Current Events in October 2020

It’s full steam ahead at Netflix. After adding 26 million new subscribers worldwide in the first half of the 2020 pandemic, its users are going to have to pony up another dollar or two per month starting soon. 

On Thursday, the company raised the prices of its standard and premium plans to $13.99 (from $12.99) and $17.99 (from $15.99) per month, about the same jump in price it took in 2019.

While that price increase might appear incidental, it could sure mean a lot to Netflix’s bottom line. Tacking on a dollar or two per month to its 73 million U.S. subscribers and an estimated 195 million worldwide is a healthy shot of black ink to the company’s bottom line. 

The changes to expect

The big change for Netflix is the monthly subscription price, but there a few other items that Netflix users should take note of:

• When the price will go up. So as not to be surprised when the price increase comes, current Netflix subscribers will be notified 30 days before any rate change happens. They should be ready to see the updated prices on their bill sometime in the next two months, according to a comment Netflix made to CNBC.

• Basic plan changes. The basic plan holds steady at $8.99 a month, the same price Netflix rolled out in 2019.

• Free trials. Will there be more free trials? Those appear to be in limbo. While Netflix continues to offer free trials outside of the U.S., it recently closed the lid on the promotion in the U.S. and began emphasizing that it lets subscribers cancel anytime at no cost.

• Streaming quality. While Netflix didn’t mention any changes in quality, ConsumerAffairs reminds Apple Mac users who want to use their computers to stream Netflix 4K (reportedly when Apple’s next system software, macOS Big Sur, is released) that Netflix will only stream in 4K to Macs that have a T2 security chip.

Becoming part of the conversation

As ConsumerAffairs read the transcript for its latest earnings call, our biggest takeaway was that Netflix wants to be fundamental in the viewer’s go-to streaming services. 

Netflix’ co-founder, Wilmot Reed Hastings, said the company has come to realize there are no gimmicks or techniques, but that it’s really about member satisfaction. In his words, “If we please you on a Wednesday night, you're more likely to come back on a Thursday night.”

“Primarily, what we're trying to do in our marketing is get people to talk about those things that they're watching and got to get it into the conversation … and to excite the fan base so that when they're talking about a movie, they're talking about a Netflix movie. And when they're talking about a TV show, they're talking about a Netflix TV show. And that's the thing that we're building toward every day,” added Theodore A. Sarandos, the company’s Co-CEO, Chief Content Officer & Director.

Walmart is removing guns and ammunition from its display shelves, citing concerns about potential civil unrest that could lead to the firearms being stolen.

A Walmart spokesperson told media outlets that the move is not anything new, that the practice has been observed several times over the last few years. The items will still be available for purchase, however.

"We have moved our firearms and ammunition off the sales floor as a precaution for the safety of our associates and customers," the spokesman said.

Several Walmart stores were damaged after George Floyd, an African American, died in May while being arrested in Minneapolis. Video of the incident went viral, resulting in criminal charges against the arresting officer and setting off widespread protests that turned violent in many cities.

A week before the election

Walmart’s move comes less than a week before a presidential election that has been marked by passion on both sides. Because of the overwhelming number of early ballots cast, due to concerns about the coronavirus (COVID-19), results of a close election might not be known for days, increasing the possibility of rising civil tensions.

Walmart, in recent years, has responded to public pressure and reduced some types of firearms and ammunition sold in its stores. But the company remains an outlet for sporting rifles and shotguns.

In August, NSSF, the firearm industry trade association, updated its retail sales survey and estimated 5 million Americans purchased a firearm in the first seven months of 2020. Of that number, it estimated 40 percent of the sales went to consumers who had never purchased a gun.

‘Tectonic shift’

Lawrence Keane, NSSF’s senior vice president, called it a “tectonic shift” in the marketplace -- something that promises to transform today’s gun-owning community.

“These first-time buyers represent a group of people who, until now, were agnostic regarding firearm ownership,” Keane said. “That’s rapidly changing, and these Americans are taking hold of their God-given right to keep and bear arms and protect themselves and their loved ones.”

NSSF tracks the background checks associated with the sale of a firearm based on the FBI’s National Instant Background Check System (NICS). NSSF-adjusted NICS checks for January through July 2020 is a record 12.1 million, which is up 71.7 percent from the 7.1 million NSSF-adjusted NICS January through July 2019. 

A bi-annual ritual takes place this weekend as Daylight Savings Time comes to an end. On Sunday, Nov. 1 at 2 a.m., clocks will “fall” back an hour as the nation -- most of it at least -- returns to Standard Time.

The switch, which can play havoc with circadian rhythms, seems to take place later each year. That’s because Congress, more than a decade ago, passed the Energy Policy Act. It added four weeks to Daylight Savings Time under the theory that it would save energy.

It also works on the other end, when Daylight Savings Time will return in early March rather than early April, as it did in the past.

