants-urged-to-crack-down/
Last updated: 2026-06-19T19:16:22.000Z
A bipartisan coalition of state attorneys general is pressing major financial companies to do more to stop illegal e-cigarette sales, warning that payment systems are helping fuel a fast-growing youth nicotine market.
California Attorney General Rob Bonta [said](https://oag.ca.gov/news/press-releases/attorney-general-bonta-co-leads-bipartisan-effort-urging-credit-card-and-payment?ref=consumernews.ai) the coalition — joined by the City of New York — sent letters to nine major payment processors, including Visa, Mastercard, American Express, PayPal, and Stripe, urging stronger action to block unlawful tobacco transactions.
The group also contacted Capital One, Citigroup, Block (which operates Square, Cash App and Afterpay), and Sezzle.
“Illegal e-cigarette sales remain widespread, posing a serious public health concern,” Bonta said, adding that payment platforms “have a responsibility to ensure their services are not being used to facilitate these illegal sales.”
### Regulators target the money flow
The letters give the companies 15 days to detail how their systems are being used in e-cigarette transactions and what safeguards they have in place.
The move revives a strategy used in the early 2000s, when states partnered with payment processors to curb online cigarette sales to minors. Officials say a similar approach is now needed as vaping products — especially flavored ones — proliferate online.
Attorneys general also pointed to recent actions involving Shopify, where regulators say unlawful e-cigarette sales have been identified, alongside broader enforcement efforts including lawsuits and referrals to federal authorities.
### Most online e-cigs deemed illegal
Under rules enforced by the U.S. Food and Drug Administration, all new tobacco products must receive premarket authorization before being sold in the U.S. So far, the agency has cleared only 41 e-cigarette products — all in tobacco or menthol flavors.
That leaves the vast majority of e-cigarettes sold online in violation of federal law, regulators say, classifying them as “adulterated” products that cannot legally be marketed or shipped across state lines.
The [Prevent All Cigarette Trafficking Act](https://www.atf.gov/alcohol-tobacco/prevent-all-cigarette-trafficking-pact-act?ref=consumernews.ai) adds further restrictions, requiring online sellers to verify age, comply with tax rules, and follow state and local laws.
The PACT Act requires all distributors of cigarettes, which include [e-cigarettes](https://www.atf.gov/alcohol-tobacco/vapes-and-e-cigarettes?ref=consumernews.ai) and other smokeless tobacco products (such as snuff or chewing tobacco), who sell or advertise in interstate commerce, to register with and report certain information to ATF and the tax administrators of the states where shipments of tobacco are made or advertised.
### Patchwork of state bans
Many states and localities have moved ahead with their own restrictions, particularly targeting flavored products that appeal to younger users.
In California, lawmakers enacted sweeping limits through Senate Bill 793 and later expanded enforcement with Assembly Bill 3218, which took effect in 2025\. The law created a state-maintained “Unflavored Tobacco List” defining which products can legally be sold.
### What this means for consumers
For consumers, the crackdown could reshape where and how e-cigarettes are sold:
- **Fewer online options:** Payment restrictions could cut off access to many unauthorized sellers
- **Higher compliance checks:** Age verification and transaction monitoring may tighten
- **Potential price shifts:** Reduced supply channels could affect pricing and availability
### The bottom line
By targeting payment processors, regulators are aiming at a critical choke point in the e-commerce ecosystem — the ability to complete a sale. Whether the strategy works could determine how effectively states can rein in a largely online market that has outpaced traditional enforcement tools.
### Oil prices spike, no end in sight for Iran war
URL: https://www.consumernews.ai/oil-prices-spike-no-end-in-sight/
Last updated: 2026-06-19T19:16:23.000Z
Oil prices shot past $120 a barrel today, pushing the average price of a gallon of gas in the U.S. to $4.30, up 27 cents in a week, according to [The New York Times](https://www.nytimes.com/2026/04/30/business/oil-gas-price-iran.html?smid=nytcore-ios-share&ref=consumernews.ai). With President Trump saying he’ll continue the blockade of Iranian ports until Tehran gives up its nuclear program, which it says it will never do, that creates a stand-off that could last months, not days.
The Outraged Consumer usually discourages running out and buying a new car when gas prices go up or down, as they tend to do. But lacking a clear exit from Iran and the likelihood of even higher gas prices, it may make sense for some consumers to take the plunge.
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Most analysts think a lightly used electric vehicle is the best choice for those who can truly reap an economic benefit from it. This means spending lightly and thinking carefully about your charging situation.
For people who really need a car every day, a home charger is a near-necessity. It saves time and is considerably less expensive than using public chargers.
## Thinking of buying an EV?
Here are the obvious positive factors in the buy/don’t buy decision:
**Prices have reset dramatically.** Used EV prices plunged far faster than gas cars from 2022 through early 2025 — down roughly 15–40% from their peaks — and have finally reached price parity with, or undercut, similar gas-powered vehicles. As of early 2026, 44% of used EV transactions are landing below $25,000, with 56% of all used EV inventory priced under $30,000, according to [Recharged](https://recharged.com/articles/used-ev-price-trends-going-down-or-up?ref=consumernews.ai)[AutoBidMaster](https://blog.autobidmaster.com/2026/03/used-ev-prices-drop-in-2026-best-time-to-buy-an-electric-car/?ref=consumernews.ai)
**Supply is improving.** The used EV market will expand by more than one million lease returns over the next two years, and 55% of current inventory is from model year 2023 or newer, [Recurrent Auto](https://www.recurrentauto.com/research/used-electric-vehicle-buying-report?ref=consumernews.ai) reports.
**The price gap with gas cars has nearly closed.** The premium for used EVs over comparable gasoline vehicles narrowed to just $1,376 in January — down from $2,591 the prior month — driven by a glut of lease returns and deep discounts on new electric models, per [Carscoops](https://www.carscoops.com/2026/03/used-ev-market-depreciation-trend/?ref=consumernews.ai).
**Further declines are still possible.** With affordable new electric models on the way in 2026, analysts expect further downward price pressure to send the average selling price of a used EV down 5–10% by late 2026\. So buyers who can wait a few months may catch an even better deal, although the Iranian imbroglio makes it difficult to make any firm prediction.
**The Tesla exception**
Average used Tesla prices rose 4.3% to $31,329 after federal tax credits expired, while the average price for the rest of the used EV market fell 3.6% to $23,738\. Teslas are bucking the trend partly due to discontinued variants tightening supply, and partly because their buyers tend to be less incentive-dependent, according to [AutoBidMaster](https://blog.autobidmaster.com/2026/03/used-ev-prices-drop-in-2026-best-time-to-buy-an-electric-car/?ref=consumernews.ai).
**What to watch out for**
The steeper depreciation that makes used EVs a bargain also creates some traps:
- **Battery health** is the biggest wildcard. Cars that lived in hot climates and were fast-charged constantly can show outsized wear. A rock-bottom price with a vague battery history is a warning sign.
- **Charging network compatibility** matters for older models, which may need adapters or have limited fast-charge access.
- **Technology is moving fast** — new 2026 models offer 50–100 more miles of range and faster charging compared to EVs from 2021–2023, making older models feel less current than a comparable gas car of the same age would.
## **Bottom line for a commuter**
If your daily drive is predictable and you can charge at home or work, a 2021–2023 mainstream EV (Chevy Bolt, Kia EV6, Hyundai Ioniq 5, Ford Mustang Mach-E) at current prices offers strong value.
The steepest depreciation has already happened, but prices haven’t rebounded yet — and probably won’t do so sharply in the near term. The sweet spot is the 3-to-5-year-old range, where someone else absorbed the brutal first-owner depreciation hit.
## But what about China?
China is making some very attractive EVs at very affordable prices. They’re not officially available for import into the U.S. but there have been scattered press reports about Chinese EVs “leaking” in from Mexico. But the “cheap EVs from Mexico” buzz is mostly a myth and a potential trap for anyone who falls for it.
The premise of Chinese brands using Mexico as a backdoor into the U.S. made sense in theory. At one time, EVs manufactured in Mexico with sufficient North American content could enter the U.S. duty-free, potentially bypassing the 102.5% tariff on Chinese-made vehicles.
But Washington saw it coming. Under U.S. pressure, [Mexico backed away](https://tacna.net/are-chinese-evs-coming-to-the-us-via-mexico/?ref=consumernews.ai) from a plan to let BYD build a factory on its soil, and as of January 1, 2026, raised its own tariff rate to 50% for all companies that don’t have auto plants operating in Mexico.
**Chinese EVs are booming in Mexico — but staying there**
Nearly one in five cars sold in Mexico in 2025 was made in China, with around 244,000 vehicles from Chinese automakers like BYD, Changan, MG, and GWM — representing about 15% of total Mexican sales. Five years ago that share was less than 1%. But those cars are not legally making it across the border into the U.S. in any meaningful volume, according to [Charged EVs](https://chargedevs.com/newswire/chinese-made-vehicles-now-make-up-nearly-20-of-cars-sold-in-mexico/?ref=consumernews.ai).
**The gray-market path is a financial disaster**
A $10,000 used BYD could easily morph into a $30,000 expense once tariffs and modification costs are added. One owner spent $15,000 in modifications only for the car to fail EPA battery tests, a [MOTORWATT](https://motorwatt.com/ev-blog/howtos/importing-a-chinese-electric-car-to-the-usa?ref=consumernews.ai) report said. Without an official dealer network or warranty in the U.S., sourcing replacement parts becomes a logistical nightmare.
On top of that, Chinese-made EVs specifically face a 110% tariff rate — far higher than the general tariff stack on other Chinese goods. And a Biden-era Commerce Department rule still in effect bans the import and sale of passenger vehicles containing internet-connected technology from China — which is essentially every modern EV, according to [The Detroit News](https://eu.detroitnews.com/story/business/autos/2026/03/11/chinese-evs-canada-us-what-to-know/88947703007/?ref=consumernews.ai).
**What about Canada?**
There’s a new wrinkle worth watching. Canada struck a deal with China in January allowing up to 49,000 Chinese EVs to enter Canada annually at just 6.1% tariff — down from 100% — in exchange for canola oil access. That has U.S. policymakers spooked. U.S. Trade Representative Jamieson Greer [explicitly said](https://energyathaas.wordpress.com/2026/03/02/the-electric-vehicle-tariff-boomerang/?ref=consumernews.ai) Chinese imports routed through Canada “ain’t going to happen,” citing cybersecurity rules around connected vehicles that he said are not up for revision.
**Bottom line for buyers**
As of early 2026, there is no major Chinese EV brand selling mass-volume vehicles directly in the U.S., and the earliest realistic timeline for that changing is around 2030–2032\. The “leaked through Mexico” framing circulating online is more anxiety (from Detroit) than reality.
> For a commuter looking for a deal today, the used American-market EVs covered earlier — Bolts, EV6s, Ioniq 5s — are a far safer bet than chasing a gray-market BYD. [Recharged](https://recharged.com/articles/chinese-evs-coming-to-america-when?ref=consumernews.ai)
Doing nothing is also worth considering. A car is a long-term financial obligation. If you carefully calculate the true cost of snagging a new ride, it is almost certainly many thousands of dollars over several years.
Keeping your current car and driving it less and — ahem — more slowly is probably the best course for many consumers already burdened with debt.
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### FTC, Maryland settle with Lindsey Auto Group
URL: https://www.consumernews.ai/ftc-maryland-settle-with-lindsey/
Last updated: 2026-06-19T19:16:23.000Z
**Alleged ‘bait-and-switch’ pricing; refunds could top $75M**
### **Hidden fees, misleading prices drive settlement**
Federal and state regulators say a major Mid-Atlantic dealership group misled car buyers for years with deceptively low advertised prices and costly add-ons — and now must refund consumers and overhaul its practices.
The Federal Trade Commission and the Maryland Office of the Attorney General announced a settlement with Lindsay Automotive Group and affiliated dealerships, resolving allegations that the company’s pricing tactics left buyers paying thousands more than expected.
While the total refund amount has not yet been finalized, officials said consumers were charged more than **$75 million** in questionable fees tied to vehicle purchases and leases between April 1, 2020, and Dec. 31, 2025.
“This settlement puts money back in Marylanders’ pockets and puts a stop to these predatory practices,” said Anthony G. Brown.
### **What regulators say went wrong**
According to the complaint, Lindsay and its executives used a range of tactics that regulators say distorted the true cost of buying a car:
- “Deceptively low” advertised prices that did not reflect what most buyers actually paid
- Claims that customers didn’t qualify for advertised rebates, forcing higher prices
- Pressure to finance through the dealership to access deals — even when buyers had outside financing
- Charges for add-ons consumers didn’t want or didn’t agree to, including service plans and GAP coverage
Officials also said some military consumers were steered away from financing through their own credit unions.
Christopher Mufarrige, director of the FTC’s Bureau of Consumer Protection, said the practices undermined fair competition.
“Lindsay Auto misled consumers by advertising false low car prices and then adding mandatory fees and other charges during the car buying process,” he said.
### **What the settlement requires**
Under the agreement, Lindsay must:
- Provide refunds to eligible consumers (amount still to be determined)
- Pay a $3.1 million civil penalty to Maryland
- Clearly disclose total vehicle prices, including all mandatory fees
- Obtain express, informed consent before adding any charges
- Stop misrepresenting pricing, financing, or add-ons
The case names multiple dealerships, their management company, and executives including company president Michael Lindsay.
### Affordability Watch: The hidden cost of ‘extras’
Auto add-ons — from extended warranties to tire protection — can quietly inflate the cost of a vehicle by hundreds or even thousands of dollars.
Consumer advocates say these extras are often:
- High-margin products for dealers
- Poorly explained at signing
- Difficult to cancel after purchase
The FTC has repeatedly flagged add-ons as a major source of consumer harm in the auto market.
### **Policy gap after court blocks FTC auto rule**
The case also underscores a growing regulatory gap after a federal appeals court struck down the FTC’s proposed **“CARS Rule,”** which would have banned many of the practices alleged in the Lindsay case, including deceptive pricing and unauthorized add-ons.
Without that rule, regulators must rely on case-by-case enforcement under the FTC Act Section 5.
In a concurring statement, FTC leadership urged Congress to restore broader authority for consumer refunds in such cases, calling for legislation that would allow the agency to more easily obtain monetary relief for harmed consumers.
---
### **What this means for car buyers**
For consumers, the case is a reminder to:
- Scrutinize the out-the-door price, not just advertised deals
- Watch for last-minute add-ons in financing paperwork
- Know you can decline extras and use outside financing
- Request a full itemized breakdown before signing
Regulators say enforcement will continue — but for now, buyers remain the first line of defense against hidden fees at the dealership.
### Home price growth slows further as affordability crunch keeps buyers on sidelines
URL: https://www.consumernews.ai/home-price-growth-slows-further-as/
Last updated: 2026-06-19T19:16:23.000Z
### Growth slows to a crawl as housing market “rebalances”
U.S. home price growth slowed again in February, underscoring a housing market increasingly constrained by affordability pressures and hesitant buyers.
According to new data from [Cotality](https://www.cotality.com/press-releases/slow-home-price-growth-february-2026?ref=consumernews.ai), national single-family home prices rose just 0.5% compared with a year earlier, extending a steady deceleration that began in 2025.
On a monthly basis, prices fell 0.16% from January, a sign that demand remains soft even as the spring homebuying season approaches, according to [Morningstar, Inc.](https://www.morningstar.com/news/business-wire/20260407344210/home-price-growth-rebalancing-before-spring-buying-season?utm%5Fsource=chatgpt.com)
The report characterizes the market as “rebalancing,” with buyers and sellers locked in a standoff driven largely by high borrowing costs and stretched household budgets.
### Affordability pressures reshape the market
The slowdown comes after years of rapid price gains that far outpaced income growth. Now, higher mortgage rates and persistent inflation are limiting how much buyers can afford — and how quickly prices can rise.
Recent broader data show the same pattern: national home price growth has slipped below inflation for months, effectively eroding real home values, [The Wall Street Journal](https://www.wsj.com/economy/housing/u-s-home-price-growth-slowed-in-february-1aec77b0?utm%5Fsource=chatgpt.com) said.
That dynamic is pushing more buyers to delay purchases, while some sellers are choosing to wait rather than cut prices — contributing to low transaction volumes and muted price movement.
### More markets slipping into decline
One of the most notable shifts in the February data is how widespread the slowdown has become.
- 13 states — including Washington, D.C. — posted year-over-year price declines
- Many previously hot markets are now cooling, particularly in the South and West
- Regional strength is increasingly concentrated in parts of the Midwest and Northeast
At the metro level, some Northeastern markets continue to outperform. For example, Newark, New Jersey, saw one of the strongest gains at 6.7% year over year, followed by Rochester, New York, [Morningstar](https://www.morningstar.com/news/business-wire/20260407344210/home-price-growth-rebalancing-before-spring-buying-season?utm%5Fsource=chatgpt.com) said.
But the broader trend is clear: price growth is no longer widespread, and declines are becoming more common.
### A market stuck between buyers and sellers
Housing economists say the current environment reflects a fundamental imbalance.
After years of surging home values, many homeowners remain reluctant to lower asking prices — particularly if they locked in low mortgage rates earlier in the cycle. At the same time, buyers are constrained by higher borrowing costs and affordability limits.
The result is a market with:
- Low sales activity
- Minimal price growth
- Increasing regional divergence
Earlier Cotality data described the situation as a “disconnect between incomes and home prices,” with both sides waiting for conditions to shift.
### What this means for consumers
For buyers, the cooling trend may offer some relief — but not necessarily affordability.
- Slower price growth can reduce bidding wars
- But high mortgage rates still keep monthly payments elevated
- Inventory remains tight in many areas, limiting options
For homeowners, the shift signals a more cautious outlook:
- Price appreciation is no longer guaranteed
- Some markets may see outright declines
- Timing a sale becomes more uncertain
### Outlook: modest gains, but no quick rebound
Despite the current slowdown, Cotality expects the market to gradually regain momentum over the next year.
Its forecast calls for home price growth to accelerate to about 4.7% by February 2027, suggesting stabilization rather than a sharp correction.
Still, that recovery hinges on improvements in affordability — particularly lower mortgage rates or stronger income growth.
Until then, the housing market appears set for a prolonged period of slow growth, limited sales, and uneven regional performance.
### Outdoor cats have higher disease risk than their owners think
URL: https://www.consumernews.ai/outdoor-cats-have-higher-disease/
Last updated: 2026-06-19T19:16:24.000Z
A lot of cat owners let their furry companions roam around outside and think that they’re doing them a favor. But [a study](https://journals.plos.org/plospathogens/article?id=10.1371/journal.ppat.1014160&ref=consumernews.ai) led by University of British Columbia researchers doesn’t support that belief.
The study found that pet cats allowed to roam outside unsupervised carry infectious diseases at rates comparable to feral cats, even when they receive veterinary care, regular meals and shelter.
Published ahead of print in [*PLOS Pathogens*](https://journals.plos.org/plospathogens/article?id=10.1371/journal.ppat.1014160&ref=consumernews.ai), the study analyzed data from 604 studies covering more than 174,000 cats across 88 countries. Researchers identified 124 pathogen species, nearly 100 of which can infect humans.
“We expected outdoor cats would have higher disease risk than indoor cats, because the range of diseases indoor cats are exposed to is much smaller,” [said](https://www.eurekalert.org/news-releases/1126221?ref=consumernews.ai) lead author Dr. Amy Wilson, an adjunct professor at UBC and a practicing veterinarian. “But we were surprised that owned outdoor cats were comparable to feral cats for overall infection risk.”
## **Outdoor pet cats expand disease risk**
The findings challenge a common public health assumption that feral and stray cats are the primary concern for disease transmission. Many owned cats are also allowed to roam freely, creating a potential bridge between wildlife pathogens and humans.
The pathogens include well-known agents such as *Toxoplasma gondii*, roundworms, Bartonella (the bacterium behind cat-scratch fever) and Leptospira.
Cats are documented to [kill over 2,000 wildlife species](https://www.nature.com/articles/s41467-023-42766-6?ref=consumernews.ai) worldwide, with small mammals—common carriers of disease—among their most frequent prey. Since owners only see about 20 per cent of the wildlife their cats kill, they are often unaware of the number and types of wildlife their cat has interacted with.
“Feral cats do carry the greatest diversity of pathogens, but public health frameworks that focus only on feral cats are missing a large share of the problem,” said Dr. Wilson, adding that [survey data suggest](https://link.springer.com/article/10.1186/1471-2458-12-553?ref=consumernews.ai) that many cat owners feel underinformed about diseases they can contract from companion animals and how their pet’s lifestyle can affect that risk.
## **Supervised outdoor access can reduce risk**
The researchers say there are ways to reduce exposure. Supervised outdoor access through enclosed patios, cat-containment fencing or harness walks can provide enrichment while limiting contact with wildlife and other animals.
“These options greatly reduce risk, because these cats have low rates of interacting with wildlife or other outdoor cats,” said Dr. Wilson. “Vaccines and deworming alone are not enough, as they don’t address many potential pathogens.”
The study also notes that when infected cats defecate in public areas, the risk extends beyond owners.
> Dr. Wilson adds that free-roaming dogs were once common, but are now widely restricted for animal welfare and public safety reasons. She says a similar shift is overdue for cats, given the growing evidence of public health risk.
“Unsupervised outdoor access is not essential to feline welfare or the human-animal bond. If we can improve how we manage our cats, we can protect cats, wildlife and people.”
### TikTok fitness videos may undermine young men’s confidence — and boost supplement use
URL: https://www.consumernews.ai/tiktok-fitness-videos-may-undermine/
Last updated: 2026-06-19T19:16:24.000Z
### A few minutes can shift perceptions
A new study that even brief exposure to fitness and supplement content on TikTok can negatively affect how young men feel about their bodies — and increase their interest in muscle-building products.
The research by Australia’s Flinders University, published in the journal [Body Image](https://www.sciencedirect.com/science/article/pii/S1740144526000562?via%3Dihub&ref=consumernews.ai), tested how quickly social media content can influence body satisfaction and health intentions.
More than 280 men ages 17 to 30 were shown just three minutes of videos. Some clips focused on fitness advice or [supplement](https://www.theoutragedconsumer.com/p/will-nad-really-help-you-live-a-longer?utm%5Fsource=publication-search) promotion, while others showed neutral travel content. Participants were then asked about their perceptions of their fitness, nutrition and likelihood of using supplements.
The results were stark: those who watched fitness or supplement content reported lower satisfaction with their own fitness and diet — and a stronger desire to use muscle-building substances.
### Fitness content may be more influential than ads
The study found that general fitness videos had an even stronger impact than direct supplement promotions.
Lead author Dr. Nepheli Beos said the findings highlight how quickly exposure can shape attitudes.
“Just a few minutes of idealized fitness or supplement content can change how men feel about their own fitness and nutrition and increase their desire to seek products that promise faster muscle gains,” Beos [said](https://www.eurekalert.org/news-releases/1126180?ref=consumernews.ai).
Senior researcher Professor Ivanka Prichard noted that workout content may subtly drive supplement use by creating pressure to keep up with unrealistic standards.
“It’s not screen time that’s the problem — it’s repeated exposure to hyper-muscular bodies and supplement messaging,” she said.
### The role of comparison — and risk
The research points to social comparison as a key driver. Men who compared themselves to the bodies shown in videos were more likely to feel dissatisfied and express interest in supplements.
Those already focused on achieving a muscular physique were particularly affected, showing greater interest in more extreme muscle-building substances.
Researchers warn this dynamic may contribute to conditions like Muscle dysmorphia, a mental health disorder characterized by an obsessive focus on perceived lack of muscularity.
### Not all content is harmful — but caution is needed
The study’s authors emphasize that fitness content and supplements are not inherently harmful. However, they say the way they are presented on social media often oversimplifies benefits and minimizes risks.
Instead, researchers are calling for stronger media literacy tools to help young users critically evaluate what they see online.
“TikTok’s idealized fitness content doesn’t just inspire exercise — it can actively undermine satisfaction and encourage substance use,” Beos said.
### What this means for consumers
For young men navigating fitness content online, the findings suggest a need for caution:
- Short bursts of curated content can quickly distort expectations
- Comparing yourself to highly edited or idealized bodies may harm confidence
- Supplement use decisions may be influenced more by perception than need
As social media continues to shape health behaviors, researchers say understanding — and questioning — what’s on the screen may be just as important as the workout itself.
### Sen. Warren pushes ‘Direct File’ bill to simplify taxes, cut filing costs for consumers
URL: https://www.consumernews.ai/sen-warren-pushes-direct-file-bill/
Last updated: 2026-06-19T19:16:25.000Z
### A push to make tax filing as simple as “click and submit”
Sen. Elizabeth Warren (D-MA) is renewing her push to overhaul how Americans file their taxes, introducing legislation that would create a permanent, nationwide free filing system run directly by the Internal Revenue Service.
The proposal — known as the [Direct File Act](https://www.congress.gov/bill/119th-congress/senate-bill/3948?ref=consumernews.ai) — would build on the IRS’s recent pilot program of that name and allow most taxpayers to file their federal income taxes online at no cost, without relying on private tax preparation companies or paid software.
Warren and other supporters say the current system is overly complex, expensive, and tilted toward corporate intermediaries — even though, in many cases, the government already has much of the information needed to calculate a taxpayer’s return.
### How Direct File would work
At its core, the bill would require the Internal Revenue Service to offer a fully functional, user-friendly online filing system available to all eligible taxpayers.
Under the plan:
- Taxpayers could file directly with the IRS for free;
- The system would pre-fill income and withholding data already reported to the government;
- Users could review, adjust, and submit returns in minutes;
- Refunds could be processed faster, with fewer errors.
The idea mirrors systems already used in many other countries, where filing taxes can take minutes instead of hours.
### The cost of the current system
Americans spend billions each year on tax preparation services — a burden that falls hardest on low- and moderate-income households.
According to government estimates and consumer advocates:
- Taxpayers spend **$10 billion+ annually** on filing services;
- The average filer spends hours navigating forms and software;
- Many eligible taxpayers miss out on credits due to complexity.
Warren argues that these costs are unnecessary, given that employers and financial institutions already report most income data directly to the IRS.
“This is a system that forces people to pay to do their own taxes,” she has said in past statements, framing the issue as both a consumer protection and affordability concern.
### Pilot program shows early promise
The IRS launched a limited Direct File pilot during recent tax seasons, allowing select taxpayers in certain states to file for free using a simplified online portal.
Early results suggested:
- High user satisfaction rates;
- Faster filing times;
- Reduced reliance on paid preparers.
The Direct File Act would take that pilot and expand it nationwide, making the program permanent and significantly broader in scope.
### Industry pushing back hard
The proposal is facing strong opposition from the tax preparation industry, including major players like Intuit and H&R Block, as it has in previous attempts.
According to quarterly lobbying disclosures published late Monday, Intuit, publisher of the popular tax preparation software TurboTax, spent $950,000 in the first quarter of 2026 nudging lawmakers on a range of issues, including efforts to beat back the [Direct File Act](https://legislation.politicopro.com/bill/US%5F119%5FHR%5F7806?q=%22Direct+File%22&ref=consumernews.ai) and similar measures.
H&R Block, the second-biggest tax-prep provider, spent $790,000 in the first quarter to influence, among other things, a federal task force “on the replacement of Direct File,” created by [the GOP’s 2025 tax law](https://legislation.politicopro.com/bill/US%5F119%5FHR%5F1?ref=consumernews.ai).
These companies have long argued that:
- The tax code is too complex for a one-size-fits-all government system
- Private software provides necessary guidance and customization
- Government-run filing could create conflicts of interest
Tax-prep companies fiercely opposed the pilot version of Direct File because they viewed it as a competitor. The Trump administration shuttered the service — which operated during the 2024 and 2025 filing seasons — ahead of this year after Intuit and H&R Block argued the private sector ran similar services.
Consumer advocates counter that the industry has historically lobbied to keep filing complicated — preserving demand for paid services.
