Bill shock! Telstra customers hit with surprise price hikes—here’s what you need to know

Unexpected changes to essential services can leave consumers frustrated—especially when those changes hit their wallets.

A major Australian telco has come under fire for a controversial overhaul that’s catching many customers off guard.

The move has sparked backlash over transparency and affordability.


Telstra faced heavy criticism after introducing changes to its billing system and increasing service prices, leaving thousands of customers frustrated.

The telco moved users from backdated billing to an upfront payment model, catching many off guard amid the ongoing cost-of-living crisis.

Customers were now required to pay for services in advance rather than being billed after usage, a shift that left many struggling to adjust their budgets.


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Telstra's billing overhaul sparks customer outrage. Image source: Pexel/Nataliya Vaitkevich


Telstra claimed the change was aimed at ‘simplifying our plans and processes so we can connect and resolve your inquiries faster’.

2GB host Ben Fordham dismissed this explanation, questioning the company's motives behind the move.

‘Isn't this just a case of Telstra wanting more money earlier so they can earn the interest off our hard-earned dollars,’ he asked.

Many customers also found themselves switched to new plans, with some facing bill increases of up to $20 per month.

‘When you consider the cost of living crisis we're in, surely this will throw the balance sheets out for many, many households,’ one person said.

Another questioned why customers were being forced onto new plans rather than given a choice.

‘If it's so amazing, won't people just migrate to the new plan themselves rather than being forced,’ they asked.


Frustrated customers urged others to leave Telstra for alternative providers.

‘I use ALDI, yes they use the Telstra network, but $119 for 12 months paid up front unlimited with rollover data, been with them since the start, great service and no billing set and forget,’ one person shared.

Many were also angered by how the changes were communicated, claiming the details were buried in email fine print.

‘Not only did they advise us of changes to billing moving to upfront payments, they also made changes to costs of plans and put a disclosure at the base of the notification advising if we were not happy we can cancel but they would not be paying back any money paid in advance,’ one customer complained.

Another accused the telco of taking advantage of customers with the new policy: ‘So basically they make a change, charge you in advance for it, and when you decide I'm done with this because you have been blindsided or can not afford to keep paying their increased prices that they say is to improve "services" they keep your money.’


A Telstra spokesperson defended the changes, stating they were part of an effort to update outdated plans.

‘Over the last few years, we've been moving customers to a new updated system which simplifies our plans and processes.’

‘Some customers are on very old plans, dating back up to 20 years, and will be moved to current plans as part of the migration.’

The spokesperson acknowledged that some customers would see adjustments to pricing and plan inclusions.

They also advised that payments could be monitored through the My Telstra app, with options for AutoPay or Telstra bill.


As Telstra faces backlash over its latest billing changes, the company is also making a massive investment in AI.

The move has raised concerns about the future of its workforce.

Watch the video below to see how this $700 million move could impact jobs.


Key Takeaways

  • Telstra faced backlash for switching customers from backdated billing to upfront payments, forcing them to pay before using services amid a cost-of-living crisis.
  • Many customers were automatically moved to new plans, with some experiencing price increases of up to $20 per month, sparking frustration over affordability and transparency.
  • Critics, including 2GB host Ben Fordham, accused Telstra of prioritising profits, while customers expressed outrage over the lack of clear communication and hidden details in emails.
  • A Telstra spokesperson defended the changes, stating they were part of a long-term plan to simplify services, with options available for managing payments via the My Telstra app.

With Telstra's billing shake-up leaving many customers frustrated, do you think this change will improve services or just add to the financial strain?

Let us know your thoughts in the comments.
 
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We have Telstra for internet & Foxtel. Received an email stating they are upgrading to a new system & moving some services in June. The email contained my current plan and the new plan. The new plan is exactly the same. I rang them to confirm it. It's all good.
I thought there was an increase with the change of plan name but after ringing them, all is the same. The only difference they pointed out to me was a change to biller codes when paying for paying by bpay. They also said they would send a couple of more bills to begin with. I hope I haven't been duped but I don't think I have, they were very upfront when I rang.
 
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I thought there was an increase with the change of plan name but after ringing them, all is the same. The only difference they pointed out to me was a change to biller codes when paying for paying by bpay. They also said they would send a couple of more bills to begin with. I hope I haven't been duped but I don't think I have, they were very upfront when I rang.
I changed plans last year and paid the month forward upfront like everybody does with a new plan. The only change for us is, we pay extra for a faster speed, but the new bill won't itemise this, and will tally the internet amount together. It will be interesting to see if I get another new biller code.
 
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When I read the email it seemed that although things were changing with my account, the fees still looked the same. I found the email quite confusing as it appeared that I would have no change. I have internet, email, Foxtel, Netflix and my mobile all packaged together. The notification also stated that more information would be advised later in a further email closer to the change. I smell a rat in this, that why change this when it appears to be the same. I am thinking there is more to this and there will be either a
higher cost or a lesser service or both. I am losing trust in all big companies where their customers don't matter only taking more profits.
 
When I read the email it seemed that although things were changing with my account, the fees still looked the same. I found the email quite confusing as it appeared that I would have no change. I have internet, email, Foxtel, Netflix and my mobile all packaged together. The notification also stated that more information would be advised later in a further email closer to the change. I smell a rat in this, that why change this when it appears to be the same. I am thinking there is more to this and there will be either a
higher cost or a lesser service or both. I am losing trust in all big companies where their customers don't matter only taking more profits.
I'm thinking it's probably older versions of plans that need upgrading.
 
When I read the email it seemed that although things were changing with my account, the fees still looked the same. I found the email quite confusing as it appeared that I would have no change. I have internet, email, Foxtel, Netflix and my mobile all packaged together. The notification also stated that more information would be advised later in a further email closer to the change. I smell a rat in this, that why change this when it appears to be the same. I am thinking there is more to this and there will be either a
higher cost or a lesser service or both. I am losing trust in all big companies where their customers don't matter only taking more profits.
The whole digital world wants us to do their work for them, but they still charge us for doing it.
 
I had to have a discussion with Telstra only yesterday and it was nothing to do with billing. I was installing a second television in a bedroom and just needed to know what I should do to connect to the same features (many of them) as the TV in my lounge room.
At the end of the conversation with their technical department, the consultant who had been extremely helpful asked me if he could check my account to see if my plan was correct. I agreed.
After a minute or so he came back to me and said that I was not using as much as my plan allowed and he could adjust my plan to save me some money/ I had this plan for some years and was happy with it. My phone bill was $65.00 per month and within a few minutes, it was reduced to $31.00 per month. I was not only thrilled with the savings
but was delighted with the pleasant and courteous manner in which the Telstra Customer Service Agent had acted.
Telstra might not be the cheapest in the business but after being a customer of theirs for many many years I cannot fault their service.
 
I have received a letter from Telstra saying they are changing their system to pay ahead instead of after. In that letter it also states that no extra charges will be made and that the initial bill I receive in the new system may overlap with the last bill of the old system, but any extra I have then paid will reduce the next bill. If this is what really happens then I will be happy, but if they do charge more I shall consider taking my account to some other telco.
 
I bought a new mobile twelve months ago been paying $68.46 a month next month it is going up to $102.45 questioned it it’s new charges ect ect so yes will pay it out soonever I can and go elsewhere
I find that if you bitch and squeal like a stuck pig you can drive the price down... got 2 phones free and internet, two sim cards for $40.00 less than I was paying previously.
 
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