Cancel a Service

You can cancel any service by deleting it.

If for some reason you are unable to delete a service through the portal or API, email support@packetfabric.com and provide the circuit ID for the service that you are trying to delete.

For more details around canceling services, refer to the PacketFabric Master Services Agreement and terms and conditions.

Services billed under flex terms

Services with flex payment terms are virtual circuits that are hourly, usage-based, or billed through a flex bandwidth plan.

These services do not have an Early Termination Liability (ETL) fee and do not need to undergo proration calculations. Simply delete the service when you are done.

If it is an hourly or usage-based circuit, you will be billed for what you used. If it is a circuit billed through a flex bandwidth plan, you will not be billed anything specific to that circuit. You are instead billed for the flex bandwidth container (which is subject to contract terms).

Services billed under contract terms

All other services will have contract terms. Our standard contract lengths are 1 month, 12 months, 24 months, and 36 months.

These services have a monthly recurring cost (MRC) that is outlined when you place your order. Some services, such as ports, also include a non-recurring cost (NRC), which is discounted depending on the length of your contract term:

MRC

You can also find this information in your invoice and receipt, which is available on the Documents page in the portal:

SOF

Trial period

The trial period is the first 24 hours after you place an order.

During this time, you can cancel your order (delete the service) and only incur charges for the hours that were used.

Note the following:

  • Type 2 services do not qualify for a trial period. Type 2 services are services procured by PacketFabric from a third-party service provider on Customer’s behalf. Examples include cross connects and Colt-powered ports.

  • For products such as ports that have a non-recurring cost (NRC), if you cancel within this period, you are not billed any portion of the NRC.

  • The hourly rate during this trial period is calculated as (hours_active / (24 * days in month)) * MRC.

    For example, you provision a port in a month that has 31 days. The port has an MRC of $250 and an NRC of $400. You delete it 18 hours later. You would be charged $6.05 plus tax:

    (18/ (24 * 31)) * 250 = 6.0483

After 24 hours, standard cancellation policies apply and you will be charged an ETL fee and NRC (if applicable).

Early termination liability (ETL)

Early Termination Liability (ETL) fees are applied when a service is terminated before the end of its contract term.

When you delete a service through the portal, you are shown the ETL and must acknowledge it before continuing:

Early termination fee

When you delete a service through the API, you are not required to acknowledge the ETL. However, you can check the ETL using /v2/billing/early-termination-liability/<circuit_id>.

Similarly, if you delete a service using Terraform, you are not required to acknowledge the ETL. In Terraform, you can check the etl computed attribute.

ETL calculation

For Type 2 services, you are charged the full cost of the remaining contract.

For all other services, you are charged using the formulas below.

Current month

For the month in which you cancel, you are charged for the days you actually used the service and then the rest of the month at 50%:

((days_used/days_in_month) * MRC) + ((days_not_used/days_in_month) * (.5 * MRC))

For example, say you delete a service with $500 MRC. You delete it on the 12th of the month in a month with 30 days. Your ETL would be $350.

((12/30) * 500) + ((18/30) * (.5 * 500)) = 350

In the example above, your service was active on the first of the month. However, you are only charged for the days used. So, for example, if you had not ordered the service until the 5th of the month, your ETL would be calculated with only 7 days of use instead of 12.

NOTE: We only apply taxes to the portion of the ETL that accounts for the days you have already used the service. In other words, (days_not_used/days_in_month) * (.5 * MRC) is not taxed, nor do we apply taxes to the ETL for future months (see below).
NOTE: We do not apply a current month proration to flex bandwidth containers. If the container was active on the 1st of the month, then the current month is charged in full.

Future months

Using the example above, if your service is on a 1 month term, your ETL would be $350.

However, if you are on an extended contract term, the ETL for the remaining portion of your contract (after the current month) is calculated as follows:

future_months * MRC * 0.5

Again using the example from above, say you have a 12 month service term. If your service is on a 12 month term, and you delete it 3 months and 12 days into your contract, the ETL for the remaining 9 months is calculated as follows:

9 * 500 * 0.5 = 2250

With your current month and future months combined, your full ETL would be 2250 + 350 = 2600.

Additional fees for early cancellation

No additional fees beyond the ETL are applied when you delete an in-term service.

FAQ

Are NRCs prorated?

No.

If you cancel within the 24 hour trial period, you are not charged any portion of the NRC.

If you cancel outside of the trial period, you are charged the full NRC.

I am on a month-to-month term. Do I still need to pay an ETL?

Typically, yes.

However, if you contact us with 30 days notice, you can terminate the service without an ETL charge.

You can provide notice by reaching out to your account manager. You can find contact information for your account manager from the PacketFabric portal under Support > Contact Us.

Contact us