Acm.nl uses cookies to analyze how the website is used, and to improve the user experience. Read more about cookies

Following an ACM action, telecom providers have made it easier to cancel plans

Summary

  • Telecom providers had made it difficult to cancel subscriptions for telecom services.
  • Consumers must be able to cancel plans just as easily as they take them out.
  • Following an ACM action, providers have clarified their information, and have put it in one centralized location.

Nine telecom providers have removed the barriers to canceling plans on their websites. Consumers are now able to cancel their plans more easily online. Providers have clarified the information about cancellations, and have put it in one centralized location. This has been the result of an investigation by the Netherlands Authority for Consumers and Markets (ACM) into providers that made it difficult to cancel plans for broadband services and for fixed and mobile telephony.

Telecom providers make it easy to take out plans online. A check conducted by ACM revealed that it had been made difficult (or even impossible) to cancel plans online. As a result, consumers possibly stick with their providers longer than they would like to. Businesses are not allowed to do this.

Janneke Toussaint, Deputy Director of ACM’s Consumer Department, says: “Canceling a plan must be as easy as taking one out. In practice, information on how to cancel plans was hidden. In some cases, cancellation was only possible by phone, which made it more difficult. As a result, people become discouraged, put off canceling their plans, and consequently end up being stuck with a plan longer than they wanted to. With this action, ACM has put an end to this.”

Cancellation barriers

Nine in ten providers investigated by ACM had cancellation barriers in place. Information about online cancellations was difficult to find on the website, or had even been completely left out. In such cases, cancellation was only possible by phone. That creates the risk that, during the call, consumers may be persuaded to change their minds. In other cases, people had to click through multiple pages or scroll extensively to find the information. These are examples of so-called ‘deceptive designs’, which deliberately create confusion on websites.

All of the investigated telecom providers have since updated the information on their websites and adjusted their practices so that:

  • You can cancel your plan online at all providers;
  • Information about cancellations is easier to find;
  • Providers no longer call back consumers who wish to cancel.

ACM will closely monitor if businesses continue to comply with this, for example on the basis of reports filed by consumers.

A study into consumer experiences on the telecom market

Today, ACM also publishes a study into how consumers view the market for fixed and mobile telecom services. An earlier study conducted by ACM reveals that consumers are able to save a significant amount of money by taking out a new telecom contract, for example by switching to a different provider or taking out a new contract with their current provider. About one in four respondents has taken out a new contract for fixed telecom services over the past year. For mobile services, about one in three has done so. These consumers are, generally speaking, positive about how their switches went. Many consumers switched on the basis of a personalized offer. About three in four consumers feel that there are sufficient providers to choose from. At the same time, more than half feel that telecom plans are difficult to compare because of welcome offers and the diversity in the contents of those plans.

The price of a plan is the main reason for consumers to take out a new contract. A majority of consumers consider plan prices to be high. For example, consumers pay, on average, over 50 euros per month for a package that includes broadband and TV. In general, consumers are satisfied with the quality of the services provided. More than one in three consumers have been customers with their current fixed telecom provider for eleven years or more. In the mobile market, consumers have been with the same provider, on average, shorter than that. People would do well if they regularly compared their plans to check if it is worthwhile to switch to a new contract.

See also

Back to top