## Not winning any consumer protection awards
You won’t find many consumers defending TurboTax and H&R Block. Both are targets of frequent complaints filed by consumers on the [Better Business Bureau](https://www.bbb.org/us/ca/mountain-view/profile/tax-software/intuit-inc-1216-202832/complaints?ref=consumernews.ai) site and on consumer review sites. TurboTax has a [1.3 (out of 5) rating](https://www.consumeraffairs.com/computers/intuit%5Fturbotax.html?ref=consumernews.ai) on ConsumerAffairs.com while H&R Block gets a [1.5 rating](https://www.consumeraffairs.com/finance/hr-block.html?ref=consumernews.ai).
One angry consumer on Reddit described his first attempt at using TurboTax.
“I went through their platform, filled everything out, and paid over $200 in fees. Then I received an email saying there was an error and the return wasn’t filed. I corrected the issue and tried to file again, only to be asked to pay the same fee *again*,” the consumer said.
“When I called customer support, I was told to fill out a form to request a refund. I did that, but now I’m being told I *won’t* get my money back and will need to pay again to refile. This is unacceptable.”
It’s not just consumers who are wary of the companies. TurboTax is more or less routinely [challenged by regulators](https://www.ftc.gov/legal-library/browse/cases-proceedings/192-3119-intuit-inc-matter-turbotax?ref=consumernews.ai) over its advertisements that offer “free” tax filing but which too often wind up charging hefty fees. In a 2024 case, the Federal Trade Commission (FTC).
“The Commission alleges that the company’s ubiquitous advertisements touting their supposedly “free” products—some of which have consisted almost entirely of the word “free” spoken repeatedly—mislead consumers into believing that they can file their taxes for free with TurboTax. In fact, most tax filers can’t use the company’s “free” service because it is not available to millions of taxpayers, such as those who get a 1099 form for work in the gig economy, or those who earn farm income. In 2020, for example, approximately two-thirds of tax filers could not use TurboTax’s free product.” - FTC, 2/29/2024
A few days earlier, the FTC delivered a similar tongue-lashing to HR Block:
“H&R Block designed its online products to present an obstacle course of tedious challenges to consumers, pressuring them into overpaying for its products,” said Samuel Levine, Director of the FTC’s Bureau of Consumer Protection. “Today’s action demonstrates that companies using coercive techniques that harm consumers can expect to hear from the FTC.” FTC 2/23/2024
### What this means for consumers
If enacted, the Direct File Act could significantly reshape how Americans interact with the tax system:
**Lower costs:** Millions could file for free instead of paying for software or preparers;
**Less stress:** Pre-filled returns could reduce errors and confusion;
**Faster refunds:** Streamlined processing may speed up payments;
**Greater access:** More people could claim credits like the Earned Income Tax Credit.
For households already dealing with rising costs — from housing to groceries — eliminating tax filing fees could offer a small but meaningful financial break.
### The road ahead
The bill faces an uncertain path in Congress, particularly amid ongoing debates over IRS funding, the role of government in financial services and big bucks from lobbyists and influencers acting on behalf of the companies.
Still, the idea of direct, free filing has gained traction in recent years, with bipartisan interest in simplifying the tax code and reducing burdens on everyday taxpayers.
Whether the Direct File Act becomes law or not, the broader shift is clear: pressure is mounting to turn tax filing from a costly annual chore into a simpler, faster, and — for many — free process.
### Gas tops $4 as Iran war jolts oil markets, squeezing U.S. consumers
URL: https://www.consumernews.ai/gas-tops-4-as-iran-war-jolts-oil/
Last updated: 2026-06-19T19:16:25.000Z
## Prices spike as oil supply tightens
U.S. gasoline prices have surged to their highest levels in years, with the national average hitting roughly **$4.18 per gallon** this week as the war involving Iran continues to disrupt global oil markets.
That marks a sharp climb of more than $1 per gallon since late February, when the conflict began, underscoring how quickly geopolitical shocks can ripple through to everyday costs for American drivers, [The Wall Street Journal](https://www.wsj.com/livecoverage/stock-market-today-dow-sp-500-nasdaq-04-28-2026/card/gas-prices-hit-a-new-wartime-high-SqkUtG4fSuojH3E4uBcV?utm%5Fsource=chatgpt.com) reported.
The spike is being driven by rising crude oil prices, which have climbed toward $110 per barrel amid fears of prolonged supply disruptions and limited progress in peace talks, according to [The Economic Times](https://m.economictimes.com/markets/commodities/news/oil-price-today-april-28-crude-oil-approaches-110-amid-little-signs-of-iran-war-peace-talks-will-prices-touch-150/articleshow/130567396.cms?utm%5Fsource=chatgpt.com).
At the center of the crisis is the Strait of Hormuz, a critical chokepoint through which roughly 20% of the world’s oil supply normally flows. Disruptions there have tightened global supply and sent energy markets into turmoil.
## A rapid, uneven surge across the U.S.
While prices are up nationwide, the increases have been uneven:
- Midwestern states have seen some of the steepest weekly jumps, with prices rising more than 6% in some areas
- Western states—including California, Washington, and Oregon—are already seeing averages above $5 per gallon
- Hawaii remains among the most expensive markets despite slight recent declines
The speed of the increase has caught many consumers off guard. Gas prices rose more than 6 cents in a single day at one point this week, reflecting extreme volatility in oil markets.
## Inflation pressure builds
The surge in fuel costs is already feeding broader inflation concerns. Rising gasoline prices contributed to one of the largest monthly increases in consumer prices in decades earlier this spring, and economists warn the pressure is far from over, according to [AP News](https://apnews.com/article/91e835feb0bf4f998c8b2f4dc112c28b?utm%5Fsource=chatgpt.com).
Higher fuel costs ripple through the economy in multiple ways:
- Increased transportation costs push up prices for groceries and goods
- Airlines and shipping companies pass on higher fuel expenses
- Household budgets tighten, especially for lower- and middle-income families
Consumer sentiment surveys show Americans remain deeply concerned about rising prices, even as other economic indicators show modest resilience.
## Oil companies and markets reap gains
While consumers feel the squeeze, energy companies are benefiting from the surge. Major oil firms have reported sharply higher profits due to elevated crude prices and trading gains during the conflict, [The Guardian](https://www.theguardian.com/business/2026/apr/28/bp-profits-oil-gas-prices-iran-war-first-quarter?utm%5Fsource=chatgpt.com) reported.
That dynamic—higher corporate profits alongside rising household costs—has reignited political debate over price gouging, windfall taxes, and whether regulators should take a more aggressive role in energy markets.
## What happens next?
The trajectory of gas prices now hinges largely on geopolitics.
Some officials have suggested prices could fall if the conflict de-escalates and oil flows normalize. But analysts caution that even in a best-case scenario, relief may not come quickly.
That’s because:
- Supply chains disrupted by the war will take time to rebuild
- Global inventories have already been drawn down
- Markets remain highly sensitive to any new escalation
In the meantime, many economists warn that gas prices could climb further—potentially approaching or exceeding $5 per gallon nationally—if the conflict drags on or worsens.
## What this means for consumers
For American households, the renewed spike in gas prices is a familiar but painful reminder of how global events translate into everyday costs.
Expect:
- Higher commuting and travel expenses heading into summer
- Continued pressure on grocery and retail prices
- Potential knock-on effects in insurance, shipping, and services
> In short, the pump is once again becoming a frontline indicator of global instability—and a key driver of consumer affordability concerns in 2026.
### Grocery prices surge as lawmakers press feds to crack down on alleged price-fixing
URL: https://www.consumernews.ai/grocery-prices-surge-as-lawmakers/
Last updated: 2026-06-19T19:16:25.000Z
Who’s to blame for sky-high egg prices? It’s not the chickens. As American families face another round of rising grocery bills, a group of Senate Democrats says it’s corporate behavior that is making things worse.
In a letter to the U.S. Department of Justice and the Federal Trade Commission, lawmakers led by Elizabeth Warren (D-MA) and Chuck Schumer (D-NY) are calling for an aggressive crackdown on alleged price-fixing and anticompetitive practices across the food and agriculture industries.
The push comes as geopolitical tensions tied to the Iran conflict 2026 ripple through global supply chains, driving up key inputs like fuel and fertilizer — costs that typically end up in consumers’ grocery carts.
### Lawmakers: “Get serious” about food prices
The senators argue that while external shocks are raising costs, consolidation among major food producers, suppliers and retailers is amplifying the impact.
“Now, more than ever, it is time for the Administration to get serious about addressing these problems,” the lawmakers wrote, pointing to what they described as a lack of meaningful enforcement action so far.
They are urging regulators to investigate dominant players in sectors such as meatpacking, fertilizer, seeds and farm equipment — industries that have seen decades of mergers and shrinking competition.
Other signers of the letter include Richard Blumenthal, Cory Booker, Bernie Sanders and Peter Welch.
### Supply shocks meet market power
A key concern: the intersection of global disruption and concentrated corporate power.
The lawmakers point to the closure of the Strait of Hormuz — a critical global shipping chokepoint — which they say has halted roughly one-third of global fertilizer shipments. Fertilizer is a cornerstone input for modern agriculture, and spikes in its price tend to cascade quickly into higher food costs.
Economists broadly agree that input shocks like fuel and fertilizer can push grocery prices higher within months. But consumer advocates say concentrated markets can make those increases “stickier,” allowing companies to maintain elevated prices even after costs stabilize.
### Grocery bills outpacing inflation
The pressure is already showing up in household budgets.
Lawmakers cited data indicating Americans paid about $310 more for groceries last year compared with 2024, with food prices rising faster than overall inflation — a trend that has persisted intermittently since the pandemic-era supply chain disruptions.
[Recent data](https://www.bls.gov/news.release/cpi.nr0.htm?ref=consumernews.ai) from the Bureau of Labor Statistics has similarly shown food-at-home prices remaining volatile, particularly for staples like eggs, meat and processed foods.
### Scrutiny of “surveillance pricing”
Beyond traditional price-fixing concerns, the senators are also zeroing in on newer pricing strategies.
They are urging the FTC to revive an investigation into so-called “[surveillance pricing](https://www.theoutragedconsumer.com/p/maryland-outlaws-predatory-pricing?utm%5Fsource=publication-search)” — the practice of using consumer data to tailor prices individually.
Consumer advocates have warned that such systems, powered by online tracking and purchase histories, could allow retailers to charge different customers different prices for the same product — potentially pushing costs higher for certain groups.
The FTC previously signaled concern about these practices but has not finalized enforcement action or rules.
### What regulators are being asked to do
The letter outlines a sweeping set of demands aimed at reshaping the food marketplace:
- Investigate and prosecute antitrust violations in agriculture and food sectors
- Block or more closely scrutinize mergers among major suppliers and retailers
- Enforce the [Robinson-Patman Act](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title15-section13&num=0&edition=prelim&ref=consumernews.ai#:~:text=It%20shall%20be%20unlawful%20for%20any%20person,discontinuance%20of%20business%20in%20the%20goods%20concerned.), which targets discriminatory pricing practices
- Issue new rules addressing exclusionary contracts and rebate systems
- Reopen investigations into data-driven pricing strategies
The lawmakers also floated the possibility of breaking up dominant firms — a step regulators have taken only rarely in recent decades but that has gained renewed attention amid broader antitrust debates.
### Industry pushback likely
Food industry groups and large retailers have historically pushed back on claims of widespread price manipulation, arguing that rising costs are driven primarily by global factors — including energy prices, labor shortages and supply disruptions.
They also warn that aggressive antitrust action could reduce efficiency and raise costs further.
Still, consumer advocates counter that highly concentrated markets — where a handful of firms dominate — can reduce competition and make it easier for companies to raise prices without losing customers.
### What this means for consumers
> For households already stretched by housing, insurance and debt costs, grocery prices remain one of the most visible and immediate financial pressures.
If regulators act on the senators’ requests, it could eventually lead to:
- More scrutiny of mergers and pricing practices
- Potential legal action against dominant firms
- New rules governing how companies set prices
But any impact on grocery bills would likely take time.
In the near term, analysts say global supply disruptions — especially those tied to energy and fertilizer — will continue to play a major role in what Americans pay at the checkout line.
### The bottom line
The clash highlights a growing debate in Washington: how much of today’s high prices are driven by global crises — and how much may be tied to corporate power at home.
With lawmakers demanding answers and a response deadline already passed, pressure is building on regulators to decide whether — and how aggressively — to step in.
### Media habits tied to vaccine hesitancy as measles cases surge, study finds
URL: https://www.consumernews.ai/media-habits-tied-to-vaccine-hesitancy/
Last updated: 2026-06-19T19:16:26.000Z
### Media choices linked to vaccine views
A [new study](https://www.sciencedirect.com/science/article/abs/pii/S0264410X26003762?dgcid=coauthor&ref=consumernews.ai) from Johns Hopkins University finds that Americans’ media consumption habits may play a powerful role in shaping attitudes toward vaccines — especially as measles cases climb nationwide.
[Subscribe](#/portal/signup)
The research, published in the journal [Vaccine](https://www.sciencedirect.com/science/article/abs/pii/S0264410X26003762?dgcid=coauthor&ref=consumernews.ai), shows that adults who regularly engage with “new right” digital media outlets are more than twice as likely to be hesitant about vaccines compared to those who avoid those sources.
Researchers surveyed nearly 3,000 U.S. adults in 2025, asking about their news habits and their views on the measles-mumps-rubella (MMR) vaccine. The findings point to a strong correlation between where people get information and how they assess vaccine risks.
“Our work reveals a strong association between people’s specific media habits and their attitudes towards vaccination,” said study author Lauren Gardner, who directs Johns Hopkins’ Center for Systems Science and Engineering.
### Measles surge raises stakes
The findings come as the U.S. faces its largest measles outbreak in decades.
More than 2,000 cases were reported across 43 states in 2025 — the highest total since measles was declared eliminated in 2000\. Nearly all infections occurred in people who were not vaccinated.
Public health officials warn that declining vaccination rates are fueling the resurgence. MMR coverage among schoolchildren has fallen to about 93%, below the 95% threshold typically needed to prevent widespread outbreaks.
Cases are continuing to rise in 2026.
### Who is most likely to be hesitant?
While a majority of Americans — 83% — said the benefits of the MMR vaccine outweigh the risks, roughly one in six respondents expressed hesitancy.
The study identified several demographic patterns among those more likely to be hesitant:
- Younger adults, with 62% under age 44
- Parents
- Lower-income and less-educated individuals
- Racial minorities
- People identifying as politically conservative or independent
Hesitant respondents were also more likely to align with the “Make America Healthy Again” (MAHA) movement.
### The role of “selective media engagement”
One of the study’s key findings centers on what researchers call “selective media engagement.”
Nearly all participants — 87% — said they follow the news, and almost everyone reported being online daily. But the type of content they consumed differed sharply.
Vaccine-hesitant individuals were more likely to rely on:
- Alternative health providers
- Social media influencers
- Non-mainstream health newsletters
They were also more likely to engage with politically conservative digital outlets.
By contrast, non-hesitant individuals were less likely to use those sources and more likely to rely on traditional, authoritative information channels.
### Doctors seen as a “protective factor”
The study found that turning to physicians for health information was strongly associated with lower vaccine hesitancy.
That suggests a potential path forward for public health officials trying to boost vaccination rates.
“To improve vaccination rates, health communicators must address how and where Americans find information about vaccines,” the researchers said.
Co-author Amelia Jamison, a health communication specialist at Johns Hopkins, noted that the growing polarization of public health issues makes understanding these dynamics more urgent.
“With public health becoming increasingly polarized, it’s critical to understand people’s attitudes about vaccines,” she said.
### What this means
The findings highlight a growing challenge for public health: misinformation and fragmented media ecosystems may be undermining trust in vaccines.
As measles and other preventable diseases re-emerge, experts say outreach strategies may need to go beyond traditional messaging — and focus instead on meeting people where they are, across a wide range of media platforms.
The study suggests that not just how much information people consume, but *which sources they trust*, could play a decisive role in shaping health outcomes.
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### Social media scams fuel $2.1 billion in losses, FTC warns
URL: https://www.consumernews.ai/social-media-scams-fuel-21-billion/
Last updated: 2026-06-19T19:16:26.000Z
##
Image: FTC.gov
### Reported losses hit $2.1 billion — an eightfold jump since 2020
New data from the Federal Trade Commission show that social media has become the dominant launchpad for scams, with billions of dollars in consumer losses tied to platforms like Facebook, Instagram, and WhatsApp.
According to the agency’s latest Data Spotlight, nearly 30% of people who reported losing money to a scam in 2025 said it began on social media — totaling a staggering $2.1 billion in reported losses. That figure represents an eightfold increase since 2020 and far exceeds losses tied to any other method scammers use to contact consumers.
### Why social media is a scammer’s dream
The FTC says social platforms give fraudsters unprecedented reach at minimal cost. Scammers can:
- Hijack existing accounts to exploit trusted relationships
- Mine user posts to tailor highly personalized pitches
- Buy targeted ads using the same tools as legitimate businesses
“Social media creates easy access to billions of people from anywhere in the world,” the report notes, making it easier than ever to find and manipulate potential victims.
> Among platforms, Facebook generated the highest reported losses by a wide margin in 2025 — more than all text and email scams combined. Instagram and WhatsApp ranked a distant second and third.
### Who’s being targeted
The data show that social media scams now affect nearly every age group.
Consumers under 80 reported losing more money to scams that started on social platforms than through any other contact method. For those 80 and older, social media ranked second only to phone-based scams.
The findings underscore how fraud tactics have evolved beyond traditional robocalls and phishing emails into more immersive, relationship-based schemes.
## The biggest social media scams
### Investment scams dominate losses
Consumers reported losing $1.1 billion to investment scams that originated on social media — more than half of all social media-related losses.
These scams often begin with:
- Ads promising to teach investing strategies
- Messages from “friendly” financial advisers
- Invitations to group chats filled with fake success stories
Victims are typically lured onto fraudulent investment platforms that appear legitimate but ultimately steal deposits.
### Shopping scams are most common
More than 40% of victims who lost money to a social media scam said it involved a purchase.
Typical patterns include:
- Ads for steeply discounted products
- Links to unfamiliar or lookalike websites
- Impersonations of well-known brands
Consumers reported ordering everything from clothing and cosmetics to auto parts — and even pets — only to receive nothing or counterfeit goods.
### Romance scams blend emotion and money
Romance scams remain a major threat, with nearly 60% of reported losses in this category starting on social media.
Scammers often:
- Build relationships using tailored profiles and shared interests
- Create emotional bonds over time
- Invent emergencies or steer victims into fake investment opportunities
These schemes can lead to devastating financial and emotional harm.
## What this means for consumers
The FTC’s data highlight a major shift: scams are no longer just random messages — they’re increasingly personalized, persistent, and embedded in everyday online activity.
For consumers, that means:
- **Higher exposure:** Simply using social media increases scam risk
- **More convincing tactics:** Fraudsters exploit personal data and social connections
- **Greater financial stakes:** Losses are rising rapidly, especially in investment schemes
The agency warns that the same tools that make social media convenient — targeted ads, messaging, and algorithmic recommendations — are also being weaponized by scammers.
## How to protect yourself
The FTC recommends several steps to reduce risk:
- **Lock down privacy settings:** Limit who can see your posts and contact you
- **Avoid investment advice from strangers:** Especially those met only online
- **Research before buying:** Search a company’s name with terms like “scam” or “complaint”
- **Be skeptical of urgency:** High-pressure tactics are a common red flag
Consumers can learn more and report fraud at the FTC’s official site, including its [ReportFraud](https://reportfraud.ftc.gov/?ref=consumernews.ai) portal.
## The bottom line
Social media has become the front door for modern scams — combining global reach, detailed personal data, and low-cost targeting into a powerful tool for fraud.
With losses now in the billions and rising sharply, regulators say awareness and vigilance are critical. But the scale of the problem also raises broader questions about platform accountability — and whether stronger safeguards are needed to protect users from an increasingly sophisticated fraud economy.
### Quiet skies or new hype? Electric 'air taxis' take first real shot at NYC commuters
URL: https://www.consumernews.ai/quiet-skies-or-new-hype-electric/
Last updated: 2026-06-19T19:16:26.000Z
### A test for quieter urban flight
[Joby Aviation](https://www.jobyaviation.com/?ref=consumernews.ai) is set to conduct a series of demonstration flights in New York City this week, pitching its electric air taxi as a quieter, cleaner alternative to traditional helicopters in one of the nation’s most noise-plagued urban corridors.
The planned trips — running between John F. Kennedy International Airport and Manhattan heliports — mark the city’s first true point-to-point flights of an electric vertical takeoff and landing aircraft, or eVTOL. The flights will carry pilots but no passengers.
Company executives say the goal is simple: convince a skeptical public that the future of short-haul urban air travel doesn’t have to sound — or feel — like today’s helicopter traffic.
### Noise, safety, and a fed up public
New York’s skies have become increasingly crowded with tourist and commuter helicopters, driving a surge in complaints. City data shows noise complaints jumped from roughly 3,300 in 2019 to about 59,000 in 2023 — a nearly 20-fold increase.
That frustration has been compounded by safety concerns, including a fatal crash last year that intensified scrutiny of helicopter operations.
Joby CEO JoeBen Bevirt argues the company’s aircraft could dramatically reduce that burden.
> “Instead of the low-frequency thumping of a helicopter that shakes buildings, the sound is more of a ‘whoosh’ that blends into the background,” Bevirt said.
The company claims its aircraft are “a hundred times quieter” than conventional helicopters — a figure that, if borne out in real-world conditions, could reshape the debate over urban air mobility.
“New York has always been a city that defines the future by demanding better,” Bevirt said in a news release. “We first flew here in 2023, and now we’re showing what the next chapter looks like: a quiet, zero operating emissions air taxi service designed to better serve New Yorkers.“
### How the flights will work
The demonstration flights will follow existing helicopter corridors operated by Blade Urban Air Mobility, which Joby acquired. Routes will connect JFK with:
- West 30th Street heliport (Hudson Yards)
- East 34th Street heliport
- Downtown Manhattan heliport
Over a 10-day period, multiple flights are planned to give regulators, city officials, and the public a chance to observe — and hear — the aircraft in action.
### A federal push to speed adoption
The flights are part of a broader [federal initiative](https://www.faa.gov/newsroom/eIPP-Announcement-Fact-Sheet.pdf?ref=consumernews.ai) led by the United States Department of Transportation to accelerate the rollout of air taxis in U.S. cities. The initiative is the result of an [executive order](https://www.whitehouse.gov/presidential-actions/2025/06/unleashing-american-drone-dominance/?ref=consumernews.ai) issued by President Trump in June 2025.
Selected companies are being allowed to test operations, build infrastructure plans, and introduce the concept to the public before full commercial approval.
But the biggest hurdle remains regulatory.
Joby still needs certification from the Federal Aviation Administration before it can carry paying passengers — a process that has delayed earlier timelines.
Despite past setbacks, the company says it aims to launch commercial service as soon as the second half of this year in markets including New York, Texas, and Florida.
### Safety claims under the microscope
Joby is also emphasizing safety — another key barrier to consumer acceptance.
Its aircraft feature:
- Six propellers
- Dual electric motors per propeller
- Separate battery systems
- Triple flight computers
The company says this layered redundancy exceeds traditional helicopter design standards.
Joby’s Rob Wiesenthal framed the difference in stark terms:
> “Most helicopters weren’t designed for passengers. Boarding one can feel like climbing into a cement mixer. Joby feels more like stepping into a car.”
### What this means for consumers
For travelers, the promise is appealing: faster airport transfers without the noise, emissions, or perceived risks of helicopters.
But key questions remain:
- Cost: Early air taxi services are expected to be priced at a premium
- Availability: Limited routes and infrastructure could constrain access
- Regulation: FAA certification timelines remain uncertain
- Public acceptance: Noise and safety claims will face real-world scrutiny
### Affordability Watch
Even if the technology succeeds, affordability could determine whether air taxis become a mass-market option or remain a luxury service.
Current helicopter transfers between JFK and Manhattan can cost hundreds of dollars per seat. While electric aircraft may reduce operating costs over time, initial pricing is likely to target high-income travelers and business customers.
The broader consumer impact — including whether competition or scale eventually lowers prices — is still an open question.
### The bottom line
Joby’s New York flights are less about transportation — for now — and more about persuasion.
If the aircraft truly delivers on its promise of dramatically quieter, safer urban flight, it could help unlock a new layer of mobility in congested cities.
If not, it risks being dismissed as another high-tech solution that never quite lands with the public.
### Peptide News Tracker
URL: https://www.consumernews.ai/peptide-news-tracker/
Last updated: 2026-07-26T18:52:50.000Z
There's political pressure to loosen restrictions on peptides despite scientists' warning the safety and efficacy data are slim.
[FDA advisers vote to bring unproven peptides out of the shadows — and into compounding pharmaciesAn FDA advisory committee recommended allowing compounding pharmacies to make six popular peptides promoted for healing, weight control, endurance and anti-aging.ConsumerNews.aiJames R. Hood](https://www.consumernews.ai/fda-advisers-vote-to-bring-unproven-peptides-out-of-the-shadows-and-into-compounding-pharmacies/)
[FDA weighs loosening restrictions on experimental peptides amid safety concernsPush backed by Robert F. Kennedy Jr., but scientists warn of limited safety dataConsumerNews.aiJames R. Hood](https://www.consumernews.ai/fda-weighs-loosening-restrictions/)
April 15, 2026
[Unproven, unregulated and coming to a pharmacy near you: The Peptide GambleRFK Jr. wants everyone to have access to dangerous, unregulated drugsConsumerNews.aiJames R. Hood](https://www.consumernews.ai/unproven-unregulated-and-coming-to/)
March 23, 2026
### Artificial food dyes still being used, despite companies' pledge to kick the habit
URL: https://www.consumernews.ai/artificial-food-dyes-still-being/
Last updated: 2026-06-19T19:16:27.000Z
### Little progress despite industry promises
A year after federal officials urged food companies to voluntarily phase out artificial dyes, progress has been minimal—prompting new calls for government action and state-level intervention.
According to a new report highlighted by [Food Safety News](https://www.foodsafetynews.com/2026/04/little-voluntary-movement-by-companies-to-remove-artificial-food-dyes-spurs-action-by-consumer-reports/?utm%5Fsource=chatgpt.com), many large food manufacturers have yet to follow through on public commitments to eliminate synthetic food colorings from their products.
[Subscribe](#/portal/signup)
Consumer advocacy group Consumer Reports says companies including Coca-Cola, Mondelez, and Unilever have made promises but have not delivered meaningful changes.
That lack of movement comes despite a push from the U.S. Department of Health and Human Services—led by Secretary Robert F. Kennedy Jr.—to encourage companies to remove petroleum-based dyes from the food supply.
### States step in as federal action stalls
With voluntary efforts falling short, advocates are increasingly turning to lawmakers.
[Consumer Reports](https://advocacy.consumerreports.org/press%5Frelease/one-year-after-rfk-called-for-phase-out-of-harmful-dyes-some-major-food-companies-havent-made-commitments-no-drug-companies-have-pledged-to-act/?utm%5Fsource=chatgpt.com) has backed new legislation in states like New York, where lawmakers recently approved a bill requiring companies to disclose chemicals—including dyes—used in food products.
The shift reflects a broader trend: states are moving faster than federal regulators to address concerns about synthetic dyes, particularly in products marketed to children.
### What the research says
Concerns about artificial dyes have persisted for years. Some studies have linked certain synthetic colorings—such as Red 40, Yellow 5, and Blue 1—to behavioral issues in children, including hyperactivity, though the science remains debated.
At the same time, regulators have taken incremental steps. The U.S. Food and Drug Administration has encouraged companies to phase out several petroleum-based dyes and has already banned at least one additive (Red No. 3), with broader phaseouts expected over the next few years.
Still, those efforts rely heavily on voluntary compliance—an approach critics say is failing.
### “Voluntary action isn’t enough”
Consumer Reports is now urging federal regulators to go further, calling for mandatory restrictions or outright bans on synthetic dyes.
