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BEWARE T-Mobile early termination fee when useing pac code...

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  • Advise them of your wish to not renew the contract 30 days before it ends. Tell them you wish to keep your number but also that you want to avoid any early termination fees. Ask them when is the best time to request and use a PAC code. Then repeat back to them what they have said and ask if they are sure.

    They will still try and screw you over most likely but if you follow the above then you will be in a strong position to argue your case when it all goes tits up. Simply contact them and tell them to listen to the recording of the original telephone call and tell them you did exactly what the adviser told you.
  • I'm currently in dispute with orange/EE over something similar.
    I left EE in May this year. I was out of my contract period and gave 30 days notice to leave. I was, like many of you, charged extra for leaving. I wasn't happy but I didn't argue the point too much as I wasn't that bothered, I just wanted out. They offered me a PAC code, I didn't really want it due to all the cold calls I was getting and was told I had 30 days to use it, if by then I didn't want to use it I could just let it lapse and the number would be re-allocated to someone else. This is what I did.
    The final payment went out of my account. Direct debit cancelled and good by EE, or so I thought.

    This Monday just gone I receive a letter from a debt collection agency asking me to confirm my details to them. I eventually find out this is over an issue with an EE account...
    Checking with EE it appears that they have 're-issued' the contract after the 30 days because the PAC code wasn't used. They then left it 4 months to build up the debt without contacting me in any way, then Referred the debt to a debt collector!!

    When I rang EE to complain the call taker seemed sympathetic and passed me to the 'escalation team' to sort it out, turns out the escalation team were the debt collection agency! The bloke on the phone then proceeded to,demand payment and tell me there was nothing he could do!

    So now I'm stuck with £220 of debt hanging over me and 4 months missed payments on my credit score!

    I've now EMailed EE with my complaint, no response, will try calling again and writing, any other advice!?
  • Cloudane
    Cloudane Posts: 535 Forumite
    Part of the Furniture 500 Posts
    I think this makes sense, here's how it's gone with me. They did actually try to warn me about the billing when I cancelled, tried to explain how it works and not to be alarmed but it is very confusing!

    Contract end date 05/04/15
    Requested PAC 07/03/15
    Used PAC 10/03/15

    March bill to be taken 22/03/15:
    Full Monty 26 monthly charge £22.25 (normal)
    MNP Early Termination Penalty £20.72
    VAT on rental £4.45
    Total to be taken on 22/03/15 - £47.42

    This set off a few alarm bells with me! Rental is charged in advanced so

    A- the early termination penalty makes sense as it was explained: I've given 30 days notice so of course I have to pay for the month still whether I use it or not. I was told at the time it'd be listed this way on the bill but is not technically an early termination fee it just denotes the 30 days notice period. That's fine.

    B- the line rental does NOT make sense as why am I being charged for next month when it's been cancelled?

    Well I just called and asked, and they explained that this isn't actually the final bill - that'll be generated the next month. The period I *don't* use will be refunded. So effectively, I should get £20-27 back next month.

    If that's the case then it's not so bad. It's just really hard to understand.

    PAYG for me from now on - it doesn't have these problems and it's actually cheaper than a contract if you don't use thousands of minutes (90% of the usage for me is data). For buying a phone it works out better to buy outright, or get it on a 0% credit card if you need to spread out the cost.
  • Cloudane
    Cloudane Posts: 535 Forumite
    Part of the Furniture 500 Posts
    Automatic second bill arrived, panic over.

    This time it's
    Outstanding 47.42
    Monthly plan -20.10
    New charges 0.00
    New balance 27.32
    VAT on 20.10 -4.02
    TOTAL TO PAY 23.30

    That's fine and expected :)
  • Sponge
    Sponge Posts: 834 Forumite
    Part of the Furniture 500 Posts Combo Breaker
    edited 20 April 2015 at 11:23PM
    I think this follows on from what Cloudane has said.

    I'm going to add my developing story to the thread and we'll all see how it pans out.

    My wife's contract 'ends' on the 1st May 2015 (2 year contract).

    She telephoned T-Mobile on the 14th April to negotiate a renewal, but no decent offers were forthcoming so she asked for her PAC number. She is given it over the phone and in a SMS later that day.

    Neither of us were aware of this thread, or suggestions of swapping to PAYG, etc. Why would we be? We're not expecting any problems.

    Today, the 20th April, she receives a letter dated the 14th with her PAC and an explanation of how ending her contract works. (We're still worried.) It also states her PAC is valid for 30 days, until 13th May 2015.

    It states that if she doesn't use the PAC within 30 days her services will continue.

    If providing the contractually agreed notice of 30 days is deemed as being served when requesting/receiving a PAC, then why doesn't the contract end regardless of whether or not the PAC is used? You've given notice. Anyway...
    That notice started when you called us to request this PAC code and it will end 30 days later, so your final bill for that number will include your price plan charge for the 30 day notice period. This will appear on your bill as 'Notice Period Charge'
    If you are leaving us whilst you are in a minimum term commitment, an early termination charge will also apply. This will appear on your bill as 'Early Term Charge.
    So, and I would appreciate any words in support or against our thinking, if she delays using her PAC until after the 1st May 2015 then she has fulfilled her obligation to meet the minimum term and there should be no ETC. Then...

    Her final bill will then simply be for the 30 days notice period (until 13th May) and any advanced monthly charges should be deducted. (Which is reasonable, like Cloudane says.) And this will happen regardless of whether she uses the PAC on the 2nd May (after minimum term) or on a date before the 13th (date the PAC expires)? So there's not much point leaving it until the last minute to minimise fees, but at the same time risk the PAC/account expiring before a transfer occurs, as they're already as low as they'll go from the 1st May onwards?

    My wife called T-Mobile twice this evening to get a better idea of what's going on, but it didn't help. She got conflicting information on each call: one agent flatly refused to tell her how the fees are calculated (e.g. a flat admin fee, or pro-rata rental fee?) but said she had to leave using her PAC until the 10th or 11th May to avoid the top secret fees! However, the other agent said she won't be charged line rental, but an early term charge per day if she uses it before the 12th May???
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