Late fees for a subscription that hasn't started, and an invoice that was never sent.

So, sometime in late December, I registered for Motorpass for my company. I never received any correspondence from them until 17th of January, in which I received the card and I activated it (to clarify, the card MUST be activated to be used. This is not optional; without activation, the card is useless).

This morning I received an invoice for ~AU$150. This is the first ever invoice they've sent me. This totals 3 emails from them, the first being account activation, the second being confirmation of activation, both in mid-late Jan.

The breakdown of the charges are
Previous month ~$61. (registration and monthly account fee)

This I got slapped with a ~$150, of which only ~$50 is fuel, late Fees ~$27.xx, and another monthly charge. (I haven't been travelling on the business vehicle much on the count of holidays).

I called them moments after receiving the bill and was told they'd waive the fee out of "good will". Now, I have dealt with billing departments a whole lot, so I know what this means. It means they record that they've done you a favor, and the consumer is admitting fault. I kindly refused this as acceptable resolution. I wanted a proper resolution so I requested my first invoice or proof they've sent the invoice (ie. forwarding the first email with the time stamp). The person on the phone repeatedly told me that the policy is that they waive it once off. They are not going to produce any proof they've sent the invoice, again, citing that it is "policy" without actually telling me what the policy is. I'm also told that I need to pay in full before they can resolve any billing issues (someone please advise if that's a rule/law here. As far as I know, I don't pay until I am satisfied or the correct invoice is sent to me).

I don't have much time to talk to them, I hang up and promptly paid. I sent proof of payment to them and asked them for the account to be closed. I am told I cannot have my registration fee waived (although I am not satisfied with their "service" and its only been 2 weeks), and I have to pay for the month ahead, and the month before my activation.

Overall, I'm out $100 bucks to hold their card for 2 weeks, and used once.

Editing to make charges clearer.

Related Stores

motorpass.com.au
motorpass.com.au

Comments

  • +1

    I'm confused.

    What are you disputing? Just the $30 late fee, because you didn't receive a bill? How does that become the $100 at the bottom of your posting?

    If this month's bill is $60, and $50 of that is fuel, what is the other $10 for? What is last month's $61 for? Are you disputing some or all of that as well?

    • Disputing $30 late fee, $12 fee for a month's "service" during which time I haven't even received the card.

      Further disputing the need to pay for the next month's "service" despite cancelling the account and not being able to get my registration fee despite having unsatisfactory service even before a full month is up (unless being billed for 2 months in 15 days is considered justifiable).

      The ~$10 (which is really $12.23) is a service fee. I don't mind paying a service fee for the card as it tracks my odometer and fuel usage. Also, the monthly statements can be used instead of collecting individual receipts for tax deduction purposes. My gripe is with the "policy" and overcharging when I have barely even got the card.

      • I suspect that this is all covered in the agreement you signed. The late fee certainly is. Many subscription products do not have pro-rata accounts, but they did offer to waive at least some of it for you and you refused.

        I'm still confused about the $100 too - $30 late fee plus $10 monthly fee is a lot less than $100.

        • They haven't offered to waive the fees (only the late charges). They are still charging me the fees for the month I that I did not have a card from them, and the late fees for not paying for said month. I would have cancelled the whole account have I even received an invoice for such stupidity.

          The charges are
          $50 for signing on (which were hidden in the T&Cs, but I'll let that slide)
          $12.23 per month x 2
          $27 for late fees
          $50 is my actual fuel charges

          What made me tick was the fact that they have the audacity to charge a late fee when they didn't send an invoice, they can charge before they provide a service, and they will continue to take payment for the month ahead despite not being able to answer for any of the aforementioned concerns.

        • They haven't offered to waive the fees.

          Your original post said:

          I called them moments after receiving the bill and was told they'd waive the fee out of "good will"

        • @pjetson: I realized that would be misinterpreted and have made an edit seconds after. They did offer to waive the late charges, not the monthly fee. Just to clarify.

  • Why deal with people like Motorpass? It is because of consumer complacency that second rate companies continue to exist. Tell them to get stuffed.

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