Continuing an O2 contract after 24 months Does the cost reduce?

[mcbrydc]

I will be at the end of my 24 month contract for iphone 4s soon.    At the moment I am considering staying with the 4s rather than upgrading to 5s.    On the monthly contracts, the initial cost of the phone varies with the tarriff chosen.   This led me to believe that part of the 24 monthly cost was payment for the balance of the cost of the phone.    Should my monthly costs reduce if I have already paid for the phone or must I just keep on paying the same amount ad infinitum?   

[jonsie · Accepted solution]

The tariff cost remains the same. However you will be able to lower the tariff if you so wish at the end of the contract or take a look at the monthly Simplicity tariffs. You would still be able to upgrade at a time of your choosing.

[perksie]

You can't make up your own contract terms, your existing one will stay as it is.

You can choose a Simplicity sim only deal to lower your costs as jonsie said.

O2 Refresh has been brought in to provide what you seem to think you already have, so to get a drop once you have paid off the phone or to get a new phone you can upgrade to a Refresh deal.

[Anonymous]

Switch to an O2 Refresh contract with your existing phone. That way when the phone contract ends all that you pay is the airtime contract until you decide to get a new phone. The Airtime and Phone contracts are effectively separate.

[adamtemp64]

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@Anonymous wrote:

Switch to an O2 Refresh contract with your existing phone. That way when the phone contract ends all that you pay is the airtime contract untill you decide to ger a new phone. The Airtime and Phone contracts are effectively separate.

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O2 refresh will not allow purchase of the airtime only without the handset agreement you would need to go the simplicity route.

[perksie]

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@Anonymous wrote:

Switch to an O2 Refresh contract with your existing phone.

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That's why we suggested Simplicity, your idea can't be done.

The phone and line contracts are only separate after buying a Refresh deal.

[Anonymous]

According to this link you can switch an existing contract to O2 Refresh. The closer that you are to the end of your existing contract the less it will cost you. If you are in the last month it should be free.

[adamtemp64]

And assumed you take a full refresh package airtime and handset agreement from the T&C

The following terms and conditions apply to tariffs on O2 Refresh:

1. O2 Refresh is a combined 24 month airtime and phone tariff which includes our standard Pay Monthly Mobile Agreement (our latest pay monthly mobile agreement) (the “Airtime Plan”) and options to pay for your phone upfront or to spread the cost on a Credit Agreement under the Consumer Credit Act 1974 (the “Phone Plan” – see example in the link below). Selected combinations of Phone Plans and Airtime Plans with selected handsets will include an up-front payment for the handset.

[perksie]

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@Anonymous wrote:

According to this link you can switch an existing contract to O2 Refresh.

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O2 Refresh would be a new contract, you cannot switch.