O2 Debt Collection - Dispelling The Myths

[Anonymous]

We have seen numerous threads on here from members who say they didn't realise they owed o2 any monies after their contract ended.

Some said they weren't aware.
Some said they weren't contacted.
Some had defaults on their Credit File.
Some thought bailiffs would come a knocking.

So to dispel the myths, here is what actually happens when someone ends their agreement with o2 but doesn't clear the debt. .......

Firstly it is important for people to understand that o2, like most major companies dealing in consumer markets, update credit files every month with your payment history. This helps to reduce fraud and losses. If you don't pay your bill on time (or within a few days) your credit file will show this.

At the end of your agreement:

O2 will first issue a final bill and that will be sent by the same format as previous bills, usually electronically.

In the event of non payment, o2 will try to contact the debtor by the method the customer requested at the beginning of their agreement i.e. by email or by letter. O2 will try up to 4 times to contact the debtor.

Due to the volumes, o2 will not chase small debts by telephone. The cost to do so would be enormous and born by ongoing customers.

In the event of non payment, like most companies who offer services on any form of credit or under contract to consumers, o2 will update the payment records with the major credit reference agencies.

When consumers like you and I seek to borrow money or start a new contract for goods or services, a credit check may be taken. If a debtor has default(s) on their credit file this will show up. It is then up to the company to decide if they want to supply you or not.

O2 may, if the outstanding debts warrant this, pass the debts to 3rd party debt collection companies. These companies use a variety of methods to contact the debtor and try to reach an acceptable payment plan. Note these companies are not bailiffs. Nor do they have bailiff powers.

Ok so now we know what o2 do, let's dispel some of the myths. Let's see what o2 DON'T do. .....

O2 do not employ bailiffs.
O2 do not sell the debt.
O2 do not instruct bully boy doorstep debt collectors.
O2 do not destroy credit files.

Remember, if you owe the debt, pay it. Leave your direct debit in place until the final payment has been collected. If you can't afford to pay the final balance in one go, talk to o2 and discuss a payment plan. But please, don't ignore it. It won't go away and as we have seen before it can result in problems later down the line which will cause the debtor stress and hassle which could do easily have been avoided.

[Anonymous]

Hi all

I have had correspondencefrom the Ombudsman regarding my complaint where I mentioned this "myth dispelling thread".

The response is as follows -

"You responded to O2 on 17 December 2015 quoting a “Debt Collection – Dispelling The Myths” section from its website. Having reviewed this I have found that this is not a communication from O2, rather, it was a post made by another O2 customer on O2’s forum and some of the advice within this post, mainly regarding the amount of times O2 would contact customers, is not reflected in O2’s terms and conditions."

So I am a bit lost at the point of the original post as it is not accurate and , infact, creates myths rather than dispels them? What was the source of the assertions in the original post? It is simply misleading and plain wrong.

PS - Please dont consider this as a pop at you Piperdog as I see you are very helpful and doing your best to help people. I am just curious as to where you have got your info from? If it is from an official O2 source then that would be very helpful to me.

[MI5]

The original thread poster no longer contributes to this forum unfortunately so just letting you know that you may not get an answer.
If you send a private message to @Toby he will check any info for you.

[Anonymous]

Ok - thanks MI5.

[PhoneDoc]

Very informative post @Anonymous. Thanks for taking the type to write it!

A year ago I sold a phone on eBay for the first time. I assumed any seller fees would automatically be deducted from payment, I was wrong. I also had an old email address, that I no longer used, registered with eBay. To my surprise I got a letter from a debt collecting agency months later, asking for payment. I logged into that old email address, and sure enough, literally a dozen emails from eBay patiently asking for payment over the space of several months.

Just goes to show, these things can happen easily and inadvertantly if you're not careful. Fortunately I learnt my lesson the easy way, as no credit agreements were involved.

Edit: this threads a year old. whoooops...

[Beenherebefore]

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@PhoneDoc wrote:

Edit: this threads a year old. whoooops...

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Another mistake that's easily made !

[Cleoriff]

Yes @Anonymous moved to BT so no longer posts on this forum as said above by @MI5.....a sad loss really.

[Anonymous]

Sadly Piperdogs post is not correct in this instance. O2 didnt make the slightest effort to contact me and admitted so.

As the Ombudsman states

"You responded to O2 on 17 December 2015 quoting a “Debt Collection – Dispelling The Myths” section from its website. Having reviewed this I have found that this is not a communication from O2, rather, it was a post made by another O2 customer on O2’s forum and some of the advice within this post, mainly regarding the amount of times O2 would contact customers, is not reflected in O2’s terms and conditions"

So it appears that Piperdog is creating myths rather than dispelling them in this instance.

[Movieworld]

I can clarify this here. I am currently in contract with 02. I missed ONE payment due to a short term cash flow problem. Naively I thought I could simply pay the outstanding balance the following month. Within 2 weeks of the missed payment o2 blocked all calls and recorded a default on my credit file. On August 12th I contacted them by phone to explain there was a short term cash flow problem and that I would pay the bill in full on August 28th(payday). They removed the block and agreed that was fine. I promptly payed all outstanding balance on August 28th as agreed. You can imagine my surprise when on August 30th I received a letter saying that o2 were cancelling the credit agreement and required full payment of £858 which I presume is the remainder of the handset cost. I have been with o2 for years. Brutal, unfair and stupid behaviour

[jonsie]

Try calling them and set a direct debit in place and they will normally let you carry on with the monthly contract