No matter when the time changes, both seasonal changes have the potential to disrupt your sleep patterns circadian rhythm. The result can be a significant disconnect between your body’s internal clock and your daily life.

The fall change might be slightly less disruptive since we get an extra hour of sleep, but it can be disorienting nonetheless. The springtime change, when we’ve just grown accustomed to Standard Time, can be really rough since we lose an hour of sleep.

Battery change reminder

The Consumer Product Safety Commission (CPSC) says consumers can put the annoying time change to productive use by making it a reminder to change the batteries in smoke and carbon monoxide alarms throughout the home.

CPSC estimates there was an annual average of about 361,800 residential fires, resulting in about 2,290 deaths, and 10,410 injuries from 2015 through 2017.

Carbon monoxide (CO) poisoning can come from portable generators, home heating systems, and other CO-producing appliances. CPSC estimates there were 179 unintentional, non-fire CO poisoning deaths associated with consumer products under CPSC's jurisdiction in 2016, the most recent year for which there is death data. 

Portable generators were associated with the most deaths followed by heating systems.

Coronavirus (COVID-19) tally as compiled by Johns Hopkins University. (Previous numbers in parentheses.)

Total U.S. confirmed cases: 8,955,035 (8,865,697)

Total U.S. deaths: 228,808 (227,774)

Total global cases: 44,192,450 (44,644,423)

Total global deaths: 1,183,400 (1,176,101)

U.S. records 90,000 cases in a day

The wave is building. An analysis of data collected by Johns Hopkins University shows the U.S. reported more than 90,000 additional cases of the coronavirus (COVID-19) in a 24-hour period yesterday. More than 30 states reported at least 1,000 new cases of the virus.

Despite the one-day record number of cases, deaths from the virus are not keeping pace. A ConsumerAffairs analysis shows COVID-19 deaths are running at about the same rate as in September and below August’s total.

Thursday’s record number of new cases comes as the U.S. is experiencing the fastest spread of the virus since the early days of the pandemic.

Leaked report shows where hospitals are filling up

The U.S. government collects health information from around the country to compile a list of hospitals where COVID-19 patients are rising fastest. NPR has published the list it says it gained through government sources.

The network says the report dated Oct 27 lists the metro areas of Atlanta, Minneapolis, and Baltimore as places where hospital beds are over 80 percent full. It also lists specific hospitals reaching max capacity, including facilities in Tampa, Birmingham, and New York that are at over 95 percent ICU capacity.

Health officials interviewed by NPR said making the information about hospitalizations public could help planners keep ahead of expected surges of coronavirus cases.

Report: scammers stole billions from COVID-19 loan program

The inspector general of the Small Business Administration (SBA) found scammers raked off billions in loans intended to help businesses stay open and keep employees on the payroll. The report found that more than $78 billion in aid approved for businesses under the agency's Economic Injury Disaster Loan Program may have gone toward potentially fraudulent or ineligible businesses.

Of that amount, the report said $58 billion was paid in multiple loans to businesses that used the same IP addresses, email addresses, bank accounts, or the same physical addresses. The auditors found that around $13.4 billion went to accounts different from those listed on the original loan applications.

SBA Management disagreed with the audit findings we report here,” the inspector general’s report noted. 

Kroger adds rapid antibody testing at all pharmacy locations

Kroger Health says it is launching rapid antibody testing across its family of pharmacies, a move that expands the company's existing portfolio of in-clinic and at-home COVID-19 diagnostic tests.

The tests will help inform patients if they have previously been infected with the virus that causes COVID-19. It could help fill some data gaps, identifying people who have had the coronavirus but who were never officially diagnosed.

The tests, which are supplied by Whitmire Medical, are available to Kroger customers for $25 and typically provide results within 15 minutes. The test is only for people who believe they may have previously been infected with COVID-19 but are not currently experiencing symptoms.

Going to the grocery may be riskier than you think

A study published in the British medical journal Occupational and Environmental Medicine found about 20 percent of grocery workers were infected with the coronavirus, even though most were asymptomatic. The authors conclude the workers were likely a "significant transmission source" for COVID-19 transmission.

The analysis studied what it called the significant asymptomatic infection rate, exposure risks, and psychological distress of front-line workers, including grocery store employees.

Researchers said 20 percent is a much higher rate of infection than was seen in the other communities. Even more concerning, the study found workers who interacted directly with customers were five times as likely to test positive for the virus as colleagues in other positions.

Around the nation

• California: Some Hollywood celebrities have taken to Twitter to criticize Gov. Gavin Newsom for holiday gathering rules that limit events to no more than three households, with gatherings lasting no more than three hours.

• Virginia: With cases spiking in the Richmond metro, CVS is expanding its free rapid testing capability in the region. The drug store chain announced four testing sites that it says will give you results within 30 minutes. There’s one in Glen Allen, one in Chester, and two in Richmond. 

