0:00:03 > 0:00:06We asked you to tell us what's left you feeling ripped off and you
0:00:06 > 0:00:08contacted us in your thousands.
0:00:08 > 0:00:11You've told us about the companies you think get it wrong
0:00:11 > 0:00:15and the customer service that is simply not up to scratch.
0:00:15 > 0:00:17They should be looking after their customers and they don't.
0:00:17 > 0:00:21Loyalty to the customers is a very low priority.
0:00:21 > 0:00:25You've asked us to track down the scammers who stole your money and
0:00:25 > 0:00:28investigate the extra charges you say are unfair.
0:00:28 > 0:00:31Big companies, big corporations are more into the money and the numbers
0:00:31 > 0:00:32than they are about people.
0:00:32 > 0:00:35And when you've lost out, but nobody else is to blame,
0:00:35 > 0:00:38you've come to us to stop others falling into the same trap.
0:00:38 > 0:00:42It genuinely feels like I'm getting ripped off.
0:00:42 > 0:00:45So whether it's a blatant rip-off, or a genuine mistake...
0:00:45 > 0:00:48..we're here to find out why you're out-of-pocket
0:00:48 > 0:00:50and what you can do about it.
0:00:50 > 0:00:52Your stories, your money.
0:00:52 > 0:00:54This is Rip Off Britain.
0:00:57 > 0:00:59Hello and welcome to Rip Off Britain,
0:00:59 > 0:01:03the programme that's here to make it much easier to work out which
0:01:03 > 0:01:04companies, if indeed any,
0:01:04 > 0:01:08you can trust when they make out that they're on your side.
0:01:08 > 0:01:11Because I think we all know that it can seem that all too often their
0:01:11 > 0:01:15admirable claims and honourable intentions are not always reflected
0:01:15 > 0:01:18in the way they actually treat us, their customers.
0:01:18 > 0:01:22Of course, for any savvy consumer, there's always been a very fine line
0:01:22 > 0:01:25between paying a little bit more for a great service that you think you
0:01:25 > 0:01:28can rely on and being taken for an absolute mug.
0:01:28 > 0:01:31And it's very hard not to feel totally aggrieved when you discover
0:01:31 > 0:01:34that the company you've been loyal to for years and years
0:01:34 > 0:01:37seem to be putting all their effort into offering new customers
0:01:37 > 0:01:40a much better deal. I have to say, it makes me so cross.
0:01:40 > 0:01:44You're so right. Well, today we're going to be focusing on situations
0:01:44 > 0:01:48where businesses and organisations we trust end up making us question
0:01:48 > 0:01:51why on earth we handed them our money in the first place?
0:01:51 > 0:01:55And it's not just companies which refuse to reward loyalty,
0:01:55 > 0:01:59but also charities whose hard-nosed fundraising tactics can put you
0:01:59 > 0:02:00right off the idea of giving.
0:02:02 > 0:02:07Coming up, the charity accused of charging this man five times as much
0:02:07 > 0:02:10for his home insurance as he could pay elsewhere.
0:02:10 > 0:02:11Well, I couldn't believe it.
0:02:11 > 0:02:16I didn't realise I was paying over the odds.
0:02:16 > 0:02:18And does loyalty ever pay?
0:02:18 > 0:02:21How sticking with the same old names could leave you hundreds of pounds
0:02:21 > 0:02:23out of pocket.
0:02:23 > 0:02:26You've trusted these companies, you know, for all these years and
0:02:26 > 0:02:28you've stayed with them and you just feel let down
0:02:28 > 0:02:31that they're not actually giving you anything in return.
0:02:34 > 0:02:37Now, Britain is one of the most charitable countries in
0:02:37 > 0:02:40the developed world, with not far off three quarters of all of us
0:02:40 > 0:02:43reckoned to donate money each year to good causes.
0:02:43 > 0:02:47But in order to keep that cash coming in, modern-day charities
0:02:47 > 0:02:50have to operate more like businesses than ever before
0:02:50 > 0:02:53and this has led to many of them selling all sorts of products,
0:02:53 > 0:02:57like insurance or energy, to raise extra money for their coffers.
0:02:57 > 0:03:00And you'll remember not long ago that one high-profile charity came
0:03:00 > 0:03:04in for a fair bit of stick when it was revealed that one of
0:03:04 > 0:03:07the services it was offering wasn't such a great deal
0:03:07 > 0:03:08for everyone signing up.
0:03:08 > 0:03:12Well, it seems that that example may not have been especially unusual.
0:03:12 > 0:03:14So, as you'll see, when charity begins at home,
0:03:14 > 0:03:17don't assume it'll be your home that benefits.
0:03:20 > 0:03:23Since Fred Grundy lost his wife eight years ago,
0:03:23 > 0:03:26his daughter, Lynn, hasn't just been a huge comfort to him,
0:03:26 > 0:03:27she's been a great help, as well.
0:03:28 > 0:03:30Hello. Hello, duck.
0:03:30 > 0:03:34One of the jobs his wife, Alice, used to look after was their bills,
0:03:34 > 0:03:37so that's something Lynn now takes care of instead.
0:03:37 > 0:03:39That's a major thing to deal with
0:03:39 > 0:03:42when you've never dealt with it before.
0:03:42 > 0:03:45It wasn't just the loss of my mum,
0:03:45 > 0:03:49it was the support that my dad didn't realise that Mum did.
0:03:49 > 0:03:52We didn't discuss anything at all.
0:03:52 > 0:03:53She did everything.
0:03:55 > 0:03:59Everything was running smooth, so I left it at that, you know?
0:04:01 > 0:04:05Thanks to help from Lynn, Fred's bills still do run smoothly
0:04:05 > 0:04:08but before Alice died, she'd signed him up to home insurance
0:04:08 > 0:04:10with Age UK.
0:04:10 > 0:04:11It's just the job, that.
0:04:11 > 0:04:15And Fred had simply let this policy renew every year
0:04:15 > 0:04:16for almost a decade.
0:04:16 > 0:04:19I'm not aware when Mum changed to Age UK,
0:04:19 > 0:04:23but at the time that she did, she would've felt she was getting
0:04:23 > 0:04:26the best deal, you know.
0:04:26 > 0:04:30I just think that the name of the company sells itself
0:04:30 > 0:04:31for senior citizens.
0:04:32 > 0:04:36But in November 2015, when Lynn saw Fred's renewal quote,
0:04:36 > 0:04:39she didn't think it was the best price her dad could be getting.
0:04:41 > 0:04:43I thought this time, I would check for Dad.
0:04:43 > 0:04:45The price seemed to be quite a lot,
0:04:45 > 0:04:50so I decided to do a comparison site and I was just astounded.
0:04:51 > 0:04:55Age UK's quote was almost ?500,
0:04:55 > 0:04:59but Lynn found a similar policy with another insurer for ?87.
0:04:59 > 0:05:01Well, I couldn't believe it.
0:05:01 > 0:05:05I didn't realise I was paying over the odds, put it that way.
