Auto Dialer Laws: Is Auto Dialing Illegal?

An auto dialer is a communication tool that automatically calls or sends pre-recorded messages to a preset list of phone numbers sequentially. Businesses generally use auto dialers for telemarketing campaigns, customer service, debt collection, data collection, and appointment scheduling.
 

A single individual can make over a hundred calls in one day using an auto dialer. However, the number of automated calls an auto dialer can make depends on its type.
 

1. Progressive Dialer: It can make around 60 automated calls per hour. This dialer type makes calls only when agents are available and emphasizes customer interaction.
    
2. Power Dialer: The dialer can make over 70 automated calls in an hour and is ideal for time-sensitive campaigns.
    
3. Predictive Dialer: It can make around 150 automated calls per hour and is typically used for generating as many leads as possible. The dialer makes calls even before the agents become available.
    
4. Preview Dialer: The dialer lets agents view call details before dialing, preparing them for personalized customer interactions. It can make around 70 automated calls in one hour.

The auto dialers use an algorithm to go through the contact list provided and automatically dial one number after another. The algorithm decides the next steps of the dialer software depending on different situations, like redirecting to an agent if a human answer, hanging up for a busy signal, and leaving a pre-recorded message if an answering machine is detected.
 

Using voice detection technology, these dialers can even differentiate an answering machine from a human voice. If a call rings for about 25 seconds, there’s an increased chance that a machine will answer. Similarly, when the call is answered, the software measures the length of the first words spoken and waits for a pause. If the initial response is a short combination of a few words followed by a pause, the dialer identifies the answer given as a human.

Auto dialers were first introduced in 1942 with the invention of the Automatic Telephone Dialing System (ATDS). They were ideal for systematically reaching a high volume of customers while focusing on the interaction and removing manual dialing for each number. When telemarketing started in the 1960s by American housewives to sell cookies and quickly became a business technique by the 1970s, autodialers started gaining much popularity. Auto dialers made telemarketing easy for businesses by streamlining their sales and marketing efforts.

Nevertheless, the public consistently complained of intrusive sales calls. As a result, particular auto-dialing regulatory standards were made in 1991, such as the Telephone Consumer Protection Act (TCPA). The TCPA aimed to address public privacy concerns and control the reach of telemarketers via automated telephone systems. It gave customers the authority to either stay in the ‘do-not-call’ registry or revoke their consent to be contacted at any time.
 

As per the TCPA, businesses cannot contact people who have opted into a do-not-call registry. In addition, TCPA strictly prohibited callers from calling before 8 AM or after 9 PM. Excluding auto-dialing systems, the TCPA also has limitations for other telemarketing devices and practices, such as pre-recorded messages, robo-messages, text messages, and fax machines. Auto dialers are legal in most countries, but compliance with the TCPA or regional laws is needed. Non-compliance to such acts and regulations can result in significant penalties.
 

According to the TCPA, any technology that can dial phone numbers without human intervention is an autodialer. So, whether it be automatic calling software or a sequential number generator capable of dialing numbers, both must comply with this law. Calilio as a modern phone system, streamlines business communication processes and adheres to the TCPA to lawfully improve interaction and operational efficiency.

Auto dialers are legal but must comply with the TCPA, requiring user consent and adherence to calling times. Businesses must include the caller’s name and contact information, offer opt-out options, and avoid calling numbers on the ‘do not call’ registry.
 

• Must get written consent from prospects and customers before making calls, sending texts, and pre-recorded messages. The consent must clearly state what kind of communication is allowed.
• Each auto-dialed or pre-recorded call must include the caller’s name, contact number, and address to identify the business or individual responsible for the call.
• Take written consent from the recipient if making calls before 8 AM or after 9 PM is required.
• All auto-dialed or pre-recorded calls must include an easy way for recipients to opt out of future communications.
• Must not call any phone numbers registered in the ‘national do not call registry’ or similar regional equivalents.
• Must maintain an internal ‘do not call list’ containing information on people who asked not to be called.
• Must keep compliance effort records, consent documentation, call details, and opt-out requests.
• Predictive dialers must maintain a monthly rate of abandoned calls (calls not connected to a live agent) of less than 3%.
• Emergency calls are excused but must obey other requirements.

Auto dialers help you quickly contact many prospects, enhancing operational flow and better lead management.

An auto dialer makes it easier to run campaigns by automatically calling many prospects. It enables your team to reach more prospects quickly and focus on the most promising ones likely to convert into customers.

By automatically dialing phone numbers, agents can spend more time talking to people than dialing or waiting. Auto dialing reduces the time taken to finish a call and boosts productivity.

Auto dialers help agents focus solely on customer interaction by automating the tedious dialing process. This leads to better customer engagement and promotes good customer relations.

Auto dialers significantly improve call rates and help agents manage leads more effectively by giving them personal attention. This can boost lead and overall conversion ratio.

Improved outreach efforts result in an increased number of potential customers, which increases businesses’ chances of making sales.

Authorized auto dialing systems like Calilio help businesses comply with legal and industry laws by automatically following them. Such dialers reduce the risk of legal issues and ensure standard lawful calling practices.
 

Although an autodialer has many uses, it can sometimes be weary. It requires more than a few outbound calling agents to function efficiently. There is often a short wait time before agents connect to the call, and the answering machine detection might not always be correct.

Auto dialers are legal but must comply with regulations like the TCPA. Businesses must obtain written consent, include an opt-out option in all communications, and follow specific calling times.
 

Modern auto-dialing software offers compelling features such as unproductive number detection, callback scheduling, branching scripts, live call monitoring, etc., for better customer interaction and business interaction.
 

Calilio is a reliable and affordable business phone system with an AI-powered auto dialer. It is mainly built for businesses to manage client interaction with its centralized dashboard and multiple calling features. Sign up today and set up your autodialer system.

The TCPA refers to the Telephone Consumer Protection Act developed in 1991 to regulate automated telephone equipment, including calls made with an automatic dialing system (ATDS), pre-recorded voice messages, SMS text messages, and fax machines. It was made to limit unwanted telemarketing calls and messages from reaching consumers.

The number of calls an autodialer can make varies depending on the type of autodialing system used. An auto dialer can usually handle more than 100 automated calls in a single day.

The cost of an autodialer varies depending on the provider. Calilo offers VoIP phone service along with the autodialer feature at a reasonable cost, starting at only $12 per month.

Using allows businesses to reach the maximum number of prospects for enhanced efficiency and productivity. It helps you build recognition among the public and have a higher chance of converting them into customers.