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T68
Level 1: Cadet

Phones out of 24 month contract

Answered

Hi,

I have two phones on my account which have been out of contract since end of November. They are both on $70 Go Mobile plans. We want to keep the phones for now. 2 billing periods have passed and we are still being charged the same price for the two phones despite being out of contract. Is it meant to get cheaper as the handset is paid off or do the phones need new plans?

1 ACCEPTED SOLUTION

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Level 22: Superhuman
Accepted Solution

Re: Phones out of 24 month contract

Good morning

When you come out of contract, you can stay on the same plan.  You do not have to take a new contract.

If the actual hardware/phone is now fully paid, that "component" of your charges is meant to cease.

Thanks

 

A "Like" is always appreciated. If my advice is a solution, please mark it. I'm not a Telstra employee.
50 + years exp. in radio comms., eg mobile phones since 1963, two-way radios, base stations, antennas & pagers. My motto: "Doing the right thing is never wrong".

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4 REPLIES
Level 22: Superhuman
Accepted Solution

Re: Phones out of 24 month contract

Good morning

When you come out of contract, you can stay on the same plan.  You do not have to take a new contract.

If the actual hardware/phone is now fully paid, that "component" of your charges is meant to cease.

Thanks

 

A "Like" is always appreciated. If my advice is a solution, please mark it. I'm not a Telstra employee.
50 + years exp. in radio comms., eg mobile phones since 1963, two-way radios, base stations, antennas & pagers. My motto: "Doing the right thing is never wrong".
Support Team
Support Team

Re: Phones out of 24 month contract

Hi T68,

does the bill show a handset repayment being charged? If it does, please have a chat with our billing team via http://tel.st/hsc3 or 132200, and we can check this out for you.

-Ern

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Paddypat
Level 1: Cadet

Re: Phones out of 24 month contract

Telstra did/does this sneaky thing with some of their mobile contracts that included a handset. The cost of the plan includes the phone, & if you cancel early you still have to payout the handset. However, on the monthly statement, the handset charges are included/bundled as one item, & not itemised separately. When your contract is over, the handset is paid & yours, but as you didn't cancel or update the contract (or move to a new plan), Telstra continue to charge the full monthly fee. It is not until you dispute this charge, that their contract becomes clearer - they gave you the handset for "free" & charged you for the plan. If you cancel the plan early, they then charge you for the handset. However, i believe it is unscrupulous & misleading of Telstra to give the impression that a phone plan is bundled with a handset as a hardware cost that is repaid over the life of the contract. Either, the plan isn't worth the access that is provided & is arbitrary & you're charged $70/month regardless & Telstra write off the cost (to them) of the handset; OR the cost of the handset is paid out of the plan (@ say $20/month) & you get $50/month access, which is similar value to a "pay as you go sim only" plan - which is how handsets were originally flogged; with the monthly fee reverting to access only once the handset was paid off.
I believe Telstra know that this is bad karma, & when questioned will provide credit, but will still rake in millions from those that don't.
Telstra (Retired)
Telstra (Retired)

Re: Phones out of 24 month contract

HI PaddyPat, 

 

The handset is listed as a separate payment on your bill, for example, 

 

Apple iPad Mini 4 128GB Payment Contract  $20.00,   

 

You can find this under the relevant charges for your device. 

 

The cost of the device is calculated over a full 24 months of the contract, and then divided by 24 to give the cost of the monthly amount. If after 18 months, you decide to cancel the service, the remaining handset payments are then calculated and added to your account. 

 

Kind Regards 

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