MyCRA Specialist Credit Repair Lawyers

Tag: TIO

  • Telcos to step up spend management awareness under TCP Code

    bill shockBILL SHOCK!

    We’ve discussed it frequently. We hear about it frequently as credit repairers. Next month, the Australian Communications and Media Authority (ACMA) is overseeing new guidelines under the Telecommunications Consumer Protection Code (TCP) designed to reduce the instances of bill shock, and hopefully the frequency of credit disputes over bill shock. The new requirements are about to take effect from 1 September. We look at what the new Code requires and what it will mean for consumers.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repair and www.fixmybadcredit.com.au.

    Botched phone plans and lack of data usage monitoring has in the past left many Australians shell shocked over their mobile and internet bills, with bills so large many can’t pay up or refuse to pay up, leading to an increased rate of defaults.

    Consumers have been confused when it comes to data allowance – particularly on their smartphones, and this was a major focus following the ACMA’s Reconnecting the Customer inquiry – which found there was a real need for improvement in consumer protection in the telco industry in the areas of Critical Information Summaries, clearer advertising and improved complaint handling.

    In the past clients claim they have gone over their allowance really quickly, sometimes without realising it, or the plan they were put on was not appropriate for what they intended to use their mobile internet for. Often they have had great difficulty in cancelling the accounts or coming to a resolution with telcos over these billing issues.

    Sometimes consumers have reluctantly paid the bill, thought the matter was settled, only to find they were defaulted anyway, and others have just refused to pay the bill until they got some resolution. Either way, they have been faced with at least 5 years of bad credit from the episode unless they have been able to make a successful complaint.

    Last year, the Telecommunications Industry Ombudsman (TIO) surveyed its services. It counted 52,231 new complaints about telcos received between January and March 2012. Almost two-thirds were about mobile phone services.

    The TIO reports new complaints about over-commitment caused by inadequate spend controls increased to 4,282 in the January-March 2012 quarter, compared to 2,181 in the same quarter in 2011. In the same periods, new complaints about disputed internet charges increased from 981 to 2,823 (180 per cent).

    “It is well known that more internet browsing and downloads are now done on mobile phones and other mobile devices. With this change in consumer behaviour, we have seen complaints about excess data charges almost treble over the last year,” Ombudsman Simon Cohen said.  “The incidence of these complaints will reduce if consumers are only contracted for services they can afford, and where spend management tools such as notifications and usage meters are accurate and reliable”.

    SPEND MANAGEMENT TOOLS FOR TELCO CUSTOMERS

    From 1 September, 2013, spend management alerts, in addition to a range of new tools introduced for telco consumers following registration of the TCP code by the ACMA, will take effect. The changes include:

    • Residential customers on post-paid mobile and internet plans (with the potential for excess usage charges) will receive email updates when their data usage reaches 50 per cent, 85 per cent and 100 per cent of the amount included in their plan
    • Residential customers of the largest three mobile providers—Optus, Telstra and Vodafone—will also, from that date, receive SMS alerts when usage of their included value for calls and SMS reaches 50, 85 and 100 per cent.
    • The warnings at the 100 per cent usage mark must also include details of excess usage charges, which can be considerably higher than charges within the plan.

    ‘These notifications target customers most at risk of bill shock and represent an enormous industry reform by placing the power of information in the hands of consumers when they need it,’ said ACMA Chairman, Chris Chapman.

    Customers will not receive the warnings if they are on a plan which does not expose them to bill shock. This includes plans that are a pre-paid service, have a hard cap, or are an unlimited service, a dial-up internet service or are a shaped internet service, (i.e. which slows data rather than imposes excess usage charges when customers reach their data usage limit). The warnings are not mandatory for mobile plans launched prior to 1 March, 2012.

    The final element of the new TCP code, developed by Communications Alliance, rolls out in September 2014 when customers of the mid-sized and small telcos (less than 100,000 customers on included value plans) receive voice and SMS usage alerts to accompany their data alerts.

    Image: artur84/ www.FreeDigitalPhotos.net

  • Mobile bill shock could cost you your home

    Media Release

    Mobile bill shock could cost you your home

    Botched phone plans and lack of data usage monitoring is leaving many Australians stressed over their mobile bills, with bills so large many simply can’t pay up or absolutely refuse to pay up and many more are having their good credit ratings completely destroyed.

    Consumer advocate, Graham Doessel of MyCRA Credit Rating Repairs says there is an alarming number of credit listing complaints from Telco consumers relating to internet data usage on mobile phones.

    He says consumers are confused when it comes to data allowance on their smartphones, and the providers are not helping.

    “Often clients claim they go over really quickly, or the plan they were put on was not appropriate for what they intended to use their mobile internet for. Often they can have great difficulty in cancelling the accounts or coming to a resolution with the company over these billing issues,” he says.

    Mr Doessel says 28 per cent of his credit repair clientele in the financial year to date were Telco customers. See Table (A)

    “Sometimes consumers reluctantly pay the bill, think the matter is settled, only to find they are defaulted anyway, and others just refuse to pay the bill until they get some resolution. Either way, they are faced with at least 5 years of bad credit from the episode unless they can make a successful complaint,” he explains.

    This reflects findings from the Telecommunications Industry Ombudsman (TIO) report on its services for the last financial year, which was released today.

    The TIO’s findings show mobile phone users are increasingly unhappy with the service they receive, with a 9 per cent rise in complaints about mobiles last financial year.

    Ombudsman Simon Cohen said two out of three complaints made to the TIO were about mobile phones, with the biggest percentage rise about disputed internet usage charges (150 per cent).

    “Complaints about unexpectedly high bills and unnecessary financial overcommitment point to the urgent need for strong spend management rules, including those that are included in the new ‘Telecommunications Consumer Protection Code’,” Mr Cohen said.

