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MSE News: Orange to raise monthly mobile costs

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  • robbies_gal
    robbies_gal Posts: 7,895 Forumite
    Part of the Furniture 1,000 Posts
    yes of course silly me its the same percent either way
    What goes around-comes around
  • molley
    molley Posts: 528 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    gabbyevs wrote: »
    yes of course silly me its the same percent either way

    Thinking about it without actually calculating it both ways you could be forgiven for thinking the end result would be different ..I did and had to do both on a calculator to prove that I was wrong ..lol
  • robbies_gal
    robbies_gal Posts: 7,895 Forumite
    Part of the Furniture 1,000 Posts
    i know thats wot i was doing lol
    What goes around-comes around
  • stevemcol
    stevemcol Posts: 1,666 Forumite
    Guys_Dad wrote: »
    http://www1.orange.co.uk/mobileterms/paym_network_terms_20091126.html

    terminating your Contract because Orange has changed its terms
    4.3 You may also terminate your Contract if we vary its terms, resulting in an excessive increase in the Charges or changes that alter your rights under this Contract to your detriment. In such cases you would need to give us at least 14 days written notice prior to your Billing Date (and within one month of us telling you about the changes). However this option does not apply if:
    4.3.1 we have increased the Charges by an amount equal to or less than the percentage increase in the All Items Index of Retail Prices published by the Central Statistical Office in the Monthly Digest of Statistics in any 12 month period; or

    Thanks Guys Dad. I must admit, after reading this (I was looking at the wrong T&Cs) I can't understand why any of us thinks we have a case. It's just so black and white.
    Apparently I'm 10 years old on MSE. Happy birthday to me...etc
  • ucbtjsc wrote: »

    If your discount is applied as a percentage (as mine is) then it makes no difference if the price increase is applied before or after they apply your discount.

    e.g. £40 tariff, 10% loyalty discount, 4.34% increase:

    Discount applied first:
    £40 x 0.9 = £36
    £36 x 1.0434 = £37.56

    Discount applied after:
    £40 x 1.0434 = £41.736
    £41.736 x 0.9 = £37.56

    Of course if your discount is applied via a fixed amount:

    Discount applied first:
    £40 - £4 = £36
    £36 x 1.0434 = £37.56

    Discount applied after:
    £40 x 1.0434 = £41.736
    £41.736 - £4 = £37.73

    17p difference, or rather more pertinantly, a £1.73 rise which equates to

    1.73/36 = 4.8%
  • On 2nd December, Orange sent me a text message informing me that there would be a price increase of 4.34% with effect from 1st February 2012, thus adding £1.14 per month, or £19.37 for the duration of my contract. Of course, the latter figure depends on whether or not they decide to increase my monthly price plan in the intervening period to the end of my contract.

    As suggested in that text, I checked out Orange's information page entitled, " An increase to your monthly price plan", in which they state, patronisingly:

    "As you probably know, inflation is at a 20 year high, which is having a significant impact on businesses and households alike.
    Unfortunately, we've had to re-evaluate our prices for the first time and are sorry to say that there will be a 4.34% increase in our monthly plan prices from 1 February 2012. This is lower than the Retail Price Index measure of inflation, which currently stands at 5.4%."


    I have complained formally to Orange on the following basis:

    1. I, along with other Orange customers, am very aware of the impact of inflation on my financial position. However, such an impact is far greater on ordinary people than on large, profit-driven companies like Orange. Despite the relatively small increase in my case, it will have a consequential impact on my finances, especially as I am trying to survive on a pension. Orange should be more concerned to help customers than to shore up profit margins;
    2. From the time when I embarked on my current, Panther 35 contract, I was not made aware of the possibility of any price increase. According to the Citizens' Advice Bureau, this is implied mis-selling of a mobile phone contract. In law, Orange should have made sure that I was made aware of all relevant pricing information, which I was not;
    3. The manner in which I was informed of this increase was surreptitious, designed, I am sure, to 'slip the increase through' without raising customer concerns. This, in my opinion, is unacceptable practice and does not embody good customer service;
    4. This increase has created uncertainty for the remaining period of my contract over whether or not Orange will decide to increase costs further.
    I await a reply..............:mad:
  • TimSim

    I too had that exact same text, I was not made aware of any price changes,
    Both increase and decrease at the time I signed my contract, also within my contract it doesn't even state
    Such a change 'could' happen and I would like to hear how you got on with your dilemma.