• Oregon: Gov. Kate Brown has extended the state’s emergency order for another 60 days, taking it into 2021. "Extending the COVID-19 state of emergency is not something I do lightly, but we know all too well that not taking action would mean an even greater loss of life," Brown said in a statement.

While sugar tends to be the first thing consumers cut out when making healthier choices, recent studies have found that too much sugar can have a negative effect on consumers’ lifespans. 

Now, researchers from UT Southwestern Medical Center have found that diets high in sugar can be particularly detrimental to consumers with colitis. According to their findings, consuming large quantities of sugary foods can not only worsen colitis symptoms, but it can also lead to lasting gut damage. 

“Colitis is a major public health problem in the U.S. and in other countries,” said researcher Hasan Zaki, PhD. “This is very important from a public health point of view.” 

Choosing the right foods 

The researchers conducted their study on mice to better understand how sugary foods can affect colitis symptoms and overall gut health. The mice were either already diagnosed with colitis when the study began, or were induced with colitis via a drug, and were fed a diet with three different types of sugars -- glucose, sucrose, and fructose -- for one week. Additionally, the researchers analyzed their intestinal bacteria both before the sugar-heavy diet and after, to determine what long-term effects it could have on their gut health. 

At the end of the week, the researchers observed that the mice’s colitis symptoms had worsened since the start of the high-sugar diets. In terms of gut health, the study revealed that high sugar consumption changed the bacterial make-up of the mice’s guts, which can ultimately lead to inflammation in the intestines. 

The researchers also discovered that the mucus layer of the gut, which serves as a protective barrier, had thinned following the high-sugar diet, which can also leave the mice susceptible to gut damage. 

“The mucus layer protects intestinal mucosal tissue from infiltration of gut microbiota,” the researchers wrote. “Higher abundance of mucus-degrading bacteria, including Akkermansia muciniphila and Bacteroides fragilis, in glucose-treated mice is, therefore, a potential risk for the intestinal mucus barrier. 

“Due to the erosion of the mucus layer, gut bacteria were in close proximity with the epithelial layer of the large intestine in glucose-treated mice. Breaching of the epithelial layer is the key initiating event of intestinal inflammation,” the researchers noted. 

As more and more consumers are struggling with colitis -- including young people, the researchers hope that these findings highlight the critical role that diet plays in colitis symptoms and gut health. 

“Our study clearly shows that you really have to mind your food,” Dr. Zaki said. 

Waymo -- the autonomous driving technology development company that’s a subsidiary of Alphabet Inc., the parent company of Google -- has released its first round safety numbers for its operations in Phoenix, Arizona.

Overall, the company seemed pleased with the results and feeling good about the future of driverless vehicles.

The scorecard shows that company vehicles were involved in 18 accidents and 29 near-miss collisions during all of 2019 and through the first nine months of 2020.

In Reuters’ shakeout of the data, Waymo vehicles in Phoenix were involved in minor incidents once out of every 339,000 miles driven, adding that an additional 29 incidents were avoided with the intervention of a safety driver. 

Applying the metrics to a real-life scenario, Waymo equated the number of miles traveled by its vehicles represents over 500 years of driving for the average licensed U.S. driver.

The company couched the majority of incidents into the category of “typically unreported minor collision or contact,” but admitted that there were eight incidents it considered “most severe or potentially severe” where airbags were deployed. 

Good news or bad news?

Whether Waymo considers those results a glass half-full or a glass half-empty, it didn’t say. But Phoenix-area residents have been rather vocal about the 300+ vehicles operating driving around the Phoenix metro, calling them a hazard. 

Undaunted, the company remains confident about the technology saying it believes that it could prevent thousands of lives from being lost to traffic crashes every year. The Waymo team defended its extensive efforts, writing, “The more miles we travel on public roads, the more opportunities to monitor and assess the performance of software.”

“We take our responsibilities to the communities we serve seriously. Now that we’ve opened up our fully autonomous ride-hailing service to the public, we’re also sharing in detail the safety framework that guides our progress.”

After an extremely hot sales summer, home sales cooled significantly in September. Pending home sales, which reflect contracts that were signed during the month, dropped 2.2 percent from August to September.

Putting that in context, however, is how September sales compared to 12 months earlier. Year-over-year, sales contract signings were up 20.5 percent from September 2019, showing just how active the market has been since the coronavirus (COVID-19) pandemic began.

"The demand for home buying remains super strong, even with a slight monthly pullback in September, and we're still likely to end the year with more homes sold overall in 2020 than in 2019," said Lawrence Yun, NAR's chief economist. "With persistent low mortgage rates and some degree of a continuing jobs recovery, more contract signings are expected in the near future."

Since May, the pandemic has largely shaped the housing market. Millions of apartment dwellers suddenly working from home began to look for single-family homes. Others sought homes in other cities, convinced they could continue to work remotely. NAR expects that trend to continue.

