{"id":1996,"date":"2021-08-20T11:54:13","date_gmt":"2021-08-20T11:54:13","guid":{"rendered":"https:\/\/leadsatscale.com\/?p=1996"},"modified":"2024-02-20T05:30:40","modified_gmt":"2024-02-20T05:30:40","slug":"is-cold-calling-legal","status":"publish","type":"post","link":"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/","title":{"rendered":"Is Cold Calling Legal?"},"content":{"rendered":"\r\n<p>Cold calling is a way for businesses to get in touch with potential leads. Nowadays, businesses are willing to do whatever is necessary to make a sale.<\/p>\r\n\r\n\r\n\r\n<p>While online shopping is more popular than ever, there\u2019s a personal side to making a purchase. Hearing a voice on the other line or speaking to someone in person provides human interaction, a factor that many customers today still prefer.<\/p>\r\n\r\n\r\n\r\n<p>Human interaction is a great way to build trust. But is cold calling illegal? No. However, note that if your business relies on cold calling, you need to follow cold call laws and regulations and ensure that you aren\u2019t running into any potential legal issues.<\/p>\r\n\r\n\r\n\r\n<p>Here\u2019s what you need to know about legal <a href=\"https:\/\/leadsatscale.com\/b2b-cold-calling-services\/\">cold calling services<\/a>.<\/p>\r\n\r\n\r\n\r\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Is_Cold_Calling_Legal\" title=\"Is Cold Calling Legal?\">Is Cold Calling Legal?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Understanding_the_Telemarketing_Sales_Rule\" title=\"Understanding the Telemarketing Sales Rule\">Understanding the Telemarketing Sales Rule<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Cold_Calling_Comes_with_Rules\" title=\"Cold Calling Comes with Rules\">Cold Calling Comes with Rules<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Is_B2B_Cold_Calling_Legal_What_About_B2C\" title=\"Is B2B Cold Calling Legal? What About B2C?\">Is B2B Cold Calling Legal? What About B2C?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#State_Laws_Apply_as_Well\" title=\"State Laws Apply as Well\">State Laws Apply as Well<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#The_National_Do_Not_Call_Registry\" title=\"The National Do Not Call Registry\">The National Do Not Call Registry<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Top_5_Cold_Call_Rules_to_Know\" title=\"Top 5 Cold Call Rules to Know\">Top 5 Cold Call Rules to Know<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#You_must_establish_your_identity_first\" title=\"You must establish your identity first\">You must establish your identity first<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Cold_calling_hours\" title=\"Cold calling hours\">Cold calling hours<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Be_aware_of_do_not_call_lists\" title=\"Be aware of do not call lists\">Be aware of do not call lists<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-11\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Never_collect_funds_over_the_phone\" title=\"Never collect funds over the phone\">Never collect funds over the phone<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-12\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Honesty_is_expected\" title=\"Honesty is expected\">Honesty is expected<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-13\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/#Final_Thoughts\" title=\"Final Thoughts\">Final Thoughts<\/a><\/li><\/ul><\/nav><\/div>\n\r\n\r\n\r\n\r\n<h2 class=\"wp-block-heading\" id=\"is-cold-calling-legal\"><span class=\"ez-toc-section\" id=\"Is_Cold_Calling_Legal\"><\/span>Is Cold Calling Legal?<span class=\"ez-toc-section-end\"><\/span><\/h2>\r\n\r\n\r\n\r\n<p>Maybe frustrating and annoying for some consumers, the question, \u201cIs cold calling illegal\u201d can be answered with no. However, there are strict laws and regulations for cold calling\u00a0that determine when a company can and cannot call a consumer. For example, if a person has previously told your company to stop calling them, you must abide by their wishes.