Cable / Telecom News

Bell hit with class action suit over “abusive” late fees


MONTREAL – Bell TV is facing a class action lawsuit over its late fees.

According to a statement by Montreal-based law firm Paquette Gadler Inc., the suit is open to all persons who have paid late fees since June 1, 2010 as part of a contract for television services with Bell ExpressVu.

The statement claims that Bell ExpressVu levied an annual interest rate of 42.58% on late payments, a 58% increase compared to the annual interest rate of 26.82% charged to customers prior to June 1, 2010.

Describing the new late fee interest rate as “abusive”, the statement continues that this suit follows another launched on December 16, 2011 against Bell Canada and Bell Mobility after those companies also allegedly began charging a 42.58% interest rate on late fees effective June 1, 2010.

A Bell spokesperson told Cartt.ca that the company cannot comment on matters before the court.  According to Bell TV’s residential customer agreement, last updated December 11, 2011, bill payments made after the due date “will result in us charging you interest on all overdue amounts up to the greater of: (i) a compounded interest rate of 3% per month (42.58% per year); and (ii) the highest interest rate permissible by law, until paid in full.”

For comparison purposes, Shaw Direct's website says it charges late payment fees on past due balances of 2% of the balance when an account is more than 30 days late.

– Lesley Hunter