An eight-year-old girl surprised her parents with over £8,500 in charges on the Apple app store, accumulated over a span of 90 days. Unknown to her parents, the young girl had been making purchases using her own iPhone and Apple ID, which were linked to her parents' HSBC debit card without their awareness. The excessive spending went unnoticed by both the bank and Apple until a notification from YouTube brought it to the parents’ attention.
The girl managed to make a staggering 270 payments in just three months. On one day alone, she spent £49.99 six times and £6.99 once. These purchases were for YouTube Super Chat and Super Stickers, features that enable content creators to monetize their channels by allowing viewers to highlight their comments and messages during live streams.
It was only when the parents received a notification from YouTube that they became aware of the unauthorized spending spree. Despite daily purchase limits on YouTube's Super Chat feature, the girl's activity had not been flagged as suspicious by either Apple or HSBC.
Initially, Apple rejected the parents' request for a refund of the unauthorized charges. However, after further discussions, Apple agreed to refund two payments totaling £60. The incident is reminiscent of a 2014 ruling by the US Federal Trade Commission that required Apple to reimburse American parents $32.3 million (£24.6 million) for unauthorized app purchases made by minors.
Apple prohibits children under the age of 13 from applying for a personal Apple ID. However, in this case, the girl had access to her own Apple ID, which facilitated the unchecked purchases. Meanwhile, HSBC stated that its security protocols are designed to maintain a balance between security, convenience, and consumer demand. The bank also pointed out that the parents could have detected the unusual activity through their mobile banking app or by reviewing mailed statements.
YouTube, on its part, emphasized its policy of closing accounts of users under 13 who use the platform without parental supervision. The platform also allows users to request refunds for unauthorized or accidental charges.
As a result of this costly oversight, the parents are contemplating confiscating their daughter's iPhone until she is older and more responsible with technology use.