We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!

o2 VAT Query - Advice Please

Options
Not sure if I am posting in the right location but if I am not, can Admin please move my thread, thanks.
I have recently paid £260 to terminate my previous iPhone 3GS o2 contract and taken advantage of their limited time
early upgrade option to get the new iPhone 4 on a 24 month contract. They calculate the termination fee by allowing
you to pay £20 per month for every month remaining on the old contract, which in my case was £260.
They had a calculator on their website to do this and it worked out pay monthly users fee including VAT and
business users fees excluding VAT.
Now Ive had my bill which is due to come out of my account on the 26th August, I have discovered the £260
termination fee is exclusive of VAT and I have been charged VAT for it which is approximately £45.
I rang o2 and after the initial caller acknowledged the issue I was questioning, they then spoke to a supervisor
before returning to my call and explaining it is correct and the bill is right.
I disagree with this as the website stated quite clearly the termination fee included VAT and I am seeking a second
opinion.
Below are some print screens of the contract renewal form on their website, their terms and conditions and two
pages of my bill, including a breakdown of the VATted charges.
Can someone please either agree or disagree with me and provide some advice how I can proceed with this, if indeed
there is anything I can do.
Any help would be greatly appreciated.

a-contractrenewalz5pq.jpg

b-o2iphone4tsandcsj5mt.jpg

c-bill-01p53n.jpg

d-bill-026ux3.jpg

Comments

  • gollum007
    gollum007 Posts: 313 Forumite
    Part of the Furniture 100 Posts
    Agree with above, and would also note that your account number is visible in the titlebar of the browser screenshots ;)


    -Gollum
  • Hi,

    IMO from the information you have given you are correct. My suggestion would be to print out the screen shot and your bill and send with a covering letter to O2 customer service. If they do not resolve this for you then find out who O2's ADR ( dispute resolution ) is and raise the matter to them. OFCOM website complaints section will be able to give you further advice as will Consumer Direct.

    Good luck
  • headsh0t
    headsh0t Posts: 2 Newbie
    edited 11 January 2024 at 5:39PM
    gollum007 wrote: »
    Agree with above, and would also note that your account number is visible in the titlebar of the browser screenshots ;)

    -Gollum

    lol oops! I dont think that is of any use to anyone but well spotted!
    Hi,

    IMO from the information you have given you are correct. My suggestion would be to print out the screen shot and your bill and send with a covering letter to O2 customer service. If they do not resolve this for you then find out who O2's ADR ( dispute resolution ) is and raise the matter to them. OFCOM website complaints section will be able to give you further advice as will Consumer Direct.

    Good luck

    Thanks for your advice! I have e-mailed Otelo which is the Office of the Telecommunication Ombudsman. I eagerly await their response! Unfortunately I get the impression the full amount is going to come out of my account before anything, if indeed anything is done about it!

    I am also the OP (Ktabbie!) if this last post confused anyone lol.
  • Equaliser123
    Equaliser123 Posts: 3,404 Forumite
    headsh0t wrote: »
    lol oops! I dont think that is of any use to anyone but well spotted!



    Thanks for your advice! I have e-mailed Otelo which is the Office of the Telecommunication Ombudsman. I eagerly await their response! Unfortunately I get the impression the full amount is going to come out of my account before anything, if indeed anything is done about it!

    Otelo will take ages.

    Stick a summons on them and watch them settle it post haste.
  • sw67
    sw67 Posts: 82 Forumite
    Part of the Furniture
    I upgraded my iPhone early and used the same website as you to calculate the amount. When I was at the apple store they had a bar code that was for £20 for each month remaining on your contract.

    I paid the 11 months remaining and did the upgrade in the apple store and have not had any problems with o2
  • RadoJo
    RadoJo Posts: 1,828 Forumite
    1,000 Posts Combo Breaker
    In fairness, the screen shot you posted says that the figure shown is an estimate, which is presumably what they will say if you pursue it - is there anywhere on the site that they guarantee that figure? It also says that figure is based on the assumption that you upgrade on the 18th August, and as your bill says 12th August, I'm assuming you upgraded earlier. Not that it's not annoying to be given one figure which changes, but I would guess that this is the line they would take on hte web estimate. Did you have anyone confirm the figure when you upgraded?
  • Zandoni
    Zandoni Posts: 3,465 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    Phone again and insist that you speak to the supervisor yourself, then explain that your offer states £260 inc VAT.
  • unholyangel
    unholyangel Posts: 16,866 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    RadoJo wrote: »
    In fairness, the screen shot you posted says that the figure shown is an estimate, which is presumably what they will say if you pursue it - is there anywhere on the site that they guarantee that figure? It also says that figure is based on the assumption that you upgrade on the 18th August, and as your bill says 12th August, I'm assuming you upgraded earlier. Not that it's not annoying to be given one figure which changes, but I would guess that this is the line they would take on hte web estimate. Did you have anyone confirm the figure when you upgraded?

    I would have assumed it said estimate as obviously if they upgraded on a different date, more/less charges would apply.

    As for the difference in dates shown, the OP's bill date was 12th aug, screenshot 18th aug BUT this would still be a full month so the amount shouldnt have changed. Even if he did get it on 11th august, he should only have incurred a extra £20 charge, not £45.
    You keep using that word. I do not think it means what you think it means - Inigo Montoya, The Princess Bride
  • Finally had a reply from Otelo and I have just sent an e-mail to o2 complaint review service.
This discussion has been closed.
Meet your Ambassadors

🚀 Getting Started

Hi new member!

Our Getting Started Guide will help you get the most out of the Forum

Categories

  • All Categories
  • 351K Banking & Borrowing
  • 253.1K Reduce Debt & Boost Income
  • 453.6K Spending & Discounts
  • 244K Work, Benefits & Business
  • 598.9K Mortgages, Homes & Bills
  • 176.9K Life & Family
  • 257.3K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 16.1K Discuss & Feedback
  • 37.6K Read-Only Boards

Is this how you want to be seen?

We see you are using a default avatar. It takes only a few seconds to pick a picture.