$0 Upfront?! Only partially.

Forums › Spark New Zealand (including Skinny and BigPipe) › $0 Upfront?! Only partially.

lostangel

163 posts

Master Geek

#88577 18-Aug-2011 12:27

Telecoms' $0 upfront campaign got me well interested and I eventually got myself an HTC Sensation.

And in the shop it was $0 like they have said.

Today(18th August) I've had the phone almost a month, being that I got it on the 20th of July.

The plan I'm on is the $100 Smartphone plan, so I thought I'd check and see if I have a bill in yet.

There is an amount owing; $210

I've not used anything outside of my plan so was expecting maybe the $100 postpaid plan I thought I was getting.

I rang *123 to query this balance and here's what they had to say ....

When you start these plans you are charged a month upfront, so in my case $100.

My billing cycle it seems to start on the 18th(today) and I have some prorated charge of $10 for three days somewhere in there.(am I somehow paying extra for the two days of the month I didn't have the phone for?)

With my billing date being the 18th that's two months charges they want plus this prorated charge(mysterious backward charging)

I'm quite annoyed that I'm being charged in a prepaid style for a 'postpaid' plan and was not told of this fact.

Also the entire $0 upfront campain is then false advertising because there is a month upfront charge, not $0 upfront.

I'm seriously annoyed by this, what does everyone else think about it?

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#508510 18-Aug-2011 12:32

Telecom, and most other companies, charge for the upcoming month with you are on a plan of some kind. Vodafone, Telstra Clear, Sky, local rates - they are all charged for the coming month, not the one just been. That's life.

And I bet if you look at the paperwork you signed it says that also, and that on the first bill you will be billed for any time between when you joined and the date on the bill, as well as the upcoming billing period.

Only additional charges on top of any plan charges are postpaid.

Hatch

Trade NZ and US shares and funds with Hatch (affiliate link).

johnr

19282 posts

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Inactive user

#508513 18-Aug-2011 12:34

This is normal part months charges and one month in advance,

Its not backwards in anyway when you look at the first invoice and it's very clear

John

lostangel

163 posts

Master Geek

#508514 18-Aug-2011 12:36

Is that considered $0 Upfront still?

Perhaps my definition is different to the rest?

keewee01

1737 posts

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#508515 18-Aug-2011 12:37

lostangel: Is that considered $0 Upfront still?

Perhaps my definition is different to the rest?

Did you have to pay any money when you got the phone?

lostangel

163 posts

Master Geek

#508516 18-Aug-2011 12:38

johnr: This is normal part months charges and one month in advance,

Its not backwards in anyway when you look at the first invoice and it's very clear

John

NonprayingMantis

6434 posts

Uber Geek

#508518 18-Aug-2011 12:40

it's $0 upfront for the phone.

Do you pay your first bill before you get your phone or is it a month later?
If you pay your first bill on the same day as you get your phone then you might have a case.
Since, as you say, your first bill doesn't come until a month later, then clearly the charge is not 'upfront'.

akia

489 posts

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#508520 18-Aug-2011 12:40

The $0 upfront is the cost of the hardware (phone) up front.

The plan/usage is charged as per normal and it is normal to be charged one month rental in advance.

lostangel

163 posts

Master Geek

#508522 18-Aug-2011 12:42

NonprayingMantis: it's $0 upfront for the phone.

Do you pay your first bill before you get your phone or is it a month later?
If you pay your first bill on the same day as you get your phone then you might have a case.
Since, as you say, your first bill doesn't come until a month later, then clearly the charge is not 'upfront'.

lostangel

163 posts

Master Geek

#508527 18-Aug-2011 12:51

Sorry guys had problems with opera not posting my edits.

So here's a shortened reply.

Postpaid to me is just that, post paid. Like 2 degrees, slingshot, my old telecom accounts.
All of those were literally post-paid.
Accounts should no longer be considered post-paid.(perhaps post-paid additional calling/data would me more accurate)

I wasn't given a copy of the contract so I'll just have to believe you that it stated it.

This new in advance idea is now charging for what has not yet been supplied and removes courses of recourse for poor service from the consumer(how can the consumer not pay for something that was poor if they have already paid for it).

I do not see how this prorated charge works when I've had the contract less than a month from the cycle date and are charged more for the month not less!

freitasm

BDFL - Memuneh
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Geekzone

Lifetime subscriber

#508529 18-Aug-2011 12:53

As said this is $0 for the phone:

"Sign up to a Talk & Text Anytime or Smartphone $100 plan or higher for 24 months and you can get the HTC Sensation - exclusive to Telecom - for $0 upfront."

http://store.telecom.co.nz/mobile/special-offers

Lifejockey

11 posts

Geek

#508530 18-Aug-2011 12:53

I didn't know that postpaid in effect means prepaid in this case... and according to others above is usual for other providers..... Why don't they just explain these things clearly and boldly. I have always been on prepaid....easy, no confusion.

Zero dollars up front is probably technically correct .... but sneaky.

johnr

19282 posts

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Inactive user

#508537 18-Aug-2011 13:00

Do you pay for the petrol in your car before or after you use it?

lostangel

163 posts

Master Geek

#508538 18-Aug-2011 13:03

johnr: Do you pay for the petrol in your car before or after you use it?

Generally after it's placed in the car!

Vodafone never used to charge this way either, when did you guys change?

Lifejockey

11 posts

Geek

#508539 18-Aug-2011 13:04

johnr: Do you pay for the petrol in your car before or after you use it?

Red herring..

Postpaid (to me) means pay the bill at the end of the billing period.... LIKE your electricity bill.

NonprayingMantis

6434 posts

Uber Geek

#508540 18-Aug-2011 13:05

everyone charges this way AFAIK.

you pay in advance for the plan, and in arrears for any usage (extra minutes, data, txts, etc).

Postpaid has always been a wierd name. it should just be called 'on account' or 'pay monthly' or something.

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