Going Abroad, need to end iPhone 3GS contract with 3

ironflower

Thanks all, for your help.

ironflower

fibee37 wrote: »

adn't paid the bill in full so it's something i would think long and hard about

Is this true? Surely if I settle the bill in agreement with the network then there's no amount left outstanding, which means there should be no negative implications on my credit file?

surely settling it is better than being irresponsible enough to leave the country and not look to settle it?

watcherman

fibee37 wrote: »

It would also show on your credit file that you hadn't paid the bill in full so it's something i would think long and hard about

Not true, you could take the contract out and on day one pay 24 x line rental and it will be fine, no default, no negative credit file entry.

Swans1912

Ha... now to convince THREE to let you leave... good luck!

http://www.youtube.com/watch?v=YJDyZkwqQYY&feature=player_embedded

Techhead_2

gjchester wrote: »

Could be wrong but I thought termination fee's were vat free.

Under the contract you pay xx a month for a service and thats vattable, but a termination fee there is no service provided and hence no VAT.

Theres a bit of an urban myth surrounding (total months left - VAT) based on what used to happen with SOME providers.

However, Ofcom ruled that networks cannot charge an early termination fee as a penalty. They can only charge for the lost income calculated as remaining value of contract+their costs incured-any savings made by selling the services to a new customer.

In practice this means that latter two cancel each other out and the customer pays the full value of the remaining contract.

NOTE: This only applies to consumer contracts, where there is a business contract any penalties due early termination stand and can be significant.