“We shouldn’t rely on voluntary action when it comes to protecting public health,” a Consumer Reports policy official said, according to the report, quoted on [LinkedIn](https://www.linkedin.com/posts/paul-backovich-0710b3b8%5Ffood-and-health-news-42326-little-voluntary-activity-7453193708520349696-CGnD?utm%5Fsource=chatgpt.com).
The group also points to survey data showing strong public support for removing artificial dyes from food products altogether.
### Industry response: slow, uneven, and complicated
Some companies have announced plans to eliminate artificial dyes—but often on long timelines stretching into 2027 or beyond.
Industry resistance stems from several challenges:
- Reformulating products can be costly
- Natural color alternatives may be less stable or vibrant
- Companies worry about consumer backlash if products look different
Those hurdles have led to a patchwork response, with some brands moving quickly and others delaying or avoiding commitments altogether.
### Affordability Watch: will cleaner ingredients cost more?
For consumers, the shift away from artificial dyes could carry mixed financial implications.
On one hand, natural ingredients may raise production costs, potentially leading to higher grocery prices—especially for heavily processed foods.
On the other, advocates argue that clearer labeling and fewer additives could improve long-term health outcomes, reducing hidden costs tied to diet-related conditions.
### What this means for consumers
For now, shoppers remain largely on their own when it comes to avoiding artificial dyes.
Key takeaways:
- “No artificial colors” labels may not mean what consumers expect, due to evolving definitions
- Ingredient lists remain the most reliable way to identify synthetic dyes
- State-level rules may soon expand transparency—but unevenly across the country
Unless federal regulators step in with stronger rules, the pace of change will likely continue to depend on a mix of consumer pressure, advocacy campaigns, and state legislation.
### The bottom line
> The push to remove artificial food dyes is gaining momentum—but not from industry itself.
With major companies slow to act on voluntary pledges, pressure is shifting to regulators and lawmakers, setting up a likely next phase: whether Washington moves from encouragement to enforcement.
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### Insurers warn companies against excessive cost-cutting that shifts risk to consumers
URL: https://www.consumernews.ai/insurers-warn-companies-against-excessive/
Last updated: 2026-06-19T19:16:27.000Z
### Cost cutting spreads — and insurance is on the chopping block
Businesses across the U.S. are tightening budgets, and insurance is increasingly part of the squeeze.
According to a recent industry viewpoint highlighted by [Insurance Journal](https://www.insurancejournal.com/date/2026-04-23/?utm%5Fsource=chatgpt.com), middle-market companies are reducing expenses to manage economic uncertainty — but in some cases, they may be cutting too deep, taking risks that can backfire for both companies and the consumers who ultimately wind up paying the cost.
Insurance is often viewed as a controllable cost, making it an easy target for reductions such as:
- Lower coverage limits
- Higher deductibles
- Dropping certain policies altogether
That may improve short-term cash flow — but it can also quietly increase long-term risk exposure.
### The hidden risk: underinsurance
Industry experts say the biggest danger isn’t that companies are buying less insurance — it’s that they may not fully understand what they’re giving up.
When coverage is scaled back, businesses can face:
- Gaps in protection for cyberattacks, supply chain disruptions, or natural disasters
- Higher out-of-pocket costs when claims occur
- Greater financial volatility during already uncertain economic conditions
The warning: companies may believe they are managing risk when they are actually shifting it onto themselves and their customers.
### Why this matters to consumers
This isn’t just a business story — it has direct downstream effects on consumers.
When companies are underinsured, the fallout can include:
- Higher prices: Businesses may pass unexpected losses on to customers
- Service disruptions: Uninsured events (like cyberattacks or disasters) can halt operations
- Weaker protections: Companies under financial strain may cut corners on quality or support
In extreme cases, a major uninsured loss can push smaller firms into bankruptcy — leaving customers, employees, and suppliers exposed.
### A familiar cycle in insurance
The trend reflects a classic pattern in the insurance market.
When economic pressure rises, companies often:
1. Cut coverage to save money
2. Experience losses that exceed expectations
3. Return to the market seeking more protection — often at higher prices
This “cut now, pay later” cycle has played out repeatedly across industries.
### What businesses are being told
Insurance advisors are urging companies to rethink cost-cutting strategies and focus on risk-informed decisions, not just price.
That includes:
- Evaluating which risks are truly critical
- Stress-testing coverage against worst-case scenarios
- Avoiding across-the-board cuts that ignore changing exposures
In other words, not all savings are equal — and some can be costly.
Good instinct — a real-world anchor will strengthen the piece. Here’s a tight, drop-in sidebar using widely reported events that clearly illustrate the underinsurance problem:
## Real-world tie-in: When risk cuts meet reality
### Colonial Pipeline ransomware attack (2021)
The [Colonial Pipeline cyberattack](https://en.wikipedia.org/wiki/Colonial%5FPipeline%5Fransomware%5Fattack?ref=consumernews.ai) remains one of the clearest examples of how operational risk — and insurance gaps — can ripple through the economy.
- A ransomware attack forced the shutdown of a major U.S. fuel pipeline
- Fuel supplies tightened across the Southeast
- Panic buying and temporary shortages followed
**Consumer impact:**
- Gas prices spiked in affected regions
- Long lines and station outages disrupted daily life
**Insurance angle:**
Cyber insurance helped cover some losses, but the event exposed how business interruption and infrastructure risks can exceed expectations — especially when coverage limits or scope are constrained.
**Lesson:** Even when insurance exists, gaps in coverage or scale can turn a corporate incident into a consumer crisis.
### California wildfires and insurance shortfalls
In recent years, homeowners and businesses affected by California wildfires have faced growing underinsurance issues, highlighted by events like the [Camp Fire](https://www.firerescue1.com/camp-fire/articles/fire-in-paradise-documentary-captures-the-first-horrific-hours-of-the-camp-fire-hskeXWSIZAfySAvy/?ref=consumernews.ai).
- Entire communities were destroyed
- Many properties were insured below full rebuilding cost
- Construction inflation widened the gap between coverage and reality
**Consumer impact:**
- Homeowners struggled to rebuild
- Insurance payouts fell short of actual costs
- Housing shortages pushed prices higher
**Insurance angle:**
Rising premiums and policy nonrenewals have pushed some property owners to reduce coverage — increasing the risk of being underinsured when disaster strikes.
**Lesson:** Cutting or limiting coverage in high-risk areas can amplify long-term affordability crises.
### Small business liability gaps during COVID-era disruptions
During the pandemic, many small businesses discovered their insurance didn’t cover shutdown losses — a gap that triggered widespread litigation involving insurers like State Farm and The Hartford.
- Businesses expected “business interruption” coverage to apply
- Most policies excluded pandemics
- Courts largely sided with insurers
**Consumer impact:**
- Permanent closures of restaurants and local shops
- Reduced services and higher prices where businesses survived
**Insurance angle:**
The issue wasn’t just cost-cutting — it was misunderstanding what coverage actually included, leaving businesses effectively uninsured for a major risk.
**Lesson:** Knowing what’s *not* covered can be as important as what is.
## Why these examples matter
Across very different events, the same pattern emerges:
- **Risk underestimated or coverage reduced**
- **Real-world shock hits**
- **Costs spread to consumers through prices, shortages, or lost services**
That’s the core warning behind today’s cost-cutting trend: insurance decisions made quietly in a budget cycle can surface loudly when something goes wrong.
### Waiting for your tariff refunds? Keep waiting ...
URL: https://www.consumernews.ai/waiting-for-your-tariff-refunds-keep/
Last updated: 2026-06-19T19:16:28.000Z
The old adage that what goes up must come down is just that — an adage, and one that doesn’t really apply these days.
Take tariffs for example. You didn’t really think you’d be getting a big refund for the expensive staples and gadgets you bought during the Trump Tariff Era, when President Trump gleefully imposed an ever-shifting collection of tariffs on friend and foe alike, did you?
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Trump portrayed the tariffs as a mighty weapon that would punish the countries that had offended him. Most economists, however, say that tariffs hit households, not foreign producers and are basically a domestic consumption tax.
> “Tariffs are largely passed through to U.S. prices.”
> — Researchers at Yale Budget Lab, estimating roughly 80%+ pass-through
>
> “U.S. consumers — not exporters — bore the brunt of the tariffs.”
> — Federal Reserve Bank of New York analysis of prior tariff rounds
Legalities and technicalities aside for a moment, the sheer difficulty of calculating how much the tariffs added to the cost of that flashlight you bought a few months will, in most cases, cost more than the tariffs themselves. Add to that the expense of cutting and mailing or transmitting a check and it’s just not worth it.
Even if you bought a big-ticket item, chances are the tariff wasn’t broken out on the invoice. If you bought a car, cynics would suggest the dealer added a tariff on the invoice that originated in his mind then crossed it out, allowing him to claim he had given you a discount.
## Law of the land
Trump is fond of saying that, as President, he can do anything and within limits, he can. But those limits include review by the Supreme Court which, as its name implies, reigns supreme when it comes to saying yea or nay to any particular law or executive order.
And in this case, the Court’s decision was clear: the tariffs were illegal and the government must pay back its ill-gotten gains.
The problem for consumers is that the tariffs were paid to the U.S. government by the importers, who then sold the imported goods to consumers or, in many cases, to distributors, retailers and others in the great chain of interstate commerce.
So, although the U.S. Treasury will be writing more than $166 billion in refund checks, the money won’t go to the long-suffering consumers who may or may not have paid a price that was inflated to reflect the tariffs.
## Data Box
**Tariffs & Consumer Impact (2026 snapshot)**
- [**\~86%**](https://budgetlab.yale.edu/research/tracking-economic-effects-tariffs?utm%5Fsource=chatgpt.com) — estimated tariff pass-through to consumer prices
- [**$166B+**](https://finance.yahoo.com/economy/policy/article/shipping-companies-begin-tariff-refund-push--and-promise-to-pass-along-the-money-to-customers-190651076.html?utm%5Fsource=chatgpt.com) — tariff revenue potentially eligible for refunds
- [**3 out of 19**](https://money.com/companies-giving-tariff-refunds/?utm%5Fsource=chatgpt.com) — companies committing to direct customer refunds
- [**$700–$1,000/year**](https://money.com/companies-giving-tariff-refunds/?utm%5Fsource=chatgpt.com) — estimated household tariff cost
## Where’s the refund?
A few retailers, most notably Costco, promised early on that if the tariffs were ruled illegal, they would refund them to their customers. They didn’t say how they would determine how much was due and the tariffs apparently weren’t itemized on Costco’s receipts.
Other retail giants who may have refunds coming include Home Depot, Lowe’s, Target and Walmart. They’ll need to decide how to handle the refunds. Some have made vague promises that they would pass on the refunds in the form of lower prices.
There are numerous class action lawsuits already and it’s likely there’ll be many more before the final check is cut. But payouts are likely to be small and slow in coming.
## As predicted …
This is pretty much what consumer advocates said back when Trump was imposing, modifying and canceling tariffs at a rapid pace.
> “There’s a real danger these refunds never make it back to consumers.”
> — Advocates at National Consumer Law Center
>
> “Companies were quick to raise prices — but much slower to lower them.”
> — Consumer Federation of America
Without pressure, refunds may stay on balance sheets
## **The too-little, too-late Congress**
Congress was in recess and invisible during much of the tariff era, emerging occasionally to do nothing to stop the hidden tax on consumers. Now, lawmakers are righteously pressing companies to explain:
- How tariff costs were passed on
- Whether refunds will translate into lower prices
> “Consumers deserve transparency on whether they will see any benefit.”
> — Congressional inquiry to major retailers
Political pressure is building — but no mandates yet (now that it’s too late to actually make a difference).
## Corporate strategy: delay, deflect — then raise prices
Executives rarely say “tariffs = higher prices” directly, but the pattern is consistent:
1. Short-term absorption
- Companies try to protect margins temporarily
2. Mitigation efforts
- Shift sourcing, renegotiate suppliers
3. Eventual pass-through
- Prices rise once those options run out
> Economists estimate roughly 86% of tariffs are passed through to prices in affected goods.
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### California advances bills to curb home insurance nonrenewals, force transparency on payouts
URL: https://www.consumernews.ai/california-advances-bills-to-curb/
Last updated: 2026-06-19T19:16:29.000Z
## A legislative push to stabilize a shrinking insurance market
A set of California bills designed to protect homeowners from losing insurance coverage — and to ensure they receive the full benefits they paid for — has cleared a key hurdle in the state Senate.
[The package](https://consumerwatchdog.org/insurance/legislation-to-get-families-the-home-insurance-benefits-they-paid-for-and-stem-nonrenewals-passes-senate-insurance-committee/?ref=consumernews.ai), backed by consumer advocates including Consumer Watchdog, passed the Senate Insurance Committee this week amid mounting concern over insurers pulling back from wildfire-prone areas and sharply raising premiums.
At the heart of the effort: stopping abrupt policy nonrenewals and forcing insurers to be more transparent about claims and coverage decisions.
The measures come as California faces an ongoing insurance availability crisis tied to climate-driven wildfire risk and rising catastrophe losses, trends that have pushed insurers to limit exposure or exit markets altogether, according to the [Yale Law Journal](https://yalelawjournal.org/essay/the-uninsurable-future-the-climate-threat-to-property-insurance-and-how-to-stop-it?utm%5Fsource=chatgpt.com).
## What the bills would do
The legislation targets several pain points for homeowners:
**More time and transparency on nonrenewals**
[One bill](https://www.prnewswire.com/news-releases/new-california-legislation-would-give-consumers-new-paths-to-keep-home-insurance-coverage-says-consumer-watchdog-302693875.html?utm%5Fsource=chatgpt.com) would require insurers to give significantly more advance notice — up to six months — before refusing to renew a policy, along with detailed explanations of why the decision was made.
It would also give homeowners time to make repairs or correct errors in underwriting data to keep their coverage.
**Guaranteed coverage for “fire-safe” homes**
Another measure would require insurers to offer and renew policies for homes that meet state wildfire safety standards, such as defensible space and home hardening improvements, [Insurance Journal](https://www.insurancejournal.com/news/west/2026/04/15/865907.htm?utm%5Fsource=chatgpt.com) reported.
**Cracking down on claim underpayments and delays**
Additional bills would force insurers to disclose how claim payouts are calculated — including original estimates and revisions — and impose penalties when payments are delayed.
Taken together, advocates say the package is meant to ensure homeowners can both keep their insurance and actually collect on it after a disaster.
## Why this is happening now
The push reflects growing frustration among homeowners who say they are:
- Being dropped despite making safety upgrades
- Receiving little explanation for nonrenewal decisions
- Struggling to recover full payouts after fires
Consumer groups argue that current rules give insurers too much discretion and too little accountability — especially as climate risks intensify.
Even existing protections, such as California’s one-year moratorium on nonrenewals after major disasters, have not prevented broader market pullbacks, the [California Department of Insurance](https://www.insurance.ca.gov/01-consumers/140-catastrophes/MandatoryOneYearMoratoriumNonRenewals.cfm?utm%5Fsource=chatgpt.com) said.
Meanwhile, insurers contend that rising wildfire losses and rebuilding costs are forcing difficult underwriting decisions.
## Industry concerns vs. consumer protections
The debate reflects a broader tension playing out across high-risk states:
- Insurers warn that stricter rules could discourage companies from writing policies at all
- Consumer advocates argue that without guardrails, coverage will continue to disappear — leaving homeowners stranded
According to reporting in Insurance Journal, the bills are part of a wider legislative push to balance insurer solvency with consumer access to coverage as the market destabilizes.
## Data box: California insurance stress points
- Nonrenewals rising in wildfire-prone regions
- Climate change driving higher catastrophe losses globally
- Insurance costs increasingly cited as a barrier to homeownership and rebuilding
- Policyholders reporting disputes over claim payouts and delays
Sources: Consumer Watchdog; Insurance Journal; academic and policy research (
## What this means for consumers
If enacted, the reforms could reshape how homeowners interact with insurers:
- More time to respond: Longer notice periods could prevent sudden coverage gaps
- Clearer rules: Required disclosures may make it easier to challenge nonrenewals
- Potential leverage: Transparency in claims could help homeowners dispute low payouts
But the bigger question remains unresolved: whether stricter consumer protections will stabilize the market — or accelerate insurer pullbacks.
> For now, California is emerging as a testing ground for how far states can go in regulating an insurance market increasingly shaped by climate risk.
### Consumers confront Social Security chaos
URL: https://www.consumernews.ai/consumers-confront-social-security/
Last updated: 2026-06-19T19:16:29.000Z
### Service breakdown hits seniors, disabled Americans
Cuts to the Social Security Administration are creating what Democratic lawmakers call “customer service chaos” for millions of Americans who rely on benefits, according to a new report highlighted by The Guardian.
The report—led by [Sen. Elizabeth Warren](https://www.warren.senate.gov/newsroom/press-releases/one-year-later-senate-democrats-social-security-war-room-highlights-wins-for-americans?ref=consumernews.ai) and other Democrats—found that phone wait times are far longer than official estimates, sometimes more than ten times higher. In many cases, calls go unanswered altogether.
The problems extend beyond call centers. Some field offices, particularly in rural areas, are reportedly so understaffed they are “effectively closed,” limiting access to in-person help for seniors and people with disabilities, [The Guardian](https://www.theguardian.com/us-news/2026/apr/23/democrats-social-security-office-benefits-trump-cuts?utm%5Fsource=chatgpt.com) reported.
### Denied benefits / delayed help: what consumers are facing
For many Social Security recipients, the issue isn’t just long wait times—it’s real-world disruptions that can quickly spiral:
**Missed or delayed payments**
- Seniors report waiting weeks—or longer—for corrections to payment errors or direct deposit changes
- Even short delays can mean missed rent, utility shutoff risks, or reliance on high-interest credit
**Disability claims stuck in backlog**
- Initial disability determinations and appeals are taking months—or in some cases more than a year
- Applicants often go without income while waiting, forcing difficult tradeoffs on food, housing, and medical care
**Inaccessible field offices**
- Reduced staffing has left some local offices effectively unavailable, especially in rural areas
- Consumers without reliable internet access face additional barriers to getting help
**Unresolved account errors**
- Problems like incorrect benefit amounts, overpayment notices, or identity verification issues can take repeated calls to fix
- With long phone wait times, some consumers simply give up before resolution
**Language and accessibility gaps**
- Limited staffing has also strained translation services and assistance for people with disabilities
- Advocates warn this disproportionately affects the most vulnerable beneficiaries
### Staffing cuts at center of controversy
At the heart of the dispute are deep staffing reductions at the SSA. [The report](https://www.warren.senate.gov/imo/media/doc/report%5Ffor%5Fthe%5Fone%5Fyear%5Fanniversary%5Fof%5Fthe%5Fsocial%5Fsecurity%5Fwar%5Froom.pdf?ref=consumernews.ai) points to the loss of more than 7,000 employees—roughly 12% of the workforce—as a key driver of service deterioration.
Those cuts were part of broader cost-cutting and restructuring efforts tied to the administration’s push to reduce spending and root out fraud, including initiatives associated with adviser Elon Musk’s government efficiency efforts.
Democrats argue the reductions have overwhelmed remaining staff, leading to long backlogs, delayed claims processing, and rising frustration among beneficiaries, according to [The Washington Post](https://www.washingtonpost.com/politics/2025/12/29/trump-social-security-cuts-customer-service/?utm%5Fsource=chatgpt.com).
### Fraud claims and policy fights intensify
The report also pushes back on claims from administration allies that fraud is widespread in the Social Security system.
Lawmakers say assertions that payments are going to deceased individuals or undocumented immigrants are exaggerated or false, citing internal data showing minimal fraud rates.
Meanwhile, proposals floated last year—including raising the retirement age or limiting disability benefits—have fueled additional concerns, though some ideas were later dropped after political backlash.
### Administration pushes back
The Social Security Administration and Trump officials strongly dispute the report’s conclusions.
An SSA spokesperson called the findings “baseless,” arguing that the agency is improving customer service and modernizing operations.
The White House has also emphasized tax relief policies, including efforts to reduce taxes on Social Security benefits, as evidence it is supporting seniors financially, according to a [Kiplinger](https://www.kiplinger.com/retirement/social-security/what-trump-has-done-with-social-security?utm%5Fsource=chatgpt.com) report.
### Affordability Watch
For consumers, the issue isn’t just politics—it’s access.
Social Security serves roughly 70+ million Americans, many of whom rely on timely payments to cover essentials like housing, food, and healthcare. When administrative systems break down, the impact can be immediate: delayed checks, unresolved claims, or inability to update direct deposit information.
For lower-income seniors especially, even short disruptions can translate into missed rent or skipped medications—turning bureaucratic slowdowns into real financial risk.
### Broader political stakes
The dispute highlights a growing partisan divide over the future of Social Security.
Democrats argue that administrative cuts are a backdoor way to weaken the program, while Republicans and Trump officials frame the changes as efficiency reforms paired with tax relief.
With the 2026 election cycle heating up, Social Security—long considered a political “third rail”—is once again emerging as a central battleground.
### Data Box: Social Security by the numbers
- **70+ million** Americans receive Social Security benefits
- **7,000+ jobs cut** from SSA workforce (about 12%) ([The Washington Post](https://www.washingtonpost.com/politics/2025/12/29/trump-social-security-cuts-customer-service/?utm%5Fsource=chatgpt.com))
- **10x higher wait times** reported vs. official estimates ([The Guardian](https://www.theguardian.com/us-news/2026/apr/23/democrats-social-security-office-benefits-trump-cuts?utm%5Fsource=chatgpt.com))
- **Millions of pending cases** and growing backlogs reported in 2025–26 ([The Washington Post](https://www.washingtonpost.com/politics/2025/12/29/trump-social-security-cuts-customer-service/?utm%5Fsource=chatgpt.com))
### Fed should reject banking application of CashNetUSA and NetCredit parent, consumer groups say
URL: https://www.consumernews.ai/fed-should-reject-banking-application/
Last updated: 2026-06-19T19:16:30.000Z
A coalition of consumer groups are urging the Federal Reserve to reject the application of [Enova](https://www.theoutragedconsumer.com/p/high-cost-lender-enova-wants-to-be?utm%5Fsource=publication-search) to become a national bank, saying its high interest rates would harm minority consumers.
Enova has filed for approval to buy [Grasshopper Bank](https://www.grasshopper.bank/?utm%5Fsource=google&utm%5Fmedium=cpc&utm%5Fcampaign=122&gad%5Fsource=1&gad%5Fcampaignid=17120716270&gbraid=0AAAAAoffBj%5FsDuvufZOXKY2nvXQ25tFEz&gclid=CjwKCAjwhqfPBhBWEiwAZo196rpEwYX1f9RsUxx0%5F6PyHzKz9jncb25JiSdPFxesp0i0BGGPi5vlxBoCzicQAvD%5FBwE). It currently operates consumer lending brands CashNetUSA and NetCredit and small business lender OnDeck.
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“This acquisition will create a new national bank that can legally charge up to 100% APR, and potentially even higher, including in states where those rates are prohibited for Enova and other non-bank lenders,” the groups said in [a letter to Federal Reserve Chair Jerome Powell](https://www.responsiblelending.org/research-publication/civil-rights-consumer-groups-urge-fed-reject-predatory-lenders-application?ref=consumernews.ai), charging that Enova’s predatory lending practices target communities of color.
## Fast cash, steep cost: inside Enova’s lending model
Chicago-based Enova International has built a multibillion-dollar business by doing what traditional banks often won’t: lending to borrowers with weaker credit profiles, quickly and online.
Through brands like [CashNetUSA](https://www.cashnetusa.com/?ref=consumernews.ai) and [NetCredit](https://www.netcredit.com/?ref=consumernews.ai), the company offers installment loans and lines of credit that can be approved in minutes and funded as soon as the same day.
But the convenience comes at a price.
Many of these loans carry annual percentage rates (APRs) ranging from roughly 99% to nearly 300%, far above the 36% threshold that consumer advocates typically consider the upper bound of affordability.
That puts Enova squarely in the high-cost lending market, alongside [payday](https://www.theoutragedconsumer.com/p/consumers-skinned-by-predatory-loans?utm%5Fsource=publication-search) and subprime installment lenders—products often used by consumers with few alternatives.
## Affordability Watch: when access becomes a liability
For borrowers facing an emergency—car repairs, rent gaps, medical bills—Enova’s loans can provide immediate relief.
But advocates say the structure of these loans can quickly turn relief into risk:
- High interest dominates payments: Early payments may go largely toward interest rather than principal
- Automatic withdrawals: Payments are often pulled directly from bank accounts, increasing the risk of overdraft fees
- Repeat borrowing: High costs can push borrowers to refinance or take new loans to stay current
The result, critics argue, is a familiar pattern: short-term credit that becomes long-term debt.
## Regulators: “unauthorized debits” and repeat violations
Federal regulators have taken action against Enova multiple times, raising concerns about how the company handles borrower accounts.
In 2019, the Consumer Financial Protection Bureau found that Enova:
- Debited consumer bank accounts without authorization
- Failed to honor promised loan extensions
The agency ordered the company to pay a $3.2 million penalty and change its practices.
But enforcement didn’t stop there.
In 2023, the CFPB said Enova violated that earlier order, continuing to withdraw funds improperly from more than 100,000 consumers. The agency imposed an additional $15 million penalty and required restitution.
For consumer advocates, the repeat violations are a red flag.
## Complaint patterns: fees, credit reporting, collections
Consumer complaints paint a consistent picture of friction points:
- Unexpected or disputed withdrawals
- Incorrect credit reporting
- Confusion over balances or loan terms
- Aggressive collection attempts on contested debts
Advocacy groups say thousands of complaints filed in recent years highlight ongoing risks for borrowers navigating complex loan terms.
## Data Box: Enova by the numbers
- **Company:** Enova International
- **Core brands:** CashNetUSA, NetCredit
- **Typical APRs:** \~99% to \~300%
- **Target borrowers:** Subprime / limited access to traditional credit
- **Regulatory penalties:**
- $3.2 million (2019)
- $15 million (2023)
- **Key risks:**
- Triple-digit interest rates
- Automatic bank withdrawals
- Repeat enforcement actions
- **Common complaints:**
- Unauthorized debits
- Credit reporting issues
- Unexpected fees
---
## Data Box: Enova by the numbers
- **Company:** Enova International
- **Core brands:** CashNetUSA, NetCredit
- **Typical APRs:** \~99% to \~300%
- **Target borrowers:** Subprime / limited access to traditional credit
- **Regulatory penalties:**
- $3.2 million (2019)
- $15 million (2023)
- **Key risks:**
- Triple-digit interest rates
- Automatic bank withdrawals
- Repeat enforcement actions
- **Common complaints:**
- Unauthorized debits
- Credit reporting issues
- Unexpected fees
## A bigger fight: access vs. protection
Enova’s business model sits at the center of a broader policy debate over high-cost lending in the U.S.
**Supporters argue:**
- Companies like Enova expand credit access to people banks reject
- Technology-driven underwriting allows faster, more flexible lending
**Critics counter:**
- Triple-digit APRs create unsustainable debt burdens
- Borrowers often lack meaningful alternatives or clear disclosures
- High-cost loans can deepen financial instability rather than solve it
The debate has intensified as some fintech lenders pursue bank partnerships or charters—moves that could allow them to export higher interest rates across state lines, bypassing stricter local caps.
## What this means for consumers
For borrowers, the key issue isn’t just access—it’s total cost over time.
**Potential benefits:**
- Fast approval and funding
- Availability for borrowers with poor or limited credit
**Major risks:**
- Extremely high interest rates
- Payment structures that slow debt payoff
- Account withdrawals that can trigger cascading fees
**Bottom line:**
These loans can be a last-resort lifeline—but they can also become a long-term financial burden if not repaid quickly.
## What to consider before borrowing
Consumer advocates recommend exploring alternatives first:
- Credit union small-dollar loans
- Payment plans with landlords, utilities, or medical providers
- Nonprofit credit counseling
If high-cost credit is unavoidable, borrowers should:
- Calculate the total repayment amount, not just monthly payments
- Watch for automatic withdrawal terms
- Avoid refinancing or rolling over debt when possible
## The takeaway
Enova International represents a growing segment of the financial system: fast, data-driven lending aimed at underserved consumers.
