The UAE’s telecom regulator is set to limit penalty fees for early termination of mobile phone contracts…

If you want to leave your mobile phone contract early in the UAE, you’re often met with hefty fees to do so. But, that’s set to change thanks to a new amendment being brought in the UAE Telecommunications Regulatory Authority (TRA).

In a statement on Wednesday March 20, the TRA said that the amendment will mean that users will only be charged a one-month fee to exit their mobile phone contract early. This replaces the current rule, which allows network providers to charge a monthly fee multiplied by the number of remaining months of the contract.

The TRA advised that the amendment has already been applied to new mobile contracts, with network regulator working to introduce these amendments to existing contracts, in the ‘coming period’. An exact timeline for completion has not been given.

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Speaking on the changes, Mohammed Al Ramsi, Regulatory Affairs Director of the TRA said that the new service fee termination framework gives users ‘more flexibility in choosing the services that suit them’.

“The new amendment comes in response to the complaints of some customers, since the previous provisions forced the customer to commit to using the service until the end of the contract, despite their unwillingness to do so sometimes. Now, the user can terminate the service contract and choose another service, for a simple charge equals one month fee, which is considered operational fees,” Al Ramsi explained. “In TRA, we ensure that we will continue our mission of monitoring the market to ensure the implementation of the new provisions.”

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