Last June, I gave up my BlackBerry Q10 in favour of an iPhone 6. I also switched my wireless provider from Rogers to Telus.

My July invoice from Rogers said, “If you cancelled a service since your last bill, you’ll see we credited your account for the days you didn’t use the service last month.”

That made sense to me. Who wants to be billed by two phone suppliers for overlapping days in the monthly billing cycle?

Stephen Sayers had a different experience with Bell Mobility, which charged him for 12 days of service after he had ported two phone lines to Cityfone.

The CRTC wireless code, which took effect December 2013, requires mobile providers to end a contract as soon as customers notify them of their intent to leave.

“I cancelled my contract Oct. 30, yet was billed until Nov. 11,” Sayers said. “When the code says a contract expires on the day I call to cancel, doesn’t the contract expire?”

Yes, the contract does expire as soon as you cancel. But your provider can still charge you for the remaining days in your monthly billing cycle.

Bell says service charges billed in advance are not refunded when you cancel your agreement. This means you continue paying until the end of the billing period, despite getting no service.

“We explained our policy to Mr. Sayers, referred him to the applicable sections of the terms of service and, as a goodwill gesture, refunded the amount in question ($25),” spokesman Jason Laszlo said.

The Commissioner for Complaints for Telecommunications Services, a member-funded mediator, deals with customer issues arising from the wireless code. What does it think of Bell’s response?

“Our analysis would likely be that Bell did not have the right to charge Mr. Sayers for the period from Oct. 30 to Nov. 11,” said CCTS commissioner Howard Maker.

“Notwithstanding the suggestion in Mr. Laszlo’s email that Bell can charge this fee because its terms of service say that it can, the wireless code prevails over the provider’s terms of service.”

Responding to Maker, Laszlo said Bell complied with the wireless code, which prohibits 30-day cancellation notices. “But as CRTC staff have said, the intention of the code is not to ensure that a customer receives a prorated refund for prepaid services.”

Videotron, owned by Quebecor Media, has asked the CRTC to stop Bell from billing customers after they cancel. The application will be heard later this year.

In materials posted online, Telus supports Bell’s position. It says neither the wireless code nor subsequent CRTC decisions require providers to issue refunds for a partial month when they bill in advance.

“A pernicious, persistent — and prohibited — cash grab,” say the Consumers Association of Canada and the Public Interest Advocacy Centre, two groups that support Videotron’s position.

Why pernicious? Most people learn of the practice only after they switch to a new provider and find charges from the old provider billed to their credit card or debited from their bank account.

“At this point, the consumer faces the daunting task of pursuing compensation from a service provider with which the consumer may no longer have any business relationship,” said the two groups’ counsel, Jean-Francois Leger, in a letter to the CRTC.

It undermines competitive forces to bill consumers for a service they have terminated, Leger said. By adding a cost to switching, this practice can create a disincentive to consider other options in the future.

I think the CRTC was not clear enough about its intentions in getting rid of the 30-day notice provision — first in wireless contracts and later in telephone, Internet and TV contracts.

It should have spelled out that customers have the right to a refund after their service ends.

Ellen’s advice

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Speak up if you are double-billed after a switch. Mention the CRTC wireless code and the application to stop Bell from charging customers for a complete month of service regardless of the end date.

Finally, ask for your money back as a goodwill gesture, especially if you have been a long-time customer.

Ellen Roseman’s column appears in Smart Money on Tuesdays. She can be reached at eroseman@thestar.ca or through her website, www.ellenroseman.com

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