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Jamp
Beginner
1,397 Views
Message 1 of 14

Back charges

I believe BT are very wrong on backcharging you when you have paid upfront at an agreed price.

We pay ahead each quarter for our packages at an agreed price but when the next quarter bill come with an increase BT have the audacity to refund your money from the last quarter and recharge you at the new higher rate. To me this is morally wrong and should even be illegal. 

Does anyone agree?

 

 

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13 REPLIES 13
StewM
Distinguished Guru
1,388 Views
Message 2 of 14

Re: Back charges

Hi, why would you call it illegal? The year is split into different segments. You chose to pay quarterly and so they will charge you three months ahead, others chose monthly and therefore get charged one month ahead. If there is a charge increase then this acts at a single point. You get refunded and recharged at 3 months or 1 months depending on how you pay the bill. Simple to me.

I presume if you started a new contract at a lower rate you wouldn’t expect a refund for period you paid ahead on the old contract?

Stew

pottyperson
Distinguished Guru
Distinguished Guru
1,368 Views
Message 3 of 14

Re: Back charges

StewM is right. When price increases are announced you get the opportunity to cancel your contract without penalty; if you don't cancel you're deemed to have accepted the impending increases.  Accordingly, payment of a bill between announcement and implementation of the increases will mean that you're only paying the agreed amount up to the implementation date. The advance charges from the implementation date and the end of the billing period will be underpaid and the shortfall recovered in the following bill.

The alternative would be for bills which straddle a price increase to be divided at the increase date. That would overcome the imagined skullduggery by BT but at least you'd be able to start paying the higher amount earlier.

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Jamp
Beginner
1,329 Views
Message 4 of 14

Re: Back charges

It’s all about how you treat your customers (Not very nicely in BT’s case)  I have been a BT customer for 20yrs but  I suppose loyalty on either side has gone out of the window in business these days. Just think how much BT make from everyone paying upfront in the first place when that money should be in their own Bank account.  The interest on that amount also goes in BT’s pockets. I have to admit though I never thought about monthly payers as I have always paid Quarterly. I just think it would be good for everyone if the charges only came in when you next bill came, a happy customer will stay with a good company. 

 

 

 

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pottyperson
Distinguished Guru
Distinguished Guru
1,322 Views
Message 5 of 14

Re: Back charges

I think you'll find that all providers bill recurring charges in advance, so there's no such thing as a good company by your criteria. If you've been a customer for 20 years you must have come across all this before as there's nothing new in it.

You might feel a bit better by switching to monthly billing.

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StewM
Distinguished Guru
1,319 Views
Message 6 of 14

Re: Back charges

How is BT not treating its customers nicely?

Stew

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Jamp
Beginner
1,285 Views
Message 7 of 14

Re: Back charges

I spent several years working in billing, for a company that provided this service for others. No utility companies charged ahead unless you wanted that arrangement. Mobile phone companies may have been different. I left before they took on the BT account. I think my best option would be to get rid of my landline with it's extra charges, it is barely used apart from people (usually with an Asian accent) calling pretending to be BT. I am not being racist at all, I see many people have this problem. 

 

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gg30340
Distinguished Sage
Distinguished Sage
1,276 Views
Message 8 of 14

Re: Back charges

Unless you are on monthly billing, you did agree to the way BT charges you in advance.

If you have broadband, unless it is with Virgin, you can not get rid of your landline. You need it to deliver broadband.

pottyperson
Distinguished Guru
Distinguished Guru
1,265 Views
Message 9 of 14

Re: Back charges

Utility companies generally can't charge in advance because the bulk of their bills comprise variable usage costs, the recurring element often being tiny. It's the opposite with communcations providers because the package structure means that monthly totals are fairly constant; variable costs are charged in arrears just like the utilities.

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Jamp
Beginner
1,256 Views
Message 10 of 14

Re: Back charges

Of course I agreed to paying in advance, my main argument is the back charges. Obviously I would keep my landline for the broadband. I  should have said my landline phone. I would hopefully then lose the extra charges for caller display, ringback etc. Everyone just uses a mobile these day anyway. That’s providing BT provide that service I will have to check.

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