Say Goodbye to Activation Fees: How the CRTC is Shaking Up Bell Canada and Other Carriers

For years, Canadians have felt trapped in their mobile contracts, not necessarily because of the contracts themselves, but because of the sting of activation fees. The dreaded $80 connection fee often acted as a financial barrier, discouraging users from switching to a better or cheaper plan. Well, the tide has finally turned.

The Canadian Radio-television and Telecommunications Commission (CRTC) has officially implemented new rules to eliminate these hurdles, making it easier than ever for consumers to find the best deal in the market.

What Exactly Are the New CRTC Rules?

Introduced in early 2026, the CRTC amended the Telecommunications Act to prohibit any fees that discourage subscribers from modifying their service plans or cancelling their contracts. In simple terms: activation and modification fees are now banned.

However, it is important to note that not every single fee is gone. The commission has allowed for “reasonable fees,” which include:

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• Physical Installations: If a technician needs to visit your home to install a new internet line, you may still be charged.
• Optional Add-ons: Fees for extra products or services you specifically choose to purchase remain valid.
• Device Financing: If you are paying off a phone on a monthly plan and decide to cancel early, you are still responsible for the remaining balance of the device.

The “Cat and Mouse” Game: Bell Canada and Telus

While many carriers complied quickly, some have tried to find loopholes to keep the revenue flowing. Bell Canada and Telus have come under fire for replacing traditional connection fees with new, similarly restrictive charges.

In May, Bell introduced a $40 device handling charge, while Telus implemented a $15 SIM charge. These fees also extended to their flanker brands, Virgin Plus and Koodo. The CRTC was quick to respond, sending letters to both companies suggesting that these new charges might still violate the spirit of the law, as SIM cards and device handling are essential to providing the service.

Who is Playing Fair? Carriers Following the Rules

On the other side of the spectrum, several major players have quietly removed their setup fees to stay in the CRTC’s good graces:

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• Rogers & Fido: Both have removed their previous $80 “Service Set Up Fee” from their websites.
• Freedom Mobile: Has stripped away its $45 connection fee, along with some other niche charges like the Roam Beyond fee.
• SaskTel: The government-owned provider continues to offer services without activation fees.

The SIM Card Debate: A New Grey Area

A new point of contention has emerged regarding physical SIM cards versus eSIMs. While many prepaid providers like Public Mobile, Lucky Mobile, and Chatr Mobile offer $0 eSIM activations, they still charge for physical SIM cards (ranging from $5 to $15).

The big question now is: Is a physical SIM an “optional” product? For users with older devices that do not support eSIM technology, a physical SIM is a necessity. If the CRTC deems it a required product, these remaining fees may soon disappear as well.

Bottom Line for Canadian Consumers

This is a massive win for consumer mobility in Canada. By removing the financial penalty for switching, the CRTC is forcing Bell Canada, Rogers, and Telus to compete on service quality and pricing rather than relying on “exit barriers.”

If you’ve been waiting for the right moment to switch your provider, now is the time to compare plans and save your hard-earned money. For more information on your rights as a consumer, you can visit the Competition Bureau Canada.