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ACTEW AGL “Bundle and Save”

By 28 August, 2012 9

Long time reader, first time rioter :)

I’m half way through a two year bundle with ACTEWAGL for my phone, electricity and gas.

I’ve had these services with ACTEWAGL for the last 5 years and last year I was called by a salesperson asking if I’d like to “bundle and save”.  My most recent bill shows that I’m saving 3% on my electricity as a result of my commitment to ACTEWAGL.  To put that in context, the last bill shows that I saved $16 for the winter quarter.

After discovering a better deal for my landline with Internode I called TransACT to see what my break costs would be to remove my phone service from the bundle.

Apparently I’m up for $50 for each of the three services (although I’m really only dropping one).

So, to break a contract that saves me $16 a quarter (winter is our biggest electricity bill) or up to $128 for the two year contract, we still have to pay a break fee of $150 (when half of the contract is already passed).

I was repeatedly told by today’s salesperson that “I would have been told” the terms.  Honestly he’s probably right.  It’s also true that the original sales person would have had access to our consumption history and I’m pretty clear I wasn’t told “Hey, to save up to $128, remove your access to new competition and expose yourself to a possible break cost, liable, in full, for the contract term, that is well in excess of the full discount we’re offering, sign here”.

Pretty sure my enthusiasm would have been tempered.

Clearly it’s a case of buyer beware and I wasn’t as cautious of the deal ACTEWAGL was offering as I should have been.  I’m just putting this out there so that other consumers can be far more aware than this one.

Be careful of bundling.  Be careful with calls offering to “bundle and save”.  Be careful of our corporate citizen ACTEWAGL because what could be promoted as “saving you” could also be stitching you up quite thoroughly.

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9 Responses to ACTEW AGL “Bundle and Save”
#1
Zeital9:26 am, 28 Aug 12

people still use landline?? :P

anyways, you would have to expect that you would cop something like that to get out of a contract. is it never as simple and if it was they wouldn’t be doing so well

#2
mezza769:49 am, 28 Aug 12

Zeital said :

people still use landline?? :P

anyways, you would have to expect that you would cop something like that to get out of a contract. is it never as simple and if it was they wouldn’t be doing so well

No – I dont use my landline – but I forced to have one if I’m any chance to have broadband. It’s an unnecessary cost. I hate it and when I can get rid of it I’m going to catapult my landline phone towards Transact house.

I share the frustration with the bundling. Although I think this might end up going the way of bank break charges – I’m happy to pay out a contract depending on what’s left – but paying a break cost one month out from a 2 year contract at a few hundred dollars is plain profiteering, a penalty cost, and is uncompetitive behaviour.

#3
SSrb9:57 am, 28 Aug 12

Be careful. It’s $50 per service to get out of the bundle, but also another $200 to break the TransAct contract.

I’m in their FTTH territory so it was going to cost $300 to just connect uncontracted, with a much higher monthly rate so I just rolled with it (also because I have no other options). Hopefully iiNet will have improved the offerings by the time my contract expires in February.

#4
dungfungus10:20 am, 28 Aug 12

“bundle and save” rarely means “save a bundle”

#5
Jivrashia10:20 am, 28 Aug 12

Apparently I’m up for $50 for each of the three services (although I’m really only dropping one).

The more you deal with ACTEWagl (as well as TransACT) the more you become suspicious of everything an doubt anything.

When they introduced this “bundling” BS I immediately looked up and saw that ugly fine print about the contract cancellation fee of $50 PER SERVICE. And not to mention the discount is lousy at best.

This “bundling” is little to do with benefit to consumers (and loyal customers, such as OP) but to lock unwary people in in order to limit the effect of price competition. Though not illegal, frankly it’s an unethical business practise.

#6
Zeital2:05 pm, 28 Aug 12

mezza76 said :

Zeital said :

people still use landline?? :P

anyways, you would have to expect that you would cop something like that to get out of a contract. is it never as simple and if it was they wouldn’t be doing so well

No – I dont use my landline – but I forced to have one if I’m any chance to have broadband. It’s an unnecessary cost. I hate it and when I can get rid of it I’m going to catapult my landline phone towards Transact house.

I share the frustration with the bundling. Although I think this might end up going the way of bank break charges – I’m happy to pay out a contract depending on what’s left – but paying a break cost one month out from a 2 year contract at a few hundred dollars is plain profiteering, a penalty cost, and is uncompetitive behaviour.

I know I was making a joke, we have the same thing at home, I don’t even remember the last time i picked up the house phone to make a call XD

#7
Dilandach2:33 pm, 28 Aug 12

…the chick in the ad is hot at least.

#8
G-Fresh3:05 pm, 28 Aug 12

Dilandach said :

…the chick in the ad is hot at least.

Yep I would take them up on her bundle

#9
watto233:11 pm, 28 Aug 12

Zeital said :

people still use landline?? :P

anyways, you would have to expect that you would cop something like that to get out of a contract. is it never as simple and if it was they wouldn’t be doing so well

Yes because I have limited choice. Contrary to popular belief internet competition doesn’t exist everywhere in Canberra. eg. Tuggeranong exchange that servioces Greenway and Bonython only has Telstra services. So no naked DSL or affordable ADSL1/2.

I also laugh at the 3% savings on my rates each year if i pay up front. Seriously, If i saved the money i’d make more than 3% saving.

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