But as regulators’ repeat enforcement actions show, the model raises persistent concerns about fair practices and affordability.
For consumers, the equation is simple—and unforgiving:
easy money up front can mean expensive consequences later.
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### Medicare Advantage under fire: costs, care denials and plan shakeups hit seniors hard
URL: https://www.consumernews.ai/medicare-advantage-under-fire-costs/
Last updated: 2026-06-28T23:34:36.000Z
## **Affordability Watch: The hidden costs of Medicare Advantage**
The political storm around Medicare Advantage is no longer just a Washington fight—it’s increasingly about what seniors pay, what care they can access, and how stable their coverage really is.
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Now covering more than half of all Medicare beneficiaries, Medicare Advantage (MA) has become a dominant force in the U.S. healthcare system. But a wave of congressional scrutiny—focused heavily on insurers like [UnitedHealth Group](https://www.uhc.com/?ref=consumernews.ai)—is raising new questions about whether the program is delivering value or quietly driving up costs.
## **Billions in question: the “upcoding” fight**
At the center of the controversy is how insurers get paid.
Medicare Advantage plans receive higher payments for sicker patients. Critics say that system has created powerful incentives for insurers to inflate patient risk scores by documenting as many diagnoses as possible—a practice often referred to as “upcoding.”
Federal estimates suggest the stakes are enormous:
- Roughly $24 billion in excess payments in 2023 alone tied to coding intensity
- Tens of billions more over time linked to diagnoses that may not have been treated
Lawmakers in Congress—across both parties—are now questioning whether taxpayers are subsidizing inflated payments that don’t translate into better care.
For consumers, the impact isn’t abstract. Those higher payments help drive overall Medicare spending, which in turn affects Part B premiums paid by all beneficiaries, including those not enrolled in MA plans.
## **Congressional heat—and a spotlight on industry leaders**
The size of the program—and the scale of the dollars involved—has triggered multiple investigations.
Senate lawmakers have reportedly reviewed thousands of internal documents from major insurers examining how diagnoses are recorded and submitted. As the largest MA provider, UnitedHealth Group has drawn particular attention, though the scrutiny extends across the industry.
At issue: whether insurers are systematically maximizing payments through coding practices that may stretch—or exceed—clinical justification.
Rep. Alexandria Ocasio-Cortez (D-NY) is among the insurers’ toughest critics. At a hearing earlier this week she questioned Health and Human Services Secretary Robert F. Kennedy Jr. about his decision to send billions of taxpayer dollars to insurance giants under investigation for corporate fraud during a hearing in the Health Subcommittee of the Committee on Energy and Commerce.
[Ocasio-Cortez said](https://ocasio-cortez.house.gov/media/press-releases/ocasio-cortez-questions-secretary-kennedy-decision-send-billions-insurance?ref=consumernews.ai) UnitedHealth Group, CVS Health, and other for-profit health insurance companies with Medicare Advantage plans defraud the federal government by nearly $80 billion each year. Last year, Secretary Kennedy committed to looking into that fraud.
But under industry pressure this year, Kennedy decided to [increase payment rates](https://www.reuters.com/legal/litigation/us-finalizes-248-medicare-advantage-payment-hike-above-near-flat-january-2026-04-06/?ref=consumernews.ai#:~:text=Summary,Medicare%20Advantage%20plans%20in%202027.) by 2.48%, which will give these for-profit health insurers an additional $13 billion in taxpayer dollars in 2027\. When this final rate notice was announced, major insurers saw their[](https://www.reuters.com/legal/litigation/us-finalizes-248-medicare-advantage-payment-hike-above-near-flat-january-2026-04-06/?ref=consumernews.ai#:~:text=Summary,Medicare%20Advantage%20plans%20in%202027.)[stocks skyrocket](https://www.reuters.com/legal/litigation/us-finalizes-248-medicare-advantage-payment-hike-above-near-flat-january-2026-04-06/?ref=consumernews.ai#:~:text=Summary,Medicare%20Advantage%20plans%20in%202027.).
Whatever else it may be doing, UnitedHealth is continuing to keep its shareholders fiscally healthy. UnitedHealth Group ([UNH](https://finance.yahoo.com/quote/UNH?ref=consumernews.ai)) stock rose more than 8% in early trading on Tuesday when it [beat Wall Street’s earnings expectations](https://finance.yahoo.com/markets/stocks/article/unitedhealth-stock-jumps-8-on-earnings-outlook-beat-125216776.html?ref=consumernews.ai) and raised its full-year profit forecast. Revenue in the first quarter grew to $111.7 billion, higher than the $109.2 billion anticipated by analysts.
## **Coverage disruptions: millions forced to switch plans**
At the same time regulators are tightening payment rules, insurers are adjusting their business models—and that’s creating real-world disruption.
Recent research suggests:
- About 3 million MA enrollees (roughly 1 in 10) were forced to switch plans in 2026
- Insurers have cut or exited plans in certain regions, particularly in rural areas
For seniors, switching plans can mean:
- Losing access to preferred doctors
- Facing new prior authorization rules
- Paying different out-of-pocket costs
In some cases, patients may need to start over with new provider networks, a process that can be especially difficult for those with chronic conditions.
## **Prior authorization and care delays**
Another flashpoint: access to care.
Unlike traditional Medicare, Medicare Advantage plans frequently require prior authorization for certain services—meaning patients must get approval before receiving care.
Federal reviews have found that a notable share of denied requests would likely have been approved under traditional Medicare.
Consumer advocates argue this can lead to:
- Delays in treatment
- Administrative burdens for patients and doctors
- In some cases, denial of medically necessary care
Insurers counter that prior authorization helps control costs and prevent unnecessary procedures.
## **Regulators move to rein in payments**
The Centers for Medicare & Medicaid Services (CMS) is now pushing reforms aimed at reducing excess spending.
Proposed and finalized rule changes include:
- Limiting the use of chart reviews not tied to actual patient visits
- Adjusting risk-score calculations to reduce inflated diagnoses
The changes are expected to save billions annually, but insurers warn they could lead to:
- Reduced supplemental benefits
- Higher premiums
- Fewer plan options
That tension—between cost control and benefit levels—is at the heart of the current policy battle.
## **A program at a crossroads**
Medicare Advantage still offers features that make it attractive:
- Low or zero premiums in many plans
- Extra benefits like dental, vision and gym memberships
- Annual out-of-pocket caps
But critics argue those benefits may be partly financed by overpayments and cost-shifting, raising long-term sustainability concerns.
Meanwhile, growth in MA enrollment is slowing, suggesting the program may be entering a new phase—one defined less by rapid expansion and more by regulatory scrutiny and financial pressure.
## **What this means**
For consumers, the implications are immediate:
- Premium pressure: Higher program costs can translate into higher Medicare premiums overall
- Plan instability: More beneficiaries may face plan changes or forced switches
- Access concerns: Prior authorization and network limits remain key friction points
For policymakers, the stakes are even larger:
- Whether Medicare Advantage is saving money or costing more than advertised
- How to balance private plan flexibility with consumer protections
- And whether reforms can rein in costs without reducing benefits seniors rely on
## **Data Box: Medicare Advantage by the numbers**
- **35.5 million** — Total Medicare Advantage enrollees
- **\~51%** — Share of all Medicare beneficiaries in MA plans
- **$24 billion** — Estimated excess payments in 2023 tied to coding intensity
- **\~3 million** — Enrollees forced to switch plans in 2026
- **\~13%** — Share of prior authorization requests denied in MA
- **$7+ billion** — Estimated savings from recent CMS payment reforms
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### CFPB rollback could weaken fair lending practices, consumer advocates say
URL: https://www.consumernews.ai/cfpb-rollback-could-weaken-fair-lending/
Last updated: 2026-07-25T21:51:53.000Z
### A major shift in fair lending rules
A [new rule](https://www.consumerfinance.gov/rules-policy/final-rules/equal-credit-opportunity-act-regulation-b/?ref=consumernews.ai) issued this week by the Consumer Financial Protection Bureau is drawing sharp criticism from consumer advocates, who say it could significantly weaken protections against credit discrimination.
The rule alters how the agency enforces the [Equal Credit Opportunity Act](https://nationalfairhousing.org/issues/the-equal-credit-opportunity-act/?ref=consumernews.ai) (ECOA), the nation’s primary law prohibiting discrimination in lending. Specifically, it removes or narrows the use of “disparate impact”—a legal doctrine that allows regulators to challenge practices that disproportionately harm protected groups, even without proof of intent.
The National Consumer Law Center (NCLC) [called](https://www.nclc.org/cfpb-guts-fair-lending/?ref=consumernews.ai) the move a “major step backward,” warning that it could expose borrowers to increased discrimination when seeking mortgages, auto loans, credit cards, or small-business financing.
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
### What changed—and why it matters
Under the revised rule, regulators will have less authority to challenge lending practices that produce unequal outcomes across race, gender, or other protected categories unless intentional discrimination can be proven.
That’s a significant shift. Historically, disparate-impact analysis has been a cornerstone of civil rights enforcement in lending, housing, and employment.
[Legal analysts](https://www.garrishorn.com/blog/cfpb-issues-final-rule-amending-its-fair-lending-regulation-a-misfire-on-discouragement?utm%5Fsource=chatgpt.com) say the CFPB’s changes also narrow other key provisions, including rules against discouraging applicants and guidance on special-purpose credit programs.
Supporters of the rollback argue that disparate-impact enforcement can be overly broad and create legal uncertainty for lenders. But critics say eliminating it removes one of the few tools capable of identifying systemic bias—especially in modern, algorithm-driven lending systems.
### Who could be affected
Consumer advocates warn the impact could fall hardest on historically underserved groups, including:
- Black and Latino borrowers
- Native American communities
- Older adults
- Service members and veterans
These groups already face disparities in access to credit and loan pricing, and the new rule could exacerbate those gaps, according to the [NCLC](https://www.nclc.org/cfpb-guts-fair-lending/?utm%5Fsource=chatgpt.com).
The concern is particularly acute as lenders increasingly rely on automated underwriting and artificial intelligence—tools that can replicate or amplify existing biases if left unchecked.
### A broader pullback in consumer protections
The fair-lending rollback comes amid a wider shift in CFPB policy under the current administration.
Recent changes have included:
- New hurdles for filing consumer complaints about credit reporting errors
- Reduced regulatory scrutiny and enforcement activity
- Efforts to limit how often consumers can submit complaints
Consumer advocates say these moves collectively make it harder for borrowers to challenge errors or unfair practices.
At the same time, complaint volumes have surged. The CFPB received more than 5.6 million complaints in 2025, with credit reporting issues accounting for the vast majority.
### The policy and political backdrop
The rule aligns with a broader federal effort to scale back disparate-impact enforcement across agencies.
In recent days, the CFPB formally eliminated requirements tied to disparate-impact analysis under ECOA, a move critics say removes a key civil rights safeguard dating back decades, [Reuters](https://www.reuters.com/world/trump-consumer-finance-watchdog-ends-key-civil-rights-era-anti-discrimination-2026-04-21/?utm%5Fsource=chatgpt.com) reported.
Advocates argue that without this framework, lenders could adopt policies that appear neutral but still disproportionately harm certain groups—without facing regulatory consequences.
### Affordability Watch: Credit access meets rising costs
The timing of the rule change could amplify its real-world impact.
With borrowing costs elevated and household debt near record levels, access to fair and affordable credit is increasingly critical for consumers trying to:
- Buy homes or vehicles
- Start small businesses
- Manage rising living expenses
Advocates warn that weakening fair-lending enforcement during an affordability crunch could lead to:
- Higher loan denial rates for vulnerable borrowers
- Wider gaps in interest rates and loan terms
- Increased reliance on high-cost or predatory credit
---
### Data Box: Credit access and disparities by the numbers
**Mortgage denial gaps persist**
- Black applicants: \~16–18% denial rate
- White applicants: \~6–7% denial rate
*(Federal Reserve HMDA data, recent years)*
**Higher borrowing costs for minority borrowers**
- Black and Latino borrowers are more likely to receive higher interest rates—even after controlling for income and credit score
*(Consumer Financial Protection Bureau research findings)*
**Algorithmic bias concerns growing**
- Studies show fintech and AI-driven lenders can reduce some bias—but also risk replicating disparities embedded in historical data
*(National Bureau of Economic Research working papers)*
**Household debt at record levels**
- Total U.S. household debt: \~$17.5 trillion
- Credit card balances: over $1.1 trillion
*(Federal Reserve Bank of New York Household Debt & Credit Report, 2025–2026)*
**Delinquencies rising in key categories**
- Credit card delinquency rates: highest in over a decade
- Auto loan delinquencies: elevated, especially among subprime borrowers
*(Federal Reserve Bank of New York)*
**Who relies most on credit access**
- \~45% of U.S. adults say they could not cover a $400 emergency expense without borrowing or selling something
*(Federal Reserve Survey of Household Economics & Decisionmaking)*
---
### Why this matters
When fair-lending enforcement weakens, these gaps can widen—affecting not just who gets approved, but how much they pay and what financial options remain available.
### What comes next
Legal challenges to the rule are widely expected, and states or private litigants may attempt to fill enforcement gaps left by the CFPB.
But for now, consumer groups say the change represents a fundamental shift in how the federal government polices discrimination in lending—and one that could reshape access to credit across the U.S. economy.
### What this means
For consumers, the changes are unlikely to show up as a single, obvious policy shift—but rather as subtle differences in who gets approved, at what price, and under what terms.
For regulators and lenders, the rollback signals a new era: one where proving discrimination may require showing intent—not just unequal outcomes—raising the bar for enforcement and potentially leaving more borrowers unprotected.
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### Rental payments starting to show up in credit reports, possibly helping would-be homeowners
URL: https://www.consumernews.ai/rental-payments-starting-to-show/
Last updated: 2026-06-19T19:16:32.000Z
The rent may be too damned high and until now, there hasn’t been much incentive for consumers to pay their rent on time every time. That’s changing as a number of services are making it easier to share your good payment record with lenders. That can make it easier for younger consumers to build a strong credit record that can help them qualify for a less expensive mortgage.
It’s not automatic, though, and it’s still a bit of a patchwork so it’s important to stay up to date on who is doing what to and for renters.
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- The three major bureaus — Experian, Equifax, and TransUnion — can include rent payments on credit reports, according to [NerdWallet](https://www.nerdwallet.com/finance/learn/rent-reporting-services?utm%5Fsource=chatgpt.com).
- But they only do so if someone sends them the data — typically a landlord, property manager, or a third-party “rent reporting” service.
### How it works in practice
There are three main ways rent is getting added to credit reports now:
**1) Landlord/property manager programs (growing)**
- Many [large apartment operators](https://myhome.freddiemac.com/renting/how-get-your-rent-reported-credit-bureaus?utm%5Fsource=chatgpt.com) now report rent automatically or offer opt-in programs.
Some states and cities are even [pushing this](https://members.aagla.org/news/reporting-rent-to-credit-bureaus?utm%5Fsource=chatgpt.com) (for example, laws requiring landlords to offer reporting options).
**2) Third-party services (most common path)**
- Companies like rent-reporting apps/services track your payments and send them to bureaus.
- Some only report on-time payments, others report everything (including late payments) — which can hurt you.
**3) Credit-building tools tied to accounts**
- Some [newer fintech tools](https://www.nerdwallet.com/finance/learn/rent-reporting-services?utm%5Fsource=chatgpt.com) connect to your bank account and identify rent payments automatically, then report them.
### Important caveat
- Most rent is still NOT reported by default.
- Not all services report to all three bureaus, so the impact can vary.
- Not all credit scores use rent data:
- Some newer models (like certain FICO and VantageScore versions) do
- Many mortgage/auto lending models still ignore it, [Chase](https://www.chase.com/personal/credit-cards/education/build-credit/does-paying-rent-build-credit-history?utm%5Fsource=chatgpt.com) cautions.
### Why this matters
- On-time rent reporting can help people with thin or no credit build a score.
- But it cuts both ways: late payments can damage your credit if they’re reported.
# The key players in rent reporting
## 1) Direct-to-consumer apps (you sign up yourself)
These are the fastest-growing — and most relevant for consumers.
- **Experian Boost**
- Lets you add rent (and utilities) by linking your bank account
- Reports only to Experian
- Often free
- Big limitation: doesn’t reach all bureaus
- **Self**
- Reports rent + utilities to all three bureaus in some plans
- Designed for people building or rebuilding credit, says [Firstcard](https://www.firstcard.app/learn/blog/best-rent-reporting-services-to-build-credit-in-2026?utm%5Fsource=chatgpt.com)
- **Kikoff**
- Lightweight credit-building service that can include rent reporting
- Typically app-based, low-cost, according to [WalletHub](https://wallethub.com/best-rent-reporting-services?utm%5Fsource=chatgpt.com)
These are the easiest entry point — no landlord cooperation needed in many cases.
## 2) Standalone rent-reporting services (the core industry)
These companies specialize in taking rent payments and pushing them to credit bureaus.
- **RentReporters**
- Reports to all three bureaus
- Can add past rent history (a big differentiator), reports [TurboTenant](https://www.turbotenant.com/rent-collection/rent-reporting-services/?utm%5Fsource=chatgpt.com)
- **Rental Kharma**
- Focus on back-reporting (historical rent)
- Often used by people trying to boost scores quickly
- **Boom**
- Can report without landlord involvement
- Reports to all three bureaus, according to [Rent Reporting Center](https://rentreportingcenter.org/providers-for-renters/?utm%5Fsource=chatgpt.com).
- **RentTrack**
- Often integrated with payment systems
- Can report to all three bureaus in some setups, says [AxcessRent](https://axcessrent.com/best-rent-reporting-services/?utm%5Fsource=chatgpt.com)
These are the “plumbing” of the system — they connect renters/landlords to credit bureaus.
## 3) Landlord / property-manager platforms (quiet but powerful)
You may be enrolled automatically if your building uses one of these.
- **Esusu**
- One of the biggest multifamily housing partners
- Reports to all three bureaus, [Esusu](https://esusurent.com/?ref=consumernews.ai) says
- **RealPage**
- Offers opt-in rent reporting subscriptions in many apartment complexes, according to [RealPage](https://www.realpage.com/resident-resource-center/rent-reporting/?utm%5Fsource=chatgpt.com).
- **Avail**
- Automatically reports rent (often to TransUnion) through its system, according to [Rent Reporting Center](https://rentreportingcenter.org/providers-for-renters/?utm%5Fsource=chatgpt.com).
This is where scale is happening — large apartment portfolios adding reporting by default or opt-in.
## 4) Hybrid fintech / rent-payment apps
These blur the line between payments and credit-building.
- **PayYourRent**
- **RentRedi**
- **CreditClimb**
These platforms:
- Process rent payments
- Then automatically report them to one or more bureaus
# The key differences
Not all services are equal:
### Coverage
- Some report to all three bureaus (best impact)
- Others report to only one or two
### What gets reported
- Some report only positive payments
- Others report late/missed payments too (riskier)
### Cost
- Free (Experian Boost) → subscription ($5–$10/month typical)
### Back-reporting
- Some can add up to 24 months of past rent
- Others only report going forward
# Bottom line for consumers
- This is a rapidly expanding ecosystem, not a standardized system
- A handful of companies — especially Esusu, RentReporters, and Experian Boost — are shaping the market
- But your actual experience depends heavily on:
- Your landlord
- Which bureaus get the data
- Whether negative payments are included
## Caution required
This isn’t set in stone. It’s an evolving system and it’s changing rapidly, as landlords, lenders and the credit bureaus themselves exert pressure on the tracking services. It’s important to pay attention to details and to keep up with changes in the system.
> And don’t forget to pay the rent on time.
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### Meta hit with D.C. class action alleging it fuels ‘global fraud economy’
URL: https://www.consumernews.ai/meta-hit-with-dc-class-action-alleging/
Last updated: 2026-06-19T19:16:32.000Z
### A sweeping fraud claim
The Consumer Federation of America has filed a class action lawsuit against Meta Platforms, Inc., accusing the tech giant of misleading Washington, D.C. consumers about its role in enabling [online scams](https://www.theoutragedconsumer.com/p/meta-scams-surge-across-facebook?utm%5Fsource=publication-search) while profiting from them.
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Filed in D.C. Superior Court, the complaint alleges Meta operates as “a pillar of the global fraud economy,” allowing scam advertisements to proliferate across platforms like Facebook despite public assurances that it aggressively polices fraudulent activity.
The nonprofit is bringing the case under the D.C. Consumer Protection Procedures Act, a statute that allows public interest groups to seek damages and injunctions against deceptive business practices.
Meta denied the allegations and said it will fight the suit in court.
### Allegations of profit over protection
At the core of the lawsuit: claims that Meta’s internal policies contradict its public messaging.
According to the complaint, Meta tells users it is actively removing scams and protecting consumers, but in practice has adopted business strategies that allow high-risk advertisers to operate — and pay more for access.
The filing points to internal projections that more than 10% of Meta’s earnings in 2024 would come from scam ads, illegal gambling, and prohibited goods. That figure — roughly $16 billion — mirrors the amount Americans reported losing to online scams in the same year, according to the complaint.
Rather than banning risky advertisers, the lawsuit alleges, Meta charged them higher advertising rates, effectively monetizing fraud exposure.
### The legal theory
The case hinges on whether those practices amount to deceptive conduct under D.C. law.
The CPPA prohibits “unfair or deceptive trade practices” tied to the marketing and delivery of consumer services. CFA argues that Meta’s public claims about safety measures — combined with its alleged behind-the-scenes practices — misled users about the risks they face when using the platform.
Because the law allows nonprofits to act on behalf of the public, the case could move forward even without individual plaintiffs stepping forward.
### The scale of the scam economy
The lawsuit leans heavily on CFA’s broader research into online fraud.
In a recent report, the group estimated Americans lose more than $119 billion annually to scams, factoring in underreporting. Washington, D.C., is cited as the hardest-hit region on a per-capita basis, with estimated annual losses of $2.1 billion.
A separate CFA report, “[Scamplified](https://consumerfed.org/reports/true-cost-of-online-scams/?ref=consumernews.ai),” documents how emerging technologies — including AI tools — are accelerating fraud at scale, making platforms a critical battleground for enforcement.
### ‘Direct action’ amid regulatory gaps
CFA officials framed the lawsuit as a response to what they describe as a lack of effective oversight.
> “As Americans lose more and more money to online scams, Meta has consistently chosen to prioritize profit over the safety of their users,” said Ben Winters, the group’s director of AI and data privacy.
Winters added that federal action has lagged, leaving consumer groups to pursue litigation.
### What’s at stake
The lawsuit seeks:
- Financial damages for affected D.C. consumers
- Disgorgement of alleged illegal profits
- Court-ordered changes to Meta’s advertising and enforcement practices
If successful, the case could force changes to how major platforms vet advertisers and handle scam content — an issue regulators worldwide have struggled to address.
### What this means
For consumers, the case underscores a growing tension between platform convenience and safety. While companies tout AI-driven moderation and fraud detection, critics argue those systems often lag behind increasingly sophisticated scams.
For Meta, the lawsuit adds to a broader wave of scrutiny over its role in online harms — from privacy concerns to misinformation and fraud.
And for policymakers, the case may test whether existing consumer protection laws can effectively regulate digital platforms in an era where scams are global, automated, and deeply embedded in online ecosystems.
Here’s a **tight add-on section** you can drop into your story to give readers context on Meta’s broader legal exposure:
### Other cases facing Meta
The lawsuit from the Consumer Federation of America lands amid a growing pile of legal challenges confronting Meta Platforms, Inc. across multiple fronts — from antitrust to child safety to data privacy.
- **Antitrust battle with the FTC:** The long-running case FTC v. Meta Platforms, Inc. accuses Meta of maintaining a monopoly by acquiring rivals like Instagram and WhatsApp. A federal judge ruled in Meta’s favor in 2025, but the Federal Trade Commission is appealing, keeping the breakup threat alive.
- **Youth mental health and addiction lawsuits:** Dozens of lawsuits — including cases brought by school districts and families — claim Meta’s platforms were designed to be addictive and harmful to minors. Courts have signaled many of these claims will proceed, and at least one recent trial tested allegations that the company prioritized engagement over safety, [Reuters](https://www.reuters.com/legal/litigation/jury-reaches-verdict-meta-google-trial-social-media-addiction-2026-03-25/?utm%5Fsource=chatgpt.com) reported.
- **Child safety and exploitation claims:** In one of the most serious recent rulings, a New Mexico jury found Meta liable for enabling child sexual exploitation and misleading users about platform safety, ordering the company to pay $375 million, according to [The Guardian](https://www.theguardian.com/technology/2026/mar/24/meta-new-mexico-jury?utm%5Fsource=chatgpt.com).
- **Privacy and data misuse litigation:** Meta has already paid heavily to resolve past claims, including a $725 million class-action settlement tied to user data sharing and the [Cambridge Analytica](https://www.kellerrohrback.com/currentcases/facebook-inc-data-breach?utm%5Fsource=chatgpt.com) scandal — one of the largest privacy settlements in U.S. history.
- **Ongoing fraud and scam-related scrutiny:** Beyond the CFA case, other lawsuits — including actions by states and territories — have [similarly alleged](http://wired/?ref=consumernews.ai) that Meta profited from fraudulent ads or failed to adequately police scams on its platforms.
### Why it matters
Taken together, these cases paint a consistent legal narrative: regulators, states and private plaintiffs are increasingly arguing that Meta’s business model — built on engagement and advertising — may conflict with user safety.
The CFA lawsuit slots directly into that pattern, but with a sharper consumer-protection angle: whether misleading statements about scam prevention can trigger liability — and force changes to how the platform operates.
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### Looking for a quick escape from your timeshare?
URL: https://www.consumernews.ai/looking-for-a-quick-escape-from-your/
Last updated: 2026-06-19T19:16:33.000Z
Probably nothing carries more buyer’s remorse than a [timeshare](https://www.theoutragedconsumer.com/p/timeshare-exit-scheme-promoter-bilked?ref=consumernews.ai). They’re usually impulse buys that, like certain other things, look a lot worse in the morning than they did the day before.
Even worse than signing up for a timeshare you can’t afford and don’t want is falling for one of the many promoters who advertise quick escapes. As a [recent FTC case](https://www.theoutragedconsumer.com/p/timeshare-exit-scheme-promoter-bilked?ref=consumernews.ai) involving a $140 million penalty demonstrates, these schemes are mostly a way to squeeze more money out of remorseful timeshare owners.
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But let’s not paint the picture as completely hopeless.
There *are* options—but most of them take patience and a clear-eyed approach. The key is avoiding scams while working through legitimate exit paths. Here’s a quick overview of the steps you can take:
## 1) Ask the resort about a deed-back or surrender program
Start with the developer or resort itself.
- Many major brands (like Wyndham Destinations, Marriott Vacations Worldwide, and Hilton Grand Vacations) offer “deed-back” or “exit” programs
- You return the timeshare, and they release you from future obligations
- You usually must be paid in full and current on fees
**Reality check:** You won’t get money back—but you can stop the bleeding.
## 2) Try to sell it—but keep expectations low
You *can* list it on resale platforms:
- Licensed brokers
- Timeshare resale sites (often flooded with inventory)
**What to expect:**
- Many sell for a fraction of the original price—or $0
- You may need to offer incentives (like covering transfer fees)
> **Big warning:** Avoid anyone asking large upfront feesto “guarantee” a sale.
## 3) Rent it out to offset costs
If you can’t exit immediately:
- Rent your week on platforms like vacation rental sites
- Some owners recoup part (or occasionally all) of annual fees
**Limitations:**
- Not all contracts allow rentals
- Competition is heavy in many destinations
## 4) Consider a legitimate transfer or “giveaway”
Some owners simply give the timeshare away:
- Transfer ownership to another individual
- Use reputable transfer services (with modest, transparent fees)
**Important:** Make sure the transfer is legally completed—otherwise you remain liable.
## 5) Use the rescission period (if you just bought)
If the purchase is recent, act immediately:
- Most states allow a rescission (cooling-off) period—often 3–10 days
- You can cancel for any reason in writing
Check your contract and state law. This is the *cleanest* way out—but it’s time-limited.
