Most cable operators are doing a better job of providing telephone service than traditional telephone companies, according to a new J.D. Power and Associates survey.

Among the worst providers across all regions were Frontier Communications, which scored dead last in the East and North Central regions, and cable operator Charter Communications, which won the lowest score overall for service in the western United States.  Cox delivered the most consistently reliable service across three of the four regions it serves, although it was beaten by Bright House Networks in the south.

The results:

The study measured customer satisfaction with both local and long distance telephone service in four regions throughout the United States. Five factors were examined to determine overall satisfaction: performance and reliability; cost of service; billing; offerings and promotions; and customer service.

Satisfaction with performance and reliability-the most influential factor contributing to overall satisfaction-has declined by 6 percent to an average of 7.4 (on a 10-point scale) in 2011 from 7.9 in 2011. Within this factor, satisfaction with the service provider’s ability to keep outages to a minimum has experienced the greatest decline.

“The brutal winter weather that plagued much of the country clearly took a toll on service levels,” said Frank Perazzini, director of telecommunications at J.D. Power and Associates. “In fact, the proportion of customers who contacted customer service to report an outage jumped to 21 percent in 2011 from 12 percent in 2010.”

According to Perazzini, a key driver for mitigating losses in satisfaction due to outages is effectively managing customer expectations regarding service restoration. On average, customers who experience an outage are advised that service will be restored within 30 hours, while actual service restoration time averages 25 hours. Overall satisfaction among customers whose service was restored approximately three hours earlier than the time quoted by the service provider averages 705 on a 1,000-point scale. In comparison, among customers whose service was restored three hours after the estimate given by the provider, satisfaction averages 591.

The study also finds that among customers who use an alternative phone service (for example, cellular or Internet service, rather than wireline), the proportion who replace wireline telephone calls with cell phone calls, texts and email remains relatively unchanged in 2011, compared with 2010. However, use of Internet calling services such as Skype or Vonage has increased to 21 percent in 2011 from 16 percent in 2010. Customers who use Internet calling services are significantly less satisfied with their telephone provider (622 on average, which is 14 index points below the industry average of 636) and are more likely to switch telephone providers (23% vs. the industry average of 16%).

The Florida Attorney General’s office is taking notice of an increasing number of consumer complaints regarding service providers auto-renewing contracts for subscription services without notifying customers in advance.

Among the worst offenders is satellite radio and Internet streaming provider SiriusXM, which some consumers say is notorious for shady billing and collection policies.

SiriusXM provides free trial service in any new and most used vehicles where receivers come pre-installed.  Most dealers activate the service trial for consumers, and pass along the name, address, and phone number of the individual buying the vehicle.  Within two weeks, SiriusXM will begin mailing customers invitations to convert their free trial into a paid subscription, usually with a discount offer.  Consumers who sign up for promotions like SiriusXM’s “5 months for $25” are invited to charge their subscription with a major credit card over the phone.

That’s where the trouble starts, several customers report.

Unbeknownst to them, SiriusXM will “automatically renew” active subscriptions with a credit card on file for “the convenience of the customer,” once the promotion expires.  Customers usually find out when they find a substantial charge on their credit card, often representing the next quarter of service, billed at the regular price of $12.95 per month, plus a “music royalty fee” and any additional state and local taxes.

Some subscribers find even bigger headaches when taking advantage of discounted annual rates that als0 auto-renew.  If the subscriber isn’t automatically billed for the renewal on a credit card, they will often find a bill in the mail, along with a fee for mailing the unexpected invoice.

Getting SiriusXM to cancel surprise bills can become a major headache, and has led to thousands of complaints with the Better Business Bureau.  SiriusXM’s overseas call centers can leave customers waiting on hold for more than half an hour, only to be connected with an English-challenged, uncooperative customer service agent that refuses to waive unexpected charges.

To be fair, SiriusXM’s subscriber agreement provides warnings that canceling service requires more than ignoring a billing statement.  Service will continue (along with billing) for up to three months before the service is suspended and the account is turned over to collections.  Consumers should not consider -any- SiriusXM plan or promotion a one-time, non-renewing offer.  Every promotion we’ve encountered will end with an account converted to regular price service.

