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Getting out of a mobile contract ??


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Hi I just got an email from my service provider (o2) saying that in February 2013 they will be putting the price of my bill up by £0.99p is it ture that I can cancel my contract wit them because this is not what I agreed to when I signed up for the contract ??

 

Any good sensible advise welcome

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Check your contract, it'll be in there. From online.

 

4. Charges/Price increases – You must pay the charges for the services you subscribe to and use every month by the date on your bill. We charge interest if you’re late in paying. You have to pay by Direct Debit. We may ask you to pay a deposit before we’ll let you use the services. We may increase or decrease our prices from time to time. We won’t put your monthly subscription charges up by more once in any 12 months. Some increases would give you the right to end your Agreement without penalty. Details are in paragraph 5 of the Agreement.

 

5.2 We may increase or decrease our Charges from time to time. If we increase our Charges (apart from for Additional Services), we’ll let you know at least 30 days before the Charges are due to go up and you’ll have the rights explained in paragraphs 5.3 and 5.4. We won’t increase your Monthly Subscription Charges more than once in any 12 month period.

 

5.3 You can end this Agreement without having to pay the Monthly Subscription Charges up to the end of any Minimum Period you have left, if:

(a) we increase your Monthly Subscription Charges by more than the Retail Price Index (RPI) annual inflation rate at the date we notify you of the applicable price increase; or

(b) we increase any of our Charges (apart from for Additional Services) in such a way that would have increased your total bill for the immediately previous month by more than 10% (if the increase(s) had applied for the whole of that month).

 

5.4 If you want to end the Agreement because of one of the circumstances in paragraph 5.3 you must give us Notice that you want to within 30 days of when we tell you about the relevant price increase(s). If you don’t give us Notice within 30 days, you accept the new Charges and the Agreement will continue with the new Charges.

 

So, depending on what your current monthly tariff is, the current RPI and the size of your last bill then it's either a yes or a no.

 

jb

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Orange did the same last year. There were loads of threads on a famous moneysaving forum from people saying they weren't going to pay, cancelling contract etc.

I tried to get out of mine. No luck. The contracts are full of little clauses. They can increase the prices within certain set limits.

I'm going to guess that 99p is within the limit.

 

I remember RPI and VAT increases were both mentioned in the contract.

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Basically I pay £37 a month for unlimited text 900 minuets and 1GB of data with an iPhone 4S

They sent me an email stating that in February 2013 they will be increasing my bill by £0.99p (and increase of 3.7%)

From that is it possible to tell me whether I have a case to be able to cancel that contract or have they shafted me good and proper ??

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Basically I pay £37 a month for unlimited text 900 minuets and 1GB of data with an iPhone 4S

They sent me an email stating that in February 2013 they will be increasing my bill by £0.99p (and increase of 3.7%)

From that is it possible to tell me whether I have a case to be able to cancel that contract or have they shafted me good and proper ??

 

Retail Price Index for November 3.0% (you will however need December's figure which is not yet available). I'm also guessing that the figure is to be applied to the pre-VAT subscription price of £30.83 (check on your bill what the pre-VAT subscription price is to be sure this cost doesn't include charged data bundles) so that would make the £0.99 price increase above the RPI i.e. grounds for cancelling provided Decembers figures aren't any higher.

 

Forget the clause for increases above 10% of your last bill as they are way under.

 

jb

 

ETA: Also, if your phone came with your contract on the assumption that you would keep the contract for a prescribed minimum term then your screwed.

ETA2: Is 99p a month extra really worth the hassle? Will you even be able to get a cheaper deal elsewhere?

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ETA: Also, if your phone came with your contract on the assumption that you would keep the contract for a prescribed minimum term then your screwed.

This wouldn't be a barrier to exiting the contract if they breach it's terms, although you might have to return the phone (and then go somewhere else and get a newer one).

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This wouldn't be a barrier to exiting the contract if they breach it's terms, although you might have to return the phone (and then go somewhere else and get a newer one).

 

More likely they would have to pay for the phone, so saving 99p a month but having to fork out a few hundred for the phone.

 

jb

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Well there's the new iPhone 5 with unlimited text and calls and 1gb of data for less than I pay so that's a better deal, tbh I'm not fussed if I can't get out of it I was just thinking there not keeping the original contract I signed up for so if I wanted would I be able to cancel

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