Admin fee increase

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ForumAdmin
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Re: Admin fee increase

Post by ForumAdmin » Sun Nov 09, 2008 9:48 am

CableGuy wrote:I think the general issue here is that the $3 increse has been slipped in under the "Admin Fee" banner. People understand the need to increase costs from time to time but being charge $3 to just pay a bill is ridiculous.
IT HAS NOTHING TO DO WITH PAYING THE BILL - hopefully for the last time.

Exetel's costs have gone up and we are very sure that there are now significant risks to our business that weren't there in the past.

We COULD have increased the prices of the current plans by $5.00 at the low end and $10 plus at the high end - which was a decision we very nearly made rightup to midday on Friday.

Instead of that we decided on the current course of action which, in thinking about it, addresses more precisely the issues that are causing us concern.

We understood, and understand, that price increases aren't ever well received.

Unless you believe we deliberately set out to alienate every one of our customers for no purpose then you would understand that the reasons were compelling and not undertaken without serious and long consideration.

coffa
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Re: Admin fee increase

Post by coffa » Sun Nov 09, 2008 10:10 am

I have already posted my bit in the wrong forum but I am not entirely happy with the increase either. I did some research yesterday and can not find any other ISP that can really match what I currently utilise with Exetel. I agree with some of what has been mentioned in this forum, particularly where payment by credit card should be charged more as an incentive to use direct credit. I have to wonder though, could Exetel have a small increase the download limit perhaps as a good-will gesture accompanying the extra charge and maybe only for those on direct debit?

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Re: Admin fee increase

Post by ForumAdmin » Sun Nov 09, 2008 10:28 am

nihonjin wrote:

further to this you could make this the new pioneer discount scheme and remove the old one. I know i personally receive a discount that is more then $3 but this way it makes it even across the board for everyone.
I don't think there woud ever be any circumstances where we would remove the Pioneer Discount.

ForumAdmin
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Re: Admin fee increase

Post by ForumAdmin » Sun Nov 09, 2008 10:30 am

thomashouseman wrote:I haven't had a chance to read the last 6 pages worth but I have a suggestion for ForumAdmin....

How about after a year or two years of no rejected payments / direct debits / CC charges etc from a user you then waive the $3 fee as a good payment reward?

T.
When we re-consider the circumstances after Christmas that may well be a good idea.

soaper
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Re: Admin fee increase

Post by soaper » Sun Nov 09, 2008 10:31 am

my butcher has raised his prices a lot more than the equivelant $3 a month.
and he hasnt raised amount the download of free dog bones either

so far there are no womans standing there harrassing him.

ForumAdmin
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Re: Admin fee increase

Post by ForumAdmin » Sun Nov 09, 2008 12:03 pm

coffa wrote:I have already posted my bit in the wrong forum but I am not entirely happy with the increase either. I did some research yesterday and can not find any other ISP that can really match what I currently utilise with Exetel. I agree with some of what has been mentioned in this forum, particularly where payment by credit card should be charged more as an incentive to use direct credit. I have to wonder though, could Exetel have a small increase the download limit perhaps as a good-will gesture accompanying the extra charge and maybe only for those on direct debit?
I'm not sure when you joined Exetel but over the last three months Exetel has increased downloads on virtually every plan except for the Powertel based plans.

bigbenhur
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Re: Admin fee increase

Post by bigbenhur » Sun Nov 09, 2008 12:06 pm

It seems to me that you are introducing some fat here.

Is it not the case that everyone has to pay somehow and everyone has to pay this $3.00 fee?

So, why don't you just increase your monthly plan rates across the board by $3 instead of trying to hide the additional cost as an extra fee? Is it so your advertised rates for service appear lower than the real cost that we pay? That sounds like the fine-print and deceptive stuff we are used to from our friends at Telstra and Dodo and not the straight-up, no-nonsense stuff we expect from Exetel.

While you're at it why don't you split out your monthly charges into Exetel admin component, electricity component, traffic component etc, etc??? It's the same logic. What's so special about the payment processing fee that gives it special status such that it gets to be separated off???? Honestly, whose policy is this? Could you please sack the marketing genius at Exetel who thought up this initiative, because that is the fat I am talking about. Is this person proud of such a crap policy? Were they hired from Telstra? Get back to being real guys.

Yes I will stick with Exetel. Yes I think you guys a good. Doesn't mean I have to like this little grubby policy however.

Everything you do matters. Either good or bad.

