Many people and businesses depend on a fixed line phone connection for cheap and reliable communication. There are now a lot of companies offering fixed line connections and many different types of plans. Knowing a few things about these services could help you save money.

Choosing a fixed line service provider

There are a lot of companies offering ‘traditional’ landline connections – so many, in fact, that it can be hard to choose between them.

Some things to consider are:

Call rates – what are they for local, mobiles, STD or international phone calls? Are there special offers that give you cheaper rates at different times, or to people who are with the same company?

Will you be locked into a long term contract? If you decide you want to leave part of the way through the contract, you may be hit with penalty fees.

If you already have an internet or mobile phone service with a particular provider, can you get a discount or some other benefit if you also use them for your fixed line?

Understanding the jargon

Cap plans

Some providers offer ‘cap’ plans for fixed line phones, similar to those common for mobile phones. On this kind of contract, you get a certain ‘value’ of calls each month. However, these plans do not limit the amount you spend each month – if you go over your allowance, you’ll keep getting charged!

Also, some kinds of calls and services are not included in the cap – that is, they’re always charged on top of your cap figure.

Entering a contract – you have responsibilities too

When you sign an internet contract you are entering a legal agreement to pay your monthly charges for the length of the contract.

Depending on the terms and conditions of the contract you have signed, you may have to pay a penalty if you decide to leave part way through the contract.

Security and your landline phone

Unwanted telemarketing calls

Telemarketing calls are calls from businesses trying sell you a product or service.

To reduce your chances of receiving unwanted telemarketing calls:

Be careful about who you give your phone number to. When filling out any form for a business that asks you for your number, check that you’re not agreeing to receive extra promotional material or giving permission for your details to be passed on to other businesses to use for marketing.

Enter your mobile phone number on the Do Not Call Register. Once you’ve put your number on the register, it is illegal for any company to contact you with commercial messages. If they do, you can report them.

Your fixed line rights

As a phone customer, you have a number of rights that you should be aware of. These rights are contained in documents including the Customer Service Guarantee and the Telecommunications Consumer Protection Code.

The Customer Service Guarantee

The Customer Service Guarantee (CSG) Standard encourages telephone companies to provide you with good service by setting timeframes for service connection, fault repair and attending appointments with customers.

You are entitled to compensation if these timeframes are not met.

People who are deaf or hearing impaired, or who cannot communicate using voice telephony for other reasons, are also entitled to a fixed line service.

The Telecommunications Consumer Protection Code

This document sets out phone and internet providers’ obligations to consumers, including:

providing clear and accurate information in contracts and on bills

giving you help if you are having problems paying your bills

dealing with complaints quickly and professionally

steps they must take before disconnecting your service.

For more information on these rights, contact the Australian Communication and Media Authority (ACMA) or visit their website www.acma.gov.au.

Bundling your phone & internet services

Many communications companies offer you deals and discounts if you sign up to more than one of their services. For example, you may be offered a discount on your home phone account, if you agree to use the same company for your internet connection. This is known as 'bundling'.

Before signing up for a bundled service, there are few issues you should consider:

Will you save money? Bundled packages can be difficult to compare, but checking your recent bills to establish your typical monthly costs and usage patterns can be a good starting point.

What time commitment suits you? Many bundled arrangements lock you into a long-term contract, and you may have to pay a penalty if you want to leave early.

Are there hidden costs? Does the bundled package does have extra services charges, more expensive local calls, or fees for exceeding your download limit?

If you cancel an existing contract to switch providers you may have to pay a fee.

Things to know before you get a landline service