Increase in Tariff Cost

[Anonymous]

Can someone please clarify for me.....

I have received an email to say that the tariff i am on will soon increase in cost.  I took out a 24-month contract with O2, so am shocked to see that the cost is increasing!!  Does this not completely go against the point of having a contract??  All of the terms are clearly stated (i.e. the cost per month, the term, who and when...) and then signed. 

Unless someone is about to copy and paste the tiniest piece of smallprint in the world, i think we're all being had!!  If O2 can increase is by 50p today, can they increase it by £50 tomorrow??

And, if they can make changes, can i change my contract duration to say, 1 month??

[sheepdog]

Generally you'll find that all o2 have to do is publish it on the website or publish it on an accessible media such as a newspaper. This happens quite a lot with other companies outside of telephony. If you miss it then they've done the minimum they need to to comply with regulation. 

What you'll find that unless something major changes within the T&C's your current T&C's will continue on. As I mentioned before, some have kept their tariff to include unlimited data or ITS whereas upgrading (rather its a renewing) a contract puts you onto the new set of T&C's at which point you lose that. Perhaps CS don't point that out too often and definitely one to feedback.

BTW, the forumites here do pick up on the T&C's and have regularly pointed out the changes when they happen. I have found that o2 have made quite significant improvements to the clarity of their T&C's over the years. I'm not saying its fair or defending them but all the networks are the same and have been far more restrictive for longer. For example, Vodafone didn't allow any downgrade of tariff way back in 2009 whilst o2 only just removed this element this year. 

[Anonymous]

I totally understand that increases are needed, however most other consumer facing companies negotiate these, not just impose and I'm on SIM only so I can buy my new phone as and when I wish to upgrade, so not subsidising the handset. Talking of subsidising, if it the parent company with the debit, why o why should the UK be their cash cow, oh yes the rest of Europe is in meltdown and bankrupt, so get the good old UK to pay up...

[Liquid]

The amount of money they'll raise from this won't even put a scratch in Telefornicas debt.

Besides I imagine it will be used to plug their own shortfall.

[Anonymous]

I'm sure that there is a billion excuses they can give for increasing the prices.

However when all is said and done, although they're a service company they are a business.

The goal of any business is to make money. With profits falling and market saturation they have to come up with new ideas to make money.

It just so happens that they've come up with an idea that every other phone company has done, which is to increase the price "mid-term".

It's always been in the Ts and Cs that they can, but this is the first time in a number of years that they've raised the prices.

People don't tend to get so up in arms when Tesco knocks thier prices up a penny or two here and there and it makes them an absolute killing, but when a phone company does all hell breaks loose and everyone gets their knickers in a twist about it.

And no-one bats an eye lid when the gas and elec company do it, and they don't just put 2-3% on!

[Anonymous]

We are not in a contract with Tesco and can shop elsewhere if they put prices up, where as we have no option but to pay o2 the extra. Personally I don't think this should be allowed or at least it should be explained far more explicitly upon signing a contract.

[Anonymous]

Unless you signed your contract the very day it got announced that there would be a price increase, how would the shop/telesales staff know that it was going to happen? 

Like I said before, its been in the Ts and Cs for a very long time without ever having happened.  If sales staff talked you through every little bit of detail in the Ts and Cs you'd be there all day.  Thats why you get a copy sent to you at the outset and given time to read over before your cooling off period expires. 

[Liquid]

I can understand where people are coming from but the unfortunate bit is that we agreed to it on signing up. Once you hit legal age to sign a contract the assumption is that your mature enough to read what your getting into. Main reason under 18s are not allowed to sign contracts

[Anonymous]

I'd like to think I am mature enough to know what I'm getting in to! ! But I'd love to know the percentage of o2 customers who know the headline price they are sold is in fact subject to mid term increases. Obviously the sales staff can't see in to the future and know when price increases will occur, but I think it could be made more obvious that its a possibility.

[adamtemp64]

So just read the full T&C as advised in the brief ones issued in store.

No O2 contract has ever stated fixed price and I have been with them since the formed.

[Liquid]

Hmm got to agree there. I doubt the workers at O2 found out much if at all before the customers did.