Sometimes things don’t quite work out with you or your telco service and it’s time to part ways. Maybe you’re moving out of the country or you are relocating somewhere else in Malaysia where another telco service offers better coverage. Perhaps you hopped to another service provider seeking a better deal. All well and good.
Much like life, parting ways from your telco service has to be done in the right way and following the right steps. It isn’t as simple as walking out the door as a telco subscription is a binding legal agreement much like a bank loan and like all agreements, has to be ended in the right way for both parties – both you and the service provider that you are leaving. Failure to do so in the right way may end up affecting your credit rating and your chances of signing up for another telco subscriber service or getting a loan from a financial institution.
| SO, WHAT’S CTOS AND HOW DOES IT AFFECT MY CREDIT RATING? |
The Credit Tip Off Service (CTOS) is a privately-run organisation that prepares credit reports for use by commercial organisations. It is also used in addition to the Central Credit Reference Information System (CCRIS), a unique system created by Bank Negara. Both CTOS and CCRIS are used to provide an overall picture of the credit worthiness of a borrower.
If a subscriber does not pay their bill in a satisfactory faction, they may potentially end up being added to the CTOS database as a payment defaulter. This affects the credit worthiness of a subscriber when they are applying for loans and potentially affects their ability to sign up for other smartphone contracts in the future as their track record already shows that they are not timely or able to service their financial obligations. In extreme cases, users can be blacklisted and barred from signing up to a service provider.
According to the Communications & Multimedia Consumer Forum of Malaysia (CFM), there were as many as 560 cases from January 2014 to 2017 where consumers were added to the CTOS list because of the following reasons.
| FACTORS THAT CAN GET YOU LISTED ON CTOS |
|
Dissatisfaction with billing |
Misleading information by dealers |
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Complainant unable to use service |
Consumer behaviour |
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Unresolved disputed complaints |
Service termination failed |
|
Fraud registration |
Poor billing system |
1. Each telco service provider has slightly different procedures for terminating a service account. Visit their website and familiarise yourself with them or call their service hotline for clarification. Also be aware of your billing cycles in terms of where they start and end and if you have incurred any unusual charges out of the ordinary. Note also that there are usually penalty fees involved if you break a contract early and you will have to pay for them even if you are unhappy with their services. Also note that prepaid accounts cannot transfer their credits over to the new provider.
2. If you have terminated your services with your service provider, ensure that you get a final bill statement to determine if there are any outstanding charges from them and what they are. To avoid complications with any future service provider, you need to pay these outstanding charges in full. If the charges are prorated, consumers are responsible to pay for the outstanding amount. If this amount is not paid in full and on time, consumers are liable to be added to the CTOS list.
3. Consumers must ensure that they receive a letter stating termination of service and that all dues have been paid in full from the service provider in addition to their last bill statement. Both are crucial pieces of evidence if there are any bill disputes in future so keep them in a safe place.
My Mobile Rights (MMR) is an official app from CFM and is available on Google Play Store and Apple App store.
4. If you have any disputes or complications, please contact your respective service provider first. Should the outcome be unsatisfactory, do contact CFM via email at [email protected], lodge a complaint at the aduan.skmm.gov.my portal or via the MY Mobile Rights app.
Source : SHOUT H2, 2018
