CHarging my CC $11.50 and remitting only $10

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  • Updated 2 years ago
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I use automatic top up for prepaid and every month, my credit card get charged $11.50 whereas only 10$ is remitted to my koodo account. I have some funds in my koodo to take care of the remaining $5 to make up my $15 base plan. Why will koodo charge my cc $11.50 and remit only $10. who knows what is happening
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Philips Pado Deji

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Posted 2 years ago

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Sophia, Mobile Master

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It's tax, Philips :) Canada has this silly system where taxes are not included in the purchase price... Same as in the stores.
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BobTheElectrician

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Koodo does not transparently account for tax on your account: they draw the $10 agreed upon amount and then the govt gets their $1.50 added as well.

Bonus: if you sign up for automatic top-ups, you will be debited the same $11.50 you pay now, but should have $10 + $1 (10 percent) credited to your account as well, so you almost beat the tax. Do you not see the extra credit on your statement?
(Edited)
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Sophia, Mobile Master

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Actually Bob it's even better than that :) The 10% bonus is over the entire base plan, regardless of your auto top up amount.
You could be on the $50 plan with $5 auto top up and next renewal you'd still receive $5 bonus.

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