Florida state law requires providers like cable, satellite, and phone companies to warn subscribers at least 30 days in advance of any scheduled automatic renewal of a contract.  The law gives consumers time to opt out before they find themselves committed to a service they no longer want.  But many customers accuse SiriusXM of ignoring the law, and the first indication the radio service has been renewed arrives in the form of a bill.

Coping with the third party collection agency SiriusXM uses can be even more difficult than dealing with the company directly, according to several complaints.

Customers who have filed complaints with the BBB report the company usually bends to customer demands at that point.

We have had some long-standing experience dealing with SiriusXM customer service ourselves.  Here are some tips:

1. Don’t give them a credit card number over the phone.  Tell them to send you a bill in the mail and you will write them a check.  You can make a “one-time” credit card payment on their website that has never resulted in auto-payments for us.  Most of the automatically-renewing charges we’ve encountered came from overzealous telephone customer service representatives enrolling us in the “auto-payment” service without our authorization.
2. You almost never have to pay regular SiriusXM prices.  Their retention offers can be renewed over and over again just by telling them the regular price is too high.  But retention plans do not include “best of” channels from the sister provider (Sirius customers can get certain XM channels and vice-versa).  Routine promotions these days are 5 months for $25 or a year for $77 if you don’t want the hassle of calling every five months to renew your retention deal.  Either is much better than $12.95 a month.
3. Although getting “late fees” and “paper billing fees” waived is easy, getting the bill-padding “music royalty fee” forgiven is not.  But you can try.
4. The “lifetime” promotion only covers the life of the receiver (or your automobile).  It’s not a good deal.
5. When you sign up for a promotion, use a calendar application to start reminding you 30 days before it expires so you can call and extend it.  If your promotion expires, you will be billed regular prices and it is a major hassle to get them to waive or discount those charges in-between promotions.
6. If you want to listen to the music channels on offer from SiriusXM these days, you can sample them for free using their streaming service.

SiriusXM recently announced they intend to raise their monthly subscription price to $14.49 in January — just another reason not to pay the regular price.

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WFTS-TV in Tampa reports on increasing complaints about SiriusXM’s billing and auto-renewal practices.  (4 minutes)

Julia Chastin is old enough to know that life sometimes makes you wait, but three hours is ridiculous.

Chastin (her maiden name, to protect her privacy), is a customer of Shaw Cable in Fort Macleod, Alb.  Her Internet service went down last weekend when the neighbor’s overzealous application of a “weed whacker” went awry and damaged her cable connection.  Chastin called Shaw Cable to report the problem, and there began her life in call queue hell.

“Usually companies who make you wait will tell you if their lines are especially busy, which is fine because I can just set the telephone on the speakerphone and go about my business until someone answers, but this turned a phone call into an afternoon adventure,” Chastin says.

In total, it was two hours, fifty-three minutes before a human being finally came on the phone, but only briefly.

“I heard this fumbling sound like someone’s headset was coming off, some mumbling and laughter, and then the line disconnected,” Chastin reports.  “I was furious.”

Chastin is not alone.

“Shaw’s hold times are legendary here in the west,” says Rob Kelvey, a Shaw customer near Vancouver.  “You can easily wait on hold an hour or two before someone answers, and that is day or night.”

Kelvey reports Shaw teases customers with an option inviting customers to accept a call back from a Shaw representative instead of waiting on hold, but it doesn’t work.

“I have used this option at least three times in the past year or so and it has never worked once.”

The problem isn’t just noticed by customers.  A recent polite editorial in the Grand Forks (B.C.) Gazette called out Shaw’s ridiculous hold times and poor customer service:

There are probably many people out there who have had to call the cable company when a TV or Internet-related problem arises only to be put on hold and not just recently.

It is not unusual to be put in a phone queue, especially when it comes to customer service, but the sometimes extraordinarily long wait times can even test those with the greatest of patience.

“Three hours isn’t patience, it’s perseverance,” retorts Chastin.

Customer Service Scoreboard bottom-rated Shaw, based on several hundred responses from customers.  More than 300 were critical of Shaw; only 17 people shared positive experiences with the company’s representatives.   The website rated Shaw Cable a dismal 29 out of 200, putting them firmly in the “terrible” category.

“Sometimes it really is faster to walk to a local Shaw Cable office to report problems instead of calling them on the phone, an ironic fact for a telecommunications company,” says Kelvey.

