honoluluadvertiser.com

Sponsored by:

Comment, blog & share photos

Log in | Become a member
The Honolulu Advertiser
Posted on: Monday, December 1, 2003

Buyer complaints increasing

By Sean Hao
Advertiser Staff Writer

Consumer complaints filed with the state this year are 150 ahead of the total for 2002, with automobile-related issues topping the list.

Check out charities, businesses

• The Hawai'i Better Business Bureau keeps reports on local and national charity groups. Its Web site, www.hawaii.bbb.org, has information about the share of contributions that goes toward a charity's mission, as well as consumer tips and complaint histories for local businesses. Phone: 536-6956

• The state Department of Commerce and Consumer Affairs provides complaint information on Hawai'i businesses at www.state.hi.us/dcca/ocp or phone 587-3222

As of last week, the Department of Commerce and Consumer Affairs had received about 1,900 complaints, compared with roughly 1,750 complaints filed last year.

Automobile sales, services and rentals, which ranked No. 5 last year, moved to the top of the list of categories, displacing Internet-related complaints, which slipped this year to eighth, the department said.

Other areas raising the ire of Hawai'i consumers this year include financial/investment-related services, at No. 2, and travel-related complaints at No. 3.

The rise of automobile complaints could be related to an increase in new car sales, said Stephen Levins, state consumer protector.

Helped by low and zero-interest financing, new auto sales statewide are expected to increase nearly 8 percent this year, to 57,430, according to First Hawaiian Bank. That would be the highest level since 1989.

But Internet complaints aren't less significant for having slipped in the ranking, Levins said. Many victims of Internet fraud don't file complaints, he said, and the department has several ongoing investigations into local companies or individuals suspected of online fraud.

"It's definitely something we're very concerned about, especially if people in Hawai'i are purporting to sell things on the Internet and are not shipping the products," he said.

Of particular concern at this time of year are scams masquerading as charities attempting to capitalize on a giving mood.

"What we always say is, check before you give," said Anne Deschene, president of the Hawai'i Better Business Bureau.

Shoppers may pay less attention to a seller's reputation and refund policies during the busy holiday season, but consumer advocates advise researching a business up front to prevent future headaches, because this is the time many people buy big-ticket items, such as jewelry, Deschene said.

"Shopping isn't so rushed that you can't be careful and question offers."

Financial/investment-related businesses ranked second for state complaints this year. Typical reports included pyramid schemes, sales of hybrid insurance, and annuity investments that are difficult to get out of, said Ryan Ushijima, the state's commissioner of securities.

"We've seen hard-working Americans, especially older ones, just being targeted by a number of scams that are promising high returns," Ushijima said.

"Some people are just desperate to realize bigger returns and have been more susceptible to these types of scams."

Other top-10 categories of consumer complaints include travel, lending/mortgages, entertainment/recreation, furniture/appliances, telecommunications, health services and subscriptions.

Reach Sean Hao at shao@honoluluadvertiser.com or 525-8093.