Security companies going out of their lane in the EU
Verisure, a provider of alarm services, has adjusted its sales practices and contract terms following consumer complaints filed with the Dutch Authority for Consumers and Markets (ACM). The regulator launched an investigation after numerous complaints were made about unwanted sales tactics, poor customer service, unclear costs, and difficulties in canceling contracts.
After discussions with the ACM, Verisure has made significant changes to its operations to better align with consumer protection regulations. The regulator will continue to closely monitor the situation, especially based on consumer feedback.
ACM: “The Interests of Consumers Must Be Prioritized”
Edwin van Houten, Director of Consumer Affairs at the ACM, emphasized the importance of these adjustments: “It is in the interest of consumers that Verisure has addressed the issues raised. We will continue to monitor the company and enforce compliance where necessary.”
Complaints Led to Investigation and Action
Verisure is an international company that provides security systems along with alarm services, often offering customized home security systems connected to a monitoring center. However, consumers reported various issues, including:
- Unwanted contact via phone or door-to-door sales.
- Unclear information about the contract terms and costs.
- Poor customer service.
- Difficulties canceling contracts.
As a result, the ACM launched an investigation, which led to several key changes in Verisure’s business practices:
- Consumers will no longer be contacted by phone without explicit consent.
- Consumers who have objected will not be called again.
- A 14-day cooling-off period and the right to cancel with a full refund will be clearly communicated and implemented without delay.
- Information about contract terms, such as the loan nature of the security systems, and the calculation of discounts has been clarified.
- The process for submitting complaints, questions, and cancellations is now clearer.
- Unfair terms, such as the requirement to report defects by registered mail, have been removed from the general terms and conditions.
- Door-to-door salespeople have undergone additional training and are strictly monitored to ensure compliance with consumer protection rules.
- In cases of payment arrears, the debt collection process has been adjusted to avoid aggressive practices by salespeople.
The ACM will continue to monitor whether these changes effectively address the consumer issues. Consumers can report their experiences to ACM ConsuWijzer, the consumer service of the ACM, and also find information about their rights there. If consumer problems persist, the ACM may take further action.
Source ACM.nl