Declined a phone contract?

rzlosty

Hi All,

I recently put an order in for an IPhone 4 on Vodafone. The price was £36 a month for 12 months.

All was going well untill i got an email from Dialaphone today informing me that my order had been cancelled and they couldnt disclose why due to data protection.

I called there customer services number, which had 50 recorded messages on 50 options but i couldnt seem to get through to a human. So i called their sales line and chose tha ti wanted to buy a phone... surprise surprise within 2 rings i was talking to someone.

Anyway, i gave him my details and he explained that it looked as though i had been declined based on my credit rating.

A little bit about me - im 18, i have no debt and at the moment im in about £5k of credit in a savings account and another £1k in my current account. Ive never been overdrawn and constantly been in credit for 2/3 years.

So basically im assuming theres a bad "marker" on my "credit score" now that will say ive been declined credit making it even harder for me to get anyone to take me seriously and it seems that the money ive kept in the bank counts for s***?

Next question - my mum has a fine credit score and i want her to take the phone contract out on my behalf (e.g she signs up etc and i just put a direct debit from my account to hers for £36 every month). Is there any reason i shouldnt do this? and is there anything anyone can suggest to how i can get a mobile phone.

I see hundreds of teenagers walking around with Iphones that clearly cant afford them so what the hell am i missing?

Thanks
Will

steve4mandy

Buy the iphone direct from Apple,( phone is unlocked ) with your savings , get a GiffGaff PAYG sim (O2), + £10 month goodybag, you will be quids in, and not tied into a 24 month contract.

Buzby

Taking out a contact simply to get an iPhone is a false economy. Save up and buy one outright (a 4 is much cheaper), and a PAYG SIM will save you a fortune, not affect your credit score, and protect you from the horror stories that populate these forums on a regular basis!

rzlosty

I usually would agree that its a false economy, but the iphone on apples website is £429. Which is fine, but for the 12 months on Vodafone its going to cost £432.

So that means by the time ive put £15 a month on my pay and go simcard from GiffGaff (which gives me roughly the same calls, texts and internet as the contract) ill be spending an extra £180 on top. And this is all without insurance which is £62 a year on either.

I think for once this is actaully a good deal for an iphone?

Thanks for replies

daindian

Ok I'm a student, I think it's to do with us being students, when I got my first contract, I took it out in my mum name, so I didn't have any problem with a credit check. I now have the contract in my own name. I think if you haven't got any direct debits going out, the phone companies get scared

adamc260

Get a copy of your credit file, costs £2 and have a good look through. If you've not had credit in the past (i'm assuming at least?) then it's very difficult to get things like loans/credit cards/contracts.. which is silly because how can you bill up a good credit report if you can't get any!?

steve4mandy

I originaly had a £15 month sim only deal for my then 17 year old son, when he turned 18 ( this Feb ), i transfersd the account into his name, that is also with vodafone, he is on electoral roll with a full bank account, gave it 3 months before transfer & he passed credit check, this was for an existing sim only deal though!

Buzby

No - the downsides are: tied to pay irrespective of circumstances, your liability to pay for all calls whether you made them or not (loss), horrendous bills if you inadvertently roam, your credit file being fried, and the need to give an uncaring outfit the right to empty your bank account with a Direct Debit.

Add to this that 80% of people with inclusive bundles don't use hem up making the cost comparison unrealistic. If you don't use it you've lost it.

rzlosty

Ok, i see thanks very much for the help guys.

I work full time and have since i left school 2 years ago so im not a student or anything and ive never had any bad credit as never had oppertunity to get bad credit!

Anyway ive took everything youve said on board, and (although this may seem totally mad) ive just bought a brand new IPhone 4 from Ebay for £324

Looked on giffgaff and they changed there goody bags so i can get a £10 one with 250 mins unlim texts and internet (which is what i was getting on the contract) so thats perswaded me more.

Thanks again!

grumbler

steve4mandy wrote: »

Buy the iphone direct from Apple,( phone is unlocked ) with your savings , get a GiffGaff PAYG sim (O2), + £10 month goodybag, you will be quids in, and not tied into a 24 month contract.

He will not be quids in as it was 12 month contract, not 24. And with £50 cashback available.
36*12-50=£382 - with free airtime.

Buzby wrote: »

Taking out a contact simply to get an iPhone is a false economy. Save up and buy one outright (a 4 is much cheaper), and a PAYG SIM will save you a fortune,...

Will save nothing in this case. Will cost more actually.

grumbler

rzlosty wrote: »

...A little bit about me - im 18, i have no debt and at the moment im in about £5k of credit in a savings account and another £1k in my current account. Ive never been overdrawn and constantly been in credit for 2/3 years.

So basically im assuming theres a bad "marker" on my "credit score" now that will say ive been declined credit making it even harder for me to get anyone to take me seriously and it seems that the money ive kept in the bank counts for s***?

No overdraft - no credit history. Your savings and the current account balance don't count for credit scoring.

>> Credit Ratings

Next question - my mum has a fine credit score and i want her to take the phone contract out on my behalf (e.g she signs up etc and i just put a direct debit from my account to hers for £36 every month). Is there any reason i shouldnt do this?

I don't see any.

and is there anything anyone can suggest to how i can get a mobile phone.

Buy it sim-free and use on PAYG or a sim-only contract that is easier to get.