    The ‘Telecommunications Consumer Protection Code’ has recently been pushed through with the guidance of the Australian Communications and Media Authority (ACMA) which will amongst other things, force telcos to provide their customers with notifications when they have used 80% and 100% of their data allowance in the plan.

    These changes come after pressure from ACMA for Telcos to offer better protection for consumers, or face external regulation.

    The TIO’s annual report also shows a rise in complaints about credit default listings. Complaints about consumers being credit default listed while their debt was in dispute increased 18 per cent from 3,700 to 4,370. There was also a 16 per cent increase in complaints about consumers being credit default listed without proper notification, up from 3,220 to 3,730.

    “I am very concerned about the increase in the number of complaints where credit default listings are disputed,” Mr Cohen said “Credit listings can have very significant impacts on people – affecting applications for credit, including for housing and personal loans. Any credit default listing should only occur after the correct procedures have been followed.”

    Mr Doessel says preventing a credit file default on your mobile phone bill often comes down to awareness of legalities.

    “Many people don’t know the rules well enough when dealing with these big companies, so it can be a little like David and Goliath and many times the big guy wins,” he says.

    He gives some ideas on what you can do if you disagree with a mobile phone bill:

    How to Dispute That Shocking Mobile Bill

    1. Attempt to resolve the dispute with the Telco first. If a bill has just popped up you don’t agree with, let your Provider know, and DOCUMENT ALL CORRESPONDENCE WITH THEM (and document who you speak with if you are calling).

    2. You may need to make a formal complaint in writing. If there is no resolution over the telephone, set out what specific resolution you require, and all the details of your complaint. The telco has 30 days to answer any written complaint you make.

    3. Get all responses in writing. The matter may seem at an end, but sometimes people believe they have sorted it out only to find out later they have been defaulted anyway. If you have come to a resolution with the telco verbally, get it in writing and make sure it clearly states what will happen from here.

    4. If the matter can’t be resolved to your satisfaction internally, take your case to the Telecommunications Industry Ombudsman. The TIO will make a decision on the matter, and their decision will decide your case. Make sure you provide as much evidence as you can for the Ombudsman to make an informed decision – you may only get one chance at it.

    5. If at any stage you have a credit file listing from a Telco which you believe shouldn’t be there, you can undertake professional credit repair services. The credit repairer works on the consumer’s behalf to champion for the removal of credit file listings which contain errors or inconsistencies or just out and out shouldn’t be there. The credit repairer may escalate the matter to the TIO on the client’s behalf if necessary, but it may not be the only option.

    “A good credit repairer will conduct an audit-like investigation to uncover errors or non-compliance that may still see the default removed, even where an Ombudsman has sided with the Credit Provider,” Mr Doessel explains.

    /ENDS.

    Please contact:

    Graham Doessel – Founder and CEO MyCRA Ph 3124 7133

    Lisa Brewster – Media Relations MyCRA Ph 3124 7133 media@mycra.com.au

    http://www.mycra.com.au/ www.mycra.com.au/blog

    246 Stafford Rd, STAFFORD Qld

    MyCRA Credit Rating Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

     

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    http://www.tio.com.au/publications/media/mobile-phone-complaints-rise-against-overall-decrease-in-telco-complaints-during-2011-12

    http://www.tio.com.au/publications/media/mobile-phone-complaints-rise-against

    Image: maya picture/ www.FreeDigitalPhotos.net

     

  • Mobile Phone Bill shock – Have YOU been a victim?

    Botched phone plans and lack of data usage monitoring is leaving many Australians shell shocked over their mobile bills, with bills so large many can’t pay up or refuse to pay up, and more are copping defaults on their credit file. There is an increasing number of credit listing complaints from Telco consumers relating to internet data usage on mobile phones. We have seen it here, and the Telecommunications Ombudsman has also released similar findings in its annual report today. We look at the finding in this report, and the plight of telco customers with bad credit history.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    Consumers are confused when it comes to data allowance on their smartphones, and the providers are not helping.

    Often clients have claimed to go over their allowance really quickly, or the plan they were put on was not appropriate for what they intended to use their mobile internet for. Often they can have great difficulty in cancelling the accounts or coming to a resolution with the company over these billing issues.

    Almost 26 per cent of our credit repair clientele in the 12 months to July were Telco customers.

    Sometimes consumers reluctantly pay the bill, think the matter is settled, only to find they are defaulted anyway, and others just refuse to pay the bill until they get some resolution. Either way, they are faced with at least 5 years of bad credit from the episode unless they can make a successful complaint.

    This reflects findings from the Telecommunications Industry Ombudsman (TIO) report on its services for the last financial year, which was released today.

    The TIO’s findings show mobile phone users are increasingly unhappy with the service they receive, with a 9 per cent rise in complaints last financial year.

    Ombudsman Simon Cohen said two out of three complaints made to the TIO were about mobile phones, with the biggest percentage rise about disputed internet usage charges (150 per cent).

    “Complaints about unexpectedly high bills and unnecessary financial overcommitment point to the urgent need for strong spend management rules, including those that are included in the new Telecommunications Consumer Protection Code,” Mr Cohen said.

    A Telecommunications Protection Code has recently been pushed through with the guidance of the Australian Communications and Media Authority (ACMA) which will amongst other things require telcos to provide their customers with notifications when they have used 80% and 100% of their data usage in the plan.

    These changes come after pressure from ACMA for Telcos to offer better protection for consumers, or face external regulation.

    The TIO’s annual report also shows a rise in complaints about credit default listings. Complaints about consumers being credit default listed while their debt was in dispute increased 18 per cent from 3,700 to 4,370. There was also a 16 per cent increase in complaints about consumers being credit default listed without proper notification, up from 3,220 to 3,730.

    “I am very concerned about the increase in the number of complaints where credit default listings are disputed,” Mr Cohen said “Credit listings can have very significant impacts on people – affecting applications for credit, including for housing and personal loans. Any credit default listing should only occur after the correct procedures have been followed.”