"Additionally, a second-order demand will steadily arise as homeowners who had not considered moving before the pandemic begin to enter the market," Yun said. "A number of these owners are contemplating moving into larger homes in less densely populated areas in light of new-found work-from-home flexibility."

Seattle, Boston, and Los Angeles lead

Realtor.com's Housing Market Recovery Index, which reveals metro areas where the market has recovered or even exceeded its previous January levels, showed the greatest recoveries as of October 10 were in Seattle-Tacoma-Bellevue, Wash.; Boston-Cambridge-Newton, Mass.-N.H.; Los Angeles-Long Beach-Anaheim, Calif.; Las Vegas-Henderson-Paradise, Nev.; and San Jose-Sunnyvale-Santa Clara, Calif.

A report this week from online real estate marketplace Zillow showed how the pandemic has distorted the housing market. Uncertainty, likely caused by COVID-19, is keeping more than a third of would-be sellers out of the market. Financial anxiety is a big part of that, the Zillow survey found.

The result is fewer homes for sale, which could be one reason for September’s drop in new sales. Thirty-one percent of current homeowners point to financial worries as a reason to stay in their current home, with 27 percent saying they recently suffered a loss in household income. While they might find ready buyers for their home, they worry about qualifying for a mortgage to purchase a new one.

Though it can be difficult to always look on the bright side, experts continue to find ways that being more optimistic and positive can benefit consumers’ physical and mental health. Recent studies have highlighted the ways that positive thinking can benefit consumers’ lifespans, sleeping schedules, and disease risk. 

Now, a new study conducted by researchers from the Association for Psychological Science has found that having a positive outlook can also reduce the likelihood of memory decline in older age. 

While memory tends to decline with age, researchers found that having a positive outlook can reduce the severity of memory decline over time.

“Individuals with higher levels of positive affect had a less steep memory decline over the course of a decade,” said researcher Emily Hittner, PhD. 

Long-term benefits of optimism

To better understand how a positive attitude can benefit consumers’ cognitive function into older age, the researchers enlisted the participation of nearly 1,000 middle-aged and older-aged adults.

At the first session, participants reported on any positive feelings they had experienced in the last month, while two follow-up sessions -- which took place over the course of a decade -- required the participants to complete memory assessments. This process allowed the researchers to determine what role positivity played in long-term memory function.  

After accounting for several factors that could affect memory decline, including depression, education, and age, among several others, the researchers determined that positivity was linked with better memory outcomes over the long-term. The participants that were the most cheerful at the start of the study maintained the best memory function by the end of the study. 

While the researchers plan to do more work in this area to better understand how a positive disposition can affect memory in older consumers, these findings provide a solid foundation for establishing the link between positivity and memory ability. 

Keeping memory sharp

As Hause mentioned, memory decline is common and expected in older age. However, several recent studies have discovered things that could worsen memory, as well as things that could boost memory skills for older consumers. 

Experts have found that poor sleeping habits and popular prescription drugs could lead to memory troubles for older consumers, whereas exercise and diet can work to consumers’ advantage and help to sharpen memory into older age.   

Best Buy has released its Black Friday ad circular and begun offering deals on many popular items, well in advance of the official kickoff of the holiday shopping season.

The company says hundreds of deals listed in the ad are available on BestBuy.com and in stores starting today and lasting through Nov. 1. The objective is to make it easier and safer to shop during the coronavirus (COVID-19) pandemic.

The electronics and appliance retailer is offering discounts on a wide range of its inventory, with a special emphasis on TV sets. Among the deals available this weekend:

• $150 off on a Lenovo Core i3 laptop (sale price: $299)  

• $250 off on a Lenovo Yoga Core i5 laptop (sale price: $549)  

• $200 off on an Asus gaming laptop (sale price: $799) 

• $220 off on a Samsung 70-inch 4K Smart TV (sale price: $529)  

• $250 off on a Hisense 65-inch 4K Smart TV (sale price: $249)  

• $70 off on an Insignia 32-inch Smart Fire TV Edition HD TV (sale price: $99)   

• $999 for a Canon EOS RP Mirrorless Camera with RF24-105MM, plus a free 12-inch tabletop ring light  

• $300 off on a KitchenAid Pro5 Plus Series stand mixer in Ink Blue (sale price: $199)  

• $150 off on Dyson Cyclone V10 Animal Pro Cordless Stick Vacuum (sale price: $399)  

• Save up to $750 on Samsung GS20 5G family of mobile phones  

• $100 off on a Bose QC35 headphones (sale price: $199)  

• Save 50 percent on GreatCall devices, including the Jitterbug Smart 2 and the Lively Flip smartphone 

Closed on Thanksgiving Day

In the COVID-19 era, most major retailers have decided they don’t need to be open on Thanksgiving Day and Best Buy is no exception. After all, every e-commerce survey suggests there will be a huge increase in online shopping this year.

