Being able to download ring tones, games and music, enter competitions, check the latest sports scores and check your horoscope can be a fun part of owning a mobile phone.
These mobile extras, offered from numbers starting with ‘19’, are often called ‘premium services’. They generally cost more than a standard SMS or phone call, with some businesses charging up to $6 for sending and receiving a message – that’s $12 for each service.
Complaints to the ACCC about premium services
The ACCC receives many complaints from consumers about premium services. Problems we hear about include:
'free' ring tones not being free
phone users finding out that by accepting a 'free' ring tone offer, they have committed to a costly subscription service (which, for example, requires them to pay for a new tone each week)
people not being made aware of a service's terms and conditions
phone users experiencing difficulties unsubscribing from a service
consumers being unable to contact the trader
ring tones advertised as being ‘real’ or ‘true’ that are not recorded by the genuine artist
children accessing these services without understanding what is involved
being charged for services not received or that do not seem to work.
Often, consumers do not realise there is a problem until their phone bill arrives with some unexpectedly high charges attached, or their pre-paid credit disappears at a very fast rate.
Ways to avoid problems with premium services
Asking yourself some simple questions before you download a ring tone could help you avoid the sting of an unexpectedly high phone bill.
1. What am I getting?
Is the service really a single download with a ‘one-off’ charge, or will you be signing up to an ongoing subscription?
For instance, an advertised ‘free’ ring tone may mean that you don’t get charged for the first one, but once you sign up you’ll be charged for a new tone every week.
Does the subscription keep going until you cancel it, or does it run for a set time (like a week or a month)?
2. What’s the total cost of the service?
How much will each SMS sent to or from your phone cost (some services charge for each)?
Is there a separate joining fee?
3. Can I contact the provider?
If you have a problem, this information will be very important.
Check if they include contact details in their advertising.
If they are not based in Australia, they may be harder (and more expensive) to contact.
4. Does this service work on my phone?
Some kinds of premium content do not work with all handsets, but you may still be charged for it.
5. What if I am using a prepaid phone?
With some prepaid phones you can continue to be charged for ongoing premium services even after your credit runs out.
Without a bill, you might only find out when your recharged credit disappears quickly.
Check with your mobile provider about whether this affects you.
Honest and reputable traders will make sure the above information is clearly available and easy to understand. If it is not, don’t sign up for the service.
Cancelling a service
You can cancel any service you have subscribed to by replying ‘STOP’ to the number that sends you the premium service.
You can’t be charged for any messages sent after you SMS ‘STOP’.
The STOP message should cost no more than an ordinary text message.
Problems and complaints
Under the Mobile Premium Service Industry Scheme (see below) if you have a problem with a premium service you should first talk to your phone carrier or the provider of the premium service. They are required to make genuine efforts to resolve complaints.
The TIO is a free and independent dispute resolution scheme which can help you resolve complaints with your telephone services
Complaints to the TIO can be made by the person with the problem, or a parent or guardian (for persons under 18 years of age)
Information you will need when making a complaint to the TIO:
The name of the trader, the phone number and any website associated with the service
Copies of phone bills showing the charges.
If you have a pre-paid account, check with your phone carrier as they may still be able to provide you with a list of calls
Copies of the offending message or messages.
Do not delete them until you have reported the problem to your phone carrier or complaint handling body.
They may need them to investigate your complaint
Details of how and where the service was advertised.
What is the Mobile Premium Service Industry Scheme?
The Mobile Premium Service Industry Scheme provides rules to protect consumers who use premium services. It requires businesses to provide consumers with clear information about their services, including in their advertising. It also sets a process for handling complaints.
The Communications Alliance is the body that has been nominated to oversee the scheme. You can find more information on the scheme on its website.
Spam and Scams
If you receive an SMS you did not ask for, that advertises a business or service, or invites to you subscribe to a service, it may be spam.
In extreme cases, some ring tone offers can be a type of scam.
More information
Visit SCAMwatch to find out more about mobile phone scams, including ring tone scams. The website has tips on how to protect yourself from scams and report them to the appropriate agency.
Contact our Infocentre on 1300 302 502 or the Office of Fair Trading in your state or territory if you are unsure of your options. Contact details for your state or territory Office of Fair Trading can be located in our Consumer and business directory.
The ACCC’s SCAMwatch website provides information on common scams. The website has tips on how to protect yourself from scams and report them to the relevant agencies.
