Complaints from Mobile Customers about Being Subscribed to Third-party Services without Their Consent
Ministry of Digital Development and InformationSpeakers
Summary
This question concerns complaints regarding mobile customers being subscribed to third-party Premium Rate Services (PRS) without their consent, as raised by MP Joan Pereira. Minister for Communications and Information S Iswaran noted that while many claim non-consent, investigations show users often subscribe without reading terms and conditions. To protect consumers, the Infocommunications Media Development Authority (IMDA) mandates clear disclosures and a free PRS barring service, which has reduced complaints by 80% since 2012. Minister S Iswaran highlighted targeted education for seniors and IMDA's role in facilitating goodwill waivers from service providers for accidental subscriptions. He concluded by urging consumers to remain vigilant and ensure they understand service terms before activation.
Transcript
19 Ms Joan Pereira asked the Minister for Communications and Information (a) in the past year, many complaints have been received from mobile customers about being subscribed to third-party services without their consent; (b) under what grounds do such situations arise and what is being done to prevent it; and (c) whether assistance and refunds will be given to elderly consumers who are victims of these situations.
Mr S Iswaran: Premium Rate Services (PRS) are value-added services delivered over mobile telecommunication networks, and include third-party services provided to mobile customers.
In 2017, the Infocommunications Media Development Authority (IMDA) received 91 PRS-related complaints. These complainants generally claimed that they were charged for PRS that they did not subscribe to. IMDA's investigations revealed that these end users had actually subscribed to the PRS without reading the terms and conditions carefully.
IMDA has implemented several measures to protect consumers against accidentally subscribing to PRS. Currently, the Code of Practice for the Provision of Premium Rate Service (PRS Code) requires service providers to publish the terms and conditions of their services clearly, and confirm end-users' purchases before activating the PRS.
Since 2012, IMDA has required mobile operators to offer a PRS barring service for free. Consumers who activate this service will not receive or be billed for any chargeable PRS. Since the PRS barring service was introduced, the number of PRS-related complaints has dropped by approximately 80% from 483 complaints in 2012 to 91 complaints in 2017.
IMDA has also stepped up our consumer education efforts, including giving talks at events targeting seniors, distributing brochures and uploading educational videos on YouTube.
Where consumers including seniors have accidentally subscribed to PRS, IMDA will also step in to engage the service provider. In several cases, the service provider has waived the subscription charges incurred on a goodwill basis, and the mobile operator has thereafter activated its PRS barring service. Nevertheless, we urge consumers to also ensure that they fully understand the terms and conditions before activating any PRS.