Can You Break Your Mobile Contract Mid-Term?

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       Can You Break Your Mobile Contract Mid-Term?

Are you in the middle of a phone contract but want to switch mobile network? We look at whether you can break your contract early and what will happen if you do.

There could be any number of reasons that you might want to switch mobile phone network providers; perhaps you’ve found a better deal elsewhere, the prices on your tariff have increased, you want to upgrade your phone or you’re just not happy with the level of signal or customer service on offer.

If you use a pay-as-you-go service then it’s quite simple to switch as you aren’t tied in to any agreement; however if you have signed a contract with your mobile provider, you’ll find it a little stickier to get out early.

What can I do?

If you want to cancel your contract mid-term, the first thing to do is contact your service provider and suss them out to see what their policy is on ending a contract early.

Bear in mind that it’s likely that you will be charged a termination fee, which is usually equivalent to how much it would cost to see your contract through to the end, regardless of which network your deal is with – as such cancelling becomes essentially pointless as you'll be paying out for something but getting nothing in return.

In some cases your provider may allow you to downgrade your tariff to the cheapest package available – which will be the bare minimum service with no added extras – for the remainder of your contract term. However different providers have different policies on this; for example O2 do not allow any down-grades within the first 6 months of the contract. Also, you'll usually only be able to drop down one package per month.

In most situations dropping to the lowest possible tariff will be the best course of action if no other solutions are available; you’ll be paying out the cheapest possible amount until your contract ends. However it’s worth noting there may restrictions on this if you’re getting other free services such as a landline or broadband, and depending on the free phone you were given when you took your contract out.

Why can’t I end my contract early?

What it comes down to is that any contract you have entered into with your mobile service provider will be a legally binding agreement, and as such you won’t be able to cancel your contract until the end of the agreed term without paying for it. However although you might not be able to cancel outright there may be ways to control the amount of costs you’ll incur.

As your contract is an agreement between you and your mobile provider, if your service has changed from that set out in the contract then you could use this as grounds for claiming that your provider has breached the contract.

For example, your provider may have recently upped the roaming charges on your mobile. Even if this is covered by a clause in your contract, your provider may be a little more lenient on you in terms of levying charges if you make it clear you believe they have breached the contract agreement. It’s a good idea to check the small print of terms and conditions on your contract.

What else do I need to know?

If you are having a particular issue with the services offered by your mobile provider it is worth making a formal complaint to them in writing. This may also limit the cost of terminating your contract; particularly if your provider is unwilling to resolve the problem.

Occasionally another mobile company may offer to pay off the remainder of your contract if you agree to switch to them (usually for another contract of at least 18 months), though this certainly isn’t offered as a matter of course.

The only completely viable way to get out of a mobile contract before the end of the agreed term is if you’re still within the ‘cooling-off period’. This usually lasts for about 7-14 days after your mobile contract begins – if you decide to cancel within this period, you won’t incur any costs. For most of us, however, it’s a case of persevering with your mobile provider until the end of the contract while paying out for the lowest tariff possible.