[Sony Fan]

I'm with Vodafone on an 18-month contract but I've seen a new offer from O2 which I quite like. My existing contract lasts until December 2008 but I'm quite tempted to just cancel my direct debit to Vodafone and see what they do.

Has anyone out there tried this approach to swiitching phone providers?? If so can you tell me what happened?

[intheknow]

You will still owe them the money. You had an agreement to pay them xx per month for 18 months so that they can fund the cost of the service and the phone they gave you, which would otherwise have been much much more expensive.

They will write to you asking you to sign another DD, then they will send you a letter asking for payment, then they will cancel your service and make an adverse entry on your credit file whilst handing the matter over to a debt collection agency.

[chris4817]

I can't believe people actually post things like this. What do you think will happen?

Why don't you do it and let us know how you get on in about 6 months time when you can't get another contract with anyone, or any credit at all actually.

[BoBaDoB]

well you will end up in arrears with them, then after 3 missed payments the contract will be canceled and you will recieve a final bill with the total ammount of line rental due for the remaining months. if it isnt paid within 2 more months it goes to debt collection

so all in all if you are on a £30 p/m pp then you are looking at a bill of £400+

[Finglonga]

...Plus when it goes to debt collection the final total will go up day by day untill it is paid in full.

Er......how can you be on an 18month contract that ends Dec 2008? I make that a 25month contract?!?!?!

[intheknow]

They obviously meant 2007, I notice they haven't come back !

[Finglonga]

Quote:

Originally Posted by intheknow

They obviously meant 2007, I notice they haven't come back !

Probably cancelled the DD for the elictricity bill by mistake.

[flagpole]

I'm thinking of not paying my mortgage because i've seen a cheaper house.

[intheknow]

Quote:

Originally Posted by Finglonga

Probably cancelled the DD for the elictricity bill by mistake.

Or the broadband connection

Quote:

Originally Posted by flagpole

I'm thinking of not paying my mortgage because i've seen a cheaper house.

Lol

[Sony Fan]

Thanks for your 'input' guys. And yes you're right, I did mean to type 2007 instead of 2008.

BUT, to re-state my original question: Has anyone out there actually tried this approach to switching phone providers??

Quote:

Originally Posted by Sony Fan

Thanks for your 'input' guys. And yes you're right, I did mean to type 2007 instead of 2008.

BUT, to re-state my original question: Has anyone out there actually tried this approach to switching phone providers??

You can't switch providers in the middle of a contract. You have to wait it out or pay it off in full.

[BoBaDoB]

Quote:

Originally Posted by Sony Fan

Thanks for your 'input' guys. And yes you're right, I did mean to type 2007 instead of 2008.

BUT, to re-state my original question: Has anyone out there actually tried this approach to switching phone providers??

many people do it to incite a reaction with the networks, and it fails as they end up having a bad credit history for a long time. ul really just because you see a better deal some where.

its always going to be the case what ever you do, there is always a "better" deal else where. just wait like most other people do or i would say you will have an interesting next few months

[Sony Fan]

Quote:

Originally Posted by ryanwilliams479

You can't switch providers in the middle of a contract. You have to wait it out or pay it off in full.

I think this the basic assumption that most of us have, and under the terms of the contract I'm sure they can mark your credit history, threaten legal action etc. etc. BUT there's always loopholes and ways out of any situation if you know what to do. Which (as I've said before), is why I am keen to hear from anyone who has actually tried cancelling their direct debit and has seen how their phone company reacted.

Quote:

Originally Posted by Sony Fan

I think this the basic assumption that most of us have, and under the terms of the contract I'm sure they can mark your credit history, threaten legal action etc. etc. BUT there's always loopholes and ways out of any situation if you know what to do. Which (as I've said before), is why I am keen to hear from anyone who has actually tried cancelling their direct debit and has seen how their phone company reacted.

Yeah but cancelling your DD doesn't cancel your contract. Just means you owe the network money as they can't take it fro you bank and they will want to reset up the DD.

[midlands_lad]

You'd have been required to pass a credit check before taking out a contract with Vodafone based on you having a good credit history.

Taking this into account, if you cancelled your direct debit and refuse to pay then you will have your details passed on to a debt collection agency by Vodafone. The non-payment will also feature on your future credit history, causing you problems when applying for credit or taking out a mobile phone contract in future, so it will cause you plenty of unwanted problems somewhere down the line.