    Preventing a credit file default on your mobile phone bill often comes down to awareness of legalities.

    Many people don’t know the rules well enough when dealing with these big companies, so it can be a little like David and Goliath and many times the big guy wins.

    Here’s some ideas on what you can do if you disagree with a mobile phone bill:

    How to Dispute That Shocking Mobile Bill

    1. Attempt to resolve the dispute with the Telco first. If a bill has just popped up you don’t agree with, let your Provider know, and DOCUMENT ALL CORRESPONDENCE WITH THEM (and document who you speak with if you are calling).

    2. You may need to make a formal complaint in writing. If there is no resolution over the telephone, set out what specific resolution you require, and all the details of your complaint. The telco has 30 days to answer any written complaint you make.

    3. Get all responses in writing. The matter may seem at an end, but sometimes people believe they have sorted it out only to find out later they have been defaulted anyway. If you have come to a resolution with the telco verbally, get it in writing and make sure it clearly states what will happen from here.

    4. If the matter can’t be resolved to your satisfaction internally, take your case to the Telecommunications Industry Ombudsman. The TIO will make a decision on the matter, and their decision will be final. Make sure you provide as much evidence as you can for the Ombudsman to make an informed decision – you may only get one shot at it.

    5. If at any stage you have a credit file listing from a Telco which you believe shouldn’t be there, you can undertake professional credit repair services. The credit repairer works on the consumer’s behalf to champion for the removal of credit file listings which contain errors or inconsistencies or just out and out shouldn’t be there. The credit repairer may escalate the matter to the TIO on the client’s behalf if necessary, but it may not be the only option.

    A good credit repairer will conduct an audit-like investigation to uncover errors or non-compliance that may still see the default removed, even where an Ombudsman has sided with the Credit Provider.

    Image: posterize/ www.

  • Bill Shock: telco bills ruining credit ratings

    Botched phone plans and lack of data usage monitoring is leaving many Australians shell shocked over their mobile bills, with bills so large many can’t pay up or refuse to pay up, leading to an increased rate of defaults. We look at what is happening with Telco consumers, the new laws that have come in to combat bill shock, and some practical things that you can do to prevent it happening to you, and threatening your good credit rating.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    A large number of current credit listing complaints we receive from telco consumers relate to data usage on mobile phones. Consumers are confused when it comes to data allowance on their smartphones, and the providers up till now, have not been helping.

    Often clients claim they have gone over their allowance really quickly, or the plan they were put on was not appropriate for what they intended to use their mobile internet for. Often they can have great difficulty in cancelling the accounts or coming to a resolution with telcos over these billing issues.

    Our current statistics show almost 26% of our credit repair clientele in the 12 months to July were telco customers.

    Consumers have either reluctantly paid the bill, thought the matter was settled, only to find they were defaulted anyway, or they have just refused to pay the bill until they got some resolution – but have copped a bad credit rating through the account being more than 60 days in arrears.

    Either way, they were dished out at least 5 years of bad credit from the episode unless they have been able to make a successful complaint.

    Complaints numbers

    Recently the Telecommunications Industry Ombudsman (TIO) surveyed its services. It counted 52,231 new complaints about telcos received between January and March 2012. Almost two-thirds were about mobile phone services.

    The TIO reports new complaints about over-commitment caused by inadequate spend controls have over doubled in 12 months (4,282 in the January-March 2012 quarter, compared to 2,181 in the same quarter in 2011). In the same periods, new complaints about disputed internet charges increased 180 per cent (From 981 to 2,823).

    “It is well known that more internet browsing and downloads are now done on mobile phones and other mobile devices. With this change in consumer behaviour, we have seen complaints about excess data charges almost treble over the last year,” Ombudsman Simon Cohen said.  “The incidence of these complaints will reduce if consumers are only contracted for services they can afford, and where spend management tools such as notifications and usage meters are accurate and reliable”.

    The powers that be have heard the many complaints. Some changes have been swiftly made to improve transparency and service for telco customers. A revised Telecommunications Consumer Protection Code has been made in conjunction with the Australian Communications and Media Authority (ACMA) which will amongst other things require telcos to provide their customers with notifications when they have used 80% and 100% of their data usage in the plan.

    These changes come after pressure from ACMA for Telcos to offer better protection for consumers, or face external regulation.

    For more information on the TCP Code, see our September post ‘Telco bill shock should in theory now be a thing of the past.’

    In the meantime, many consumers are still facing bill shock. We look at what you can do to prevent it.

    Preventing Bill Shock

    Savingguide.com.au published a great article late last week detailing some practical things that you can do to avoid bill shock. Here is an excerpt from ‘How to Avoid Bill Shock’:

    Read Your Contract

    I’ve said it before and somehow I feel I shall say it again: read the contract. From start to end. Before signing up to anything. Now, let’s just say you have already signed up and you didn’t read it before, you are not off the hook. Read it now. I’m serious, go do it… like, right now!

    Now that you’ve read your contract, you’ll know exactly how much data you get for your regular fee and how much you’re going to pay if you exceed that limit. Without this knowledge, you’re really just playing a guessing game and you’re probably going to lose.

    Don’t be Silly

    Seems obvious, doesn’t it? Yet here we are. If you are on a limited data allowance, don’t fritter it away on silly things! When I first got my smart phone I was so enamoured by the fact that I could get the internet on my handset that I would lie in bed, checking the week ahead’s weather on my mobile rather than simple make the walk to the study and use my PC, on which the internet is virtually limitless! Fortunately, I did not have to learn the hard way but many people will. Don’t be one of them.

    Start Downloading

    I know, I know, I just told you not to download stuff but this is the exception. Downloading the right apps is going to make all the difference, in fact these two apps are the best way to keep your data use under control.

