Companies that make money by cancellation

@LittleMel (14055)
Canada
January 11, 2008 7:51pm CST
2 years ago I signed up both my shop and my home for a fixed price program for electricity and gas. In the agreement it said that if the goods can be transferred I don't have to pay a dime if I cancel. Six months ago I moved my shop location and so my shop account was cancelled. I notified the company but never heard anything from them, and I keep the same phone number. Out of the blue a debt collector called us and so we called the company. We told them we never heard anything from them for 6 months so we will sue them for small claim, even if we lose they are not going to get the whole amount back. They told us it was a computer mistake and that because they can still send the goods to my home, then the shop cancellation fee is waived. In other words, they are not losing money completely. To me the cancellation fee is not reasonable in the beginning anyway. Because it's hydro bill that we pay every month meaning we won't owe any money for what we receive, so if we cancel this means they don't have to provide us anything means they don't lose anything, so what is the fee for? It's not like they will refund us anything, so why charge for something they don't have to do? Have you ever dealt with companies like this?
1 person likes this
2 responses
@williamjisir (22903)
• China
12 Jan 08
Hello dear LittleMel. I think that the company that offers you service is supposed to be blamed for it as you have already keep them informed of your moving to another place without doing business in the old shop. By the way, I do not have such a problem as we are running a business of our own. I am sorry for the unpleasant experience that you have had.
1 person likes this
@LittleMel (14055)
• Canada
12 Jan 08
I guess some companies just don't realize how lucky they are that I am only a small business with small budget. If they did this to a big corporation they would've been torn to pieces
1 person likes this
• China
15 Jan 08
Hello dear LittleMel. Thanks for the BR. Yeah, I am sure that they would have lost a lot if they had done this to a big firm. I hope that they have learned something from the past experience. Have a good day, LittleMel.
1 person likes this
@twoey68 (13651)
• United States
30 Apr 08
My friend has a cell phone that she and her b/f both signed up for. Their lowest possible monthly bill is $90.00 and usually it is more like $300-400 a month. I've suggested that they cancel them and get a house phone with unlimited long distance b/c she is home all the time with the kids. She says if she cancels it they will charge her $300 per phone to cancel. I would never have signed up for something like that. **AT PEACE WITHIN** ~~STAND STRONG IN YOUR BELIEFS~~
1 person likes this
@LittleMel (14055)
• Canada
5 May 08
I guess they are charging the one month bill as cancellation fee. 300 is a lot for cell phones I never heard anyone have to pay that much monthly, unless they don't have long distance plan.