## 6) Be cautious with “timeshare exit companies”
This is where many consumers get burned.
- Some firms charge thousands upfront and fail to deliver
- Others use questionable or risky tactics
The Federal Trade Commission and Better Business Bureau have both warned about widespread complaints.
**Safer approach:**
- Look for attorneys specializing in timeshare law (if needed)
- Avoid guarantees that sound too good to be true
## 7) As a last resort: stop paying (with caution)
Some owners consider defaulting—but this has consequences:
- Collections activity
- Credit score damage
- Possible legal action
When it may come up:
- If fees become unaffordable and no exit options work
This is generally a last resort, not a strategy.
## 8) File complaints if you were misled
If the purchase involved deception:
- File with your state attorney general
- File with the Federal Trade Commission
- Contact consumer protection groups like the National Consumer Law Center
This won’t guarantee cancellation—but it can help build pressure and document abuse.
## Bottom line
There’s no quick, universal escape—but the safest path usually looks like:
**Resort exit program → resale/transfer → rental (temporary relief)**
> And the biggest rule:
> **Never pay large upfront fees to anyone promising a fast exit.**
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### Study shows surprising links between Alzheimer’s and your appendix
URL: https://www.consumernews.ai/study-shows-surprising-links-between/
Last updated: 2026-06-19T19:16:33.000Z
#
Are you still in possession of your appendix? If so, you should make every effort to hang onto it. That’s because a new study finds that people equipped with their appendix may be better protected from Alzheimer’s disease than those whose “vstigial” organ is missing.
The brain-wasting disease that affects more than 55 million people worldwide has long been thought of as something that happens in the brain: a slow accumulation of toxic proteins, a gradual loss of neurons, a tragedy that unfolds in the mind. But a new study by the University of Technology Sydney and Massachusetts General Hospital/Harvard Medical Schoolis pointing somewhere else entirely: the gut.
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In one of the largest machine learning studies of its kind using artificial intelligence (AI) trained on data from nearly 10,000 people, a team of UTS researchers analyzed more than 120 everyday factors, including diet, medical history, gut bacteria, and lifestyle, to identify which of them are most strongly associated with Alzheimer’s risk.
## **The surprising appendix**
> “The most unexpected result in the study was perhaps also among the most revealing,” [said](https://www.eurekalert.org/news-releases/1125047?ref=consumernews.ai) UTS Associate Professor Kaveh Khalilpour. “People who had their appendix removed — one of the most routine surgical procedures in the world — showed substantially elevated Alzheimer’s risk, emerging as one of the strongest contributors in the entire analysis.
“We speculate that it functions as a reservoir of beneficial gut bacteria. When it is removed, the microbiome loses a key recovery mechanism, its ability to replenish healthy microbial communities after illness, infection, or antibiotic use,” he said.
Over decades, that disruption may compound, leaving the gut progressively less able to protect the brain from the inflammatory signals linked to neurodegeneration.
“This finding is particularly compelling, as it indicates that long-term brain health may be shaped by earlier life experiences through their enduring effects on the gut microbiome,” said PhD researcher Tallat Jabeen.
“It reframes how we think about Alzheimer’s risk, not as something that arrives with old age, but as something quietly accumulating across a lifetime.”
## **Diet as a driver**
Dietary patterns also emerged as one of the strongest predictors of Alzheimer’s risk, highlighting the role of everyday habits in shaping brain health.
“Rather than individual nutrients, the study found that overall eating patterns were more informative,” said Khalilpour “Diets rich in plant protein, dairy, omega-3 fatty acids, and whole foods were consistently associated with lower Alzheimer’s risk. Whereas diets dominated by processed food, refined sugars, and saturated fats pointed sharply in the other direction.
“Notably, overall dietary patterns outperformed individual nutrient measurements, meaning it is not a single vitamin or supplement that matters, but the cumulative, daily effect of how a person eats across years and decades.”
Lactose intake emerged as a particularly striking individual signal, with higher dairy consumption associated with lower predicted risk, that may reflect the gut microbiome’s response to fermented and dairy-rich foods, as well as calcium’s known neuroprotective properties.
“The implication is significant: if diet contributes to neurodegeneration, it can also, potentially, help prevent it.”, said Ali Zomorrodi, Assistant Professor at Massachusetts General Hospital & Harvard Medical School, and a collaborator of this ongoing project.
## **A new way of thinking about prevention**
What makes this research particularly significant is what it implies for prevention.
Karimi notes that unlike genetic risk factors, the drivers identified in the study are diet, gut health, cardiovascular conditions, and surgical history that exist on a timeline that can be intervened upon.
“Identifying individuals at elevated risk early, before any cognitive symptom has appeared, creates a window for action: dietary change, microbiome-targeted therapy, and better cardiovascular management. That window narrows sharply once Alzheimer’s has already announced itself,” she said.
“To illustrate the real-world application: imagine an older adult who had their appendix removed following appendicitis, has eaten a low-dairy, high-sugar diet for much of their life and has no memory complaints today. When their routine questionnaire is entered into the AI model, these factors will show an elevated Alzheimer’s risk. Simple dietary shift, more plant protein, more fish, less sugar could begin to restore the gut balance their brain depends on.
“Further validation through long-term studies is the essential next step. But the direction of the evidence is clear: Alzheimer’s may not begin in the brain at all. It may begin quietly and years earlier, in the gut shaped by the food we eat, the bacteria we carry, and the medical history we accumulate across a lifetime.”
The complete text of the study is [available online](https://alz-journals.onlinelibrary.wiley.com/doi/10.1002/dad2.70340?ref=consumernews.ai).
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### Timeshare exit scheme promoter bilked consumers out of $90 million: FTC
URL: https://www.consumernews.ai/timeshare-exit-scheme-promoter-bilked/
Last updated: 2026-06-19T19:16:34.000Z
Does it take a scam to escape a scam?
That might be a cynic’s reading of the case of “Consumer Law Protection” and other schemes that took consumers’ money on the promise that they could finally escape from the timeshare scam they signed up for in a moment of weakness.
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There are, after all, about as many people trying to get out of timeshares as there are signing up for one, maybe even more. The problem with timeshares is basically that they are virtually escape-proof. This provides an opening for opportunistic operators to smooth-talk those who’ve already shown — by virtue of their having signed up for a timeshare in the first place — that they are willing to throw good money after bad.
In the most recent illustration of this sorry phenomenon is the case brought by the Federal Trade Commission against the operators of Consumer Law Protection and other fetchingly named ventures that preyed on previous timeshare purchasers.
A federal court has ordered one of the key functionaries of the plot, Christopher Carroll, pay $140 million and has permanently barred him from marketing similar services in the future. Of that, $95 million will be paid as redress to consumers and $45 million as a civil penalty.
The court granted[ summary judgment](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/SquareOne-MemorandumandOrder.pdf?ref=consumernews.ai)to the Department of Justice and state of Wisconsin. Summary judgment basically means the judge granted the penalties without the formality of a trial.
## Deceptive claims to consumers
In [November 2022](https://www.ftc.gov/news-events/news/press-releases/2022/11/ftc-wisconsin-attorney-general-take-action-against-timeshare-exit-scammers-cheating-consumers-out-90?ref=consumernews.ai), the Department of Justice, on behalf of the FTC, and the state of Wisconsin sued a company going by the name “Consumer Law Protection” and related companies. Carroll served as president and CEO of the Square One Group, one of the corporations the defendants used to perpetrate their scheme, along with Consumer Law Protection, Premier Reservations Group, Resort Transfer Group and Timeshare Help Source.
The scheme used direct mail and in-person presentations to make an array of deceptive claims to pressure consumers into paying for timeshare exit services.
These included falsely claiming to be associated with timeshare companies; falsely telling consumers that they couldn’t exit a timeshare without paying the defendants’ exorbitant fees; failing to provide promised refunds; and forcing consumers to sign contracts that they were told they couldn’t cancel in violation of the [FTC’s Cooling-Off Rule](https://www.ftc.gov/legal-library/browse/rules/cooling-period-sales-made-home-or-other-locations?ref=consumernews.ai), which guarantees consumers the right to cancel a door-to-door sales contract within three business days of the sale.
In addition to the $140 million judgment, the [court’s order](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/SquareOne-Permanent%20Injunction.pdf?ref=consumernews.ai) also permanently bans Carroll from advertising, marketing, promoting, or offering for sale any timeshare exit service; from engaging in any deceptive door-to-door sales; and from engaging in other deceptive and misleading conduct detailed in the complaint.
## Timeshare blues
Buying a timeshare is the last thing most consumers plan to do when they get up in the morning. But if they’re on vacation, on a cruise or at a convention, they’re perhaps a bit more trusting and relaxed than usual and have more leisure time. So they end up accepting an invitation to a free lunch, dinner or cocktail hour, where they’re sucked into the vortex of a skillful, high-pressure sales extravaganza.
An hour or two later, they’re the proud “owners” of a few hours per year at a resort in some supposedly spectacular setting. But problems quickly emerge. Here are a few that popped up in a quick AI search:
## 1) High and rising maintenance fees
Even if you’ve paid off the timeshare itself, you’re still on the hook for annual maintenance fees—and they almost always go up.
- Fees often start around $800–$1,500 per year and can climb steadily
- You pay whether you use the property or not
- Special assessments (for repairs, storms, renovations) can add surprise costs
Why it matters: Over time, these fees can exceed the cost of simply booking hotels or rentals on your own.
## 2) Extremely hard to get out of
Getting into a timeshare is easy. Getting out is not.
- Contracts are long-term or even perpetual
- Resale markets are flooded—many units sell for $1 or go unsold
- Exit companies often charge thousands and may not deliver
Why it matters: You can be financially tied to something you no longer want for years—or decades.
## 3) Poor resale value (often near zero)
Unlike real estate, timeshares usually depreciate sharply.
- Buyers often can’t resell at anything close to what they paid
- Some owners literally give them away just to escape fees
Why it matters: It’s not an investment—it’s a prepaid vacation with ongoing costs.
## 4) Limited flexibility
Despite marketing claims, using your timeshare can be restrictive.
- Fixed weeks or limited booking windows
- Popular dates and locations get snapped up quickly
- Exchange programs can be complicated and costly
Why it matters: You may not be able to vacation when—or where—you actually want.
## 5) Aggressive sales tactics
The industry has a long history of high-pressure sales.
- Long presentations (2–4 hours or more)
- Promises of “investment value” or easy resale
- Incentives that push quick decisions
Regulators like the Federal Trade Commission have warned about misleading claims in timeshare sales.
Why it matters: Many buyers later say they didn’t fully understand what they were signing.
## 6) Financing costs can be steep
If you finance the purchase:
- Interest rates are often much higher than mortgages
- Loans may be harder to refinance
- Missing payments can damage credit
Why it matters: The true cost can balloon far beyond the purchase price.
## 7) Ongoing liability—even for heirs
Some contracts pass obligations to your estate.
- Heirs may inherit the timeshare (and its fees)
- Getting rid of it later can still be difficult
Why it matters: The financial obligation may outlive your interest in using it.
## 8) Exchange programs aren’t as easy as advertised
Programs like RCI or Interval International let you swap locations—but:
- Availability is limited
- Fees apply for exchanges
- High-demand destinations require advance planning or extra points
Why it matters: Flexibility often comes with extra cost and effort.
## Bottom line
> Timeshares tend to work best for a narrow group of people: those who vacation at the same place every year, plan far ahead, and don’t mind rising fees. For most consumers, they’re expensive, inflexible, and hard to exit.
---
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### California accuses Amazon of price-fixing, says it bullies vendors and competitors to raise prices
URL: https://www.consumernews.ai/california-accuses-amazon-of-price/
Last updated: 2026-06-19T19:16:34.000Z
Amazon is artificially driving up prices for American consumers through an illegal price-fixing scheme, California charges. State Attorney General Rob Bonta today announced the [public release of evidence](https://oag.ca.gov/system/files/attachments/press-docs/1.%20Mem.%20of%20Points%20and%20Authorities%20ISO%20The%20People%27s%20Mot.%20for%20Preliminary%20Injunction%20REDACTED%5F0.pdf?ref=consumernews.ai) that he supports the allegation.
In February, Bonta filed a [request for a preliminary injunction](https://oag.ca.gov/news/press-releases/attorney-general-bonta-exposes-amazon-price-fixing-scheme-driving-costs?ref=consumernews.ai) asking the San Francisco Superior Court to halt Amazon’s allegedly illegal conduct while California’s [lawsuit](https://oag.ca.gov/news/press-releases/attorney-general-bonta-announces-lawsuit-against-amazon-blocking-price?ref=consumernews.ai) proceeds, and today he secured a largely unredacted copy of that filing for the public.
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Amazon has long maintained that it offers customers the lowest prices but the $2.66 trillion empire has faced increased scrutiny from regulators, who have argued that the company’s policies harmed online competition and inflated consumer costs.
The [Federal Trade Commission and 17 states sued Amazon in 2023](https://www.nytimes.com/2023/09/26/technology/ftc-amazon.html?ref=consumernews.ai), accusing the company of illegally maintaining a monopoly in online retail by squeezing merchants who sell on its site and prioritizing its own products, The New York Times noted. Those actions resulted in “artificially higher prices,” according to the government’s suit, which is expected to go to trial next year.
In September, Amazon agreed to pay up to $2.5 billion to settle an FTC lawsuit that accused if of making it difficult for consumers to cancel its Prime subscription service. The company did not admit wrongdoing in the settlement.
The unredacted filing released today paints what Bonta called “a clear and shocking picture” of specific interactions in which Amazon, vendors, and competing retailers like Target, Walmart, Chewy, Best Buy, Home Depot, and others agree to increase retail prices across their platforms, all so Amazon can maintain its profit margins at the expense of consumers.
> “The evidence we’ve uncovered is clear as day: Amazon is working to make your life more unaffordable. The company is price fixing, colluding with vendors and other retailers to raise costs for Americans beyond what the market requires — beyond what is fair,” said Bonta.
“Amid a crisis of affordability, Amazon is illegally working to rake in profits by making sure consumers have nowhere else to turn to for lower prices. We’ll see them in court,” Bonta said.
## Amazon “proud of … low prices”
In a statement, Amazon called Bonta’s filing a “transparent attempt to distract from the weakness of \[California’s\] case, coming more than three years after filing its complaint and based on supposedly ‘new’ evidence it has had for years.”
“Amazon is consistently identified as America’s lowest-priced online retailer, and we’re proud of the low prices customers find when shopping in our store,” spokesman Mark Blafkin said.
## Vendors bullied to jack up prices, state alleges
For years, Amazon has reached out to its vendors and instructed them to increase retail prices on competitors’ websites, threatening dire consequences if vendors do not comply, Bonta alleged. Vendors, bullied by Amazon’s overwhelming bargaining leverage and fearing punishment, agree to raise prices on competitors’ websites, or to remove products from competing websites altogether, he said.
This price-fixing scheme typically begins with Amazon demanding that vendors “fix,” “correct,” “increase,” “raise,” or “look into” the prices of products on other retailers’ websites, California’s suit charges. These directives to vendors are backed by the threat of significant penalties for failure to comply — ranging from advertising and promotion restrictions, to demands for financial compensation, to the removal of vendors’ products from Amazon, California charges.
## “Three illegal schemes”
Amazon uses three different illegal schemes, all of which result in increased prices for consumers, Bonta alleges.
- Amazon or its competitor, through their common vendor, will agree to increase the retail price or make a product temporarily unavailable, so that the other retailer can match the increased market price, increasing the price for consumers.
- A competitor offering a cheaper price on a product will increase its retail price at Amazon’s request (a request made through the vendor), so that Amazon can then match that increased retail price, thereby increasing the price for consumers.
- The vendor removes a product from a competing retailer that is offering a lower price than Amazon, so that the lower price is no longer available in the market and Amazon then raises its retail price, resulting in a higher price for consumers.
## What happens next?
As part of the motion for preliminary injunction, originally filed in February, Attorney General Bonta asks the court to stop Amazon’s unlawful conduct while this case proceeds, including: engaging in explicit price fixing with its vendors and its competitors; communicating with vendors about other retailers’ pricing; and coercing its vendors to serve as the go-between with its competitors by demanding money to make Amazon whole for price matching a lower-priced retailer.
The hearing on the preliminary injunction motion is set for July 23\. This case is scheduled to go to trial in January 2027.
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### Maryland outlaws 'predatory pricing,' other states may follow
URL: https://www.consumernews.ai/maryland-outlaws-predatory-pricing/
Last updated: 2026-06-19T19:16:34.000Z
A merchant is someone who displays goods for sale and either posts a set price for each item or offers to negotiate each individual transaction. A predator is someone who secretly and surreptitiously changes the sale price of an item based on what it thinks it knows about each customer.
Being a retailer is OK. Being a predator isn’t, at least in Maryland. Its legislature has passed the [Protection from Predatory Pricing Act](https://governor.maryland.gov/news/press/pages/governor-moore-announces-legislation-to-protect-marylanders%E2%80%99-pocketbooks,-data-privacy-at-the-grocery-store.aspx?ref=consumernews.ai), and Governor Wes Moore says he will sign it into law. That will make Maryland the first state to outlaw predatory pricing — termed “dynamic” or “surveillance” pricing in the more polite language favored by retailers.
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Kroger, Walmart and Lidl are all reported to be using surveillance pricing in at least some of their locations. While supermarkets are fairly new to the game, dynamic pricing is common in many industries, including e-commerce, airlines, ride sharing and event tickets (like [Ticketmaster](https://www.theoutragedconsumer.com/p/potential-settlement-in-live-nationticketmaster?utm%5Fsource=publication-search)).
Dynamic pricing uses algorithms to adjust prices based on factors like:
- Demand (busy times vs. slow periods);
- Inventory levels;
- Location;
- Time of day or season;
- Your browsing or purchase history.
It’s widely used by companies like Amazon, Uber, and airlines such as Delta Air Lines. But changing prices in a retail setting is different, consumer advocates argue.
> “Marylanders deserve to know that the price they see on the shelf is the price they will pay at the register,” [said Gov. Moore](https://governor.maryland.gov/news/press/pages/governor-moore-announces-legislation-to-protect-marylanders%E2%80%99-pocketbooks,-data-privacy-at-the-grocery-store.aspx?ref=consumernews.ai) in January when the bill was introduced.
“Our Administration is laser-focused on protecting Marylanders from skyrocketing costs. At a time when Marylanders are already stretched by the rising cost of groceries, housing, and everyday necessities, we must ensure that new technologies are not used to drive up the bill for working families,” Moore said.
Civil penalties for violators in Maryland start at $10,000 for a first offense and rise to $25,000 for subsequent violations.
### “Personalized pricing”
Some retailers experiment with charging different prices based on:
- Device (Mac vs. PC);
- Location or ZIP code;
- Shopping history.
While not always confirmed publicly, concerns about “digital price discrimination” are growing — especially around companies like Amazon and large data-driven retailers.
## Electronic shelf labels
The impetus for predatory pricing is the retail industry’s rapid adoption of electronic shelf labels, which make it simple to change prices “on the fly,” depending on who the customer is, what time it is, what the weather is or other factors that consumers wouldn’t expect to be a legitimate factor in pricing.
Brick-and-mortar retailers welcome electronic shelf labels because they think it gives them a competitive leg up over online merchants, who can easily match prices to fit the profiles they have on their customers.
> Remember, each time you use that little “discount” card from a major retailer, it’s one more notch in the merchant’s warehouse of information about you. That data, by the way, is exempt from the Maryland law thanks to vigorous lobbying from the [Maryland Retail Alliance](https://www.mdra.org/blog?ref=consumernews.ai).
Consumer Reports lobbied for the bill, but says the final draft of H.B. 895 “falls short of adequately protecting consumers”, thanks to the loyalty card exemption.
## Lots of data, much of it wrong
“Retailers have a lot of data about individual shoppers; how often we search for or hover over particular items, whether we live near competitor stores, inferences about our likes and dislikes, our dietary needs, our income, our family size, and more. Surveillance pricing allows companies to take advantage of that information asymmetry and charge you as much as they think you’re individually willing to pay,” [said Grace Gedye](https://advocacy.consumerreports.org/press%5Frelease/consumer-reports-statement-on-marylands-protection-from-predatory-pricing-act/?ref=consumernews.ai), senior policy analyst at Consumer Reports (CR).
For instance, one Kroger’s shopper in Oregon requested their data under a state privacy law and received a 62-page profile — and [most of the inferences](https://www.consumerreports.org/money/questionable-business-practices/kroger-secret-grocery-shopper-loyalty-profiles-unfair-a1011215563/?ref=consumernews.ai) were wrong.
Other states are considering surveillance pricing bans including California, Colorado, Illinois, New Jersey, New York.
- Grocery stores are required to keep their prices fixed for at least one business day to prevent hourly price spikes.
- Retailers are prohibited from using surveillance data—such as a customer’s shopping habits, ethnicity, or income—to set different prices for different individuals.
## What consumers can do
Dynamic pricing isn’t going away — it’s becoming the default. While it can occasionally save consumers money, it more often rewards flexibility and punishes urgency. The result: a marketplace that’s more efficient for companies, but often more complicated and costly for consumers.
There are a few steps you can take to defend yourself:
- Track prices over time (use price trackers or alerts);
- Shop off-peak when possible;
- Compare across platforms before buying;
- Clear cookies or use private browsing to reduce personalization signals;
- Be cautious about urgency cues (“Only 2 left!” can be algorithmic).
You can also be wary of retailers who use electronic shelf labels. This is rapidly becoming the default but there are still some hold-outs, including [Trader Joe’s](https://www.sfgate.com/food/article/trader-joes-digital-shopping-20240272.php?utm%5Fsource=chatgpt.com), which has explicitly taken a low-tech approach compared to other grocery chains:
The company has said “screens in stores are just not things we do” and it avoids investing in in-store tech that could raise costs. It also avoids tracking customer behavior or building data-driven pricing systems, sticking to a simpler retail model, part of its “neighborhood market” ethos. .
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### Healthy food is good for you, unless it’s not, study finds
URL: https://www.consumernews.ai/healthy-food-is-good-for-you-unless/
Last updated: 2026-06-19T19:16:35.000Z
A study by researchers at USC suggests that a diet rich in fruit, vegetables and whole grains just may turn out to put non-smoking Americans under 50 at risk for lung cancer.
Why? Pesticides.
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And yes, the risk appears to be higher in non-organic produce since organic fruits and vegetables are supposed to be pesticide-free.
“Our research shows that younger non-smokers who eat a higher quantity of healthy foods than the general population are more likely to develop lung cancer,” said [Jorge Nieva, MD](https://www.keckmedicine.org/provider/jorge-j-nieva/?ref=consumernews.ai), a medical oncologist and lung cancer specialist with USC Norris and lead investigator of the study.
“These counter-intuitive findings raise important questions about an unknown environmental risk factor for lung cancer related to otherwise beneficial food that needs to be addressed,” Nieva said.
Nieva and his fellow researchers speculate that this risk factor may be the pesticides used to keep crops pest-free. Commercially produced (non-organic) fruits, vegetables and whole grains are more likely to be associated with a higher residue of pesticides than dairy, meat and many processed foods, according to Nieva.
He also notes that agricultural workers exposed to pesticides typically have higher rates of lung cancer, which adds credence to the theory.
The study also showed that young women who don’t smoke have a higher incidence of lung cancer than men, and that women tended to also have a diet higher in produce and whole grains than men.
## A new epidemic of lung cancer
Lung cancer has typically been a disease that affects older adults (the average age of lung cancer onset is 71), men more than women, and smokers.
Smoking rates have fallen since the mid-1980s, which has led to fewer lung cancer cases across the United States, except for one unique group — non-smokers age 50 and younger, especially women, who are now more likely to get lung cancer than men.
To investigate this trend, researchers launched the [Epidemiology of Young Lung Cancer Project](https://alcmi.org/clinical-trials/current-studies/eoylc-study.html?ref=consumernews.ai), which surveyed 187 patients who were diagnosed with lung cancer by age 50\. Patients provided details on demographics, diet, smoking history and lung cancer diagnosis.
Most patients had never smoked and had a form of lung cancer biologically different from lung cancer caused by smoking. A 2021 study found that the subtypes of lung cancer seen in people under 40 were distinct from lung cancer in older adults.
On average, the young lung cancer patients ate more daily servings of fruit, vegetables and whole grains than the general population. For example, participants averaged 4.3 servings of dark green vegetable and legumes and 3.9 servings of whole grains per day, while the average U.S. adult eats 3.6 servings of dark green vegetables and legumes and 2.6 servings of whole grains per day.
## More research needed
The link between pesticides and lung cancer in young people, especially women, needs more research, said Nieva.
In the study, researchers did not test specific foods for pesticides. Instead, they used published data on average pesticide levels for food categories such as fruits, vegetables and grains to estimate exposure.
The next step, said Nieva, is to confirm the link by directly measuring pesticide levels in blood or urine samples from patients. This could also help reveal whether or not some pesticides increase lung cancer risk more than others.
“This work represents a critical step toward identifying modifiable environmental factors that may contribute to lung cancer in young adults,” said Nieva. “Our hope is that these insights can guide both public health recommendations and future investigation into lung cancer prevention.”
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### Rising jet fuel prices reshaping air travel
URL: https://www.consumernews.ai/rising-jet-fuel-prices-reshaping/
Last updated: 2026-06-19T19:16:35.000Z
If you were planning to go somewhere, we hope you’re there by now. Otherwise, getting there (and getting back) is liable to be more costly than you imagined. The Iran conflict and other Middle East tensions are spiking fuel prices.
Recent reports say fuel costs have jumped 50% or more this year, nearly doubling for some carriers, according to [The Washington Post](https://www.washingtonpost.com/business/2026/04/19/jet-fuel-shortages-europe-travel-summer-vacation/?utm%5Fsource=chatgpt.com). Even dogs are getting trimmed. United Airlines is now charging $150 to let Fluffy travel under your seat.
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When fuel costs spike, airlines don’t have much choice but to pass at least some of the increase along to passengers. That means airfares, fuel surcharges and fees for checked bags and seat selection rise rapidly.
You may not feel this for previously scheduled domestic travel but last-minute and long-haul trips are definitely getting pricier at warp speed.
## Pricier and fewer
Flights are not only getting more expensive, there are fewer of them. As costs rise, airlines respond by cutting less popular routes, reducing flight frequency and even canceling some flights outright.
This is especially true in Europe and the Middle East, where many airlines have been flying longer routes to avoid war-torn areas that might be hazardous or canceling flights altogether.
Airlines are also responding by grounding older, less fuel-efficient planes, [Reuters](http://reuters/?ref=consumernews.ai) reports.
> Bottom line: Higher fares, fewer options and more crowded flights.
### U.S. is better off … for now
The situation is more critical iin Europe and the Middle East. There, it’s not just soaring prices but the very real possibility of serious fuel shortages affecting travel.
International Energy Agency (IEA) Director Fatih Birol told AP that Europe has “[maybe six weeks](https://www.euronews.com/my-europe/2026/04/16/europe-has-six-weeks-of-jet-fuel-left-caused-by-dire-strait-crisis-iea-chief-warns?ref=consumernews.ai)” of remaining jet fuel supplies and that the global economy faces its "largest [energy](https://www.euronews.com/tag/energy?ref=consumernews.ai) crisis”.
### Who gets hit hardest
- Leisure travelers: More price-sensitive, more likely to cancel or delay trips
- Families: Higher total trip costs multiply quickly across multiple tickets
- Rural/smaller markets: Fewer routes mean fewer alternatives
- Budget flyers: Ultra-low-cost deals become harder to find
## What it means for travelers
- Book earlier to avoid price spikes
- Expect fewer deals and discounts
- Be flexible with routes and timing
- Watch for added surcharges even after booking
- Look into alternatives: trains, buses, driving, going virtual.
