1The promotional pricing trap
- Promotional pricing is the biggest source of bill shock for Canadian internet customers. You sign up at $49.99/month, but that rate only lasts 12-24 months. When it ends, your price jumps $25-40 more per month.
- Your defences: Mark when promotions end. Set a reminder 30 days before expiration. Be prepared to call retention, switch providers, or accept the higher price.
- Better yet, choose providers like oxio that don't play promotional games. The price you see is what you continue paying.
2Equipment rental fees
- Modem and router rentals add $10-15/month. This cost is often buried in fine print or not mentioned until your first bill.
- Some providers quote 'equipment included' prices; others quote base prices separately. A $50 plan with included equipment beats a $45 plan with $12/month rental.
- Your options: Some providers allow you to buy your own modem. This requires upfront investment ($100-200), but eliminates monthly fees. Over two years, buying often saves money.
- Not all providers allow customer-owned equipment. Check before purchasing and ensure compatibility.
3Installation and activation charges
- Installation fees range from free to $150+ depending on provider and installation type. These charges significantly impact first-year cost.
- Self-install options typically cost less or nothing. The provider ships equipment; you connect it yourself. This works for straightforward setups.
- Professional installation is required for fibre to new addresses or complex situations. Expect $75-150 and advance scheduling.
- Activation fees are separate from installation. Expect $25-50, though some providers waive them during promotions.
4Early termination penalties
- Contracts often include early termination fees (ETFs) if you cancel before the term ends. Common charges: $15-20 per remaining month.
- Cancelling 12 months into a 24-month contract could cost $180-240. Promotional discounts are essentially subsidies you 'repay' if you leave early.
- Your defences: Avoid contracts when possible. Providers like oxio emphasise flexible terms. If you accept a contract, understand termination terms first.
- When switching makes sense despite ETFs: Calculate total savings over your remaining period. If switching saves $30/month and the ETF is $180, it pays for itself in six months.
5Service and administrative fees
- Various administrative charges appear without clear explanation. Service visits after installation may cost $50-100 if deemed 'customer-caused.'
- Paper billing fees of $2-5/month apply if you don't choose electronic statements. Always opt for email billing.
- Change fees for service modifications (speed changes, address moves) vary. Some providers charge $25-50; others handle them free.
- Your defences: Read your agreement. Question unexplained charges. Use electronic billing.
6Data overage charges
- While less common now, data caps still exist on some plans. Exceeding your limit results in charges or throttling.
- Most major plans offer unlimited data, but verify before signing. Some 'unlimited' plans have fair use policies that throttle speeds.
- Your defences: Confirm your plan is truly unlimited. If you have a cap, monitor usage through your provider's app.
7Unreturned equipment charges
- When cancelling, you must return rented equipment within 30 days. Failing to return equipment can cost $100-300 per device.
- Providers may not provide clear return instructions. Some require retail location visits; others accept mail returns.
- Your defences: Take photos before returning. Use tracked shipping and save tracking numbers. Get confirmation that equipment was received.
- Don't assume they'll waive charges. Providers pursue unreturned equipment fees aggressively.
8How to avoid hidden fees
- Before signing up: Ask for total monthly cost including all fees. Get post-promotional price in writing. Understand equipment and termination terms.
- During service: Monitor bills monthly. Keep records of your agreement. Set reminders for promotional end dates.
- When cancelling: Return equipment promptly with tracking. Confirm receipt. Monitor for unexpected final charges.
- Choose transparency: Providers like oxio build their model around transparent pricing. The true cost is often lower than promotional alternatives.
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Frequently Asked Questions
Equipment rentals ($10-15/month), post-promotional price increases ($20-40/month), installation fees ($50-150), and early termination penalties (up to $300+) are the most common hidden costs. Administrative fees for paper billing or account changes can also appear on your monthly statement. Reviewing the 'details' section of your bill often reveals these smaller but cumulative charges.