MSE News: Rollover landline contracts face the axe

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Comments

  • A BT spokesman defends its policy: "BT is disappointed Ofcom is proposing to ban renewable contracts.Our customers tell us they are happy with the discounts offered by these contracts "


    Nothing to stop BT offering the discounts and if they are so good why would anyone leave. If BT really believe that then they have no worries. The reality is that what BT say and they mean are smoke and mirrors!
  • Heinz
    Heinz Posts: 11,191 Forumite
    Part of the Furniture Combo Breaker Car Insurance Carver!
    edited 7 March 2011 at 4:35PM
    A BT spokesman defends its policy: "BT is disappointed Ofcom is proposing to ban renewable contracts.Our customers tell us they are happy with the discounts offered by these contracts "
    As BT write (snail mail) a month before expiry to every subscriber on one of these renewable contracts, all they have to do is to change that letter from one which does not require a response for the contract to continue, to one which does require a response.

    Not actually that complicated.

    Obviously, there'll then be arguments like "Why am I being charged for evening calls? No letter arrived so I didn't know I was no longer getting inclusive evening calls" but that's happening already with people alleging they didn't receive the letter so didn't know they were renewing the contract by default.
    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.
  • Inactive
    Inactive Posts: 14,509 Forumite
    If BT were just honest and open with customers they would do better, all of this opting in and opting out rubbish is nonsense.
  • Buzby
    Buzby Posts: 8,275 Forumite
    Nonsense? Because folk cannot read or understand? Surely not? From Day 1 (when this 'promotion was first offered') BT did make the commitment clear that it would be an auto-renewing contract, and on that basis, I decided not to participate. For those of us who made that decision and did without the free calls I certainly feel no sympathy for those who want to move then 'suddenly' ind the downside.

    Since the solution is for BT to end auto-renewing contracts, I fully expect free weeknight calls to similarly end, unless the customer pays for the priviledge. That, at least, will redress the balance.
  • Inactive
    Inactive Posts: 14,509 Forumite
    Buzby wrote: »
    Since the solution is for BT to end auto-renewing contracts, I fully expect free weeknight calls to similarly end, unless the customer pays for the priviledge. That, at least, will redress the balance.

    Or do the sensible thing and go elsewhere to companies that do not treat their customers like mugs.
  • joe_peddos
    joe_peddos Posts: 7 Forumite
    edited 9 March 2011 at 12:52PM
    I am with TalkTalk they have a similar con though they say you have to tie in for 2 yrs when you renew your contract. I queried this as I only signed up for 12 months. They said every one is doing 2 yr contracts which is blatantly untrue. I discovered that TalkTalk have the following site (talktalkmembers.com/forums ) I looked at some of the posts regarding renewal to find that after the first 12/18 month contract you are put on a rolling 30 day contract. I rang back and asked for the contract not to be renewed for 2 yrs and confirmed that the call was being recorded and made a note of the time and date I rang in case I decide to change supplier. There are several on line community executives on the site (who are employed by TalkTalk) to sort problems out. Twice they have refunded money that I should not have been charged for due to the call package I am on. I have a feeling that a lot of people who work for TalkTalk don't know about this site.
  • SusanneCape
    SusanneCape Posts: 389 Forumite
    I am also with TalkTalk. They called me a couple of months ago (from abroad where their call centres are) and asked me if I was happy with their service. I said I was and they asked me whether I would like to continue. I said yes, but specifically asked what would happen if I wanted to cancel for any reason. He told me that I would have to give one month's notice which I was happy with. At no point did he state that the call was to tie me into a 2-year contract. In addition, he also did not state that there would be a punitive payment if I left the contract before the end of the 2 years. I think these people get a commission for signing up/extending services. I was furious when I found out that he omitted important details such as these. Good for Ofcom. Too many cons out there.:mad:
    Save £12k 2013 '13 #66 £12,106.76/£12,000 // '14 #44 £10,081.90/£10,000 // '15 #67 £11,976/£12,000 // '16 #67 £7,322/£12,000
    MFiT: £187,200 - MFD: 02/31 - Target = £35,000
    T3 #71 - '12 £125,899
    T4 #71 - '15 £80,264; '16 £66,946 '17 £44,997
  • gree0115
    gree0115 Posts: 32 Forumite
    Debt-free and Proud!
    edited 9 March 2011 at 4:44PM
    We were with BT and signed up for an 18-month rolling contract which at the time had no intention of moving as my wife calls her folks in China and BT are one of the only suppliers to include Chinese landlines in their international call package.

    We decided to move to Plusnet and use a cheaper calling card to call China, I was still in contract by 1 month so knew there would be about a months-worth of cancellation charges.

    They then tried to sting me with £55 of cancellation charges saying I had been on a 12-month contract (not 18 months) which had rolled over and I was mid way through the second 12-month period.

    Fortunately I had filed the original contract renewal email stating it was an 18-month contract. Once I wrote to them (they make it harder and you have to do this in writing to their Durham correspondence Centre rather than over the phone or via email) they capitulated and I ended up getting a cheque for about £23 from them.

    Had I not kept that email though I would have had a serious fight which I consider to be slightly sharp practice as they had mysteriously changed my 18-month contract to a 12-month one, and were then trying to charge for the pleasure!
  • Mad_Ad_2
    Mad_Ad_2 Posts: 10 Forumite
    Oh good, im pleased to hear this. I looked into a second line with BT over a year ago and came across it in the squinty bit. It was one of 2 reasons why I did not go ahead.

    For those that think its ok if people are notified. Life isnt always nice and smooth and predictable. Im fairly sure im not going to be moving anytime soon so signing for a years contract up front isnt too much of a risk. But whats going to happen in 18 months, 2 years? If i do have to move, or end my service, you can bet its not going to be nice and seamless on the same month as the phone comes up for renewal.

    Its like that 3 piece you bought on 0% pay later, thinking oh my job is secure and then life changes and repayments are a bigger stretch than you thought. Good news for the credit company, not so good for you.
  • How is it that telephone companies don't have to write to you with a renewal quote the same as car or house insurance. I know the insurers rely on inertia selling by saying "sit back you don't have to do anything" we will keep taking the money + 20% extra but at least you have time to look at alternatives.

    The guys on the 0% pay later sales for 1 or 2 years down the line rely on you not been able to pay the lump sum and charge large interest rates on the repayments
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