Talkmobile increase contract monthly charge

MillicentBystander

If 2 companies can do it why can't the rest? It's not like these 2 companies are the actual mobile service provider either - they are MVNOs. It's basically yet more greed from large companies. And both the G&E/mortgage analogies are flawed. On both those 'deals' you are made acutely aware if you are signing up to a variable deal or a fixed deal. This isn't something that happens in the mobile industry. It needs changing and no amount of hiding behind T&Cs that have never been challenged in law will stop it happening imo.

jimkenyon

They may be open end
ed, but at the end of the minimum term you can change without penalty. The morality of this situation is that once locked into a minimum term then should the mobile companies be allowed to increase prices, or should they not allow for inflation in their business plan?

grumbler

jimkenyon wrote: »

... once locked into a minimum term then should the mobile companies be allowed to increase prices, or should they not allow for inflation in their business plan?

Both are fine as long as the customer clearly understands this when signing the contract.

Did you read MSE news some time ago?
Which? calls for mobile price rise curbs

If there is a chance prices may rise, it (Which?) wants operators to be more upfront about this in their advertising and to allow people to switch providers without penalty

Personally, I disagree with the second part. If the operator is upfront about possible increase and the limits of the increase I don't see any reasons for allowing to switch without penalty.

Guys_Dad

jimkenyon wrote: »

They may be open end
ed, but at the end of the minimum term you can change without penalty. The morality of this situation is that once locked into a minimum term then should the mobile companies be allowed to increase prices, or should they not allow for inflation in their business plan?

OP didn't ask if it was morally right, but asked if they could get out and was it normal.

I agree that prices should not change during the minimum term. But until the regulator steps in, as long as networks have it in their t&cs and their sales staff don't lie, then they can apply increases. If the sales person works for P4U or CPW and misleads you, then take it up with CPW/P4U.

Hopefully, it may be resolved in due course, but till then, maybe consumers should read their t&c before signing. Difficuly, I know, when blinded by the allure of the shiny new handset.

WestonDave

What's interesting on these (just had mine) is that although I've been in contract only 6 months, I'm getting clobbered for a full years inflation increase. Fairness would suggest that the RPI limit should relate to when the last change was made in your specific account not when the tariff was introduced at some irrelevant earlier point. If they didn't want to keep selling it at that rate knowing that we'd have at least 12 months normal inflation on it, then it should have been withdrawn and replaced at a higher price point. The fact that they are still selling it at the same tariff as I originally signed up for suggests that either people are being hoodwinked in now, or their inflationary costs are not as high as they claim and they are just profiteering.

I realise there is naff all I can do about it, but I still think its sharp practice.

EdCov

What I think is more interesting is that networks should not be able to charge more for existing users than they charge for people on new contracts.

If Talkmobile continue to sell the same package at the old price to new customers but up my price, then that is unfair.

Earthworm

The fact that people keep referring to these agreements as "fixed" demonstrates the lack of understanding in this area... This is at fault of the network AND the consumer. It is our responsibility to understand our terms but I would also argue that a price change is important enough to discuss at the time of sale.

At no point has a network advertised their offers as "fixed contracts".

MillicentBystander

On the flip side, neither have they ever advertised them as 'variable rate contracts'.

Guys_Dad

Earthworm wrote: »

The fact that people keep referring to these agreements as "fixed" demonstrates the lack of understanding in this area... This is at fault of the network AND the consumer. It is our responsibility to understand our terms but I would also argue that a price change is important enough to discuss at the time of sale.

At no point has a network advertised their offers as "fixed contracts".

But the sales staff in shops often sell the contracts as such. That's the problem

50Twuncle

jimkenyon wrote: »

So you are saying that I should now pay extra for the handset that I obtained at the start of the contract? There have been no additional costs to Talkmobile resulting from the handset that they obtained for a fixed price from the manufacturers at the start of the contract.

I guess that they could use the argument that every time you use your mobile - it uses a tiny bit of (their) electricity to send the message/phone call via their transmitters to the recipient - plus the cost of admin for your account (india is paying better wages nowadays !!) BOTH have increased recently - but I agree that the timing and choice of those stung, could have been better (ie Not for existing customers/account holders)