    After following web links to a broken orange website the just of my situation was:
    'we are increasing your bill, the increase is still lower than it could be so we are justifying it, if you don't like these changes
    Then tough because you can't cancel your contract since we have given proper notice'

    worth noting:
    It is only on available contracts starting before mid September 2011, I set up mine on the 18th so maybe I stand a chance on those 3 days.

    Hi from Orange. We're increasing the price of your monthly plan by 4.34% from 1 February 2012. For more information please visit orangeworld.co.uk/r/planchange
  • Couple of other points in making complaints when emphasising the "material detriment" you may have suffered.

    1. If you took out your phone contract in, say, July then an inflationary increase should only be (about) half of the annual rate - at most 2-2.5%. The rise of 4.34% is going to be higher than inflation for many people on newer contracts.

    2. Orange have picked probably the worst inflation figure of the current period.

    Probably about half of existing contracts were taken out this year (based on an average contract length of 18-24 months). This means that they happened after RPI was adversely affected by the rise in VAT that happened on 1st January 2011. RPI will drop by January in response to the VAT rise falling out of the annual calculation.
  • jesz
    jesz Posts: 34 Forumite
    can someone explain this to me
    i took out my upgrade 16 months ago, over the phone. no one told me or informed me about reading terms and conditions anywhere. no one sent me any terms and conditions anywhere, and certainly when they have changed terms and conditions i haven't signed anything to say i agree to them....really baffles me all this rubbish does
  • Guys_Dad
    Guys_Dad Posts: 11,025 Forumite
    10,000 Posts Combo Breaker
    jesz wrote: »
    can someone explain this to me
    i took out my upgrade 16 months ago, over the phone. no one told me or informed me about reading terms and conditions anywhere. no one sent me any terms and conditions anywhere, and certainly when they have changed terms and conditions i haven't signed anything to say i agree to them....really baffles me all this rubbish does

    I can't believe that you think that all contracts don't have t&c. That being the case, you need to find them and read them.

    At some point, you will have agreed a contract with Orange - when you originally took out the contract in-store or on-line. When you upgrade, you implicitly accept the contract terms in force at the time.

    Now I agree with you that whoever sells you the contract may not spend a great deal of time going through the minutiae of the terms, but you are required to tick a box that you have read and accepted their t&c see here for example https://shop.orange.co.uk/mobile-phones/checkout/details.jsp?_requestid=10665 This has a link to the t&c

    Orange have also covered their right to vary t&c in the terms that you signed as having read
    15. changes to your Contract
    we reserve the right to make changes to your Contract
    15.1 (a) When you Register you are asked to choose a Service Plan and to indicate which Orange Additional Services you require. You may switch to a higher Service Plan at any time. You may switch once only to the next lowest Service Plan after one half of your Minimum Term has expired, unless otherwise stated. You may switch to an equivalent Service Plan at any time after one half of your Minimum Term has expired, unless otherwise stated. You must read the rules of your chosen Service Plan as they may restrict your right to change Service Plans during your Minimum Term. In the event you do switch Service Plan and add to or cancel Orange Additional Services you must give us not less than 10 days notice before your Billing Date (subject to the terms of any promotional offers you have accepted). We do, however, reserve the right to vary the terms of this Contract from time to time and to make changes to your Service Plan.


    So, crying "I never had any t&c and I didn't agree any", doesn't wash I am afraid.
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