Cancelling T-Mobile Contract Early

[d3003]

I recently lost my job as the company I was working for went bankrupt, so I have had to sign onto Jobseekers allowance and now get £91 a fortnight.

 

I have had my contract phone over 6 months now, however it is an 18 month contract at £35 a month.

 

I am currently late paying last months bill, £52 and also have another £35 to pay at the end of this month, which I am unable to afford because of other things that need paying.

 

I was wondering if I would be able to ring T-Mobile and cancel the contract, then pay off the money currently owed and what they would charge me for the rest of the contract in £25 a month installments?

 

As that is all I can really afford at the moment as I have other things to pay.

[installspark]

I was wondering if I would be able to ring T-Mobile and cancel the contract, then pay off the money currently owed and what they would charge me for the rest of the contract in £25 a month installments?

 

As that is all I can really afford at the moment as I have other things to pay.

 

You will be able to cancel your contract early, subject to the 30 day required notice and early termination fees. This can be done over the phone, but I suggest that you also send the notice in writing as well.

 

In respect of the charges these will all be billed on the final bill an will comprise of any balance outstanding, outstanding call/text/data charges and the early termination fee. The early termination fee will be the number of months remaining on the original contract period by the contract price. In your case you will expect to see a final bill of approx £507 excluding call/txt/data charges. This would normally be claimed in full 14 days after billing, so cancel your DD with the bank.

 

T-Mobile should be able to accept a payment plan to clear this balance once the final billing has been done. I would recommend that you do a full income and expenditure to make a realistic proposal as to how much you can comfortably afford to pay each month as £25 pm is 12.68% of your current income.

[buzby]

Also be prepared for T-Mobile to show on your credit file that your contract was terminated by them and that you owe them money. This will be seen by other lenders, and is hardly ideal.

 

A better solution is to try and transfer your contract to someone else (a family member) which will get you out the loop. Alternatively, there are websites like CellSwap UK which try to match up people wanting rid of a contract with those who want one cheaply.

 

Good luck!