Media Release
Issued 27 March 2009/no 116
Raise your IQ by being an informed consumer
Consumers who respond to online IQ tests and love compatibility tests should be sure they have read the fine print.
The Commerce Commission has received a number of complaints about text subscription services that originate from such
websites.
The usual scenario is that the consumer answers an online quiz and is requested to provide their cellphone number to
receive the quiz results. They are then given a PIN number to enter on the website and results are sent to their mobile
phone. The consumer is then deemed to have subscribed to a text subscription service and will receive between three and
five texts a week at between $3 and $5 per text.
Commerce Commission Director of Fair Trading, Adrian Sparrow said, “Many complainants felt misled about this continuing
text subscription. However, if terms and conditions are clearly displayed on the website, as is the case on the sites
the Commission has examined, it is really a matter for the consumer to make an informed decision.”
“If you want to check your IQ, the first test you should pass is knowing to read the terms and conditions and fully
understand what you are entering into,” said Mr Sparrow.
The Commission will not be taking any action at this time against any of the websites about which it has received
complaints to date. However, if further complaints come to light indicating
unsolicited subscription or failure to comply with the terms and conditions of the offer the Commission will reconsider
the need for further investigation.
Background
The Fair Trading Act. Court penalties for breaching the Fair Trading Act can include fines of up to $200,000 for a
company and $60,000 for an individual. Only the courts can decide if a representation has breached the Act.
ENDS