As Optus Sport closes, subscription refunds are on their way – by cheque
Optus Sport is closing on 1 August and will refund unused portions of its $199 annual subscriptions. While most refunds will be processed electronically, a subset of customers will receive cheques due to billing system constraints or expired payment details. The move highlights the declining use of…
Optus announced on 30 June that its Optus Sport streaming service will cease operations on 1 August after transferring Premier League, FA Cup and other football broadcasting rights to Nine Entertainment and Stan. The shutdown triggers refunds for customers who paid the $199 annual fee but will not use the service for the full term.
How refunds will be issued
In an email obtained by Guardian Australia, Optus told eligible subscribers that they must submit their postal and email addresses by 29 August to receive a refund for the unused portion of their subscription. Most refunds will be processed through the original payment method, but the company added that a "subset group" of customers will be refunded by cheque.
The email explained that cheques are being used only where electronic banking is unavailable because of limitations in Optus' billing and subscription management system, or when the original credit card has been cancelled, expired or failed. Optus stressed that this is not the standard practice.
Why cheques are still being used
Australia has been phasing out cheques for years. A 2023 government plan projected a gradual, coordinated transition to fully digital payments after a 90 % decline in cheque usage over the previous decade. Nevertheless, Optus highlighted "limited circumstances" where cheques remain practical, such as when a large volume of payments must be made to former customers whose banking details are no longer current.
In a February 2024 submission to a government consultation on the cheque phase‑out, Optus argued that cheques provide a secure way to pay without requesting updated financial information, which can help curb scams. The company noted that cheques can be especially useful for customers in remote areas with limited access to electronic banking.
Consumer reaction and expert commentary
The decision sparked criticism on social media. One former Optus Sport subscriber wrote on X, "Cheque refund @OptusSport ... what sort of medieval transaction is this. Haven't been to a ye old bank for years." Consumer‑policy experts said the approach creates unnecessary friction.
Chandni Gupta, digital policy director at the Consumer Policy Research Centre, argued that refunds should follow the same payment path as the original purchase. "Placing the onus on individuals to go through extra steps to claim a refund that is rightly theirs creates an unnecessary barrier," Gupta said.
Stephen Nowicki, director of legal practice at the Consumer Action Law Centre, noted that while cheques are not illegal, offering an online alternative would better serve customers who prefer digital refunds. He added that cheques might even reduce the risk of refund‑related scams.
Legal backdrop and future of cheques
The Australian Competition and Consumer Commission (ACCC) said consumer law does not dictate a specific refund method, but businesses using cheques should plan for the upcoming government deadline. The government confirmed that after 28 June 2028, cheques can no longer be issued, and they will be unacceptable for payments after 30 September 2029.
These timelines mean that companies like Optus must transition to fully digital refund processes within the next few years. In the meantime, the ACCC urged firms to consider how to reach customers in remote locations who may lack banking facilities.
What customers need to do
- Check the email from Optus Sport for refund eligibility and the deadline (29 August).
- Provide a current postal address and email address if a cheque refund is indicated.
- Monitor the mailbox for the cheque, which will be mailed after the address is confirmed.
- Consider contacting Optus customer service to request an electronic refund if the cheque method is inconvenient.
Optus has not announced a timeline for when electronic refunds will be processed for the majority of customers, but it assures that the unused portion of the $199 fee will be returned in full.
Why it matters
The refund method affects thousands of Australian sports fans and highlights the broader shift away from cheques toward digital payments, raising consumer‑rights concerns.
Key points
- Optus Sport will close on 1 August 2024 after selling its football rights to Nine Entertainment and Stan
- Customers must submit postal and email details by 29 August to receive refunds for unused subscription time
- A small group will be refunded by cheque due to billing system limits or expired payment details
- The Australian government plans to ban cheque issuance after June 2028, accelerating digital‑only payments
- Consumer groups argue refunds should match the original payment method to avoid extra hassle
Frequently asked questions
Will I receive a cheque for my Optus Sport refund?
Only if Optus cannot process an electronic refund because the original payment method is unavailable, cancelled or expired. Otherwise refunds will be returned to the original card or bank account.
What is the deadline to provide my address for a cheque refund?
Optus requires customers to submit their postal and email address by 29 August 2024.
Can I request a digital refund instead of a cheque?
Customers can contact Optus customer service to ask for an electronic refund, but the company has not guaranteed that option for all cases.
When will cheques be completely phased out in Australia?
The government announced that cheques cannot be issued after 28 June 2028 and will not be accepted for payments after 30 September 2029.
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