    Data Usage Monitor

    A data usage monitor like 3G Watchdog (Android) is a brilliant addition to your phone. Simply enter the date your billing cycle commences and your data allowance, and a little symbol appears on your phone’s desktop, changing colour to warn you when you’re reaching your limit.

    Programme Closing

    A programme-closing app is your next best friend. Apps like Advanced Task Killer enable you to close any programmes that might be running without your knowledge with the push of a button. And without programmes secretly running, chewing into your data allowance, you’re much less likely to suffer that dreaded disease, bill shock.

    This is great advice. But what about if you already have a phone bill that has left your head spinning?

    How to Dispute That Shocking Mobile Bill

    1. Attempt to resolve the dispute with the Telco first. If a bill has just popped up you don’t agree with, let your Provider know, and DOCUMENT ALL CORRESPONDENCE WITH THEM (and document who you speak with if you are calling).

    2. You may need to make a formal complaint in writing. If there is no resolution over the telephone, set out what specific resolution you require, and all the details of your complaint. The telco has 30 days to answer any written complaint you make.

    2. Get all responses in writing. The matter may seem at an end, but sometimes people believe they have sorted it out only to find out later they have been defaulted anyway. If you have come to a resolution with the telco verbally, get it in writing and make sure it clearly states what will happen from here.

    3. If the matter can’t be resolved to your satisfaction internally, take your case to the Telecommunications Industry Ombudsman. The TIO will make a decision on the matter, and their decision will be final. Make sure you provide as much evidence as you can for the Ombudsman to make an informed decision – you may only get one shot at it.

    4. If at any stage you have a credit file listing from a Telco which you believe shouldn’t be there, you can undertake professional credit repair services. The credit repairer works on the consumer’s behalf to remove credit file listings which contain errors or inconsistencies or just out and out shouldn’t be there. It gives the consumer the best chance of presenting the best case for removal of a disputed listing, and actually having an unfair listing removed completely off your credit file. The credit repairer can also escalate the matter to the TIO on the client’s behalf if necessary.

    If you would like help disputing your telco default or other credit listing, contact a Credit Repair Advisor on 1300 667 218 or visit our main website for more information MyCRA Credit Rating Repairs www.mycra.com.au.

    Image: Ambro/ www.FreeDigitalPhotos.net

     

  • Bill shock and telco complaints finally actioned: New Telco Consumer Protection Code approved by ACMA

    It has finally come to pass – telcos have a compulsory and enforceable code to govern their behaviour towards consumers. This new code is aimed at giving consumers the transparency and clarity with their telco use that has been severely lacking in the industry and which has led to bill shock, debt issues and more unfair credit listings such as credit rating defaults.  We report on the new code governing telcos, the possible benefits for the future, and explain how the previous code has impacted telco customer credit files.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    Telcos have by the skin of their teeth missed government regulation. The final draft of a new Telecommunications Consumer Protection Code (TCP) submitted by telco industry body the Communciations Allicance has been approved by the Australian Communications and Media Authority (ACMA) it was announced yesterday.

    A couple of weeks ago we reported telcos had submitted their last version of the Code to the ACMA in the post Telco consumer code on third rewrite for June deadline.

    The ACMA announced in a release to the media yesterday A Better Deal For Australian Telco Customers, that it had agreed to register the telco’s version of the Code, which is aimed at giving “long-suffering telco customers materially greater protection on the big telco issues such as bill shock, confusing mobile plans and poor complaints-handling,” the ACMA says.

    A public inquiry conducted by the ACMA estimated that the annual recurring costs associated with the industry’s unsatisfactory performance under the previous code included $1.5 billion associated with consumers choosing the wrong plan, $108 million for the costs of telephone complaints and $113 million for the costs of writing off bad debts.

    “The ACMA will very closely monitor its [fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][the TCP Code’s] progress and will not hesitate to communicate to industry the need for further change, if that need arises. This is an important point as the code will apply to every service provider in Australia. Compliance with the code is no longer an option. The ACMA obviously stands ready to use its powers of investigation and enforcement if participants choose not to comply with these new code obligations (which include an obligation to report their compliance performance to the industry’s new compliance monitoring body, Communications Compliance),” Mr Chapman says.

    How have telco customers been affected?

    Recently the Telecommunications Industry Ombudsman (TIO) surveyed its services. It counted 52,231 new complaints about telcos received between January and March 2012. Almost two-thirds were about mobile phone services.

    The TIO reports new complaints about over-commitment caused by inadequate spend controls increased to 4,282 in the January-March 2012 quarter, compared to 2,181 in the same quarter in 2011. In the same periods, new complaints about disputed internet charges increased from 981 to 2,823 (180 per cent).

    “It is well known that more internet browsing and downloads are now done on mobile phones and other mobile devices. With this change in consumer behaviour, we have seen complaints about excess data charges almost treble over the last year,” Ombudsman Simon Cohen said. “The incidence of these complaints will reduce if consumers are only contracted for services they can afford, and where spend management tools such as notifications and usage meters are accurate and reliable”.

    And customer credit files?

    Almost 26% of MyCRA’s credit repair clientele in the past 12 months were Telco customers.

    Often this was due to botched phone plans and lack of data usage monitoring. Consumers have been confused when it comes to data allowance on their smartphones, and the providers have not been helping. Often clients have claimed they have gone over their data limit really quickly, or the plan they were put on was not appropriate for what they intended to use their mobile internet for.

    The problems have also extended to complaints. Many customers can have had great difficulty in cancelling the accounts or coming to a resolution with telcos over these billing issues. Sometimes consumers have reluctantly paid the bill, thought the matter was settled, only to find they were defaulted anyway, and others have just refused to pay the bill until they got some resolution. Either way, customers have been faced with at least 5 years of bad credit from these often unfair credit listings unless they have been able to make a successful complaint.