But on Black Friday, Nov. 27, Best Buy will open stores at 5 a.m. and close at 10 p.m. local time, Stores will open at 9 a.m. on Saturday and at 10 a.m. on Sunday that weekend.

“We’ve also extended our holiday hours in our stores to accommodate shoppers this holiday season, so our doors are now open from 10 a.m. to 8 p.m. local time,” the company said in a press release.

Best Buy says it plans additional promotions between now and Black Friday, with the next one running Nov. 5-8. 

Best Buy has taken several steps to enhance safety in stores. The retailer said there will be a shopping guide at the entrance to the store to help customers quickly find what they’re looking for, limiting the time they spend in the store.

In fact, Best Buy will continue a current policy that limits the number of customers in the store at the same time. As always, shoppers will be required to wear a face-covering while inside the store.

A surge in the third-quarter gross domestic product (GDP) did nothing to raise gasoline prices this week. The government reports GDP increased 31 percent, but the average gas price went down again.

The AAA Fuel Gauge Survey shows the national average price of regular gas is $2.14 a gallon, two cents lower than last Friday. Prices are still relatively stable, down four cents a gallon in the last month.

The average price of premium gas fell by a penny in the last week to $2.76 a gallon. The average price of diesel fuel is the same as last week -- $2.37 a gallon.

Gasoline demand continues to flatline or dip lower as consumers, for the most part, continue to stay close to home. AAA reports demand in October has been about 14 percent less than last October.

“The U.S. has a very healthy level of gasoline stocks due to lower demand and that is keeping gas prices low,” said Jeanette Casselano McGee, AAA spokesperson. “The majority of states have cheaper gas prices compared to last month, many paying three to eight cents less. That downward trend at the pump is likely to continue.” 

Demand, in fact, has fallen as the number of coronavirus (COVID-19) cases has spiked. Prices at the pump have fallen with lower demand.

The states with the most expensive gas

These states currently have the highest prices for regular gas, according to the AAA Fuel Gauge Survey:

• Hawaii ($3.26)

• California ($3.18)

• Washington ($2.76)

• Nevada ($2.61)

• Oregon ($2.57)

• Alaska ($2.50)

• Pennsylvania ($2.46)

• Utah ($2.36)

• Idaho ($2.34)

• Illinois ($2.25)

The states with the cheapest regular gas

The survey found these states currently have the lowest prices for regular gas:

• Missouri ($1.81)

• Mississippi ($1.82)

• Oklahoma ($1.83)

• Texas ($1.84)

• Arkansas ($1.85)

• Louisiana ($1.87)

• South Carolina ($1.87)

• Alabama ($1.88)

• Tennessee ($1.89)

• Kansas ($1.92)

Chrysler is recalling 4,768 Mopar Outside Foldaway Heated Power Left Mirrors, part number 68147863AS and Mirror Replacement Glass, part number 68050299AA.

The driver side mirror glass can detach from the backing plate and no longer provide a reflective surface.

A missing driver side mirror glass reduces visibility and increases the risk of a crash.

What to do

Chrysler will notify owners, and dealers will replace the driver side mirror or -- if already installed -- replace the glass free of charge.

The recall is expected to begin November 27, 2020.

Owners may contact Chrysler customer service at (800) 853-1403. Chrysler's number for this recall is W71.

Mercedes-Benz USA (MBUSA) is recalling seven model year 2020 GLB 250s.

The window airbag in the A-pillar area may not be mounted correctly, affecting its performance.

In a crash that deploys the window airbag, the catch strap could disconnect and increase the risk of injury.

What to do

MBUSA will notify owners, and dealers will check the mounting of the window air bag and correct it -- as necessary -- free of charge.

The recall is expected to begin December 8, 2020.

Owners may contact MBUSA customer service at (800) 367-6372.

The COVID-19 ghouls have forced brand marketers to find new tricks to treat consumers with this Halloween. Many have taken to digital and mobile mediums to work their magic, and early results are promising.

MarketDive reports that brands have taken what may be their deepest dive into immersive tech this Halloween. The more future-thinking companies are leveraging things like augmented reality, geolocation, and virtual avatars to try and recreate the experience of in-person festivities since the Centers for Disease Control and Prevention (CDC) has suggested that people skip in-person Halloween festivities this year. 

Other brands hooked up with hot apps like TikTok to offer things such as Chipotle's half a million buy-one-get-one “Booritos” campaign.

“These are practical, fun and forward-thinking applications of technologies that, under different circumstances, often come across as afterthoughts or gimmicks,” was MarketingDive’s purview on the Halloween campaigns.

The best of the best Halloween gimmicks

In surveying MarketingDive’s favorite Halloween digital tie-ins, ConsumerAffairs uncovered these gems consumers might like to try and incorporate into their own spookfests:

• Mars Wrigley, the company behind candy brands like M&Ms, Skittles, Snickers, and Twix have a virtual Halloween app experience called Treat Town. Treat Town is a place where candy givers and trick-or-treaters can collect their favorite candy, connect with friends, and even visit digital attractions like Disney’s Haunted Mansion.

