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FREE line rental = CashBack?

The terms FREE line rental and Cash Back are often used indifferently between most stores even though they mean the same: I.e.

Any store offering you 12 months FREE line rental is actually offering you CashBack equal to 12 times the monthly rental fee. E.g. if you choose 12 months FREE line rental on a £25 per month plan, the store will actually pay you back £300 (i.e. 12 times £25) over the period of your mobile contract. This also means that you'll still be responsible for paying the monthly rental bill to the operator (T-Mobile, O2, Orange, Vodafone, 3, Virgin or BT), but the store where you bought the deal will pay you back this (or part of this) rental.

How does it work?

Once you buy your phone online and sign-up to the mobile contract you'll have to claim your line rental or cash back from the retailer. This process differs slightly between each retailer, though it normally involves sending back a claim form, together with your original mobile phone bills at periodic intervals (e.g. after month 3, 6, 9 and 12 of the contract). Once the retailer receives this information, they'll send you a cheque or credit your bank account. Please ensure you refer to the terms and conditions of the retailers for the details and relevant procedure on how to claim.

How can shops offer so much free line rental?

These phone shops can offer you this line rental back because they receive a commission from the UK mobile network operators when you sign-up to your new mobile contract. They simply use this commission to pay back all or part of your line rental as cash back. These deals are nevertheless still profitable for these retailers because a good percentage of the cashback is never or only partially claimed back by customers (as such, please make sure they don't make any profit from you, and ensure you claim everything back). These stores also hope that you'll just continue the contract after the initial contract period terminates. However, there's nothing stopping you to visit us back when this happens in 12 or 18 months to get another great discounted line rental deal.

Can these companies be trusted to pay the line rental back?

You may be aware of the BBC report in December 2007 about the Mobile phone cashback 'rip-off' which highlighted some issues related to buying these free contract rental deals from dodgy retailers. As such, we only show offers from reputable companies with a long standing history of trading in the UK and a sound financial background. Hence we display the offers from the large highstreet brands (Carphone Warehouse, The Link, Phones4U, ...) while the other online retailers on here are backed by financially strong parent companies. E.g. Mobiles2YourDoor (backed by Phones4U), e2save and Mobiles.co.uk (backed by Carphone Warehouse), etc. We also constantly research the industry news relating to the mobile industry to ensure we stay abreast of the latest developments.

What's the catch?

None realy ... as long as you ensure you follow the line rental or cashback claims procedures correctly you really can have FREE line rental.

Tips and Checklist

You'd be surprised how many customers forget to claim their rental back after buy the phone and are connected for a few months. Just make sure you're not one of them and we suggest following this checklist:
  • Keep the original dispatch note you receive with your mobile handset (as this probably needs to be included with your first claim)
  • Keep enough copies of your claims form (this will be supplied to you by post, e-mail and/or downloaded from the mobile retailer's website)
  • Keep all the original airtime bills from your network operator (because most retailers will not accept copies)
  • Make sure all your monthly bill payments are paid in full, as most retailers will not pay rental back when your bill has a balance outstanding
  • Complete the claim form correctly, supplying all the required information
  • Send the claim form, original bill(s) and any other documents required within the correct timeframe and don't be late. If you use an organiser tool (most handsets even come with an organiser these days), we suggest that you set yourself a reminder for all the dates on which you have to make a claim to avoid being late
  • Double check the address to send your paperwork to each time, to ensure it hasn't changed.
  • We also recommend that you use recorded delivery for all your claims paperwork, as this means you'll get the retailer's valid "recorded delivery signature" as a proof of delivery

While all of this info may sound a bit complicated, it all comes down to being a little bit organised. The reward however means you'll be able to make massive savings on your mobile contract, reaping the benefits of those who fail to claim properly.

If you prefer a more simplified deal which doesn't involve claims, you can always look for mobile phone offers with a free gifts, such as a LCD TV, laptop, Nintendo Wii, PS3, DS Lite, iPod Touch or many others. You'll normally receive these gifts within 2 to 28 days (depending on the shop) and hence there's no need to keep sending claim forms. You can find all available gifts and the best deals at www.mobilephoneswithfreegifts.co.uk.

We hope this information helps you save some money on your mobile phone contract purchase and bill. Please contact us with any other questions or suggestions.

Kind Regards
Free Line Rental Mobile Phones Team



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