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Online Services Cooling Off Period

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I took up webhosting with a company called 1&1. AVOID!!!

Their service was atrocious so within a few days I just cancelled it, cancelled the direct debit. Deleted all that I'd put on their servers and went elsewhere. They are now hounding me for the money (£5) saying I signed up for a two year contract and have to pay for it but coincidently are refusing to allow me to use the service (as it's not paid for). They are threatening debt collectors.

Please can someone clarity the law on provision of online services. I am of the understanding that they are required to give a cooling off period.

What should I do? How do I get them off my back?
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Comments

  • DWatts
    DWatts Posts: 173 Forumite
    Cancelling the direct debit and just leaving it probably wasn't the best idea. It's hard to think of a better way to !!!! off a company.

    I'm not sure what 'cooling off period' (if any) applies to online services. But frankly I would just ignore them, I find it hard to believe a small company would send a debt collector out for £5.
  • arcon5
    arcon5 Posts: 14,099 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    If the service is to start immediately or within 7 days you forfeit your right to cancel.

    Since to your own admission you have begun using their services you are bound by the contract. Provisions for suspending your services will also be in their terms, but your account is still using resources and will be restored upon payment.

    I trust you read the T&Cs before signig up for their services which no doubt would have stated your agreeing to a 2 year contract.
  • mar7t1n
    mar7t1n Posts: 115 Forumite
    Part of the Furniture 10 Posts Name Dropper Combo Breaker
    Not sure they are that small. But they will obviously just keep taking the money forever if allowed to do so. They do not provide the service I expected. I have not consumed their service. They have not created anything bespoke for me such as a specific domain name, and the service was cancelled within 2 days of it being setup.

    I understand that UK Distance Selling Regulations requires a cooling off period, and that they are not exempt from that.
  • arcon5
    arcon5 Posts: 14,099 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    I'm also imagining this to be a B2B transaction. Op, what was the purpose of using their services? If this is the case they can contract out any rights to cancel and also can add financial penalties to late payments in accordance with their terms.

    DWatts wrote: »
    But frankly I would just ignore them, I find it hard to believe a small company would send a debt collector out for £5.

    unfortunately they will wait until the balance has built up before sending it to debt collectors. 24 months it will be £120 + penalties (if B2B) + collection fees


    Doesn't look good for op
  • arcon5
    arcon5 Posts: 14,099 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    mar7t1n wrote: »
    Not sure they are that small. But they will obviously just keep taking the money forever if allowed to do so. They do not provide the service I expected. I have not consumed their service. They have not created anything bespoke for me such as a specific domain name, and the service was cancelled within 2 days of it being setup.

    I understand that UK Distance Selling Regulations requires a cooling off period, and that they are not exempt from that.

    If your acting in a business capacity that can legally contract this out. But you forfeit your rights to cancel if the service begins in less than 7 days.

    Your account is also still active and therefore using resources.

    They won't take money forever, you can cancel after 24months for which payment will stop if you choose to cancel.
  • mar7t1n
    mar7t1n Posts: 115 Forumite
    Part of the Furniture 10 Posts Name Dropper Combo Breaker
    I have not signed this contract as a business. I signed it as a private individual. We didn't get beyond the stage of me loading a few pictures before their lousy service came to light. It seems they are the type to deny all knowledge of your cancellation and to expect to take money forever on an ever increasing amount as they see fit.

    If someone does not provide you what you expect, yet provides no opportunity for you to inspect that service before signing up, where is the obligation to pay for it regardless of whatever unfair T&C they may pub in a million lines of smallprint.
  • arcon5
    arcon5 Posts: 14,099 Forumite
    Part of the Furniture 10,000 Posts Combo Breaker
    Thats why you send cancellation requests in writing and keep records of it.

    If you are terminating the agreement based on your belief you have been missold the service you would need to proof this.
    What service is it? How is it described and does it do that?
  • wealdroam
    wealdroam Posts: 19,180 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    OP, you started using the services when you 'loaded a few pictures'.

    On page 18 of the OFT's guide to The Distance Selling Regulations we are told...
    Where you have supplied the required durable information before the service starts and the consumer agrees to the service starting before the end of the usual cancellation period, their cancellation rights will end when performance of the service starts
    No doubt in those 'million lines of smallprint' you did agree to that.

    As DWatts said, cancelling the DD was not the best thing to do.

    You have committed yourself to a two year contract.

    Pretty much like a mobile phone contract... they too are almost impossible to get out of.

    Sorry this may not be what you want to hear, but really there is no easy way out.

    In my opinion, of course. :D
  • pcombo
    pcombo Posts: 3,429 Forumite
    Oh expect lots n lots of calls from arvato debt collection.
  • Jai_M
    Jai_M Posts: 113 Forumite
    edited 26 September 2011 at 10:03PM
    What service did you sign upto martin?
This discussion has been closed.
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