UK internet service providers slammed for "unreasonable" cancellation fees

The Citizens Advice Bureau (CAB) has slammed UK internet service providers (ISPs) over "unreasonable" cancellation fees, and has called for scrapping the charge, The Register reported.

The consumer rights charity took a position on the issue after thousands of internet users complained that they had been forced to pay cancellation fees, even though they wanted to switch providers due to persistent connection problems.

According to CAB the average cost for switching ISPs worked out at £190, but it had received complaints from some broadband customers who had been forced to pay up to £625.

It called on ISPs to drop the charges so that people were not forced into unsatisfactory contracts. It also called on ISPs to improve their customer service, and warned that they needed to be more careful about handing over cancellation fees to debt collectors.

According to chief executive of Citizens Advice Gillian Guy, people were finding themselves captive to bad broadband services. He added some consumers who had stood up to problem service providers had found themselves being targeted for switching to another provider by being hit with a cancellation fee that was handed over to a debt collection agency.

Internet service providers must not shackle customers seeking a better service with unreasonable fees that could turn into a shock debt say commentators, IT Pro reported.

CAB had also received complaints from people who had been hit with early cancellation fees when they moved house, even though their new property was not served by their existing supplier.

The findings had been arrived at on the basis of 3,300 reports made to the CAB in England and Wales, and another 4,500 issues with service providers across England, Scotland and Wales between July 2013 and June 2014.