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  • FIRST POST
    ach5
    MSE News: Orange to raise monthly mobile costs
    • #1
    • 28th Nov 11, 9:23 AM
    MSE News: Orange to raise monthly mobile costs 28th Nov 11 at 9:23 AM
    MSE News: Orange to raise monthly mobile costs
    This is the discussion thread for the following MSE News Story:

    "The mobile giant will hike the cost of monthly plans from 8 January, blaming 20-year high inflation ..."






    Back to orginal post.



    Just had a text off Orange to say that the cost of my contract with them is about to increase.

    I haven't changed anything.

    Just curious as to where this leaves me, legally.

    If they are changing their end of the contract, does this mean it can be broken?

    Thanks.
    Last edited by MSE Guy; 28-11-2011 at 7:23 PM.
Page 1
  • archived user
    • #2
    • 28th Nov 11, 9:26 AM
    • #2
    • 28th Nov 11, 9:26 AM
    Just had a text off Orange to say that the cost of my contract with them is about to increase.

    I haven't changed anything.

    Just curious as to where this leaves me, legally.

    If they are changing their end of the contract, does this mean it can be broken?

    Thanks.
    Originally posted by ach5
    No it is within their T&Cs that they can increase charges within the RPI. The increase falls within that.
    • latecomer
    • By latecomer 28th Nov 11, 9:27 AM
    • 4,619 Posts
    • 2,626 Thanks
    latecomer
    • #3
    • 28th Nov 11, 9:27 AM
    • #3
    • 28th Nov 11, 9:27 AM
    whats the details of your contract? And whats the price increase?

    Normally if you have agreed to a fixed price contract then they cant change it in such a way as it costs you more although I'm sure there are some exclusions to this.
    • Buzby
    • By Buzby 28th Nov 11, 9:28 AM
    • 8,201 Posts
    • 3,011 Thanks
    Buzby
    • #4
    • 28th Nov 11, 9:28 AM
    • #4
    • 28th Nov 11, 9:28 AM
    A contract has nothing to do with the tariff charged for a service. You'll see (if you reasd the contract) that there are no figures quoted, this is to ensure these issues do not arise. Neither to contracts lock-in a particular price charged unless it is explicitly mentioned.

    What you describe is simply a standard price increase (which is allowed). The issue that will affect you is if the increase in more than 10%, if so, then you should be given an opportunity to terminate. This isn't enshined in law, but is usually stiplulated to ensure fairness.

    So, if the increase being advised in not 10% of the total standard cost of the contract over a year, then there is no issue.
  • Aboswell
    • #5
    • 28th Nov 11, 9:36 AM
    Orange Price Increase.....
    • #5
    • 28th Nov 11, 9:36 AM
    Anyone else had the Txt this morning from orange to advise that they are increasing Plan Tarrifs? Includes the link:-

    www.orange.co.uk/planupdate

    Apparently its in the T&C's which means i assume there is nothing we can do about it.

    Just another nail in Orange's coffin from me, rubbish signal, local mast always seems to be "Getting Repaired" according to customer services, and Orange no-longer honouring the 12m manufacturer warranty on phones anymore.
  • ach5
    • #6
    • 28th Nov 11, 9:37 AM
    • #6
    • 28th Nov 11, 9:37 AM
    They can put anything in the T&Cs, and there;s not much the consumer can do (come on, 99.9% of us never read them!!)

    It's a bit like those "End User Agreements" on software - has anyone ever read it?

    lol - thanks for the advice. I am happy with my contract, but just wondered what the law was.
    • grumbler
    • By grumbler 28th Nov 11, 9:39 AM
    • 51,709 Posts
    • 21,932 Thanks
    grumbler
    • #7
    • 28th Nov 11, 9:39 AM
    • #7
    • 28th Nov 11, 9:39 AM
    ... The issue that will affect you is if the increase in more than 10%, if so, then you should be given an opportunity to terminate. This isn't enshined in law, but is usually stiplulated to ensure fairness.

    So, if the increase being advised in not 10% of the total standard cost of the contract over a year, then there is no issue.
    Originally posted by Buzby
    I am pretty sure these 10% is an urban myth. AFAIK only Vodafone have this figure stipulated in the contract.

    What Orange's T&C say actually is:
    You may ...terminate your Contract if ... we have increased the Charges by an amount equal to or less than the percentage increase in the All Items Index of Retail Prices published by the Central Statistical Office in the Monthly Digest of Statistics in any 12 month period;
    Nothing about any 10%.
    Last edited by grumbler; 28-11-2011 at 10:01 AM.
    We are born naked, wet and hungry...Then things get worse.

    .withdrawal, NOT withdrawel ..bear with me, NOT bare with me
    .definitely, NOT definately ......separate, NOT seperate
    should have, NOT should of
    .....guaranteed, NOT guarenteed
    • ritesh
    • By ritesh 28th Nov 11, 9:40 AM
    • 355 Posts
    • 119 Thanks
    ritesh
    • #8
    • 28th Nov 11, 9:40 AM
    • #8
    • 28th Nov 11, 9:40 AM
    Interesting. I have received the text from Orange today as well. What if, as a result of the price increase, you are no longer able to sustain the payments. Just for arguments sake say you have already made allowances for variability of payments each month (say 10%) and with the introduction of the price increase means you are no longer able to afford the plan. Where do you stand?
    "I think I spent 72.75% of my life last year in the office. I need a new job!!"
    • shellsuit
    • By shellsuit 28th Nov 11, 9:53 AM
    • 23,017 Posts
    • 41,912 Thanks
    shellsuit
    • #9
    • 28th Nov 11, 9:53 AM
    • #9
    • 28th Nov 11, 9:53 AM
    I've just received a text from them about this.

