Tmobile price increase

adamoneill88

Just submitted my complaint to CISAS, lets hope they accept it.

DGKC

Just reviewing my emails to and from TM and having looked more closely at this one, the wording at the end suggests either give 30 days notice or pay the cancellation charge? Is this just another sign of TM ambiguity...?

This is the email in question.

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Please respond to executive.office@everythingeverywhere.com

Dear Ms Clarke,

Further to your recent email regarding the recent price increase notifications. I acknowledge your comments but our terms and conditions give us the right to increase our price plan charges provided the increase is no higher than RPI and we provide customers with written notice of the change.

Clause 7.2.3.3 of these terms and conditions state that the relevant rate of RPI will reflect the 12 month period before the month in which we send customers written notice.

We wrote to our customers between 02 April and 08 April 2013 informing them of the changes to their price plan charge. In accordance with our terms and conditions, the relevant measure of RPI should therefore reflect the period 1 April 2012 to 31 March 2013.

The Office of National Statistics published its official rate of RPI for this period in April. The official measure of RPI for this period is 3.3%. This is in line with the 3.3% price increase that will take effect from 10th May.

This means that customers wishing to end their contract with us, in accordance with clause 7.2.3.3, will not have the right to leave without providing us with 30 days notice or paying the cancellation charge that may apply.

Whilst I appreciate this response may not be entirely to your satisfaction, I trust I have clarified our position on this matter.


Yours sincerely



Alan Holcroft
c.c. The Executive Office EE
NOTICE AND DISCLAIMER
This e-mail (including any attachments) is intended for the above-named person(s). If you are not the intended recipient, notify the sender immediately, delete this email from your system and do not disclose or use for any purpose.

DGKC

Another email which was received on 14th March from Exec office. I started dialogue with TM as soon as I heard about the price increase and prior to receiving any letter. Given the date of this email does this have any reflection of the RPI rate which they have actually referred to ... some emails say Aprils, some January etc but this email dated 14th March acknowledges a price rise of 3.3 % so surely its not plausible that they were "taking a risk on Aprils" RPI given February's RPI hadn't even been published on the date I received this email?

Copy of email

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Please respond to executive.office@everythingeverywhere.com

Dear Miss Clark,

Thank you for your letter received recently in the Executive Office, regarding the above account.

I am sorry you are unhappy with the recent price increase. As a company we are committed to offering the best value for service which is why we have kept the increase to a minimum. The increase is a result of the rising costs to our business and is in line with the Retail Price Index (RPI), which is a measure of inflation.

We are obliged, as are all UK operators, to abide by condition 9.6 of the Ofcom/EU Framework for EU Regulations. This conditions sets out what we must do if a change is of material detriment to a customer, which is to provide 30 days notice and allow a customer to terminate their contract free of charge. When the changes are not of material detriment the customer does not have the right to terminate their contract.

In this instance the increase of 3.3% is considered to be reasonable as it is in line with the RPI and is not of material detriment to our customers. As such we have provided our customer's with 30 days notice (as stated in our Terms and Conditions) but there is no obligation for the company to allow its customers to terminate their contract without charge.

For further information please refer to clause 7.2.3.3 of your terms and conditions. Please copy and paste the following link into your browser to access your online terms and conditions-

Whilst I appreciate this may not be the response you had hoped for, I trust I have explained the reasons why I am unable to end your agreement without cost to yourself.


Yours sincerely



Alan Holcroft
Executive Complaints TMUK

d123

Hmmm, Had a CISAS reply today. Looks like T-Mobile are putting pressure on CISAS.

Thank you for your email.

However, we have had to put this matter on hold as the company have objected to your claim being dealt with by CISAS. The company’s objection has been escalated higher within CISAS and T-Mobile.

We will revert back to you as soon as we have an update.

RandomCurve

d123 wrote: »

Hmmm, Had a CISAS reply today. Looks like T-Mobile are putting pressure on CISAS.

Looks like the big boys will close ranks again! I think I've got OFCOM on the back foot with post #813. I have been having a little sniff of interest from the media on another email I sent last night which was on the same theme. I will post it here shortly for your info.

Not sure if the OFT is the next port of call?

