Lock in contracts to stifle competition

mlagan

Does anyone know of a legal way to escape telco lock-in term deals, e.g. BT 12 month pre-pay to get the lowest rental or the additional £5/month (12 month contract) to cap UK anytime land-line calls? These effectively stop you switching to a lower cost provider until the contract period expires and most times users do not realise the consequences until they are reminded by customers they won't get there money back and/or have to pay a penalty and there's nothing they can do about it!

I have written to OFCOM this week about it and awaiting a response - will post reply. To me it all smacks of sharp practise!

cajef

mlagan wrote: »

. To me it all smacks of sharp practise!

Why is it sharp practise, no one is forcing people to sign up for these deals, the terms are all there if people bother to read them.

mlagan

Cajef,

Unfortunately after posting I realised the title should have read "Lock in deals to stifle competition".

I can understand as a new customer being tied in for a 12 month period is something you read in the T&Cs and is acceptable. What I was referring to were deals, like a £5/month phone call cap, resetting the cancellation period to a further 12 months or more. Most users like myself get roped into these enticing deals unwittingly and is what I refer to as "Sharp Practise".

Gordon_Hose

Automatic renewal?

macman

Why is it wrong for the provider to request an extended minimum term in return for a discount or freebie? Quid pro quo.
And why 'unwittingly'? How difficult is it to ask if there is a new minimum term when accepting such offers?

cajef

mlagan wrote: »

Most users like myself get roped into these enticing deals unwittingly and is what I refer to as "Sharp Practise".

So really what you are saying is that the company is at fault and it is sharp practice because by you not bothering to check the terms and conditions you have according to you 'unwittingly' agreed to something.

Companies contact you near the renewal date to notify that they will auto renew unless you contact them, it is hardly their fault if people ignore these communications.

TimBear

Gordon_Hose wrote: »

Automatic renewal?

That isn't allowed anymore.

If the provider is a bit sneaky and doesn't explicitly outline that adding a bundle/changing your package will extend your term then I see where you're coming from, but as another poster has said to 'reward' the customer for their loyalty by offering a better package there has to be something in it for the company - in this case a fixed term.

macman

Telco's are hardly going to offer a discount or freebie, and then allow you to leave in 30 days!

Gordon_Hose

TimBear wrote: »

That isn't allowed anymore.

If the provider is a bit sneaky and doesn't explicitly outline that adding a bundle/changing your package will extend your term then I see where you're coming from, but as another poster has said to 'reward' the customer for their loyalty by offering a better package there has to be something in it for the company - in this case a fixed term.

TBH I'm not really sure what the OP is getting at

VisionMan

Gordon_Hose wrote: »

TBH I'm not really sure what the OP is getting at

Oh I do. The OP wants all the discounts they can get without having to be contracted to the supplier for doing so.

Want, cake, eat.

Gordon_Hose

Gotcha.

Surely new customer deals are incentives. If you don't like your renewal offer then move suppliers or re-negotiate.

Simple money saving. Hardly stifling competition, if anything it's encouraging competition.