Taking advantage of disadvantage

The Footscray Legal Community Centre (FCLC) together with ACCAN has released a report that documents the experiences of 16 new Australian migrants and finds that this already disadvantaged and highly vulnerable group are not being well served or protected in the communciations market. The report, Taking Advantage of Disadvantage, details cases where Burmese and African migrants, who do not speak English well and are illiterate, were signed up in store or by doorknockers to expensive phone and internet plans they do not understand and cannot afford to pay. In many cases there were limited considerations of the language and cultural barriers facing refugee and migrant consumers. Complexity of contracts, bundled deals, capped plans, and confusing sales practices have led many of the consumers described in the case studies into agreements where they are obligated to pay more than expected. Additionally, as a result of issues in customer service, billing, and complaint resolution processes, these consumers have then been exposed to bill shock, debt, and stress while they try to interpret and resolve charges. Refugee, migrant and consumers on low incomes are especially vulnerable to hardship and a small unexpected charge can have serious consequences. The report reveals areas where the current consumer protection framework is failing to protect these and other migrant groups, and suggests that several complementary solutions might be investigated, including better consumer protections and standards; improvements to customer service and approaches to servicing vulnerable consumers; consumer education and empowerment; and making the Telecommunications Industry Ombudsman’s scheme more user friendly for vulnerable consumers