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Despite several different laws being passed over the last 10 years or so, there’s still a lot of confusion in the broadband market. The increased competition has led to many ISPs trying to make their ‘advertised’ price as low as possible, while trying to make any other charges involved vanish into a lengthy terms and conditions contract that they hope nobody will read.
Not every provider out there is trying to deceive you and take your money, but when picking a new internet provider it certainly doesn’t hurt to be aware of just where you might find details about hidden charges.
Exit Fees
These days it’s really common to see providers taking on new customers without asking for a setup charge, in order to remain competitive. However, despite what you might think there is actually a cost that the provider has to take on when adding a new customer to their network. Normally, they recoup that cost by putting you on a contract, so when you leave early you’ll have to pay leaving fees that you would normally have paid at the start of your contract.
Leaving before the end of a contract can be very tricky and should only be done as a last possible resort. The ISP is completely within their legal rights to ask for all the money for the remainder of your subscription. There are ways to appeal this however, and if you can prove the service was bad and complain through Ofcom, you could get out of a tricky contract much easier.
Non-Direct Debit and other billing Charges
Like many other services, broadband providers may charge you for paying your bill through a service other than direct debit. The charge should exist purely to allow providers to cover the cost of dealing with whatever payment you normally use, but in reality this isn’t always the case. You could find yourself having to pay as much as £3 per month more than the advertised price if you don’t want to use direct debit. On a 12 year contract, that’s a hefty £36 extra to pay the way you want.
In addition, you might find that trying to get a paper bill rather than online copy could set you back another £1 – £2 a month. Ofcom recommends not paying more than £1.50 for this service, but many providers charge more. Shop around and you will find some that provide this as standard, however.
Premium Tech Support
The price of technical support should always be factored into any broadband service. There’s a high chance that something will go wrong with your provider within a normal 12 month contract, and even the most tech savvy user won’t be able to fix a problem if it’s being caused by the phone line itself, or the exchange. Technical support for an internet connection can mean calls lasting up to an hour, so checking out the price of those phone lines is crucial.
Some providers charge up to £1 a minute for technical support, while others offer it free of charge. It’s normally worth it to spend a little bit more on a provider and get the cheaper tech support than risking it and hope you won’t have to pay out. Think of it as insurance.
Other Problems
These are the main ‘traps’ that consumers fall into, but there are more. Telephone fault charges from BT, charges for sending out a ‘free’ router or charges for sending one back at the end of your contract. Then there’s late payment, VAT, extra data usage… it’s vital that you check up on the small print and do your research when choosing a provider. It could save you a ton of money later!
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