OFT to investigate 'Free' games.

[DILL3NGER]

Taken from Sky news this morning. If you ask me its about time.

So-called "free" web and app-based games for children are under investigation following concerns that users can run up substantial costs.

The Office of Fair Trading (OFT) said it was investigating whether children were being unfairly pressured or encouraged to pay for content in free games, such as upgraded membership or virtual currency in forms including coins, gems or fruit.

The investigation will look into whether these games include "direct exhortations" to children to do something that will require making a purchase, or to persuade their parents or other adults to make a purchase for them.

It will also consider whether the full cost of some of these games is made clear when they are downloaded or accessed.

The OFT has written to companies who offer such games asking them for information on how they market to children.

It is also asking parents and consumer groups for information about potentially misleading or commercially aggressive practices.

OFT senior director for goods and consumer, Cavendish Elithorn, said: "We are concerned that children and their parents could be subject to unfair pressure to purchase when they are playing games they thought were free, but which can actually run up substantial costs.

"The OFT is not seeking to ban in-game purchases, but the games industry must ensure it is complying with the relevant regulations so that children are protected.

"We are speaking to the industry and will take enforcement action if necessary."

Martin Lewis, the founder of MoneySavingExpert.com, said it was "disappointing" that apps aimed at children have been allowed to charge "ridiculous amounts" for extra features.

He pointed to one game, My Little Pony, which he said charged users £69 for some in-app purchases.

Mr Lewis said: "When games such as My Little Pony, which are obviously targeted at young children, bait kids with £69 purchases of a 'mountain of gems', something is going wrong in the system.

"What's really disappointing is it's been allowed to get this far. Apple especially makes a play of only allowing approved apps in its store.

"So why does it allow games that can be targeted at young children to charge such ridiculous amounts for in-app purchases?

"As always, an OFT investigation, even if it does advise action, will take time. So the most important message meanwhile is to protect yourself."

MoneySavingExpert.com said case studies reported on its forum included a seven-year-old who racked up a £69.99 bill on the College Girl app, a parent who was unaware their five-year-old had spent £65 on in-app purchases and a child who spent £80 on the Tiny Pets app.

Last month, Apple agreed pay out around £66m ($100m) to settle a US lawsuit which claims children were improperly charged while playing iPad and iPhone games.

It was alleged that poor safeguards meant kids were easily able to buy extra features for the free games without their parents' knowledge or permission.

The tech giant agreed to give a £3.30 ($5) credit to an estimated 23 million people who were affected. However, if parents can show they were charged more than £20 ($30) then cash refunds will be offered.

[mickymacirl]

Yep, I was watching the same on the BBC this morning, I don't think this is anything new.

[DILL3NGER]

Mr Lewis said: "When games such as My Little Pony, which are obviously targeted at young children, bait kids with £69 purchases of a 'mountain of gems', something is going wrong in the system.

Just wow! Some people have no shame.

[Morg]

Mr Lewis said: "When games such as My Little Pony, which are obviously targeted at young children, bait kids with £69 purchases of a 'mountain of gems', something is going wrong in the system.

Just wow! Some people have no shame.


Yeah what ever.......good luck with that argument.


Seems more of an issue with the parents than the companies....besides why shouldn't one have the "option" to buy a "mountain of gems" if one wishes? Besides...a "kid" doesn't have a credit card, so a "kid" isn't pressured or baited to buy anything, nor are they pressured or baited to buy toys from commercials from the TV.

This is not a Joe Camel issue......

How does a child without a credit card rack up a lot of money in charges from a game? His/her parents allow it, that's how. So what's the problem here, or am I missing something obvious? Do you have to register a credit card to open an iTunes account, and/or not able to "lock" it from making purchases? If I don't want any purchases made from my Google Play account, there is an option for that.

I guess these same kids are racking up lots of hotel charges from porno movies and room service when they go on vacation too?

[Dutchie]

I personally blame the unicorn guy who has been buying all the gems in the My Little Pony game giving all kids a bad name...

http://i46.tinypic.com/2nrdkrt.jpg

[Dutchie]

Yeah what ever.......good luck with that argument.


Seems more of an issue with the parents than the companies....besides why shouldn't one have the "option" to buy a "mountain of gems" if one wishes? Besides...a "kid" doesn't have a credit card, so a "kid" isn't pressured or baited to buy anything, nor are they pressured or baited to buy toys from commercials from the TV.

This is not a Joe Camel issue......

How does a child without a credit card rack up a lot of money in charges from a game? His/her parents allow it, that's how. So what's the problem here, or am I missing something obvious? Do you have to register a credit card to open an iTunes account, and/or not able to "lock" it from making purchases? If I don't want any purchases made from my Google Play account, there is an option for that.

I guess these same kids are racking up lots of hotel charges from porno movies and room service when they go on vacation too?

I also blame dumb parents who don't know how to lock in-app purchases.

When the credit card bill for MW comes in and my wife opens up the letter... I will point the finger of blame at my children :D

[olka]

Anyone willing to pay $50+ for a single unit in an app needs to reevaluate their value of money.

[Philsbase]

It is about time this sort of thing was regulated.... I mean what happened to the £30 game you would buy from HMV or Game and spend months playing it without any further cost? App's like this tap into your addictive personality and exploit ..................

[Philsbase]

I think the older IOS operating systems did not ask for a password and the new IOS systems leave your account open for about 15 minutes from the first purchase or sign in...

