BEWARE! Hidden BT Broadband Costs

matt4666

I decided not to renew my broadband with BT, but when I did so they didn't mention any hidden costs, and I thought that was it.

I should have known better with BT, early today they rang up all chummy, and then informed me because I'm not taking a MAC code, then I would have to stump up an additional £25 cancellation fee.

Quick check on OFCOM website says they are acting unlawfully for 3 reasons

1. They didn't inform of this fee when I signeds up
2. They didn't inform me of this fee when I didn't renew my contract.
3. Under English and Welsh law trying to apply a charge restrospectively is unlawful! as it is a penalty of cancellation and penalties are unlawful in English and Welsh Law.

Don't let them get away with this underhand wallet scalping if they try it on with you. They will try and blag it by telling you that it is to sort out the exchange, but that is there business not yours and you don't have to pay to cover there own internal costs.

OFCOM want complaints about these practises, so complain to OFCOM, and threaten to take BT to court as well.

My case will continue for a while, so I'll post updates as it goes.

Matt4666

spud17

This has already been discussed many times here, even in the last few weeks.

http://forums.moneysavingexpert.com/showthread.html?t=2188691

Is there a particular reason for not using a MAC?

Good luck with your claim, you'll certainly need it.

cajef

matt4666 wrote: »

I decided not to renew my broadband with BT, but when I did so they didn't mention any hidden costs, and I thought that was it.

This is a charge made by BT to all ISP's if a customer ceases broadband to pay for the work by an engineer at the exchange, some ISP's absorb the cost but most pass it on to the customer.

Try readiing the Terms and Conditions of BT broadband

http://www.productsandservices.bt.com/consumerProducts/dynamicmodules/pagecontentfooter/pageContentFooterPopup.jsp?pagecontentfooter_popupid=26823&s_cid=con_FURL_ceasecharge

matt4666

However the Unfair Contract Terms may apply, as the company has to fully justify their cost. 'OFCOM requirement and they must also make the cost transparent when the contract is started and finished.
Justifying these charges becomes very difficult if you are getting rid of you land line, The reason for this is they don't charge you to disconnect your land line, and by virtue the engineer must also do this in the exchange. Therefore by this logic, I would say that by charging for the exchange work for Broadband would be deemed as an unfair contract term, and this is covered by consumer protection, Therefore its time for Trading Standards complaint plus BBC watchdog, your local MP etc and generally make a broader audience know about it

On the plus side OFCOM are investigating these charges, and their exec summary says they are concerned by the level of complaints by consumers, MPs and other bodies.

Browntoa

standard charge for a broadband cease , unless you ask for a MAC code and migrate they are allowed to charge you for the recovery work in the exchange. Been doing it for years so its not a new thing and Ofcom sanction it as fair ( as far as I remember this has been in their terms for several years)

edit:- Cease fee has been around in one form or another since May 2007

http://www.ofcom.org.uk/consult/condocs/addcharges/pes_statement/

7.‘Cease’ charges

If a customer decides to cancel a broadband service (and doesn’t plan to switch to a new company which also uses BT’s network) they may receive a ‘cease’ charge. This even applies if they have completed their contract. The company is passing on a charge which it has to pay, to BT Openreach.



Ofcom’s final guidance is that a cease charge is probably fair, provided:

• the charge is made clear to customers before they sign on the line; and
• it’s based only on the actual costs that come with ceasing a service.

Browntoa

think you will get nowhere on taking this further.

found this

http://www.ispreview.co.uk/talk/showthread.php?t=23992

Cease charges will apply when a BT Wholesale ADSL End User service is terminated or replaced by a non-BT Wholesale ADSL End User service (cease and re-provide).A cease charge will be raised under the following circumstances:· The Service Provider raises a cease order.· The Service Provider asks BT Wholesale to raise a cease order on their behalf.· Openreach issue an unsolicited cease because the PSTN service has been terminated.A cease charge will not be raised in the following circumstances:· The End User line has been migrated to another ADSL service provider using the published migration process.· The End User line has been migrated to an LLU operator (either SMPF or MPF) using the published migration process. · When End User service is migrated to another BT Wholesale ADSL service and / or to another Communications Provider (CP) where a MAC code is used.


End User Cease Charge: £4.90 (exc Vat)
Operative Date:23-08-2007

Temporary price reduction: All end user ceases completed from 10th May 2007until 22nd August 2007 will have a charge of £0.00Operative Date: 10-05-2007

BT_company_representative

Hey matt4666,

The charge for ceasing broadband service is �25 including VAT. The charge only applies to customers who cease Broadband service altogether. This charge is the actual cost to BT to complete the work required within an exchange to recover equipment and amend records.

This charge was originally introduced in November 2007. We have notified all our customers in the Broadband Service Terms & Conditions, these are available to our customers through BT Update, on BT.com and all BT Broadband customers received an email to pre-notify them about this charge.
Thanks

Fionnuala

1984ReturnsForReal_2

BT_company_representative wrote: »

Hey matt4666,

The charge for ceasing broadband service is �25 including VAT. The charge only applies to customers who cease Broadband service altogether. This charge is the actual cost to BT to complete the work required within an exchange to recover equipment and amend records.

This charge was originally introduced in November 2007. We have notified all our customers in the Broadband Service Terms & Conditions, these are available to our customers through BT Update, on BT.com and all BT Broadband customers received an email to pre-notify them about this charge.
Thanks

Fionnuala

So why does it say the true cost is £4.90 (exc Vat) right above your post?

ukbill69

BT_company_representative wrote: »

This charge is the actual cost to BT to complete the work required within an exchange to recover equipment and amend records.a

Every part of the BT network down to the exchange is done by server software (by bt openworld), unless hardware fail or upgrades or a new line, where there is not cable. It makes me laugh when every BT say this.

kwikbreaks

ukbill69 wrote: »

Every part of the BT network down to the exchange is done by server software (by bt openworld), unless hardware fail or upgrades or a new line, where there is not cable. It makes me laugh when every BT say this.

There is physical work at the exchange. They have to disconnect the tie pair to the DSLAM. Whether or not they actually do this or just document that the port is free and disconnect when some other line needs a port is debateable.

Browntoa

1984ReturnsForReal wrote: »

So why does it say the true cost is £4.90 (exc Vat) right above your post?

copy from 2007 , not 2010 so out of date information , was purely showing to the original poster that this was a long standing charge