Adaptive Affinity offers to its customers a subscription service which entitles them to various cashback and voucher offers. Many customers have been surprised to find that they have been signed up to £30 a month subscription service as this was not made clear to them when they were joining the company. A recent investigation by the Office of Fair Trading has said the customers with a valid complaint will be entitled to a refund from the company. The OFT have said that the company was in breach of unfair trading regulations and various other statutory consumer laws.
The head of the OFT for goods and consumers is Cavendish Elithorn who has commented, “This company were engaging in misleading practices and they were essentially leaving shoppers out of pocket.” The OFT had previously received thousands of complaints about the people who signed up to the company and were now being charged for something they did not ask for.
Essentially people were being duped into signing a recurring contract when they thought they were making a one-off payment. The people who did not cancel the ‘trial’ they were continuously charged directly from their bank accounts. The OFT commented, “Many customers were misled into providing their credit card information as a way to check their identity or in order to do a credit check on and were unaware that their financial details would be used for making payments.”
The OFT is now forcing the company to stop engaging in these unfair practices and make it clear exactly what people are signing up to on their website. If people think they have a valid complaint against the company they are being encouraged to come forward to the OFT where they might be entitled to a refund from the company. The OFT has will be making sure the company pays out the refunds.