General Condition 23

1
General Condition 23
2
Objective

• Tell you about General Condition 23
• Tell you about what will be expected of you as a
  result of this
• Tell you about 3s new Minimum Business Standards
  on Mis-selling Prevention that all 3 sellers must
  comply with in order to be, or continue to be,
  authorised to promote 3.
• Tell you what you need to do next.
• PLEASE NOTE Although this document will give you
  what you need to be compliant with GC 23, you are
  still required to read the General Condition
  document to ensure compliance.

3
General Condition 23

• The new GC 23 from Ofcom aims to prevent
  mis-selling of mobile communications services.
• It comes into effect on 16 September 2009 and
  compliance with GC 23 is MANDATORY.
• 3 will be monitoring its 3Sellers for compliance
  with GC 23 (in addition to our new Minimum
  Business Standards on Mis-selling Prevention).
• Ofcom will also be on the look out for anyone
  failing to adhere to GC23.
• The General Condition and OFCOM Guidance Notes
  are attached here

Add a footer
4
In a nutshell....GC 23

• Applies to 3Sellers who promote our services to
  consumers and small business customers (i.e
  businesses with up to 10 employees)
• Prohibits mis-selling engaging in dishonest,
  misleading, deceptive or aggressive conduct.
• Prohibits contacting customers in an
  inappropriate manner.
• Requires you to create and keep records about the
  sale of 3s services for a period of not less
  than six (6) months.
• OR, if a sales incentive is offered which doesnt
  immediately benefit the customer at the point of
  sale (such as cashback), you must keep the sales
  records for a period of not less than 90 days
  after the date by which the sales incentives has
  to be fully redeemed this cannot be less than
  six (6) months in any event).

Cont
Add a footer
5
GC 23 The Detail

• Sales Conduct
• Bar on outbound calls between before 8am and
  after 8pm, unless customer specifically requests
  call outside of these hours
• Documented evidence of sales staff being trained
  advised on code
• Cover prohibited activities in training manual.
  Recommend training highlights care required when
  selling to older or disabled customers.
• Maintain records on disciplinary actions taken in
  respect of non compliance by staff with code
  requirements.

Cont
Add a footer
6
GC 23 The Detail

• Provision of Information at Point of sale
• Ensure script/checklist covers ID verification,
  age, address etc
• Provide spoken summary of key terms including
  name address of 3, contact details, tariff
  contract length, details on ETF, payment terms,
  standard call charges (on and off net), charges
  for voicemail access, SMS charges,
  termination/cancellation rights process,
  commencement date for service.
• Spoken summary must be given prior to conclusion
  of sale
• Printed summary of key terms must be sent to
  customer following conclusion of sale.
  (Recommend within 3 days)

Cont
Add a footer
7
GC 23 The Detail

• Storage of records
• Store record of sale for six months
• Where a voice recording is made for training or
  other purposes this must also be maintained for
  six months (or for duration of redemption period
  for sales incentive see below)
• Record must detail any sales incentive or
  discount agreed as part of sale
• If sales incentive has redemption beyond month
  six of contract then record must be maintained
  until 90 days after redemption is executed
• Record must contain date, that it was in a retail
  store, code/name of store
• Record should confirm that customer agreed to
  terms and conditions was provided with summary

Cont
Add a footer
8
GC 23 The Detail

• Processes
• Documented evidence of retail staff being trained
  on advised on code

Cont
Add a footer
9
Minimum Business Standards

• Its important that you read through 3s new
  Minimum Business Standards on Mis-selling
  Prevention.
• These set the standard of best practice that we
  require all of our 3Sellers to comply with in
  order to permit them to continue to promote 3s
  services to our potential customers.
• These standards do contain best practice
  mandatory requirements for our 3Sellers when they
  are promoting our products and services, some of
  which go beyond, or are more detailed than, the
  new GC 23.
• ATTACHED HERE (Due to be available 31st July
  2009)

Add a footer
10
What you need to do now

• Read both the General Condition and the new
  Minimum Business Standards on Mis-selling
  Prevention.
• Make sure you understand them - if youve got any
  questions about them, please contact the 3Seller
  Helpline or your Account Manager.
• Run a check against GC23, the new Minimum
  Business Standards on Mis-selling Prevention (and
  our existing Minimum Business Standards on
  Telesales and Cashback) and make sure that all of
  your policies, processes, materials and sales and
  record retention practices meet your contractual
  obligations to 3.
• Confirm that you have read, understood and will
  be compliant with GC23 and our new Minimum
  Business Standards on Mis-selling Prevention by
  1st September 2009 by calling the 3Seller
  Helpline on 0845 600 9333 or emailing us at
  3sellers_at_three.co.uk, including your name,
  company name, 3 dealer code and contact details.

Add a footer
11
Any 3Sellers who dont comply with GC 23 and our
new Minimum Business Standards on Mis-selling
Prevention will be suspended from trading with 3
until compliance is achieved.
Add a footer
12
Thanks thats it.