Just over two years ago, my sister purchased a Vodem and signed a two year data contract, $29.95 per month for 200mb.

Over the past few months her useage had gone up and consequently her monthly account was higher as she ended up using 500-600mb /month over a couple of months.   She dropped into the VF store where she had earlier purchased the Vodem and was told the reason her monthly costs had risen was that her two year contract had expired and she would need to re-sign for another two years to reduce her monthly costs.   She re-signed for two years without accepting any (nor was she offerred any) hardware upgrade or other incentive to re-sign.

Her monthly useage has continued to increase, consequently so have her monthly costs.   I was unaware she had re-signed when I advised her to get herself a fixed line broadband connection.   When she asked to cancel her data plan with VFNZ, she was told the break fee would be $300.   I have reviewed her monthly invoices thinking perhaps that when her first contract term expired her monthly plan fee had increased and by re-signing had perhaps been given a lesser monthly fee.  I seemed to recall in the eraly Vodem days the 200mb plan was $39.95 but reduced to $29.95 on a contract term.   This was not the case - her monthly data plan was consistent over the whole period, with extra data charges as her useage increased.

OK, so here'e where I have an issue...

Yes my sister re-signed a contract for two years and in doing so, agreed to a break fee.   However, I don't believe the information she was given by the store person was correct.   One normally re-signs a contract in order to perhaps gain a discount on new hardware or perhaps ensure maintaining a certain plan.   In my sisters case, she was advised to re-sign as this would bring her monthly costs down.   She was not told that her increased costs were to be expected as her data use was gradually increasing each month and offered a more appropriate plan.   Nor was she offerred any hardware upgrade.   Simply, she walked into the shop with an old Vodem and a 200mb/$29.95 data plan.   She walked out with her old Vodem, the same data plan, but now with a two year contract that she has to pay to get out of.   As I have told her, should she have accepted a hardware upgrade, contractually and morally she should pay the break fee, but since she has been given nothing by VFNZ (or in this case their franchise), she should not really have to pay a break fee.

Does this make sense?  It's very early in the morning and perhaps I'm rambling, but I'd appreciate your thoughts.   She has been met by blank stares at the store where she signed the "deal" - anyone know of a good place within VFNZ to start asking some questions?


Cheers

Darryn