### What to watch next
- Further fare increases if fuel prices remain elevated
- Additional route cuts heading into peak travel seasons
- More aggressive fee strategies from major carriers
For consumers already dealing with rising costs — from groceries to insurance — higher airfares add another layer of pressure. Travel is becoming less spontaneous, less flexible, and increasingly out of reach for price-sensitive households.
## What if fuel costs come down?
We know what you’re saying: “Sure, they jack the fares up when fuel prices go up but when do they ever come back down?”
Good question and it’s one that [Rep. Ritchie Torres](https://ritchietorres.house.gov/?ref=consumernews.ai) (D-NY) is asking. He’s written to the CEOs of Delta, United, JetBlue and Southwest.
“I call on you to publicly commit to lowering costs associated with air travel should jet fuel prices decline. The American people deserve fairness and pricing models that do not only reflect market conditions, but also economic justice.” Torres said in a letter to the CEOs, according to [CNBC](https://www.cnbc.com/2026/04/16/airline-ceos-prices.html?ref=consumernews.ai).
“If airline pricing is truly tied to global fuel costs, then it must be truly responsive when those costs decline,” Torres said.
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### Maine is first to protect consumers from home equity investment loans
URL: https://www.consumernews.ai/maine-is-first-to-protect-consumers/
Last updated: 2026-06-19T19:16:36.000Z
Maine Governor Janet Mills signed a bill this week making Maine the first state in the nation to create essential consumer protections for home equity investment (HEI) loans, called shared appreciation mortgage loans in the new law.
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The [new law](https://legislature.maine.gov/legis/bills/getTestimonyDoc.asp?id=193315&ref=consumernews.ai) provides safeguards from this growing class of complicated, high-risk financial products, which lure homeowners with the promise of upfront cash and no monthly payments, hiding large, unknown lump-sum payments.
“With the signing of this groundbreaking bill, Governor Janet Mills brings transparency and fairness to the home equity investment loan process,” [said](https://www.nclc.org/maine-governor-signs-first-in-the-nation-law-to-protect-homeowners-from-home-equity-investment-loans/?ref=consumernews.ai) Andrea Bopp Stark, senior attorney at the National Consumer Law Center (NCLC). “This legislation applies comprehensive boundaries to a complex financial product that is often marketed and sold without regard for the long-term impacts on homeowners.”
## “Shared appreciation mortgage loans”
The new law defines a category of mortgage loans, so-called “shared appreciation mortgage loans.” These are defined as loans where a homeowner receives cash up front in exchange for a future interest in their home’s value, secured by the property and repayable upon a specific event like a sale or death.
The repayment amount is unknown when the loan is taken out and is due as a lump sum balloon payment that can be tens or even hundreds of thousands of dollars more than cash received, often forcing homeowners to sell their homes. These loans strip equity, depleting assets needed for retirement, healthcare, or family wealth transfer.
The loans are marketed to homeowners across the country, particularly older adults with significant equity and homeowners with lower credit scores. They have caused [significant harm](https://www.mass.gov/news/ag-campbell-files-nation-leading-state-enforcement-action-against-home-equity-investment-company-alleging-violations-of-consumer-protections-mortgage-laws?ref=consumernews.ai).
The new protections in the law include:
- robust disclosures that provide the actual costs of the loan;
- a requirement for housing counseling education and legal representation;
- prohibitions on unreasonable restrictions on renting, occupying, and maintaining the property; and
- liability for claims and defenses with respect to the loan that the homeowner may assert against the lender for anyone who buys or is assigned the loan.
Read more: [**‘No-debt alternative’ mortgages strip homeowners’ equity, suit charges**](https://www.theoutragedconsumer.com/p/no-debt-alternative-mortgages-strip?utm%5Fsource=publication-search)
## A lifeline or a trap?
“HEI loans may be marketed as a lifeline to a homeowner in trouble, but they are a trap that siphons away people’s hard-earned equity,” said Maine attorney Tom Cox**.** “Thanks to the Maine Legislature and Governor Mills, Mainers will have one less bad financial actor to contend with.”
NCLC has long advocated for the regulation of HEI loans. NCLC attorneys provided technical assistance in the development of the bill and testified in support of the bill.
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### Trump pushes psychedelics into the policy mainstream with new research order
URL: https://www.consumernews.ai/trump-pushes-psychedelics-into-the/
Last updated: 2026-06-19T19:16:36.000Z
## A dramatic shift in federal drug policy
President Donald Trump has signed an executive order directing federal agencies to accelerate research and potential approval of psychedelic drugs — a move that signals one of the most significant shifts in U.S. drug policy in decades.
The order instructs the Food and Drug Administration to speed up clinical trials and review pathways for substances including [psilocybin](https://www.dea.gov/factsheets/psilocybin?ref=consumernews.ai) (the active compound in “magic mushrooms”), [MDMA](https://www.dea.gov/factsheets/ecstasy-or-mdma-also-known-molly?ref=consumernews.ai) (ecstacy), [LSD](https://www.dea.gov/factsheets/lsd?ref=consumernews.ai), and [ibogaine](https://www.sciencedirect.com/science/article/pii/S2949916X25000374?ref=consumernews.ai), all of which are currently classified as Schedule I drugs under federal law, according to [The Washington Post](https://www.washingtonpost.com/politics/2026/04/17/trump-psychedelics-psylocibin-research/?utm%5Fsource=chatgpt.com).
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The administration framed the move as a response to the nation’s worsening mental health crisis, particularly among military veterans struggling with post-traumatic stress disorder (PTSD), depression, and addiction, [Reuters](https://www.reuters.com/world/trump-announces-reforms-accelerate-access-psychedelic-drug-treatments-2026-04-18/?utm%5Fsource=chatgpt.com) reported.
## Veterans and mental health drive the push
At the center of the policy shift is a growing coalition of veterans, lawmakers, and advocates who argue that traditional treatments have failed many patients.
Trump highlighted the potential of [ibogaine](https://en.wikipedia.org/wiki/Ibogaine?ref=consumernews.ai) — a psychedelic derived from an African plant — which has [shown promise](https://med.stanford.edu/news/all-news/2024/01/ibogaine-ptsd.html?ref=consumernews.ai) in treating PTSD and opioid addiction. The administration committed at least $50 million to research into ibogaine and other psychedelic therapies.
Supporters say the urgency is clear: thousands of U.S. veterans die by suicide each year, and many have traveled abroad for psychedelic treatments that remain illegal domestically.
Health officials, including Health Secretary Robert F. Kennedy Jr., emphasized the need to explore “all options” for treatment-resistant conditions.
## What the order actually does
The executive order lays out several concrete steps:
- Fast-tracking FDA reviews for certain psychedelic drugs, potentially using “breakthrough therapy” pathways;
- Expanding clinical trials, including first-in-U.S. human trials for ibogaine;
- Increasing federal funding for research and development;
- Exploring rescheduling of psychedelics that receive FDA approval;
- Allowing limited access pathways, such as “right-to-try” options for some patients.
If successful, the policy could lead to the first federally approved psychedelic treatments in the U.S., possibly as soon as later this year, according to officials.
## The science: promise — and uncertainty
Psychedelics have drawn increasing attention from researchers over the past decade. Early studies suggest compounds like [psilocybin](https://pmc.ncbi.nlm.nih.gov/articles/PMC6007659/?ref=consumernews.ai) may help alleviate depression and anxiety, particularly in treatment-resistant cases, though results are often modest and short-term.
Ibogaine has also shown potential benefits, particularly for addiction and PTSD, but carries significant risks — including cardiac complications and, in some cases, death, according to [AP News](https://apnews.com/article/a9940fa57fa1457fc064eb5165003524?utm%5Fsource=chatgpt.com).
Researchers say more rigorous, large-scale trials are needed before these therapies can be widely adopted.
## Critics warn of risks and “overhype”
Not everyone is convinced the policy is moving at the right pace.
Some public health experts argue that psychedelics remain poorly understood and could pose safety risks if rushed through the approval process. Critics also warn that enthusiasm for these treatments may outpace the science.
“There’s concern about promoting unproven therapies,” one prominent drug policy critic said, pointing to limited long-term data and potential side effects, [The Washington Post](https://www.washingtonpost.com/politics/2026/04/17/trump-psychedelics-psylocibin-research/?utm%5Fsource=chatgpt.com) said.
Others caution that focusing on experimental treatments could distract from more immediate needs, such as expanding access to existing mental health care.
## A bipartisan — and cultural — shift
Despite the concerns, interest in psychedelics has grown across the political spectrum.
States including Oregon and Colorado have already moved to legalize or decriminalize psilocybin in controlled settings, reflecting broader public openness to alternative therapies.
High-profile advocates — from veterans’ groups to media personalities — have helped push the issue into the mainstream, reframing psychedelics from counterculture substances to potential medical tools.
## What this means for consumers
For now, psychedelic drugs remain illegal for most uses in the United States, and consumers should be wary of clinics or providers making unproven claims.
But the federal push could eventually lead to:
- New treatment options for PTSD, depression, and addiction;
- Insurance and cost questions if therapies are approved but expensive to deliver;
- A surge in telehealth and wellness marketing, raising fraud and safety concerns;
- Regulatory gray areas during the transition from prohibition to medical use.
In short, psychedelics are moving rapidly from the fringe toward the medical mainstream — but the science, regulation, and consumer protections are still catching up.
---
## **Affordability Watch: Will psychedelic therapy be the next expensive “breakthrough”?**
### Why it could get expensive fast
Even if drugs like psilocybin or MDMA win approval, the biggest cost driver won’t be the pill — it will be the therapy wrapped around it.
Most current clinical models involve:
- Multiple prep sessions with licensed therapists;
- Supervised dosing sessions lasting 6–8 hours;
- Follow-up integration therapy.
That structure can require 20–40 hours of clinician time per patient, pushing total costs into the thousands.
### Early price signals
Legal psychedelic services already operating in places like Oregon suggest:
- $3,000–$7,000 for psilocybin-assisted therapy sessions
- Higher-end concierge-style programs exceeding $10,000
Scaling that nationally — especially with medical oversight — could push prices even higher.
### Insurance: the big unknown
The key affordability question is whether insurers will treat psychedelic therapy like:
- Mental health treatment (covered);
- Or experimental/alternative care (not covered).
Even if approved, insurers may:
- Require strict eligibility criteria;
- Limit the number of sessions;
- Delay coverage decisions for years.
That could leave many patients paying out-of-pocket — at least initially.
### Equity concerns
Critics warn of a familiar pattern:
- Wealthier patients gain early access;
- Lower-income patients face long waits or no access;
- A “two-tier” mental health system emerges.
### Bottom line
> Psychedelic therapy could be transformative — but without clear insurance pathways and pricing controls, it risks becoming another breakthrough that many patients simply can’t afford.
---
## **Fraud Watch: Psychedelic hype creates new scam risks**
### A fast-moving gray market
Even before federal approval, a patchwork of:
- Wellness retreats;
- Underground therapy networks;
- Online “microdosing” shops
has emerged — often operating in legally ambiguous or outright illegal territory.
Experts say the new federal push could supercharge that market, creating opportunities for bad actors.
### Common red flags
Watch for providers who:
- Claim psychedelic therapy is “FDA-approved” when it isn’t;
- Guarantee cures for PTSD, depression, or addiction;
- Require large upfront payments;
- Offer treatment without medical screening or supervision.
### Dangerous products online
Scammers are also selling:
- Fake psilocybin products;
- Misidentified mushrooms;
- Synthetic substances marketed as “natural.”
These can pose serious health risks, including poisoning or dangerous drug interactions.
### The retreat trap
Some consumers are traveling domestically or overseas for psychedelic retreats that:
- Lack medical oversight;
- Use unverified substances;
- Provide little or no follow-up care.
In some cases, patients have reported:
- Medical emergencies;
- Psychological distress;
- Financial exploitation.
### What regulators are watching
Agencies like the Federal Trade Commission are likely to scrutinize:
- False advertising claims;
- Impersonation of legitimate providers;
- Unfair or deceptive billing practices.
Expect enforcement to ramp up as the market grows.
### How to protect yourself
- Verify whether a treatment is legally approved;
- Check provider credentials and licensing;
- Avoid upfront fees for “guaranteed” results;
- Be skeptical of online-only sellers.
### Bottom line
> As psychedelics move toward the medical mainstream, scams will follow the hype. Consumers should treat bold claims and easy access with caution — especially while the rules are still evolving.
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### Drug poisoning risk rises with use of gabapentin and similar medications
URL: https://www.consumernews.ai/drug-poisoning-risk-rises-with-use/
Last updated: 2026-06-19T19:16:36.000Z
Gabapentin and similar drugs are increasingly popular for pain relief but a new study finds that consumers taking them face a much greater risk of drug poisoning if they are also taking another medication.
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Gabapentinoids — drugs such as gabapentin and pregabalin — are widely prescribed for conditions such as epilepsy, nerve pain, and anxiety disorders, and are increasingly prescribed for pain relief as an alternative to opioids.
The [study](https://journals.plos.org/plosmedicine/article?id=10.1371/journal.pmed.1005035&ref=consumernews.ai) by researchers at University College London (UCL) found that among people taking gabapentin and other gabapentinoids, adding benzodiazepines was associated with a doubling in the risk of hospitalization for drug poisoning, while adding opioids was associated with a 30% increase in risk.
The research revealed that gabapentinoids are often started as medication during periods of already heightened vulnerability to drug poisoning, which may be when someone is experiencing worsening symptoms and is seeking out additional medications.
The researchers found that the risk of poisoning can subside after someone starts taking gabapentinoids, but the elevated risk can persist for months.
## Growing in popularity despite risk
Gabapentinoids are now the seventh most commonly prescribed medication in the US, and a previous UCL study reported that across 65 countries, their usage increased by [more than fourfold](https://www.nature.com/articles/s41467-023-40637-8?ref=consumernews.ai) from 2008 to 2018.
> The authors say their findings suggest that clinicians should exercise more caution in prescribing gabapentinoids, and should be particularly vigilant around the risks of prescribing them alongside other medications.
“Prescription rates for gabapentinoids have been increasing rapidly in recent years, as they are seen as a safe alternative to opioids. While they can be effective for pain relief and do have better perceived safety profiles than opioids, there are still substantial risks that clinicians and patients should be mindful of,” [said](https://www.eurekalert.org/news-releases/1124470?ref=consumernews.ai) lead author Dr. Kenneth Man of the UCL School of Pharmacy.
The researchers reviewed data from people who had been prescribed a gabapentinoid between 2010 and 2020 in the UK, and searched for cases of hospitalizations for drug poisoning both before, during or after prescription of a gabapentinoid, while also reviewing what other medications people had been prescribed.
They focused their analysis on 16,827 people who had had at least one drug poisoning hospitalization, which constituted just under 2% of the entire group of people who had been prescribed a gabapentinoid during the study period. The analysis incorporated up to 10 years of data for each individual, so that researchers could compare drug poisoning risks to times when the same person was not being prescribed a gabapentinoid.
The researchers included a range of different types of poisoning cases, both intentional and accidental, without excluding those who were taking more than the prescribed dosage or otherwise misusing a medication. Symptoms of drug poisoning may at times include loss of consciousness, breathing difficulties or seizures.
## A risky combination
The researchers found that people taking both a gabapentinoid and a benzodiazepine were four times more likely to be hospitalized with drug poisoning in the four weeks after starting gabapentinoid treatment, in comparison to when they were taking neither drug. Gabapentinoid combined with an opioid doubled the poisoning risk in the first four weeks, relative to taking neither drug.
Study participants were frequently taking gabapentinoids alongside other prescribed medications, with 89% taking them alongside opioids at some point in the study period, and 55% taking them alongside benzodiazepines for at least some time.
The highest risk of drug poisoning was found in the 90 days before the study participants began taking gabapentinoids, suggesting the prescription of gabapentinoids may sometimes have been linked to concerns about the effects of other medications.
The study’s first author, Dr Andrew Yuen (UCL School of Pharmacy), explained: “A clinician’s decision to prescribe gabapentinoids may sometimes be an attempt to minimize the risk of drug poisoning linked to opioids or other medications.
“While the risk of poisoning did decrease somewhat after patients began gabapentinoid treatment, they still faced an elevated risk of drug poisoning, which suggests that clinicians need to remain vigilant to the risks.”
The researchers say that it remains unclear if gabapentinoids can directly cause drug poisoning, and how that might occur, but there is evidence to suggest they might enhance the sedative effects of medications including opioids and benzodiazepines. There is also evidence of abuse potential, particularly for people with a history of substance abuse.
---
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### Spirit Airlines faces collapse as fuel prices spike
URL: https://www.consumernews.ai/spirit-airlines-faces-collapse-as/
Last updated: 2026-06-19T19:16:37.000Z
## Fuel shock hits at the worst possible moment
Spirit Airlines is under renewed pressure as a surge in global fuel prices collides with its ongoing bankruptcy restructuring.
Jet fuel prices have climbed sharply in recent weeks — driven in part by geopolitical disruptions in oil markets — and are now far above the assumptions baked into Spirit’s recovery plan.
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For airlines, fuel is often the single largest operating cost. For Spirit, which built its model on ultra-low fares and razor-thin margins, the impact is especially severe.
Analysts say the spike could add hundreds of millions of dollars in unexpected costs, threatening to derail the company’s path out of bankruptcy.
## A business model with little room for error
Spirit’s vulnerability goes beyond fuel prices.
The airline has struggled for years with:
- Persistent losses since the pandemic;
- A blocked merger with JetBlue Airways;
- Failed or stalled consolidation efforts with Frontier Airlines;
- Limited ability to raise fares without losing budget-conscious travelers.
Unlike larger carriers, Spirit has little flexibility to pass higher costs on to customers. Even modest fare increases risk undermining its core “bare fare” model.
That leaves the airline unusually exposed when costs spike.
## Bankruptcy exit now in doubt
Spirit has been operating under Chapter 11 protection while trying to restructure its debt and stabilize operations.
But the fuel surge has raised new concerns among creditors and analysts about whether the airline’s plan is still viable.
Some reports suggest Spirit could face:
- Emergency financing efforts;
- Asset sales or a renewed push for a merger;
- Or, in a worst-case scenario, full liquidation.
While no final decision has been made, the situation is increasingly fluid — and time-sensitive.
## Airline pushes back on collapse talk
Spirit says operations remain normal and has downplayed speculation about an imminent shutdown.
Flights are continuing, tickets are still being sold, and the airline has not announced any cancellation of service.
Still, industry observers note that airline collapses can happen quickly once liquidity runs out — especially during bankruptcy proceedings.
---
## What this means for travelers
**If you already have a ticket:**
- Flights are still operating — but monitor updates closely;
- Consider using a credit card (if booking new travel) for added protection;
- Keep documentation in case a chargeback becomes necessary.
**If Spirit shuts down:**
- Tickets could become worthless in a liquidation;
- Refunds would likely depend on credit card disputes or travel insurance;
- Rebooking on other airlines could be costly, especially at the last minute.
## Affordability Watch: cheap fares, higher risks
Spirit has long been one of the cheapest ways to fly in the U.S., helping keep fares low across the industry.
If the airline disappears:
- Budget travelers could face higher prices and fewer options;
- Competition on many domestic routes would shrink;
- Larger airlines could gain more pricing power.
In that sense, Spirit’s troubles are not just a company story — they’re a potential affordability shock for travelers nationwide.
## The bottom line
Spirit Airlines has not collapsed — but it is facing one of the most serious tests in its history.
A sudden spike in fuel costs has exposed just how fragile its recovery plan may be.
Whether the airline survives could come down to how long fuel prices stay elevated — and whether it can secure enough cash to ride out the storm.
##
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### 'Click to Cancel' rule coming to NYC but still blocked nationwide by a court ruling
URL: https://www.consumernews.ai/click-to-cancel-rule-coming-to-nyc/
Last updated: 2026-06-19T19:16:38.000Z
Time has been running backward in the world of consumer protection the last few years but New York City Mayor Zohran Mamdani is trying to restart at least one basic protection — a “Click to Cancel” rule that would make it easier for consumers to escape from subscription renewal traps and other shady practices.
“Subscription traps are just another way that big corporations extract hard-earned money from working people. In our city, we’re drawing a clear line: if you can sign up with a click, you must be able to cancel with one, said Mamdani.
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“If it’s easy to sign up for something, it should be just as easy to cancel,” said Department of Consumer and Worker Protection (DCWP) Commissioner Samuel A.A. Levine. “This proposed rule sends a warning to gyms, apps and other businesses citywide that our agency will not tolerate tricks and traps that rip off New Yorkers.”
The proposed rule would give DCWP citywide enforcement authority to ensure consumers can easily cancel subscriptions. Businesses that violate the rule would be liable for restitution to harmed consumers and civil penalties, with fines starting at $525\. California, New York State and other states have similar rules.
The NYC rule would require clear disclosures and affirm consumers’ rights when purchasing, enrolling in or canceling subscriptions for services or goods. It applies to any subscription that qualifies as an automatic renewal or continuous service offer.
Too often, bad actors force consumers through confusing, time-consuming hurdles to cancel unwanted services — from “free trials” that quietly convert into costly charges to cancellation processes buried in endless steps or unclear instructions. This rule targets those practices directly, requiring straightforward, transparent cancellation mechanisms, Levine said.
New Yorkers can [submit comments](https://rules.cityofnewyork.us/rule/cancellation-of-subscriptions/?ref=consumernews.ai) for 30 days after the rule was published on April 8\. After the comment period, DCWP will review feedback before finalizing the rule.
## Congress renewing the fight
There’s also an attempt in Congress to resurrect federal protections against subscription abuses. A California congressman has introduced a measure that would revive the overwhelmingly popular Federal Trade Commission rule that was struck down by the courts before it had a chance to go into effect.
As we [reported](https://www.theoutragedconsumer.com/p/click-to-cancel-may-live-to-click?utm%5Fsource=publication-search) last July, the [measure](https://www.consumeraffairs.com/news/click-to-cancel-rule-has-been-officially-canceled-072325.html?ref=consumernews.ai) was modest enough. It basically provided that it should be as easy for consumers to cancel a subscription as it was to sign up. But even such a simple and straightforward measure sent corporate hearts aflutter and armies of lobbyists, lawyers and influence peddlers declared war.
As expected, lawsuits were filed, claiming not that the rule wasn’t needed, wouldn’t work or was otherwise defective. No, as is usual in such skirmishes, the arguments were strictly procedural -- claiming that the Biden-era FTC hadn’t crossed all the t’s, etc.
It didn’t take long for a three-judge panel from the U.S. Court of Appeals for the Eighth Circuit agreed to find in mid-July that the “Commission’s rule-making process was procedurally insufficient and Petitioners demonstrated prejudicial error.”
In response to the nationwide chorus of groans from consumers getting unwanted monthly jelly shipments, exciting email newsletters and anti-virus programs for computers long since put out of their misery, Rep. Brad Sherman (D-Calif.) introduced the Click-to-Cancel Act of 2025.
“This legislation would ensure that auto-renew subscription services are transparent, easy to cancel, and required to gain explicit consent from the consumer before they are charged for services,” Sherman [said](https://sherman.house.gov/media-center/press-releases/sherman-magaziner-deluzio-introduce-click-cancel-act?ref=consumernews.ai).
# Click-to-cancel: consumer checklist (NY & CA)
**Use this anytime you’re trying to cancel a subscription, membership, or free trial.**
### 1\. Match how you signed up
- If you signed up online → you should be able to cancel online
- If by phone → cancel by phone
👉 Laws in both states require cancellation to be as easy as enrollment
### 2\. Look for a clear “cancel” button
- Should be easy to find in your account settings
- In California, companies must provide a **true “click-to-cancel” option** for online subscriptions
### 3\. Cancellation must be immediate
- No long forms, hidden pages, or delays
- Companies cannot obstruct or delay cancellation requests
### 4\. You shouldn’t be forced into a call
- If you signed up online, they can’t require you to call
- They must offer an easy method like online, email, or phone Watch for renewal notices
### 5\. Watch for renewal notices
- You should get advance warning before charges hit
- Notices must include how to cancel
### 6\. Ignore pressure tactics
- Companies can offer discounts to keep you—but
- They can’t block or slow your cancellation
### 7\. Confirm it’s canceled
- Look for:
- Confirmation email
- No future billing date
- If charges continue, you may have grounds for a dispute
### 8\. Escalate if needed
- File a complaint with:
- New York Attorney General
- California Attorney General
- These laws are actively enforced at the state level
# Bottom line
- **California = stricter, more explicit (“click-to-cancel” button required)**
- **New York = catching up fast with similar protections**
- In both states, the key rule is simple:
👉 *If it took one click to join, it should take one click to quit.*
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### Anti-aging claims may be anti-factual, researchers warn
URL: https://www.consumernews.ai/anti-aging-claims-may-be-anti-factual/
Last updated: 2026-06-19T19:16:39.000Z
### A major rethink of aging science
A new scientific review is raising fundamental questions about how researchers — and the booming longevity industry — define aging itself.
The [study](https://www.dzne.de/en/?ref=consumernews.ai) argues that many widely used measures of aging, from lifespan increases to trendy biological “aging clocks,” may not actually capture whether the aging process is slowing at all. Instead, they often reflect improvements in specific diseases or symptoms.
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That distinction could have sweeping implications for everything from drug development to consumer anti-aging products.
### Living longer ≠ aging slower
One of the most striking findings: extending lifespan doesn’t necessarily mean slowing aging.
Researchers found that in humans, most deaths in old age are still caused by specific diseases — especially cardiovascular disease — rather than some generalized process of “old age.”
That pattern holds across species, though the diseases differ. Mice tend to die from cancer, while other organisms have their own biological “weak points.”
The takeaway: treatments that delay a particular disease may extend life without actually changing the underlying biological aging process.
### The problem with “biological age” tests
The review also casts doubt on popular tools like epigenetic “aging clocks,” which estimate a person’s biological age using DNA markers.
While these tools can predict age and health risks, researchers warn they may only track correlations — not causes.
In other words, just because a biomarker changes with age doesn’t mean it’s driving aging.
That raises concerns about whether interventions that appear to “reverse” biological age are actually altering aging — or simply shifting certain measurements.
### Why many anti-aging studies may be flawed
The researchers found a widespread methodological issue in aging research:
Many studies fail to distinguish between two very different effects:
- Rate effects: Slowing the actual pace of aging
- Baseline effects: Improving a condition regardless of age
In a large review of studies tied to the widely cited “hallmarks of aging” framework, most observed benefits appeared in both young and old subjects — suggesting general physiological improvements, not true anti-aging effects. ([EurekAlert!](https://www.eurekalert.org/news-releases/1107848?utm%5Fsource=chatgpt.com))
That means some interventions labeled as “anti-aging” may simply be treating symptoms.
### Why this matters for consumers
This research lands as the anti-aging market — from supplements to diagnostics — continues to surge.
The findings suggest consumers should be cautious about claims that a product or therapy can “slow aging,” especially when based on biomarkers alone.
A treatment that improves energy, cognition, or disease risk can still be valuable — but it’s not necessarily altering the fundamental biology of aging.
### What comes next
The authors call for a major shift in how aging research is conducted:
- Studies should include both young and older participants to separate true aging effects
- Researchers should track how fast changes occur over time — not just snapshot measurements
- Claims of “anti-aging” effects should require evidence across multiple body systems
Ultimately, the goal is to distinguish between treatments that extend life by addressing specific diseases and those that truly modify the aging process itself.
### What this means
For consumers and policymakers, the message is simple:
> Not all “anti-aging” breakthroughs are created equal.
Some may help you live longer or feel better — but that doesn’t mean they’re slowing aging at its core.
As research evolves, separating hype from real biological change could become one of the most important challenges in modern health science.
