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uSwitch recommends paperless billing

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BT's £18 annual penalty for customers not paying by direct debit have been fiercely criticised by uSwitch.

According to the price comparison website, such charges are imposed by other phone firms - to the tune of £75 million each year.

These extra fees could eat in to consumers' savings, personal loan, credit card and mortgage repayments.

Therefore, customers are advised to make the switch to paperless billing in order to cut costs.

Head of communications at uSwitch Steve Weller commented: "With charges as high as £60 a year, customers should seriously consider whether they wish to continue settling their bills by cash, cheque or card.

"Some would argue that the additional charges imposed on customers not wishing to pay by direct debit are an unfair penalty."

News of the uSwitch study comes as regulator Ofcom agreed to consulting on the phone charges - with a view towards imposing extra guidelines on firms later this year.

"We welcome Ofcom's announcement today that it will investigate the additional charges placed onto customers' bills by their providers," Mr Weller said.

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