Last week, it was widely reported in the press that Telus was ordered to refund the “network access charge” ($2.95 per month) that was slapped on customers who did not use its long-distance network. The news is a reminder to check your phone bill and see if you are still paying a fee for the privilege of making long-distance calls through your local phone company.
Bell, for instance, charges a $5.95 monthly long distance network charge, which it claims was introduced “to support investments to enhance and expand our network” and its best per minute calling rate within Canada and to the U.S. is 5¢ per minute. Telus (TSX: T) charges a $4.95 per month “administration fee” for its long-distance plans and if you don’t pay a “subscription fee” on top of that, calls within Canada cost 7¢ per minute. To call the U.S. requires a monthly subscription of at least $1.95 and the per minute rate is 7¢ per minute. It’s the same story with Primus - a $4.95 monthly network fee and calls within Canada and to the U.S. at 5¢ per minute.
Fortunately, long distance is so competitive that there is no reason to pay any kind of monthly fees to get low rates. One example is Yak, which doesn’t charge any monthly fees and offers calls to Canada and the U.S. for 3.5¢ per minute (If you know of any others, do let us know in the comments). Check your local flyers - the options are plentiful and if you are still paying any kind of long-distance monthly fee, you could switch and painless save at least $5 per month.
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35 responses so far ↓
1 Sean // Apr 20, 2008 at 11:41 pm
If you regularly place a lot of LD calls, it might be worthwhile to get an all-you-can-eat package. At least in Manitoba, LD is capped at something like $18/mo through the ILEC, MTS. I switched to Shaw digital voice some time ago and get a whack of calling features and free LD for less than I was paying for a standard POTS line with no features and unlimited LD.
Sean
2 Artem // Apr 21, 2008 at 12:29 am
startec.com (that’s what I started to used recently, so far so good)
g3telecom.com
necc.us
3 Jason B // Apr 21, 2008 at 7:17 am
I use worldline.ca. Unlimited long distance in Canada for $4 per month (plus a $10 annual fee).
4 Ben // Apr 21, 2008 at 7:35 am
I was paying $18/month plus $5.95 SAF with Bell for a block of minutes that I never came close to using in full. I’ve switched to YAK 5c/min, dialing a 7-digit access code before each LD call, and expect to save about $15/month, or $180/yr. I checked their website this morning, and it seems that if I sign up with them, I can get 3.5c/min. I will have to check if there are any strings attached if using the dedicated LD plan. Anyone have insight into the YAK subscription plan?
5 Million Dollar Journey // Apr 21, 2008 at 7:59 am
Another big expense is long distance calls via the cell phone. I’m using Yak for that also which is significantly cheaper than what my cell carrier charges.
6 Burce // Apr 21, 2008 at 9:01 am
Vbuzzer (a Toronto based IPphone service) costs only 1.5c/Min to call North America without system access fee
7 Leslie // Apr 21, 2008 at 9:22 am
I asked Bell to remove the network charge from my bill. There’s nothing on their website to remove this ’service’ so you have to call and request it. This means I would only get the discount for calling after hours or weekends. However, since I use YAK for long distance calls (and they have no network charge), I save a ton of money.
8 TonyR // Apr 21, 2008 at 10:07 am
To echo Sean, Shaw also offers a lower end phone service that’s $10/mo cheaper but charges $.04 a minute for LD. Shaw’s service is also better than the telcos.
9 Canadian Capitalist // Apr 21, 2008 at 10:11 am
Thanks for your comments everyone.
Ben: It’s possible to set Yak as the long distance provider i.e. without having to call an access number. We are not currently with Yak but we used to be and I don’t think there was any strings attached. Not having to call a local access number was very convenient.
10 George // Apr 21, 2008 at 10:33 am
I’ve been using Yak for quite a while now - first using their 10-10-YAK number, and now we’ve just switched our LD to them. Their service is pretty straightforward - 3.5 cents per minute for LD, no minimum monthly charge, and the charges are billed to my credit card once per month (they e-mail an invoice about 2 weeks prior to charging the card).
