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"Penalties" for leaving

beano
Grafter
Posts: 61
Registered: ‎03-12-2007

"Penalties" for leaving

I've just spoken to another PN customer in work who mentioned penalties for leaving that drop by a percentage each year.  I then saw a review on ReviewCentre.com which mentioned this same penalty and confirmed the percentage as 20%.
AFAIK when I signed up last November the only penalty for leaving within 12 months was that you'd have to pay for a router (if you took one, which I didn't) and that you'd have to pay for Migration (apprx £15 IIRC).
Can anyone explain this?
4 REPLIES
Community Veteran
Posts: 6,735
Thanks: 12
Registered: ‎02-02-2008

Re: "Penalties" for leaving

Quote from: beano
Can anyone explain this?

Yes, don't trust everything you read on t'internet.  Grin
If in doubt go to the source.
Community Veteran
Posts: 5,880
Thanks: 1
Registered: ‎05-04-2007

Re: "Penalties" for leaving

@Beano, it sounds like the old you stay we pay scheme, where activation and hardware was deferred over 5 years. If you left within the first year, then you would have to pay back the full cost of the deferred activation + hardware, if you left after a year, it was the full cost -20% for each full year that had passed.
It was scrapped and all customers still on it were changed to the deferred over a year scheme that is in place now.
Denzil
Grafter
Posts: 1,733
Registered: ‎31-07-2007

Re: "Penalties" for leaving

It is not a penalty for leaving, exactly. BT charge PN the activation fee when a new connection is set up. If you say for a year PN write off the cost. If you leave within the year they ask for a proportion of the fee back, so they don't lose money on a brief stay.
James
Grafter
Posts: 21,036
Registered: ‎04-04-2007

Re: "Penalties" for leaving

Hi Beano,
Assos has it pretty much nailed, but I'll confrm anyway.
We used to offer a "You stay, We pay" scheme, whereby the combined cost of Broadband Activation and Hardware were deferred over a five year period.  For every year that the customer remained with us, we reduced this cost by 20% if they were to cancel.
We now offer a single year deferred contract, meaning that if a customer remains with us for a year, these charges are written off.