"Nick Pompa, founder of Lootlock - an app that prevents kids from running up unauthorized gaming bills on their parents' credit cards - is an avid gamer and software developer working in fintech. As a dad of two under two, he's looking forward to sharing his passion for gaming with his kids when they grow old enough to play. He started gaming at age 6, he told TechCrunch."
"As he gabbed about gaming with other parents, or simply read the news, he kept hearing horror stories of kids shackling their parents with surprise credit card bills, sometimes unwittingly running up thousands of dollars. The gaming industry has a notoriously slimy side of using "design tricks," as the Consumer Financial Protection Bureau described last year. They often target children, enticing them into unlocking fee-incurring game features."
""The gaming industry uses clever design, social engineering, and player tracking to encourage kids to spend more money while playing," Pompa said. "I am an avid gamer, so I have seen firsthand the drastic shift to micro-transactions in the industry over the last eight to nine years." Although the FTC did force Fortnight earlier this year to refund $126 million to people who filed claims, that's rare. Parents generally have no recourse but to pay."
Nick Pompa founded Lootlock to prevent children from running up unauthorized gaming bills on parents' credit cards. Pompa is an avid gamer, a fintech software developer, and a father of two young children. Lootlock was selected for TechCrunch's 2025 Startup Battlefield 200 and will exhibit at TechCrunch Disrupt in San Francisco, October 27–29. Parents report surprise charges as games use design tactics and microtransactions that target children. The Consumer Financial Protection Bureau and FTC have warned about such practices; one FTC action led to a $126 million refund, but parental recourse is rare. Many parents rely on device-level parental controls, while some permit limited spending under conditions. A friend named Joe gave each of his three kids a monthly allowance, and the kids used the money to buy gaming products.
Read at TechCrunch
Unable to calculate read time
Collection
[
|
...
]