0:05:05 > 0:05:12I was convinced that Age UK would've been, for an elderly person,
0:05:12 > 0:05:17the best policy that they could have, and looking back at old bills,
0:05:17 > 0:05:21he's been paying a lot of money for a lot of years.
0:05:21 > 0:05:24What surprised Fred and Lynn the most was that they believed,
0:05:24 > 0:05:27rightly or wrongly, by dealing with a name they trusted and,
0:05:27 > 0:05:31what's more, one that specifically focused on older people,
0:05:31 > 0:05:33that they would've been getting a competitive deal.
0:05:35 > 0:05:39So Lynn called Age UK and they immediately slashed the quote
0:05:39 > 0:05:44by a whopping two thirds to just ?176.99.
0:05:44 > 0:05:48But, smarting from the realisation that he'd most likely been paying
0:05:48 > 0:05:50more than he needed to for some time,
0:05:50 > 0:05:54Fred cancelled the policy and switched to a new provider.
0:05:54 > 0:05:57A manager phoned me back the following day.
0:05:57 > 0:06:02He was very apologetic, but he pointed out that we are always
0:06:02 > 0:06:05advised on every renewal to request a new quote.
0:06:05 > 0:06:09But with my dad having great trouble hearing,
0:06:09 > 0:06:13he can't make the phone calls and you don't have any internet access,
0:06:13 > 0:06:15do you, Dad? Oh!
0:06:15 > 0:06:18I can't use my mobile properly, never mind internet!
0:06:20 > 0:06:24Now it's an unfortunate fact of life that, whatever your age,
0:06:24 > 0:06:28insurers often hike up your premiums when it's time to renew,
0:06:28 > 0:06:31but Lynn was very surprised that an organisation all about looking after
0:06:31 > 0:06:35the elderly wasn't taking into account that some older folk may not
0:06:35 > 0:06:39feel confident about doing price comparisons online.
0:06:39 > 0:06:43Instead, her dad, who's 86, had assumed that Age UK would give
0:06:43 > 0:06:46him a good deal and act in his best interests, even if it wasn't
0:06:46 > 0:06:48the cheapest around.
0:06:48 > 0:06:51I think the name is giving a false impression.
0:06:51 > 0:06:54I'm so disappointed that they haven't looked after my dad,
0:06:54 > 0:06:57who's been a loyal customer with them for all these years.
0:06:58 > 0:07:03Now you may recall that in February 2016 Age UK hit the headlines
0:07:03 > 0:07:04because of what it charged
0:07:04 > 0:07:06for another service aimed at older people.
0:07:08 > 0:07:12The charity Age UK has been accused of promoting unfavourable
0:07:12 > 0:07:15gas and electricity deals in return for cash.
0:07:15 > 0:07:18Customers of the charity's fixed two-year gas and electricity deal
0:07:18 > 0:07:22were dismayed to find that they could've got their energy cheaper
0:07:22 > 0:07:24by going straight to the provider E.ON.
0:07:26 > 0:07:29Energy deals offered by Age UK with the supplier, E.ON,
0:07:29 > 0:07:32may have been much more expensive than other offers from the firm.
0:07:33 > 0:07:37And at the same time as charging its customers more than they'd have paid
0:07:37 > 0:07:41on E.ON's cheapest tariff, Age UK was receiving a hefty sum
0:07:41 > 0:07:46from the energy company in return for all the pensioners it signed up.
0:07:46 > 0:07:50The energy regulator Ofgem is looking at their partnership after
0:07:50 > 0:07:51it was claimed that Age UK
0:07:51 > 0:07:55was paid ?6 million a year for the arrangement.
0:07:55 > 0:07:57Age UK said that, unlike the cheapest tariff,
0:07:57 > 0:08:02it's E.ON deal offered the security of a two-year fixed term,
0:08:02 > 0:08:05but it still faced calls to refund customers and, soon after,
0:08:05 > 0:08:08the charity withdrew the deal entirely.
0:08:08 > 0:08:10Now, although Age UK is a charity,
0:08:10 > 0:08:15it's also a business and I'm afraid its survival relies on making money.
0:08:15 > 0:08:16Whilst its aim, as they put it,
0:08:16 > 0:08:19is to help everyone make the most of later life,
0:08:19 > 0:08:23that doesn't come cheap and although donations do go some way towards
0:08:23 > 0:08:27this, a substantial part of Age UK's revenue comes from selling other
0:08:27 > 0:08:31products like the home insurance that Fred bought, or a wide range
0:08:31 > 0:08:33of other items particularly aimed at the older market.
0:08:35 > 0:08:36And that's not unusual.
0:08:36 > 0:08:41In fact, it's been said that 55p out of every pound coming into most
0:08:41 > 0:08:42charities these days will have been
0:08:42 > 0:08:45earned through providing services or trading.
0:08:47 > 0:08:50But we wanted to know if Fred's experience was a one-off.
0:08:50 > 0:08:53So to find out, we've enlisted some volunteers from
0:08:53 > 0:08:56the Bexhill Senior Citizens Club in Sussex.
0:08:57 > 0:08:59Good morning, everybody.
0:08:59 > 0:09:01Morning. Hi! Rip Off Britain has arrived.
0:09:01 > 0:09:03Is that all right? Yes.
0:09:04 > 0:09:08We're going to compare the prices of several of Age UK's products
0:09:08 > 0:09:10with the help of four of the club's regulars.
0:09:10 > 0:09:15That's Colin, Jim, Joe and Tony.
0:09:15 > 0:09:18They're going to call Age UK for quotes for home,
0:09:18 > 0:09:20car and travel insurance.
0:09:20 > 0:09:23So, I'd love to give you the details and see if you can give me a quote
0:09:23 > 0:09:24for the travel insurance.
0:09:24 > 0:09:27All four are currently insured by other companies,
0:09:27 > 0:09:31so they're hoping that Age UK can give them a better deal.
0:09:31 > 0:09:34And to see how competitive these quotes are,
0:09:34 > 0:09:37they'll hand them over to personal finance expert Sarah Pennells
0:09:37 > 0:09:40to see if she can find a better price with anyone else.
0:09:42 > 0:09:45I think that I probably will be able to make some savings for the people
0:09:45 > 0:09:49that we're meeting today, because I'd be surprised if Age UK's
0:09:49 > 0:09:51policies are going to be the most competitive,
0:09:51 > 0:09:53even for an older market.
0:09:55 > 0:09:59First up, it's home insurance, and Sarah quickly finds better deals
0:09:59 > 0:10:02than the quotes our volunteers got from Age UK.
0:10:03 > 0:10:06Tony was given a price of ?330,
0:10:06 > 0:10:10but Sarah could get a similar policy for just 127.
0:10:11 > 0:10:14But it was Colin's home insurance that had the best saving.
0:10:14 > 0:10:21Age UK quoted him ?538, but Sarah found comparable cover with another
0:10:21 > 0:10:24company for a whopping 75% less.
0:10:24 > 0:10:27That's ?133.59.
0:10:28 > 0:10:32That is a big difference. One really needs to do the homework
0:10:32 > 0:10:34and make sure that is really a competitive...
