Telstra has returned fire after Optus' opening salvo in what history will probably never refer to as the "churn wars".
Telstra announced today that any customers who switch to Telstra will get up to AU$450 in credit if they incur any fees from breaking their old contracts. The credit is dependent on the customer signing for 24 months or more and upgrading their phone.
In a press release Telstra detailed how the credit would be split:
"Customers will be offered a $200 credit on their Telstra mobile bill when they stay connected for 24 months, and if their device is eligible, up to $250 credit to trade in their old mobile, depending on the model and condition".
The Optus deal makes the AU$200 for any exit fees available within 21 days of signing on with the company.
Telstra will also be waiving the fee on its 'new phone feeling'
add-on for anyone who signs on for a AU$70 Mobile Accelerate plan or higher. This is normally an additional AU$10 per month and allows you to get a new phone after 12 months when on a 24 month contract. The original phone must be returned "in good working order" and the customer needs to sign for an additional 24 months.
Finally, for the AU$70 and above plans, new customers can choose between either an additional 1GB of data or an extra AU$1000 of call and MMS credit.
All of the above deals come into play from September 16. Existing Telstra customers will have their early exit fees waived and be eligible for the trade in offer if they are within three months of the end of their contract.
We've contacted Vodafone to see if it has a similar deal is in the works and we'll update if we hear anything back.