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Mobile phone 'bill shock' to be tackled by Ofcom


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Old 01-03-2012, 18:03
psionic
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UK mobile phone companies have been told to let their contract customers restrict how much they spend, to avoid unexpectedly high bills.

The regulator Ofcom says the measures are needed to stop so-called "bill shock".

It says its research shows that 1.4 million customers with mobile phone contracts have been hit by surprisingly large bills in the past six months.

Ofcom says if the firms do not agree, it may force them to protect customers.

"Ofcom believes mobile providers can do more to help customers control the amount they spend on their mobile phones," the regulator said.

"Ofcom has written to the mobile providers calling on them to do more to develop and promote 'opt-in' measures, such as tariffs that allow consumers to set their own financial caps or receive alerts about usage."

The move was welcomed by the consumers' association Which?.

"Ofcom's report confirms what consumers have been telling us for years - that bill shock is a big problem," it said.

"We want clearer information for customers from the phone companies about what they charge for services in the UK and abroad, plus greater protection for consumers from hefty data charges."
Continued...BBC
Personally, I think this is a step in the right direction. What issues could there be if you get a text when you approach the monthly limit on your minutes/texts/data? Also optionally a block when the limit is exceeded. The mechanisms are already in place with some networks to already do this in certain situations, like for example O2 warn you when you get close to your data allowance etc. I can understand the networks being reluctant to do it though.

Thoughts anyone?
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Old 01-03-2012, 18:57
ajh94
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It is a problem, I know so many people who just use the internet all the time and end up paying overage charges and people who think MMS are free
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Old 01-03-2012, 19:19
Daveoc64
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The mechanisms are already in place with some networks to already do this in certain situations, like for example O2 warn you when you get close to your data allowance etc
The problem is that the mechanisms aren't always that reliable.

It's quite common for people to exceed their data allowance before they receive the warning message(s).
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Old 01-03-2012, 20:24
battlezone
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3 send a text after you use your phone abroad. But you could have been data roaming all day before you get the text. So it can still be a bit of a shock!
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Old 01-03-2012, 21:25
Daveoc64
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3 send a text after you use your phone abroad. But you could have been data roaming all day before you get the text. So it can still be a bit of a shock!
That's already a legal requirement (at least in the EU)

They're supposed to send you a text as soon as you arrive will costs in that country.
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Old 07-03-2012, 02:31
jumbojimbo
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I have mobile broadband on Three. I pay £8 a month for 5GB. Recently I exceeded my monthly allowance by 230Mb, for which Three charged me £82 in overage charges! I was not happy and my calls to CS and live chat sessions were getting me nowhere, so I asked for the email address of Three's head of legal services.
I argued that under the Unfair Terms in Consumer Contracts Regulations 1999, default charges must reflect administration costs and cannot be punitive. I argued that if the price of £0.35p/Mb was applied to my 5GB monthly allowance I'd be looking at a bill of £1,792. Charging me 224 times the contract price I pay in overage charges is punitive and thus unlawful.

Three agreed to waive the £82 charge as a 'gesture of goodwill'
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Old 07-03-2012, 07:29
artnada
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Anyone can already ring their provider and ask for a cap. I have done it on 2 contracts in my name.

People, especially parents, need to realise little Johnny and Gemima cannot be trusted when they say "No Mummy, we won't go over the minutes"...most kids will.

If Mummy arranged a cap with the provider before giving the phone to little Johnny and Gemima, everyone would be happy...except Johnny and Gemima maybe
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Old 07-03-2012, 07:48
Steve™
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Johnny and Gemima should be on pay as you go...and anyone who cant download a data usage app and monitor their use should be using a Nokia 3310
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Old 07-03-2012, 08:01
artnada
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Johnny and Gemima should be on pay as you go...and anyone who cant download a data usage app and monitor their use should be using a Nokia 3310
Yes, they should be, but Mummy and Daddy will get the contract for the phone.

Agreed about the 3310
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