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Apple ordered to refund parents for kids' in-app purchases

2014-01-16 08:53:00| Telecompaper Headlines

(Telecompaper) Apple has agreed to refund at least USD 32.5 million to customers to settle a Federal Trade Commission complaint that the company billed consumers for app purchases by children without their parents' consent. Under the terms of the settlement with the FTC, Apple also will be required to change its billing practices to ensure that it has obtained express, informed consent from consumers before charging them for items sold in mobile apps. Apple was found to have violated the FTC Act by failing to tell parents that by entering a password they were approving a single in-app purchase and also 15 minutes of additional unlimited purchases their children could make without further action by the parent. In addition, Apple has often presented a screen with a prompt for a parent to enter his or her password in a kids' app, without explaining to the account holder that password entry would finalize any purchase. According to the FTC, Apple has received "at least tens of thousands of complaints" about unauthorized in-app purchases by children. The company must make the changes to its billing practices by 31 March and will have 12 months to inform and refund customers affected by the previous system.

Tags: kids parents apple ordered

 

Apple to Refund $32.5M in FTC In-App Purchase Settlement

2014-01-15 22:33:25| PC Magazine Cell Phones Product Guide

Apple has agreed to refund at least $32.5 million to customers in a settlement with the Federal Trade Commission over unauthorized in-app purchases made by children, the agency announced Wednesday.

Tags: purchase apple refund settlement

 
 

Apple ordered to refund parents for kids' in-app purchases

2014-01-15 19:30:00| Telecompaper Headlines

(Telecompaper) Apple has agreed to refund at least USD 32.5 million to customers to settle a Federal Trade Commission complaint that the company billed consumers for app purchases by children without their parents' consent. Under the terms of the settlement with the FTC, Apple also will be required to change its billing practices to ensure that it has obtained express, informed consent from consumers before charging them for items sold in mobile apps. Apple was found to have violated the FTC Act by failing to tell parents that by entering a password they were approving a single in-app purchase and also 15 minutes of additional unlimited purchases their children could make without further action by the parent. In addition, Apple has often presented a screen with a prompt for a parent to enter his or her password in a kids' app, without explaining to the account holder that password entry would finalize any purchase. According to the FTC, Apple has received "at least tens of thousands of complaints" about unauthorized in-app purchases by children. The company must make the changes to its billing practices by 31 March and will have 12 months to inform and refund customers affected by the previous system.

Tags: kids parents apple ordered

 

Apple to refund $32.5m to parents

2014-01-15 19:18:42| BBC News | Business | UK Edition

Apple will pay at least $32.5m (19.9m) in refunds to parents whose children made in-app purchases without their consent.

Tags: parents apple refund 325m

 

NYC Thieves Still on the Hunt for Apple Gadgets

2014-01-14 23:33:56| PC Magazine Cell Phones Product Guide

It might be tempting to show off your new iPhone or iPad while out in public, but you might want to think twice when you're in New York City.

Tags: apple gadgets hunt nyc

 

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