O2 Refresh and Loan

wizzywig27

Hello all, more of a rant that a question, but I signed up for an O2 refresh contract as an existing customer (upgrade) and I am happy with it.

However, after viewing my credit file O2 have placed a 'loan agreement' on my credit file. I have checked the Ts and Cs but cannot seem to find a mention of reporting to CRAs however it would have been nice of O2 store staff informed me of this. As someone who has quite a lot of open agreements on my credit file, one for a loan is not really what I wanted, and there is nothing I can do about it!

Just thought I would bring it to people's attention.

20aday

Hello,

I managed to find the Terms and Conditions and stumbled across this:

3.1 This is a Fixed Sum Loan Agreement made between Telef!nica UK Limited (trading as
O2), 260 Bath Road, Slough, Berkshire, SL1 4DX (“we”, “us”, “our”) and you the Customer
listed at clause 2 above (“you”, “your”, “Customer”) to finance the purchase of goods or
services (your “Credit Agreement”). Capitalised terms not defined in this Credit Agreement
are defined in your Pay Monthly Mobile Agreement.

wizzywig27

I read that but I was sure that when reading credit agreements in the last it refers specifically to reporting to CRA's, now its not that much of an issue but still another agreement on my credit file, so now I have two to o2 rather than one!

Kite2010

wizzywig27 wrote: »

I read that but I was sure that when reading credit agreements in the last it refers specifically to reporting to CRA's, now its not that much of an issue but still another agreement on my credit file, so now I have two to o2 rather than one!

Isn't that how it is advertised, having 2 contracts, 1 for the handset and the other for the Sim?

wizzywig27

Yes it it, but the point I am making is that it wasn't made clear at the point of sale that I would have another credit agreement recorded against my credit file as a loan. OK it is a small loan of £240 and once paid will look good on my credit file, but nevertheless some people may not be aware of the impact this may have, like I say I now have to credit agreements with them on my credit file

spinningsheep

did you take out the contract in a retail store or over the phone/web? As part of the process, you should have been issued with a SECCI agreement to read prior to signing ANYTHING. This is mandatory so if that stage was missed out you need to inform them so the advisor concerned can be reminded of this requirement, failure to follow it could result in O2 losing their consumer credit licence. If you did read a SECCI then it's plastered in black and white in that its classed as a fixed sum loan agreement so no reason for you not to have been aware.

dalesrider

Why do I have to sign two contracts to get O2 Refresh?

O2 Refresh separates the cost of your phone from the cost of your calls, texts and data in a whole new way. The Phone Plan is covered by a Consumer Credit Agreement with O2, and the Airtime Plan is covered by our standard Pay Monthly Mobile Agreement.

Seems pretty clear when you read the FAQ.

Yes. O2 Refresh separates the phone and airtime in a whole new way. To do this, we're selling phones on credit and are regulated by the Consumer Credit Act.

Now there is a nice point... Phone stops working and they fail to deliver and fix....

CCA claim