• Burger King’s Halloween promotion offers free Whoppers and $5 meals to mobile users who visit "BK Scary Places,” which happens to be a rather direct shot at the abandoned locations of competitors like McDonald's and Wendy's. The brand will share the exact coordinates of the scariest places through its social media channels and www.bk.com/scaryplaces taking guests to the location. 

• Since candy is king at Halloween, Hostess is trying to wedge its snack line into the category with its “Bring Hostess Halloween Home” campaign, which features creative recipe tricks to help consumers turn everything from Twinkies and cupcakes into mummies and cemeteries.

Parents' Halloween spending is up

A recent survey suggested that parents are spending more this Halloween, mostly because they’re trying to compensate for the fewer COVID-caused holiday activities. According to the National Confectioners Association, candy sales are up 8.6 percent compared to a year ago, possibly because marketers are dropping more money on Halloween ads. In September, Numerator said its tracking of Halloween-themed messaging was up 17 percent versus 2019.

The U.S. Attorney’s Office for the District of Minnesota has filed charges against 60 defendants, charging them with operating a nationwide telemarketing fraud scheme that targeted elderly consumers.

Authorities say the alleged scam revolved around magazine sales and netted the operators an estimated $300 million. The defendants were indicted on charges of conspiracy, mail fraud, wire fraud, and violating the Senior Citizens Against Marketing Scams Act of 1994 (the “SCAMS Act”). 

“This case represents the largest elder fraud scheme in the nation,” said U.S. Attorney Erika MacDonald. “More than 150,000 elderly and vulnerable victims across the United States have been identified in what is essentially a criminal class action.” 

The FBI and other regional law enforcement agencies took part in the investigation. FBI Minneapolis Special Agent in Charge Michael Paul said the operation consisted of using telemarketers to pitch magazine subscriptions over a 20-year period.

Magazine sales

According to court documents, the defendants “devised and carried out a telemarketing scheme” to defraud more than 150,000 victim-consumers through fraudulent magazine sales companies.

The companies operated telemarketing call centers from which their employees allegedly made calls using deceptive sales scripts designed to defraud victim consumers by inducing them -- “through a series of lies and misrepresentations” -- into making large or repeat payments to the companies.

The indictments further allege that the defendants used a variety of fraudulent and misleading sales scripts in their operation. The telemarketers are accused of falsely claiming to be calling from the victim’s existing magazine subscription company about an existing magazine subscription package. 

Claimed they could reduce costs

The indictments claim the telemarketers often claimed to be able to reduce the monthly cost of an existing subscription. In reality, the U.S. Attorney’s Office says the company had no existing relationship with the victim and was actually fraudulently signing the victim up for expensive and entirely new magazine subscriptions.

The government says the effect was that a single consumer went from having one magazine subscription to, at times, more than a dozen, all with different fraudulent magazine companies, each “sold” under the auspices of “reducing” the consumer’s monthly rate.

“Unfortunately, we live in a world where fraudsters are willing to take advantage of seniors, who are often trusting and polite,” said MacDonald. “It’s my hope that this prosecution is a call for vigilance and caution.”

You’ve heard that online shopping has surged since the pandemic began, and you’ve likely increased the amount of stuff you’ve bought online. But you might be surprised at how much it’s increased and what’s coming in the next two months.

A new forecast from Adobe Analytics predicts online sales in November and December to surge by one-third to a record $189 billion. Based on online transactions reported by 80 retailers, the report expects two years of growth in online shopping to be packed into this holiday season.

There are things that could increase the forecast, including a worsening of the coronavirus (COVID-19) that forces brick and mortar stores to close their doors, at least temporarily. That would give shoppers fewer alternatives other than making online purchases.

“It’s just incredible,” Jason Woosley, vice president of commerce product and platform at Adobe, told CNBC. “If you would have asked me last year that we’d be talking about 33 percent growth, I would have said you were crazy.”

Busy days ahead

Every day between now and Christmas could put those early Cyber Mondays to shame. Adobe’s forecast says the holiday shopping season is likely to have 18 days in which online shoppers spend more than $3 billion. Last year, excluding the period from Thanksgiving to Cyber Monday, there were three such days.

The forecast also predicts Black Friday will be a busy online shopping day, with many consumers saying away from crowded stores. In fact, Amazon, Walmart, and Target -- along with many other retailers -- are spreading out their holiday bargains throughout November with more online promotions than in years past.

Those major retailers may get some extra competition this year from small and independent retailers that don’t normally rely on online shoppers.  Adobe reports small retailers that normally do about $10 billion to $50 billion a year in online sales could see that number rise 107 percent this year.