RandomCurve

We will have to live in hope tat one of the media organisation will run with the story!


Dear Sir,

A story regarding the recent T-Mobile mid-term price rises that may need a response from OFCOM.

Question:
When does BEFORE mean AFTER?
Answer:
When it is in Clause 7.2.3.3of a T-Mobile Contract that has been EXAMINEDby OFCOM.

1. The Story

Have OFCOM fallen asleep? The body that is meant to protectthe consumers against bad practice from the Mobile phone Industry is quoted assaying:

“Telecommunications regulator Ofcom adds that it has examinedEE's terms and conditions and says: "We consider theapproach they [EE] have taken is reasonable and donot consider that we need to take further action."

Quote from Helen Knapmans article on 7th May inregards to the T-Mobile Price rise 2013.

http://www.moneysavingexpert.com/news/phones/2013/05/t-mobile-users-attempt-to-escape-price-hike

2. Questions for OFCOM

1. Who did you commission to examine the terms and conditions?
2. Why was this not picked up?
3. This is a very obvious mis application of the T&Cs, how can consumers have confidence in the regulator to comprehend more complex issues?
4. Have you become too close to the industry to be effective?
5. What action will OFCOM take now?

a. Surely it has to be to give consumers the right to cancel their contracts without penalty as cancelling the price will not act a deterrent nor a punishment will it?

6. On the general theme of mid-term price rises the OFT* rules are clear, yet OFCOM has taken no action –will you review that situation in light of this as “consultation” hardly seemsan appropriate action of regulations have already been breached?

*OFTrules:

Page 58 of the OFT guidance, relating to price variationclauses, states:

12.4 A degree of flexibility in pricingmay be achieved fairly in the following ways.

• Where the level and timing of anyprice increases are specified (within narrow limits if not precisely) theyeffectively form part of the agreed price. As such they are acceptable, provided the details are clearly andadequately drawn to the consumer's attention.

As 99.9% of mobile phone contract holders had NO IDEA theircontract price was not fixed for the term of the contract this MUST be evidencethe fact that phone operators did not “…clearly and adequately drawn to the consumer's attention.”


3. BACKGROUND:

TIMMINIGS:

On 6th April Letters we received from T-Mobile informing customers of a price rise the time line was as follows:


· February12th 2013 – January RPI published (3.3%)
· March1st 2013 – Media organisations announce EE (Orange and TM) will beincreasing prices by 3.3% (presumably based on an EE press release)
· March13th 2013 – Orange customers receive letters informing themof the price rise – stating Current RPI rate 3.3%
· March19th 2013 Feb RPI rate published (3.2%)
· April 6th 2013 – TM customers receive lettersinforming them of the price rise – stating Current RPI rate 3.3%
· April6th – April 18th – TM customers request termination/seekclarification due to the timing and the wording of the price letter
· April 16th 2013 – March RPI published (3.3%)


4. Contract Term & T-Mobiles Response

Price rise clauseas it applies to contracts from 1st November 2012: Clearly means theRPI to use is the one PUBLISHED BEFORE 6th APRIL

7.2.3.3. The change thatWe gave You Written Notice of in
point 7.1.4 is:
(i) an increase in YourPrice Plan Charge (as a percentage) higher than any increase in the retailprice index (also calculated as a percentage) or any other statistical measureof inflation published by any government body authorised to publish measures ofinflation from time to time, and publishedon a date as close as reasonably possiblebefore the date on which We send You Written Notice; and
(ii) You give Us notice toimmediately cancel this Agreement before the change takes effect.


T-Mobile Response

Clearly shows theRPI used was the one PUBLISHED 16th APRIL, I.e. AFTER 6thApril.

Taken directly from T-Mobile response to customers query on the RPI applied – email from Mandy Lowery at the T-Mobile Executive Office.

“The written notice that was issued in early April 2013 was sent without knowledge of what the actual March RPI figure would be until published on 16 April 2013, however, this increase in charges is not anincrease above the published month March RPI figure of 3.3% and does not give thecustomer a right to cancel. This was a risk that we took as a business as towhat figure would be published on 16April 2013 but that was our risk to take as a business and does not givethe customer the right to cancel. As a business we anticipated the RPI figurefor March, if it had been lower than expected, customer's would have beenentitled to cancel their contracts but as this is not the case cancellation of your contract without penalty is declined.”


