MSE News: Virgin Mobile sneaks around Ofcom rules to hike pay-monthly prices

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If you're a Virgin Mobile pay monthly customer, you may be one of 800,000 users set to have your tariff hiked by 2.5%...
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Virgin Mobile sneaks around Ofcom rules to hike pay-monthly prices
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  • kingrulzuk
    kingrulzuk Posts: 1,330 Forumite
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    Good info :)
    What happens if you push this button?
  • grumbler
    grumbler Posts: 58,629 Forumite
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    'Sneaky and underhand'
    MoneySavingExpert.com's senior consumer analyst Sally Francis says: "Virgin Mobile is manipulating loopholes in Ofcom rules in a similar way some of its mobile competitors already have, leaving users once again at the mercy of big companies.

    "It's sneaky and, unless it's planning on allowing affected customers to leave without penalty, a very underhand move."
    I have to disagree as I don't see anything 'sneaky'.
    They play by the rules set by our beloved Ofcom.
    If you want to blame somebody, blame Ofcom, not the companies.
  • kerri_gt
    kerri_gt Posts: 11,202 Forumite
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    I disagree that customers who joined after Jan 23rd are not affected, I took out my contract after Jan and have been told my monthly payment is increasing £1.50 per month fm July, which is actually a 10% increase for me.
    Feb 2015 NSD Challenge 8/12
    JAN NSD 11/16


  • dogstupid
    dogstupid Posts: 19 Forumite
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    I got a letter saying my £15 monthly SIM only contract is going up by £1.50 on 22 July. That's a 10% increase. I only started it on 23 April and its going up already so I'm not impressed at all.
    Time to look around again at other deals I suppose.
  • minislim
    minislim Posts: 357 Forumite
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    well thats another one crossed off my potentials list.
    businesses that try sneaking round rules or blatantly ignore them wont get a penny out of me.

    only three remains. vodafone may have a chance as they said they've stopped mid term hikes altogether.
  • djpailo
    djpailo Posts: 550 Forumite
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    Yeah this is frustrating. On the VIP sim only £15/ month. It'll go up now by 10%. It's still the best deal at the moment for my needs unfortunately.
  • eriphyle
    eriphyle Posts: 15 Forumite
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    I do not expect the cost to be varied in a fixed term, it's part of the terms of the contract AFAIC. Furthermore, not being allowed to leave without penalty when they vary the terms is appalling: so what exactly is the contract worth to the customer? Nothing. I don't see how they are permitted to vary a contract when the customer can't. This is a one-sided deal.

    I hear Tesco have seen an opportunity and are openly saying they would not do this with their contracts.
  • grumbler
    grumbler Posts: 58,629 Forumite
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    edited 25 June 2014 at 5:08PM
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    eriphyle wrote: »
    I do not expect the cost to be varied in a fixed term, it's part of the terms of the contract AFAIC. Furthermore, not being allowed to leave without penalty when they vary the terms is appalling: so what exactly is the contract worth to the customer?
    In fact the contract says that the price can be increased and sets strict limits for this. These are the terms, and nobody varies them.
    Nothing. I don't see how they are permitted to vary a contract when the customer can't. This is a one-sided deal.
    Well, the customer is free to take the contract or to leave it.
  • Former_MSE_Paloma
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    Hi kerri gt,

    Thanks for this, we had this confirmed from Virgin Mobile so I've popped this info into the story - thanks for flagging.
  • boatman
    boatman Posts: 4,699 Forumite
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    grumbler wrote: »
    Well, the customer is free to take the contract or to leave it.

    You make it sound so simple. Unfortunately they don't just let you leave when they put the prices up beyond what is agreed in the contract. CISAS Ofcom and on and on...
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