Telecom is avoiding the trap Vodafone fell into with its text messaging billing arrangement.
The Commerce Commission forced Vodafone to refund $35,000 to customers who had been overcharged by 0.25 cents on each text message.
Both networks charge 18 cents for text messages but that figure doesn't include GST. Vodafone was advertising its text messages as 20 cents including GST but was charging 20.25 cents.
With the launch of Telecom's new CDMA high-speed mobile network Telecom announced it would charge 18 cents excluding GST and 20 cents including GST for text messaging, but spokesperson Linda Sanders says it is well aware of the issue Vodafone encountered.
"We will charge consumers 20 cents and business users 18 cents - basically we're rounding it down."