Vodacom fined R1 million over “unethical” contract cancellations

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Vodacom fined R1 million over “unethical” contract cancellations
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Several consumers complained that Vodacom denies them the right to cancel their fixed-term contracts for a reasonable fee by imposing a cancellation penalty of 75%.

Vodacom has been found guilty of contravening sections of the Consumer Protection Act with its contract cancellation penalty fee, landing a R1 million administrative fine from the National Consumer Tribunal, eNCAAccording to Thezi Mabuza, acting commissioner at the National Consumer Commission , Vodacom has agreed to repay some of the contract cancellation penalties.

It welcomed the decision to fine Vodacom, and Mabuza hopes the finding will prompt other operators to review their policies. “For now, the only bunch that we know are those consumers that filed complaints, but we don’t know how much that provision benefitted them ,” said Mabuza. They must give the network operator 20 business days’ notice of their intent to cancel, and the network may then charge you a “reasonable” cancellation fee.

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