    What the TCP Code will mean for consumers

    The Sydney Morning Herald yesterday reported in the story ‘Bill shock’ code set to save $1.5b on phone bills that the new 102 –page code will be enforced from September 1, and progressively phased in over the next two years.:

    “[We] are hopeful that its adoption will result in clearer advertising, easier comparison of products, better information about contracts and better tools to help consumers avoid bill shock,” Teresa Corbin, CEO of the Australian Communications Consumer Action Network (ACCAN), which proposed the code told SMH.

    It also reported on a significant change to data usage notification rules:

    “…customers will receive warning messages when they have reached 50 per cent, 85 per cent and 100 per cent of their monthly allowance for calls, messages and data,” SMH reports.

    The basic benefits are explained in more detail in the ACMA article Fair call—new telco code to benefit consumers:

    Under the new code, telco providers must be clear about what they are offering in their phone plans and stop using confusing terms like ‘cap’ (unless the offer refers to a ‘hard cap’—an amount that cannot be exceeded).

    Customers will also benefit from better spend management tools designed to avoid ‘bill shock’. These include improvements in billing processes and credit management, and the introduction of notifications about data usage and expenditure thresholds.
    Some of the changes will be phased in to help providers adjust their systems. From 27 September, customers will be able to more easily compare costs and plans, with telcos required to provide unit pricing for national calls, standard SMS and downloading 1 MB of data in advertisements…

    From 1 March2013 customers buying a new service will receive a two-page document called the ‘Critical Information Summary’. This includes essential information about service, pricing and complaints-handling, as well as volumetric information so consumers can easily understand how many two-minute calls or texts they can make under their plan.

    The new code will mean faster, better complaints-handling, with urgent complaints resolved within two days. All of these new measures will be monitored and the telcos subject to new benchmarking standards.

    For customers having difficulty paying their bills or meeting unexpectedly high bills, telcos must advise consumers about spend management tools, hardship advice and options to restrict a service.

    A new industry compliance body is being formed to ensure all industry participants comply with the new code.

    We eagerly await the September implementation of the TCP Code, and the positive impact this will have on our customer’s credit files and hopeful reduction in the number of unfair credit listings originating from telco customers.

    Image 1: Danilo Rizzuti/ www.FreeDigitalPhotos.net.

    Image 2: Sydney Morning Herald[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • The TIO just got more muscle to penalise Telcos in small business disputes

    The Telecommunications Industry Ombudsman (TIO) reports in some areas they’ve almost tripled their workload  and it has just been given new powers to handle complaints with a higher total value, which should pave the way for the Ombudsman to deal with more small business issues as they relate to the telecommunications industry. We look at what this will mean for small business, and look at general figures for Telco complaints, and how this may affect consumer credit files and credit file listing complaints.

    By Graham Doessel, Founder and CEO of MyCRA Credit Rating Repairs and www.fixmybadcredit.com.au.

    From 1 July 2012, the TIO will have the power to give legally binding directions to service providers of up to $50,000 in value, and to make recommendations up to $100,000. This is an increase from direction powers of $30,000 and recommendation powers of $85,000. There will also be a change to the way it classifies a small business.

    “The adjustment to our monetary limits means that consumers who previously had disputes too large for us to deal with will now have access to our fast, free and independent service,” Ombudsman Simon Cohen said in a statement to the media last week.

    The TIO says the changes will be of particular benefit to small business consumers. At the same time as the constitutional change on monetary limits commence, the TIO will adopt a more flexible approach to defining a small businesses, making TIO services accessible and relevant to these consumers.

    New Small Business Definitions for TIO

    The TIO can assist small businesses with an annual turnover of less than $3 million and up to 20 employees (or up to 100 staff in the case of seasonal operations or manufacturing businesses).

    Even where these conditions might not be met, the TIO will consider other aspects such as the issues in dispute, the nature of the business (for example, whether it is not for profit or it operates from home), and whether the business is independently owned and funded by a small number of individuals who make most of the important business decisions.

    In the past, the TIO would also take into account the amount in dispute and the business’s yearly expenditure on telecommunications. These criteria have now been removed.

    Prior to these new powers, the TIO announced its intention is to expand its role beyond dispute resolution to helping improve telecommunications services. The TIO says it aims to achieve this by contributing to better customer service and complaint handling and working with industry to identify broader issues affecting consumers.

    Consumer Complaint Numbers Through The Roof

    In the magazine TIO Talks, it reported on its most recent survey of TIO services. It counted 52,231 new complaints received between January and March 2012. Almost two-thirds were about mobile phone services – with two significant trends in new mobile phone complaints coming from consumer issues about over-commitment resulting from inadequate spend controls, and complaints about excess internet usage charges. It revealed the staggering figures that numbers for internet data usage complainnts  have jumped 180 per cent in 12 months. The TIO Reports:

    New complaints about overcommitment caused by inadequate spend controls increased to 4,282 in the January-March 2012 quarter, compared to 2,181 in the same quarter in 2011. In the same periods, new complaints about disputed internet charges increased from 981 to 2,823 (180 per cent).

    “It is well known that more internet browsing and downloads are now done on mobile phones and other mobile devices. With this change in consumer behaviour, we have seen complaints about excess data charges almost treble over the last year,” Ombudsman Simon Cohen said.  “The incidence of these complaints will reduce if consumers are only contracted for services they can afford, and where spend management tools such as notifications and usage meters are accurate and reliable”.

    Credit File Listing Complaints from Telco Industry

    Every day as credit repairers, we forward complaints to the TIO about consumer complaints and bill disputes which have seen them not only having billing issues, but having those issues impact their ability to obtain credit through being defaulted.

