Mobile Phone Cashback Deals.

[Kopite]

Last August I bought a Nokia on 3 (£35 a month) from Cool New Mobile (CNM) on a 12-month free line rental deal. Basically you pay the money upfront and then claim it back at regular intervals by sending your bill back (along with a claim form). I received all the money back, even if the last one was a couple of weeks late.

With this in mind I bought a Blackberry mobile back in August again from Cool New Mobile on a 12-month free deal (£35 a month).

I was about to put my first claim in this month until I found Cool New Mobile had gone into Administration. Their business model was based around something like 60% to 80% of people not claiming or not claiming correctly. According to a couple of websites people wised-up and upto 80% of people were claiming correctly and on-time.

Apparently the mobile networks pay these companies huge sums to sign people up, but don't have any responsibility to the customers who buy phones on these special deals (some companies will give iPods, Wii's, 360's and PS3's instead of cash).

As my cashback contract was with CNM I still have to pay T-Mobile the £35 a month, however they have "kindly" lowered my tariff to £20. This still means I will be £300 out of pocket.

Why am I writing this?

To make sure none of you fall into this trap.

[PaddyBerger15]

Businesses can use legalised conning any day of the week Col, it appears to be OK, but as soon as they little guy wants something or tries something, then its threats and charges all over the show.

[Owen]

Tough break, Col. I was looking at Cool New Mobile back in the summer after yours and Remmie's recommendations, but chickened out. Plus I'm a lazy twat, so would probably have been in the 20% cocking it up. Orange offered me a good contract on £10 a month, so that's easy.