Are you overpaying on phone and broadband services?

People who get their phone, broadband and pay-TV services from a single provider have been encouraged to consider switching if they’re out of contract.

According to Ofcom, people on bundled packages pay an average of £69 a month if they’re under contract.

But once the contract has ended, the average bill goes up to £78 a month.

So that means many out-of-contract customers could save more than £100 a year if they moved to a new deal.

How many people are out of contract?

One in three customers on these bundled packages were out of contract last year, Ofcom says.

But data also shows that in the last two years, about 3.5m people have switched their landline or broadband provider.

So it seems that many are actively taking steps to get on top of their bills and make sure they’re not paying more than they need to.

That backs up our own observations, as the number of people coming to Money Wellness customers with broadband and mobile arrears has fallen from 40% to 29% in a year.

Nevertheless, some are still being left behind.

For example, Ofcom data shows that 4% of telecoms customers missed a payment last quarter.

Meanwhile, many made changes to a service (12%), cut spending elsewhere (10%) or cancelled a service completely (7%).

And of the people who’ve come to us for help with broadband and mobile arrears, they owe more than £1,000 on average.

Check if you’re out of contract

It’s easy to pay the same amount each month without realising the discounted period ended months ago.

But finding out the contract end date is also straightforward.

For broadband, the bill should be on your bill or online account - and you can also just ask your provider.

And if you’re a mobile customer, text INFO to 85075 and you’ll get a reply setting out the contract end date and any charges for leaving early. 

Ask about a social tariff

If you claim benefits such as universal credit and pension credit, you might be able to get a cheaper, discounted package - known as a social tariff.

So check with your current provider and see what help they can offer you.

Look at what you’re paying for

Do you really need the fastest broadband speeds if you’re just browsing, streaming and using social media?

Why are you paying for a landline if nobody has used it for years, TV channels that you don’t watch, or unlimited data that you don’t use.

The package you’re after isn’t necessarily what you’re being offered.

So think carefully about what services you’ll actually need or use.

Don’t be afraid to haggle

If you find a cheaper deal elsewhere, ask your existing provider to match it.

They’d probably rather offer you a better rate than lose your custom completely.