0:10:34 > 0:10:37Yes, sometimes you think, "Well, that's just what it is."
0:10:37 > 0:10:43Next up, it's car insurance and here, Age UK had its best result,
0:10:43 > 0:10:46for Colin, at least. Sarah couldn't find a policy cheaper than the price
0:10:46 > 0:10:50it quoted him. The best deal she could see on the day
0:10:50 > 0:10:52was ?15 more expensive.
0:10:53 > 0:10:55But it was a different story for Tony.
0:10:55 > 0:11:00Age UK quoted him ?172.87,
0:11:00 > 0:11:06which Sarah was able to cut by more than 25% to just ?126,
0:11:06 > 0:11:08simply by looking elsewhere.
0:11:08 > 0:11:10I'm lost for words.
0:11:10 > 0:11:13I can't believe that, for the same sort of specifications,
0:11:13 > 0:11:16they come up with such widely different figures.
0:11:16 > 0:11:20But the biggest saving of the day came when we compared Age UK's
0:11:20 > 0:11:22travel insurance.
0:11:22 > 0:11:26It quoted Jim ?919 for an annual policy,
0:11:26 > 0:11:30but Sarah found a similar cover for just 412,
0:11:30 > 0:11:33a saving of more than ?500.
0:11:33 > 0:11:34Astonishing, isn't it?
0:11:36 > 0:11:39Throughout the day, Sarah compared the cost of nine policies
0:11:39 > 0:11:43but, in all but one case, she was able to get cover at a cheaper price
0:11:43 > 0:11:46than with Age UK, sometimes significantly so.
0:11:48 > 0:11:51In terms of this entire exercise, what's your conclusion, Sarah?
0:11:51 > 0:11:54You can make some very good savings.
0:11:54 > 0:11:58As ever, it's really important you check what you're covered for,
0:11:58 > 0:12:02not just in terms of what the policy covers you for but, actually, what
0:12:02 > 0:12:04other customers are saying about them because there could be some
0:12:04 > 0:12:06really good deals out there.
0:12:06 > 0:12:09Age UK sells its products through its commercial arm,
0:12:09 > 0:12:13Age UK Enterprises, and the profit it makes goes to the charity.
0:12:13 > 0:12:17Part of the service is to make policies simple to arrange over the
0:12:17 > 0:12:21phone and the cover often includes extras specific to elderly people
0:12:21 > 0:12:24such as protection for a carer's possessions.
0:12:24 > 0:12:28But Sarah doesn't think these extras justify the higher premiums.
0:12:28 > 0:12:30For a charity like Age UK,
0:12:30 > 0:12:33if it's going to have a business operation that offers the kind of
0:12:33 > 0:12:36products that it's aiming at older people,
0:12:36 > 0:12:39I think it has an extra responsibility to make sure those
0:12:39 > 0:12:42products are fair and competitively priced.
0:12:43 > 0:12:47Of course, quotes on any comparison site can change by the day,
0:12:47 > 0:12:50and there are some services where Age UK does appear to offer
0:12:50 > 0:12:52competitive rates.
0:12:52 > 0:12:55For example, research suggests that its funeral plans were amongst
0:12:55 > 0:12:57the best value on the market.
0:12:59 > 0:13:02But for the everyday products that we compared in Bexhill,
0:13:02 > 0:13:05that simply wasn't the case, which left our volunteers feeling
0:13:05 > 0:13:08disappointed with a name that they might have assumed would give
0:13:08 > 0:13:10the older customer a better deal.
0:13:12 > 0:13:14What's your assessment now, Colin?
0:13:14 > 0:13:19I think one would feel quite angry to have to pay so much more
0:13:19 > 0:13:23than what other people are quoting.
0:13:23 > 0:13:24Are you surprised, Jim?
0:13:24 > 0:13:26I think disappointed is the word.
0:13:27 > 0:13:31Your expectation would be that they would give you a fair crack and it's
0:13:31 > 0:13:33far from a fair crack.
0:13:33 > 0:13:37But when we put all of this to Age UK, the charity told us that
0:13:37 > 0:13:40such a small comparison is not representative of its pricing,
0:13:40 > 0:13:44especially considering the wide range of customers
0:13:44 > 0:13:45it's trying to cater for.
0:13:45 > 0:13:49It insists it offers great insurance protection at the most competitive
0:13:49 > 0:13:53price it can, without ever compromising on the things that
0:13:53 > 0:13:54make the difference to older people.
0:13:54 > 0:13:58With that in mind, it stressed that the upfront price isn't the only
0:13:58 > 0:14:01factor to consider, highlighting other aspects of its
0:14:01 > 0:14:04cover that are equally important, including its customer service
0:14:04 > 0:14:09and low excess payments, so as not to deter people from making a claim.
0:14:09 > 0:14:13And no extra charges for amending or cancelling a policy,
0:14:13 > 0:14:15should circumstances change.
0:14:15 > 0:14:18It went on to say that its prices are the same face-to-face,
0:14:18 > 0:14:22over the phone or online, as it would be unfair for someone
0:14:22 > 0:14:23to lose out financially
0:14:23 > 0:14:27simply because they can't or choose not to use a computer.
0:14:27 > 0:14:28As for Fred's case,
0:14:28 > 0:14:32Age UK said it's extremely sorry that he and daughter, Lynn, feel
0:14:32 > 0:14:35disappointed, and it's been in touch with them directly.
0:14:35 > 0:14:39But it urged all customers renewing cover to get in touch to see if
0:14:39 > 0:14:42their policy is still the best or most appropriate one,
0:14:42 > 0:14:45or indeed nominate a friend or relative to do that on their behalf,
0:14:45 > 0:14:48and it added that where it can offer savings,
0:14:48 > 0:14:49it will always try to do so.
0:14:52 > 0:14:56Even so, Fred and Lynn still feel let down by an organisation whose
0:14:56 > 0:14:59purpose is to look after those who have reached later life.
0:15:00 > 0:15:06I just think that there's people out there that haven't got support to
0:15:06 > 0:15:09deal with this, so you're trusting the company you're dealing with
0:15:09 > 0:15:10that they will look after you.
0:15:16 > 0:15:17Now, I'm sure that like many of you,
0:15:17 > 0:15:21there are some companies that I've used for years and for whom I'm
0:15:21 > 0:15:24a really loyal and long-standing customer,
0:15:24 > 0:15:29but, you know, loyalty needs to work both ways and there is nothing worse
0:15:29 > 0:15:32than discovering that the business you've stuck with through thick
0:15:32 > 0:15:36and thin is offering a much better deal to new customers
0:15:36 > 0:15:39and taking your custom very much for granted.
0:15:39 > 0:15:43Well, I think we certainly know from all of the e-mails and letters that
0:15:43 > 0:15:46we get on this, how very strongly you feel about this subject.
0:15:46 > 0:15:51So we've set out to investigate just how often loyalty really does pay,
0:15:51 > 0:15:54and whether or not playing the field
0:15:54 > 0:15:57really can put more cash in your pocket.
