2Degress are introducing a credit card fee

Forums › 2degrees (including Slingshot, Orcon, Flip, Stuff Fibre, MyRepublic, 2talk and Vocus) › 2Degress are introducing a credit card fee

1 | 2 | 3 | 4 | 5 | 6

29104 posts

Uber Geek
+1 received by user: 10219

Trusted

Lifetime subscriber

#1708423 24-Jan-2017 08:28

Got me looking at what I pay and where I could move to as well. I dont want 2 connections with the same ISP here so spark/bigpipe/skinny are out of the running, and wont deal with orcon or related brands because of many cases of terrible service from them, so that really only leaves vodafone and some of the bottom tier ISPs to choose from.

All this market consolidation has really screwed up choice.

Richard rich.ms

sbiddle

30853 posts

Uber Geek
+1 received by user: 9996

Retired Mod

Trusted

Biddle Corp

Lifetime subscriber

#1708426 24-Jan-2017 08:35

jfanning:

mattwnz:

Cash and eftpos is essentially free, as they tend to be fixed costs, no matter what the amount that is paid. eg Staff costs, and terminal fee.s Credit cards however have a scaled fee based on how much is paid. So I can see the logic with it.

However it is really a price increase for those people paying by that method of payment. IMO it is somewhat similar to companies downsizing their packets of foods, but keeping the same price.

Wouldn't the credit card fee costs be part of the contract 2D has with the credit card companies, and being the size they are you would expect them to have a good contract with low fees. It is just a money grab.

1.8% is a pretty good rate. They'll no doubt be on a blended rate to be negotiating that. Government departments that would have significantly more turnover than 2degrees pay 1.4% whrough Westpac who is the Government bank.

You have to remember interchange on premium cards (ie Platinum) is 2.10% and that excludes bank charges on top.

richms

29104 posts

Uber Geek
+1 received by user: 10219

Trusted

Lifetime subscriber

#1708429 24-Jan-2017 08:43

Ordered voyager vdsl.

Richard rich.ms

sen8or

1897 posts

Uber Geek
+1 received by user: 1402

#1708431 24-Jan-2017 08:58

Jumped onto 2deg site to change my payment options. Currently use a debit visa so have no issue switching to d/debit but my bank isn't listed (SBS Bank) and as there are no other options, can't go any further.

Painful

Guess this is the sort of thing that happens in the face of competition where margins are squeezed and bean counters look at cost savings methods to remain competitive.

ripdog

548 posts

Ultimate Geek
+1 received by user: 373
Inactive user

#1708436 24-Jan-2017 09:28

I can't believe nobody has mentioned this: If credit card fees are not charged separately, that means you're always paying for them even when you don't use your credit card. Credit cards have a cost, this is the real world.

I just changed my payment method to direct debit. Didn't even involve printing out a form. 2 minutes and done. Really worth a 4 page thread?

And what's wrong with direct debit anyway?

GGJohnstone

86 posts

Master Geek
+1 received by user: 5

#1708462 24-Jan-2017 09:43

Having paid a bill I have accepted the terms and conditions so the only option to reject the new terms is to leave.

We should agree that 2 Degrees have a cost in taking the CC payments and in all likelihood 1.75% is it. The reasons that it is in their interest is the automatic nature of the payment. For me the advantage was the powers of Merchant Rules in the Credit Card. No dirty tricks. However I feel that it is a breach of faith and a further distancing of the Snap Ideal that used to be; across the desk with the managers next door so to speak.

If I manually pay from a bank account that does not fee and leave the Credit Card option I am not bothered. None of their accounts to me have been paid without being checked and a few clicks more lets it be paid before the Credit Card can action a debit balance.

Waiting to see how the system handles a credit balance.

New World

Shop on-line at New World now for your groceries (affiliate link).

meesham

973 posts

Ultimate Geek
+1 received by user: 267

#1708466 24-Jan-2017 09:48

ripdog:

And what's wrong with direct debit anyway?

For me it's consumer protection and to a lesser extent I like earning rewards points (I always pay my CC bill on time so it works out well for me). If, for example, 2degrees screws up and double bill for a few months (which has been known to happen with some ISPs) I have the option of doing a chargeback if they then mess me around giving the money back, with direct debit I don't have that option.

GGJohnstone

86 posts

Master Geek
+1 received by user: 5

#1708490 24-Jan-2017 09:58

Totally agree. I do not want them to have access to a Bank Account especially since I have very little money and over drawn rejection type fees are an unwanted cost that 2 Degrees would have no regard for other than serves you right maybe. I like Hot Points which gives me some of the fee that 2 Degrees were obliged to pay.

It was good while it lasted.

vexxxboy

4339 posts

Uber Geek
+1 received by user: 2074

#1708491 24-Jan-2017 09:59

And what's wrong with direct debit anyway?

nothing in theory, but i never use them because i dont like any one having control of my bank account and my money except me. if a company can do direct debits they can do automatic payments and i havent met a company that will turn down getting paid on time.