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### CFPB can't go home again; Trump canceled its lease
URL: https://www.consumernews.ai/cfpb-cant-go-home-again-trump-canceled/
Last updated: 2026-07-25T21:52:26.000Z
Consumer advocates have been trying to force the Trump Administration to revive the Consumer Financial Protection Bureau — the “cop on the beat,” once the most aggressive federal agency on the consumer protection beat.
But instead, the Office of the Comptroller of the Currency has terminated the lease on the office six years early, according to government records [obtained by Reuters news agency](https://www.reuters.com/legal/litigation/trump-administration-ends-lease-consumer-protection-bureaus-headquarters-records-2026-04-15/?ref=consumernews.ai).
[CFPB News TrackerAs the CFPB retreats, a new consumer protection network is taking shapeFormer federal regulators, state officials and public-interest lawyers are attempting to fill the enforcement vacuumConsumerNews.aiThe EditorsTrump’s CFPB nominee faces Senate hearing as consumer watchdog hangs in the balanceThe next director could decide whether to proceed withConsumerNews.aiThe Editors](https://www.consumernews.ai/cfpb-news-tracker/)
President Trump and Office of Management and Budget Director Russell Vought – who is CFPB’s acting director – have both said they want to close the bureau, which was created by Congress.
Since its founding, the CFPB recovered billions of dollars on behalf of consumers — returning funds through direct restitution and the Civil Penalty Fund, also known as the victims relief fund. These efforts served as a pillar of justice for Americans scammed by financial companies ranging from shady payday lenders to mega-banks.
But after the Trump assault, the agency has actually been [giving money back](https://www.theoutragedconsumer.com/p/vanishing-justice-how-trumps-cfpb?utm%5Fsource=publication-search) to companies, leaving more than $360 million in consumer restitution at risk, according to a joint investigation by the Consumer Federation of America (CFA) and the Student Borrower Protection Center — money owed to Americans who were harmed by illegal corporate conduct.
> “When Americans got ripped off by big banks and other financial companies, they could count on the CFPB to take action—until now,” said Allison Preiss, senior fellow at SBPC. “Under Trump’s CFPB, Wall Street wrongdoers are being richly rewarded at the expense of Americans who should be getting checks in the mail.”
Reuters, citing documents obtained through a Freedom of Information Act request, reported that the OCC terminated the lease in February and transferred the property to the General Services Administration at no cost. The GSA is the government’s general real estate management agency.
The Trump administration’s efforts to shrink and possibly eliminate the CFPB have resulted in at least two lawsuits. Administration attorneys recently asked a federal appeals court for permission to reduce the current workforce by more than half, from 1,174 to 556 employees. The CFPB had 1,758 employees in 2024.
### Immigration crackdown fuels wave of scams targeting vulnerable migrants
URL: https://www.consumernews.ai/immigration-crackdown-fuels-wave/
Last updated: 2026-06-19T19:16:39.000Z
### A growing scam economy around immigration fears
A surge in immigration enforcement under the Trump administration is being accompanied by a parallel rise in fraud schemes targeting migrants desperate to avoid detention or deportation.
According to a recent [investigation by Mother Jones](https://www.motherjones.com/?ref=consumernews.ai), scammers are exploiting confusion, fear, and limited access to reliable legal help—charging steep fees for services that often don’t exist or provide no real protection.
The schemes range from fake attorneys to call centers impersonating federal agencies, all promising fast-track legal status, deportation relief, or insider access to immigration officials, documents from the American Immigration Lawyers Association ([AILA](https://www.aila.org/library/schedule/daily-immigration-news-clips-april-15-2026?utm%5Fsource=chatgpt.com)) show.
### ‘Fake lawyers’ and false promises
At the center of many scams are individuals posing as immigration attorneys or “consultants” who promise results they can’t deliver.
Victims report paying thousands of dollars for:
- Nonexistent visa applications
- Fraudulent asylum filings
- Bogus work permits
- “Protection” from immigration raids
In many cases, the paperwork filed is either incorrect or never submitted at all—leaving immigrants in worse legal standing than before.
Some scammers reportedly coach clients to provide false information on applications, increasing the risk of detention or permanent bans from legal status.
### Fear-driven targeting
The crackdown itself is a key driver of the fraud boom.
Heightened enforcement actions — including raids, detentions, and policy changes — have created widespread uncertainty, making immigrants more vulnerable to anyone claiming to offer help.
Reports describe scammers:
- Cold-calling immigrants with urgent warnings about deportation
- Impersonating officials from federal immigration agencies
- Claiming victims are on “lists” unless they pay immediately
The tactics mirror classic financial scams but are tailored to immigration fears—often leveraging language barriers and lack of legal knowledge.
### High costs, little recourse
Victims often lose life savings, with some paying tens of thousands of dollars for services that never materialize.
Unlike typical consumer fraud, these cases are especially hard to report or prosecute:
- Victims may fear interacting with authorities
- Many scams operate across state or international lines
- Fraudsters frequently disappear or rebrand
Advocates say the result is a largely hidden crisis, with many cases going unreported.
### Legal aid gaps widen the problem
Experts say a shortage of affordable, legitimate immigration legal services is helping fuel the scam ecosystem.
With demand surging and enforcement intensifying, many immigrants struggle to find:
- Verified attorneys
- Low-cost or pro bono representation
- Clear, trustworthy information
That gap creates an opening for bad actors to step in and fill the void—often convincingly.
### What this means
The rise in immigration-related scams highlights a broader consumer protection issue: enforcement policies can unintentionally create new opportunities for fraud.
For vulnerable populations, the stakes are unusually high—not just financial loss, but the risk of detention, deportation, or long-term legal consequences.
Consumer advocates say the safest course is to:
- Verify attorneys through state bar associations
- Avoid anyone demanding upfront fees for guaranteed results
- Be wary of unsolicited calls claiming government affiliation
As enforcement expands, watchdog groups warn the scam economy surrounding immigration is likely to grow alongside it—turning fear into profit for bad actors.
### Cannabis use surges among older Americans — but brain health risks remain unclear
URL: https://www.consumernews.ai/cannabis-use-surges-among-older-americans/
Last updated: 2026-06-19T19:16:40.000Z
### A fast-growing trend meets unanswered health questions
Cannabis use is rising across the United States, but one group stands out: older adults.
Americans over 60 are now the fastest-growing segment of cannabis users, increasingly turning to marijuana products for pain relief, sleep problems, anxiety and other chronic conditions as legalization spreads.
But while use is expanding, the science around cannabis and brain health is still catching up — leaving consumers navigating a mix of potential benefits and risks with limited long-term data.
### What the research shows about memory and cognition
A growing body of research suggests cannabis can affect how the brain processes and retains information — particularly in the short term.
Studies have found that cannabis use can impair short-term memory, attention and working memory, with effects most pronounced during active use or shortly after.
Brain imaging research has also shown that long-term or heavy users may exhibit reduced brain activity during memory-related tasks, raising concerns about cumulative effects over time.
### Early use linked to greater long-term risks
The strongest warnings from researchers center on early exposure.
People who begin using cannabis during adolescence — when the brain is still developing — appear more likely to experience:
- Lasting cognitive deficits;
- Increased impulsivity;
- Higher risk of mental health disorders, including psychosis; and
- Greater likelihood of developing cannabis use disorder.
These findings have made youth use a focal point for public health experts, even as adult use becomes more normalized.
### What about older adults?
For those who start using cannabis later in life, the picture is less clear — and in some cases, more nuanced.
Some early studies suggest cannabis could have potential neuroprotective effects, with limited evidence pointing to greater brain volume in certain regions among older users.
But experts caution that these findings are preliminary and far from conclusive.
At the same time, older adults may face unique risks, including interactions with medications, increased sensitivity to psychoactive effects and a higher likelihood of falls or confusion.
### Dementia link still uncertain
One of the biggest open questions is whether cannabis use affects the risk of dementia.
So far, research has not established a strong or consistent link between cannabis use and conditions like Alzheimer’s disease.
However, scientists emphasize that long-term studies — particularly those tracking older users over decades — are still limited, making it difficult to draw firm conclusions.
### What this means for consumers
For now, cannabis sits in a gray area: widely used, often helpful for symptom relief — but not fully understood.
Health experts generally advise:
- Moderation, especially with higher-potency products
- Avoiding use during adolescence and young adulthood
- Consulting a doctor, particularly for older adults or those with existing health conditions
- Being cautious about combining cannabis with other medications
### The bottom line
Cannabis is becoming a mainstream health and wellness tool for many Americans, especially older adults.
But the science on how it affects the brain — particularly over the long term — is still evolving.
Until clearer answers emerge, experts say consumers should approach cannabis use with the same caution they would apply to any substance that affects the brain: informed, measured and mindful of both benefits and risks.
### FTC cracks down on $8.8 million student loan relief scam that targeted struggling borrowers
URL: https://www.consumernews.ai/ftc-cracks-down-on-88-million-student/
Last updated: 2026-06-19T19:16:41.000Z
## A familiar promise — and a costly trap
The Federal Trade Commission has obtained a [temporary restraining order](https://www.ftc.gov/system/files/ftc%5Fgov/pdf/NERD-TRO.pdf?ref=consumernews.ai) to shut down what it says is a multimillion-dollar student loan scam that preyed on financially stressed borrowers with promises of fast-track forgiveness.
In a newly filed complaint, the FTC alleges that companies including NERD Solutions Inc. and ED REF Inc. — along with operators Natalie Rodriguez and Pablo Ortiz — falsely claimed affiliation with the U.S. Department of Education or legitimate loan servicers.
According to regulators, those claims were used to convince borrowers they were eligible for special debt relief programs that, in reality, did not exist.
Instead, consumers were allegedly charged steep upfront and recurring fees — sometimes as high as $1,400 — for services that federal law generally prohibits companies from charging before delivering results.
## How the scheme allegedly worked
The FTC says the operation ran a classic impersonation scam with a modern twist:
- **Cold calls to vulnerable borrowers:** Thousands of consumers — including many listed on the National Do Not Call Registry — were contacted directly.
- **False government affiliation:** Callers allegedly claimed ties to federal student loan programs or servicers.
- **Promises of fast forgiveness:** Borrowers were told they could quickly qualify for debt cancellation or reduced payments.
- **Upfront fees:** Victims were charged monthly fees before any relief was delivered — a key red flag under federal law.
The agency estimates the scheme collected **at** least $8.8 million, often from borrowers already struggling with high balances and rising living costs.
## Why upfront fees are a major red flag
Under the [Telemarketing Sales Rule](https://www.ftc.gov/legal-library/browse/rules/telemarketing-sales-rule?ref=consumernews.ai), companies offering debt relief services are generally barred from collecting fees before delivering actual results.
That means any company asking for payment before reducing or settling your loan should immediately raise suspicion.
The FTC also cited violations of the FTC Act, the Impersonation Rule, and the Gramm-Leach-Bliley Act.
## Fraud Watch: student loan scams are surging again
The case lands as millions of Americans continue adjusting to the post-pandemic student loan system — a period marked by confusion over repayment plans, forgiveness eligibility, and shifting federal policies.
That confusion has created fertile ground for scammers.
Common tactics now include:
- **“Limited-time forgiveness” offers** tied to fake deadlines
- **Impersonation of federal agencies or servicers**
- **Requests for FSA IDs or personal financial data**
- **Pressure to act immediately to “lock in” relief**
In reality, most federal student loan programs — including income-driven repayment and legitimate forgiveness options — are free to apply for directly through the government.
## Affordability Watch: debt stress meets scam risk
Student loan borrowers are already under strain:
- Total U.S. student loan debt exceeds $1.6 trillion
- Monthly payments have resumed for many households after pandemic pauses
- Delinquencies are expected to rise as budgets tighten
That financial pressure makes borrowers more likely to respond to offers promising quick relief — even when those offers come with warning signs.
> Scammers, regulators say, are increasingly targeting people who feel trapped or overwhelmed.
## What this means for borrowers
This case is a reminder that there is no shortcut to legitimate student loan relief — and anyone promising one is likely misleading you.
Borrowers should:
- Go directly to [**StudentAid.gov**](https://studentaid.gov/?ref=consumernews.ai) for official information
- Contact their loan servicer before enrolling in any third-party service
- Avoid companies that demand upfront fees
- Be skeptical of anyone claiming special access to government programs
## The bottom line
The FTC’s action underscores a simple but critical rule: you should never have to pay upfront for help managing or reducing your student loans.
As repayment pressures build, scams like this are likely to continue — making vigilance just as important as financial planning for millions of borrowers.
### Jury finds Live Nation/Ticketmaster liable for monopolizing concert ticket market
URL: https://www.consumernews.ai/jury-finds-live-nationticketmaster/
Last updated: 2026-06-19T19:16:41.000Z
A federal jury has found Live Nation Entertainment and its subsidiary Ticketmaster liable for illegally monopolizing the U.S. concert ticketing market — a [sweeping victory](https://www.wsj.com/us-news/law/live-nation-illegally-monopolized-concerts-and-ticketing-jury-finds-389afedd?ref=consumernews.ai) for a bipartisan coalition of states that accused the company of overcharging fans and squeezing out competition.
The verdict, delivered in the U.S. District Court for the Southern District of New York after a five-week trial and days of jury deliberation, marks one of the most significant antitrust rulings in the live entertainment industry in years.
California Attorney General Rob Bonta [called the outcome](https://oag.ca.gov/news/press-releases/attorney-general-bonta-celebrates-historic-verdict-live-nationticketmaster-trial?ref=consumernews.ai) “a historic and resounding victory for artists, fans, and the venues that support them,” adding that the company’s conduct “included overcharging consumers.”
### A market built on dominance
At the center of the case was Live Nation’s 2010 merger with Ticketmaster, a deal long criticized for combining the nation’s largest concert promoter with its dominant ticketing platform.
State attorneys general argued that the merged company built a vertically integrated “colossus,” controlling key parts of the live music ecosystem — from promoting tours to managing venues and selling tickets. According to the states, Live Nation’s share of ticketing and concert promotion at major amphitheaters exceeded 70%.
Jurors ultimately sided with the states’ claim that the company used that dominance to stifle competition and keep prices high.
Among the alleged tactics:
- Pressuring venues to use Ticketmaster as a condition for hosting major concerts
- Tying services together, such as requiring artists to use Live Nation promotion to access certain venues
- Retaliating against venues that worked with rival ticketing companies
Internal company language cited during the trial — including references to a “moat around the castle” and a “velvet hammer” — helped persuade jurors that anticompetitive behavior came from the top, according to court filings.
### Company denies wrongdoing
Live Nation rejected the allegations throughout the trial, arguing that artists — not ticketing platforms — ultimately set ticket prices and that the company lacks the power to exclude competitors.
The company also denied conditioning access to concerts on Ticketmaster usage, calling the states’ case an exaggeration of its market power.
### DOJ steps back, states press forward
The case took an unusual turn when the U.S. Department of Justice settled its claims against Live Nation shortly before trial, leaving more than 30 states — including California, Texas, and New York — to pursue the case on their own.
That decision drew criticism from some antitrust advocates, who argued the federal settlement was too weak to meaningfully reform the industry.
“This is a major affordability win for consumers,” said a former DOJ official cited in the case, criticizing the federal government for settling instead of pursuing stronger remedies.
### Affordability Watch: What this means for fans
For consumers, the ruling could have major implications — though any relief may take time.
Ticket prices have soared in recent years, fueled by high demand, dynamic pricing, and a fee-heavy ticketing system that critics say lacks transparency. States argued that Live Nation’s dominance allowed it to maintain those high costs by limiting competition.
If the court imposes structural remedies — including a potential breakup of Live Nation and Ticketmaster — it could:
- Increase competition among ticket sellers
- Reduce service fees over time
- Expand options for venues and artists
- Improve price transparency for consumers
Still, experts caution that ticket prices are influenced by multiple factors, including artist pricing strategies and resale markets.
### What comes next
The case now moves into a new phase where the judge will determine:
- Total damages owed to consumers and competitors
- Whether to award triple damages under the Clayton Act
- Potential structural remedies, including a breakup or restrictions on business practices
Courts could also order changes to Live Nation’s contracts with venues and artists, or limit its ability to bundle services.
For now, the verdict stands as a major test of state-led antitrust enforcement — and a signal that aggressive legal action against dominant platforms may gain traction even when federal regulators step back.
### The bottom line
After years of complaints about high ticket prices and limited competition, a jury has concluded that the biggest player in the live music business crossed the line.
Whether that translates into cheaper tickets — or a fundamentally reshaped concert industry — will depend on what happens next in court.
### FDA weighs loosening restrictions on experimental peptides amid safety concerns
URL: https://www.consumernews.ai/fda-weighs-loosening-restrictions/
Last updated: 2026-06-19T19:16:41.000Z
### FDA opens door to broader peptide access
The U.S. Food and Drug Administration is taking an early step toward potentially allowing compounding pharmacies to produce a set of experimental peptides previously restricted over safety concerns.
An agency advisory panel is expected to review seven peptides at a late-July meeting, considering whether they could be used in compounded drugs for conditions ranging from ulcerative colitis and wound healing to obesity and insomnia, the Washington Post [reports](https://www.washingtonpost.com/health/2026/04/15/peptides-fda-compounding/?ref=consumernews.ai).
The move signals a possible shift in how regulators handle a fast-growing — and controversial — corner of the health market.
> [Unproven, unregulated and coming to a market near you — the peptide gamble](https://www.theoutragedconsumer.com/p/unproven-unregulated-and-coming-to?ref=consumernews.ai)
### Popularity surges ahead of science
Peptides, short chains of amino acids, have surged in popularity as “wellness” products marketed for anti-aging and performance benefits. But many of those claims remain unproven, and some compounds have not undergone rigorous clinical testing.
While certain peptide-based drugs — such as insulin and GLP-1 weight-loss medications — are FDA-approved, many newer injectable peptides are not.
The FDA in 2023 added several of these substances to a “do not compound” list, citing safety risks and lack of data.
### Policy push meets safety warnings
Health Secretary Robert F. Kennedy Jr. has publicly supported expanding access, arguing that allowing regulated compounding could reduce risks tied to black-market products.
Kennedy — a [self-declared “big fan”](https://www.youtube.com/watch?v=wk7DQom821s&ref=consumernews.ai) of peptide, saying treatments with the drug helped him recover from injuries, saying he got “good results.”
His position reflects growing pressure from patients and prescribers, who are increasingly seeking peptide therapies that are not commercially available.
But scientists caution that easing restrictions without stronger evidence could expose consumers to unknown harms.
“The dangers to the American public cannot be understated,” said [Dr. Peter G. Lurie](https://www.cspi.org/?ref=consumernews.ai), president of the Center for Science in the Public Interest, in an email. “Not only would this unleash upon unsuspecting Americans a set of products previously deemed too dangerous to compound by the FDA, but it would also undermine the FDA drug approval process itself.
“What peptide manufacturer is going to conduct a multi-million-dollar drug research program and subject themselves to the rigors and uncertainties of the FDA drug approval system when they could simply start legally selling compounded peptides tomorrow?” Lurie asked.
“There’s just so little data,” said UC Davis biologist [Paul Knoepfler](https://health.ucdavis.edu/cellbio/faculty/knoepfler/?ref=consumernews.ai), arguing that the full risks remain unclear.
“In light of the news today FDA under RFK Jr. is moving to unban unproven peptides via the compounding advisory committee, it’s still very odd that the DOJ [just indicted someone](https://ipscell.com/2026/04/landmark-federal-indictment-for-pop-peptides-alleged-scheme-even-as-rfk-jr-may-un-ban-some/?ref=consumernews.ai) related to many of these same peptides,” Knoepfler said in an [X post](https://ipscell.com/2026/04/landmark-federal-indictment-for-pop-peptides-alleged-scheme-even-as-rfk-jr-may-un-ban-some?ref=consumernews.ai) today. Gray market complicates enforcement.
The case Knoepfler refers to involves a Utah doctor who allegedly made fake labels to sell Chinese-made peptides to more than 200 patients without telling them that the drugs had been made in China, the Salt Lake Tribune [reported](https://archive.is/tqT8z?ref=consumernews.ai).
## A booming market
Industry groups say demand has already fueled a booming gray market, where some vendors sell peptide products directly to consumers without prescriptions or oversight.
Compounding pharmacies, which are legally barred from producing restricted peptides, argue that the current rules may be unintentionally driving patients toward less regulated sources.
This is the same argument used by people who deal in illegal drugs like crack cocaine and heroin. They argue that their clients would buy their drugs legally if they were available.
The FDA is expected to continue evaluating additional peptides through at least 2027, suggesting a longer-term regulatory battle over how to balance access, safety and enforcement.
### What this means
For consumers, the debate highlights a familiar trade-off: faster access to emerging therapies versus the protections that come with fully tested, FDA-approved drugs.
If restrictions are loosened, compounded peptides could become more widely available — but questions about safety, quality and effectiveness are likely to persist.
### Deadly countertop material faces potential ban as silicosis cases rise nationwide
URL: https://www.consumernews.ai/deadly-countertop-material-faces/
Last updated: 2026-06-19T19:16:42.000Z
### A California proposal with national implications
California regulators are considering what could become the nation’s most aggressive workplace safety action against a popular homebuilding material: a potential ban on engineered stone countertops linked to a surge in deadly lung disease among workers.
The move follows a sharp rise in cases of silicosis — an incurable illness caused by inhaling fine silica dust — among countertop fabricators, particularly in Southern California. But health experts say the issue is not confined to one state, raising broader questions about worker protections across the U.S.
If enacted, California would become the first state to prohibit the fabrication and installation of engineered stone, a material widely used in kitchens and bathrooms nationwide, the news station [LAist](https://laist.com/news/health/california-may-ban-artificial-stone-countertops-lung-disease-outbreak?utm%5Fsource=chatgpt.com) reported.
### A growing occupational health crisis
Engineered stone — often marketed as quartz — is typically made with more than 90% crystalline silica. When cut, ground, or polished, it releases microscopic dust particles that can lodge deep in the lungs.
The result is silicosis, a progressive disease that scars lung tissue and can lead to respiratory failure. There is no cure; in severe cases, patients require lung transplants that often extend life only modestly.
What began as a localized cluster has quickly escalated. California health officials have confirmed [more than 500 cases](https://www.cdph.ca.gov/Programs/CCDPHP/DEODC/OHB/Pages/essdashboard.aspx?%5Fgl=1%2A7jfz3r%2A%5Fgcl%5Fau%2AMzkwNzIwMTAxLjE3NzYyMDkxOTU.&ref=consumernews.ai) of silicosis tied to engineered stone, including dozens of deaths.
Researchers and physicians say similar cases are emerging elsewhere in the U.S., including Texas, Colorado, Washington, and Massachusetts, as demand for quartz countertops has surged.
### From local outbreak to national warning
The current wave of illness first drew attention in Los Angeles-area fabrication shops, where many workers — often young immigrants — were exposed to high concentrations of silica dust over relatively short periods.
But occupational health experts warn the pattern reflects a broader national risk tied to a booming home renovation market and widespread use of engineered stone.
Even with safety measures like wet cutting, ventilation, and protective gear, some researchers argue the material itself may be inherently hazardous when processed.
“Every jurisdiction that has reduced disease has done so by eliminating the material,” one group of medical experts told California regulators in a petition urging a ban.
### Industry pushback and regulatory divide
Manufacturers and industry groups dispute that conclusion, arguing that existing safety rules — if properly followed — can protect workers.
Companies say the problem lies with noncompliant fabrication shops rather than the material itself, and warn that a ban could disrupt a major segment of the U.S. construction and home improvement market.
The debate reflects a familiar regulatory tension: whether to tighten enforcement of workplace standards or eliminate a product deemed too risky.
California has already taken intermediate steps, including stricter silica dust controls and hundreds of inspections uncovering widespread violations.
### Global precedent — and a possible U.S. tipping point
Internationally, regulators have begun to act more decisively. Australia implemented a [nationwide ban](https://www.safeworkaustralia.gov.au/safety-topic/hazards/silica/engineered-stone-ban?ref=consumernews.ai) on engineered stone in 2024 after a similar surge in silicosis cases.
That move is increasingly cited by U.S. health advocates as a model — and a warning.
Legal pressure is also mounting. [Hundreds of lawsuits](https://www.helbocklaw.com/top-silicosis-lawsuit-settlement-amounts/?ref=consumernews.ai) have been filed against manufacturers, and a California jury awarded more than $50 million in damages in one high-profile case involving a worker who developed silicosis.
### What it means for consumers
For homeowners, experts emphasize that installed countertops pose little to no risk. The danger arises primarily during fabrication and installation, when silica dust becomes airborne, according to [Prevention](https://www.prevention.com/health/a69759043/stone-countertops-linked-to-lung-disease-silicosis-report/?utm%5Fsource=chatgpt.com).
Still, a broader regulatory crackdown could affect pricing, availability, and material choices in the home renovation market nationwide.
### What comes next
California’s Occupational Safety and Health Standards Board is expected to continue reviewing the proposal in the coming months, with a potential vote later this year.
A ban would likely face legal challenges — but it could also set a precedent for other states and federal regulators.
For now, what began as a regional health investigation has evolved into a national test case over how far regulators should go to protect workers from a product deeply embedded in modern home construction.
## Affordability Watch: A ban could reshape kitchen remodel costs
- Quartz dominates midrange remodels — changes could ripple through home renovation budgets
- Safer alternatives exist, but often come with tradeoffs in price, durability, or availability
- Short-term disruption could push prices higher before markets adjust
### Quartz became the default — for a reason
Engineered stone countertops — commonly marketed as “quartz” — have become a go-to choice for American homeowners over the past decade, prized for their durability, uniform look, and relatively moderate cost compared to high-end natural stone.
A potential ban in California — and any copycat policies in other states — could disrupt that balance, especially in the midrange renovation market where quartz has largely replaced laminate and competed with granite.
### What happens to prices?
In the near term, a ban or strict limits could push countertop prices higher, particularly in states with heavy construction demand.
That’s because:
- Quartz supply chains are well-established and scaled
- Alternatives may not be able to ramp up quickly
- Fabrication shops may face new compliance or retooling costs
Homeowners could see:
- Higher quotes for kitchen remodels
- Longer wait times for installation
- Fewer “budget-friendly premium” options
### The alternatives — and their tradeoffs
If engineered stone use declines, consumers will likely shift to a mix of materials:
- **Granite (natural stone)**
Often more expensive and less uniform; requires periodic sealing
- **Laminate**
Cheapest option, but less durable and less desirable for resale
- **Solid surface (e.g., Corian)**
Midrange pricing, but more prone to scratching and heat damage
- **Porcelain or sintered stone**
Growing category with strong durability, but often higher cost and limited installers
Each option comes with a different cost–durability tradeoff — meaning consumers may have to compromise more than they did with quartz.
### Labor costs could rise, too
Even beyond materials, stricter silica rules — or a shift away from engineered stone — could increase labor costs.
Fabricators may need:
- New equipment or dust-control systems
- Additional worker protections and training
- More time-intensive cutting processes for alternative materials
Those costs are likely to be passed on to homeowners.
### A familiar pattern in consumer safety
The situation mirrors other product safety crackdowns: initial price spikes followed by longer-term market adjustment.
If regulators act, expect:
- Short-term cost increases and supply disruptions
- Medium-term innovation in safer materials
- Longer-term stabilization as new standards take hold
### Bottom line
For now, quartz remains widely available and safe in finished installations. But if California moves forward — and other states follow — the humble kitchen countertop could become the latest example of how worker safety rules reshape consumer prices.
---
### Affordability Watch: Will the data-center boom help lower your insurance bill?
URL: https://www.consumernews.ai/affordability-watch-will-the-data/
Last updated: 2026-06-19T19:16:43.000Z
Into the darkest consumer nightmare, a little light may shine. In the case of data centers, the insurance industry is licking its chops over the massive policies utility companies will need for their gargantua, according to [Insurance Journal](https://www.insurancejournal.com/news/international/2026/04/14/865754.htm?ref=consumernews.ai).
Or to put it more mildly: Soaring demand for insurance coverage related to data center construction is creating a “meaningful growth opportunity” for the industry, outstripping some traditional insurance markets, according to [S&P Global Ratings](https://www.spglobal.com/ratings/en?ref=consumernews.ai).
