3 mobile broadband price increase

tappet_rattle

I have received a letter today from 3 informing me about the vat increase in January, but it also informs me that they will be increasing the cost of my contract in line with inflation. I have had the contract for three years now and they have never increased it before. Can they do this? I thought a contract was a contract

Wintermute

tappet_rattle wrote: »

I have received a letter today from 3 informing me about the vat increase in January, but it also informs me that they will be increasing the cost of my contract in line with inflation. I have had the contract for three years now and they have never increased it before. Can they do this? I thought a contract was a contract

I'm pretty sure they can, but it could allow you to cancel your contract, just had a look at their T&C and seen this paragraph.

Variations to your agreement
or prices
4.1 We may vary any of the terms of your
agreement, including our Packages, on
the following basis:
(a) any updated Packages and new
terms will be available on our website
and on request to Three Customer
Services;
(b) we will let you know at least one
month in advance if we decide to:
(i) discontinue your Package; or
(ii) make any variations to your
agreement which are likely to be of
detriment to you; or
(iii) increase the fixed periodic
charges for your Package (if
applicable) by an amount which is
more than the percentage increase
in the Retail Prices Index Figure (or
any future equivalent) in any twelve
month period.
You can end the agreement for such
variations as explained in Section 10.
Subject to the above, you will not be
able to end the agreement if such
variation or increase:
(i) is due to changes to the law,
government regulation or licence
which affect us; or
(ii) relates solely to Additional
Services; or
(iii) relates solely to Add-on(s)
21
(if applicable to you). In such
circumstances you will not be able
to end your agreement but you will
be able to cancel the Add-on(s) by
giving us 30 days’ written notice; and
(c) if you carry on using Three
Services after the variation
commences, you will be deemed to
have accepted the variation

I'm not a lawyer, but it seems to suggest they can withdraw your package or change the cost of it as long as they notify you a month in advance. Even if they can legally do this it's still pretty poor customer service.

tappet_rattle

cheers for that :T

Guys_Dad

Wintermute wrote: »

Even if they can legally do this it's still pretty poor customer service.

No change for 3 years?

British Gas have just done it for their products. British Telecom do it too. Costs can go up. Only competition keeps prices from running away.

If OP doesn't think the price is fair, vote with your feet.

Wintermute

Guys_Dad wrote: »

No change for 3 years?

That's pretty common for the mobile industry, most networks will have people that are on legacy tariffs, they'll be paying less (or sometimes even more) than newer customers, getting benefits and services that might not even be available any more, but will lose them as soon as they request an upgrade or any sort of tariff change.

lessifee

Thx for your news.

Guys_Dad

I agree that this is pretty standard for mobile industry - I still have an Orange sim that is "no monthly fee but pay as you use by DD" from years ago.

But it is perfectly legal, as you pointed out, to change old tariffs and, after 3 years, I wouldn't agree that it was poor customer service.
What is worse customer service is networks dropping negotiated discounts/add ons at the end of the initial period without telling you.

dgillham

I also received one of these letters but I am still within the minimum term of the agreement. Whilst clause 4.1 (iii) implies that they only need to notify you if the percentage increase is above the RPI there is NOT a specific (or explicit) clause permitting them to vary the amount even within the RPI. Clause 4.2 implies you can renegotiate a new monthly tariff, but in my case they refused because they said I am in a "fixed term contract and the price plan cannot be varied" (and what's true for them surely has to be true for me as well). Clause 10 appears to allow me to refuse to accept any "detrimental" changes to my agreement and so that is what I have done on the basis that paying them more money is detrimental to my wealth

To put this simply although I am not a lawyer I believe that they do not have the right to increase the price plan whilst the agreement is still within its minimum term because you have both signed a legal agreement for x months at £x which is what a fixed term contract is but they do have the right to increase the price plan when outside of the minimum term. In either case the remedy appears to be quite simple and the same in that the user has to give notice they do not accept the increased charge and terminate the agreement. That notice has to be given to three within 30 days of receiving their letter and you must not use the three service after the advised date of the tariff change

In my case it will be interesting to see their reaction as I have given notice that I do not accept their new price increase and terminated under clause 10. However, you must also note that the VAT increase is not something you can argue about as that relates to government taxation which is a legal requirement. Only the tariff price increase can be challenged and even then only really whilst you are still within the minimum term

Kfitz82

dgillham wrote: »

I also received one of these letters but I am still within the minimum term of the agreement. Whilst clause 4.1 (iii) implies that they only need to notify you if the percentage increase is above the RPI there is NOT a specific (or explicit) clause permitting them to vary the amount even within the RPI. Clause 4.2 implies you can renegotiate a new monthly tariff, but in my case they refused because they said I am in a "fixed term contract and the price plan cannot be varied" (and what's true for them surely has to be true for me as well). Clause 10 appears to allow me to refuse to accept any "detrimental" changes to my agreement and so that is what I have done on the basis that paying them more money is detrimental to my wealth

To put this simply although I am not a lawyer I believe that they do not have the right to increase the price plan whilst the agreement is still within its minimum term because you have both signed a legal agreement for x months at £x which is what a fixed term contract is but they do have the right to increase the price plan when outside of the minimum term. In either case the remedy appears to be quite simple and the same in that the user has to give notice they do not accept the increased charge and terminate the agreement. That notice has to be given to three within 30 days of receiving their letter and you must not use the three service after the advised date of the tariff change

In my case it will be interesting to see their reaction as I have given notice that I do not accept their new price increase and terminated under clause 10. However, you must also note that the VAT increase is not something you can argue about as that relates to government taxation which is a legal requirement. Only the tariff price increase can be challenged and even then only really whilst you are still within the minimum term

Can you advise me how you have given notice as i have had one of these letters and not being happy i contacted Three customer service to terminate under clause 10 i was repeatedly told by the indian call centre that 3 they werent uping price plan prices only the VAT. No matter how many times i told her i had a letter saying otherwise she would not listen to me and basically told me i was lying.

If you have sent a letter to 3 could you possible email me a copy of what you've sent so i can send the same kind of thing? I can PM you my email address (if i work out how too!!!)

Thanks
Kirsty

guv69

I've just had a hair pulling 45 minute calling with 2 people in their Indian Call Centre regarding this and got the same "Its only a VAT increase" argument.

I've told them I have no issues about paying the increase in VAT, but I am not accepting any further increase on a contract tarrif I had negotiated and agreed with them. They came out with "Ive signed a contract which says they are allowed to increase", but I suggested they get their recordings reviewed since the contract was done over the phone and no mentioned of this was made. (Which suggests its a mis-sell also!)

I rarely use the damned dongle and whist I'm not that bothered about the increase, I dont like being taken for a mug. "But other people are paying".... "Its only inflation" etc..... I dont care.

Theyve basically said I can cancel if I want.... provided I pay out the remainder of the contract.... at the higher rate!


Anyone got an address to write to?

tappet_rattle

I am in the process of writing a letter to cancel when I noticed this on there FAQ's page

Can I cancel my contract?

No cancellation rights are available to customers for RPI increases. The price changes are in line with inflation, there is no change to your contract with us. You can leave if your contract has ended, or you can pay an early contract termination fee.

So has anybody had a reply from three yet with regards to cancelling under clause 10 whilst still in the minimum term?


address is
three customer services
PO box 333
Glasgow
G2 9AG