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Department of Justice and Community Safety

INFORMATION FOR CONSUMERS ABOUT
MOBILE PHONES

mobile phone

There is so much information about buying a mobile phone that choosing the right product or service can be difficult. The Australian Communications Authority has prepared the Mobile Phone Tool Kit to help you in making this decision.

The tool kit has been used to prepare the following summary of information.

 

MOBILE NEEDS CHECKLIST

Some things to consider when you buy a mobile service are:

  • Do you need a new handset?
  • Do you need coverage in the city and the country?
  • How many calls will you make per day and how long will they last?
  • When will you make most of your calls - business hours or after hours?
  • Will you use the phone in a car?
  • Will you use a hearing aid with your phone?
  • Do you want to be able to connect to the Internet or a laptop with your mobile phone?
  • Do you want to use your mobile phone while travelling overseas?
  • Do you want a paging service, voice message service and SMS with your phone?

If you answer these questions first you will be better prepared to tell a mobile phone company what services you require.

CONTRACTS

When you buy a mobile phone service you may have to sign a contract before the service is connected. Some contracts also include the price of a handset.

It is important to ask these questions before signing a contract:

  • How much will this contract cost overall?
  • How long is the contract period?
  • What will happen if you want to change your rate plan?
  • Are there any fees or charges for cancelling the contract early?

PREPAID SERVICES

One alternative to signing a contract is to buy a pre-paid mobile phone service. The advantage of this system is that it allows you to keep track of your spending because the service must be recharged by paying more money when it runs out. With a prepaid mobile phone service you are allocated a phone number to use. Some mobile phone companies sell handsets with prepaid services.

Note: Call charges using prepaid services may be higher than post paid services. Inquire about this with your company.

RATE PLANS

When you buy a service from a mobile phone company you will be offered rate plans to choose from. These rate plans determine how much you will pay for each call. As a general rule, the lower the access fee you pay per month, the higher amount you will be charged for each call. You may be able to change your rate plan later, but you should find out whether this is possible from the phone company. On the other hand, some companies offer services without charging access fees - they only charge for the time you use. This may be an attractive option for you.

FLAGFALL

A flagfall is an amount charged for initiating a call, on top of the charge for call time. For example, you may only speak for 12 seconds but will be charged for 12 seconds plus a flagfall. Ask your mobile phone company whether they charge a flagfall per call.

CALL COSTS

Some companies charge for calls in blocks of 30 seconds. This means that if you make a call for 20 seconds you will be charged for 30 seconds. Other companies charge for calls by the second. Some companies will give you the option of whether you are charged in blocks or by the second. Ask your company which way they charge - per second, in blocks or both.

HANDSETS

Handsets vary in size and features. Buy the one that is best for you, rather than the one that looks the best. Work out how much you are likely to use the phone and what features you need. If you are only using the phone occasionally, a basic handset may be all you need.

SECURITY

There are several things you can do to make your phone more secure:

  • enable the PIN security feature on your SIM and mobile phone to make it more difficult for someone to use the phone without your permission
  • keep the handset secure at all times to minimise theft or damage
  • record the international mobile electronic identity (IMEI) number or electronic serial number of your phone. If your phone is lost or stolen contact your mobile phone company immediately to report it and provide your IMEI number.

SAFEGUARDS FOR CONSUMERS

Signing a contract for a mobile service can be an expensive decision. Safeguards are in place to protect you while using telecommunications products and services.

Legislation
Both the Telecommunications Act 1997 and the Trade Practices Act 1974 provide safeguards to ensure consumers are not disadvantaged. (link to legislation)

Codes of Practice
The Australian Communications Industry Forum (ACIF) has produced several codes of practice for the industry to follow on consumer issues. These include codes on billing, price terms and conditions, complaint handling, mobile number portability and credit management.

Telecommunications Industry Ombudsman
The Telecommunications Industry Ombudsman is an office of last resort to be involved once all avenues for dispute resolution with your provider have been explored. It was established to provide independent, just, informal and speedy resolution of telephone complaints and disputes.

Fair Trading acknowledges the above information is replicated from My Mobile Phone Tool Kit produced by the Australian Communications Authority.