Common sense is not as common as you think.

reven

3748 posts

Uber Geek
+1 received by user: 874

Trusted

#1708496 24-Jan-2017 10:05

direct debit == money taken out when they decide

credit card == you pay when you decide

If you have no money in your account when they try and charge you (say a birthday comes up, so you need to buy your kids birthday presents), hello bank fee. credit card I could just pay a few days later and not be bothered about it.

credit cards are more convenient, safer, and rewards customers.

so sure, I understand how some people don't have an issue. But I do have an issue.

For me a company that doesnt take credit card annoys me, similar to those who dont have paywave. Everything is going credit card payments, companies should just deal with it or risk losing customers IMO. I would be less bothered if they had a paypal option (with no fees).

nzkiwiman

2585 posts

Uber Geek
+1 received by user: 390

Subscriber

#1708505 24-Jan-2017 10:34

Handing over bank information to a company to take money from my account when they please scares the **** out of me. While it has never happened to me personally, I have heard the stories where a person stops a service with a company but the company still has the ability to withdraw money via direct debit because "it wasn't closed fully". For that reason I will never ever use direct debit.

Using a credit card allows me to control my payments - my roll over date is the 6th, my bill arrives on the 12th for payment on or before the 6th.
As I get paid monthly, I pay on my pay day at my convenience.
I also know that when I pay, it is instantly paid. Even using direct deposit, how can I be assured that the company has received my payment and correctly assigned it to my account (several companies I have used in the past have failed to do this simple task)

Geekzone support

Support Geekzone with one-off or recurring donations Donate via PressPatron.

tchart

2397 posts

Uber Geek
+1 received by user: 579

ID Verified

Trusted

#1708538 24-Jan-2017 11:08

ripdog:

I can't believe nobody has mentioned this: If credit card fees are not charged separately, that means you're always paying for them even when you don't use your credit card. Credit cards have a cost, this is the real world.

Correct however the cost of collecting from non/late payment (not using direct debit or credit card) is a bigger liability. Them eating the cost of $2 a month on a $100 spend shouldn't be an issue if the money is guaranteed on time. Unlike direct debits there is even more security with credit cards as they will seldom get rejected (lacks of funds etc).

I loath direct debits...

tchart

2397 posts

Uber Geek
+1 received by user: 579

ID Verified

Trusted

#1708540 24-Jan-2017 11:13

reven:

I would be less bothered if they had a paypal option (with no fees).

Off Topic but I was in California last week. You can pay at Home Depot with PayPal at the checkout.

ripdog

548 posts

Ultimate Geek
+1 received by user: 373
Inactive user

#1708587 24-Jan-2017 12:04

So, reply to a few points:

I can't reverse direct debits

Might wanna read the T's & C's: https://www.2degreesmobile.co.nz/termsofuse/broadband/broadband/direct-debit-authority-terms-and-conditions/

Where a variation to the amount agreed between 2degrees and the Customer from time to time to be Direct Debited has been made without notice being given in terms of clauses 2 and 3 above, request the Bank to reverse or alter any such Direct Debit initiated by 2degrees by debiting the amount of the reversal or alteration of a Direct Debit back to 2degrees through 2degrees’ Bank PROVIDED such request is made not more than 120 days from the date when the Direct Debit was debited to the Customer’s Account.

Sounds like a chargeback to me.

Handing over bank information to a company to take money from my account when they please scares the **** out of me

Unless you were doing manual payments before, that's exactly what giving your CC number was doing.

credit cards are more convenient, safer, and rewards customers.

Where do you think those rewards were coming from? From your wallet to your wallet, with a bit skimmed off the top. CC reward schemes are not a deal for you. I also found convenience the same, just type in bank account number and check the checkboxes.

The only point I really agree with is the fear of overdraft fees, but that sounds like an issue you should solve with budgeting, not easy access to credit. Not trying to judge, but budgeting is free and CC aren't, not to mention the temptation of spending more than you can afford.

AdamWarner

19 posts

Geek
+1 received by user: 1

#1708659 24-Jan-2017 13:26

nzkiwiman,

2degrees needs to clarify their approach to manual monthly Bill Payments. In the meantime this is working for me:

In https://secure.2degreesbroadband.co.nz/summary/profile both Direct Debit and Credit Card are unticked.

I have set up a Bill Payment using the Internet Banking details set out in https://help.2degreesmobile.co.nz/app/answers/detail/a_id/217.

Most importantly you need to enter your Customer Number correctly when you initially set up the Payee with your bank. If it is six digits put a zero in front of it.

Later check https://secure.2degreesbroadband.co.nz/summary/paymenthistory. You should see an entry like this:

2017-01-24 PAYMENT - Thank you: A/P 2017/01/23 XXXX XXXXXXX Payment $amount Balance $ 0.00

By checking this you can be assured 2degrees has received your payment. The Customer Number the bank passes on means 2degrees can match the payment to your account with 100% accuracy.

And since your bank stores the Bill Payment details you can be confident any future payments you make will be correctly received.

1 | 2 | 3 | 4 | 5 | 6