Hidden charges on broadband to be looked into in 2008
January 7, 2008
According to a recent report officials from the communications regulator Ofcom will be launching an investigation into hidden fees and charges next year from broadband and mobile phone providers. The purpose of the investigation will be to identity these hidden charges, which have caused a flood of complaints from consumers, and to check that they are justified. The aim is also to increase transparency with regards to such charges so that consumers know exactly what they are paying for and why.
A number of hidden charges have been introduced by providers over recent years, many of which have outraged consumers. This includes high monthly charges for not choosing to pay by direct debit, charged for breaching unclear fair use limits, charges for hardware or postage, and very high charges for calling technical helplines when encountering problems with broadband.
One industry official stated: “Although headline prices have been dropping consistently over the past few year, even to the point of TalkTalk’s pioneering ‘free broadband. ISPs have found numerous ways to boost their profits through additional charges that are only explained in the small print. I welcome Ofcom’s decision to examine this issue, and hope that it will raise consumer awareness about the additional costs they face when signing up to many broadband packages, as well as encouraging providers to be more transparent about these ‘hidden costs’.”
He also added: “Both Virgin Media and Orange have been criticised for their premium-rate technical support lines but some providers, such as O2 have been listening to customer complaints and are offering free, UK-based technical support lines.”
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