Disputed internet dialler charges: charges for data calls to international and 190x numbers

Table of contents

Introduction and definition

The Telecommunications Industry Ombudsman (TIO) receives and investigates complaints about charges for calls made using “internet diallers”. These calls are usually charged at a premium rate, e.g. at the rate for an international call or a call to a number with a 190 prefix.

What are internet dialler charges?

Internet users with dial-up accounts access the internet by making a local call to their Internet Service Provider (ISP). While it is usually free to view internet content, some internet sites charge a fee to access some or all of a website. These websites often contain adult content, but some are games, gambling and music sites.

Users pay to access these websites either by credit card or by having the charge added to their telephone account. For charging via a telephone account, a dialler software program must first be downloaded from the website onto the user’s computer. The downloaded program contains an internet dialler that terminates the local call to the ISP without any obvious interruption, then automatically calls a predetermined international or 190x number. Material on these websites can only be viewed while the call is connected to the number called by the internet dialler. It is as if this material is stored in a "private internet area" and the internet dialler is the way to access this private area.

It is best practice for websites that operate in this way to present clear warnings to a user that they will receive international or 190x charges on their telephone bill if they proceed beyond a certain point on the website.

TISSC and internet dialler charges for calls to 190 numbers

Most of the complaints we receive are about charges for calls to international numbers, but a small percentage are about calls to numbers with a 190 prefix. If a consumer questions a charge for a call to such a number because they claim they were not adequately warned about website access charges, we may refer the consumer to the Telephone Information Services Standards Council (TISSC). TISSC is an independent regulatory body that sets standards and investigates complaints about the message content and advertising of any Australian telecommunications service with the prefix 190.

TIO complaints

We receive two types of complaints about internet dialler charges, each covered in turn in greater detail below:

1. A consumer claims that the calls were not made from their service, or
2. A consumer acknowledges that they may have accessed the relevant website, but claims they were not adequately warned about website access charges.

1. Consumer claims calls were not made from their service

A consumer may claim that the calls were not made from their service because:

• no one was at the premises during the relevant period
• no one was on the internet during the relevant period
• no one was looking at this particular type of website during the relevant period
• they do not own a computer, or
• they do not have an internet account.

Our standard approach to investigating such complaints, including the information we collect, is set out in our position statement, Disputed charges: consumer denies all knowledge of calls made from a landline.

We also seek answers to the following questions:

• Does the consumer have an internet service?
• Who has access to the consumer’s telephone service and what is their level of internet literacy?
• If the consumer has an internet service,
  • what is their usage history?
  • was anyone using the service before, during or after the relevant period?
  • if the service was used, what websites do users recall accessing?
• Can the consumer provide temporary internet file lists and any other evidence for the relevant period, e.g. details about internet dialler software on the computer?
• If the consumer cannot provide such evidence, did the service provider ask them to locate and keep this information? If so, when did the service provider ask this, and what instructions did its representative give the consumer about locating this information?

The initial focus of this type of investigation is to establish whether the calls originated from the consumer’s service.

If investigation reveals that the calls were not made from the complainant's service, for example because of a fault or billing error, we would expect the provider to waive the charges.

If investigation indicates that the calls were made from the complainant's service, we may then consider available information about internet usage during the relevant period. Our focus would be on establishing whether a user was adequately warned about website access charges. This is discussed in the next section.

2. Consumer claims they were not adequately warned about website access charges

   A consumer may acknowledge that they looked at (or may have looked at) websites associated with the disputed charges, but may claim they were not warned, or not adequately warned, that they would be charged a particular call rate if they wished to access particular material on the website. Some consumers say they do not recall whether the website contained such warning.

   The primary focus of our investigation is to determine whether websites contain warnings about rates and charges. It can be difficult to determine which website led to a call being made, especially if time has passed since the date of the call.

   The TIO expects providers to help identify relevant websites and investigate whether they contained warnings, from the date the consumer first presents a complaint about internet dialler charges.

   If we identify a relevant website during an investigation, we will review available information for evidence that the site contained warnings about rates and charges. If information indicates that there was a warning, we will consider the nature of that warning.

