MTN has introduced a token-based billing system to tackle what it describes as “simmering distress” experienced by customers who are “unwittingly billed for content services they have not subscribed for by unscrupulous wireless application service providers (Wasps)”.
The move comes after Vodacom and, more recentely, Cell C implemented a double opt-in system for all services offered by Wasps.
MTN says that Wasps previously used event-based billing as a mechanism to bill the operator’s customers for purchases or subscription services without getting their express consent.
“This normally occurred when customers unknowingly clicked on a link or URL, which automatically triggered an unsolicited subscription,” the company says.
Token-based billing will “shelter our customers from unscrupulous service providers”, says MTN South Africa chief enterprise business officer Kanagaratnam Lambotharan.
“We are confident that this service will help to clamp down on this malpractice and will give our valued customers the peace of mind of knowing that the integrity of their accounts is safeguarded.”
Through a self-service option, making use of the new USSD string *141*5# to view, activate or cancel subscriptions, MTN customers will be able to “ward off unwanted Wasp subscriptions”.
The new token-based billing system has additional controls to protect customers and systems from abuse, the operator says. “This system will generate a token for customers to opt in and approve their purchase or subscription to any Wasp service before being billed.”
MTN customers will now have access to the following information before approving a purchase or subscription: the name of the Wasp providing the service; the service or product being purchased; the frequency of the service; the amount to be charged per frequency once agreeing to purchase or subscribe; and disclaimer and/or terms and conditions being agreed to in terms of authorising the purchase or subscription.
Wireless Application Service Providers’ Association (Waspa) chairman Casper De Villiers says a double opt-in process has always been part of the Waspa code of conduct, but up until now only Vodacom has supported the double opt-in requirement.
“We’re delighted that MTN and Cell C have also put in place a double opt-in process to support the process. This puts the control around the use of Wasp services firmly in the hands of the consumer,” De Villiers says.
“Vodacom launched its double opt-in system 18 months ago and it has had a positive effect on the industry, allowing consumers to independently confirm their use of Wasp services. We believe the introduction of similar systems by the other major network operators will have the same positive impact on the industry as when Vodacom’s system went live.” — (c) 2013 NewsCentral Media