Working for Vodafone I've seen this from both ends of the scale: you can be passed on to a debt collection agency due to non-payment, while potential new customers are unable to take out a contract with us because of their past credit history.

[Finglonga]

The key word here is CONTRACT, you have entered into a 18month contract and they are the only people that can cancell it.

However you can take another contract out for the tariff you want but you will need to continue the old one untill it expires.

[crowby1]

Quote:

Originally Posted by Sony Fan

I'm with Vodafone on an 18-month contract but I've seen a new offer from O2 which I quite like. My existing contract lasts until December 2008 but I'm quite tempted to just cancel my direct debit to Vodafone and see what they do.

Has anyone out there tried this approach to swiitching phone providers?? If so can you tell me what happened?

This annoys me when I read it. I worked for an Insurance company in the call centre and some dumb people would often cancel their direct debit to cancel their insurance. Never occuring to them to ring the company themselves and advise they wish to cancel their contract. Of course as with cancelling most 12 month insurance contracts, there are penalties.

Cancelling your DDI doesn't make you excempt. Far from it. It goes down as a bad debt against your name and will stop you getting credit elsewhere.

[iDan]

If you want to cancel your contract, there's two ways to do it:

1) lower it down to the lowest price plan and just pay it, get your contract elsewhere (cheapest option)

2) get your 'buy out' price from Vodafone, bear in mind this is likely to be about £700 though

or, the third option: cancel your direct debit and suffer for years down the line.

[Sony Fan]

Quote:

Originally Posted by midlands_lad

You'd have been required to pass a credit check before taking out a contract with Vodafone based on you having a good credit history.

Taking this into account, if you cancelled your direct debit and refuse to pay then you will have your details passed on to a debt collection agency by Vodafone. The non-payment will also feature on your future credit history, causing you problems when applying for credit or taking out a mobile phone contract in future, so it will cause you plenty of unwanted problems somewhere down the line.

Working for Vodafone I've seen this from both ends of the scale: you can be passed on to a debt collection agency due to non-payment, while potential new customers are unable to take out a contract with us because of their past credit history.

Thanks for the info Midlands_lad.

Interestingly, accoring to a recent report "Unpaid bills and defaulting customers are costing mobile operators around $26 billion* every year with around 5% of total billings being written off annually" so clearly a few million people are getting away with non-payment.

Don't get me wrong, I'm not advocating that people try to rip their phone company off (as some have assumed) merely trying to understand what action non-payment would trigger.

So, if anyone out there has actually tried just cancelling their DD please post here!

[KIIS102]

The ones who prolly have the debts written off are the ones that cant afford to pay for the contract any longer, but obviously you can as your willing to change to another deal :\ they wont go easy on you me thinks

[iDan]

No chance, the whole point of a contract is that it is that! it's a contract, legally binding...

Quote:

Originally Posted by Sony Fan

Thanks for the info Midlands_lad.

Interestingly, accoring to a recent report "Unpaid bills and defaulting customers are costing mobile operators around $26 billion* every year with around 5% of total billings being written off annually" so clearly a few million people are getting away with non-payment.

Don't get me wrong, I'm not advocating that people try to rip their phone company off (as some have assumed) merely trying to understand what action non-payment would trigger.

So, if anyone out there has actually tried just cancelling their DD please post here!

That same report also states

Quote:

Traditional methods to collect debt are most widely used - phone, letter, litigation and door-to-door visits.

so if you're part of the 95% of billings they do manage to collect every year, but you fail to pay when billed, expect phone calls, letters, litigation, and/or a knock on your door!

[intheknow]

Everyone else pays for all the costs of chasing people, extra admin and the people who keep moving address as well.

[BoBaDoB]

i have seen the effects of what happes to people who actually cancel there dd and refuse to pay any more money, they forget about the bill for a few months then one day they get a legal action notice through there door. at that time any chance of being able to get credit will just be 0. You will call vodafone trying to get them to remove it from your record and they will refuse, meaning that if you want credit any time in the near future you will not get it. You may get a deal as to pay the debt collection not much per month but Vodafone will get there money and you have lost out.

i am talking from experience also as i used to work in account managment, when people canceled DD's they never thought through the consequences and always regretted it when it came to a later time.