Kid Spends $100 For a Free iPad App: Hidden Costs Of In-App Purchases May Mislead Users

A toddler accidentally spent a hundred bucks while she was playing a FREE iPad app.

Amelia DeClark, 3 years old, from Queensland, Australia apparently used up more than $100 in only half an hour while she was feeding a virtual horse using her mother's iPad. While the child was playing a free Ipad app called My Horse, she was also unknowingly confirming real-time purchases from her mom's iTunes billing account.

According to the report from Sydney Morning Herald, the mother, Tegan DeClark, only discovered the in-app purchases her daughter made when she looked at her bank account.

Apps that are free to play and download sometimes offer in-app purchases and are dubbed 'freemium model apps.' This type of free iPad app can cost a lot, especially if the user is unaware that she is buying in-app items from the store, like the case of Amelia DeClark, the latest kid to surprise her parent with a pricey bill from playing free iPad apps.

But after finding out about the accidental purchases her daughter had made, Mrs. DeClark found out another more shocking revelation -- that it was actually very difficult to get a refund for in-app purchases.

Because of the severity of this problem, ACCAN, a communication consumer group, already delved into the issue. The AACAN called the Australian competition regulator to ask these free gaming apps to reveal if the in-app purchases they offer is required for the user to continue playing.

Teresa Corbin, the Chief Executive of ACCAN said, "The apps are misleading. The child wouldn't necessarily understand it is real money... and they think it's part of the game and part of the simulation." ACCAN targeted three more Free Ipad apps that deliberately encourage in-app purchases: Tapped Out, The Hobbit: Kingdoms, and Tap Paradise Cove

While Amelia was playing the My Horse app, she was encouraged to purchase more food for her horse but to do that, she was required to have 2500 credits, which cost $109. The in-app purchase feature directly charged her mom's credit card.

A week after talking to Apple over the phone, Tegan DeClark money was refunded on a 'goodwill' basis. 

Tags
Apple
world news
iTunes
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