Over half of consumers not told about mobile coverage cancellation policies, Consumer Panel says
14 July 2010
Over a half (56%) of people buying a mobile phone contract in-store did not receive accurate information about cancellation policies in the event of coverage problems, according to a mystery shopping exercise conducted for the Communications Consumer Panel.
Panel Chair Anna Bradley said that consumers must be given simple and accurate information before locking themselves into contracts that they might not be able to leave for up to two years: “Consumers have a right to get accurate and consistent information at the point of sale when they ask legitimate questions about coverage and cancellation policies. Staff often struggle with so many different company policies and communicate them inaccurately to customers.
She said that consumers must also be able to cancel a mobile contract if they don't get the right coverage: “That's why we are calling for an across-the-board minimum 14 days to cancel contracts where consumers have coverage problems,” she said, adding: “People must be given enough time to test coverage in the places where they want to use their phone.”
Can I cancel? found that operators and retailers had significantly different policies. In some cases operators would not allow customers to cancel contracts even if they had no coverage at all. And where consumers could cancel their contract the time limit allowed varied dramatically. Shoppers also had considerably different experiences depending on which operator or retailer they visited.
Recommendations
The Consumer Panel is calling on operators and retailers to give consumers:
- a minimum 14-day time limit cancellation policy for poor or no coverage
- the right to cancel their contract if coverage doesn't meet their needs
- consistent cancellation policies within individual operators and retailers
- accurate in-store information
- staff trained to explain company policies correctly.
Anna Bradley advised consumers to check an operator's coverage thoroughly and ensure that they get a copy of their cancellation policy before they buy: “A new mobile phone is no good if it can't be used.”