It pays to read the fine print.
If you feel your current NBN plan is costing you too much, or you’re simply not satisfied with the service you’re receiving, then you may be considering switching NBN providers. It’s a perfectly common thing to do, especially since the majority of the best NBN plans work on a no lock-in contract basis, giving you the freedom to change providers whenever you want – at least in theory.
That’s because while the actual process of switching providers can often be completed within just a few hours (depending on the type of connection you have), not all NBN providers employ the same cancellation policy. It’s this lack of continuity between policies that can catch plan switchers out, to their financial detriment.Modem. Mo’ Money.
A select few internet service providers (ISPs) place an extra charge on their supplied modems if you cancel within a certain period of signing up – Optus is a good example of this. While the telco doesn’t impose any cancellation fees and says you are free to cancel at any time, you will be liable to pay for the modem to the tune of AU$8.50 per month for every unused month within an initial 36 month period. That would be AU$204 if you switched to another provider after being with Optus for a year.
Fortunately, most providers don’t mimic this policy and instead either give you the option to return your modem to avoid an extra fee, or you keep the modem with nothing more to pay if it’s been purchased upfront when signing up for your new NBN service.The ‘Big Three’ cancellation policies
So, what are the cancellation policies of some of Australia’s best-known ISPs? We’ll start with the ‘big three’ of Telstra, Optus and TPG before giving a general overview of what you can expect from some of our favourite providers.Telstra
Telstra states you can cancel your NBN service by calling 13 22 00, messaging via live chat or visiting a Telstra store. When you cancel your plan, it will be cancelled immediately and you won’t receive a refund for any money you’ve already paid.
If you’re connected with Telstra and you want to switch to a new NBN provider, then we’d recommend checking your billing date and scheduling the new service to start at least a few days prior, and then cancelling your Telstra service when that new service is up and running.