We only have about 60 minutes of LD each month on average, so it doesn’t make sense for us to pay for any sort of “bundle” or monthly plan - a low per-minute rate combined with no monthly fee is the best choice for us.
Plus, the less money I give to Telus, the better.
11 YapOn // Apr 21, 2008 at 10:34 am
Cellular long distance charges can be really expensive BUT it doesn’t have to be with YapOn.
We provide a mobile VoIP gateway allowing users to realize significant savings on long distance rates. Anyone with a cellular phone can enjoy significantly reduced long distance rates, anywhere in the world, without having to buy a new phone or changing rate plans. Our service can also be used on land lines to take advantage of the low long distance rates offered through YapOn. With YapOn you manage your account online and there are no connection fees or hidden fees. YapOn offers reliable, hassle free, high quality long distance services to Anyone, Anywhere, Anytime for just pennies a minute. Visit our website at http://www.yapon.net to sign up!
12 Ahmed // Apr 21, 2008 at 11:02 am
Here in Manitoba, I use the MTS bundle. If you have phone and one of tv or high-speed internet you get unlimited calls in North America for $5/month. We don’t use MTS TV but have high speed and call family in the USA very frequently so the plan works well for us.
13 FFBlog.ca // Apr 21, 2008 at 11:11 am
I used to use Yak Cell for all my long distance, but now I have a MyFaves 10 plan with Telus (Any Network, Any Number - LD or Local) and I save a bundle calling family!
I’ll use Yak Cell when I’m in a pinch and need to make a LD call from my cell and have all their local calling numbers programmed into my phone depending on what city I’m in.
As for at home. I use Magic Jack. (http://www.magicjack.com) It’s Amazing! $40 for the first year and $20/year afterwards. Unlimited FREE local calls and LD all year and you can chose your own local number. Just plug it into your USB and plug your phone jack into the Magic Jack and call away! As long as you have a broadband connection, it’s super clear compared to Skype, etc.
14 nobleea // Apr 21, 2008 at 11:23 am
I have the Yak cell service. I have the access numbers for about 10 canadian cities in my directory.
I find there can sometimes be an echo when talking on Yak on the cell phone. About 1/3-1/2 of a second delay.
The price is right though.
15 OakvilleJ // Apr 21, 2008 at 11:35 am
The best long-distance comparison website I’ve found is:
http://www.telecomparisons.com/
Often the best price will be:
http://www.rapidtel.com/longdistance/
Which offer 2.9 cents per minute to the U.S. and Canada and no monthly access fees.
16 telly // Apr 21, 2008 at 12:44 pm
Thanks for the reminder to sign up for Yak (cell). I’ve been meaning to do this for well over a year now. As for home service, I use Vonage.
17 Aleks // Apr 21, 2008 at 1:02 pm
I currently have Primus VOIP service which includes unlimited long distance for about $30 a month, but I’m thinking of going even cheaper because you can use Google’s Grand Central for long distance for free.
18 Keith // Apr 21, 2008 at 1:10 pm
The absolute cheapest way for long distance is to buy calling cards. You can get Canadian rates as low as 1 cent a minute.
Although I don’t make a lot of long distance calls, a $5 calling card can last me 6 months.
19 Jerry Chappell // Apr 21, 2008 at 1:27 pm
Thanks, I didn’t realize that Network Fee wasn’t a necessity. I have just switched my LD to Yak, and I now expect to save about $13/mo. I’m so happy!
20 clgoh // Apr 21, 2008 at 2:46 pm
Since this weekend, I use the 10-10-229 service:
http://1010229.ca
After a 5c connection fee, it’s:
1c/min in Canada and most European countries
and 0c/min to the USA
21 squawkfox // Apr 21, 2008 at 8:31 pm
I’ve blogged about the Telus $2.95 long distance network access fee, it boggles my brain. As a Telus customer in BC, I was forced to pay this insidious fee unless I put “Call Guardian” on my long distance line.
