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   TIO Talks 36
www.tio.com.au
 
    Issue 36, May 2006
 
     
 
     8. Plan blurbs may mislead

 
  Broadband plans misleadingly advertised as “unlimited” are the target of a crackdown in Victoria by Consumer Affairs Minister Marsha Thomson. Ms Thomson said some plans were advertised as “unlimited” but the fine print showed they only allowed a certain amount of downloading. “Consumer Affairs Victoria has secured the voluntary withdrawal of promotional material from internet service providers, including OptusNet and iiNet Ozemail – two of the largest providers in Australia,” Ms Thomson said.

“Optus, Primus, iiNet Ozemail and several other providers acted promptly by removing references to ‘unlimited’ when the problem was brought to their attention”. Ms Thomson called for the rest of the industry to ensure they advertised in a fair and transparent manner. In the TIO’s experience, many broadband plans are subject to Acceptable Use Policies (AUPs) that limit usage. The plan may be described as unlimited in advertising material, but subject to limits under the Acceptable Use Policy. The TIO’s concerns are that:

• the use of the word “unlimited” when a service is subject to an AUP is potentially misleading • advertising material should clearly describe the true nature of a plan • AUPs should be presented in a prominent position in advertising material • AUPS should specify what action will be taken when it is breached • customers should be able to monitor their usage to ensure that they do not breach the AUP. The TIO may consider complaints from customers who claim that their “unlimited” plan is subject to an AUP, which limits usage. Complainants should ensure that they have tried to resolve the matter with their provider before coming to the TIO.

 
     
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