Iphone on Orange - customers deal with Apple?!

REG146

I purchased the iphone on contract with Orange last December, opted for the insurance also which costs £12 per month.
Last week it suddenly stopped working for no apparent reason so I called Orange to ask how i could get this resolved.
I was told it was nothing to do with them and i had to speak to apple.
Spoke to apple who told me they would arrange for a courier to bring me another the following day along with a bag to send my phone back using royal mail.
They then asked for me card details something which took me be suprise as the phone is under contact and i have insurance.
They said it was simply a precaution as other phones havent been returned to them in the past and they said they would only take money from me if the phone wasnt returned.
I received a replacement phone on Thursday and returned the broken handset on friday and was charged £5.50 insurance by the post office when i told them what the item was.
On thursday evening when i checked my internet banking my avaialble balance was showing as £0.00 even with a £250 overdraft.
When i went to the bank on friday they told me apple were 'holding' a large sum of money and i would be charged once this money was taken. In the meantime I havent been able to pay dd or access any of the funds in my account since friday as it seems the holding sum is in the region of £400.

Orange are blaming apple and have again said its out of their hands, apple said holding money is common practice and i should have been told. I have emailed them the receipt proving postage twice, but no reply.
Just wondered if anyone else had encountered the same problem with the iphone on orange and what my next move is?

boliston

They should have told you they were going to reserve funds! Most people would have used a credit card, but I can see using a debit card could cause problems as they reserve actual money in your account rather than reducing the "available spend" if you had used a credit card. It's a bit like hiring a car and they reserve funds - there is NO way i would hire a car on a debit card!

reehsetin

Orange cover the insurance element but apple the warranty - if the phone is faulty apple control the replacement process - they reserve the amount to cover if you dont send the phone back - they should have told you that

REG146

If I had known I would have used my partners cc but was never told. Really frustrating,just hope they confirm receipt of the phone tomorrow.
Thanks guys