Back in the fall of 2022, Telus implemented a 1.5% credit card processing fee, but it was short-lived as the CRTC blocked it. Later in the summer of 2023, Telus quietly removed the fee due to customer backlash.
Now, Telus looks to be using a clever workaround to encourage customers to make wireless bill payments with debit instead of credit cards.
Wireless plans on the Telus website now say there’s a $10/month discount when paying by pre-authorized debit, which means setting up payments tied to your bank account. Previously, you’d get a $5/month discount when paying with pre-authorized credit cards. That option is now gone.
This means Telus doesn’t get dinged a credit card processing fee, while customers willing to oblige to set up debit can save $10 extra per month.
Here are current Telus plans as of today, after the debit pre-authorization $10 discount:
Now, if you pay with pre-authorized credit card payments—add an extra $10 on top of these plan prices.
Some Telus customers on Reddit have come up with their own workaround to bypass the debit-only discount. One person said to set up the pre-authorized debit payment for the $10 off, but just pay off your balance a few days before the billing period closes—using your credit card. The game of cat and mouse continues.
Will you be setting up pre-authorized debit payments? One benefit of paying with your credit card is that you can dispute charges easier than dealing with debit and your bank. You can also get rewards points and other perks with your credit card.
We’ve reached out to Telus for comment on why they have made this change and did not hear back at press time. Stay tuned for updates.
Update April 8, 2025: A Telus spokesperson told iPhone in Canada in a statement, “We offer multiple bill payment options to suit our customers’ needs. New mobility customers who sign up for pre-authorized bank payments will receive a $10 monthly discount on eligible in-market plans. Existing customers who receive a monthly discount through pre-authorized credit payments are not affected, as long as they remain on their current plan.”
“Pre-authorized bank payments give customers peace of mind knowing they won’t have to worry about missed due dates, and their payments will be processed on time – helping them avoid late fees and interruptions to service,” added the Telus spokesperson.
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“Pre-authorized bank payments give customers peace of mind knowing they won’t have to worry about missed due dates, and their payments will be processed on time – helping them avoid late fees and interruptions to service,” added the Telus spokesperson.
… until your bank charges you an overdraft fee… just silly, as credit cards would just as easily satisfy this requirement.
I’m hoping there would be backlash from customers.
If this comes to Koodo, goodbye! 👋 Hello, Lum Mobile!
I support what Telus is trying to do here. Credit card companies have long relied on hiding their high processing fees from consumers, which allows them to maintain their monopoly over payment systems. These fees are ultimately passed on to merchants and, indirectly, to customers through higher prices. By incentivizing alternative payment methods like pre-authorized debit, Telus is not only reducing its own costs but also encouraging transparency in how payments are processed.
If more companies adopted similar practices, it could open the door for new entrants to offer lower-cost payment solutions, fostering competition and innovation in the payment industry. This shift empowers consumers to make more informed choices and helps break the stranglehold credit card companies have on merchants and the broader economy.
You are dreaming if you believe savings will be passed on to customers.
$10/month is not the true cost for the merchant on a $60/month bill. CC fee for merchants, especially merchants as big as Telus, is probably less than 2.5% on the charge.
Exception are customers using premium cards. This is the true problem.
The card processing companies do not allow or have a method for merchants to filter out premium, high reward cards.
Yeah, as if pre-authorized debit doesn't cost the consumer anything? Almost all banks charge fees for even HAVING a chequing account.
Bell Canada does the same thing. There’s nothing new here.
Yep Bell also does this!
At least, Rogers and Fido won't do this because they have their own credit card bank. This kind of practice is anti-consumers and I'll never give my money on a company that force me to do it like THEY want. They have to understand its a privilege for them we we decide to give them our money, not the other way around.