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Pay a year's rental up front?

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  • redux
    redux Posts: 22,976 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Steve_xx wrote:
    The original poster and the three subsequent posts to yours did not mention TMobile specifically. Nor did I.
    Actually, the very next post that followed mine did so, and agreed with my comments. Your post is the next.

    Of course the OP did not mention a network - he/she was asking the question.

    Let's be clear - the line rental is payable to the network, and any cashback comes from the dealer's commission. Therefore your comments on credit risk may be seen as applying to any company with such a discounted lumpsum upfront policy. And only one network does this.
  • Steve_xx
    Steve_xx Posts: 6,979 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    My comments are valid. Had you bought TMobile from say, Forward Cellular, and had you paid upfront, it does not follow that you would receive your cashback any earlier than that determined on your contract with Forward Cellular. Though you may well have enjoyed paying slightly less than the going rate to TMobile for paying them upfront.
  • redux
    redux Posts: 22,976 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    The question is about availability of discounts from the network. This is independent of dealer behaviour.
  • Steve_xx
    Steve_xx Posts: 6,979 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    redux wrote:
    The question is about availability of discounts from the network. This is independent of dealer behaviour.

    The other advantage of this on T-mobile is that the cashback comes from the dealer in a month instead of after 6 months, thus cutting exposure to risk not increasing it.

    I think you mentioned cashback being available from the dealer in 1 month, did you not?
  • redux
    redux Posts: 22,976 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    I did. When a customer pays T-mobile the whole rental upfront, with a 5% discount, then T-mobile release the commission earlier to the dealer, and ............

    ... but I have already said the rest, and you have helpfully quoted it.

    I don't see what your grievance against that company has to do with the availability, from the network, of this 5% discount from T-mobile on all of its contracts, eg even from its own High Street shops
  • Steve_xx
    Steve_xx Posts: 6,979 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    The point is that the dealer will not release cashback before it is due, regardless of whether or not the user has paid upfront for line rental to the service provider.
  • michaels
    michaels Posts: 29,108 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    Not wishing to take sides but I got a 12 month dealk through scancom where the t-mobile line rental for 12m (with 5% discount) was paid up front and I then received the retailler discount (equal in this case to the 12 m rental) when I sent my second bill showing that the 12m had been paid.

    Case closed I think
    I think....
  • redux
    redux Posts: 22,976 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    I did that twice with Scancom too.

    The point is that the cashback is due earlier, which I have already said
  • Steve_xx
    Steve_xx Posts: 6,979 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Excellent, but very unusual.
  • Orange used to offer this about ten years ago under the name "talkahead"

    the line rental was discounted as you paid for the year upfront and as long as you didn't go over your allowance of mins/texts then you paid nothing more.

    i ran this for three years before they discontinued it...and i was gutted :(
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