Virgin Media O 2 has unveiled a new online calculator that enables consumers to instantly and easily check if they have overpaid for their smartphone - potentially saving them hundreds of pounds a year. With information such as their mobile network provider, current device, monthly bill amount, and contract start date, individuals will be able to use the calculator to find out exactly how much they could have overpaid in just a few minutes. The results will give users the clear information they need to stop overpaying in the future by negotiating a new deal or moving provider. Charging customers for phones they already own is just plain wrong, yet millions of us are being swindled by other operators that do just this. Since we first revealed this issue in May, consumers with other carriers have spent more than 100 million paying for phones they already own. Now, armed with our new simple-to-use overpayment calculator, we're putting clear information into consumers' hands, helping demystify bundled contracts and revealing just how costly they can be if no action is taken. The other operators could help stop this with three simple steps provide split mobile plans, introduce automatic roll down to an airtime only plan, and provide clear information once a phone has been paid for. We hope they ll join us in doing the right thing for their customers. The launch comes just three months after Virgin Media O 2 called on the industry to end what it s called the Smartphone Swindle This refers to an investigation carried out by the firm that found three of the four UK mobile network operators were overcharging millions of customers for phones they already own.
This happens when operators bundle fees for minutes, texts and data with the cost of the handset and provide customers with a very small discount - if any - at the end of the contract. The investigation, which involved Virgin Media O 2 in April, involved Virgin Media O 2 sending independent, professional mystery shoppers onto UK high streets and operator websites posing as new customers looking to take out a contract on a new handset. The shoppers found split contracts to be especially difficult to get hold of and instead were being pushed to sign up for bundled packages. The average person is worse off by more than 200 a year, which Virgin Media O 2 analysis estimates is costing millions of consumers across the country over half a billion 530 million annually.
While high living costs continue to add pressure on household finances, three-quarters 75% of Britons surveyed by the provider said they are actively looking to save on their mobile phone bill yet over nine in 10 93 percent were unaware they could be overpaying for their devices. After finding out they were at risk of paying over the odds for their phone, eight in 10 81 percent reported feeling ripped off by their current provider. The calculator aims to put the power back into consumer's hands by outlining the potential impact overpaying is having on a person's finances and clearly outlining the simple steps that can take to save hundreds of pounds on their mobile phone bill.