Shaw officials will occasionally tweet apologies for extended hold times and suggest customers use their online chat customer support feature or their Facebook page for assistance.  But some customers found Shaw’s online chat had “hold times” as well, sometimes as long as 40 minutes.

“Fort Macleod doesn’t offer a lot of options for Internet access, so waiting for Shaw is unfortunately the best option, but when I finally did manage to get someone on the phone, they heard from me good and I received a $20 service credit as an olive branch, which I appreciated,” Chastin says.

“I’d appreciate more not having to wait my life away on hold for hours even more.”

For the sake of public relations, most cable and telephone companies are happily providing service credits to customers who ask after they lost service as a result of Hurricane Irene.  Denying those requests through invocation of weasel contract clauses referencing “acts of god” or “weather-related incidents” will assuredly leave customers less than pleased.  That’s a lesson some employees in Comcast’s call center still need to learn.

The fact is, most consumers shouldn’t have to pay for service undelivered.

Here is one Comcast customer’s plight:

When I contacted Comcast in the days following Irene I was initially told I’d be without service for a day and would receive credit for the loss. When I called two days later, I was told it would be two days, but I would receive credit. When I called six days later I was told they didn’t know how long it would be and that when it was restored I would not be receiving credit for the lost service.

“Wait, you’re telling me you’re going to try and bill me for service I never received,” I asked the customer service agent.

“We’re not going to try. We will be billing you,” he responded.

Another customer service representative verified the information with a supervisor, but sounded as incredulous as I felt when he came back to the phone.

The outage, he explained, is now considered an “act of god”.

“I can’t believe we’re going to do this,” he said.

He suggested I call back when the service was restored for credit.

“I can’t believe we’re not going to give credit,” he said again, before telling me to have a nice weekend.

To be fair, this is the experience of a single customer, and a search of prior storm events in Comcast service areas does show the company is usually willing to issue storm-related credits, as long as it was their service that was disrupted.  One of the issues cable providers have to deal with in weather disasters is ascertaining exactly who and what suffered the outage.  If the area’s local power company loses service, Comcast cable service could be affected directly or not at all.  A widespread outage could cause amplifiers to lose power, cutting off cable service to those with or without power.  But should Comcast credit you for lost service if the only thing keeping you from watching is a downed power line in your neighborhood that hasn’t affected cable service?

That dilemma many customer care professionals solve with courtesy credits to maintain customer goodwill.  But not every provider may automatically issue them, especially when dealing with low level employees in a customer care center.

If Comcast is refusing to provide you with service credits, there are a few quick steps to bypass “the unauthorized to give you what you want”-team and get your money back:

1. If calling by phone, ask if you are talking with a local customer care representative or one located thousands of miles away.  Ask to be transferred to a local office for assistance.  Those on the ground going through the same storm nightmares you are are likely to be more amenable towards giving you a service credit.
2. If using an e-mail form or online chat, call Comcast or visit your local Comcast cable store instead.  Again, someone sharing your misery is more likely to find a way to get you a service credit than someone who hasn’t lived through it.
3. File a complaint with the Better Business Bureau online requesting your service credit.  While Comcast is not BBB accredited, the organization has helped satisfactorily close more than 2,000 customer complaints.
4. Call your local television or newspaper “consumer reporter” and alert them.  Bad publicity is a great way to get any unyielding business to bend.

We expect a few negative stories in the media will be more than enough to inspire Comcast to provide service credits, gracefully.

Besides, if Comcast gives you a hard time about “acts of god,” you can always tell them the same thing when they ask to be compensated for cable equipment that succumbed in the storm.

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Storm-weary Long Island residents are getting fed up with extended service outages.  One went as far as to allegedly threaten a “Columbine-style attack” on a Long Island power facility.  Repair crews are also being hassled.  WABC in New York reports.  (3 minutes)

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WCBS found the same kind of anger in Suffolk County, aggravated by self-congratulating press conferences by utility companies even as hundreds of thousands of customers remained in the dark with no end in sight.  One Connecticut man even threatened a repair crew with a gun for trespassing.  (2 minutes)

These kinds of testimonials help fuel our fight on behalf of consumers for better (and cheaper) broadband:

Hi Guys,

I don’t usually take the time to write thank you’s, but I found your site the other day and managed to save over $20 on my cable bill by switching to ”Earthlink” which I had no idea was possible. When I signed up with Bright House I was promised the $45 a month price for standard Internet, but I signed up a day before their prices jumped to $50. I managed to fight to get my price down for $45, but all of a sudden that stopped and they were refusing to give me the price I signed up for, for the remainder of the year. Due to that, I switched to the Earthlink promo prices and got Bright House to switch me over. They tried to lie to me on the phone to make me think I couldn’t get the Earthlink promo pricing, but I won the argument and am now very happy.

