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Phonepayplus clamps down on free advice charges

Watchdog savages companies selling information consumers can get free elsewhere

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Phonepayplus is clamping down on companies that are charging people for information that can be found free elsewhere.

The premium-rate phone regulator also said operators promoting premium-rate services on websites should not be able to use the.org suffix because it can confuse people into believing they are dealing with a non-profit or charitable organisation.

The move has been prompted by a growing number of complaints from consumers who have found they had to pay high fees for advice they could have got free.

Phonepayplus said: "An example of this would be information or advice about means-tested benefits, or information or advice aimed at a group of consumers who have suffered financial loss or hardship as a result of a recent event which is in the public eye. It is likely that any Public Information Service which does so will be found in breach of the Phonepayplus Code of Practice."

The regulator has now laid down rules demanding that providers make it clear if information is available free from other sources. “The existence of a free alternative should be prominently presented on websites, so that the consumer does not have to scroll down to become aware of it, and on any other promotional material,"

This information must also be given to the consumer at the beginning of a premium-rate call such as to an 09 number and within the first 15 seconds.

It also said these companies must also avoid targeting the vulnerable and that they refrain from using .org addresses. Other measures include requiring companies running premium-rate advice services.

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Reader Comments

Over reacted phonyplaypuss.

The "FREE ADVICE" has to be carried some how to show to interest customers. I am not sure how it does, since I don't know who sell "FREE INFORMATION FOR A FEE", but I do know the line".... Watchdog savages companies selling information consumers can get free elsewhere...." Halo? This part made me sick. What this illegal body did to the other innocent people selling services to other bunch of people, is wrong. Next time someone tried to sell you newspaper on news available online for free, go sue and bring the news company down. If you did, use the same method to shut down Google for charging ad money on free information. By the way, sue all the carriers for charging data fees on accessing INTERNET FREE CONTENT. I may be sick of talking for people I don't know, but am sick of illegal stuff did by some so called authority-to-be, at the expense of tax payer's money. Burn in hell!

Posted by Julia, 26 Nov 2009

   

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