TPG finally taken to court over the $20 "deposit" issue

https://au.finance.yahoo.com/amphtml/news/tpg-taken-court-un…

Taken long enough. I vowed never to use TPG again after having to argue with them to get it refunded years ago (it was called a deposit back then, I think they changed the wording to prepayment later)

Not a huge amount and got it back eventually after a TIO complaint threat but pretty dirty way to do business.

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  • I am still with their adsl, as nbn has been pushed back multiple times where i am, i never got back 2 x $20, hopefully they refund everyone, scam from the start.

  • +4

    I am surprised it took them that long to be honest.

    When I left TPG - they initially refused to refund the amount held there saying it was forfeit. One threat to take the matter to the TIO later, it was refunded. A TIO complain costs much more than $20.

    • I am surprised it took them that long to be honest.

      Really?

      Were you dreaming that the telco sector was a well run, well regulated industry that didn't attempt to shaft consumers at every turn? Because this kind of crap has been going on for … decades now?

      • +1

        No, I was surprised it took the ACCC that long.

  • +2

    Huh - reading that, that is pretty egregious. A deposit, or prepayment, both have fairly clear definitions.

    • And to mention certain ACCC employee on OZBargain made it clear that ACCC do not go after "bad practice".
      Yet, we are reading this, ACCC going after "unacceptable", "unfair" practice.

      https://amp.theguardian.com/australia-news/2018/dec/04/tpg-s…

      • I'm afraid your gloating is premature. The ACCC isn't responding to an individual consumer complaint here.

        • So, according to you, it fine abuse 'individuals' as long as relevant body doesnt take action.

          I hope you dont have abusiness of your own. I would feel pity for your customers.

          • @Entropy Sky: Christ, have you zero reading comprehension skills? The point is that the ACCC isn't the right body to approach if you have a specific, individual, consumer complaint against a company.

            (No, don't answer that. I should've remembered that you didn't.)

            • @HighAndDry: Why dont you comprehend that ACCC do or dont go after "unacceptable" "unfair" practice?

  • +3

    go accc! the $20 prepayment fee has always pissed me off.

    • +2

      I remember seeing their plans and thinking it might be worth doing.

      A $20 deposit on calls was not unreasonable, but on a plan you have to sign into (IOW, start an account which can be used to bill against at no actual additional cost to TPG), it was not normal.

      Clearly it was the brainchild of someone that couldn't be trusted to run an account.

      When the ads started, I remember thinking they would get into trouble with consumers and the authorities eventually and end up being forced to make amends. As it turns out they got into trouble for stockpiling all the 'deposits', stealing the balances and it seems not for behaving badly in other ways (yet it somehow turns out to be a scam that netted millions).

      In charge of what was in effect a giant trust fund, but with almost no regulatory obligations, they clearly felt very entitled, and took what they liked.

      Knowing not to trust TPG as far as I could throw them I never used them. Now everyone gets their monies back its something, but I bet it is a drop in the ocean in comparison to how a lot of accounts were actually billed or charged during this time.

      I bet no-one lost their job over this- and they'll no doubt still do very well out of it despite the slap on the wrist. Perhaps the T in TPG stands for Thieves these days ;-)

  • Interesting. We just initiated a port from TPG. Lets see if they've learned something.

    • +3

      Oh they'll also charge you an $11 port out fee.

      • ^this happened to me too

        • In the process of arguing with them over the $20 deposit, got them to waive the port out fee as well.

  • +2

    Ah yeh forgot about those prepayments I made.

    • +1

      yeah me too….

  • +9

    TPG has sent my $350 early termination fee to debt collectors every year for the past 8 years now.

    TPG agreed, in writing (snail mail me a letter), now 9 separate occasions that the $350 has been waived and I do not owe it.
    Every year they send it for debt collection, and every year I send debt collectors the ever increasing pile of paperwork from TPG saying I don't owe it to them.

    The only reason I don't push back on it is because it takes me less than 5 minutes each year to deal with it, and I assume it costs TPG money each time this happens.

    I actually find it all very amusing and we look forward to it every year now. It's like a mini Christmas to us.

    • +8

      They probably sold the debt and only the debt collection agency who bought it are still trying to make something out of it.

    • +1

      " every year for the past 8 years now."

      For a debt you have not acknowledged, but disputed?

      FROM: https://download.asic.gov.au/media/1347476/statute_barred_de…

      Table 1: Limitation periods by state or territory
      State/territory Limitation period for <simple contract> <court judgement>
      Australian Capital Territory 6 years 12 years
      New South Wales 6 years 12 years
      Northern Territory 3 years 12 years
      Queensland 6 years 12 years
      South Australia 6 years 15 years
      Tasmania 6 years 12 years
      Victoria 6 years 15 years
      Western Australia 6 years 12 years
      When does the limitation period start?
      Time starts to run from the date on which the right of action accrued.
      While it is not always straightforward, a right of action usually accrues
      when a debt becomes due, either because the contract requires payment
      by that date or because the debtor defaults on regular instalment payment
      obligations set out in the contract. 6

      • Do you think TPG care about what ASIC has to say?

  • Isn't it normal not to get prepaid credit back? Also everyone knows the fee isn't refundable anyway so why do people get so angry.

