Prepay power shock: Hundreds charged for phantom services

In a startling revelation, PrepayPower, a leading prepay energy and broadband provider in Ireland, has been ordered to refund over €272,000 to customers who were billed for services they never requested. The company, operated by Yuno Ltd, is also facing a €9,300 penalty from the communications regulator ComReg.

According to Irish Examiner, the investigation by ComReg uncovered a web of irregularities affecting 621 households. These customers found themselves paying for phantom services, with PrepayPower unable to produce any record of service requests.

ComReg’s probe didn’t stop there. It unearthed a series of compliance failures in PrepayPower’s broadband services, raising serious questions about the company’s business practices. The regulator expressed concerns over the promotion of PrepayPower’s prepay broadband services, suggesting that the emphasis on daily charges and cost control might have misled customers about minimum contract terms and early cancellation fees.

Further irregularities came to light regarding contractual information. PrepayPower failed to provide the minimum contract duration on a durable medium, neglected to make available the model cancellation form for cooling-off rights, and in some cases, didn’t furnish customers with copies of their terms and conditions.

In response to these findings, PrepayPower has committed to rectifying its practices. The company will now facilitate customers looking to switch service providers by making the Universal Account Number (UAN) more readily available.

ComReg has vowed to maintain vigilance, promising continued monitoring of PrepayPower and other electronic communications service providers to ensure compliance with relevant legislation.

This case serves as a stark reminder for consumers to scrutinize their bills and service agreements carefully. As the dust settles on this prepay power play, it’s clear that when it comes to utility services, what you don’t know can indeed cost you.

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