phone cancellation fee £230

[g1057]

wife has a small shop, her shop phone is with XLNTELECOM, and has been since 2004, , however after finding a better deal online she cancelled the contract with XLN, today in the post she received a bill from XLN for £230 as the cancellation fee stipulated in the T&Cs. My wife however cannot find her original contract from 2004, surely a cancellation fee was not around at this time and the fee does seem a bit steep.

[factor-fiction]

It does seem steep! In my experience these large cancellation fees only apply in the first year or so but it all depends on the contract - it's important to check on notice required and fees due before cancelling.

[hc4361]

They have a rolling contract - this is from the T&Cs

This agreement will have the duration specified on the contract, which was included with your application confirmation letter and will be automatically renewed at the end of the period unless and until either of us gives the other written notice of termination at least 42 days before the relevant anniversary.

[hc4361]

And:
If the agreement is terminated without notice you will:

a. Immediately pay any outstanding invoices.
b. Reimburse XLN for any costs paid by XLN towards the cost of releasing you from your contractual obligations with BTTM or any other network provider prior to transferring XLN’s service (if applicable).
c. Reimburse XLN for the cost any equipment provided free of charge (if applicable),
d. Pay us (in addition to clauses 4a and 4b) a minimum disconnection fee of £199 + VAT should you terminate your contract without notice.

[Old_Geezer]

Bit off this wasn't dscussed when the termination request went in. I'm sure no one would mind staying a further 42 days. Doesn't exactly put them in a good light. One wonders if such an extortionate condition is allowed, but I guess it must be.

[g1057]

shouldnt they inform us on the anniversary of each rolling contract ,something they have never done...

[hc4361]

I have never been informed of the anniversary of my rolling contracts.

[hc4361]

I do agree with Old Geezer though - the cancellation fee should have been discussed when she terminated the contract.
Did she cancel over the phone?

[g1057]

been on the phone again to them, after negotiations , and apologies, offered to near enough match online offer , fair play to them..... sorted, thank you for all your replies, oh ,and sending us copy of original contract

[gingejbee]

..And DO keep it in a safe place, this time!

[sherrardk]

My husband's business phone is with XLN Communications and I just mentioned this to him - he has asked me to ask you who you found the better deal with. Thanks.