It’s a kicker of a fee since you pay the $2.95 if you don’t use Telus as a long distance provider. You pay a $4.95 plan fee if you do use Telus long distance. What is worse, every month my long distance usage was LESS than the freaking fee!
I use Superstore long distance phone cards. Going to try Telus to remove Call Guardian. Sigh.
22 Jon D. // Apr 21, 2008 at 9:58 pm
Long time Yak user… I do so little LD that the difference between 3 or 4 cents doesn’t bother me. The only thing I find is when calling relatives in Italy every now and then I get a echo-y connection.
23 Noel // Apr 21, 2008 at 11:32 pm
I’ve been using Yak on my home phone and on my Fido cell phone for ages without dialing an access number for 3.5 c/min. Also, I have a Yak account to use with their 1-800 number when I am in the US. It’s only 8.5 c/min with no connection fee. All other US phone cards I have bought always charge a fee (up to $1.25) for connecting, which is ridiculous, especially when I am just making a short call to check my voicemail.
I also, btw, use Bell’s busy no answer transfer to forward all my home phone calls to my cell phone voice mail when I am on the phone or don’t answer, thereby eliminating a home voicemail and the associated fees and the nice thing about it is all I do is change the # of rings on my home phone - the cell phone number is hard-coded in.
24 David // Apr 22, 2008 at 1:02 am
Just curious to learn what rates folk are paying for telecommunications? I currently pay a bit less than $100/ month taxes included, for local phone, unlimited in-Canada Long Distance, ADSL, and cellphone.
DAvid
25 Canadian Capitalist // Apr 22, 2008 at 7:28 am
David: We pay around $50 for DSL, $20 for two Virgin Mobile cellphones, $25 for local phone and $30 for long-distance for a total of around $125. I’ll switch to cheaper DSL in the future. The only reason I still have it with Bell is because my spouse used to get a reimbursement.
26 Mario // Apr 22, 2008 at 11:56 am
Hi CC, you might be interested in this recent offer from Primus:
Primus Triple Value Bundle Only $59.95/month
* Local Home Phone with 9 calling features
* 7 Mbps High Speed Internet Service
* Unlimited Long Distance (Canada and the U.S.)
http://www.primustel.ca/en/residenti…r/c/bundle/59/
* Includes nine FREE features: Call Display, Voice Mail,
Call Waiting, 3-Way Calling, Call Forwarding, Call Screening,
Call Display Blocking, Call Hold, and Call Trace
* Keep your existing home phone number and phone book listing
* Enjoy a worry-free switch, with no connection or installation fees
* Unlimited Internet access
* Up to 7 Mbps Speed
* Anti Virus/Spam
* Four E-mail accounts and 20MB of Personal Web Space
* 24/7 support
* Manage your account, get current news and information
and explore the Internet with myprimus.ca
* Unlimited Internet access
* Unlimited calling within Canada and
to the U.S., any time, any day
* No caps or time restrictions
* No monthly network fee
27 Canadian Capitalist // Apr 22, 2008 at 12:21 pm
Mario: Can you repost the link? $59.95 is an attractive price but the Triple Value Bundle on Primus website is listed as $74.95. Also, is it an “introductory offer” or the regular price?
Link
28 Canadian Capitalist // Apr 22, 2008 at 12:50 pm
Mario: Thanks for the heads up. I found the deal on Red Flag Deals. It sounds like a really good deal.
Link
29 Mario // Apr 22, 2008 at 6:35 pm
You’re welcome, CC. Primus bombarded me with this offer for a year so I don’t think this is introductory one (obviously, it’s always good idea to double check the price and terms with their customer service people).
30 DAvid // Apr 22, 2008 at 8:22 pm
CC Said: “Mario: Thanks for the heads up. I found the deal on Red Flag Deals. It sounds like a really good deal.”