0:16:00 > 0:16:01An awful lot of us do still
0:16:01 > 0:16:04stick with the same company year after year.
0:16:04 > 0:16:06Would you say you are a loyal customer?
0:16:06 > 0:16:11I've been with my bank for 25 years and I think they've earned my
0:16:11 > 0:16:14loyalty because they provide a great service.
0:16:14 > 0:16:17And in return, we hope that loyalty will be repaid by getting
0:16:17 > 0:16:19the best deals and offers.
0:16:19 > 0:16:21What makes you stay loyal?
0:16:21 > 0:16:26Because it's hassle changing, for one, especially with energy bills.
0:16:26 > 0:16:28I just can't see the point just for a few quid.
0:16:28 > 0:16:31Do you think loyalty pays, then?
0:16:31 > 0:16:34I think it should pay, I'm of that school that says it should be, but
0:16:34 > 0:16:38so often it doesn't because I think they get their values mixed up.
0:16:38 > 0:16:41No, I don't think there's any place for loyalty, really.
0:16:41 > 0:16:42Really? No.
0:16:44 > 0:16:47And that's an opinion Christie Richards from Barnsley has
0:16:47 > 0:16:51now come around to. She used to be a loyal customer until she discovered
0:16:51 > 0:16:54just how much that loyalty was costing her.
0:16:54 > 0:16:59She'd had the same breakdown cover with the RAC since 1999 but her 2015
0:16:59 > 0:17:03renewal quote came as a bit of a shock.
0:17:03 > 0:17:06This year when the quote came through at ?180,
0:17:06 > 0:17:08it's kind of closer to ?200, and you think,
0:17:08 > 0:17:11"Oh, ?200 for both of us," because it's a joint policy.
0:17:11 > 0:17:16I just seemed to, in my mind, think that I'd paid ?130 or something
0:17:16 > 0:17:19similar, ?140, previously.
0:17:19 > 0:17:21So, I thought, "How come it has jumped up so much?"
0:17:21 > 0:17:24Because I've not made a claim.
0:17:24 > 0:17:28So, Christie looked online to see if the quote was out of kilter with
0:17:28 > 0:17:30other breakdown firms and, sure enough,
0:17:30 > 0:17:34she found companies offering similar policies a lot cheaper.
0:17:34 > 0:17:39But even worse, she saw that the RAC itself was tempting new customers
0:17:39 > 0:17:41with a much better deal.
0:17:41 > 0:17:46When you've been with them since 1999, it just seems ludicrous to me
0:17:46 > 0:17:49that they wouldn't want to value your custom.
0:17:49 > 0:17:54Surely a loyal customer is better for their business
0:17:54 > 0:17:57than one that keeps chopping and changing each year.
0:17:57 > 0:18:01So, Christie picked up the phone to cancel her renewal and, hey presto,
0:18:01 > 0:18:05that little push was all it took to get the quote down.
0:18:05 > 0:18:09The RAC immediately slashed it by ?50 and, though Christie was happy
0:18:09 > 0:18:14to take them up on that, she feels that the lower price is what should
0:18:14 > 0:18:16have been offered initially.
0:18:16 > 0:18:18My point was they should be doing that in the first place and not
0:18:18 > 0:18:21waiting for people to actually take the time to ring them up.
0:18:22 > 0:18:25Christie's thoughts then turned to her parents.
0:18:25 > 0:18:27They too were loyal RAC customers
0:18:27 > 0:18:29and when she checked what they were paying,
0:18:29 > 0:18:32it was far more than the deal that she'd just made.
0:18:35 > 0:18:40I learnt that they're paying ?271 a year for virtually the same policy
0:18:40 > 0:18:45of what I paid ?129 for, so I was rather outraged for them.
0:18:45 > 0:18:49Ann and Ken had taken out their RAC cover in 2007
0:18:49 > 0:18:50and, as so many of us do,
0:18:50 > 0:18:53had let it automatically renew every year since.
0:18:54 > 0:18:57Their policy did include a few more features than Christie's
0:18:57 > 0:19:01but, even so, Christie didn't think the whole package should have cost
0:19:01 > 0:19:03more than double her new quote.
0:19:03 > 0:19:07But this time Christie's attempts to reduce the cost came
0:19:07 > 0:19:11to nothing because her parents were already in the middle of their
0:19:11 > 0:19:14contract and had paid their annual fees in full.
0:19:15 > 0:19:19It's not the best price, it's not a fair price, it's not the price for
0:19:19 > 0:19:21a loyal customer who has been with them nine years.
0:19:21 > 0:19:25The RAC, however, would disagree, telling us that in a competitive
0:19:25 > 0:19:27market, it's commonplace for companies to
0:19:27 > 0:19:29offer discounts to new members.
0:19:29 > 0:19:33What's more, it pointed out that the vast majority of its members
0:19:33 > 0:19:36will themselves have benefited from a discount when they joined.
0:19:36 > 0:19:41It insisted its renewal prices are fair and significantly lower than
0:19:41 > 0:19:42those of competitors.
0:19:44 > 0:19:47But all of this got Christie and her parent curious as to whether or not
0:19:47 > 0:19:51their loyalty to other companies might also be costing them
0:19:51 > 0:19:54and the first one they wanted to check was a big name
0:19:54 > 0:19:57they'd been with for decades.
0:19:57 > 0:20:01We've had BT since we first had a telephone installed, 45 years ago.
0:20:01 > 0:20:04And over the years, it had never occurred to the couple to see if
0:20:04 > 0:20:07they could get a better deal.
0:20:07 > 0:20:08Ring, ring, hello.
0:20:08 > 0:20:13I've never looked at any comparison sites or anything like that.
0:20:13 > 0:20:15I don't know, I just don't feel comfortable doing it.
0:20:15 > 0:20:19I always worry that I'll either choose somebody that's not as good
0:20:19 > 0:20:21or not as reliable and BT is a big name,
0:20:21 > 0:20:23so I thought we were being...
0:20:23 > 0:20:27Better the devil you know than the devil you don't.
0:20:27 > 0:20:30But Ann and Ken have now finally agreed to give the devil they don't
0:20:30 > 0:20:34know a bit of a chance because, with Christie's help, they've now
0:20:34 > 0:20:37switched to a different phone provider and, in the process,
0:20:37 > 0:20:40cut their monthly bill from ?50 to just ?17.50.
0:20:42 > 0:20:43BT told us it's always happy
0:20:43 > 0:20:46to discuss new deals with existing customers
0:20:46 > 0:20:51and that three million customers have indeed done exactly that.
0:20:51 > 0:20:55But with their loyalty to both BT and the RAC resulting in them paying
0:20:55 > 0:20:58more than if they'd been new customers, Ann and Ken are keen to
0:20:58 > 0:21:01find out if they can reduce what they're paying for
0:21:01 > 0:21:05the rest of their bills, so they're on the phone...
0:21:05 > 0:21:07My name is Mrs Ann Richards.
0:21:07 > 0:21:09..searching for better deals.