5. Other points to note

OFCOM/T-Mobile may point you in the direction of the word“reasonable” stating that EE never had time to send letters referring toFebruary 2012 RPI well:

1. LastYear T-Mobile managed it in 3-11 working days
2. Thisyear they had 13 (even after allowing for EASTER!),
3. Ifthey wanted to use January RPI why wait 36 working days from 1stMarch announcement when Orange managed in 13?
4. Additionallythe word reasonable as used in this clause may actually make the clause anunfair contract term.

d123

RandomCurve wrote: »

Looks like the big boys will close ranks again! I think I've got OFCOM on the back foot with post #813. I have been having a little sniff of interest from the media on another email I sent last night which was on the same theme. I will post it here shortly for your info.

Not sure if the OFT is the next port of call?

I have emailed back asking for further info, that was literally the whole email, I've also added I know there are a number of cases currently with CISAS against T-Mobile and whether they intend putting all of them on hold.

RandomCurve

DGKC wrote: »

Another email which was received on 14th March from Exec office. I started dialogue with TM as soon as I heard about the price increase and prior to receiving any letter. Given the date of this email does this have any reflection of the RPI rate which they have actually referred to ... some emails say Aprils, some January etc but this email dated 14th March acknowledges a price rise of 3.3 % so surely its not plausible that they were "taking a risk on Aprils" RPI given February's RPI hadn't even been published on the date I received this email?

Copy of email

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No it is not plausible, but there you go. A company that twists and turns and a regulator that is asleep!

The only way we are all going to win this is if we get the media involved, but the last email I asked people to send was sent by only 15 of us - hardly going to make them sit up and take notice - especially when we have over 30,000 views.

adamoneill88

How's everyone getting on? Has anybody had any good news yet?

stoney73

adamoneill88 wrote: »

How's everyone getting on? Has anybody had any good news yet?

Just received this from Office of Fair Trading:
Fleetbank House
2-6 Salisbury Square
London EC4Y 8JX
Switchboard: (020) 7211 8000
https://www.oft.gov.uk

Mr stoney73
Email:
xxxxxxxxxxxxxx
Telephone 08457 22 44 99

Our ref Exxxxxxxxxx Fax 020 7211 8877
Date 14 May 2013 Email Enquiries@oft.gsi.gov.uk

Dear Mr Holden,

Re: T Mobile price increase

Thank you for your email of the 11 May 2013 which copied the Office of Fair Trading in
on your concerns regarding a T Mobile price increase.
The mission of the Office of Fair Trading (OFT) is to make markets work well for
consumers. We achieve this by promoting and protecting consumer interests throughout
the UK, while ensuring that businesses are fair and competitive.

Ofcom is the independent regulator and competition authority for the UK communications
industries, with responsibilities across television, telecommunications and wireless
communications services. It is our opinion that you should remain guided by what OfCom
have advised you and not the Office of Fair Trading as we cannot advise or get involved in
individual disputes.

Whilst this is the case please note that the details of your complaint have been logged and
added to our records, and that the information you have provided will add to our
intelligence and may prove useful to us in the future.
Thank you once again for bringing this matter to our attention.
Yours sincerely
Simon Barnabas
Enquiries and Reporting Centre
Office of Fair Trading




Not received anything back from Cicas yet, but have just received this from T-mobile which I have forwarded onto Cicas:

Case Reference: xxxxxxxxx
Account Number: xxxxxxxx

Please respond to executive.office@everythingeverywhere.com

Dear Mr Holden,

Thank you for your further email dated 10 May 2013, as requested I confirm the following.

Your comments are noted with regards to the recent RPI, unfortunately as you have been advised on several occasions our position on this matter remains the same. Therefore, if you wish to take this matter further please feel free to seek alternative advice.

I trust my response confirms our final position on this matter.


Yours sincerely



Helen McCluskey
Executive Office, EE

c.c. Olaf Swantee, Chief Executive Officer EE