    I'm in a contract to pay X amount a month, so how can they get away with raising that amount?!


    Right, just found this :

    As you probably know, inflation is at a 20 year high, which is having a significant impact on businesses and households alike.
    Unfortunately, we've had to re-evaluate our prices for the first time and are sorry to say that there will be a 4.34% increase in our monthly plan prices from 8 January 2012. This is lower than the Retail Price Index measure of inflation, which currently stands at 5.4%. Out of plan charges, such as calls, texts and data will not be changing.

    Can I cancel my contract because you're increasing my monthly service charge?
    No, our Pay Monthly terms and conditions allow us to increase charges by up to the RPI figure in any 12 month period. The increase in the price plan charges is less than the 5.4% rate of inflation as measured by the Retail Price Index (RPI) in October 2011.
    We can increase prices at any time on giving proper notice. In this case, the increase is less than the current rate of inflation and our terms and conditions state that we can do this without giving you the right to cancel your contract without paying the disconnection fee.

    http://link.orangeworld.co.uk/studio/paymchanges/planupdate/
    Last edited by shellsuit; 28-11-2011 at 9:56 AM.
    Tank fly boss walk jam nitty gritty...
    • centaurandrew
    • By centaurandrew 28th Nov 11, 9:55 AM
    • 60 Posts
    • 20 Thanks
    centaurandrew
    Just got the text as well, I'm assuming it will go to all Orange customers.

    Pretty sure that the contract term they quote could be construed as unfair (unequal bargaining power). For instance, what if a term of the contract was that they could increase prices above inflation? Is this still binding? If so they could pretty much put it up to whatever they want, whenever they want.
  • ach5
    http://link.orangeworld.co.uk/studio/paymchanges/planupdate/
  • ach5
    and from that site;

    Can I cancel my contract because you're increasing my monthly service charge?

    No, our Pay Monthly terms and conditions allow us to increase charges by up to the RPI figure in any 12 month period. The increase in the price plan charges is less than the 5.4% rate of inflation as measured by the Retail Price Index (RPI) in October 2011.

    We can increase prices at any time on giving proper notice. In this case, the increase is less than the current rate of inflation and our terms and conditions state that we can do this without giving you the right to cancel your contract without paying the disconnection fee.

    You'll find the details in section 4.3 and 15.1 here
  • kirstylb
    I was just about to start this thread too! Surely this cant be legal, I didnt sign up for a contract 2-4 extra every month! Surely there is some way in which they are breaking their T&C's!
    • shellsuit
    • By shellsuit 28th Nov 11, 9:59 AM
    • 23,017 Posts
    • 41,912 Thanks
    shellsuit
    I was just about to start this thread too! Surely this cant be legal, I didnt sign up for a contract 2-4 extra every month! Surely there is some way in which they are breaking their T&C's!
    Originally posted by kirstylb
    How much is your monthly contract?

    You can see how much it will go up by clicking the link in the first post on the thread.
    Tank fly boss walk jam nitty gritty...
    • DUTR
    • By DUTR 28th Nov 11, 9:59 AM
    • 11,788 Posts
    • 6,713 Thanks
    DUTR
    Although the other networks may follow, just so glad I left Orange, they were so good when Hans Snook was running the show.
  • kirstylb
    Okay slight exaggeration, It's going up by 1.50 per month as it is a 35 per month contract.

    Still surely this cant be fair to change your contract midway through! Ive still got 9 months left!
    • Stuart_W
    • By Stuart_W 28th Nov 11, 10:05 AM
    • 1,426 Posts
    • 689 Thanks
    Stuart_W
    Can I cancel my contract because you're increasing my monthly service charge?
    No, our Pay Monthly terms and conditions allow us to increase charges by up to the RPI figure in any 12 month period. The increase in the price plan charges is less than the 5.4% rate of inflation as measured by the Retail Price Index (RPI) in October 2011.
    We can increase prices at any time on giving proper notice. In this case, the increase is less than the current rate of inflation and our terms and conditions state that we can do this without giving you the right to cancel your contract without paying the disconnection fee.
    You'll find the details in section 4.3 and 15.1 here
    by www.orange.co.uk/planupdate
    No chance of cancelling. They've already thought of that, and what they says holds true to their T&Cs. This is what we agreed to when we joined. My 5.00/month contract is now 5.21/month. Time to start cutting back.
    • will-he-payitoff
    • By will-he-payitoff 28th Nov 11, 10:06 AM
    • 703 Posts
    • 193 Thanks
    will-he-payitoff
    Have not had a txt yet, but my increase will only be 96p a month so its hardly going to break the bank.
    • danjourno
    • By danjourno 28th Nov 11, 10:08 AM
    • 79 Posts
    • 39 Thanks
    danjourno
    Just got my text!

    What a con! I'm extremely annoyed (p***ed off is a better word).

    Its only about 2 a month extra, but its the principle of it!!

    plus.... next month, you'll hear about Orange's record profits or something similar.
    Last edited by danjourno; 28-11-2011 at 10:11 AM.
  • stevej999
    Last straw with Orange for me. As soon as my contract is up I'm off!!
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