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Bell, Rogers and Telus all face $10 million fines over new 'junk fees' as CRTC investigates $40 device fees and $25 shipping charges

Canadians who thought Ottawa’s crackdown on telecom “junk” fees meant it was free to switch carriers may want to hold off on that assumption. On August 14, the Canadian Radio-television and Telecommunications Commission (CRTC) rejected a series of procedural moves by Bell, Rogers and Telus aimed at reshaping and slowing down a case examining whether the three companies are still charging Canadians to swap plans and providers.

The investigation centres on new device, shipping and SIM card charges the carriers introduced after the CRTC banned an $80 connection fee designed to discourage switching. Under Telecom Regulatory Policy 2026-43, the CRTC prohibited fees tied to activating, changing or cancelling a cellphone or internet plan, with the ban taking effect June 12, 2026.

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For anyone debating whether to switch and save money, the case is a reminder that the fine print on ‘free’ switching hasn’t been thoroughly sorted out. Here’s what the CRTC decided, why some carriers may still be charging you to switch and what to check before you make a move.

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What the CRTC actually rejected

Telus asked the CRTC on July 17 to split the case in two and remove specific commission staff from the file, arguing they were biased after sending early compliance letters and speaking to the media. Bell and Rogers formally backed the request. The CRTC dismissed the bias claim after applying standard legal tests for impartiality, finding that “commission staff members lack the statutory authority to make binding decisions” — only appointed commission members can rule on non-compliance or penalties.

The regulator also turned down a bid to split the case into separate guilt and penalty phases and rejected a request from two consumer advocacy groups for a two-day oral hearing, keeping the review on paper instead.

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Why Canadians might still be paying to switch

The gap is in what counts as a switching fee. CRTC staff had already warned Bell, Rogers and Telus before the case began that charging for device handling and setup, or a SIM card, “does not appear to fall within the exemption for optional services and products” set out in the policy. Bell added a $40 device-handling fee for customers purchasing a phone on a plan; Telus added a $15 SIM or eSIM charge; and Rogers introduced a $40 device setup fee, a $25 shipping charge and a separate SIM fee.

In other words, the ban targets fees explicitly tied to activating, changing or cancelling a plan — not necessarily charges tied to receiving a physical SIM or a new device. That distinction is exactly what the CRTC is now testing.

What happens next, and could carriers face penalties?

Initial submissions in the case were due August 31, 2026, with final reply filings expected in September. If the CRTC finds Bell, Rogers or Telus violated the switching rules, the companies could face compliance orders and financial penalties. None of the disputed fees have been struck down yet — the case is still open, and the carriers can continue charging them in the meantime.

What should you do before switching providers?

Ask upfront, in writing, whether a device-handling, SIM or shipping fee applies to your switch, and get the total landed cost before you commit to a new plan.

Weigh that total against the savings you’re chasing. Having to pay $65 in stacked device and shipping charges, plus a separate SIM fee, can eat into months of a lower monthly plan rate before it pays off.

If a carrier can’t explain why a charge falls outside the switching-fee ban, get that answer in writing — it may help if you later want to file a complaint with the Commission for Complaints for Telecom-Television Services.

And keep an eye on the CRTC’s file for this proceeding through the fall. The outcome could determine whether these charges stay, shrink or disappear for good.

The bottom line

The switching-fee ban was meant to make it cheaper for Canadians to walk away from a bad deal. Until the CRTC rules on these specific charges, treat any quoted “switching” fee as a number to verify or negotiate — not a settled cost of getting a better plan.

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David Saric Associate editor

Writer and editor based in Toronto with experience in personal finance, insurance, arts and culture and branded content.

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