CRTC ban on activation fees (June 2026): what newcomers pay now

What the CRTC banned

On March 12, 2026, the CRTC (Canadian Radio-television and Telecommunications Commission) published Telecom Regulatory Policy 2026-43. Its title is “Prohibition of fees that are a barrier to switching cellphone and Internet plans.” It took effect on June 12, 2026.

The policy bans activation or modification fees. The CRTC defines these as any fee you pay because you activate a new retail plan or change an existing one. In practice this means:

• No fee to sign up for a new mobile plan
• No fee to switch to another plan with the same provider
• No fee to start a new home internet plan

The policy also adds a rule to the Wireless Code: if your provider did not give you a subsidized device as part of your contract, it must not charge an early cancellation fee.

Before the ban, Canada’s large carriers commonly charged a one-time “connection” or “activation” fee on new lines. For newcomers who change plans in their first months, those fees added up.

Which services and customers are covered

• Mobile: individual and small business customers of all wireless providers.
• Home internet: individual customers of providers covered by the CRTC’s Internet Code.
• Not covered: home phone (landline) and TV services.

The rules are added to the Wireless Code and the Internet Code. The CCTS (Commission for Complaints for Telecom-television Services) handles complaints under these codes. During the change-over, the CRTC told providers that if their billing systems were not ready, they must remove banned fees by hand.

What providers can still charge

The policy lists exceptions. A provider may still charge:

• Installation: a reasonable fee for physical installation work at your home, such as a technician setting up internet.
• Extras you choose: fees for additional products or services you clearly chose to buy.
• Cancellation with a subsidized phone: an early cancellation fee if you got a phone at a discount as part of a contract.

Remember that the remaining balance on a financed phone is not a fee. If you leave early, you still owe what is left on the phone.

Fees the CRTC is reviewing

Soon after the ban started, some carriers introduced new one-time charges. On June 30, 2026, the CRTC opened a “show cause” proceeding (Telecom Notice of Consultation 2026-155). Bell, Rogers and Telus must explain why these charges do not break the ban:

Even before the ban started, CRTC staff wrote to Bell on May 6, 2026. The letter said a phone is required to deliver wireless service, so the $40 charge looked like a banned activation fee. Virgin Plus, a Bell brand, also listed a one-time $40 device handling charge on phone offers in October 2026.

If the CRTC finds a violation, it can order changes and impose penalties of up to $10 million per company. The comment period has closed. Telus has asked the Federal Court of Appeal for permission to appeal a CRTC ruling on how the proceeding is run. As of October 5, 2026, there was no final decision. We will update this page when the CRTC decides.

What this means for newcomers

• Trying a plan is cheaper. You can start with a cheap prepaid plan and move up or down as you learn how much data you use.
• Switching providers is easier. With no activation fee and, on a plan without a subsidized phone, no cancellation fee, you can follow better offers.
• Watch the device extras. When you buy a phone from a carrier, ask for every one-time charge in writing before you sign.
• Bring your own phone to avoid device-related charges completely. Check it is unlocked first: see phone unlocking in Canada.

Compare current plans in best phone plans for newcomers and cheapest phone plans.

What to do if you were charged an activation fee

1. Check your bill. Look for one-time charges named activation, connection, setup, plan change or similar, dated June 12, 2026 or later.
2. Contact your provider. Say the charge looks like an activation or modification fee banned by CRTC Telecom Regulatory Policy 2026-43, and ask for a refund. Keep notes of the date and the agent’s name.
3. Complain to the CCTS if the provider does not fix it. The CCTS is free and independent. You must try to solve the problem with the provider first.

Never stop paying your whole bill over a disputed charge. Pay the amounts that are not in dispute, so your service and your credit are not affected. Read more about protecting your credit in building credit from zero.

Timeline of the fee ban

Common questions

Sources

• CRTC: Telecom Regulatory Policy 2026-43, ban on fees that are a barrier to switching
• CRTC: Telecom Notice of Consultation 2026-155 (show cause on Bell, Rogers and Telus fees)
• CRTC staff letter to Bell Canada on the $40 device handling charge (May 6, 2026)
• Commission for Complaints for Telecom-television Services (CCTS)
• Lucky Mobile: prepaid plans
• Koodo: bring your own phone plans
• Virgin Plus: offers
• iPhone in Canada: Rogers shipping fee back to $25 on October 5 (secondary)
• iPhone in Canada: Telus takes $15 SIM fee fight to Federal Court (secondary)

Checked against these sources on October 5, 2026. Spotted something out of date? Tell us.