Phone Co-op closing down PAYG

Stuart_W

The Phone Co-op (or Your Co-op Mobile as they've branded themselves for the last year or so) are closing down their PAYG service on 28th February 2022.

Exisiting customers have option to switch to a pay monthly option, starting at £6.50/month, or transferring out. Cheaper alternatives for all usage patterns are available rather than switching to one of the offered tariffs.

https://broadband.yourcoop.coop/mobile/payg-closure/  

It is however following the common pattern of another one of the options for ultra-low users being closed off as a £10 top-up could last indefinitely with just one chargeable 1p call made every 6 months. (They did charge in 1p units, not in 1 minute units so 1p calls were possibe). This seems to be in line with many of the changes other operators are making by bringing in minimum top up amounts, or minimum usage amounts, or top up expiry. True PAYG services where the balance just remains until used are soon going to be a thing of the past.

CharlesJF

We have two mobile phones with this supplier, and have had the closure notice too - for the end of February.

We normally buy "bundles" of talk/text/data each month, from money held as credit. As luck would have it (or not) I'd put a reasonable amount of money into these account credits just before the closure was announced.

The alternatives offered by the Co-Op won't suit us, and will be about 40% more expensive than we are currently paying, so we will move to another supplier, but at present the Co-Op are saying that if we leave they will retain the credit held.

Given that it's their decision to close the PAYG service I think that's unreasonable, and possibly not legal, and moreover I can't find anything in their terms and conditions to cover these circumstances.

We have legal cover with our home insurance, so I phoned for advice, and the opinion given was that credit purchased in good faith to pay for services then avaiable could not be retained in this way.

I then phoned the Co-Op customer service number, and spoke to a helpful agent, quoted the legal advice I'd been given, and asked for his view. He said this would have to go to "a manager", but that no-ne was avaiable at the time, but that I would get a return call. No such call was received, so I then emailed, and currently five days later no reply to that eiither.

I suspect they are hoping that we will just move to another supplier, and give up.

If I don't get a sensible reply I think there are two options open to us:

1) Try the broadsheet consumer problem pages (Observer/Guardian probably). There is no guantee that they will pick this up, but I imagine that the Co-Op would not appreciate the publicity, and would prefer that any offer then made to us isn't public, as it will encourage others to try to get a refund too.

2) Online small claims court - I've had some sucess with this with other sevice and reailers who are sailng close to the legal wind.

Anyone else have any thoughts on this>

flaneurs_lobster

CharlesJF said:

.....but at present the Co-Op are saying that if we leave they will retain the credit held.

Given that it's their decision to close the PAYG service I think that's unreasonable, and possibly not legal, and moreover I can't find anything in their terms and conditions to cover these circumstances.......

Anyone else have any thoughts on this>

From Pay_As_You_Go_Terms_-_Your_Co-op_-_20210608.pdf on their website:

7.3 Termination by Us
We may end this Agreement or any Service under it at any time by 30 days' notice. 

7.4 Credit Balances
Upon Termination (by You or Us) or suspension of this Agreement, no credits or refunds will be given for unused Credit Balance.

It's pretty standard stuff for PAYG services. Virgin Mobile are a recent exception in refunding PAYG customers when ceasing their PAYG proffer but then they are a huge company with savvy PR/big pockets, probably not so much with The Midcounties Co-operative. 

Try to shame or legal the credit out of them if you wish. Personally, unless the sums involved were significant, I'd be looking to spend my credit by premium SMS messages to gambling sites or charity donations before it gets confiscated.

Farway

I think my PAYG credit, not a lot, around £9, will go to some charity once I find a suitable one.

Neil_Jones

CharlesJF said:

We have two mobile phones with this supplier, and have had the closure notice too - for the end of February.

We normally buy "bundles" of talk/text/data each month, from money held as credit. As luck would have it (or not) I'd put a reasonable amount of money into these account credits just before the closure was announced.

The alternatives offered by the Co-Op won't suit us, and will be about 40% more expensive than we are currently paying, so we will move to another supplier, but at present the Co-Op are saying that if we leave they will retain the credit held.

Given that it's their decision to close the PAYG service I think that's unreasonable, and possibly not legal, and moreover I can't find anything in their terms and conditions to cover these circumstances.

