Hi, I have an iPhone 3G, I got it December 2008. After my 18 month contract expired I took out a 12 month simplicity contract. When that came to an end I decided to upgrade my phone for a Nokia N8 and it was on a new contract (£35 a month). I sent the phone back becuase it just wasn't that good, and asked to cancel my contract. This was confirmed and I was sent a PAC code. I didn't use the PAC code straight away as I had to wait to receive a new SIM card from another provider. I was charged £68 last month with extra charges etc for the whole debacle, but now this month I have a statement for £477, which quite frankly I cannot afford. Is this charge justified?! I cancelled my new contract within 14 days and it was confirmed over the phone that I would only be paying for the pro rata use of the phone and any charges for going over my alowance. Because I was in the 14 day cooling off period I asked if there would be a cancellation charge, I was told 'No' by a rather unhelpful member of call centre staff. Any advice?
If in the 14 day cancellation period, and he phone has been returned then it sounds like the charge was computer generated in error (the contract commitment having not been removed). If you call and inform them and let them check the account they will cancel th charge.
The charge was raised correctly. When a contract is cancelled by the use of a PAC Code, it will always raise termination fees unless outside the minimum term. That being said, because you returned the phone within the first 14 days of the new contract, the cancellation fee should still be removed. The termination fee should have been explained - and removed - by the advisor that ordered your PAC code.