Can No Longer Afford Contract - What To Do?

TeenyBash · 21 December 2011 at 4:57PM

Guys_Dad wrote: »

I think Orange have been very fair and reasonable in lowering the contract twice.

I am sure that when you took out the 2 year contract you had every intention of completing it and, possibly, staying with them. The unfortunate thing is that, whereas a week is a long time in politics, 2 years is a long time to commit yourself to a payment contract if the heavens fall in, as happened to you.

If you really can't stretch your current income over all your commitments, then you will have to prioritise, but remember that any defaults will be recorded on your credit record, even in circumstances that a re genuinely caused by the current economic conditions.

Personally, I think anyone taking out a 24 month contract of any significant value needs to check first of all whether or not they could afford it if their job was lost and they had to rely on benefit income.

So, getting back to this thread, I reiterate that Orange seem to have been accommodating and I would be very surprised if they would go further. But good luck. :beer:

Just speaking generally, aside from the Orange situation I think companies also need to take responsibility for their part in the current climate. For example, a certain bank and several companies, even though knowing my circumstances have tried to hard sell/upgrade all manner of things. Credit cards, you name it. I can understand how people, who are desperate and possibly not in the right mind at the time, get themselves in a pickle. Responsible lending.

I've personally had a catalogue of things happen this year that I couldn't have possibly predicted, that have left me in the situation I am in, which yes, I am responsible for. But companies wouldn't make much money lending amount that only people could afford if they only worked out income from benefits, would they?

I regret taking out the contract, but have changed my view on such things and won't do so in the future. I was hard sold the contract in the first place, and I wish I hadn't been such a doormat and said no.

Guys_Dad · 21 December 2011 at 5:52PM

TeenyBash wrote: »

Just speaking generally, aside from the Orange situation I think companies also need to take responsibility for their part in the current climate..........................

I regret taking out the contract, but have changed my view on such things and won't do so in the future. I was hard sold the contract in the first place, and I wish I hadn't been such a doormat and said no.

I think Orange have taken some responsibility in reducing the contract. I think it takes a event such as losing your job to realign what is important and what is not. In the current climate, entering into a debt that isn't 100% necessary needs careful thought.

Putting things into perspective, the main purpose of a handset and connection is to communicate with other people. Now a basic £10 handset and a £10 per month Giff Gaff contract would satisfy that basic need for 90% of us. The additional costs and the 2 year commitment is actually for other things - a "hot" device and prestige plus other features that, if truth be told, most of us don't need - business use excepted.

So, keep that in mind during these hard economic times.

kevin_M · 21 December 2011 at 6:57PM

Another thing that they can offer is a 6 months payment holiday. This would put your account on hold that means the line would go dead but they would also freeze your contract dates so if you had 6 months remaining when you taken the payment holiday when you reconnect you will still have this to complete as part of your contractual agreement.

This at lest would give you some time to sort things out. But apart from that I 100% agree with guys dad.