New proposals from the Government will protect consumers from huge bills run up on stolen mobiles.
Four mobile companies – EE, Three, Virgin Media and Vodafone – have agreed:
- To cap bills on a phone that has been reported lost or stolen - To stop unexpected mid-contract price rises by ensuring total transparency for consumers at the start of contracts - To help government in our aim to eliminate roaming charges by 2016
Culture Secretary Maria Miller said:
'We are ensuring hardworking families are not hit with shock bills through no fault of their own.
'Families can be left struggling if carefully planned budgets are being blown away by unexpected bills from a stolen mobile or a mid-contract price rise.
'This agreement with the telecoms companies will deliver real benefits to consumers and help ensure people are not hit with shock bills.'
It's about time
Responding to the proposals, our executive director Richard Lloyd said:
'It is about time mobile phone users got a fair deal so we welcome moves to cap victims' liability when their phone is stolen and we strongly urge all providers to sign up.
'We campaigned against price rises on fixed contracts so it's great news that people can switch without being stung by unfair exit fees. However, the Government must now also act on plans to scrap EU mobile roaming charges to end uncertainty about using mobiles overseas and cut off bill shocks.'
When your mobile phone starts to slow down and it generally begins to look a bit tired, you may be looking to upgrade to a new handset. But how do you make sure you’re getting the best out of your upgrade?
Our community tells us how locked phones have affected them.
Roel told us:
'EE/Orange have just asked me to pay £20.54 to unlock a PAYG phone. This is effectively a charge to prevent me from switching supplier.'
KC had a similar experience:
'Having been an Orange business customer for more than 10 years, being well out of contract and rarely changing phones I just asked about getting it unlocked so I can use a foreign SIM whilst abroad. Orange told me that there is a £20 charge for each phone and it takes 20 days. Apparently my loyal custom means nothing as there is no chance of waiving the charge.'
A recent YouGov survey for mobile operator Giffgaff finds that almost a third of mobile users aren’t sure if liberating your handset (from the network it’s initially locked to) is legal.
Almost all operators lock phones to their networks for various reasons. The most common excuse is that they’ve paid a large subsidy for the handset, and so lock the phone to their network to ensure they recoup their investment.