0:21:09 > 0:21:13I'm just phoning up to see whether you can tell me whether I'm actually
0:21:13 > 0:21:16on the best tariff for the electricity.
0:21:16 > 0:21:19I just wanted to check if I'm on the best tariff.
0:21:19 > 0:21:22If you could send me details of that in the post,
0:21:22 > 0:21:23that would be really helpful.
0:21:23 > 0:21:25I think you just feel let down.
0:21:25 > 0:21:28You've trusted these companies for all these years
0:21:28 > 0:21:30and you've stayed with them.
0:21:30 > 0:21:35Do you think, as a loyal customer to a big company or organisation,
0:21:35 > 0:21:36they should look after you?
0:21:36 > 0:21:39I think so, yeah. Or I believed they did.
0:21:39 > 0:21:43And you feel let down they're not giving you anything in return.
0:21:43 > 0:21:46Now the chances are that when you get your next quote or bill,
0:21:46 > 0:21:50in some cases, you too will be able to bring the price down by giving
0:21:50 > 0:21:54them a quick call, but rewarding as any saving can be for any amount
0:21:54 > 0:21:58at any time, it does still stick in the throat to think that,
0:21:58 > 0:22:01as a loyal customer, you're not always going to be getting as good
0:22:01 > 0:22:04a deal as someone who's a new customer.
0:22:05 > 0:22:07And from all the ads you'll see on television,
0:22:07 > 0:22:09you can't help forming the impression that it's those new
0:22:09 > 0:22:12customers who really are the priority for some big names,
0:22:12 > 0:22:16with offers of better prices or other incentives.
0:22:16 > 0:22:17Banks, for example,
0:22:17 > 0:22:20will sometimes offer cash if you open up a new current account.
0:22:20 > 0:22:22In some cases, over ?100.
0:22:22 > 0:22:25Then there's 0% interest deals on your credit cards,
0:22:25 > 0:22:30half-price introductory offers, money-off deals and much, much more.
0:22:31 > 0:22:34But the fact that many of those deals probably won't be available to
0:22:34 > 0:22:39existing customers is something that visitors to our Facebook page have
0:22:39 > 0:22:42made very clear they're not at all happy about.
0:23:03 > 0:23:07So, if loyalty doesn't always pay then the obvious question is
0:23:07 > 0:23:10why more of us don't do something about it.
0:23:10 > 0:23:13And the truth is that, although we might not like to admit it,
0:23:13 > 0:23:17many of us are still a bit uncomfortable about switching from
0:23:17 > 0:23:20a company that we've been with for quite a long time.
0:23:20 > 0:23:25A whopping 60% of us, for example, have never changed energy supplier.
0:23:26 > 0:23:30We also typically let our insurance auto-renew and allow direct debits
0:23:30 > 0:23:32to roll on and on.
0:23:32 > 0:23:34We might like to think of that as loyalty,
0:23:34 > 0:23:36but there are some who'd say it's laziness.
0:23:36 > 0:23:41Dr Tom Webb is a social psychologist at the University of Sheffield.
0:23:41 > 0:23:45Companies offer you a very, very good deal to get you in
0:23:45 > 0:23:48and then they use the fact that you're unlikely to switch,
0:23:48 > 0:23:50you haven't got the time or the effort
0:23:50 > 0:23:53or you're not aware of better deals, to keep you.
0:23:53 > 0:23:56So, they do want you as a customer but they want you paying the higher
0:23:56 > 0:23:58rate and not phoning them up trying
0:23:58 > 0:24:00to get better deals or switching around.
0:24:01 > 0:24:04And all that extra money adds up.
0:24:04 > 0:24:06In fact, the Competition And Markets Authority
0:24:06 > 0:24:11has found that customers in the UK pay ?1.7 billion more
0:24:11 > 0:24:16than they need to every year on energy bills alone.
0:24:16 > 0:24:20We know, as psychologists, that people are habitual.
0:24:20 > 0:24:23We tend to do the things we've always done and we find it difficult
0:24:23 > 0:24:26to do new things. Well, companies know this.
0:24:26 > 0:24:31They know you probably won't change so they keep offering you the same
0:24:31 > 0:24:34deal or, even worse, they keep putting up their prices in the hope
0:24:34 > 0:24:38that you'll never actually pick up the phone and say,
0:24:38 > 0:24:40"I shouldn't be paying this much."
0:24:40 > 0:24:43They're not offering their loyal customers or customers who appear to
0:24:43 > 0:24:46be loyal these good deals and that's a shame.
0:24:47 > 0:24:50The question is should we be switching to competitive new
0:24:50 > 0:24:53providers every time there's an inkling
0:24:53 > 0:24:55that our bills are creeping up?
0:24:55 > 0:24:58Well, the team here in the office has been crunching the numbers to
0:24:58 > 0:25:04see really if there are ever any situations when loyalty does pay.
0:25:07 > 0:25:09And the good news is, yes, there are.
0:25:09 > 0:25:12They've discovered when it comes to your mobile phone,
0:25:12 > 0:25:15loyalty can be rewarded with a number of providers
0:25:15 > 0:25:20who offer the same deals for all customers, new or old.
0:25:20 > 0:25:24And there are some banks, such as Lloyds and Nationwide, that promise
0:25:24 > 0:25:27to give existing customers better rates on loans and mortgages.
0:25:29 > 0:25:32But there are other areas where, frankly, it really would be
0:25:32 > 0:25:35better off playing the field and none more so than insurance.
0:25:35 > 0:25:38Now, it's estimated that switching your home insurance
0:25:38 > 0:25:42is likely to put at least an extra ?72 in your pocket
0:25:42 > 0:25:48and switching car insurance on a like-for-like cover could save you
0:25:48 > 0:25:50as much as ?200 a year.
0:25:52 > 0:25:55And another area where you've been telling us that loyalty
0:25:55 > 0:25:56really doesn't pay is when it comes
0:25:56 > 0:25:59to your phone, broadband and TV suppliers.
0:25:59 > 0:26:02Several of you have written to us angry that, again, new customers
0:26:02 > 0:26:04are being offered a better deal.
0:26:04 > 0:26:07Of course, if you ring up and threaten to leave,
0:26:07 > 0:26:10odds are you'll be offered an instant reduction and if you're not,
0:26:10 > 0:26:12take your business elsewhere.
0:26:12 > 0:26:16As Dr Tom Webb says, never assume that loyalty will ever get you
0:26:16 > 0:26:21the best deal but being proactive really could bag you some cash.
0:26:21 > 0:26:23This is your chance to save some money.
0:26:23 > 0:26:25Visualise how much you can save.
0:26:25 > 0:26:27Get on that price comparison website,
0:26:27 > 0:26:29see what better deals are out there and make the change.
0:26:31 > 0:26:35That's advise Christie, Ann and Ken have taken very much to heart.
0:26:35 > 0:26:39As far as they're concerned, there is no more loyalty.
0:26:39 > 0:26:43In my experience I don't think that loyalty is rewarded any more as
0:26:43 > 0:26:46a customer. So each year, I think we need to change.
