SENIOR citizens may have been lured into exploitative contacts with utility companies using confusing voice recordings — and now their families are calling for change.
When a telemarketer called 90-year-old Mary Marke, she thought she was signing up for a discount on her gas bill.
Karin Marke says her mother, 90-year-old Mary Marke, was tricked into switching her gas company to a more expensive optionCredit: ABC 7 News
Marke said it was ‘painful’ to listen to the recording of her mother being trickedCredit: ABC 7 News
Mary has dementia and said she did not understand what the call was aboutCredit: ABC 7 News
Mary’s gas bill more than doubled after the switch from PG&E to AAA, and AAA said she would have to pay to disconnectCredit: ABC 7 News
Instead, the Oakland, California resident allegedly agreed to switch her gas provider from PG&E to an intermediary company called AAA in what some are dubbing exploitative practices.
Mary’s daughter, Karin Marke, noticed the change when she saw that her mother’s gas bill had doubled in cost.
Her mother’s statement showed that PG&E would have charged her $90 last month while AAA charged her $187.
When she called the company to cancel the contract, she said they told her she would have to wait 60 days and pay a $100 early termination fee.
“They basically said your mother agreed to it, and you can’t cancel it for two months and there’s a penalty if you do and that’s where I said, this doesn’t sound right,” Marke told reporters at local ABC affiliate KGO.
AAA representatives sent Marke a copy of the recording of her mother giving consent — which she says only proves that the company took advantage of her mother.
“They keep pushing, pushing, pushing and get her to say yes… it either made you angry or want to cry,” said Marke.
A ‘PREDATORY’ PHONE CALL
Mary is clearly upset on the phone call and unsure of what the agent is talking about.
At one point, the following exchange occurs:
- Mary: Excuse me ma’am but I’ve been answering questions for the last hour.
- Agent: I totally understand. So do you agree that the agent has not offered you any other incentives, rebates, or gift cards…
- Mary: I guess so, but this is the discount, is that not true?
- Agent: I don’t work for AAA. So let me read the statement again, do you agree the agent has not offered you any incentives…
- Mary: I guess so. I’ll say yes but that’s only because I’m getting tired.
- Agent: I just need a yes or no for the recording.
- Mary: I guess I’ll say yes but that’s only because I’m getting tired.
The agent continues speaking before Mary interjects with, “Oh my God, this is so complicated. Jesus Mercy.”
Mary’s daughter said it was not easy to listen to the recording.
“She’s exhausted from a long call… the lady continued to coax her which is so… I hate the predatory nature of these,” said Marke.
COMPANY SAYS ITS WITHIN THE LAW
The company denied any wrongdoing in a statement to local reporters.
“AAA, like all Core Transport Agents, is directly regulated by the California Public Utilities Commission and follows all applicable regulations. AAA offers alternative pricing structures from PG&E, including AAA’s fixed rate program, which offers a rate that does not change from month-to-month with the market price of gas,” the company said.
Representatives also denied targeting senior citizens as a sales tactic.
“AAA neither targets nor discriminates against any customer based on age, race, national origin, orientation, or any other basis.”
“While AAA cannot comment on individual customers or their accounts due to confidentiality restrictions, AAA has reviewed the names mentioned in your story and will reach out to them to address their concerns,” the statement said.
Third-party gas suppliers are legal under the Public Utilities Commission in California.
These companies do not deliver gas to homes themselves, however, and must still use the services of larger energy producers like PG&E — which often makes them more expensive.
Gas customers can double-check the sign on their counters to make sure they are receiving their gas through a primary provider and not a third-party company.
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