Please note: you can not reply to this email because you will never get it because I cannot reply to your e-mail and this is not an e-mail.

Cheers.



-----Original Message-----
From: Exetel Notification [mailto:donotreply@exetel.com.au]
Sent: Friday, 7 November 2008 5:06 PM
To: mrnoreply@exemail.com.au
Subject: Increase In Account Administration Fee

Dear Mr

Exetel currently charges an 'administration fee' of $1.10 per monthly customer account to those customers who pay by credit card . currently customers paying by direct debit are not charged an 'account administration fee'.

This email is to give the contractually required 21 days notice(today being 7/11/2008) that from the 1/12/2008 (in 23 days time) Exetel will be increasing this 'account administration fee', on all accounts irrespective of whether they are paid by direct debit or by credit card, to $3.00 per customer account each month.

Should you consider this fee increase constitutes a significant variation in the terms and conditions of the supply of services to you by Exetel then you should make arrangements to transfer your current Exetel services to another provider prior to midnight on 19/12/2008 (in 42 days time). Should your service still be in contract there will be no contract early termination penalty if you elect to terminate your service on or before 19/12/2008.

This notice period, is in accordance with relevant Federal legislation (Telecommunications Act) & Industry Standards.

Exetel operates its business extremely efficiently by automating as much of its back end processes as is possible and by charging the absolute minimum it is able to for its services without incurring a trading loss. We have absolutely no 'fat' in either the staffing of our operation or in the pricing of any of our services and therefore have no 'reserves' to deal with adversely changing circumstances in the Australian economy and in turn how those adverse changes may affect our ability to continue to operate.

If it had been, prudently, possible to not increase this fee then we would not have done so. In our judgment, after a great deal of consideration and analysis, it is necessary for us to ensure we are able to continue to provide services at the levels we currently do in to the near and medium term future.

We also understand that no increase of price in a service is ever welcomed by any user of services. Should you decide it's in your best interests to change your Exetel service(s) to another provider we will be sorry to lose you as a customer and thank you for your custom and wish you every success with your new provider in the future.

Annette Linton, Steve Waddington, John Linton

---------------------------------------------------------------------

Please note: you can not reply to this email.

wurzel
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Re: Admin fee increase

Post by wurzel » Sun Nov 09, 2008 1:08 pm

There's obviously two sides to this and strangely enough I agree with both

1. Exetel have introduced a new compulsory fee announced in an email which refers directly to how a user is billed (either via Credit Card or Direct Debit) but is also saying
ForumAdmin wrote: IT HAS NOTHING TO DO WITH PAYING THE BILL
which is a little contradictory.

However...

2. Exetel is so far a very reliable provider who offers a well priced plan for my needs, and therefore I'm very unlikely to switch. I've also referred a couple of people and benefited from the rebates. Instead I'll switch payment from Direct Debit to Credit Card which I find more convenient (but ironically will slightly increase Exetel's costs.)

ForumAdmin, you already said things will be reviewed after Christmas re: prepayments of more than one month. Is there also a possibility the $3 fee could be dropped/reduced after Christmas if the economic climate improves back to how it was before the global downturn started?

Cheers

Shadowcats
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Re: Admin fee increase

Post by Shadowcats » Sun Nov 09, 2008 1:39 pm

Being on a pension myself costs are tight and we all hate price rises in anything but if thats what needs to be so be it.
I'll just cut out one cup of coffee a month :D
I'm still more than happy with Exetel and there service.
Image

ForumAdmin
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Re: Admin fee increase

Post by ForumAdmin » Sun Nov 09, 2008 3:32 pm

Shadowcats wrote:Being on a pension myself costs are tight and we all hate price rises in anything but if thats what needs to be so be it.
I'll just cut out one cup of coffee a month :D
I'm still more than happy with Exetel and there service.
Thank you for your support.

What happened to your beautiful avatar?

ForumAdmin
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Re: Admin fee increase

Post by ForumAdmin » Sun Nov 09, 2008 3:34 pm

wurzel wrote:There's obviously two sides to this and strangely enough I agree with both

ForumAdmin, you already said things will be reviewed after Christmas re: prepayments of more than one month. Is there also a possibility the $3 fee could be dropped/reduced after Christmas if the economic climate improves back to how it was before the global downturn started?

Cheers
When the future becomes clearer (and I don't think Exetel is the only company to be very, very unsure of what is going to happen) then we wil reassess the situation.