   We will also take into account other factors including:

   • the consumer’s access to information about how to control use of their telephone and internet service
   • relevant considerations in the TIO’s position statement, Unlimited credit - financial over-commitment, and
   • relevant considerations in the TIO’s position statement, Services provided to minors.

   When we investigate this type of complaint we usually collect the following information:

   Information from the consumer

   • A copy of the account showing the disputed call charges
   • Information about the individuals who have access to their telephone service, including their age and level of internet literacy
   • Information about their history of internet use
   • Users’ descriptions of any websites they recall accessing during internet sessions around the time the calls were made
   • Users’ descriptions of events that occurred during those internet sessions
   • If available, temporary internet file lists for the relevant period
   • If available, details of any internet dialler program on the relevant computer
   • What if any steps the consumer took to control access to their telephone or internet service
   • A description of the consumer's communications with the service provider about the disputed charges, e.g. whether the provider asked them to locate and keep temporary internet file lists for the relevant period; and, if so, when the provider asked them to do this and what instructions the provider gave them about locating and keeping this list.

Information from the provider

• If available, a list of the websites accessed via the consumer’s service
• If available, information about warnings about charges on the relevant website(s)
• What if any advice the provider's representatives provided to the consumer about controlling access to their telephone service, and when and how it provided that advice
• The consumer’s call history, e.g. whether internet dialler calls had been made from the service previously and whether the consumer had disputed charges for those calls
• Details of any action the provider has taken to verify the validity of the disputed charges, and
• Details of any action the provider has taken to restrict access to the relevant numbers

Possible outcomes

Depending on available information, an investigation may result in the following possible outcomes:

1. TIO unable to establish if warning was given

   There will be cases where the parties to a complaint cannot provide details of any websites visited. There will also be cases where the websites have been “taken down” or relocated since the charges accrued.

   Where there is no available information, the validity of charges cannot be objectively established. Therefore, in such cases we would take generally the view that it would be fair and reasonable for the provider to waive the entire amount of the charges.

   However, we may advise the parties that it would be reasonable for the consumer to pay some or all of the charges, if available evidence suggests that the consumer contributed to the situation, for example by continuing to use the service after they became aware that they were incurring charges.

2. TIO establishes that warning was given

If investigation reveals that the website in question contained a warning, we will consider whether it was sufficiently clear and reasonably prominent in relation to other content on the page at the time. We will also try to establish whether the warning was provided before charging commenced, and whether it gave the consumer the opportunity to opt out of any transaction.

1. Warning was clear

   If we conclude that the warning was easy to access, legible, appropriately timed and gave the consumer the opportunity to opt out of any transaction, we would advise the parties that it would be reasonable for the consumer to pay the charges.

   This outcome would be subject to the considerations in the TIO’s position statements, Unlimited credit - financial over-commitment and Services provided to minors.

   We may assist the consumer and provider to negotiate a payment arrangement as part of the resolution process. See our position statement, Hardship and payment difficulties.

2. Warning was not clear

If we conclude that the warning was not easy to access, legible, appropriately timed or did not give the consumer the opportunity to opt out of any transaction, we would generally take the view that it would be fair and reasonable for the provider to waive the entire amount of the charges.

It is our view that a consumer should be adequately informed about the pricing of a service before they use that service. It is also our view that, by virtue of the access to technical information and resources that telecommunications providers have, they are well placed to monitor accounts, detect high billing for internet dialler charges and take timely action to verify such charges.

However, we may advise the parties that it would be reasonable for the consumer to pay some or all of the charges, if available evidence suggests that the consumer contributed to the situation, for example by continuing to use the service after they became aware that they were incurring charges.

3. TIO establishes that warning was not given

If we find that a website did not contain a warning about charges for internet access, we would generally take the view that it would be fair and reasonable for the provider to waive the entire amount of the charges.

It is our view that a consumer should be adequately informed about the pricing of a service before they use that service. It is also our view that, by virtue of the access to technical information and resources that telecommunications providers have, they are well placed to monitor accounts, detect high billing for internet dialler charges and take timely action to verify such charges.

However, we may advise the parties that it would be reasonable for the consumer to pay some or all of the charges, if available evidence suggests that the consumer contributed to the situation, for example by continuing to use the service after they became aware that they were incurring charges.

Created: 3 November 2003
Last updated: 20 November 2007

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