0:26:52 > 0:26:54Still to come on Rip Off Britain,
0:26:54 > 0:26:57with some charities going too far to get more of your cash,
0:26:57 > 0:27:00how are they going to change their ways?
0:27:00 > 0:27:03If everybody's just concerned with getting the money and squeezing it
0:27:03 > 0:27:07out of people, and indeed bullying them to get the money out of them,
0:27:07 > 0:27:09it makes for a very unpleasant society.
0:27:13 > 0:27:16The Rip Off Britain pop-up shop is back.
0:27:16 > 0:27:19We officially declare this pop-up shop open.
0:27:20 > 0:27:23It was our chance to record as many of your stories,
0:27:23 > 0:27:25opinions and complaints as possible.
0:27:26 > 0:27:31I've got a name of somebody here who will resolve this today.
0:27:31 > 0:27:35Dropping in for some banking advice from financial guru Sarah Pennell
0:27:35 > 0:27:37and Martin James was Steve Williams.
0:27:37 > 0:27:41So, Steve, do you want to tell Sarah and Martin why you're here?
0:27:41 > 0:27:45Like an estimated 11 million people in the UK, Steve has what's called
0:27:45 > 0:27:49a packaged current account, meaning he pays a fee each month
0:27:49 > 0:27:52that gets him extra services and benefits.
0:27:52 > 0:27:55I pay ?24 a month to run this account.
0:27:55 > 0:27:57What sort of benefits are those?
0:27:57 > 0:28:00Well, they say there's some holiday insurance,
0:28:00 > 0:28:04mobile phone cover insurance, a few things like that.
0:28:04 > 0:28:06But I've never used them products myself.
0:28:06 > 0:28:09How long ago were you sold this bank account?
0:28:09 > 0:28:11It's more than ten years ago.
0:28:11 > 0:28:15Steve estimates that over those years he's paid out almost ?3,000
0:28:15 > 0:28:18for benefits he's never used and, as far as he's concerned,
0:28:18 > 0:28:21were no real use to him in the first place.
0:28:21 > 0:28:23Have they ever written to you and said,
0:28:23 > 0:28:26"We don't think this account may be right for you?"
0:28:26 > 0:28:27Not in words like that.
0:28:27 > 0:28:30They have written to me to say what the products are,
0:28:30 > 0:28:35but not actually saying, "Is this a product for you and your family?"
0:28:35 > 0:28:37And on closer inspection,
0:28:37 > 0:28:40Steve's account doesn't appear to suit his needs.
0:28:40 > 0:28:44For example, it includes services he's already getting elsewhere and
0:28:44 > 0:28:45because he's self-employed,
0:28:45 > 0:28:48some of its apparent benefits won't apply to him.
0:28:48 > 0:28:50So while, for many people,
0:28:50 > 0:28:52these accounts can prove very good value for money,
0:28:52 > 0:28:56Sarah and Martin are both well used to hearing from unhappy
0:28:56 > 0:28:58customers like Steve.
0:28:58 > 0:29:01The banks, not surprisingly, are very, very keen on these accounts
0:29:01 > 0:29:03and about five to ten years ago
0:29:03 > 0:29:06they started selling them quite aggressively.
0:29:06 > 0:29:09I know, Martin, at the Financial Ombudsman Service,
0:29:09 > 0:29:12you've seen quite a spike in the number of complaints.
0:29:12 > 0:29:15We certainly have. We've seen something like 40,000
0:29:15 > 0:29:19in the last year, which is a huge number of complaints.
0:29:19 > 0:29:22Steve originally signed up to his package account as part of a deal
0:29:22 > 0:29:26to get a discounted mortgage rate from the same bank.
0:29:26 > 0:29:29But when that rate ended, he didn't cancel the account,
0:29:29 > 0:29:32so he wants to know if he can reclaim
0:29:32 > 0:29:34any of the ?3,000 he's paid.
0:29:34 > 0:29:38Unless the bank did write to you and say quite clearly that,
0:29:38 > 0:29:40"The benefits have changed,
0:29:40 > 0:29:44"here's a list of them and are you getting value from it?"
0:29:44 > 0:29:48then it sounds to me like you may well have a claim.
0:29:48 > 0:29:52You're entitled to a refund on your fees if you meet certain criteria,
0:29:52 > 0:29:55such as the package not being fully explained to you, or being told you
0:29:55 > 0:29:58had to sign up to get another product such as a loan.
0:29:58 > 0:30:02So to find out if Steve qualifies, Martin has offered to investigate.
0:30:02 > 0:30:05We'll send a letter to the business and ask them to have a look at your
0:30:05 > 0:30:09case and see if they'll reconsider and maybe come up with a solution
0:30:09 > 0:30:10that works for both of you.
0:30:10 > 0:30:14Happy with that? Yes. Certainly. Thank you very much.
0:30:14 > 0:30:17And since visiting our pop-up shop, Steve's bank has agreed to open
0:30:17 > 0:30:20an investigation into his case.
0:30:20 > 0:30:23You can find out more information about claiming back packaged
0:30:23 > 0:30:25bank account fees on our website.
0:30:30 > 0:30:32But it wasn't just in our shop
0:30:32 > 0:30:34where some of you had a beef with your bank.
0:30:34 > 0:30:37Over in our gripe corner you were feeling pretty steamed up too.
0:30:39 > 0:30:42What really annoys me is bank charges.
0:30:42 > 0:30:46I've just had one with my business banking for no reason at all.
0:30:46 > 0:30:48They're closing down all the branches.
0:30:48 > 0:30:51They have no relationship with the manager.
0:30:51 > 0:30:54I have to pay to have my money stored. How is that logical?
0:30:54 > 0:30:56When they're good, they're very, very good.
0:30:56 > 0:31:00When they're bad, they're absolutely atrocious.
0:31:04 > 0:31:07Now, as we saw earlier in the programme, many charities are
0:31:07 > 0:31:11increasingly operating as businesses to maximise their
0:31:11 > 0:31:12income as much as possible.
0:31:12 > 0:31:14It's all in a good cause, of course,
0:31:14 > 0:31:17but as many of us will have discovered,
0:31:17 > 0:31:19one small donation can lead to
0:31:19 > 0:31:22what feels like a relentless stream of letters,
0:31:22 > 0:31:26phone calls and e-mails asking for more, which leaves even the best of
0:31:26 > 0:31:29us feeling somewhat less than charitable.
0:31:29 > 0:31:32So, it's no wonder that these tactics have come in for some
0:31:32 > 0:31:33serious criticism.
0:31:35 > 0:31:39The UK ranks sixth in the world for charitable giving.
0:31:39 > 0:31:43I give to three regularly.
0:31:43 > 0:31:44Probably half a dozen.
0:31:46 > 0:31:51Last year, between us, we donated an estimated ?9.6 billion to charity.
0:31:51 > 0:31:54But that was ?1 billion less than in 2014.
