What is the setup cost for?
What does it cover?
04/11/2010
When you set up an ADSL1, ADSL2+ or Naked DSL broadband account, the broadband provider has to send a technician to your local telephone exchange in order to install the codes needed for your connection. Most broadband providers cover this cost with a one-off fee.
The set-up fee covers the cost of connecting your property to the internet. If you are signing up to a telephone service, it will also cover the cost of a technician visiting your property or phone exchange to connect your telephone.
It won't cover any internal wiring problems you may have, or the cost of any additional cabling you may need. If a telephone has never been connected to your property, or the copper wiring inside your house has been damaged, you will have to pay extra to get reconnected.
Unless you are getting a telephone service connected as part of a bundle, a technician will not visit your home. All the work will be done at the phone exchange.
You will have to buy and set up the modem yourself, although some plans do include a free modem. It's not too difficult to set up your modem, especially if you buy it from your provider, as often it will arrive pre-configured. If you are buying a modem from your provider, you will also be able to call the technical support helpline if you have any questions.
When comparing broadband plans, it's important to remember set-up fees vary. Generally the fee is reduced for longer contracts, or even waived. Make sure you include the set-up fee in your calculations. We have included it in the minimum cost, which is the total minimum cost of your plan over the life of the contract.
If you are moving from one broadband provider to another, you may be able to churn. A churn is much cheaper and faster than setting up a connection from scratch. In this case, the set-up fee may be much lower, or waived.
After your broadband connection has been set up, you will be charged a monthly fee for access to the internet. Check to see if the provider charges for excess usage if you reach your monthly quota, as this can increase your bill. Some companies “shape” your speed instead, which means they slow down the connection and you’ll pay nothing extra.
