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Watch Dog: Cash-Back Deals Should Make the Alarm Bells Ring

Posted on: Tuesday, 15 November 2005, 06:00 CST

By With Consumer Editor Catherine Hendrick

THEY'RE the cash back deals that make it virtually impossible to get your cash back!

People across the West Midlands are signing up for tempting mobile phone offers which promise perks like a refund of half your line rental money if you stick with a service for six months.

But the deals, which tend to be offered online by smaller players in the mobile phone market, are often so complicated it's difficult to actually get any money back, Birmingham Trading Standards warns.

In one case customers had to prove they'd been connected to a mobile service for more than six months - to the mobile phone service itself! They also had to send in seven months' worth of statements. But by the time the seventh statement arrived, they found it was too late to qualify.

If a statement arrived late the company refused to "process it" and customers failed to qualify for the cash back deal, which can typically be worth around pounds 150.

Such outrageous clauses tend to be buried in the contract's small print.

In other cases people have discovered companies promising them cash back have gone out of business when they try to get their money.

The number of complaints to Trading Standards about phone services is on the up with officers handling 2,000 cases in just one year.

A large number of problems are caused by people not realising what they've agreed to. Chris Neville, Birmingham Trading Standards' consumer advice manager, explains: "Some people may have been told when they bought their phone that their calls would be cheaper and they would get so many free texts and minutes.

"But when their bill arrives, they realise that's not what they're getting and they're paying more than they expected.

"They can be told one thing by a sales person, but their contract says something different and it's the contract which counts."

People are also being caught on insurance policies for mobile phones.

"Some of them contain so many exclusion terms they're almost not worth having," says Chris Neville.

"Again it comes down to making sure you know what you're signing up to."

Coun Neil Eustace, chairman of the council's public protection committee, adds: "Complaints about cash-back deals, tariffs and changes to supplier without consent, known as slamming, are on the increase.

"Don't agree to anything unless you are absolutely sure it is what you want and always read the paperwork before you sign it.

IT'S YOUR CALL - DON'T LOSE OUT

Remember it's what's said in the contract that counts - not the promises by over-enthusiastic sales people.

n Don't forget to print off a copy of the paperwork/contract if you buy online.

n If you buy a mobile phone from a doorstep salesman, by phone or over the internet you have a seven day cooling off period to change your mind.

n Be warned. You may be making monthly payments but if you've signed a 12-month contract, you have to pay for the full year

If you have a problem

You must follow the company's own complaints procedure first.

n If you're still not happy, turn to the Office of the Telecommunications Ombudsman (Otelo) or the Communication and Internet Services Adjudication Scheme (CICAS), who can investigate disputes and compensate customers.

.Contact Otelo on 0845 050 1614 or click on www.otelo.org.uk. CICAS is on 0207 421 7432 or click on www.arbitrators.org/cisas/ index.asp

Source: Evening Mail; Birmingham (UK)

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