Beware of Tele-Marketing of Bargain Health Check Offers - CHOICE #443

Be on the alert when approached, over the phone, to enroll for health check programmes.

Consumer complaints arising from the marketing of health check packages are fast on the rise. In the first seven months of this year, the Consumer Council has recorded a 79% increase with 34 cases of complaints over the same period last year.

So, be aware of seemingly attractive bargain offers in tele-marketing of health check service. If the hope of putting your mind at ease, with a clean bill of health, is what lures you to hastily agreeing to an offer, think twice for the outcome could be anything but peace of mind.

The offer generally comes, unexpectedly, on the phone on the pretext of a special concessionary price in association with a government health subsidy scheme or a major medical body. Or, simply, you are the winner of a credit cardholders' lucky draw.

In the majority of cases, the callers are not necessarily staff of medical testing laboratories but intermediary agents on commission earnings for successful transactions.

In order to clinch the sales, the promoters would often resort to aggressive tactics bordering on "false trade descriptions" or "misleading omissions", two of the new offences under the recently amended Trade Descriptions Ordinance.

In a typical case, the complainant (a Mr. Chu) had a particularly bad experience. At the end of 2009, he received a phone call from a salesman offering, purportedly in association with four major banks in Hong Kong, a special package of screening tests for six types of cancer tumors at a discount price of HK$1,740. Believing it to be genuine, he promptly turned over his personal data and credit card information to the salesman.

Later he contacted one of the banks and learned that no such cooperation ever existed between the bank and the company concerned. He also learned from the salesman of the fund withdrawal of HK$1,740 from his credit card.

But more nasty surprises awaited him. As it transpired, the entire screening programme would spread over a period of three years at a total cost of HK$5,220, which could be paid on 18 monthly instalments of HK$290 each. Despite protestation and demand for cancellation of the transaction which was rejected, he was asked to sign an authorization for the instalment fund transfer from his credit card account, to which he somehow acceded.

Several months later he again received a phone call from the same salesman. This time, he was told that the sum of HK$5,220 was only the first-year payment for the first part of a 6-part programme over three years; the grand total therefore was HK$31,320 (HK$5,220 x 6). Infuriated, and in utter despair, that the fee had shot up from an originally HK$1,740 purchase to a hefty HK$31,320, he signed yet another credit card payment authorization.

By the end of 2012, in the belief that the whole instalment plan was soon to end, he called up the company to enquire about the status. This time, he was told that he still owed the company outstanding instalments of one year and that a new credit card authorization would need to be signed. Or, the company would withdraw, in one lump sum, from his credit card account.

The complainant took his case to the Council for assistance. Upon conciliation, the dispute was resolved with the company confirming that all payments of the programme have been fully settled, and that the remaining unused portion of the test would carry no expiry date to be redeemed at any time at no further costs.

In another case, the complainant (a Ms. Yu) received a phone call from a staff purportedly from the "anti-cancer association" claiming that the association was promoting, with subsidy to help credit cardholders selected in a draw, its examination service for cancer at a privileged price of HK$2,030. With full confidence in the "anti-cancer association", she agreed to a minimum purchase of three sets of cancer exam at a total of HK$6,090 (HK$2,030 x 3).

Later she was sent information of the cancer exam service and was shocked to find that the so-called anti-cancer association was actually an obscure unknown company. Immediately she tried to contact the company but to no avail with no answer on the phone number she was given.

Upon verification with the Hong Kong Anti-Cancer Society it was ascertained that there existed no relationship whatsoever with the company concerned nor had it offered any such cancer exam service. She sought the assistance of the Council and upon conciliation, the company agreed to refund in full to the complainant.

Although early detection and treatment of diseases is essential, consumers should nevertheless exercise caution and seek professional advice before enrolling for health checks on diseases for which they have no symptoms.

Understandably, health check marketers are generally not trained medical personnel to evaluate, particularly over the phone, your body conditions, and to recommend a suitable health check programme. Consumers should therefore be extra careful before accepting any such offer.

Furthermore, never lightly disclose your credit card information and personal data to salespersons without first verifying details of the transactions offered and clearly understanding the contract content (if any).