Home » Consumer News »Internet Overcharging »Time Warner Cable » Currently Reading:

Happy New Year Rate Increase from Time Warner Cable: The $49.99 Service Call is Here

Phillip Dampier December 27, 2011 Consumer News, Internet Overcharging, Time Warner Cable No Comments

Time Warner Cable customers in southern California face substantial rate increases in 2012, including a budget-busting $49.99 service call fee to install increasingly expensive cable service.

The bad news is arriving in customer bills this month, with substantial price hikes for cable television —  including a 27.4% increase for the package that only includes local broadcast channels.  Time Warner Cable blames increasing programming costs for the rate increases, which are several times higher than the official rate of inflation — 3.5%.  Most customers with bundled television, telephone, and Internet service will see a smaller increase on the magnitude of a few dollars, but for those picking and choosing only a few items from Time Warner’s menu, the price tag for individual services will be higher.

The largest rate increase comes when the cable company sends a truck to a home or business.  Time Warner was charging $32.99, but will now charge $49.99 — a 51.5% increase.  The cable company has also been pushing its home networking Wi-Fi option, and will now charge $69.99 to install it, up from $49.99.

Time Warner Cable spokesman Jim Gordon tells the Los Angeles Times not everyone will pay those prices.  Certain promotions may lower those rates, or waive them altogether.  But the company offered little explanation to justify such a major price hike.

One of the cable company’s competitors, DirecTV, scoffed at Time Warner’s rate increase, noting the satellite company only raised prices an average of 4% earlier this year, and anticipates a similar increase in 2012.

The effect of the latest round of rate hikes is likely to drive even more customers to cancel or cut back on cable services.  An increasing number are dropping cable television service altogether, relying on broadband for video entertainment.  The cable industry’s response to cord-cutting has been a combination of increased online viewing options for cable-TV customers and usage caps and overlimit fees on broadband that either discourage online viewing or attempts to profit from it.  Time Warner Cable executives said as recently as December they plan to eventually introduce “usage based billing” of Internet service “the right way rather than quickly.”

Search This Site:

Contributions:

Recent Comments:

  • Lesley: Tried Twitter as well. TWC is quick to let their customers jump ship and head over to any other provider. I had asked for the previous promo pricing...
  • Sarah: Tried the method on Twitter and Facebook with no reply. Any other suggestions?...
  • arbin: "Jill Laing confirmed this week that Eastlink had withdrawn its bid to provide services to under-served rural areas of Nova Scotia under a federal gov...
  • Joyce Weiner: Thanks for your advice, Phillip. Oddly enough, I logged into my TWC account this morning and they had knocked $10 off the bill. But, I'd still like to...
  • Joe V: You know Phil, as much as I agree and am on the side of the union, they are not going to win this fight against Verizon. We all know that AT&T...
  • Brandy: By calling Comcast for the Gallatin, TN area I have found out they don't care that we use the 3 pcs on a daily 2 ipods ,2 xbox and cellphones in 3 da...
  • Phillip Dampier: There have been some price hikes in the last year on retention promotions, mostly thanks to programming-related increases, which have made it difficul...
  • Joyce Weiner: I'm a long time TWC customer in Brooklyn. Every year when I receive my rate hike, I've followed your instructions and sent a tweet to @TWC_HELP. They'...
  • Roger: Oh oh. The "holier-than-thou" club has found Stop the Cap!...
  • mark mckenney: You are an idiot.To tell someone that cable is a "luxury" when they are old and,perhaps,disabled.I am 65 years old and on a fixed income and,I am hous...
  • Scott: If Google is handling the handoff of the Fiber connection with their own branded router for customers to connect up to via Gigabit ports, that's a hug...
  • tacitus: Well, I'm sorry you're going through all that hassle, but you are an extremely rare case if you regularly need to transmit terabytes from home to the ...

Your Account: