The Better Business Bureau is usually the one collecting complaints. Now, Connecticut Attorney General Richard Blumenthal has a complaint about the private consumer group.
I remain concerned about the Better Business Bureaus rating system and my offices investigation is continuing, Blumenthal said in a statement. We have reached no conclusions.
Blumenthal said he is disturbed by a 2009 change in the BBB's rating system for businesses. In the past, the bureau labeled businesses "satisfactory" or "unsatisfactory" for resolving consumer complaints. In 2009, the business watchdog launched a new rating system.
New rating system
In January of that year the BBB began rating businesses based on 16 weighted categories with a scale from AAA to F. The BBB Reliability Report's algorithm calculating a company's ranking revolves around a set of subjective characteristics including the nature of business, length of time since opening, whether the business is "problematic in the industry," and BBB accreditation, i.e., are they a paying member.
My office last month wrote the Connecticut BBB requesting information regarding my concerns -- especially the role of dues in determining ratings and potential harm to businesses that decline to join -- and we await a response, Blumenthal said. My office is reaching out to BBB to help facilitate a response.
Business complaints
ConsumerAffairs.com has also received complaints from businesses, objecting to the way they are rated by the BBB.
BBB gave our company a D- rating for 'failing' to provide them with information, Eric, of Manahawkin, N.J., told ConsumerAffairs.com. We are not a member! The notion that a private company can demand you snap to and provide them with information or risk having your business damaged is astonishing.
Bluenthal agrees.
BBB ratings should be based exclusively on performance, honesty and responsiveness, he said. Rankings should not be affected by membership in the BBB. Any suggestion or appearance of pay-to-play threatens to undermine the accuracy and credibility of the BBBs ratings, potentially misleading consumers and unfairly tainting nonmember businesses.