0:31:56 > 0:31:59While it's clear we still like to support a good cause,
0:31:59 > 0:32:03it seems many of us are fed up with being badgered or even bullied by
0:32:03 > 0:32:07organisations trying to get us to donate more.
0:32:07 > 0:32:10I don't like being pressurised into doing it because they make you feel
0:32:10 > 0:32:11guilty all the time.
0:32:11 > 0:32:12I was contacted by...
0:32:12 > 0:32:16Well, I wouldn't like to put a number on it. 15, 20?
0:32:16 > 0:32:20It makes me feel very resentful, it makes me feel bad about
0:32:20 > 0:32:22the charity and turns me off and sometimes I've severed the
0:32:22 > 0:32:24relationship with that charity.
0:32:24 > 0:32:26Once you say no, I think they should leave you alone.
0:32:28 > 0:32:31That's a sentiment shared by Peter Burrows from Castle Bromwich.
0:32:31 > 0:32:35Hello. Hello. Hello. Hello.
0:32:35 > 0:32:38He pays a fixed amount to two charities every month and gives
0:32:38 > 0:32:41spur-of-the-moment donations to others.
0:32:41 > 0:32:42Hello.
0:32:42 > 0:32:47I started giving to charity almost as soon as I had a salary,
0:32:47 > 0:32:49which is 50 years ago.
0:32:51 > 0:32:54But he'd far rather the money he donates was spent purely on
0:32:54 > 0:32:57charitable work and not on trying to get him to give more.
0:32:58 > 0:33:03With at least two charities that I contribute to,
0:33:03 > 0:33:07I can remember receiving further letters from them,
0:33:07 > 0:33:10perhaps two or three times a year.
0:33:10 > 0:33:15And I find that a bit frustrating because they're using my money to
0:33:15 > 0:33:17contact me to get... try to get more.
0:33:19 > 0:33:22But when those charities are particularly close to his heart,
0:33:22 > 0:33:25he finds it hard to ignore their requests for further cash.
0:33:27 > 0:33:32I have had two bouts of cancer, which makes me particularly
0:33:32 > 0:33:36sympathetic towards cancer charities.
0:33:36 > 0:33:38I don't like to say, "No," in fact.
0:33:38 > 0:33:41If I actually contributed to every one that came,
0:33:41 > 0:33:43I would have financial problems.
0:33:45 > 0:33:49But what really irritates Peter is that it's not just the charities
0:33:49 > 0:33:53he's donated to in the past that are contacting him.
0:33:53 > 0:33:57He also gets pleas for cash from ones he's never given money to
0:33:57 > 0:33:58and that makes him wonder
0:33:58 > 0:34:01how exactly they got his details in the first place.
0:34:01 > 0:34:07It does seem that we are getting a number of contacts from charities
0:34:07 > 0:34:10that are connected with the ones that I already contribute to.
0:34:10 > 0:34:17It's pretty obvious that your name is passed on and you then get
0:34:17 > 0:34:20a letter, or you get a further call from the charity.
0:34:22 > 0:34:25Peter doesn't object to charities trying to raise funds.
0:34:25 > 0:34:28After all, it's the most important element in making sure they can
0:34:28 > 0:34:30carry out all the good works that they do.
0:34:30 > 0:34:33But he does worry about how his personal information
0:34:33 > 0:34:35is being passed around.
0:34:35 > 0:34:41I don't like being contacted by people that I've not contributed
0:34:41 > 0:34:45to before. I don't like being contacted with people who I think
0:34:45 > 0:34:48have been sold my address.
0:34:50 > 0:34:54Peter believes that his contact details and those of thousands of
0:34:54 > 0:34:56other donors are sold, shared and traded
0:34:56 > 0:34:59by charities and third parties.
0:34:59 > 0:35:03Concerns about this were brought into sharp focus in 2015,
0:35:03 > 0:35:06after the death of 92-year-old poppy seller
0:35:06 > 0:35:10and lifelong charity supporter Olive Cook.
0:35:10 > 0:35:13Earlier this month, her body was found in the Avon Gorge.
0:35:13 > 0:35:16Family and friends say the 92-year-old had a number of worries
0:35:16 > 0:35:20in the months before she died, but she also complained to her local
0:35:20 > 0:35:24newspaper about the pressure she felt from charities sending her
0:35:24 > 0:35:26letters asking for money.
0:35:28 > 0:35:31After her death, Olive Cook's contact details were found to be on
0:35:31 > 0:35:35the databases of 99 different charities.
0:35:35 > 0:35:39It triggered an investigation into the conduct of some charities by
0:35:39 > 0:35:42the Fundraising Standards Board, who estimated that Mrs Cook had
0:35:42 > 0:35:46potentially been sent thousands of mail-outs every year.
0:35:47 > 0:35:52What's more, 70 of the 99 charities which held her data said they got it
0:35:52 > 0:35:56from a third party organisation, or another charity.
0:35:56 > 0:36:00And 24 of them admitted to sharing her contact details,
0:36:00 > 0:36:03not always with explicit consent.
0:36:03 > 0:36:07All this raised questions about how charities manage our data
0:36:07 > 0:36:10but, to one of Britain's leading charity workers,
0:36:10 > 0:36:15the revelations came as disappointment rather than surprise.
0:36:16 > 0:36:20Dame Hillary Bloom is head of the Charities Advisory Trust which heads
0:36:20 > 0:36:23many local initiatives, like this knitting group in Hampstead.
0:36:23 > 0:36:27Over the years, she's seen some of Britain's best-known charities
0:36:27 > 0:36:30dramatically alter their approach.
0:36:30 > 0:36:34Well, I've been working in the charities sector for 50 years and
0:36:34 > 0:36:36it's changed enormously.
0:36:36 > 0:36:37That's very good.
0:36:37 > 0:36:40What's happened is that the fundraising departments
0:36:40 > 0:36:46have been separated from the main charities.
0:36:46 > 0:36:50In the main charity, they'll have their ethics and their principles,
0:36:50 > 0:36:53but they sort of get the fundraisers and they say,
0:36:53 > 0:36:57"OK, you're out there, just go and get some money for us,
0:36:57 > 0:37:02"if you would, and we don't really want to know how you do it and we're
0:37:02 > 0:37:07"going to measure your effectiveness in terms of how much money you get."
0:37:07 > 0:37:11And that's why the personal details of current and prospective donors
0:37:11 > 0:37:13have become such hot property.
0:37:13 > 0:37:17If everybody is just concerned with getting the money and squeezing it
0:37:17 > 0:37:20out of people and indeed bullying to get the money out of them,
0:37:20 > 0:37:22it makes for a very unpleasant society.
0:37:24 > 0:37:28The revelations that followed Olive Cook's death put the whole
0:37:28 > 0:37:31charity sector under intense scrutiny and subsequent reports
0:37:31 > 0:37:36concluded that self-regulation of the industry simply wasn't working.
0:37:36 > 0:37:41These people signed up to agree to standards but then those standards
0:37:41 > 0:37:46weren't set high enough and also they were ignored.
