Geekzone: technology news, blogs, forums
Guest
Welcome Guest.
You haven't logged in yet. If you don't have an account you can register now.




BDFL - Memuneh
56778 posts

Uber Geek
+1 received by user: 8599

Administrator
Trusted
Geekzone
Subscriber

Topic # 112671 17-Dec-2012 11:36 Send private message

Just received:


New guidelines for prepaid phone card industry

The Commerce Commission has issued new guidelines for the prepaid phone card industry following customer complaints that some cards did not deliver the number of calling minutes advertised.
The guidelines are designed to give prepaid phone card companies a better understanding of how the Fair Trading Act applies to advertising their goods. 

Commerce Commission Competition manager Stuart Wallace said the Commission’s greatest concern was unrealistic headline rates on advertising material. 

“Consumers should not have to carry out a mathematical exercise to work out which card offers the best rate,” Mr Wallace said. 

“If companies use fine print to disclose fees and conditions that materially affect the headline rate, they are likely to breach the Fair Trading Act,” he said.

He cited an example where a customer bought a $10 phone card and made one call to the UK, which left a credit balance of $9.38. The following month the customer was unable to make any further calls as there was no credit left on the card. According to the phone card company, the credit balance had reduced due to a daily fee of 20 cents + GST, which applied after making the first call. The customer had not seen this fee on the advertising materials. 

The phone card company was convicted and fined $140,000 for this and similar advertising.

The Commission’s new guidelines cover a range of Fair Trading Act obligations, and include a checklist for advertisements. The guidelines are available from the Commerce Commission’s website, www.comcom.govt.nz/prepaid-phone-card-industry-guidelines, and are being distributed to New Zealand based companies who market phone cards.

Background
Prepaid phone cards allow people to pay in advance for local or international phone calls and are readily available from retail outlets including dairies and supermarkets, as well as online.

The Commerce Commission successfully prosecuted two phone card companies for misleading consumers about the cost of using their prepaid phone card in late 2011.




Create new topic
Fully Operational
3002 posts

Uber Geek
+1 received by user: 933

Trusted
Vocus
Subscriber

  Reply # 733452 17-Dec-2012 11:39 Send private message

It's about time I must say.  A lot of these calling cards are dodgy in the extreme, don't know how they've got away with it for so long.

19290 posts

Uber Geek
+1 received by user: 2647
Inactive user


  Reply # 733453 17-Dec-2012 11:41 Send private message

Agree about time!

18343 posts

Uber Geek
+1 received by user: 2949

Trusted
Subscriber

  Reply # 737879 27-Dec-2012 22:57 Send private message

I suspect the only outcome will be the headline changes to "as low as"




Richard rich.ms

Create new topic



Twitter »

Follow us to receive Twitter updates when new discussions are posted in our forums:



Follow us to receive Twitter updates when news items and blogs are posted in our frontpage:



Follow us to receive Twitter updates when tech item prices are listed in our price comparison site:





News »

True Key by Intel Security adopts Windows Hello
Posted 7-Dec-2016 20:36


Spark moves to 200Gbps wavelength milestone
Posted 7-Dec-2016 16:00


Xero adds Apple Pay
Posted 7-Dec-2016 11:28


Review new Apple MacBook Pro 2016 (13-inch)
Posted 6-Dec-2016 10:08


50Mbps the new fibre normal
Posted 6-Dec-2016 07:02


Microsoft and Netsafe issue fresh warning about scammers
Posted 5-Dec-2016 19:21



Geekzone Live »

Try automatic live updates from Geekzone directly in your browser, without refreshing the page, with Geekzone Live now.



Are you subscribed to our RSS feed? You can download the latest headlines and summaries from our stories directly to your computer or smartphone by using a feed reader.

Alternatively, you can receive a daily email with Geekzone updates.