lowell took over o2 debt I paid it off but now o2 want 550 deposit for a new contract?

[Anonymous]

missed my payments on my contract on O2 for a few months (lost my job and was not suitable for job seekers due to living arrangements.) So had no income at all for a little while wasnt great but these things happen.

Therefore couldnt pay the bill. 

Now I have a good income again

Lowell financial took over the contract debt they wanted £121.04 to pay off the contact all together which I have done  (07.03.13) 

I can't reconnect to the contract even though I was hoping that would be the case. 

I have had four contracts out with o2  - this was my fourth one I have been a customer for years and feel a bit down about the situation. I have given a lot of money to o2 over the year thousands.

 
The woman (lowell)  said she would update my credit file that I've paid the contract off so it's not defaulted ? 

If so does anyone know how long it takes to update with the credit agencies?

Today I Tried to apply for another contract with o2 but they wanted a deposit of £550.00 - seems quite high  

I have a feeling that this will be the case from now on- I really liked o2 but im thinking maybe i should tie my losses and find another phone company and try them? and see what happens?

[Anonymous]

When a default hits your credit file and you then pay it off it then takes 6 years to drop off.

Due to this your a risk for a contract hence the high amount although normally after 3 months of consecutive payments the bond is paid back or can be used to pay off your monthly bills.

[Anonymous]

That is a very high deposit but to be honest I'm surprised they will let you take out another contract at all normally once debt collectors are involved you've had it with that company

[Bambino]

If you think you can go to another phone network and slip under the radar and get a contract, think again. Your credit rating follows you wherever you go. Even though your income is now good, and you might be able to afford the deposit payment that O2 is offering, you'd probably be better off on a Pay & Go tariff to avoid this happening again.

[Anonymous]

You may find a contract on another network with a lower deposit but I think you will have to pay one with every network if they offer you a contract at all

[Anonymous]

Take into account not every Network can offer you strong good signal so although the retainer amount may be lower, but without strong signal this kind of defeats the object.

I'd go with either paying the fee or go Payg as suggested.

[Anonymous]

If you do pay the fee make sure you find out that it will refunded after 3 months

[Anonymous]

Did you have the option to take a simplicity deal without a deposit? You usually have this option if the credit vet wasn't a straight decline. If you went with simplicity you could then upgrade to a full handset contract after 6 months, provided all bills are paid on time without an additional credit check.

[Anonymous]

Hi and welcome to the Community.

The level of deposit will also depend on the type of phone you are after.

I will hazard a guess you are after an iPhone 5s in which case all mobile operators will see you as a risk.

Who not buy a mid range handset outright, perhaps a MotoG for £100. Use it on a simplicity contract for a few months to prove to o2 that your circumstances have improved and then try again?

Congratulations on your improved employment position too.

[Anonymous]

Thanks for that info Kyle didn't know that