America Online Inc. says it will improve the way it deals with customers who want to cancel their Internet service, resolving federal allegations that the company used unfair billing practices.
The Federal Trade Commission settlement announced Tuesday also requires AOL and its subsidiary, CompuServe Interactive Services Inc., to keep promises for delivering rebates for online services.
The FTC released a complaint with the settlement accusing AOL of continuing to bill its subscribers after they asked to cancel their accounts.
"No company should retain subscribers against their wishes," said Lydia Parnes, deputy director of the FTC's Bureau of Consumer Protection.
AOL said in a statement that it had worked with the FTC to resolve the matter for four years before the release of the official complaint and settlement.
"The company has always made, and continues to make, exceptional customer service and customer satisfaction a top priority," the statement said.
News source: Newsday - AOL Settles Charges of Unfair Billing