We’ve started a Compliance Case Study series to help you and your teams ensure you’re staying compliant and putting your customers first.
This week we’ll be looking at Diane’s case study:
Diane is hustling to grow her ACN business from her home in Melbourne and reaches out to one of her closest friends, Abby. Abby lives in Brisbane and is interested in switching her electricity to Click Energy. Abby is working long hours and asks Diane to complete the online sign-up for her to save time.
Diane really wants the sale so she fills it out even though she knows she shouldn’t. The order is instantly flagged as ‘fraudulent’ by Click Energy. This is because Diane has used her own mobile number to process Abby’s sign-up. Once the order is flagged, the team at Click Energy review it and find they are unable to contact Abby.
After further investigation, Click Energy finds that Diane has used her mobile number to gain the 2-factor authentication code so that she can process Abby’s sign-up, and in doing so has committed an act of fraud.
Diane gets an email from ACN notifying her that her IBO position has been terminated due to the unlawful signing up of energy applications. Diane loses all her hard-earned points and commissions because she chose to ignore the rules of compliant customer sign-up.
What should Diane have done to compliantly submit Abby’s order?
Diane should have politely explained to Abby that she cannot sign-up to Click Energy on behalf of Abby, and provided her with a link to the Click Energy online sign-up portal instead. This is the compliant thing to do for your customers.
Even with Abby’s verbal permission, it was wrong for Diane to sign-up on behalf of a customer. Click Energy needs the customer’s Explicit Informed Consent to process an order.
To learn the right way to refer customers to Click Energy and ensure you don’t make the same mistake as Diane, take a moment to review the Energy Accreditation Training.
What happened to Abby?
Apart from the delay in getting her service connected due to the investigation, Abby is very pleased with her energy service and how competitive the rates are!