We have legal cover with our home insurance, so I phoned for advice, and the opinion given was that credit purchased in good faith to pay for services then avaiable could not be retained in this way.

I then phoned the Co-Op customer service number, and spoke to a helpful agent, quoted the legal advice I'd been given, and asked for his view. He said this would have to go to "a manager", but that no-ne was avaiable at the time, but that I would get a return call. No such call was received, so I then emailed, and currently five days later no reply to that eiither.

I suspect they are hoping that we will just move to another supplier, and give up.

If I don't get a sensible reply I think there are two options open to us:

1) Try the broadsheet consumer problem pages (Observer/Guardian probably). There is no guantee that they will pick this up, but I imagine that the Co-Op would not appreciate the publicity, and would prefer that any offer then made to us isn't public, as it will encourage others to try to get a refund too.

2) Online small claims court - I've had some sucess with this with other sevice and reailers who are sailng close to the legal wind.

Anyone else have any thoughts on this>

Donate what credit you can to a charity that takes donation by text, and then use up the surplus yourself.

PAYG you have never had the option to have a credit refund, and it says in the T&Cs no refunds will be due.

Re: claims court, unless you're talking about a ridiculous amount of credit that probably shouldn't have been on the account in the first place, it'll cost you £35 to raise the claim initially - https://www.gov.uk/make-court-claim-for-money/court-fees

CharlesJF

An update on my comments above on 12th January.

After having been ignored for some time by the Phone Co-op I contacted Anna Timms, who runs the Observer consumer problem page on Sundays. She then contacted the phone co-op. Surprise surprise, I then got an apologetic phone call from someone who said that they had reversed their decision, and would refund credit for those PAYGO subscribers who were leaving. I've now had the refund for my phone, and that of my wife.

Anna's piece is in the Observer today, and much credit to her for taking this on. She also contacted Ofcom about the possible legality of keeping credit in this way, who simply said that it would be up to the courts to decide - not very impressive!

The Co-op said to Anna that they would contact anyone with credit over £50, and that anyone with less than that could make contact themselves to request a refund.

They also said to Anna that they would alter the PAYGO part of the website - but that appears not to have been done so far - another email needed in a day or so if that hasn't happened.

So if you are being bumped off the Co-op PAYGO service, get in touch and quote the Observer to them.

Isn't press contact a wonderful thing!

Finally, after seeing the MSE offer for Lebara we have swopped both phones to that service - and it's a better deal than the Co-op anyway!

flaneurs_lobster

Very well done. It's a shame that the Co-op couldn't have been persuaded to SMS all their PAYG customers to publicise this decision. Just contacting those with >£50 balance is shoddy. Let's hope other sources (MSE newsletter?) might be able to put this story out there. Not good publicity for the wider Co-operative movement.

EDIT : Can't find the story on the Guardian website, anyone have a link?

CharlesJF

This is the website address below , but today's items are not on it - updated tomorrow perhaps? I've had to shorten the website, becaise the forum wont let me post web links "before youve been around a little longer" - why? Add back the w's

theguardian.com/money/series/yourproblems

flaneurs_lobster

CharlesJF said:

 I've had to shorten the website, becaise the forum wont let me post web links "before youve been around a little longer" - why? 

It's to stop spambots setting up brand new ids and covering the forum with links to guaranteed 100000% return cryptocurrency deals (all endorsed personally by Martin Lewis) and the finest XXXX rated p0rn. 

It's a pretty standard feature of any public forum that allows new users to post. It's easily circumvented if you are a human (which you are and you have).

flaneurs_lobster

Here's the link to the story mentioned above https://www.theguardian.com/money/2022/feb/03/phone-co-op-wants-to-keep-my-70-mobile-credit

Farway

flaneurs_lobster said:

Here's the link to the story mentioned above https://www.theguardian.com/money/2022/feb/03/phone-co-op-wants-to-keep-my-70-mobile-credit

From the above link, web site says contact them about PAYG credit

https://broadband.yourcoop.coop/help-resources/contact-us/  gives detals + e mail address

"Online is the easiest way to contact us. We can look at your problem whilst you get on with your day. Make sure you provide your account details when you email us. The more info you give us, the more we can do. Here's how to contact us online

Email

yourcoophello@midcounties.coop"