Have you signed up lately?

Over the last 15 years I’ve met many businesses to advise them on mobile and fixed communications contracts.  And whilst in the main, I think the telecoms industry is getting its act together, the difference between some provider’s T’s & C’s can be huge and it still surprises me how many sharp practices are around when it comes to contracts.Here are some areas to look out for to avoid falling foul of penalising contracts:

• Probably sounds like stating the obvious, but please ensure all salesman’s promises are confirmed in writing.

• Ensure you get a copy of the contract you are signing and never sign a blank contract, allowing the salesman to complete later. 

• Ensure you have a full copy of the terms and conditions associated with your contract and that the duration of the contract is clearly stated.  Be aware of quarterly contracts, 24 payments can easily be misinterpreted as a two year deal, however if it’s a quarterly contract you’ve just signed a six year deal!

• If you’re re-signing your existing contract, say at the halfway point; make sure it’s clear when the new contract will run to.  Some two year mid-term re-sign contracts start at the end of your current contract so you’re actually signing in to a three year deal. 

• Be clear on the conditions that apply to any equipment you are supplied; who has title of it, what happens to it at the end of the minimum contract term.  The same goes for any hardware fund, airtime credits or other incentives that are used to encourage you to sign.

• Minimum spend clauses can only ever benefit one party and it’s not you.  Your supplier should be committed to reducing your costs where possible, not penalising you for not spending enough.

• Automatically Renewable Contracts, whereby you only have a short timeframe at the end of the contract to tell the provider you don’t want to continue are another one to watch out for, although thankfully OFCOM have made a move to completely remove them from the market by December 2012.  If you’re on one now then speak to your provider about it.

And remember the golden rule, you get nothing for nothing and if something looks too good to be true then it usually is.

For advice on any aspect of your business communications, contact 8020 Ltd on 01387 250008.

Andrew Edgar
Managing Director
8020 Ltd
01387 250008
www.8020ltd.com