2/15/2013 11:36:19 AM
Britons 'overspending £1bn on contracts'
Almost half of Britons are overspending on their monthly tariffs, costing them more than £1bn a year.
New research from price comparison site uSwitch.com said Britons who overshoot their allowances typically overspend £100 per year, with almost one in ten being charged an extra £25 per month. The main causes of exceeding a tariff are calling premium rate numbers (26%), being hit by roaming charges (21%) or phoning competition or voting lines (12%). In total, 48% of consumers exceed their allowance but 12% of them do not know why they are overpaying.
Ernest Doku from uSwitch said: 'The problem isn't necessarily a cavalier or complacent attitude to these charges, but the fact that people just aren't aware of how much they are going to cost. Simply being aware of out-of-tariff charges can save pounds each month and itemised bills are a great way of monitoring usage, and keeping tabs on whether the deal you have is right for you.'
Out of bundle spending is a big revenue driver for operators but consumers are increasingly watching how much they use. Earlier this month, Vodafone said a drop in out of bundle spending contributed to a fall in service revenues of 5.2%.
Author: Graeme Neill