TELCOS must provide financial hardship assistance to customers experiencing difficulties paying their bills, including prioritising keeping customers connected following a Federal Government directive.
It is a directive which will come into force at the end of March.
“The new Industry Standard on Financial Hardship will help protect telco consumers struggling to pay their phone and internet bills, and also ensure staff are appropriately trained and systems are in place to proactively identify consumers who may be experiencing financial hardship,” Federal Member for Blair Shayne Neumann said this week.
The new rules will mean that all telecommunications or communication service providers (telcos) must do all they can to avoid disconnecting people and small business struggling with cost-of-living pressures.
The safeguards are set to cover mobile services as well as internet and voice services used by individuals and small business.
The new industry standard replaces the rules on financial hardship that are currently in the Telecommunications Consumer Protections (TCP) Code, and provide the Australian Communications and Media Authority with greater flexibility and oversight to ensure that telcos are assisting customers struggling with their bills.
“In 2024, staying connected is an essential part of everyday life.
“It’s how locals keep in touch with loved ones, run businesses, and engage with government.
“That’s why telcos need to do everything they can to support customers dealing with rising cost of living pressures and experiencing difficulties paying their bills.
“The new mandatory industry standard will mean telcos need to better support customers doing it tough, including through payment plans and identifying customers at risk of financial hardship.
“Telcos will now need to prioritise keeping customers connected, rather than cutting them off.”
