Flip ordered to remove misleading internet ads

The Advertising Standards Authority ordered Flip internet to remove its television ads for not making clear a deal was only available for a limited time. Photo / Thinkstock

An internet company has been criticised for advertising an internet service for $55 a month, without disclosing that the cost went up to $60 after the first month.

The Advertising Standards Authority ordered the television ads for Flip internet to be removed.

A complaint was made by an existing customer, who said Flip had told users the cost would go up to $60 from March 2, but the $55 advertisements were still being aired in February.

The commercial said, in part: "Flip's at it again. This time I'll bring you the best home line broadband bundle for $55 on the market today? you can't find a better deal than that."

In response to the complaint, Flip said the ads were truthful, as anyone who signed up before March 2 would get their first month at $55.

"As Flip is a pre-paid service with no contract period, a customer is able to receive a $55 internet service for one month and then cancel the service if they so wish."

The complaints board said the ad, which aired on February 14, gave the impression the price would be available for a reasonable amount of time.

It gave a false impression by not making clear the deal was only available for a limited time.

The complaint was upheld.