    • +3

      The issue is that it is impossible to actually use $10 of that $20 prepayment.

      Every time your balance hits $10 or lower, it is auto-topped up to $20. Thus, it is impossible to use or get back the $10.

      Is that normal? No.

      • once you cancel the service, you can use the full $20.

        • +6

          Oh, fantastic. I can use their service after I cancel it.

          /sarcasm.

          • @[Deactivated]: That's your choice if you don't want to use it. Other telcos also don't refund prepaid credit.

            • +4

              @Savas: How does one use a service once it is cancelled?

              Other telcos actually allow you to use your prepaid credit.
              Other telcos do not force you "buy" prepaid credit for unrelated services.
              Other telcos do not force you to top up your prepaid credit.

              • @[Deactivated]: simply use up the $20 credit?

                • @Savas: But what if there are no services that you want to use it for?

                  You were forced to pay it, regardless if you wanted to or not.

            • +1

              @Savas: Other telcos let you use your credit

              • @Quantumcat: Why can't you do the same with TPG then??

                • +1

                  @Savas: ………….
                  ………….
                  Because they auto top up when you reach $10? Have you not been reading replies in this thread?

                  • @Quantumcat: You can ask them to turn auto top up off, yes that article is misleading.

                    • @Savas: Oh ok, I didn't realise that

                    • @Savas: Back when I was with them, there was no apparent way to disable auto top up.

                      Luckily their T4G plans no longer require any extra prepayment. Still try to get that $11 out of you when you port out though.

            • @Savas: This isn't prepaide credit. It is a deposit, with the stated justification that it is to be used for payments when credit expires. Your 'argument' appears comparable to suggesting a 10 cent deposit on a drink bottle need not be returned, as one wouldn't get a refund had one not drunk all the contents.

  • +2

    Yet another example of the hopeless private sector ripping off consumers.

    While numbskulls and politicians insist that the private sector delivers cheaper prices more efficiently even though every additional business competing makes the entire sector more inefficient as management, marketing, legal, accountants and everything else it takes to run a business is duplicated amongst fewer customers. Fewer customers that now have to pay shareholders as well as this gross inefficiency.

    The most efficient model is obviously NBN selling to consumers without duplicating management structures. This is the model in countries with cheap internet.

    That way you would also avoid the telcos long history of lying to and ripping off consumers with stuff like this deceptive charge.

    • +1

      Move to North Korea, the state runs everthing.

      Such an efficient regime. Such handsome leader.

    • Why haven't you moved to Venezuela yet?

      • Because he's moving to North Korea. Didn't you read about handsome leader?

  • +1

    Nothing in the article about fines or when money will be returned

  • My understanding of the pre-payment system is because they do not do Credit Checks on their services, so taking a prepayment means it falls under the prepaid category of the telecommunications act.
    Not refunding it when you leave is dodgy as though.

  • -7

    Guys really.
    Are you that tight that when provided a service you can't relax and give and take now and then.
    They're not necessarily ripping customers off, just covering basic costs and making a profit for their efforts.
    Tpg have provided to me about 10y of prepaid for $120, with almost no extra profit and haven't complained. I don't mind the little fees equivalent to 4 cups of coffee.

    • +1

      They're not necessarily ripping customers off,

      So what exactly are they doing? Just taking deposits and later refusing to them?

    • +1

      Haha, fair enough mate, but don't forget which site you are on ;)

      Anyway, it's not the amount, it's the way they go about it.

  • And to mention gyms does it 10 times worse than TPG, and can get away with it.

    With OZbargain ACCC employee and phd from Royal College of Ozbargain defending them.

    https://www.ozbargain.com.au/node/420331?page=1#comment-6685…

  • I argued this point when i signed up for ADSL2 initially but had to concede as they were the only firm that could offer what I needed.

    But seeing as NBN is a long way off for my area and I have not heard one positive thing about it from family or friends, im no rush to change my plan. Hopefully when the NBN rolls around TPG are abiding by the law.

  • With this bad experience, I've never use any tpg products again.

  • I was one of the first customers of iiNet part of TPG (early 90's) .
    I was not on a time contract. I found out that a new time contract which came in about a year ago was much cheaper. I asked to be on the new scheme and for a credit back. They refused saying I have to keep looking at changes on the web and ask for a change then. I thought new charges would supersede the old ones especially when I was not on a time contract. Even the customer officer dealing with me was sympathetic. The time spent arguing lasted many months and cost much more of their time than the credit asked for. WA Fair Trading was the worst. The woman said the company is right in law it is up to me to check. and was very impolite. That may be why iiNet was not worried about complaints. I finally located a email of a TPG director and within minutes of my email, I got apologies and a lot of offers of help from the WA Management. It seems some junior supervisor got it wrong, they would have upgraded me.

    PS My experience with fair trading in 2 states etc was very poor. They also do not have any legal power. A supplier who even sent me an RA to return an item flatly refused to take any calls from Victoria Fair Trading who unlike WA was friendly and helpful told me they have no enforcement power, but I will win if I turn up in small claims court in Melbourne for about $130. It seems the trick is to delay compensation past the 3 months for Paypal to act.

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