Bill imposes expiration period on unused prepaid call and text cards

A lawmaker has filed a bill imposing expiration period on unused prepaid call and text
cards and forfeiture of load credits.
Rep. Mark Villar (Lone District, Las i!as "it#$ said %ouse &ill '()* seeks to protect
consumers against decepti+e, unfair and unconscionable sales act and practices
telecommunication companies.
Villar said consumers are complaining that the# do not get the full +alue of what the# paid
in terms ser+ices from telecommunication companies.
,-he# cited the +anishing loads and the setting of the expiration dates on the prepaid
load,. Villar said.
"iting the */01 report of the 2ational -elecommunications "ommission (2-"$, Villar
said of the 0// million cellular phones in the countr#, )/ percent or about )/ million 3ilipinos are
using prepaid cards.
Villar said the &usiness Monitor 4nternational (&M4$ also reported that the number of
mobile subscribers in the hilippines is expected to reach 00( million b# */05.
,-he pre6paid subscription was popular and used b# man# 3ilipinos due to the fact that
the# li+e da#6to6da# with 7ust the mone# in their pocket,. Villar said.
Villar said the disappearance of load credit is a form of ,theft. as the putting an expir# on
the prepaid load was wrong since it was alread# bought and paid for in cash.
,-he measure is to ensure that e+er# peso spent are sa+ed and usable until the da# the
credits are full# consumed,. Villar said.
8nder the measure, imposition of an expiration period on the +alidit# of unused prepaid
call and text cards, forfeiture of load credits stored on an acti+e prepaid phone account +ia
prepaid call and text card or electronic transfer, and refusal to gi+e a refund to an# prepaid
subscriber whose load credits were forfeited without an# +alid cause are declared to be unlawful.
Violators face a fine of 0 million and a 7ail, term of not more than six #ears, or both upon
the discretion of the court.
4f the +iolation was committed b# or in the interest of a 7uridical person dul# licensed to
engage in business in the hilippines, shall be penali9ed with ://,/// for the first offense,
suspension of license to engage in business for a period of thirt# da#s for the second offense, and
immediate re+ocation of license to engage in business for the third offense. (1/$ jc
NR # 3567B
AUG 23, 2014