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Early Termination Fee

aderex
aderex Posts: 5 Forumite
Hi there

Basically I wanted to find out when ether Three has the right to do what they did. They charged me £16.73 as 'Early Termination Fee' after I quit them. But this doesn't make sense and here is why:

- My original contract was a 24 month contract starting 2 May 2013.
- I've canceled my contract at about 36th month on 26th of April 2016.
- I used a PAC code which I've obtained on the 15th of April 2016 and used on the 26th of April 2016
- I've received an 'Early Termination Fee' of 16.73 which was charged because apparently I used my PAC code early and the services provided by them where still available for me to use until 15th of May, the day my PAC code was supposed to be expired. Since my contract was £35.99 for a month and I've used my PAC code about halfway through they charged me the money... but I don't understand this logic.

Lastly my friend, who was on Three, canceled his contract too. Except he canceled on the 25th month and used his PAC code straight away after he got it, but got never charged any 'Early Termination Fee's'

Can someone advice me on whether this is right/legal? I did call them but thats pretty much what they kept explaining to me as laid out in my last point, without any results.
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Comments

  • HappyMJ
    HappyMJ Posts: 21,115 Forumite
    10,000 Posts Combo Breaker
    Did they credit the £35.99 back to you and then charge you the ETF?

    i.e did you get a bill for £35.99 plus £16.73 or was it just £16.73.
    :footie:
    :p Regular savers earn 6% interest (HSBC, First Direct, M&S) :p Loans cost 2.9% per year (Nationwide) = FREE money. :p
  • aderex
    aderex Posts: 5 Forumite
    Actually they did credit me £4.60 earlier and then charged £16.73, but that is all
  • boatman
    boatman Posts: 4,700 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    You normally pay line rental in advance, you should not be charged both. You are supposed to give 30 days notice.
  • keith1950
    keith1950 Posts: 2,597 Forumite
    1,000 Posts Combo Breaker
    You cannot cancel the contract and use a PAC, it's one or the other.
    Asking for a PAC starts your months notice as long as you use it with 30 days
    By asking for the PAC you cancel the cancellation you had previously given so your 30 days notice was up on 15th May and not on the 2nd of May so they charged you an extra couple of weeks
    I may not have explained that very well but I hope you get the gist.
  • d123
    d123 Posts: 8,691 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Photogenic
    aderex wrote: »
    .
    - I used a PAC code which I've obtained on the 15th of April 2016 and used on the 26th of April 2016
    .

    You have to give 30 days notice, not 11 days...
    ====
  • aderex
    aderex Posts: 5 Forumite
    Alright, but then why did my friend, who used his PAC code straight away after receiving it, did not get any sort of charge? He also left Three
  • [Deleted User]
    [Deleted User] Posts: 26,612 Forumite
    Eighth Anniversary 10,000 Posts Name Dropper Photogenic
    aderex wrote: »
    Alright, but then why did my friend, who used his PAC code straight away after receiving it, did not get any sort of charge? He also left Three
    Perhaps he gave the correct notice?
  • keith1950
    keith1950 Posts: 2,597 Forumite
    1,000 Posts Combo Breaker
    I have answered why you were charged,we don't know the exact details of your friend. Whatever you say, by asking for a PAC on the 15th you were giving 30 notice which ended around the 15th May not the 2nd May.So you were charged from the 2nd to the 15th.
  • boatman
    boatman Posts: 4,700 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    The etc is for 27th April to 15th May. But the chances are you have already paid line rental for this period. If you have, ask for it back, you don't pay both etc and line rental for the same period.
  • aderex
    aderex Posts: 5 Forumite
    edited 23 May 2016 at 9:34PM
    Perhaps he gave the correct notice?

    Not really, he went to EE, signed a new contract and at the same tame called Three and used the PAC on the spot. It's a bit baffling.
    keith1950 wrote: »
    I have answered why you were charged,we don't know the exact details of your friend. Whatever you say, by asking for a PAC on the 15th you were giving 30 notice which ended around the 15th May not the 2nd May.So you were charged from the 2nd to the 15th.

    My PAC runs out in 30 days and the notifying period is 30 days, so no matter when I use I'm still obligated to pay/use services. That sounds like a trap that gives me no other choice.

    Anyway, thank you all for the overwhelming information, I understand the matter now. Although I think the 30 period notifying period is absolutely unfair especially to the costumers who have ran through their contract.
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