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Old 03-15-2007, 09:36 PM
Roger Mills
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Default Re: Form letter for direct debit surcharge complaints

In an earlier contribution to this discussion,
Paul Harris <nospam@127.0.0.1> wrote:

>
> In simple terms the charge does not reflect the cost incurred which
> means that they are profiteering from the exercise. That means that
> the question is do you think that charging £4.50 for a 50p cost is
> fair and reasonable?


Since when has *any* business been compelled to charge its customers what is
fair and reasonable? Businesses price their products according to what the
market will stand, and keep their costs as low as possible in order to
maximise their margins. It was ever thus!

Are you saying that *every* aspect of BT's pricing should reflect their
direct costs plus a small markup? You might say that inclusive call packages
are unfair because some people make lots of 'free' calls while other make
only a few. Why should daytime calls be charged at a higher rate than
off-peak - they use the same amount of electricity?!

Any company, if it is to stay in business, needs to have a business model
which ensures that it turns in a profit *overall* - with some parts of its
operation necessarily being more or less profitable than others.

On the specific question of paying your BT bill, you have (at least) two
options. You can pay by Method 1 at Price A or by Method 2 at Price B. It's
your choice. Why does Nanny State need to interfere if it considers that BT
makes more profit from one option than the other? Customers are free to
choose the cheaper option!

As I've said several times today already, if BT are forced to reduce or
eliminate the differential, they'll find another way to recoup their
revenue - with the almost inevitable result that prices will go up for
*everyone*! They'll probably then make even more profit, because everyone
will have to pay the equivalent of the non-DD price.
--
Cheers,
Roger
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