Apple Will Refund $32.5M To Settle In-App Purchase Complaints With FTC

coondoggie writes "Apple today agreed to refund at least $32.5 million to iTunes customers in order to settle FTC complaints about charges incurred by children in kids' mobile apps without their parents' consent. 'As alleged in the Commission's complaint, Apple violated this basic principle by failing to inform parents that, by entering a password, they were permitting a charge for virtual goods or currency to be used by their child in playing a children's app and at the same time triggering a 15-minute window during which their child could make unlimited additional purchases without further parental action."

Re:They should require refund window

[Altus]

Generally the receipts for these charges show up a day or 2 after the purchase. I assume apple is batching together the charges or something and processing them in bulk somehow. Or maybe it just takes 2 days for the email alert to go out? I don't know.

Re:They should require refund window

[UnknowingFool]

Apple batches the charges as it reduces processing fees for credit cards. If you buy 2 $0.99 apps, it costs them less to run it as one $1.98 charge with two items in the invoice than two separate charges.

Re:I'll believe it when I see it

[Penguinisto]

You need money in your iTunes account to download a free app.

1) They changed this behavior at least since 2010 - you don't even need a card (of any type) to open an account nowadays.
2) App Store and iTunes are two different entities.
3) If the kid is younger than 13 or so, why the hell did you not control the password?
4) FYI: kids at that age lie. A lot.

Re:also some games have in game money

[AK Marc]

Yes, and the kid that bought the in-app purchase without realizing it cost real money would do what? Hand the game back to daddy? Or click "yes" to any question asked to be able to play the game. I know my kids clicked yes on everything. The 7 year old just finally got to the point of understanding.

Re:I'll believe it when I see it

[immaterial]

False [apple.com].

Re:I'll believe it when I see it

[Mr.123]

I've opened a lot of accounts in the last 3 years with nothing attached to them for older people. It can absolutely be done.

15 minute authorization window closed long ago ...

[perpenso]

Game purchase authorized. What Apple didn't in general tell people is that that authorization would last past the initial purpose, unless the user dug deep in Settings to turn that feature off.

I believe this was fixed long ago in an iOS update. The app authorization no longer works for in-app authorization. Once in the app a second authorization is always needed for an in-app purchase. This second authorization for the in-app purchase does seem to create a window of approval for subsequent in-app purchases, however the original app purchase no longer creates such a window. In any case the parent is aware that the app has in-app purchases.