Can an O2 contract be suspended when student goes abroad?

Wintermute

grumbler wrote: »

It's Austria I think, not Australia

Oops, it's been a long day plus it's Monday

yalisrib

alun4 wrote: »

My son turned 18 last April and immeadiately started racking up debt. He was a student and had part time work as a kitchen porter in a local pub. Amongst the Store cards and bank accounts which immeadiately gave him an overdraft or opened "premier" type accounts is our MAIN problem..... his IPhone 3GS on a £45.00/24 month contract with O2 through CPW (He had a friend who worked there). We have PAYG phones which are on our business letterheads and my wife and I use about £4 or £5 each month.

He has now gone to Austria to work and ski until end of April next year. We have taken the phone but there will be a direct debit each month going to a bank account that is already over it's limit.

Any suggestions as to how we could move forward? We would like to suspend the contract for 6 months - adding the time to the end. After all he was stupid enough to go for a contract phone knowing he was likely to be away for 6 months.

He just doesn't seem to care about money or creating debt.

Ah the good old teenage days of not giving a damm! We've all been there and sadly just like drinking, smoking and sleeping around, most teens are still kids who are unable to think about consequences until they are in debt and coughing up blood during their AA meeting with a toddler on their lap.
Personally I think if you can afford it, do the dutiful parental duty and pay it for him, when he returns show him all the wonderful things this site has to offer - get him to go via cashback sites when buying car insurance, flog some stuff on ebay and work as many part-time jobs as he can. That way he can pay you back and learn responsibility.
If you are worried about his credit rating then one of the best things I did was get a vanquis credit card. I would spend a couple of pounds a month but pay it off in full every month, which helped my rating greatly. You could apply for one in his name and then keep hold of it - once a month use it to do your shopping and pay it off straight afterwards, that way he gets the benefit but you are in control of it. Even better, go via topcashback and pocket some more dosh in the process.

grumbler

yalisrib wrote: »

...You could apply for one in his name and then keep hold of it - once a month use it to do your shopping and pay it off straight afterwards, that way he gets the benefit but you are in control of it...

As I said above, this is likely to do more harm than good. Is this not obvious?
Credit history is a very personal thing that cannot be earned by parents and inherited by children.

alun4

Wintermute wrote: »

In the grand scheme of things £1000 isn't very much, students rack up much more than that by just being students. If your son's so vulnerable and careless with money then how can he afford to be in Australia for 6 months and how can he be trusted? Flights to the other side of the world aren't cheap. I really don't understand how your son can be too vulnerable/immature/careless/whatever to enter into a mobile phone contract, but be trusted to spend half a year alone on the other side of the world.

It is Austria not Australia and he has his "keep" in the care of a ski academy/school in return for help. He wants to race and wants to teach. He can earn a little by sharpening skis etc. This pays race entry fees.

gibby9

Harsh as it may sound, the only one to blame here is your son. It was his choice to enter into a contract, not the store's, or the mobile operator.

He accepted a 24 month contract knowing he would be out of the country, therefore it was his responsibility to ensure that there were enough funds in the account to pay the monthly bill while he was away.

What did he expect to happen to the bill while he was away? Sounds to me like he didn't care as he knew someone else would pay this for him.

You mentioned store cards etc at the beginning of the post, hope he hasn't left any outstnding balance's with no funds to pay.

yalisrib

Did you say he gave you the Iphone, and if so what state is it in? You could look into putting it onto Ebay or selling it via a phone recycling site. At least that will pay off some of the contract and when he gets back you can hand him a second-hand bog standard phone worth £5, which should teach him a lesson

alun4

I was giving "first thoughts" to your comments by suggesting "blocks" on what I believe should be a cherished process).
A bit close to home this! I have a furniture showroom and I do not offer credit facilities (I reluctantly started taking credit cards a few years ago, until then it was only payment by cheque on delivery).
Registering on electrol roll does give an indication of where you were on 10th October last year and then a current utility bill gives a bit of depth.
I believe in savings. Maybe, treating long term savings as different to current account needs (but I do appreciate the costly borrowing your own money to get a credit history!)
Of course, if someone wants to lie .....I don't have ready answers for you. These can only be indicators. Then employers references and the like could be made up ... I understand.
So I am back in my circle! A person should not apply for or expect credit unless they can afford to repay. My son had no means of repaying over 24 months from where he was at 18 + a few days. I still think there should be responsibilities and due care on the side of the grantor of the credit and/or their agent supplying the information.

alun4

gibby9 wrote: »

What did he expect to happen to the bill while he was away? Sounds to me like he didn't care as he knew someone else would pay this for him.

You mentioned store cards etc at the beginning of the post, hope he hasn't left any outstnding balance's with no funds to pay.

I know it sounds naive but I don't think he really thought - at that stage. He had just had his birthday! and the world was his oyster. Do all 18 year olds engage their brain?

The store card has had £6 a month paid so the bill is more or less what it was when he went away ...... for him to deal with in April. Maybe he will sell the iphone!

macman

Assuming they haven't already blocked it due to unpaid bills...

pmduk

There are people of his age fighting for this county overseas. I suspect he has been assuming that the bank of Mum and Dad are always there to bail him out. When do you anticipate stopping protecting him from his own actions?

Perhaps they should adopt some of Santander's policies? A few years with a trashed credit record may concentrate his mind in future. It's certainly what taught me.

Personally I'd tell him that you'll pay this month's bill, but no more. He gets the phone back when he's repaid you what he owes to date. (assuming you choose not to sell it.)

Make sure he is fully aware of his culpability in this and for goodness sake don't let him get a iphone4 (or iphone5 when they appear.)