    We would agree that internet data usage complaints are rampant. Data usage on mobile phones seems to be one of the biggest sources of confusion for consumers. Some clients have trouble understanding their accounts (and often claim the plan they were put on was not appropriate for what they intended to use their mobile and/or internet for), and when they are hit with massive bills, they struggle to make the repayments; others claim they have great difficulty getting billing issues and disputes sorted out at the time they appear, and end up having defaults put on their credit file because they refuse to pay a bill they disagree with; and then some are simply the victim of internal errors within the telco industry – wrong accounts, wrong names, wrong plans, wrong addresses – and all of these things contribute to negative credit file listings that they often don’t know anything about until they apply for credit and are refused.

    Understanding Bill Disputes with Telcos

    MyCRA’s Legislative Compliance Officer specialising in Telco credit listing complaints has given people a few quick tips to take heed of when disputing Telco bills:

    1. Attempt to resolve the dispute with the Telco first. If a bill has just popped up you don’t agree with, let your Provider know, and DOCUMENT ALL CORRESPONDENCE WITH THEM (and document who you speak with).

    2. Get all responses in writing. The matter may seem at an end, but sometimes people believe they have sorted it out only to find out later they have been defaulted anyway.

    3. If the matter can’t be resolved internally, take your case to the TIO.

    4. If at any stage people have a credit file listing from a Telco which they believe shouldn’t be there, they should contact a credit repairer, and give them all the information so far. They can then work on the person’s behalf. Credit file listings can be difficult for the individual to remove. If people request Creditors remove bad credit history, most people are told listings cannot be removed, but can be marked as ‘paid’ if the account was settled. This may not be enough to obtain credit with most lenders in the future, and these listings will be on a person’s credit file for between 5 and 7 years. With their knowledge of credit reporting law, a credit repairer will negotiate with the creditor as well as escalate the matter to the TIO on the client’s behalf if necessary. This gives people the best chance of actually being able to remove bad credit history which shouldn’t be there.

    A New Consumer Protection Code

    A revised Telecommunications Protection Code is currently being considered by the Australian Communications and Media Authority (ACMA) which, if adopted, will require telcos to provide their customers with notifications when they have used 80% and 100% of their data usage in the plan. After 24 months telcos will be required to extend notifications to voice and SMS usage. These changes come after pressure from ACMA for Telcos to offer better protection for consumers, or face external regulation.

    Image: suphakit73/ www.FreeDigitalPhotos.net

  • MyCRA clients tell their stories: Telco mistakes threatening home ownership

    Two of our credit repair clients share their stories on how their good credit rating suffered at the hands of Telco mix-ups. Their stories demonstrate how bill and service disputes can be difficult for customers to resolve, and can ultimately lead to a bad credit rating.

    By Graham Doessel CEO of MyCRA Credit Repairs and www.fixmybadcredit.com.au.

    DANIEL

    A NSW client, Daniel and his young family were shocked when they applied for a home loan last year to find they were refused due to a whopping $8,000 debt and five years of bad credit when a botched phone plan with Telstra in 2006 came back to haunt them.

    Daniel was told by the lender there was no way he would be given a home loan with a black mark against his name – a mark Daniel says was a huge mistake.

    “I was on a 10MB plan initially, but wanted to start using the internet from my phone. I contacted Telstra to get upgraded to 1GB, which the operator agreed to. It wasn’t until I got the bill for $4,000 that I saw the operator hadn’t changed the data allowance and I was still on 10MB,” he explains.

    Daniel says he spent more than 3 months in contact with Telstra attempting to resolve the problem, and was passed on from one person to another.

    “All the operators said they didn’t have the authority to remove this bill or change it. No one was willing to help they all just kept passing me around operators which lead to hours on end being caught up on the phone without getting answers,” he says.

    “After a few months they disconnected my phone, but I had no idea they had referred the debt to a collection agency, and banned me from credit for 5 years.”

    Thousands of Telco customers are living with negative listings on their credit file that just shouldn’t be there, and this should serve as a warning to all credit active individuals to check the accuracy of their own credit rating.

    Consumers need to know that mistakes do happen for a variety of reasons, and often it is not until people apply for credit in a separate instance that they find out – by then it is too late.

    An annual report released November last year by the Telecommunications Industry Ombudsman (TIO) reporting on the number and nature of consumer complaints in the 2010-11 year, revealed a staggering 18 per cent increase in complaints from the previous year.

    The TIO report attributes the rise in complaints to them to mobile phone service faults and increased smart phones use.

    “The record number of complaints made to the TIO is disappointing. Customers who have complained to us have been frustrated not only by mobile telephone problems, but also by deficient customer service and complaint handling,” Ombudsman Simon Cohen said.

    Daniel says trying to get the mistake fixed up and rebuild his credit file himself, was problematic.

    “I tried to clear it with Baycorp, they told me if I paid the debt they would reduce it to $6,000 – which I did. Unfortunately that didn’t clear my credit file, it was only marked as ‘paid’ and was no use to me getting a home loan,” he says.

    Many people have trouble resolving errors themselves, because they aren’t familiar with the legislation and find it difficult to negotiate with creditors.

    Customers can often be given the run-around by creditors, and can find it difficult to apply the letter of the law to their own circumstances when they have no knowledge of what the rules are. Sometimes that can do their case more harm than good.

    Daniel’s case has since been resolved, and MyCRA Credit Repairs have been successful in recovering the $6,000 he paid out to Baycorp.

    “We’re relieved to be finally getting a home, but the whole thing has left us very disappointed in big corporations – you really don’t get looked after,” he says.

    BRENT

    Another client, Brent from Western Australia had a contract with provider, ‘3’ in 2009 that went badly.

    About 3 months into his phone contract, Brent experienced numerous problems with his phone, sending it to be repaired 3 times before requesting a replacement. He posted the phone back to Sydney and received a new phone.

    A month later Brent’s phone was barred, and he received a phone call from 3 stating that he owed $1200 for the phone which 3 said was never returned.

    Brent spent a few months dealing with 3 trying to track down the phone in their warehouse and the postal system, before they eventually located it.

