Early this month, Media Development Authority (MDA) of Singapore has announced new guidelines for pay TV contracts. The guideline basically protects pay TV subscribers from being charged with excessive early termination fees.
The guidelines include:
1. Maximum length of pay TV contract is limited to two years
2. Early termination charges must be detailed on sale or renewal of a contract
According to the new guidelines, maximum pay TV subscription contract length should not exceed two years. Consumers who terminate the contract before the stipulated period should pay early termination charges based on for the remaining length of the contract.
At present, in Singapore, most of pay TV contract do not exceed 2 years. The new guideline of MDA make customers more aware of early termination charges before they get the contract. It actually allows consumers to be able to get better choice of service and switch between operators.