New calculator might save Britons £200 a yr on their cell phone invoice

Virgin Media O2 has launched a brand new online calculator to assist customers shortly and simply verify in the event that they’ve overpaid for his or her smartphone – doubtlessly saving them a whole lot of kilos a yr.

Armed with fundamental data reminiscent of their cellular community supplier, present gadget, month-to-month invoice quantity and contract begin date, people will be capable of use the calculator to search out out precisely how a lot they may have overpaid in just some minutes.

The outcomes will then give customers the clear data they should cease overpaying sooner or later by negotiating a brand new deal or shifting supplier.

Gareth Turpin, chief industrial officer at Virgin Media O2, mentioned: “Charging consumers for phones they already own is just plain wrong – yet millions of us are being swindled by other operators that do just this.

“Since we first exposed this issue in May, consumers with other operators have spent more than £100million paying for phones they already own. Now, armed with our new easy-to-use overpayment calculator, we’re putting clear information into consumers’ hands, helping demystify bundled contracts and exposing just how costly they can be if no action is taken.”

Mr Turpin added: “The other operators could help stop this with three simple steps – provide split mobile plans; introduce automatic roll down to an airtime only plan; and provide clear information once a phone has been paid for.

“We hope they’ll join us in doing the right thing for their customers.”

The launch comes simply three months after Virgin Media O2 referred to as on the trade to finish what it’s calling the “Smartphone Swindle”. This refers to an investigation carried out by the agency that discovered three of the 4 UK cellular community operators had been overcharging hundreds of thousands of consumers for telephones they already personal.

This occurs when operators bundle collectively prices for minutes, texts and information with the price of the handset and supply prospects with a really small low cost – if any – on the finish of their contract.

The investigation, which came about in April, noticed Virgin Media O2 ship unbiased, skilled thriller buyers onto UK highstreets and operator’s web sites posing as new prospects trying to take out a contract on a brand new handset. The buyers discovered break up contracts to be considerably exhausting to pay money for and as a substitute, had been being pushed to enroll in bundled packages. 

Virgin Media O2 evaluation estimates that is costing hundreds of thousands of customers throughout the nation over half a billion (£530million) yearly with the common individual worse off by greater than £200 a yr.

While excessive dwelling prices proceed so as to add stress on family funds, three-quarters (75 %) of Britons surveyed by the supplier mentioned they’re actively trying to save on their cell phone invoice but over 9 in 10 (93 %) had been unaware they could possibly be overpaying for his or her units.

After discovering out they had been liable to paying over the chances for his or her handset, eight in 10 (81 %) reported feeling ripped off by their present supplier.

The calculator goals to “put the power back into consumer’s hands” by outlining the potential affect overpaying is having on an individual’s funds after which clearly outlining the straightforward steps they will take to save lots of a whole lot of kilos on their cell phone invoice.