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IDA imposes new rules to cap mobile, broadband contracts to 24 months

16 Dec 2009

Singapore’s telecoms regulator the Infocomm Development Authority (IDA) is implementing new rules governing the maximum length of time any operator can lock a customer into a contract for fixed, mobile or broadband services. From March 2010, any consumer wishing to renew or sign up to a new contract for any of the above will not be locked into the contract for more than 24 months. Also from March next year, anyone signing a contract term longer than three months

and who end their contract before the end of the contract period will no longer have to pay a fixed early termination charge. Instead the IDA is putting in place new rules under which the consumer will see these charges decreased on a month-by-month basis as they serve out their contract. The IDA hopes the new rules will ensure that industry practices in the city-state are more reasonable and fair, and have been prompted by users’ concerns that contract lengths risk becoming too long and early termination charges excessively high.


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