0:37:46 > 0:37:50An entirely new regulator will start governing all charities by
0:37:50 > 0:37:54the end of 2016 but until then, The Institute Of Fundraising is
0:37:54 > 0:37:58responsible for tightening the codes of practice for the whole sector.
0:37:59 > 0:38:03It's already introduced new rules for what charities can and can't do
0:38:03 > 0:38:05with our personal data.
0:38:05 > 0:38:10So, Peter has come to the institute to see if his suspicions about
0:38:10 > 0:38:13whether his details have been passed around are correct.
0:38:13 > 0:38:16Do charities pass the names around?
0:38:16 > 0:38:18Historically, they have done.
0:38:18 > 0:38:22The charities are subject to data protection legislation,
0:38:22 > 0:38:25like any other organisation in this country.
0:38:25 > 0:38:28What came to light last year
0:38:28 > 0:38:31is that charities were sharing supporters' data.
0:38:31 > 0:38:35When you say sharing, does this involve selling?
0:38:35 > 0:38:37Every fund raiser in this country
0:38:37 > 0:38:39has to comply with our code of practice,
0:38:39 > 0:38:44so we set a standard higher than the law for our charitable members,
0:38:44 > 0:38:47so they can no longer sell a supporter's data.
0:38:47 > 0:38:52They can only share a supporter's data with their expressed consent.
0:38:53 > 0:38:58Since November 2015, charities have no longer been allowed to sell your
0:38:58 > 0:38:59personal details on.
0:38:59 > 0:39:01But even under the new rules,
0:39:01 > 0:39:05they are still able to buy existing contact lists from third parties.
0:39:05 > 0:39:09So, we asked the 25 wealthiest charities in the country if they
0:39:09 > 0:39:13shared personal details and all of the 16 charities that replied
0:39:13 > 0:39:16confirmed they don't. But 11 of them, almost half,
0:39:16 > 0:39:20said they do still buy lists of names of people they might
0:39:20 > 0:39:22then tap up for donations
0:39:22 > 0:39:25and the institute believes that has its benefits.
0:39:25 > 0:39:28And that's a good thing for philanthropy.
0:39:28 > 0:39:33So, you might support a homelessness charity in the city of Birmingham,
0:39:33 > 0:39:34where you come from.
0:39:34 > 0:39:37Actually, they might work very closely with the national
0:39:37 > 0:39:40homelessness charity and they would be perfectly willing to say,
0:39:40 > 0:39:44"Would you be happy for us to share your data?" so they can ask you
0:39:44 > 0:39:46whether you want to support them.
0:39:46 > 0:39:47They can't sell somebody's data.
0:39:47 > 0:39:52There has to be an opt-out on every single piece of communication which
0:39:52 > 0:39:54gives the donor control of that.
0:39:54 > 0:39:57The rules around that opt-out box,
0:39:57 > 0:39:59preventing your details from being shared,
0:39:59 > 0:40:01have also now been tightened.
0:40:01 > 0:40:04It's always been compulsory but some charities only used to offer
0:40:04 > 0:40:07that opportunity when you first signed up.
0:40:07 > 0:40:11Under the new rules, however, donors must be given the chance
0:40:11 > 0:40:13to opt out every time they're contacted.
0:40:13 > 0:40:17Are charities still able to get round this by making the opt-in or
0:40:17 > 0:40:23opt-out a tiny, weeny box that an older person may not notice?
0:40:23 > 0:40:27No, they're not because last year we also changed the rules
0:40:27 > 0:40:30so that there's a minimum text size that we have set.
0:40:30 > 0:40:32So you've thought of everything?
0:40:32 > 0:40:36Well, I hope so. The code of fundraising practice is an evolving
0:40:36 > 0:40:39document because we have to move with the times,
0:40:39 > 0:40:41we have to move with the digital times.
0:40:41 > 0:40:45We've reacted to the bad practice that we saw last year.
0:40:45 > 0:40:47We think now the code is
0:40:47 > 0:40:50a very strong basis for charities to fund-raise.
0:40:52 > 0:40:55It's hoped these changes will restore confidence that charities
0:40:55 > 0:40:57will treat your personal details with respect.
0:40:57 > 0:41:00But if none of that leaves you reassured,
0:41:00 > 0:41:042017 should see the launch of the new Fundraising Preference Service,
0:41:04 > 0:41:07which will work rather like the Telephone Preference Service.
0:41:07 > 0:41:11You'll be able to opt out of fundraising calls or mailings
0:41:11 > 0:41:14altogether and charities that contact you when they shouldn't
0:41:14 > 0:41:16will risk prosecution.
0:41:17 > 0:41:20Hearing how the charity sector is being reformed has left Peter
0:41:20 > 0:41:22feeling much happier.
0:41:22 > 0:41:25It will not prevent me from giving to charity in the future.
0:41:25 > 0:41:30At least the intention is there that changes to the way in which you
0:41:30 > 0:41:36are contacted for charitable donations are being put right.
0:41:37 > 0:41:40But Dame Hilary Blume doesn't believe the changes go far enough.
0:41:40 > 0:41:44She's not convinced they'll alter the way some charities operate or
0:41:44 > 0:41:47fully restore the industry's reputation.
0:41:47 > 0:41:49Charity isn't about money.
0:41:49 > 0:41:54Charity is about helping people and the methods you use and the way you
0:41:54 > 0:41:58behave, whether it's how you get the money and how you give it out,
0:41:58 > 0:42:02are very important in creating a better society.
0:42:08 > 0:42:11If you've got a story you'd like us to investigate
0:42:11 > 0:42:15then you can get in touch with us via our Facebook page,
0:42:15 > 0:42:16BBC Rip Off Britain,
0:42:16 > 0:42:21our website, bbc.co.uk/ripoffbritain
0:42:21 > 0:42:22or e-mail.
0:42:42 > 0:42:45You know, recently, I was renewing my home and contents insurance and
0:42:45 > 0:42:48when I got the renewal bill it was astronomic.
0:42:48 > 0:42:51I rang up and I just said, "Look, pretend I'm a new customer and
0:42:51 > 0:42:54"requote this cos I'm not happy."
0:42:54 > 0:42:57You know, it went down by a third just by questioning it.
0:42:57 > 0:43:00So, I mean it just goes to show you really can get a good deal
0:43:00 > 0:43:02if you just fight that bit.
0:43:02 > 0:43:03We're good at that. We are good at that.
0:43:03 > 0:43:06What I don't understand is why they just can't offer you that good
0:43:06 > 0:43:10price, that new price in the first place and it does feel completely
0:43:10 > 0:43:13wrong to me that you just had to question them
0:43:13 > 0:43:15in order to get that better deal.
0:43:15 > 0:43:18Because, of course, wouldn't it just be great if all companies gave
0:43:18 > 0:43:22loyal customers the discount originally instead of just
0:43:22 > 0:43:24chasing new business all the time?
0:43:24 > 0:43:25That's all we've got time for today.
0:43:25 > 0:43:28Thank you so much for joining us. Until the next time,
0:43:28 > 0:43:31from all of us, goodbye. Goodbye. Goodbye.