"Service Use Restricted After Terms Change"... Consumer Complaints About OTT Services Surge Last Month

Consultations Related to OTT Services Up 315.6% from Previous Month
"Revised Terms Applied to Existing Users, Causing Disadvantages"
Consultations on Notebook Computers Also Rise by 97.6%

#Mr. A purchased an annual subscription to an OTT service for approximately 110,000 won on March 6 and used it with his family. However, starting from April 2, he received a notice that viewing would be restricted if users were not from the same household. When the new policy was applied to existing users as well, making it impossible to use the service, he filed a consumer complaint, claiming he suffered a disadvantage due to a change in the terms during the contract period.

The Korea Consumer Agency announced on April 22 that consumer consultations related to "OTT services" surged last month due to usage restrictions following changes in the annual subscription terms.

According to an analysis by the Korea Consumer Agency and the Korea Consumer Organizations Council of consumer consultations received at the 1372 Consumer Counseling Center, consultations related to "OTT services" in March increased by 315.6% compared to the previous month. This was followed by consultations related to "notebook computers," which rose by 97.6% from the previous month, and "mobile game services," which increased by 40.6%. Compared to the same month last year, the increase rates were also high for "OTT services" (695.7%) and "notebook computers" (151.1%), followed by "wedding preparation agency services" (106.1%).

For "OTT services," consumer complaints increased as usage was restricted due to changes in the terms during the annual subscription period. For "notebook computers," many consumer consultations were due to sellers becoming unreachable after consumers purchased laptops from overseas online shopping malls. For "mobile game services," many consultations arose because consumers were unable to use paid items due to errors such as being unable to access the game after its launch. For "wedding preparation agency services," most consultations were about excessive penalties being demanded upon contract cancellation.

Last month, there were 50,614 consumer consultations, an increase of 0.1% from the previous month and 24.4% from the same month last year. The most common items for consumer consultations were "gyms" (1,228 cases), "air passenger transport services" (985 cases), and "clothing and textiles" (919 cases). For gyms and air passenger transport services, most consultations were about excessive penalties being demanded upon mid-term cancellation or termination. For clothing and textiles, many consultations were related to withdrawal of subscription, such as sellers refusing refunds or demanding excessive return fees.

If consumer damage occurs, consumers can apply for counseling through the 1372 Consumer Counseling Center (dial 1372, toll-free) or Consumer24, with transaction records and supporting documents prepared.