The market for such coverage could reach $10 billion in premiums in 2026, analysts said in a study that speaks glowingly of the [hyperscale risk](https://www.spglobal.com/ratings/en/regulatory/article/-/view/sourceId/101669146?ref=consumernews.ai) the centers may create. In comparison, annual premiums for the global aviation market are estimated at around $5 billion.
> Really? Short answer: Don’t count on it.
In theory, more revenue and competition could help stabilize pricing for consumers who are currently facing rapidly rising premiums thanks to climate change, wildfires, earthquakes and other hazards.
### **Why that rarely lowers your premium**
That sounds good but insurance pricing doesn’t work like a retail sale.
- Rates are driven by claims and risk, not insurer profits;
- If wildfire losses, repair costs, or litigation rise, premiums rise — period;
- Profits from insuring data centers don’t typically get “shared” with homeowners or auto customers.
> Bottom line: A booming new business line doesn’t mean insurers cut prices elsewhere. It just means they make more money for their shareholders.
### **The hidden cost: energy and infrastructure strain**
Data centers are among the most power-hungry facilities in the economy.
That creates ripple effects:
- Higher electricity demand → upward pressure on utility bills;
- Grid strain → increased outage and infrastructure risk;
- Water usage (for cooling) → added stress in drought-prone regions.
For insurers, those pressures can translate into:
- Greater systemic risk;
- Higher expected losses; and
- More upward pressure on premiums.
### **New risks, not just new revenue**
Data centers also introduce fresh exposures:
- Massive concentration risk (billions in one location);
- Vulnerability to power failure and cooling breakdowns; and
- Growing cyber and business interruption risks.
These aren’t “easy profits” — they require significant capital and careful pricing.
### **What it means for consumers**
- You’re unlikely to see direct premium relief from the data-center boom;
- In some regions, especially energy-constrained ones, the buildout could add to cost pressures;
- The biggest drivers of your insurance bill remain unchanged:
- Climate risk;
- Construction and repair costs; and
- Legal environment.
### **The bottom line**
The data-center boom may be a windfall for insurers — but for consumers, it’s more likely to be a wash at best, and a cost driver at worst.
### Shigella cases rising nationwide, driven by growing antibiotic resistance
URL: https://www.consumernews.ai/shigella-cases-rising-nationwide/
Last updated: 2026-06-19T19:16:44.000Z
### A fast-moving outbreak raises concern
The [Centers for Disease Control and Prevention](https://www.cdc.gov/mmwr/volumes/75/wr/mm7513a1.htm?ref=consumernews.ai) is warning of a rising outbreak of shigellosis, a highly contagious intestinal infection caused by *Shigella* bacteria, with cases climbing in several regions of the United States.
Public health officials say the illness spreads easily through contaminated food or water — or simply from person-to-person contact — making outbreaks difficult to contain, particularly in close-contact settings such as childcare centers, shelters, and long-term care facilities.
While [shigellosis](https://www.cdc.gov/shigella/about/index.html?ref=consumernews.ai) is not new, the CDC says the current surge is notable both for its spread and for signs that some strains are becoming harder to treat.
> The CDC warning is not tied to a single state or product-linked outbreak, but rather a nationwide rise in infections, with clusters appearing in urban areas and among vulnerable populations.
### What is shigella — and why is it a problem?
Shigella bacteria infect the digestive system and are extremely efficient at spreading — it takes only a small number of germs to cause illness.
Typical symptoms include:
- Diarrhea (often bloody or prolonged);
- Fever;
- Stomach cramps; and
- Nausea.
Symptoms usually begin within 1–2 days of exposure and can last up to a week, though some cases they can become more severe or prolonged.
Young children, older adults, and people with weakened immune systems face the highest risk of complications, including dehydration and hospitalization.
### Antibiotic resistance adds a new risk
A key concern flagged by the CDC is the growing presence of antibiotic-resistant Shigella strains, which can limit treatment options.
In recent years, health officials have documented cases that do not respond to commonly used antibiotics, raising the risk of longer illness and increased spread.
This trend has been closely monitored by agencies including the [World Health Organization](https://www.who.int/teams/immunization-vaccines-and-biologicals/diseases/shigella?ref=consumernews.ai), which has listed drug-resistant Shigella among emerging global health threats.
### How the infection spreads
Shigella spreads through what health officials call the “fecal-oral route,” which sounds technical but often comes down to everyday lapses in hygiene.
Common transmission pathways include:
- Not washing hands properly after using the bathroom;
- Preparing or handling food while infected;
- Contaminated drinking water or recreational water; and
- Close contact in shared living environments.
Because the bacteria spreads so easily, even small outbreaks can quickly escalate.
### Prevention: simple steps, big impact
Health officials emphasize that basic hygiene remains the most effective defense.
Key precautions include:
- Wash hands thoroughly with soap and water, especially after using the bathroom and before eating
- Avoid preparing food for others if you are sick
- Stay home from work, school, or childcare while symptomatic
- Use caution when traveling, particularly in areas with known outbreaks
> Alcohol-based hand sanitizers may help but are less effective against Shigella than [proper handwashing](https://www.cdc.gov/shigella/prevention/index.html?ref=consumernews.ai), the CDC notes.
### What this means for consumers
For most healthy adults, shigellosis is unpleasant but manageable. But the combination of easy transmission and rising drug resistance makes this outbreak more concerning than a typical stomach bug.
Consumers should be alert to symptoms — especially persistent or severe diarrhea — and seek medical care if illness worsens or does not improve within a few days.
Public health officials stress that outbreaks like this are preventable — but only if individuals take basic precautions seriously.
### The bottom line
> The CDC’s warning highlights a familiar but evolving threat: a common bacterial infection that is becoming harder to treat and easier to spread.
In a public health environment already strained by emerging diseases and antimicrobial resistance, even routine infections like shigella are taking on new urgency — and reinforcing the importance of simple, everyday protections.
### Trump auto-loan tax break gets off to a sluggish start, misses the typical car buyer's needs
URL: https://www.consumernews.ai/trump-auto-loan-tax-break-gets-off/
Last updated: 2026-06-19T19:16:44.000Z
### A tax break few are using
A new tax deduction championed by Donald Trump to ease the cost of car ownership is off to a slow start, with early evidence suggesting relatively few Americans are taking advantage of it.
The provision — part of the sweeping 2025 tax law known as the “One Big Beautiful Bill” — allows taxpayers to deduct up to $10,000 in interest paid on qualifying auto loans. But take-up has been limited, even as car prices and borrowing costs remain elevated, according to reporting by [Politico](https://subscriber.politicopro.com/article/2026/04/trumps-auto-loan-interest-tax-break-off-to-sluggish-start-00867243?utm%5Fsource=chatgpt.com).
### How the deduction works
The policy is structured as an “above-the-line” deduction, meaning taxpayers can claim it even if they don’t itemize.
To qualify, however, borrowers must clear several hurdles:
- The vehicle must be new and assembled in the United States;
- The loan must be for personal use;
- Income limits apply — full benefits phase out above $100,000 for individuals and $200,000 for couples;
- The deduction is capped at $10,000 in annual interest, according to the [IRS](https://www.irs.gov/newsroom/treasury-irs-provide-guidance-on-the-new-deduction-for-car-loan-interest-under-the-one-big-beautiful-bill?utm%5Fsource=chatgpt.com).
Those restrictions significantly narrow the pool of eligible borrowers. Many popular vehicles — especially imports or models assembled abroad — do not qualify, and higher-income buyers are phased out of the benefit.
### Why uptake is lagging
Several factors appear to be limiting the deduction’s real-world impact:
**1\. Limited financial benefit**
Even for eligible buyers, the tax savings are often modest. With average car prices around $49,000, most borrowers would save only a few hundred dollars annually — far below the headline $10,000 cap, according to a calculation by [The Week](https://theweek.com/personal-finance/new-tax-deduction-auto-loans?utm%5Fsource=chatgpt.com).
**2\. Narrow eligibility window**
The combination of income caps and “made-in-America” requirements excludes a large share of typical car buyers, particularly those purchasing imported vehicles or earning above the thresholds.
**3\. High borrowing costs and prices**
The deduction arrives at a time when auto affordability is already strained by rising vehicle prices and interest rates, dampening demand overall.
### Policy goals vs. reality
The Trump administration pitched the deduction as both a consumer relief measure and a way to boost domestic auto manufacturing. The U.S.-assembly requirement was designed to steer buyers toward American-built vehicles.
But early indications suggest the policy may be too narrowly targeted to deliver broad relief.
Economists and policy analysts note a mismatch: lower- and middle-income consumers — those most sensitive to car costs — may not qualify or may see only limited benefits, while higher-income households are phased out entirely.
### A broader tax strategy
The auto-loan deduction is one of several niche tax breaks included in the 2025 law, alongside deductions for tips and overtime pay.
Many of these provisions are temporary, set to expire in 2028, and are viewed by lawmakers as test programs that could be expanded or scrapped depending on performance.
### What this means for consumers
For most households, the new deduction is unlikely to significantly change the economics of buying a car:
- Savings are relatively small compared to rising loan costs;
- Eligibility rules may exclude many buyers;
- Vehicle price inflation remains the dominant factor.
In short, while the tax break offers some targeted relief, it appears unlikely — at least so far — to materially ease the affordability crunch facing U.S. car buyers.
### 'Annoyance economy’ costs Americans $165 billion a year, report finds
URL: https://www.consumernews.ai/annoyance-economy-costs-americans/
Last updated: 2026-06-19T19:16:44.000Z
## A growing cost of everyday life
A [new report](https://groundworkcollaborative.org/work/taking-on-the-annoyance-economy/?utm%5Fsource=chatgpt.com) from the Groundwork Collaborative argues that a wide range of modern consumer frustrations — from endless hold times to surprise fees — have quietly become a major economic burden, costing Americans at least $165 billion annually in wasted time and money.
The report defines the phenomenon as the cumulative toll of “time, fees, and irritation” required to navigate everyday transactions — a system where routine tasks like canceling a subscription or resolving a billing error are increasingly difficult, bordering on impossible.
Researchers say the issue has become a defining feature of modern consumer life, with small hassles adding up across millions of interactions.
**What’s the most annoying thing in your life? Tell me about it: email** [**jamesrhood@proton.me**](mailto:jamesrhood@proton.me) (This is a highly-secure email and is not monitored by Google or any of the other usual suspects.)
## Death by a thousand hassles
The report highlights a wide range of common pain points:
- Hours spent on hold with customer service;
- Complex insurance paperwork and medical billing disputes;
- Junk fees and surprise surcharges;
- Spam calls and texts flooding phones daily.
Americans now receive more than 130 million scam or marketing calls each day and nearly 20 billion spam texts each month, according to the analysis.
Health care alone accounts for a major share of the burden. The report estimates $21.6 billion in lost time annually tied to administrative hurdles like scheduling appointments or navigating insurance requirements.
Taken together, these “micro-costs” rival the economic output of entire U.S. states, the authors say.
## By design, not accident
One of the report’s central claims is that these frustrations are not random — they are often built into business models.
Companies, researchers argue, deliberately make it easy to sign up for services but difficult to cancel or get refunds. That asymmetry can significantly boost revenue.
In some cases, obstructing cancellations or relying on auto-renewals can increase corporate profits by up to 200%, according to the report.
“The same design choices are flipped and reversed” when consumers try to exit a transaction, Groundwork Executive Director Lindsay Owens said in commentary cited alongside the report.
## Affordability meets friction
The report frames the “annoyance economy” as part of a broader affordability crisis — one that doesn’t just show up in prices, but in time and cognitive burden.
Lower-income households are hit hardest, the authors argue, because they have less flexibility to absorb lost time or unexpected fees.
Even small obstacles — like navigating a refund process or disputing a charge — can translate into real financial losses if consumers give up out of frustration.
## Policy rollback and regulation debate
The report also wades into policy, arguing that weaker consumer protections have allowed these practices to expand.
It points to rollbacks of rules targeting junk fees, overdraft charges, and airline refunds, as well as reduced enforcement against scams and abusive practices.
At the same time, the issue appears to have broad public resonance. Polling cited in the report shows roughly two-thirds of Americans support stronger action against hidden fees, robocalls, and similar practices.
## What this means
For consumers, the findings underscore a shift in how costs are experienced in the modern economy:
- **Time is increasingly monetized** — delays and friction can translate into lost income or missed savings
- **Complexity can be a revenue strategy** — especially in subscriptions, billing, and returns
- **Small costs add up** — turning everyday inconveniences into a multi-billion-dollar drag
The report’s bottom line: the frustration many consumers feel navigating basic services isn’t incidental — it’s systemic, and increasingly profitable.
## The bigger picture
The “annoyance economy” concept adds a new dimension to discussions about consumer costs, moving beyond inflation and prices to focus on hidden, non-monetary burdens.
As the report puts it, modern consumers are paying not just with their wallets, but with their time, attention, and patience — a bill that now totals well into the hundreds of billions each year.
### PFAS research roundup: What studies say about health risks, exposure, and uncertainty
URL: https://www.consumernews.ai/pfas-research-roundup-what-studies/
Last updated: 2026-06-19T19:16:45.000Z
Concern about PFAS chemicals has been growing in recent years, and is expanding from air, ground and water pollution to the “forever chemicals’” presence in clothing and other consumer products.
Texas Attorney General Ken Paxton has recently announced an [investigation into Lululemon](https://www.theoutragedconsumer.com/p/pfas-chemicals-in-lulemon-texas-opens?ref=consumernews.ai) athletic apparel and other agencies may follow suit.
## What the research says
A large body of research compiled through the U.S. National Library of Medicine’s [PubMed](https://pubmed.ncbi.nlm.nih.gov/?ref=consumernews.ai) database shows a growing scientific consensus: PFAS chemicals are associated with a wide range of health effects, though the strength of evidence varies.
A widely cited [toxicology review](https://pmc.ncbi.nlm.nih.gov/articles/PMC7906952/?utm%5Fsource=chatgpt.com) found links between PFAS exposure and immune dysfunction, thyroid disruption, liver disease, metabolic disorders, and some cancers.
More recent reviews expand that list to include:
- High cholesterol and lipid disorders;
- Hypertension and diabetes;
- Kidney and liver damage;
- Infertility and developmental issues;
- Neurodevelopmental and cardiovascular effects.
[Other analyses](https://pubmed.ncbi.nlm.nih.gov/40724559/?ref=consumernews.ai) conclude PFAS exposure is associated with endocrine disruption, immunotoxicity, and carcinogenicity, with children among the most vulnerable populations.
## Children and early-life exposure
A [major review](https://pubmed.ncbi.nlm.nih.gov/40724559/?ref=consumernews.ai) of 60+ epidemiological studies found consistent associations between PFAS exposure in early life and:
- Weakened immune response (including vaccine response)
- Asthma and infections
- Kidney and thyroid effects
- Delayed or altered puberty timing ([PubMed](https://pubmed.ncbi.nlm.nih.gov/28654008/?utm%5Fsource=chatgpt.com))
Separate immunotoxicity research suggests PFAS exposure may reduce antibody response and increase susceptibility to infections, particularly in children exposed in utero.
## How people are exposed
[NLM-hosted research](https://pmc.ncbi.nlm.nih.gov/articles/PMC11577573/?utm%5Fsource=chatgpt.com) points to multiple, overlapping exposure routes:
- Drinking water contamination (often the dominant source in affected communities);
- Food and food packaging;
- Consumer products (textiles, cookware, cosmetics);
- Indoor dust and air.
One literature review warns that many water treatment systems cannot effectively remove PFAS, raising concerns about regulatory standards and long-term exposure.
## Why scientists are concerned
Researchers emphasize several factors that make PFAS uniquely problematic:
### 1\. Persistence
PFAS accumulate in the human body and environment, often remaining for years.
### 2\. Scale
There are thousands of distinct PFAS compounds, but [most studies](https://pmc.ncbi.nlm.nih.gov/articles/PMC7906952/?utm%5Fsource=chatgpt.com) focus on a handful (like PFOA and PFOS).
### 3\. Mixture effects
People are exposed to combinations of PFAS, not single chemicals—yet most research still studies them [individually](https://pubmed.ncbi.nlm.nih.gov/28654008/?ref=consumernews.ai).
### 4\. Biological mechanisms
[Emerging studies](https://pmc.ncbi.nlm.nih.gov/articles/PMC12690535/?utm%5Fsource=chatgpt.com) show PFAS can interfere with cell signaling, metabolism, and immune pathways, offering clues to how they may cause disease.
## How strong is the evidence?
The scientific picture is broad but uneven.
- Some outcomes—like cholesterol changes and immune effects—have relatively consistent evidence
- Others—like cancer or neurological effects—are still being studied and debated
Even large reviews caution that:
- Results differ by chemical type, exposure level, and population
- Many studies show associations, not definitive causation
[Clinical guidance](https://www.ncbi.nlm.nih.gov/books/NBK584702/?utm%5Fsource=chatgpt.com) hosted by NLM suggests potential health risks increase with higher PFAS blood levels, especially above certain thresholds, but emphasizes uncertainty at lower exposures.
## What this means for consumers
From a consumer-protection standpoint, the research points to a few clear takeaways:
### Exposure is widespread
PFAS are found in most Americans’ blood, reflecting decades of use and environmental persistence.
### Risk is cumulative
Because PFAS build up over time, long-term exposure matters more than short-term contact.
### Prevention—not treatment—is key
There is no specific medical treatment to remove PFAS from the body; public health guidance focuses on reducing exposure.
## The bottom line
The NLM/PubMed literature paints a consistent—if still evolving—picture:
- PFAS exposure is common and difficult to avoid
- Evidence links these chemicals to multiple health concerns, especially involving metabolism, immunity, and development
- But the science is still catching up to the scale of the problem
Or as one major review concludes: research on PFAS health effects has “greatly increased” in recent years—but significant [gaps remain](https://www.ncbi.nlm.nih.gov/books/NBK584702/?utm%5Fsource=chatgpt.com) in understanding the full risks of this vast chemical class
### PFAS chemicals in Lulemon? Texas opens an investigation
URL: https://www.consumernews.ai/pfas-chemicals-in-lulemon-texas-opens/
Last updated: 2026-06-19T19:16:46.000Z
## Texas targets PFAS in athletic wear
Lululemon Athletica is under investigation by Texas officials over whether its popular yoga and athletic apparel contains so-called “forever chemicals,” escalating scrutiny of chemical use in everyday consumer products.
The office of Attorney General Ken Paxton [said](https://www.texasattorneygeneral.gov/news/releases/attorney-general-ken-paxton-launches-investigation-lululemon-over-potential-presence-toxic-forever?ref=consumernews.ai) the probe will examine whether Lululemon’s products include per- and polyfluoroalkyl substances — better known as PFAS — that customers “would not expect based on the brand’s marketing.”
“Emerging research and consumer concerns have raised questions about the potential presence of certain synthetic materials and chemical compounds in their apparel,” Paxton’s office said.
Lululemon shares fell sharply in early trading Monday, dropping as much as 4.5% before recovering some losses. The company did not immediately respond to Paxton’s claims.
## What are PFAS — and why they matter
PFAS are a class of thousands of synthetic chemicals widely used to make products resistant to water, stains, and heat — properties that can be desirable in athletic apparel.
But the same durability has raised alarms. PFAS do not break down easily in the environment or the human body, earning them the nickname “forever chemicals.”
Studies have linked PFAS exposure to a range of potential health concerns, including:
- Certain cancers;
- Hormone disruption;
- Immune system effects.
According to the [U.S. National Library of Medicine](https://pmc.ncbi.nlm.nih.gov/articles/PMC7906952/?utm%5Fsource=chatgpt.com), however, relatively little research has directly examined health impacts tied specifically to PFAS in textiles, leaving key questions unresolved.
**What does the research say about PFAS?** [**Here’s a round-up of peer-reviewed studies from the PubMed database.**](https://www.theoutragedconsumer.com/p/pfas-research-roundup-what-studies?ref=consumernews.ai)[](https://www.theoutragedconsumer.com/p/pfas-research-roundup-what-studies?ref=consumernews.ai)
## Mounting pressure on apparel companies
The Texas investigation reflects a broader shift: PFAS concerns are no longer confined to industrial pollution or contaminated drinking water — they’re moving into closets and retail shelves.
Regulators and plaintiffs’ lawyers have increasingly targeted consumer-facing brands for:
- Alleged failure to disclose PFAS in products;
- Marketing that suggests “clean,” “natural,” or “health-conscious” materials;
- Potential violations of safety or labeling standards.
Paxton’s office has already filed a lawsuit against fast-fashion retailer Shein, alleging its products contain unsafe levels of chemicals, including PFAS.
Separately, several U.S. states — including California and New York — have begun restricting PFAS in certain textile categories, particularly products marketed to children.
## A new front in “health-first” enforcement
The probe also aligns with a broader policy push tied to the “Make America Healthy Again” agenda championed by Robert F. Kennedy Jr..
Under that framework, state and federal officials have stepped up investigations into chemicals and additives in consumer products.
Last year, Paxton launched a similar inquiry into WK Kellogg Co. over artificial food dyes. The company — now owned by Ferrero — later said it would phase out synthetic dyes by 2027.
## Lululemon’s growing list of challenges
For Lululemon, the PFAS investigation adds to a difficult stretch.
The company has recently faced:
- Slowing sales growth after years of rapid expansion;
- Renewed concerns about product quality;
- Pressure from founder Chip Wilson for leadership changes;
- An ongoing search for a permanent chief executive.
In a 2024 sustainability disclosure, Lululemon said it aimed to limit certain chemical uses, including PFAS — a statement that could now draw closer scrutiny from investigators.
## What this means for consumers
The case underscores a growing reality for shoppers: even products marketed as wellness-focused or performance-enhancing may face questions about hidden chemical exposure.
For consumers, experts suggest:
- Looking for “PFAS-free” labels where available;
- Checking brand disclosures and sustainability reports;
- Monitoring recalls or enforcement actions tied to chemical use.
As regulators expand their focus, apparel — long viewed as low-risk compared to food or water — is emerging as the next battleground in chemical safety.
## The bigger picture
The Lululemon investigation is part of a widening legal and regulatory wave that began with PFAS contamination in water supplies and is now reaching consumer goods.
What started as environmental litigation against chemical manufacturers is rapidly evolving into:
- Product liability cases against brands;
- State-level bans and restrictions;
- Disclosure requirements and marketing scrutiny.
For companies, the message is clear: chemical transparency is no longer optional.
For consumers, the takeaway may be even simpler — the label on the outside of a product may not tell the whole story.
## Toothpaste too
Paxton has also been investigating toothpaste companies he has said are encouraging children to use greater amounts of fluoride than is thought to be safe. In December, Procter & Gamble Co. [said it would modify](https://news.bloomberglaw.com/litigation/crest-will-change-texas-marketing-over-paxton-fluoride-concerns?ref=consumernews.ai) the amount of Crest toothpaste in its advertisements in Texas to depict age appropriate usage.
### Electronic slot machines banned in Missouri as illegal gambling devices, other states set to follow
URL: https://www.consumernews.ai/electronic-slot-machines-banned-in/
Last updated: 2026-06-19T19:16:47.000Z
If you’re looking for an afternoon of pumping funds into an armless one-armed bandit, you should cross Missouri off your list. It’s among the states that are mounting aggressive takedown efforts of electronic slot machines, which they say are illegal gambling devices.
Missouri Attorney General Catherine Hanaway [announced](https://ago.mo.gov/torch-electronics-agrees-to-suspend-all-operations-to-avoid-prosecution/?ref=consumernews.ai) Friday that [Torch Electronics](https://torchncg.com/?ref=consumernews.ai) had agreed to suspend all operations in the state, following an ongoing joint criminal investigation by federal and state agencies.
“While this is a tremendous step forward for Missouri, our office will continue to investigate and seek enforcement action against other operators, manufacturers, and retail stores facilitating this illegal activity,” Hanaway said in a [statement](https://ago.mo.gov/torch-electronics-agrees-to-suspend-all-operations-to-avoid-prosecution/?ref=consumernews.ai).
That leaves Pennsylvania as the largest and most stable “semi-legal” market. A 2014 court ruling found the machines are not slot machines, allowing widespread unregulated and untaxed use. [Legal appeals](https://apnews.com/article/skill-games-gambling-pennsylvania-casinos-d03c0ee5028107424a9052e7c06f9ddd?ref=consumernews.ai) are pending, though, so that could change at some point.
## Banned outright
Many states have gone to war against the machines, most notably Virginia, where a statewide ban was [reinstated in 2023](https://www.axios.com/local/richmond/2023/11/16/viginia-gas-station-gambling-ban-machines?utm%5Fsource=chatgpt.com), making the devices clearly illegal. The ban had originally gone into effect in 2021 but was challenged by a truck stop owner on First Amendment grounds.
Historically, the wannabe slot machines have been popular in gas stations, convenience stores and bars in states that have highways with a lot of truck traffic — Virginia’s I-95, the Pennsylvania Turnpike and Missouri’s I-40, among others.
In many states, the devices have been operating in a gray market but a strong trend is developing to regulate them as illegal gambling devices. States actively working the issue include:
- **Minnesota** – bills advancing to outlaw sweepstakes/gray-market gambling;
- **California & New York** – already moved to restrict similar “sweepstakes casino” models;
- **Mississippi, Iowa, Oklahoma** – legislation targeting unregulated gambling formats;
- **Connecticut, Michigan, Maryland, West Virginia, Louisiana, New Jersey** – cease-and-desist orders or new laws against similar models.
About 27 states have gambling-related bills in play in 2026 alone, according to [Gambling Insider](https://www.gamblinginsider.com/in-depth/112652/us-gambling-bill-tracker?utm%5Fsource=chatgpt.com).
At the state level, 27 states have introduced proposals that range from gambling legalization (casino or sports betting), taxation, lottery measures, and restrictions to outright bans on sweepstakes casinos.
## Why the shift?
Across the country, state regulators and courts are converging on the same conclusions:
- These machines function like slot machines.
- They often:
- Avoid taxes;
- Bypass licensing;
- Lack consumer protections.
- Courts increasingly reject the argument that they are “games of skill.” [Missouri’s ruling](https://molawyersmedia.com/2026/02/18/missouri-federal-judge-gas-station-games-illegal-gambling/?utm%5Fsource=chatgpt.com) is part of that broader shift:
> Judges are explicitly finding **“elements of chance” → illegal gambling**
## Congress more sympathetic to gamblers
While gas-station machines are having a bad time at the state level, Congress is coming to the aid of gamblers who feel unduly burdened by President Trump’s [One Big Beautiful Bill](https://www.congress.gov/119/plaws/publ21/PLAW-119publ21.pdf?ref=consumernews.ai).
A [bipartisan effort](https://www.congress.gov/119/bills/s2230/BILLS-119s2230is.pdf?ref=consumernews.ai) in Congress is specifically designed to repeal the 10% shaving of gambling losses deductions introduced by the Trump measure. It would restore the tax code to its original condition, allowing gamblers to deduct 100% of their losses against their winnings. This would effectively remove the federal ‘phantom income’ tax.
In plain language, Congress accidentally (or maybe intentionally) created a rule where gamblers can be taxed on money they didn’t actually earn — and now a bipartisan bill aims to fix it by restoring the old system.
> The current tax code can treat break-even gamblers as profitable — taxing “phantom income” — and the [Full House Act](https://www.congress.gov/119/bills/s2230/BILLS-119s2230is.pdf?ref=consumernews.ai) would reverse that by restoring the traditional rule that only real winnings are taxed.
[Prediction market](https://www.theoutragedconsumer.com/p/prediction-markets-like-kalshi-are?utm%5Fsource=publication-search)s, like Kalshi, are yet another gambling market that’s in play. The federal government has sued states that have tried to regulate it, saying that right is reserved to the Commodity Futures Trading Commission (CFTC), which recently [filed lawsuits](https://www.cftc.gov/PressRoom/PressReleases/9206-26?ref=consumernews.ai) against several states.
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