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Rm oba.

olgadapolga
olgadapolga Posts: 2,328 Forumite
Part of the Furniture 1,000 Posts Photogenic Name Dropper
Hi,

Thinking of starting a RM OBA and have had a chat with RM business team and it appears to be the way to go. The services we are looking at are 24, 48, 24 Signed For, 48 Signed For and SD.

Does anyone know if VAT is applied to the prices given for these services as the info I have isn't very clear?

Cheers
«1

Comments

  • celestius
    celestius Posts: 1,090 Forumite
    PPI Party Pooper
    Hi,

    Thinking of starting a RM OBA and have had a chat with RM business team and it appears to be the way to go. The services we are looking at are 24, 48, 24 Signed For, 48 Signed For and SD.

    Does anyone know if VAT is applied to the prices given for these services as the info I have isn't very clear?

    Cheers

    Yes it is does
    Just done an order for 5 x parcels: Total 10.20 + £2.04 VAT = £12.24
  • Ask Them???
    I'd rather be an Optimist and be proved wrong than a Pessimist and be proved right.
  • olgadapolga
    olgadapolga Posts: 2,328 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Ask Them???

    I did but their answer wasn't definitive as it could be taken one way to mean yes, it is added, or another way to mean no, it isn't added.


    @ celestius - thanks for the reply. Looks as though it won't be cost effective then as we'll only be saving 3p per large letter. The cost of INRs will be more than the annual saving of an OBA.

    Cheers
  • Strapped
    Strapped Posts: 8,158 Forumite
    For large letters, if you're not VAT registered, go for 1st/2nd Class instead of RM24/48 - works out cheaper (no VAT on 1st/2nd Class services) eg 0-100g 2nd Class is 60p. HTH.
    They deem him their worst enemy who tells them the truth. -- Plato
  • olgadapolga
    olgadapolga Posts: 2,328 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Strapped wrote: »
    For large letters, if you're not VAT registered, go for 1st/2nd Class instead of RM24/48 - works out cheaper (no VAT on 1st/2nd Class services) eg 0-100g 2nd Class is 60p. HTH.


    Ah, I will look into that option - it wasn't mentioned when I spoke to them. Thank you:)
  • soolin
    soolin Posts: 74,440 Ambassador
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    The business managers are being very proactive at the moment, I am getting an email a day from the one at my mail centre urging me to take a business account and save money.
    I’m a Forum Ambassador and I support the Forum Team on the eBay, Auctions, Car Boot & Jumble Sales, Boost Your Income, Praise, Vents & Warnings, Overseas Holidays & Travel Planning , UK Holidays, Days Out & Entertainments boards. If you need any help on these boards, do let me know.. Please note that Ambassadors are not moderators. Any posts you spot in breach of the Forum Rules should be reported via the report button, or by emailing forumteam@moneysavingexpert.com.All views are my own and not the official line of MoneySavingExpert.
  • I'm just coming up the end of my first year with an OBA and have found it very beneficial, but it really does depend which service you use as to how much saving you make. When I was contacted by them this time last year I remember getting very excited about the possible savings until I worked out that all their quotes were excluding VAT - if you're not VAT registered it's suddenly not quite so attractive!


    The majority of my parcels are RM48 and not being VAT registered I make a good saving on the usual RM rates - as well as not having to bother with all the 'is it a medium or small parcel?' malarkey. Virtually all my parcels cost me £2.45 as the average weight is nearly always under 1kg.


    However, you're right - the savings on First Class (24) and Large Letters aren't anywhere near as good. Once you've factored in that there is no compensation for lost post you have to take a view as to whether the minimal savings are worth it.
  • theonlywayisup
    theonlywayisup Posts: 16,032 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    Im on a phone so apologies if its been covered, but its not just VAT you need to factor in, but the surcharge.
  • justjohn
    justjohn Posts: 2,260 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    special is a joke if you have an account...its cheaper to pay over the counter lol
  • olgadapolga
    olgadapolga Posts: 2,328 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Im on a phone so apologies if its been covered, but its not just VAT you need to factor in, but the surcharge.

    What surcharge? Something else they've forgotten to mention?
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