If I Cancel My T-Mobile Contract - What Happens To My Cashback With BuyMobilePhones?

Jakg

On Bitterwallet they are discussing the potential to cancel T-Mobile contracts, which i'm interested in doing (keep my phone, downgrade to a lower package :beer:)

I bought my contract via BuyMobilePhones on a cashback contract - i'm within the first 3 months and thus have not sent off any cashback forms or claimed anything yet.

The terms and conditions of cancellation from BuyMobilePhones are below:

Terms_&_Conditions_(As_Per_When_I_Took_The_Contract_Out) wrote:

14. Early Termination of Air Time Contracts /
Changing of Tariffs
14.1. Our offers with monthly contract phones and packages are
totally dependant on the tariff selected therefore:-
14.1.1. In the event that you are disconnected from your network
for any reason within the period of 120 days from your initial
billing date, we will invoice you the minimum sum of 200 plus
23/07/2009 Buy Mobile Phones - Terms & Co…
buymobilephones.net/info_terms.… 6/12VAT per handset. The charge will be dependant on the tariff
selected at the time of disconnection.
14.1.2. Disconnections arising during the initial 7 day period are
the only exceptions to the above clause 14.1.1
14.1.3. In the event that you elect to downgrade your tariff in
the first 120 days from your initial billing date ("first period") we
will invoice you the minimum sum of 100 plus VAT per handset.
The charge will be dependant on the tariff selected at the time of
the downgrade. Should you change your tariff during the first 120
days from your initial billing date, either up or down, the "first
period" starts again. It is in your interest not to change tariffs in
the first 120 days from your initial billing date. Certain Networks
may not allow you to change tariff within the first 6 months of
your contract. Also see 14.1.5
14.1.4. It is important to note that Orange will automatically
downgrade to a Talkshare handsets connected by
BuyMobilePhones.net, that subsequently have existing handsets
added to them as sharers of the tariff set up by
BuyMobilePhones.net. In this instance clause 14.1.3 will apply. It
is in your interest not to add handsets, connected prior to that
set up by BuyMobilePhones.net, as sharers within the first 120
days from your initial billing date.
14.1.5. It is important to note that some networks and service
providers will not allow you to downgrade your tariff during your
contract. It is in your interest to select the lowest tariff that is
most suitable for your needs at the commencement of your
contract. You may upgrade your tariff with all networks.
14.1.6 Should you 'buy-out' your contract early by paying the
network the value of the remaining line rental, you will no longer
be eligible to claim any redeemable offer from
BuyMobilePhones.net.
14.2. Should you have supplied us with your credit or debit card
details you hereby expressly authorize us to deduct the above
amounts from your card account in the event of either of the
above conditions arising.

I'm wondering if I cancel my contract - Will I actually end up being billed the £200? Surely as i've bought the contract and had it for a month and a half they will of already have their commission and surely won't care?

OneADay

Er No - you do not get money for nothing.

If your first claim is at month 6, you would need to wait till then to get your cashback.
And if you cancel the contract before your cashback claim, you would have no bill to claim any cashback.

In short - if you are on t-mobile contract with a cashback - stick to the cashback, dont cancel the contract.

DarkConvict

From what i have read buymobilephones does not do the contract/cashback it is sent to another provider such as http://www.mobiles2yourdoor.co.uk/ etc. Just one that i picked.

I would find out from whoever actually sold you the contract check your order details it might be in there, and then check their terms and conditions.

Anyway, why do you think you will be billed £200 if you haven't even claimed any cashback yet?

Jakg

The point was not "can i claim cashback if i cancel my contract" as the answer is obviously no - the point was if i do cancel the contract are they actually going to charge me the £200 they claim they will.

EDIT - When they sold the contract they got around £97 commission on my contract - the value of the cashback far outweighs this but obviously they are hoping i'll forget to claim. I was thinking that if I cancel the contract via a loophole they get their money and they haven't had to send me any and wondered if I was likely to be charged £200 or not.

Guys_Dad

Jakg wrote: »

The point was not "can i claim cashback if i cancel my contract" as the answer is obviously no - the point was if i do cancel the contract are they actually going to charge me the £200 they claim they will.

The truth is that we can only speculate. So here is my speculation.

They say in their t&c "In the event that you are disconnected from your network
for any reason within the period of 120 days from your initial billing date, we will invoice you the minimum sum of 200 plus"

If you are no longer a customer, then, ergo, you are disconnected. That means that, if the strict wording of the t&c is applied, you owe them £200. If you cancel - and I presume this is based on changing t&c from the network - then the company will not get its money from the network.

Without that clause, they would then have a phone that they can't sell as new, if you return it that is. They would have then lost money because you and the network agreed to the cancelled contract.

Not really their fault, so I would say that they would demand the £200.

Do you read the actual words in the t&c differently? (Not what you might want them to read !)

Jakg

Ignoring the T&C's, I know the company I work for get paid the commission (£98.97 I believe on my contract) when they take the contract out - if the customer defaults etc it is still paid as far as i'm aware.

The phone is not usually returned when a contract is cancelled due to a detrimental change of T&C's - the network willl obviously lose out but the dealer shouldn't at all (they get to have their pie, and don't have to pay the cashback they promised...!).

The T&C's seem to disagree with me which is why I queried it.