Shop and ship early

What all this means for consumers is a need to keep an eye on the calendar. All those online purchases will have to be delivered through existing delivery channels, which will have difficulty expanding capacity fast enough to meet the crushing demand.

Shipping companies recently released their holiday shipping deadlines, urging consumers to send their packages early if possible. 

The U.S. Postal Service (USPS) says Dec. 14 will probably be its busiest day for online shipping, with more than 13 million consumers predicted to visit its website for help. A half-million people are expected to use Click-N-Ship, which allows you to pay for postage and print shipping labels.

To save time and money, USPS suggests using Priority Mail Flat Rate boxes, which are free and available at local Post Offices or online at usps.com/freeboxes. Shippers may also schedule a free package pickup by mail carriers on their regular delivery route, or a pickup can be scheduled at usps.com/pickup.

A Senate committee Wednesday pressed the CEOs of Twitter, Facebook, and Google about free speech and how their companies handle it. Democrats joined Republicans in offering complaints, but for different reasons.

At issue is an obscure provision of the law, Section 230 of the Communications Decency Act, which some lawmakers want to repeal. Doing so, the executives warned, would change the internet as we know it.

The provision makes platforms like Facebook and Twitter possible. It shields those companies from lawsuits if a user libels someone. Without Section 230, Twitter would have to review and edit all users’ posts to avoid being sued.

But Republicans, who control the Senate, called the hearing to complain that despite this blanket shield, social media companies are selectively controlling content, with a bias toward removing posts expressing conservative views.

Question of consistency

Sen. Cory Gardner (R-Colo.) observed that Twitter lately has begun labeling some posts by President Trump as misleading but not questioning some threatening posts by Iranian leader Ayatollah Ali Khamenei 

“I just don’t understand how Twitter can claim to want a world of less hate and misinformation while you simultaneously let the kind of content that the ayatollah has tweeted out to flourish,” Gardner said.

Sen. Ted Cruz (R-Tex.) pressed Twitter CEO Jack Dorsey on why Twitter blocked posts of a recent New York Post story that was potentially damaging to Democratic presidential candidate Joe Biden.

“Who elected you and put you in charge of what the media is allowed to report?” Cruz asked.

Not vigilant enough

Democrats, meanwhile, complained that Twitter wasn’t being vigilant enough. Sen. Ed Markey (D-Mass.) said the question isn’t about the posts Twitter blocks or edits, but about those that it leaves up.

Dorsey denied that Twitter favors Democrats over Republicans but said Trump’s tweets crossed a line when they questioned the voting process and stated things about the coronavirus (COVID-19) that Dorsey said weren’t true.

Facebook CEO Mark Zuckerberg told lawmakers he believes some type of regulation of social media platforms is needed and that the companies should not be setting these policies themselves.

The Federal Bureau of Investigation (FBI) has warned that hospital information systems have been hit by coordinated ransomware attacks, which could possibly lead to disruptions in patient care. 

In a joint advisory on Wednesday, the FBI and two other federal agencies said malicious groups have levied several data-scrambling extortion attempts against hospitals and healthcare providers over the past few weeks. 

Officials said they had “credible information of an increased and imminent cybercrime threat to U.S. hospitals and healthcare providers.” The attacks could lead to “data theft and disruption of healthcare services,” the agencies said. 

Attack on health care system

The warning coincides with an uptick in the number of COVID-19 infections nationwide. On Monday, an analysis of data from Johns Hopkins University showed 69,967 new COVID-19 cases in the U.S. In just the last week, the seven-day average of new cases has risen 20 percent.

Officials said the targeted ransomware attacks will likely create issues that will be “particularly challenging for organizations within the COVID-19 pandemic.” Institutions are urged to take precautions to protect their networks. Recommended precautions include regularly updating software, backing up data, and monitoring who is accessing their systems. 

In September, cyber attackers launched a highly coordinated ransomware attack on a major U.S. hospital chain. The incident forced some hospital employees to revert to using pen and paper to file patient information. 

In the most recent wave of attacks on hospital networks, malicious groups are using Ryuk ransomware -- software used to encrypt and secure files. The attackers are using the Trickbot network of infected computers to gain access to data, disrupt health care services and demand money from health care facilities in order to decrypt the files. 

Recovering from a heart attack, both mentally and physically, can be a difficult process for many consumers. Now, experts from the American Chemical Society have created a cardiac patch that could aid in patients’ recovery from a heart attack. 

Though these earliest trials have been conducted on mice and pigs, the researchers learned that the patch was an integral part of the recovery process, as it was effective in reducing inflammation and improving overall heart function. 

Improving health outcomes

The goal of the cardiac patch was to target the areas of the heart that are most affected by a heart attack, and that are often the most difficult parts of the recovery process. This included inflammation, the loss of cardiac cells, and the impairment of blood vessels. To promote cell growth and regeneration, the patch was designed with a combination of synthetic blood vessels and human cardiac stromal cells. 

