ACMA Warns SMS Premium Provider

  • Jada Mobile breaches seven codes
  • Consumers still not checking fine print properly
  • You can contact telco to stop SMS providers targeting you

The Australian Communications and Media Authority has directed mobile premium service provider Jada Mobile Services Limited (Jada Mobile Services) to comply with industry rules or face hefty penalties in the Federal Court, after it found the company breached the Mobile Premium Services Code (the code).

Jada Mobile Services breached seven provisions of the code, including failing to clearly inform customers of all charges and the contact details of the content provider before supplying the service, and charging fees for a request to stop the service.

“Providing clear and accurate information about the price and ensuring that consumers be given information about who to contact if they have questions about a service are fundamental requirements of the code,” said ACMA Chairman, Chris Chapman. “Many people will receive new mobile phones as Christmas gifts. Consumers are advised to be extra cautious when using premium SMS services during the holiday period.”

The ACMA reminds consumers to:

  • Check the cost stated in the advertisement before you send a message to a premium SMS number (these services start with ‘19’).
  • Avoiding signing up for the service if you do not know the full cost.
  • Check that a customer helpline is clearly indicated and record the number.
  • Reply ‘STOP’ to a premium service you wish to terminate.
  • Contact your phone company to permanently block these services if you no longer wish to access or receive any mobile premium SMS or MMS.

Information for consumers about mobile premium services is also available from the ACMA website and the report of the ACMA’s investigation and the formal direction to comply are available from the ACMA website.

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