In six months, I’ll try to switch back to Road Runner and get their promo prices.

This is such a hidden unknown gem and has saved my family lots of money. Thank you!

— Scott

Thanks Scott.  Time Warner Cable and Bright House Networks have Earthlink as a hidden little secret most customers know nothing about.  It’s an arrangement that started way back in 2001 with the now-long-forgotten (and broken up) merger between AOL and Time Warner.  A voluntary agreement to allow third party ISPs to sell broadband service over Time Warner Cable has been ongoing ever since, even though customers would routinely find Earthlink’s regular prices not so exciting, if they found them at all.

The Earthlink savings are best realized for broadband-only customers who do not want to get tied down with a double or triple-play package from their cable company.  Both Time Warner Cable and Bright House charge considerably higher prices for standalone broadband service.  It’s part of a marketing tactic to convince you better savings are possible with a bundled service package.  But if you don’t care about the phone line or cable TV, why pay for either?

For every third-party ISP we’ve encountered reselling service on Time Warner Cable or Bright House, it seems mostly an exercise in branding.  For example, Earthlink’s standard and “turbo” products are totally identical to Road Runner offered by both cable companies, with two important distinctions:

• You do not get the benefit of SpeedBoost, a temporary speed increase during the first few seconds of a file transfer;
• You are assigned an Earthlink e-mail address, not one from Bright House or Time Warner Cable.

In fact, Earthlink as a company seems to be running mostly on auto-pilot these days.  We found their website woefully outdated, still selling speeds upgraded several years ago. If Bright House locally sells 10/1Mbps standard Road Runner service and Earthlink offers 7Mbps with a 384kbps upload speed, you will actually get 10/1Mbps from Earthlink as well.  The only difference is the name of the service as it appears on your monthly Time Warner Cable or Bright House bill.  Both cable companies literally just select Earthlink from a drop-down menu on the customer service computer screen.  All service calls and billing are handled by the cable companies.  If you need technical support, however, it will come from an overseas call center or online “chat” platform Earthlink runs.  But Earthlink includes something Time Warner Cable and Bright House customers lost several years ago — up to 20 hours a month of free dial-up usage when away from home.

After the Six Month Promotion….

Earthlink charges $29.99 a month for speeds that are identical to Time Warner Cable or Bright House’s Road Runner Standard service.  In most areas this is or will soon be 10/1Mbps.  Turbo, which usually increases speeds to 15/1Mbps, costs another $10 a month.  These promotional prices are good for six months.

When the six months are up, you are then qualified to participate in whatever New Customer Promotions Time Warner and Bright House are running for their broadband service.  We are commonly seeing offers of $29.99 a month for a year of standard Road Runner service in upstate New York, with occasional offers of a year of free Road Runner Turbo service thrown in.  Assuming those prices remain in effect, you should be able to secure at least 1.5 years of broadband service for $30 a month.  Remember, if your cable company charges you a modem rental fee, consider investing in your own to save that additional charge.  They are priced well under $100.

When your six months of Earthlink and a year of Time Warner/Bright House promotional pricing is up, simply threaten to take your business elsewhere, and you will usually find them willing to extend the promotion for an additional year.  If not, schedule a cancellation date two weeks out and wait for an inevitable phone call from the customer retentions department with a special “winback” offer.

Also remember you can always start new service under the name of a spouse or family member.  Third party resellers (Google “Time Warner Cable “and pay attention to the online ads) may even throw in a prepaid rebate card for signing up for service through them, so shop around when the promotions expire.

These shopping tips may apply to other cable broadband providers as well.  Remember, if your local phone company is now providing more than traditional DSL, most cable companies will go out of their way to hang on to a customer threatening to walk to AT&T U-verse or Verizon FiOS.  Let them fight to keep you as a customer, and you keep the savings.