Telecom raising some prices on the quiet.

Forums › Spark New Zealand (including Skinny and BigPipe) › Telecom raising some prices on the quiet.

farcus

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#59977 15-Apr-2010 22:12

Have a friend who works at telecom who has told me that some of their prices are increasing (effective today) and the decision has been made not to inform the customers prior to the price increase.

The prices on the rise are . . .

late fees from $7.50 to $11.00
& connection / reconnection fees from $53.00 to $60.00

this seems to go against their own term & conditions where they state that they will inform by emailing or writing at least ten days prior to the price increase.
perhaps becuase of the types of charges they fall outside the t&c??

Can understand them wanting to keep these price increases quiet after all the flak they have taken recently. Might find it comes back to bite them though.
Also interesting these price increases are being introduced at a time when telecom have announced decreased earnings - so perhaps they are trying to claw some money back.

nzbnw

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#319090 15-Apr-2010 22:18

I would suggest you're friend hasn't given you the full story around notification.

Have you had a late payment fee on you're bill in the last 6 months?

nzbnw

farcus

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#319093 15-Apr-2010 22:24

no - but he did mention that those who have had a late fee previously will receive a mail insert during May. But this would be almost a month after the late fee increase was introduced.

nzbnw

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#319096 15-Apr-2010 22:29

Well you would receive you're bill before it's due date, and there would be some time before a late payment fee would be incurred resulting in more than 10 days you mention above in terms of notice of the pricing change.

nzbnw

farcus

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#319100 15-Apr-2010 22:34

nzbnw: Well you would receive you're bill before it's due date, and there would be some time before a late payment fee would be incurred resulting in more than 10 days you mention above in terms of notice of the pricing change.

nzbnw

That doesn't make sense.

e.g. get bill dated 16 April with an $11 late fee because i didn't pay the March account. Get another bill 16 May with an insert advising me the late fees are increasing to $11. - Bit late - I already know cause I got a late fee increase the previous month.

And how about the other fees?

nzbnw

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#319103 15-Apr-2010 22:38

You're March account would have had a late payment fee of $7.50 (for residential) applied to it. If you are late paying you're April bill that however is a different matter and 10 day's notice has been given.

nzbnw

farcus

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#319106 15-Apr-2010 22:44

nzbnw: You're March account would have had a late payment fee of $7.50 (for residential) applied to it. If you are late paying you're April bill that however is a different matter and 10 day's notice has been given.

nzbnw

I'm sorry - but that is still not making sense.

If my March bill was paid late - i would get an $11 late fee on my April bill. I am not receiving any notification of the late fee increase until some time during May.

Checked here - seems the late fee increased 01 April - not today - perhaps this notice on the website meets the requirements of the t&c though?

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nzbnw

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#319118 15-Apr-2010 22:55

farcus:
I'm sorry - but that is still not making sense.

If my March bill was paid late - i would get an $11 late fee on my April bill. I am not receiving any notification of the late fee increase until some time during May.

Yes, but remember this fee would have been consumed in March, and likely billed in March although after your billing period, but before you new period ends and also before the new fee's apply, least thats how I understand it.

Checked here - seems the late fee increased 01 April - not today - perhaps this notice on the website meets the requirements of the t&c though?

Not sure, but I would suggest you're correct around the dates.

I hope we've got that :)

nzbnw

richms

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#319162 16-Apr-2010 01:46

When telecoms retail prices are regulated to the extent they are, its only logical they put up the other fees that are not regulated.

The late payment fee is totally avoidable in anycase so IMO is a non issue. Better that than a disconnect/reconnect fee.

I am more worried about what we will start to see with power reconnection prices and late fees - with smart meters and remote disconnecction, that will be a nice earner for them.

Richard rich.ms