    It wasn’t until he applied for a loan and was turned away that he found out 3 had placed a default on his credit file anyway, despite an agreement to put a note on the account so that the outstanding amount for the missing phone did not get referred to a debt collector.

    MyCRA Credit Repairs fought for Brent to have the default removed from his credit file.

    It is so important for people to cover themselves when resolving bill and service disputes with Telcos or any creditor for that matter.

    People should never assume mistakes are rectified until they have confirmation in writing from the company. If you have a problem with a bill or service, take extensive notes and names and request confirmation of all decisions and outcomes in writing.

    If people are worried about what may have been reported about them on their credit report, they are entitled to obtain a copy of their credit file for free from the credit reporting agencies in Australia once every 12 months.

    The report is mailed to the credit file holder within 10 working days. If consumers find errors, or listings which they believe are inaccurate or unjust they have the right to have them removed.

    For help with rebuilding a credit history and repairing your bad credit rating contact MyCRA Credit Repairs tollfree on 1300 667 218 or visit the main website, www.mycra.com.au.

    Image: Stuart Miles / FreeDigitalPhotos.net

     

     

  • Phone bill complaints – the dangers for your credit rating

    Media Release

    15 August 2011

    Customers who are fed up with the process of disputing their phone or internet bills are warned they still need to follow the system to avoid finding themselves with a bad credit rating, according to a national credit file repairer.

    Director of MyCRA Credit Repairs, Graham Doessel says when disputing bills with Telco providers, people make two common mistakes which can cost them their good credit rating unnecessarily.

    “Phone companies make mistakes with billing all the time, and undoubtedly some of those mistakes are difficult to resolve. Where their customers go wrong, is assuming just because they have spoken to someone on the phone about the bill, they are no longer obliged to comply with its due date.”

    “Consumers also need to ensure when they are disputing a bill, they obtain any resolution in writing before assuming the matter is fixed,” Mr Doessel says.

    Under current legislation, an account which is more than 60 days in arrears can be listed by the creditor as being unpaid on the customer’s credit file. This is regardless of whether the customer believes there are errors in the details of the bill or with the payment amount.

    This comes as the Telecommunications Industry Ombudsman reveals unhappy customers experience repeated and time consuming contact with Telcos before referring their matter to the TIO.

    The TIO released findings from its research paper, Resilient Consumers, on Friday, a survey of more than 500 consumers who lodged complaints between July and August 2010.

    The survey revealed more than half of consumers reported contact with their service providers five or more times before ringing the TIO. It also revealed most consumers reported spending three hours or more unsuccessfully trying to solve their complaint, with one in 5 saying they spent more than nine hours.

    “Consumers who come to the TIO report spending substantial time and effort solving their complaints,” said Ombudsman Simon Cohen. “They report being transferred from department to department, not being transferred to supervisors and, perhaps most frustratingly, getting no solution or a broken promise for their efforts. They are – by any measure – resilient consumers.”

    Mr Doessel says unresolved bill disputes with Telcos, where people end up with defaults on their credit rating would make up about one-third of his clients.

    “Many clients get nowhere trying to dispute the bill with the phone company, and end up copping a default on the chin if they refuse to pay the bill.”

    “Some also believe the matter has been resolved. It is not until they apply for credit in a different circumstance that they realise the Telco has placed a default on their credit record,” he says.

    Defaults remain on a person’s credit file for 5 years. Under current legislation, defaults generally do not get removed from an individual’s credit file, but can be marked as paid if they have been paid.

    “Currently, defaults – even those that are marked as ‘paid’, will prevent you from obtaining a home loan with most lenders. In fact, even having a few too many credit enquiries can be enough for an automatic decline” he says.

    Mr Doessel says many people are unfairly penalised with a bad credit rating when the matter could have been dealt with better by the Telco in the first place.

    “It is astounding the number of Telco credit file listings which contain errors, or have been put there unjustly or unfairly. Under current legislation, people do have the right to have credit file discrepancies resolved. But unfortunately it can be difficult for customers if they are not aware of the appropriate legislation and don’t have time to negotiate with creditors,” he says.

    MyCRA Credit Repairs outlines the process they recommend people should take when disputing a bill in Australia:

    1. Contact the bill provider as soon as you receive the bill and attempt to resolve the discrepancy.
    2. Make a note of the name of each person you speak to. Note any resolutions that were reached and request those be sent to you in writing.
    3. If the credit provider fails to honour the discrepancy, advise them you will be contacting the appropriate ombudsman.
    4. If the due date for the bill approaches and the issue has not been resolved, pay the bill by the due date. You can seek reimbursement at a later date, but this will prevent a default for that bill being listed on your credit file.
    5. Hang in there, play by the rules of the game and you should find your matter sorted out eventually. But at least once the matter is sorted out you aren’t left attempting to remove a default on your credit file as well.

    / ENDS

    Please contact:
    Lisa Brewster – Media Relations   Mob: 0450 554 007 media@mycra.com.au

    Graham Doessel – Director Ph: 3124 7133 http://www.mycra.com.au/

    MyCRA Credit Repairs is Australia’s leader in credit rating repairs. We permanently remove defaults from credit files.

    Links:

    http://www.tio.com.au/media_statements/RELEASES/2011/08_12_Resilient_Consumers_Report.html

    Image: Danilo Rizzuti / FreeDigitalPhotos.net

  • Caught in the credit card trap

    CREDIT cards are easy to come by, but not so easy to make work for you. Consumers are warned being caught out by credit cards could cost you your financial future.

    National credit rating repair company Director GRAHAM DOESSEL urges people to educate themselves on credit cards and their credit rating – to avoid paying the price for years to come.

    “Overdue payments on all bills, including repayments on credit cards are the biggest reason for defaults on your credit rating. These defaults can remain on your credit rating for 5 years, and impact your chances of obtaining further credit in the future” he says.