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"understanding-the-telemarketing-sales-rule\"><span class=\"ez-toc-section\" id=\"Understanding_the_Telemarketing_Sales_Rule\"><\/span>Understanding the Telemarketing Sales Rule<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>The <a href=\"https:\/\/www.ftc.gov\/legal-library\/browse\/rules\/telemarketing-sales-rule\" target=\"_blank\" rel=\"noreferrer noopener\">Telemarketing Sales Rule<\/a> (TSR) is a set of regulations created and enforced by the <a href=\"https:\/\/www.ftc.gov\/\" target=\"_blank\" rel=\"noopener\">Federal Trade Commission (FTC)<\/a>. The policy defines how businesses can legally use telemarketing to reach potential customers over the phone.<\/p>\r\n\r\n\r\n\r\n<p>TSR was mostly created to protect consumers from unwanted telemarketing calls on their home or personal cell phones. The policy also enables certain law enforcement agencies to thwart telemarketing scams and fraud.<\/p>\r\n\r\n\r\n\r\n<p>Additionally, TSR contains regulations that provide customers with enhanced privacy protections against unethical callers.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"cold-calling-comes-with-rules\"><span class=\"ez-toc-section\" id=\"Cold_Calling_Comes_with_Rules\"><\/span>Cold Calling Comes with Rules<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>When cold calling consumers, companies must follow strict rules and requirements. TSR contains cold calling regulations that businesses must follow to stay compliant.<\/p>\r\n\r\n\r\n\r\n<p>This includes things such as:<\/p>\r\n\r\n\r\n\r\n<ul>\r\n<li>Call-time windows<\/li>\r\n\r\n\r\n\r\n<li>Disclosure requirements<\/li>\r\n\r\n\r\n\r\n<li>Caller ID transmissions<\/li>\r\n\r\n\r\n\r\n<li>Prohibited misrepresentations<\/li>\r\n\r\n\r\n\r\n<li>Billing restrictions<\/li>\r\n\r\n\r\n\r\n<li>Pre-recorded message restrictions<\/li>\r\n\r\n\r\n\r\n<li>Upsell requirements<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<p>This list just scratches the surface of the many topics covered under TSR.<\/p>\r\n\r\n\r\n\r\n<p>It\u2019s important to note that most B2B cold calling is exempt from TSR rules. However, there are some exceptions to be aware of.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"is-b2b-cold-calling-legal-what-about-b2c\"><span class=\"ez-toc-section\" id=\"Is_B2B_Cold_Calling_Legal_What_About_B2C\"><\/span>Is B2B Cold Calling Legal? What About B2C?<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>According to policies in TSR, a B2B cold call is allowed as long as the call is placed from one business to another. However, if a call is made to a consumer at their place of business, the call is not exempt. This type of call is illegal under TSR.<\/p>\r\n\r\n\r\n\r\n<p>In the past, telemarketers have found creative ways to circumvent TSR rules, which is why calls like the one described above aren\u2019t allowed.<\/p>\r\n\r\n\r\n\r\n<p>If the business states that they\u2019re not interested in the product or service that you\u2019re selling, the call cannot go from a B2B call to a B2C call. All the standard TSR rules apply when businesses decline what is being offered.<\/p>\r\n\r\n\r\n\r\n<p>When making B2B calls, there are regulations to be aware of, including the FCC\u2019s wireless dialing rules.<\/p>\r\n\r\n\r\n\r\n<p>Under the <a href=\"https:\/\/www.consumeradvocates.org\/for-consumers\/robocalls-telemarketing\/\" target=\"_blank\" rel=\"noreferrer noopener\">Telephone Consumer Protection Act<\/a> (TCPA), a wireless number cannot be dialed from an automated phone dialing system unless prior express written consent has been provided.<\/p>\r\n\r\n\r\n\r\n<p>Because you cannot be certain that the number on your call list is an office phone or cell phone, or an office phone that directs to a cell phone, it\u2019s better to be safe than sorry. Don\u2019t risk a B2B cold call if you aren\u2019t sure of the receiving phone type.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"state-laws-apply-as-well\"><span class=\"ez-toc-section\" id=\"State_Laws_Apply_as_Well\"><\/span>State Laws Apply as Well<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>TSR and TCPA protect consumers from unwanted and illegal cold calls at the federal level. However, several states also have their own rules that apply to telemarketing and cold calling.