Upgrade, but via a third party

[Mark_Flackwell]

I have a number of phones on O2 contracts, one of which is now telling me that it is eligible for upgrade, though it does still have 6 months to run on the contract.

I normally use a third party provider to source my phones and contracts, as this always proves to be cheaper than using the upgrade options with O2.

The problem, as I see it, is that a new phone will come with a new contract, but I will be porting an existing number to the contract.  Will this incur an early termination fee if I go this route?

Thanks in advance.

Mark

[gmarkj]

Not an early termination fee as such @Mark_Flackwell.

 If you got the original contract with o2, then you just need to clear the device plan.

If you took it out with a 3rd party, then you would need to clear the remaining contract balance (monthly fee x months left).

Once either of those is paid then you can move the number to the new deal.

[Mark_Flackwell]

Thanks for the swift response, the third party deal was for a "free" phone with a simple air time plan with O2, so I am guessing if I transfer the new number then I have no air time contract break? Is that right?

[MI5]

@Mark_Flackwell 

There's no such thing as "free".

The cost of the phone is woven into your overall monthly cost.

To cancel early you will pay your monthly fee multiplied by the number of months remaining.

[gmarkj]

As @MI5 says @Mark_Flackwell, the single monthly cost is for both the phone and airtime.

So the termination fee would be number of months left x monthly cost.

For instance - I am looking at a new deal for an Xperia 1ii on mobilephonesdirect.

It is £95 up front and £26 pm for 24 months.

If I want to swap to a new deal after 18 months I will still have 6 months x £26 to pay in order to exit early (£156).

If I took a deal with o2 for the phone, I would only have to pay the phone balance to leave and not the combined amount.

This is why o2 offer refresh deals (where they split the airtime and phone to two parts) - to incentivise paying up early by only clearing the handset balance.

[Mark_Flackwell]

Sorry, but I should have thanked you for this, really useful info and means that I will delay with my wife's phone

Mark