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Telstra remove fees if you hit your data limit, instead will cap your speed

Telstra will cap speeds of users instead of charging them for excess data usage

By Anthony Garreffa from Nov 7, 2011 @ 23:54 CST

In a surprising move, Telstra will cap users download speeds once they exceed their data caps in a bit to stop losses from customers refusing to pay blown-out bills. Telstra are going to scrap excess data usage charges for 3.4 million post-paid mobile and tablet customers within weeks, in a bid to stop so-called customer "bill shock".


Telstra will instead cap download speeds to a third of normal speeds and offer customers the ability to purchase pre-paid top-ups or wait until their next billing period kicks in. This move is thanks to the explosion of users who have rushed to get the latest smartphones and tablets, where Telstra have said they've lost tens of millions of dollars from people refusing to pay their thousand dollar plus bills after they exceeded their data limit.

Telstra consumer marketing director Maryanne Tsiatsias yesterday said that the initiative was an industry-first and would help customers keep their finger on exactly where they were to with their spending each month.

Personally, I have always kept tabs on my usage - thanks to widgets on my home screen on my Android-based handset.


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