Sure, but only where available. I am somewhat frustrated when companies claim to offer a great deal, in competition with other players, when the upstart is only taking the cream of the crop. FIDO offers great cellphone packages, but their coverage area does not extend outside major metro areas. Primus has a very selective coverage area. It must be great to be able to put your service on someone else’s infrastucture, but only buy the bits you want.
DAvid
31 Mario // Apr 23, 2008 at 12:43 am
DAvid, there is always alternative ways to cut your LD bills. I use free VoIP services for my LD calls even more often then Primus LD service. My favorite at the moment is FreePhoneLine.ca . This nice guys give you for free:
- Your own real phone number
- Unlimited local calling
- Voice mail
- Caller identification
- Follow me service
- Per minute and flat rate long distance choices
- Free long distance calling to Toronto, Montreal, Vancouver, Ottawa, Halifax, Quebec City, Hamilton, Kitchener-Waterloo, London, Winnipeg, Calgary, Edmonton and as they say, more areas coming soon.
I hope it will help yo to forget your frustration with Primus
32 Noel // Apr 23, 2008 at 2:51 am
I pay $37 a month for 3Mbit service from Bell Sympatico (on a 2-year commitment), $23.58 for my home phone with no features other than the busy/no answer transfer feature and $53.50 for my Fido unlimited minutes cell phone with voice mail/call waiting/forwarding & caller ID (this fantastic plan, called CityFido, is no longer available, but I got it about 4 years ago and Rogers, who bought Fido, keeps extending it as long as you commit to a 2 year contract every 2 years. There is no system access fee either on this plan!). So that’s almost $129 per month for all my telecommunications charges, with the only extra charges being my long distance by the minute at 3.5 cents/min from Yak.
33 Noel // Apr 23, 2008 at 2:52 am
That $129 is including all taxes, by the way.
34 Noel // Apr 23, 2008 at 2:57 am
David
I am curious what the breakdown and providers are for your $100/month taxes included local phone, unlimited in-Canada Long Distance, ADSL, and cellphone. That seems awfully cheap for all that.
Also, what is the speed of the ADSL and how many minutes does your cell phone include and does it have voice mail, etc, does your home phone also have voice mail?
35 Ed Rooney // Apr 23, 2008 at 9:15 pm
I had the Primus triple value bundle back when it was $69 a year ago, but I see it’s now $59. It was OK, but I had a lot of bad lines when making long distance calls within Canada, although my overseas calls were clear. Also, my DSL was not the 5 MBit/sec they advertise, it was more like 1.5 mbps. I complained to them to fix it, but nothing ever came of it.
Then a few months after swtiching to Primus, Bell phoned me out of the blue and offered me a killer deal to come back to them. I vowed not to on principle as I despise them, but the deal was incredible, it was $69 (same as I was paying with Primus) to come back with all the same features as the Primus bundle, but in addition I also was to receive about $200 in credits from them, plus I’d get my good quality long distance back and higher speed DSL. The only downside: I had to agree to a 2 year contract for the DSL, which I reluctantly agreed to. I asked for a confirmation email or letter, but was told that was not possible. Given that I’d spent nearly 2 hours on the phone with the agent (2 seperate calls) I figured it was safe to proceed. My mistake… Bell have never come through with what was promised, it seems the $69 monthly she was quoting me was some fuzzy math whereby she was deducting the credits over a year or something to come up with that number, despite me GRILLING her on the accuracy of all the prices. After numerous calls and complaints Bell will still not honour the original deal and I’m locked into a 2 year contract with them and pay around $110 per month - yep, $40 per month more than the agreement (OK, less if you subtract the credits, most of which came through, but that was secondary to me). I just had a baby a few months ago so I no longer have the time and energy to fight with them at the moment.
The only bright side is the local and long distance line quality is great, much better than Primus, and my DSL is nearly 5 mbps, which is also great. However, they limit downloads to 80 GB/month and charge you $1.50/GB that you go over, which is not cool.
Bottom line: Primus is a great deal, but I had questionable quality. Bell are a bunch of lying scum, if they call you and offer you a deal that sounds too good to be true, it probably is.
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