    According to new figures from the RESERVE BANK OF AUSTRALIA, we are sinking into record levels of credit debt. We now collectively owe close to $49 billion, having been approved for 14.8 million credit cards – more than ever before. More than two-thirds of this whopping bill, or $35.5 billion, is accruing interest every day at an average punitive rate of 19.7 per cent per annum. It means Australians are wasting $7 billion a year in interest on credit cards.

    Mr DOESSEL says more education is needed to ensure people are aware of the implications of both applying for and repaying credit debt.

    “The statistics, and our experience shows Australians are struggling with credit. People need to develop the ethos that credit is not something that is granted, it is something that is earned. What they do right now can affect them for at least five years – good and bad” he says.

    5 WAYS TO MAKE CREDIT CARDS WORK FOR YOU

    1. Set yourself a limit and set your credit limit to this – then you won’t be tempted to overstep what you can afford to repay.

    2. Don’t exceed the credit limit.

    3. Don’t pay just the minimum balance on your card. If possible, pay off the entire balance within the interest free period. If you don’t, you will be charged interest right back to the date of purchase on each item thus forfeiting the interest-free period on those PAST purchases. What’s worse, you must pay the balance off in full before you will get any interest-free period on CURRENT and FUTURE purchases. If you have debt that remains on your card month to month you should look at a card that has a lower interest rate. It may not offer an interest free period, but the lower interest rate should save you more in the long run.

    4. Be aware that interest usually applies immediately on any cash advances from credit cards – whether the withdrawal is within the interest free period or not.

    5. Read the fine print on all credit applications and make sure the deal is right for you. Don’t be lured by promises of rewards or other special deals – concentrate on the fees, interest and repayments.

    Mr DOESSEL advises anyone who has ever been credit active to obtain a copy of their credit file and check for any discrepancies. They can do so for free from the major credit reporting agencies – Veda Advantage, Dun & Bradstreet or Tasmanian Collection Services (if you are Tasmanian). This will be provided within 10 working days – or for a fee it can be provided urgently.

    “It is common for people to not even realise they have a default until they apply for a car or home loan and are declined due to a bad credit rating” he says.

    A credit file is compiled on any person who has ever been ‘credit active’. It lists personal details like name and address, but also any times the person has applied for credit, any defaults (overdue accounts), court judgements, writs and bankruptcies.

    “A clear and healthy credit file really is the ticket to financial freedom. It allows people to do things on a whim – travel, borrow money, buy goods and go into business” Mr DOESSEL says.

    If a credit file check does uncover some nasty surprises – it could be possible to repair the damage done by seeking out a reputable credit file repairer.

    If people have any default, writs or judgements which have errors, have been entered unfairly, unjustly or just shouldn’t be there at all, a credit file repairer can help to remove the offending black mark and clear the file – something which people find very difficult to do on their own.

    “Most times a credit reporting agency will tell clients that defaults are never removed, but can be marked as paid. People are then stuck with a dodgy credit rating for 5 years. But they shouldn’t have to put up with it, as it is possible to have many defaults removed. MyCRA has had up to a 91.7% success rate in removing defaults on files we’ve take on. Usually the turn around is 3-21 days” Mr DOESSEL says.

    (Update: turn around times have increased on some files to 45 – 60 days due mainly to the delays in processing from creditors and ombudsmen services.)

    The MY CRA website has more information for people who need advice on their credit file. There are fact sheets on how to go about removing defaults and more information on credit and its consequences in AUSTRALIA today.

    ###

    Links:

    http://au.pfinance.yahoo.com/credit-cards/features/credit_card_tips/index.html http://www.adelaidenow.com.au/australians-hit-record-credit-card-debt/story-e6frea6u-1225988447714 http://www.adelaidenow.com.au/money/money-matters/tips-for-reducing-credit-card-debt/story-fn3hwldr-1225995954494

    Please contact:

    Graham Doessel             http://www.mycra.com.au/

    Ph: 07 3124 7133

    246 Stafford Road, STAFFORD QLD.

    About MyCRA.com.au MyCRA.com.au is 100% Australian owned and operated and we are based in Stafford, a northern suburb of Brisbane in Qld. My CRA was developed for the sole purpose of giving clients access and ability to work with their Credit File. This is in order to give them the best chance of getting approval, getting a lower interest rate or just to reduce the upfront fees that can be associated with obtaining credit.

    My CRA are able to help you get a copy of your credit file and from that determine how we can help repair a credit file. We have more than 15 years combined experience in working with and helping clients with their credit files. We are the fastest known credit rating repair agency in Australia. We can often remove judgements in as little as 3 days.

    As Director I [fusion_builder_container hundred_percent=”yes” overflow=”visible”][fusion_builder_row][fusion_builder_column type=”1_1″ background_position=”left top” background_color=”” border_size=”” border_color=”” border_style=”solid” spacing=”yes” background_image=”” background_repeat=”no-repeat” padding=”” margin_top=”0px” margin_bottom=”0px” class=”” id=”” animation_type=”” animation_speed=”0.3″ animation_direction=”left” hide_on_mobile=”no” center_content=”no” min_height=”none”][GRAHAM DOESSEL] previously owned a very successful mortgage brokerage company “Mortgage Now” before establishing My CRA because I saw a great need in the industry for credit repair.[/fusion_builder_column][/fusion_builder_row][/fusion_builder_container]

  • Another Optus Default removed

    Today we notified our Client Juan M. of WA that his OPTUS default was removed.

    We began work on the 21st of September and the default was removed today (the 30th of September 2010)  Just 7 working days…

    Case Study.

    Client went overseas for 3 months and was unaware of the outstanding account.  As soon as he was made aware of the bill he paid it immediately.

    The Client provided detailed and accurate accounts of dates he traveled, amounts paid, dates paid, evidence of travel and payments etc to back up his claims.  This greatly assisted in the speedy removal of the default.