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Logic price cuts were ?misleading? ? claim

Logic Communications last night was scrambling to notify Internet subscribers about their DSL options after one user pointed out that last week?s price cuts were misleading for some.

Last week, Logic spurred the entire Internet sector to cut rates after it slashed the cost of unlimited dial up and DSL service.

Among the cuts, Logic dropped the price of its 128/256k service from $139.95 to $69.95.

Jennifer Boys and her fianc? had contracted for that speed of service more than a year ago, but when they logged on to their account to see if they were being charged the lower rate they discovered they were still being charged $139.95.

The reason? At the same time Logic dropped rates for new subscribers, it automatically doubled the bandwidth for current subscribers giving each more speed but the same old bill.

Ms Boys said: ?I originally started at the 128k/256k service at $139 and was later bumped up to the 128k/384k service for the same price.

?Since the integration of the new lower rates, I have since again been bumped up to the next level of service, 128k/512k, maintaining the same price of $139.95.?

Ms Boys questions the motives behind bumping up customers from the original service they signed up for.

?It was misleading in that [earlier this year they sent us this letter that said we are upgrading you at no extra cost to give you extra fast service and it was just a lead on because they knew they were cutting the prices.

?To me that is what it seems. I don?t know if that was the intention, but it seems like they were just trying to get people up to being on a higher service so that when they dropped the prices for the lower service they would have fewer customers still on that service.?

Ms Boys contacted Logic to ask they return her to the 128/256k at the $69.95 price and although she had contracted for this speed originally, she was told she would have to make her request in writing.

Yesterday, after hearing from Logic Communications staff contacted Ms Boys to ensure she had settled her concern.

They also asked Ms Boys and to put off writing the story, however Ms Boys still felt it important to warn buyers to beware.

She said: ?My personal account is fine. We are back to the 256 k service because we requested it.

?The $69.95/month is a great price and we?re happy to be there but we weren?t happy to be rolled all the way up and to have to go back and put this effort in to get what we originally contracted with them for.?

Logic Communications people pointed out that customers who have been bumped up are getting double the bandwidth for the same price they had already been paying each month.

Ms Boys says however that although she uploads and downloads frequently there has not been a noticeable change in speed during the past year despite now having double the bandwidth.

As for Ms Boys situation, Logic Communications VP of Customer Relations Vicki Abraham said in an e-mailed statement: ?In our experience this is an isolated incident and we welcome the opportunity to ensure that there are no other valued Logic customers who may find themselves in a similar situation.

?We will further explain to our customers what their options are with a view to providing clarity.? understands that as part of its bid for clarity Logic will e-mail customers who have been rolled up to let them know that they may remain at 512k for $139.95 or drop back to 256k service for $69.95.

As for Logic?s right to bump up customers to higher speeds without their permission, director for the Ministry of Telecommunications William Francis says it is not a licensing issue.

?It really comes under the banner of customers service, how Logic or any other licensed carrier chooses to deal with their customers,? Mr. Francis said adding that the ministry had not heard any concerns from people on the issue.

?In fact, it has been quite the opposite,? he said.

?Most of the informal feedback we have heard is that people actually welcomed how the price dropped.?