You must have a credit card registered to itunes also even for free downloads.

Itunes asks you for your password to download a free app... You are then not required to enter that password again to authorise purchases or downloads for about 15 minutes





Yeah what ever.......good luck with that argument.


Seems more of an issue with the parents than the companies....besides why shouldn't one have the "option" to buy a "mountain of gems" if one wishes? Besides...a "kid" doesn't have a credit card, so a "kid" isn't pressured or baited to buy anything, nor are they pressured or baited to buy toys from commercials from the TV.

This is not a Joe Camel issue......

How does a child without a credit card rack up a lot of money in charges from a game? His/her parents allow it, that's how. So what's the problem here, or am I missing something obvious? Do you have to register a credit card to open an iTunes account, and/or not able to "lock" it from making purchases? If I don't want any purchases made from my Google Play account, there is an option for that.

I guess these same kids are racking up lots of hotel charges from porno movies and room service when they go on vacation too?

[Fl@sh]

This is old news. The "My Little Pony" case caused them to lower the price for their currency to my knowledge. I think they capped it at 20€ for the largest amount.

[Dutchie]

This is old news. The "My Little Pony" case caused them to lower the price for their currency to my knowledge. I think they capped it at 20€ for the largest amount.Come on Fl@sh, own up... We know you love it really! ;)

[Alo]

I think the older IOS operating systems did not ask for a password and the new IOS systems leave your account open for about 15 minutes from the first purchase or sign in...

You must have a credit card registered to itunes also even for free downloads.

Itunes asks you for your password to download a free app... You are then not required to enter that password again to authorise purchases or downloads for about 15 minutes

No credit card needed. I dont even have credit card tied to appstore, so it is not required. On google play I use it (and its not mandatory there either), on appstore I can get away with just the free stuff, nothing needed to buy yet. And if really needed, then U can always just buy the gift card codes, so again, no credit card needed even then :p

[Marius123]

It is about time this sort of thing was regulated.... I mean what happened to the £30 game you would buy from HMV or Game and spend months playing it without any further cost? App's like this tap into your addictive personality and exploit ..................

I really hope you’re joking. If not, this is one of the dumbest things I’ve ever heard. Essentially, “these games are so good at giving me what I want that they must be stopped!”. If you really feel you’ve been duped into becoming “addicted” and that you are now being “exploited”, here’s some advice: pick up your ipad, throw it in the trash, and stop encouraging governments to waste taxpayer dollars interfering with other people’s freedom to contract on account of your dumb ass not having any self-control.

As for the kids issue… I think there is a legitimate gripe about companies marketing adult products to children (i.e. the aforementioned Joe Camel scenario), but that’s not what we’re talking about here. These games are for all ages (and not just kids, a lot of adults play these games and they’re the ones spending the most money). Some parents have basically handed their credit cards to their children and then let them loose in the mall. When the kids buy a whole bunch of stuff the parents start whining. Tell me, whose fault is this other than the parents?!

It reminds me of a situation over here in the States. A mom in San Francisco successfully sued McDonald’s for putting toys in Happy Meals saying it was making it too hard for her as a parent to have to tell her kids “no”. This is a parenting fail. In response, San Francisco banned toys in happy meals. I feel bad for all the kids who now can’t have toys.

[groovdog]

Its easier than you think. My 6 yr has bought stuff twice now. They have my phone while I am out of the country. So far about $50USD. First time I gave him a pass. This time he is paying up from gift money etc. Valuable life lesson that nothing is free.....

[Marius123]

Its easier than you think. My 6 yr has bought stuff twice now. They have my phone while I am out of the country. So far about $50USD. First time I gave him a pass. This time he is paying up from gift money etc. Valuable life lesson that nothing is free.....

It sounds like you are taking the right approach in trying to teach your 6-yr old. Still, there are other things you could have done to prevent this (i.e. not leaving him your phone, password protecting it, etc.). In other words, you are not helpless. If you do choose to give your kid access to your phone, you need to teach him to be responsible with it, which it sounds like is what you’re trying to do.

My complaint is with those whining about being “exploited” and cheerleading government regulators to waste tax money investigating how they can interfere with other people’s freedom of contract.

[D3V]

I personally purchased my kids their own cheep knockoff pads from China ($150ea). I only have the Wifi password and I'll download games for them and then disconnect the Wifi. Kids shouldn't be on the internet without supervision imo.

As for this article, it clearly doesn't relate to Gree since they target a mature crowd? Am I correct in assuming this?

[Pick Me]

Does anyone know the attack and defense stats for my little pony? I might need to get me one of those

[Orbwar]

The problem is that you pay €100 for 2-3 virtual, digital units....
Not only for kids, this game is way too expensive.
Free to Pay... Way too much

[I am a cow]

That is just sad exploiting innocent young children for money $$$ :( what the f***

[sparckle]

Preying on addictive personalities is nothing new. Exploiting the weaknesses of people is a valuable tactic that works in all walks of life, and is not exclusive to this stupid game.

[Bravo Zulu]

I think the older IOS operating systems did not ask for a password and the new IOS systems leave your account open for about 15 minutes from the first purchase or sign in...

You must have a credit card registered to itunes also even for free downloads.

Itunes asks you for your password to download a free app... You are then not required to enter that password again to authorise purchases or downloads for about 15 minutes


You can set it up to require a password after each purchase- without any window. I set up my son's that way. Even if I just downloaded a game for him, I have to put the password in again no matter the time.