<\/p>\r\n\r\n\r\n\r\n<p>If you\u2019re making calls across state lines, you could be in double trouble. Not only could you be breaking laws in your state but laws in the receiver\u2019s state as well. Local jurisdiction regulations may apply as well.<\/p>\r\n\r\n\r\n\r\n<p>Be sure to thoroughly research each state\u2019s cold calling laws to avoid getting into a very sticky legal situation.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"the-national-do-not-call-registry\"><span class=\"ez-toc-section\" id=\"The_National_Do_Not_Call_Registry\"><\/span>The National Do Not Call Registry<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>The <a href=\"https:\/\/www.ftc.gov\/business-guidance\/resources\/qa-telemarketers-sellers-about-dnc-provisions-tsr-0\" target=\"_blank\" rel=\"noreferrer noopener\">National Do Not Call Registry<\/a> was designed to give consumers a choice as to whether they want to receive calls from telemarketers. The list applies to area codes in all 50 states, the District of Columbia, and U.S. territories.<\/p>\r\n\r\n\r\n\r\n<p>Calls not covered under the registry include calls from:<\/p>\r\n\r\n\r\n\r\n<ul>\r\n<li>Charities<\/li>\r\n\r\n\r\n\r\n<li>Political organizations<\/li>\r\n\r\n\r\n\r\n<li>Telephone surveyors<\/li>\r\n\r\n\r\n\r\n<li>Companies that have an existing business relationship with a consumer<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<p>Be aware that it&#8217;s illegal for a telemarketer to call any number on the National Do Not Call Registry. Companies and sellers must access the registry and pay the required fees before making calls. Violators are subject to fines up to $43,792 for each violation.<\/p>\r\n\r\n\r\n\r\n<h2 id=\"top-5-rules-to-know\" class=\"has-text-align-center wp-block-heading\" style=\"text-align: left;\"><span class=\"ez-toc-section\" id=\"Top_5_Cold_Call_Rules_to_Know\"><\/span>Top 5 Cold Call Rules to Know<span class=\"ez-toc-section-end\"><\/span><\/h2>\r\n\r\n\r\n<div class=\"wp-block-image\">\r\n<figure class=\"aligncenter size-full is-resized\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-4050 size-full\" src=\"https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking.jpg\" alt=\"a man working on a PC a smiling to a woman\" width=\"1200\" height=\"730\" srcset=\"https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking.jpg 1200w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-300x183.jpg 300w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-1024x623.jpg 1024w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-768x467.jpg 768w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-380x231.jpg 380w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-190x116.jpg 190w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-760x462.jpg 760w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-1140x694.jpg 1140w, https:\/\/leadsatscale.com\/wp-content\/uploads\/2021\/08\/a-man-and-woman-talking-20x12.jpg 20w\" sizes=\"(max-width: 1200px) 100vw, 1200px\" \/><\/figure><\/div>\r\n\r\n\r\n<p>&nbsp;<\/p>\r\n\r\n\r\n\r\n<p>There are a lot of legal rules and regulations when it comes to cold calling. While your company needs to be well-versed in every law or regulation that applies to your telemarketing actions, there are some foundational rules that every cold caller needs to be aware of. Companies must also know when cold calling is illegal.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"you-must-establish-your-identity-first\"><span class=\"ez-toc-section\" id=\"You_must_establish_your_identity_first\"><\/span>You must establish your identity first<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>Instead of rushing to your sales pitch, make sure that all your <a href=\"https:\/\/leadsatscale.com\/insights\/best-cold-call-scripts\/\">cold call scripts<\/a> begin with an introduction. Legal cold calls must start with who you are and why you&#8217;re calling. During the first two minutes, callers must share:<\/p>\r\n\r\n\r\n\r\n<ul>\r\n<li>Name<\/li>\r\n\r\n\r\n\r\n<li>Company they&#8217;re representing<\/li>\r\n\r\n\r\n\r\n<li>Purpose of their call<\/li>\r\n\r\n\r\n\r\n<li>Phone number and\/or address if requested<\/li>\r\n<\/ul>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"there-are-set-times-to-call\"><span class=\"ez-toc-section\" id=\"Cold_calling_hours\"><\/span>Cold calling hours<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>Legal cold calls can only occur between the hours of 8 AM and 9 PM, seven days a week. However, this timeframe only applies if the call receiver isn&#8217;t a current client or customer. The timeframe is also waived if the customer has stated that the caller can contact them at any time.