Cost of tv licence - I'm confused!

downshifter

I'm considering rejoining the 21st century and getting a telly. Haven't had one for years. However I've looked at the licence website and it says you have to pay £24 a month for the first 6 months or something, then it drops down to £12. I don't understand why Can someone explain please.

Sorry to be dense Thanks.

molerat

You buy the first year's licence over 6 months in arrears then the second licence over 12 months, 6 months in advance and 6 months in arrears. The payment, as with council tax, is due upfront at the beginning of the year but they allow you to spread it.

downshifter

Thank you. So when does the year start? Also, how is it in arrears if I haven't been using a tv? Haven't bought one yet so does that mean I'll be paying for the last 6 months?

Rodders53

You can buy and pay for a TV licence in one lump sum IN ADVANCE. Licence runs for 12 months if bought on the 1st of month... or slightly less of bought as the month wears on. {Vehicle Excise Duty aka Car Tax is similar}.

OR

You can buy on a monthly plan.
Then, you pay the Licence Fee/6, for the first 6 installments to buy your 1st year of Licence. {NB the same part month rule applies}.

After the first 6 months' of payments you are, effectively, 6 months in advance and thereafter pay at a Licence Fee/12 rate to keep you at that same 'in advance' level on future years' Licences.

https://www.tvlicensing.co.uk/pay-for-your-tv-licence/payment-methods/how-would-you-like-to-pay-for-your-tv-licence-pay8 explains all the options available.

giraffe69

Its a lot simpler to pay in one go if you can afford it.

downshifter

Thanks. So that means that when I cancelled my licence all those years ago, they owed me 6 months worth of payments. Hmm. Wonder if they've still got my details on record.

Not prepared to pay £25 a month for something I might not use, it's too much out of my monthly budget. Yes, it seems better to save up and buy in one go really.

Thanks all.

iniltous

A licence is £145.50 a year (or the equivilent of £12.12 a month) , it's only if you want to pay in instalments that the £24 is relevant , you pay for a years licence over the first 6 monthly payments, (so twice the 'real' amount) then build up 6 months 'credit', if you don't want to pay in advance from month 7 , you just pay for the year in one go, the consideration presumably is do I want to pay or have £145 to pay upfront or is it worth not paying up front an using their easy payment plan, but it's a bit disingenuous to imply the licence is £24/month, when it's £12.

downshifter

Yep but I still have to pay £24 a month out of my low income (and that's just over the equivalent of a week's food budget) and may decide after 6 months that I don't want to have a tv any more so then they'll have to refund me half of what I've paid. The licence people presumably assume that once you've bought a licence you'll want to go on for evermore. In my case I just want to try it out and may decide not to bother any more.

Will probably give it a miss for now and reconsider in the future. Thanks.

pollypenny

This is interesting. OH will be 75 in March 2018. The licence is in my name, so by September I will have paid enough to cover us until the free one.

Cornucopia

pollypenny wrote: »

This is interesting. OH will be 75 in March 2018. The licence is in my name, so by September I will have paid enough to cover us until the free one.

They have a special procedure for over-74s to ensure that you pay the right amount prior to the free Licence starting.

Cornucopia

downshifter wrote: »

Thanks. So that means that when I cancelled my licence all those years ago, they owed me 6 months worth of payments. Hmm. Wonder if they've still got my details on record.

It's certainly worth following up.

However, because the underlying Licence is only refundable in full quarters, you may not have 6 months credit - it could be 4, 5 or 6 months depending on the exact timing.