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Cashback Mobile Phone Deals – Scam or Good Buy?

How does Cashback work?

Once you buy your phone and sign up to the mobile contract you’ll have to claim your Cashback from the retailer. The process will differ slightly between each retailer, but normally involves uploading a claim form, together with your original mobile phone bills at periodic intervals (for example after month 3, 6, 9 and 12 of your contract). Please refer to the terms and conditions of each retailer for full details on how to claim.

What is automatic Cashback?

With automatic or auto cashback, the cash will be automatically paid back to your account or credit card. I.e. with automatic cash back, you don’t need to send back claim forms or monthly bills. However, while you’ll receive the cash with no effort, the amounts offered are normally smaller than with the other cashback deals. When you’ll receive the money depends from store to store, but it is often upfront or after 14 days. Again, please double-check with the shop’s terms and conditions. 

How can shops offer so much Cashback?

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

Can these companies be trusted to pay the Cash Back?

You may have heard of the BBC report in December 2007 about the Mobile phone cashback ‘rip-off’ which highlighted some of the issues with buying these cashback deals from dodgy retailers. As such, you should only get deals from reputable companies, which have a long history of trading in the UK and are financially sound. This is mainly the big high street brands (Carphone Warehouse, NoHassleMobilePhones.com, …) while the other online retailers we show are backed by financially strong companies too. E.g. e2save (backed by Carphone Warehouse), etc. We constantly research the UK market to ensure we stay abreast of the latest mobile phones industry news.

What’s the catch?

None really … as long as you ensure you follow the Cashback claims procedures correctly you really can have FREE line rental.

Tips and Checklist

You’d be surprised though how many customers forget to claim their Cash Back after buy the phone and are connected for a few months. Just make sure you’re not one of them and follow our checklist:

  • Keep the original dispatch note you received 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 e-mail, post and/or downloaded from the retailer’s website)
  • Keep all original airtime bills from your network operator (because most retailers do not accept copies)
  • Complete the claim form correctly, supplying all the required information
  • Make sure all your monthly bill payments are up to date and paid in full (most retailers will not pay cash back when your bill has money outstanding)
  • Send the claim form, original bill and any other documents required within the correct timeframe and don’t be late. If you use any organiser tool (most handsets even come with one these days), we recommend that you set yourself a reminder or alarm for all the dates on which you have to make a claim
  • Double check the address to send your paperwork to each time, to ensure it hasn’t changed.
  • We also recommend you use recorded delivery for all your claim paperwork, as this means you’ll get the retailer’s valid “recorded delivery signature” as proof of delivery

While all of this may sound a bit complicated, it all comes down to a little bit of organisation by yourself. Though the reward for it means you’ll be able to get massive savings on your mobile contract. In essence, you’ll be reaping the benefits of all the others who fail to claim. 

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