Contract phone upgrade but credit rating has got worse since taking it out?

vanillamango · 16 July 2017 at 11:20PM

Hi
I am due an upgrade in September with EE. My contract was taken out in September 2015 when I had a fairly good credit rating so got one with no issues.

However, due to my personal circumstances, my credit rating is really very bad now, if I had to reapply, I very much doubt I would get one. My ex partner left me at the end of 2015 and I wasn't working (stay at home mother, he was the main earner) our landlord didn't accept housing benefit, I was stuck with a long delay getting benefits and tax credits sorted out so rent, food, bills etc went on credit cards and I took out loans which ultimately I could not afford to pay back. In the end, my accounts went in to default and I agreed a payment plan which I am keeping up with. I have a job now and I am in a new property, so this isn't an issue.

I was just wondering if they will let me have the upgrade or in light of my credit rating worsening, they will decline me and stop the contract all together? I have never missed a payment with them.

Ian011 · 16 July 2017 at 11:56PM

Credit check isn't so much of a factor when upgrading. If you have paid all your bills on time and are keeping the same number and staying with the same provider there is unlikely to be much of a problem. If you are changing number and/or changing provider, that isn't an upgrade - it's a new contract requiring a full credit check.

ryan121 · 17 July 2017 at 2:01AM

From my experience, most networks don't do a credit check when you upgrade.

Nebulous2 · 17 July 2017 at 7:51AM

Is the amount you are paying at the moment manageable / reasonable?

Your contract wont end. It will go onto month-by-month. It might be better leaving it as it is for a while. Even with a declined upgrade I can't see them taking your current contract away.

Frozen_up_north · 17 July 2017 at 8:20AM

At the end of your 2 year contract beware of EE still charging the full amount, i.e. continuing to pay off the cost of the phone which you will have paid off already.

The "I am due an upgrade" is a scam, you are not due anything, it's the network wanting to hook you in for another 2 years. They bait the hook with a shiny new phone...

The best value is to get the phone unlocked by EE (free) and go SIM only. The EE SIM only prices aren't competitive by a long way, ask for your PAC code saying you are moving to xyz network who are offering zxy deal and you may find EE beat it. Obviously do your research on prices first and check from your monthly bills how much you use. Virgin (EE network) are cheaper than EE, for a range of SIM only at quite good prices look at Three (44 to choose from at last count).

Beware that changing networks (maybe even renewing on SIM only with EE) will involve a credit check, so be prepared to go PAYG if it fails.

[Deleted User] · 17 July 2017 at 8:42AM

It took until the 4th reply for someone to point out that if you're struggling financially then the last thing you need is an 'upgrade' for a phone that presumably still works. As said above get a (no doubt) much cheaper sim only or PAYG deal.

Jenny_EE · 18 July 2017 at 6:27PM

vanillamango wrote: »

Hi
I am due an upgrade in September with EE. My contract was taken out in September 2015 when I had a fairly good credit rating so got one with no issues.

However, due to my personal circumstances, my credit rating is really very bad now, if I had to reapply, I very much doubt I would get one. My ex partner left me at the end of 2015 and I wasn't working (stay at home mother, he was the main earner) our landlord didn't accept housing benefit, I was stuck with a long delay getting benefits and tax credits sorted out so rent, food, bills etc went on credit cards and I took out loans which ultimately I could not afford to pay back. In the end, my accounts went in to default and I agreed a payment plan which I am keeping up with. I have a job now and I am in a new property, so this isn't an issue.

I was just wondering if they will let me have the upgrade or in light of my credit rating worsening, they will decline me and stop the contract all together? I have never missed a payment with them.

Hi,

If you are a pay monthly customer and upgrading, no external credit check is completed. We will only check your payment history with EE.

As a couple of other people have mentioned you can 'upgrade' to a cheaper SIM only contract if it would suit you better. If you go to our Get in Touch page here http://ee.co.uk/help/get-in-touch we have an upgrades live chat team that will be happy to have a chat about your options. Our contact numbers are also on the link if you’d prefer to call.

Thanks, Jenny

d123 · 18 July 2017 at 9:06PM

Frozen_up_north wrote: »

At the end of your 2 year contract beware of EE still charging the full amount, i.e. continuing to pay off the cost of the phone which you will have paid off already.

There is no "full amount" or "paying off the cost of the phone", there is simply a contracted amount agreed to that is payable for the duration of the contract.

There is also no "end of your 2 year contract", the contract reaches the end of its minimum term but still actually continues on a rolling 30 days contract until terminated or changed.

The contract holder can terminate, upgrade or amend the price plan to a sim only contract, if they don't it continues as contracted.

Contract phone upgrade but credit rating has got worse since taking it out?

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