Regulator fines company whose 'Dial4Fun' competition service misled consumers
11 March 2020
Company agreed it committed four regulatory breaches.
The Phone-paid Services Authority (PSA) has imposed a number of sanctions on Interact2media Pte Ltd, which ran a misleading competition service called Dial4Fun.
The service prompted consumers to call a phone number to claim a prize they’d entered to win online, for example an iPhone X. Consumers who called the number were invited to answer multiple choice quiz questions using their phone’s keypad. Calling this number cost £1.10 per minute, plus network access charges, capped at £30 – but people weren’t clearly told this.
Interact2media agreed it had committed four breaches of the PSA’s rules. These breaches were around transparency, pricing and being misleading, and made the company £5,000 in non-compliant revenue.
The PSA and Interact2media agreed a number of sanctions by consent order, including a fine of £50,000, an order to refund all consumers who claim a refund and an order to remedy the breaches. The PSA has also barred Interact2media from the service until satisfactory compliance advice has been sought and implemented.
Read the consent order and case report here.