The patches were administered to mice and pigs four weeks after they had had heart attacks, and the researchers then analyzed their health outcomes. They learned that the patch was successful in healing many of the areas that patients struggle with after a heart attack. 

The pigs that were given the patch had lower levels of inflammation than those who hadn’t received the patch, and they also saw improvements in the growth of new blood vessels. 

Additionally, the patch made it possible for cardiac cells to remain at a healthy level. For the mice, the researchers noticed that the patch improved blood flow throughout the heart and was linked with less scar tissue overall. 

Though the researchers explained that much more work needs to be done before the patch can be tested on humans, these findings are positive. Heart attack recovery is a long, arduous process -- and because of the early effectiveness of this cardiac patch, it could play a large role in heart attack recovery in the future. 

Coronavirus (COVID-19) tally as compiled by Johns Hopkins University. (Previous numbers in parentheses.)

Total U.S. confirmed cases: 8,865,697 (8,790,206)

Total U.S. deaths: 227,774 (226,864)

Total global cases: 44,644,423 (44,093,002)

Total global deaths: 1,176,101 (1,169,052)

Regeneron antibody cocktail shows promising results

Regeneron reports some much needed good news when it comes to dealing with the coronavirus (COVID-19). In clinical trials of its antibody treatment, the drug “significantly reduced” the levels of the virus in newly-diagnosed patients.

Better yet, the company says the treatment reduced the need for hospitalization in 57 percent of the subjects who took the drug. For patients in the “high risk” group, it cut hospitalization by 72 percent.

It’s the same antibody cocktail used as part of President Trump’s treatment, even though it has yet to be granted emergency use authorization (EUA) by the Food and Drug Administration (FDA). The company says only 50,000 doses have been produced but it could have as many as 300,000 by next spring.

Fauci says vaccine won’t end prevention measures

Once there’s a COVID-19 vaccine, you may think life can return to normal. Dr. Anthony Fauci, head of the National Institute of Allergy and Infectious Disease (NIAID) doesn’t agree.

"I think it will be easily by the end of 2021 and perhaps into the next year before we start having some semblance of normality," Fauci said during a webinar with a college in Australia.

Fauci said restrictions will have to stay in place because it will take several months for enough people to get vaccinated. He said many people may be reluctant to get the vaccine until they see that it is safe and effective.

Moderna prepares to launch its vaccine

Moderna is getting ready to launch its coronavirus vaccine candidate and world governments are already lining up to get their share. In its third-quarter earnings report, the pharmaceutical giant says it has already received more than $1 billion in deposits.

“We are actively preparing for the launch of mRNA-1273 and we have signed a number of supply agreements with governments around the world,” said Moderna CEO Stephane Bancel. “Moderna is committed to the highest data quality standards and rigorous scientific research as we continue to work with regulators to advance mRNA-1273.”

Pandemic causing loss of sleep

A survey by ValuePenguin found that 26 percent of Americans say they’re getting less sleep at night because of the pandemic. The loss of shuteye has a lot to do with changes in lifestyle and personal habits.

The authors say some of those habits could have harmful health implications. The survey showed that while a quarter of the population is sleeping less, about 20 percent is drinking more.

But on the positive side, 49 percent of consumers say they're practicing healthier habits now than they were prior to the pandemic. Though good sleep habits have declined, more consumers are eating vegetables and avoiding fast food.

Conflicting findings

One crucial element of the coronavirus is that it doesn’t behave the same way in all people, which can lead to some scientific confusion. As ConsumerAffairs reported this week, British scientists concluded that coronavirus antibodies don’t last that long in the blood, casting doubt on “herd immunity.”

But researchers at Mt. Siani have reached the opposite conclusion. They found that patients with mild symptoms of the virus had a “robust” level of antibodies in the blood that lasted for about five months.

“While some reports have come out saying antibodies to this virus go away quickly, we have found just the opposite – that more than 90 percent of people who were mildly or moderately ill produce an antibody response strong enough to neutralize the virus, and the response is maintained for many months,” said Florian Krammer, a senior author of the paper. 

Around the nation

• Massachusetts: Massachusetts residents face new travel restrictions, but not from their state government. Two neighboring states, New York and Connecticut have slapped quarantine requirements on Massachusetts residents after a big spike in COVID-19 cases.

• Colorado: COVID-19 is complicating efforts to battle the state’s raging wildfires. The Colorado Department of Public Health reports 400 outbreaks of the virus, including 45 illnesses among Cameron Peak fire crews.

• Iowa: The state’s outbreak could have an impact on voters next week since hundreds of polling places have been closed due to the fast-spreading coronavirus. "All of us, we are going to have to look up where we need to go. I mean, I'm not sure which place I would go," Sheena Thomas, a voter in Des Moines, told NPR. "That's going to be an issue for everybody."