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Rogers Updates its Cancellation Fee Policies, Introduces New Terminology

Update 1: This new cancellation policy only affects customers who signed on after January 22, 2012. Existing customers aren’t included, until they enter a new term.

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Rogers has updated their cancellation policy as previously noted and a new blog post details the changes on the Rogers Redboard. We now see the emergence of new terms such as the Device Savings Recovery Fee (DSRF), economic inducement, and the Additional Device Savings Recovery Fee (ADSRF).

When it’s all said and done, you essentially will pay back a portion of the subsidy you received plus a one time $12.50 ‘service deactivation fee’. Here’s how they explain it:

How it works:

  • If you received a device subsidy when you signed up, you will need to pay the Device Savings Recovery Fee (DSRF), which is based on your monthly subsidy.
  • You can find the amount of your device subsidy (economic inducement) in your agreement. To calculate the DSRF fee, just divide the subsidy you received on your device by the length of your contract in months (this is the monthly cost of your subsidy) and multiply that number by the months left on your contract.
  • Did you get a bigger subsidy when you signed up because you have a data plan? Rogers offers additional subsidies to customers who sign up for both voice and data plans.
  • The Additional Device Savings Recovery Fee (ADSRF) is charged to subscribers with data plans who cancel prior to the end of their term. You can also find the amount of your data plan subsidy (additional economic inducement) in your agreement.
  • This is calculated the same way as the DSRF, taking into account the months left on your contract and the initial subsidy provided to you.
  • The one-time service deactivation fee is $12.50 and charged to all term customers in non-regulated provinces if they choose to cancel their services. This fee helps to cover the administrative costs and charges incurred by your cancellation.

So if you are cancelling your contract, the new policies above will apply to your account. Let us know if you have any questions and we’ll try to get them answered by Rogers.

Founder and Editor-in-Chief of iPhoneinCanada.ca. Follow me on Twitter, and @iPhoneinCanada, and on Google+.

  • Apv

    Does this include contracts started before today?

  • http://blog.tysonwilliams.com/ Tyson Williams

    Yet another reason to avoid ANYTHING and EVERYTHING from ROGERS

  • Anonymous005

    It only applies to contracts started/renewed on and after January 22nd, 2012. Also, @tysonwilliams:disqus , I am going to assume that you did not read the above article and don’t realize that this is the most positive change within Rogers in the last 5+ years. THIS MEANS CHEAPER CANCELLATION FEES!

  • Anonymous

    This is not cheaper to someone who just signed up for a contract. Lets say you are 3 months into an iPhone 4S contract. You payed 159.00 for the phone so you received a subsidy of $490.00. So your monthly subsidy is 490.00/36 months(3 years) = $13.61/month. So after 3 months you have payed $40.83 towards your phone and still owe $449.17. So you pay $449.17+12.50=461.67. Lets not forget that you also have to cancel your data plan which will cost you $5/month for the remainder of you contract which in this case is 33 months, so that equals $165.00. So the total cost to cancel is 461.67+165.00=$626.67. Under the previous Early Cancellation Fee the voice plan maxed out at $400 and the data plan maxed out at $100. Costing you a total of $500.00. So, under the new plan it would cost an extra $126.67 to cancel early. 

  • Anonymous005

    Unfortunately, you’re wrong. THE FOLLOWING DOES NOT APPLY,
    @jordancournoyea:disqus, “Lets not forget that you also have to cancel your data plan which will
    cost you $5/month for the remainder of you contract which in this case
    is 33 months, so that equals $165.00.”

    In the case of an iPhone 4S, there’s no cancellation on data. If you were to switch to a Voice only plan after you started on a 3 year Voice & Data plan, your cancellation fee would be the same as leaving Rogers (See Below). However, instead you’ll be put on a Voice only plan on a Month-to-Month term if you chose to stay.  @jordancournoyea:disqus Your calculation above is wrong since you mixed up old policy (Data Cancellation Fee) with new policy (Additional Device Recovering Fee).

    THE RIGHT CALCULATION IS:
    I had a customer purchase an iPhone 4S 16GB for $209-$50 Mail-In Rebate+$35 Administration Fee. His Economic Inducement is $440. If cancels in 3 months, the following calculation will apply.

    Economic Inducement $440 x [33 months left in term (3 months later) / 36 months (initial term)] = $403.33 + one-time service deactivation fee is $12.50 = $415.83

    YOUR CANCELLATION FEE AFTER 3 MONTHS: $415.83 + applicable Tax.

    Although, this policy is slightly different for Manitoba & Quebec. But, no worries there since you’re given you’re exact amount on the spot. No calculation or any additional fees necessary.

    If any of you work for Rogers, please refer to SC for the break down.
    As for customers, please refrain from contacting customer service about this for at least a month. You’ll only get mixed information.

  • Srivest71

    So if you pay your DSRF and everything, can you pay the extra ROGERS charges and then have your iPhone unlocked?

  • FRDO7612

    I have 2 months until my contract is over. I got a new iPhone at the Apple store and just changed my SIM card number. Going forward, if Rogers wants my money, they better be nice to me. :) Otherwise, I will move all my business to Bell (TV, Home line, Internet, 2 cells).

  • http://thraxisp.myopenid.com/ thraxisp

    I wonder how this affects the Hardware Upgrade Programs (HUP). This was extended to 30 months last summer. If this goes away, I’m back to switching carriers every three years. See you in 12 years, Rogers… 

  • EddieFisher

    LOL what’s your point? Given that I just entered into a new 3-year contract (didn’t get  a new phone, just got a better price for my voice+data plan), I can now cancel my plan anytime and will only be charged $12.50. With the the previous system I would have to pay around $400.

  • http://twitter.com/wormx Stephen Jerrett

    I own my own iPhone outright. I had been paying month-to-month, but about 2.5 years ago, I called Rogers to cancel. They offered me a good rate, as long as I signed a new 3 year contract, so I stayed. My question is, since my contract is not designed to cover the cost of discounted hardware (i.e. I did not get a hardware credit), would I still be required to pay the DRSF upon cancellation?