topic An attempt at understanding the Refresh Programme and the O2 Recycle program. in Discussions & Feedback

An attempt at understanding the Refresh Programme and the O2 Recycle program.

Anonymous — Fri, 09 Sep 2016 09:22:38 GMT

Ok, so as most people know, with refresh the contract is spread over 24months and in order to upgrade the phone, you need to pay off the device plan.

However I recently was asked by a friend who is with another network, whether recyling the phone (before contract end) would offset the device plan amount.

E.g. an iPhone 6 16GB with a total device plan of £480, (with £160 paid already, leaving £320), if the phone was recycled through o2's recycle program (current price for 16gb is £210), that would leave £110 left for the user to pay, instead of the initial amount.

Technically O2 don't lose out in any form as they would gain a device they can refurb and sell on, and they keep the customer by getting them to sign another contract etc.

In short, what I'm asking, is if a user chose to recyle the phone before contract end, would either of the following apply;

A) Would O2 allow this?

B) Would it offset the remaining device plan?

I've had a look around and cant seem to find any documentation to help me understand at the moment, but I figured it best to ask the community.

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

MI5 — Fri, 09 Sep 2016 09:28:35 GMT

Legally you cannot recycle the phone until you pay for it fully as it doesn't belong to you until that point in time.
In practice, as long as the device is fully paid for at some point, no one is gonna know.
You'd be best to recycle it and take the money yourself, then use it to pay off the device plan, that way you know its been done rather than by having a bill credit.

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

viridis — Fri, 09 Sep 2016 09:39:59 GMT

O2 offered to take my Z3 in while still under contract as I was gonna upgrade to S6 edge leaving just a little on device plan.
As it turned out tho, I went to game and got 5% more than CEX who were offering 50 quid more than O2 anyway.

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

Anonymous — Fri, 09 Sep 2016 15:28:32 GMT

Hmm, well I figured as much based on the ownership side of things, but I see your points.

It would be an interesting thing if O2 actually allowed this to happen, as I mentioned above, it's a practical win-win for them.

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

MI5 — Fri, 09 Sep 2016 15:30:34 GMT

Many have done it your way though but I just needed to point out the legal aspect.

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

adamtemp64 — Fri, 09 Sep 2016 15:45:08 GMT

@MI5 is it different for the old and new 12 month upgrade tariffs as it says you can sell and pay off if you can get more money etc?

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

MI5 — Fri, 09 Sep 2016 15:48:02 GMT

I'm not sure mate as I've not read the T&C's for all variations, but, if you "own" anything on credit, it isn't legally yours until it's fully paid for, even if you only owe a few quid on it.

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

adamtemp64 — Fri, 09 Sep 2016 15:50:32 GMT

just looked it up in new and it says at point 16

"Customers with an Existing Phone where the trade in value is higher than the O2 Payment may wish to trade in their Existing Phone through O2 Recycle and wait to receive the cash payment into their bank account and subsequently pay off their Outstanding Balance."

My old version had similar wording but is now ofline at the moment

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

MI5 — Fri, 09 Sep 2016 15:51:27 GMT

Only through o2 recycle makes sense.....

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

adamtemp64 — Fri, 09 Sep 2016 15:56:52 GMT

I guess it is still o2's property even with it being a 3rd party my 6s is now £335 with o2 recycle and plan payment will be £300 in 17 days time but would need a temporary handset to get the extra £35 etc

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

MI5 — Fri, 09 Sep 2016 16:08:41 GMT

Yeah and I guess it might drop below £300 by then too?

Re: An attempt at understanding the Refresh Programme and the O2 Recycle program.

Deag — Wed, 14 Sep 2016 09:56:35 GMT

Only time goods don't belong to you when bought in credit is when the agreement is Hire Purchase, these agreements allow you to hand back the goods with nothing more to pay if you have paid half the payments as you don't own them. O2 refresh is not hire purchase, they are just a loan for a handset, you own the handset immediately and have to pay off the whole amount.

As for recycling the phone it is only worth O2 taking the phone back in exchange for paying off the debt if they can sell the phone for more than the debt you owe them, that maybe the case for some iPhones but most other phones lose a huge amount of value when no longer new.