"Bill credit"

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I've just been reading BT's terms and conditions for their £10.50 pcm landline plan, and I've noticed it says:
Monthly cost of £10.50 with Direct Debit/ Monthly Payment Plan and paper free billing, otherwise add £2.75 (£1.50 per month payment processing fee levied by BT Payment Services Limited, a BT Group company, plus £1.25 without paper free billing discount). Discount via bill credit.
What the hell is "bill credit", and what benefits does it give me? As far as I can see £10.50 pcm won't be leaving my account, 13.25 will, only for the £2.75 discount to be credited to my bill. What the hell use is "bill credit"?
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Comments

  • normanmark
    normanmark Posts: 4,156 Forumite
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    Discount via bill credit means that if you use the paper free discount, they apply it to the bill & not via a cheque to yourself. So you'll just pay £1.25 less per month if you go via that option.
  • Gray-Fox
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    normanmark wrote: »
    Discount via bill credit means that if you use the paper free discount, they apply it to the bill & not via a cheque to yourself. So you'll just pay £1.25 less per month if you go via that option.

    How much do I need to ensure is in my account per month, is basically what I'm asking, £10.50, £13.25 or another sum in between those two.
  • Heinz
    Heinz Posts: 11,191 Forumite
    First Anniversary Combo Breaker Car Insurance Carver!
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    If you pay by Direct Debit and have opted for paper-free billing, the Unlimited Weekend Plan will cost you £10.50 per month.

    However, an additional £1/month charge may be applied if you use 1571 and don't make the required number of chargeable or inclusive calls.

    And, an additional £1.75/month charge may be applied if you use Caller Display and don't make the required number of chargeable or inclusive calls.
    Time has moved on (much quicker than it used to - or so it seems at my age) and my previous advice on residential telephony has been or is now gradually being overtaken by changes in the retail market. Hence, I have now deleted links to my previous 'pearls of wisdom'. I sincerely hope they helped save some of you money.
  • Gray-Fox
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    Heinz wrote: »

    However, an additional £1/month charge may be applied if you use 1571 and don't make the required number of chargeable or inclusive calls.

    And, an additional £1.75/month charge may be applied if you use Caller Display and don't make the required number of chargeable or inclusive calls.

    Is your very helpful article updated to help me avoid these extra costs?
  • Heinz
    Heinz Posts: 11,191 Forumite
    First Anniversary Combo Breaker Car Insurance Carver!
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    Gray-Fox wrote: »
    Is your very helpful article updated to help me avoid these extra costs?
    No, but I'd urge you simply to make a few short calls to 01, 02 or 03 numbers each weekend.

    Extra costs avoided.
    Time has moved on (much quicker than it used to - or so it seems at my age) and my previous advice on residential telephony has been or is now gradually being overtaken by changes in the retail market. Hence, I have now deleted links to my previous 'pearls of wisdom'. I sincerely hope they helped save some of you money.
  • Gray-Fox
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    Sorry, last questions...

    1) What IS the required number of chargeable or inclusive calls?
    2) Is it worth using caller display or 1571?
    3) How do I disable caller display and 1571?

    Thanks.
  • Heinz
    Heinz Posts: 11,191 Forumite
    First Anniversary Combo Breaker Car Insurance Carver!
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    1. IIRC, it's 2 per month;
    2. I find Caller Display invaluable but I''m strongly opposed to 1571 - see HERE;
    3. To save hanging on for ages on the phone, you could use THIS web form.
    Time has moved on (much quicker than it used to - or so it seems at my age) and my previous advice on residential telephony has been or is now gradually being overtaken by changes in the retail market. Hence, I have now deleted links to my previous 'pearls of wisdom'. I sincerely hope they helped save some of you money.
  • Gray-Fox
    Gray-Fox Posts: 312 Forumite
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    Ok thanks a lot.
  • Gray-Fox
    Gray-Fox Posts: 312 Forumite
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    I've just got the paperwork from BT about my new line, and on one of the letters it says:
    Your first payment of £12.00 will be paid from your account in Oct 2008 and thereafter on the date specified by you on the Monthly Payment Plan Instruction.

    What the hell is this talking about? I thought I would be paying £10.50 per month and then my bill for calls every quarter.
  • KimYeovil
    KimYeovil Posts: 6,156 Forumite
    Combo Breaker First Post
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    Gray-Fox wrote: »
    What the hell is this talking about? I thought I would be paying £10.50 per month and then my bill for calls every quarter.

    There's a clue in the name of the scheme - the monthly payment plan. You pay for both line rental and calls each month. You are right that the standard quarterly billing is three months rental in advance and three months call charges in arrears. They have started you off with a guess of £1.50 calls.

    If you log in on-line you are free to change the amount you pay each month or change the date that you pay.

    (Alternatively, it may be that you are not receiving both paper-free and direct debit discounts - £1.25 and £1.50)
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