Penalties to South Africans who want to cancel cellphone contracts early

• South African mobile network operators impose penalty fees on customers who cancel their cellphone contracts early, with fees varying between operators.
• The penalty fees are guided by the Consumer Protection Act (CPA) and can include charges for device costs, outstanding charges, and a cancellation penalty, with some operators charging up to 50% of the subscription fees for the remainder of the contract period.
• Mobile operators such as Vodacom and Cell C have faced criticism and fines for their contract cancellation policies, with Vodacom being forced to adjust its policy after complaints from customers and facing a R1-million administrative fine in October 2023.