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"be-aware-of-do-not-call-lists\"><span class=\"ez-toc-section\" id=\"Be_aware_of_do_not_call_lists\"><\/span>Be aware of do not call lists<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>All security firms, and many other types of businesses, must maintain a do not call (DNC) list. If a customer signs up for a DNC, cold callers must respect their wishes. Calling a consumer who is on a DNC can file a formal complaint with the company, regulators, the state, and the Securities and Exchange Commission (SEC).<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"never-collect-funds-over-the-phone\"><span class=\"ez-toc-section\" id=\"Never_collect_funds_over_the_phone\"><\/span>Never collect funds over the phone<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>In the age of phone scams, customers are extremely cautious when providing financial information over the phone. If your cold call results in money being taken out of the customer&#8217;s (call recipient&#8217;s) bank account, written approval is required.\u00a0<\/p>\r\n\r\n\r\n\r\n<p>However, you&#8217;ll find that most clients are unwilling to provide their banking information during the phone call. Consumers have come to expect that reputable companies have other safer means of collecting money.<\/p>\r\n\r\n\r\n\r\n<h3 class=\"wp-block-heading\" id=\"honesty-is-expected\"><span class=\"ez-toc-section\" id=\"Honesty_is_expected\"><\/span>Honesty is expected<span class=\"ez-toc-section-end\"><\/span><\/h3>\r\n\r\n\r\n\r\n<p>The SEC expects that all cold callers are honest. There is a huge difference between misleading marketing and good marketing, especially when it comes to cold calls. Always be truthful with call recipients.<\/p>\r\n\r\n\r\n\r\n<h2 class=\"wp-block-heading\" id=\"final-thoughts\"><span class=\"ez-toc-section\" id=\"Final_Thoughts\"><\/span>Final Thoughts<span class=\"ez-toc-section-end\"><\/span><\/h2>\r\n\r\n\r\n\r\n<p>Cold calling is a great opportunity to expand your horizons and get more solid leads for your business. However, if used improperly, cold calling can venture into illegal territory that can cost you tens of hundreds of dollars.<\/p>\r\n\r\n\r\n\r\n<p>For <a href=\"https:\/\/leadsatscale.com\/insights\/cold-calling-tips-for-success\/\">cold calling success<\/a>, reach out to the team at Leads At Scale. We&#8217;re experts in <a href=\"https:\/\/leadsatscale.com\/\">helping B2B companies generate well-qualified leads<\/a> so that they can grow their businesses.\u00a0<\/p>\r\n\r\n\r\n\r\n<p>Contact us today to get an estimate or <a href=\"https:\/\/leadsatscale.com\/request-a-demo\/\">request a demo<\/a>.<\/p>\r\n","protected":false},"excerpt":{"rendered":"<p>Cold calling is a way for businesses to get in touch with potential leads. Nowadays, businesses are willing to do whatever is necessary to make a sale. While online shopping is more popular than ever, there\u2019s a personal side to making a purchase. Hearing a voice on the other line or speaking to someone in&hellip;<\/p>\n","protected":false},"author":2,"featured_media":4052,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[1],"tags":[],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Is Cold Calling Legal? Cold Call Laws &amp; Regulations<\/title>\n<meta name=\"description\" content=\"Wondering if cold calling is legal or illegal? Learn about cold call laws and rules you need to follow for sales calls and find out compliance tips.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/leadsatscale.com\/insights\/is-cold-calling-legal\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Is Cold Calling Legal? Cold Call Laws &amp; Regulations\" \/>\n<meta property=\"og:description\" content=\"Wondering if cold calling is legal or illegal? 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