Telstra's tough call on itemised home phone bills

TELSTRA customers who want the details of calls on their home bill will have to sign up for online billing or specifically request an itemised account.

By InvestSMART · 11 Aug 2010

By InvestSMART ·
11 Aug 2010

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TELSTRA customers who want the details of calls on their home bill will have to sign up for online billing or specifically request an itemised account.

The company's 7.5 million home phone customers have started receiving the new "summary" bills, which no longer show details for individual calls, such as those to mobiles and overseas numbers.

Community groups are concerned the move will disadvantage pensioners and people in share accommodation.

"The itemised account is a good way of being able to uphold your rights in a household," said Anne-Marie Elias, policy manager for the New South Wales Council on the Ageing.

She said many elderly people who rented out spare rooms relied on itemised billing to charge tenants their share of the utilities.

"[Seniors] are paper people they often [pay bills] at the post office they don't use online. They like their cheques," Ms Elias said.

Less than 25 per cent of people over 75 have access to the internet while only 11 per cent actually go online, a 2007 Bureau of Statistics report showed.

Last year, Telstra was forced to drop a $2.20 pay-to-pay fee after protests from community groups. A spokesman said customers who request itemised bills will not be charged extra.

"Our bills are now simpler . . . it will be easier to see the discounts and benefits we provide," he said.

The Australian Communication Consumer Action Network's Elissa Freeman said Telstra must make itemised bills available to customers who dispute charges after the fact.

When it comes to paying the phone bill, Telstra outperforms its rivals by not charging a fee for payments made at the post office or by direct debit from a bank account. Its main rival, Optus, charges a 1 per cent fee for debit or credit card payments, and $1.30 for payments at Australia Post.

Ms Freeman said telcos were competing heavily on upfront charges but gouging customers in a "fee fest" at the back end.

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Frequently Asked Questions about this Article…

What change has Telstra made to home phone bills and who is affected?

Telstra has started issuing new “summary” home phone bills for its 7.5 million home phone customers. These summary bills no longer show details for individual calls such as calls to mobiles or overseas numbers.

How can I get an itemised Telstra home phone bill with full call details?

According to Telstra, customers who want itemised call details must either sign up for online billing or specifically request an itemised account from Telstra.

Will Telstra charge extra for providing itemised billing if I request it?

Telstra’s spokesman said customers who request itemised bills will not be charged extra for obtaining an itemised account.

Why are community groups worried about Telstra’s move to summary bills?

Community groups say the change could disadvantage pensioners and people in share accommodation. Itemised bills help households allocate costs fairly—for example, seniors who rent out a room often rely on itemised billing to charge tenants their share.

How might the switch to summary bills affect seniors who don’t use the internet?

Many older Australians rely on paper billing and paying at post offices rather than online services. A 2007 ABS report cited in the article found less than 25% of people over 75 have internet access and only 11% actually go online, so switching to online-focused itemised billing could be a barrier for some seniors.

What does consumer advocacy group ACCAN say about itemised bills and disputes?

Elissa Freeman of the Australian Communication Consumer Action Network (ACCAN) said Telstra must make itemised bills available to customers who dispute charges after the fact, so customers can check call details when challenging a bill.

How do Telstra’s payment fees compare with Optus for phone bills?

Telstra does not charge a fee for payments made at the post office or by direct debit from a bank account. By contrast, Optus charges a 1% fee for debit or credit card payments and $1.30 for payments made at Australia Post, according to the article.

Why does Telstra say the new summary bills are better, and what broader fee concerns do consumer groups raise?

A Telstra spokesman said the new bills are simpler and make it easier to see discounts and benefits. However, consumer advocates warn that telcos often compete on upfront pricing while imposing numerous backend fees—described by ACCAN as a “fee fest”—which can gouge customers.