Gidget
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Re: Admin fee increase

Post by Gidget » Sun Nov 09, 2008 3:49 pm

ForumAdmin wrote:What happened to your beautiful avatar?
They have escaped :mrgreen:
http://forum.exetel.com.au/viewtopic.ph ... 74#p225874

Gidget
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soaper
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Re: Admin fee increase

Post by soaper » Sun Nov 09, 2008 4:57 pm

Shadowcats wrote:Being on a pension myself costs are tight and we all hate price rises in anything but if thats what needs to be so be it.
I'll just cut out one cup of coffee a month :D
I'm still more than happy with Exetel and there service.
that is ok for you :lol: :lol:

for me it equals about 8 cans of diet Pepsi (at on special prices)

i have cut back already so i dont get the DTs as i dodder around

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Re: Admin fee increase

Post by ForumAdmin » Sun Nov 09, 2008 5:43 pm

bigbenhur wrote:
1) It seems to me that you are introducing some fat here.

2) Is it not the case that everyone has to pay somehow and everyone has to pay this $3.00 fee?

3)So, why don't you just increase your monthly plan rates across the board by $3 instead of trying to hide the additional cost as an extra fee? Is it so your advertised rates for service appear lower than the real cost that we pay?

4)That sounds like the fine-print and deceptive stuff we are used to from our friends at Telstra and Dodo and not the straight-up, no-nonsense stuff we expect from Exetel.

5) While you're at it why don't you split out your monthly charges into Exetel admin component, electricity component, traffic component etc, etc??? It's the same logic.

6) What's so special about the payment processing fee that gives it special status such that it gets to be separated off???? Honestly, whose policy is this?

7) Could you please sack the marketing genius at Exetel who thought up this initiative, because that is the fat I am talking about. Is this person proud of such a crap policy? Were they hired from Telstra? Get back to being real guys.

8)Yes I will stick with Exetel. Yes I think you guys a good.

9)Doesn't mean I have to like this little grubby policy however.

10) Everything you do matters. Either good or bad..
1) If you mean we are attempting to generate enough money to stay in business - that would be correct.

2) Yes - each customer account will be charged $3.00

3) Because many Exetel customers have multiple services and it would disadvantage those customers by paying multipe increases for their different plans.

4) It is impossible for me to comprehend how a direct notice to everyone involved can be regarded as deceptive. If you are referring to new users then it is clearly stated on the order form and they have to acknowledge they undertand that before they can order. I would think it would be mpossible for a rational person to form the view its "deceptive".

5) It isn't the same logic at all.

6) Only your total misunderstanding, quite possibly caused by the inepty worded email (and the fact that you haven't bothered to read this thread or the actual email sent to you) would lead you to make such an assumption - this charge has nothing to do with payment methods.

7) That would be me - the idiot that put up $A2 million for the privilege of working 80 to 90 hours a week, every week, for almost the past 5 years to provide services at lower costs than any other provider in Australia and, if my faulty memory serves me correctly, I have never worked for Telstra. I would willingly sack myself so that I could have some sort of life but the problem is that I can't find anyone to work the ridiculous hours for the pittance I earn (and haven't had a salary increase for over four years) with some semblance of the knowledge and experience to run the business in a way that 90,000 customers get services for less money than they would have to pay if Exetel didnt exist.

8) Thank you for your support.

9) Grubby? Hard to see how - but then......

10) I agree.

Mort
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Re: Admin fee increase

Post by Mort » Sun Nov 09, 2008 10:19 pm

I just noticed an add flash past (in one of the ad boxes) on the Exetel web site saying "ADSL only $30/month". Technically this is no longer true as it will actually cost you $33/month if it is the only Exetel service you have. It might be wise to add the little * for condition of the +$3 admin fee as it now appears there is now no way that you can avoid paying that?

Just pointing it out before someone makes a formal complaint to the TIO or other consumer protection authority.

I am curious though about the statement made that the fee was to cover the risk of bad payments etc. As an Exetel customer of quite some time I feel a bit dissapointed to now be considered a risk when I haven't missed a payment on any service with you or demonstrated being such a risk. Treating all clients as the same risk regardless is sad. Can't say I'm happy about the extra fee, but overall value is still good so I'll just suck it up as a part of doing business. I'd rather pay the extra $3 than have you shutdown and have to find another provider.

One last thing, now that the fee applies regardless of payment type, when should I switch to credit card payment without incurring the current fee (given my DD is still free till the change)
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