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O2 launch iPhone 4S phone leasing deal

Pining after an iPhone 4S, but can’t face the high up-front cost and long-term contracts? Well this may be the deal for you. O2 has announced that it is to lease the iPhone 4S, with no up-front costs, over a 12 month contract period. Customers have no obligation once the contract is up, either give the device back or upgrade to the latest model. So if you like to always have the latest handset, then this may be the deal for you.

Seen as you are on a shorter contract, the monthly fee for this deal is slightly more then if you opt for a 16-24 month contract. The 12 month contract costs £55 per month if you’d like to lease the 16G iPhone 4S and £65 per month if you’d prefer the larger 32G model. With regards to bundles, both contracts include 750 minutes of call-time, unlimited texts, 500MB of data and unlimited UK Wi-Fi per month.

A big plus with this deal is that it includes insurance, worth £12 per month. The insurance policy covers customers for theft, loss, accessories up to £200 and accidental damage, including water. Although it is important to note that you will need to return the phone undamaged and the insurance carries a £60 excess for the first claim, with £120 excess for any addition claims. If the phone is damaged and the insurance does not cover you, you’ll need to pay for the repairs.

This is a pretty big deal for O2 and it is the first operator to launch a leasing scheme, although other operators are sure to follow suit if it is a success. The deal is available in-store to all new customers and over the phone for existing customers now.

Sally Cowdry, marketing director for O2 UK, commented; “O2 has had to build entirely new systems for handling everything from credit agreements to managing device returns, and, increasingly, our recycling commitment at the end of the contracts. We believe the result is a new model that will challenge the industry and its customers to look at the UK’s mobile landscape with fresh eyes,” says Cowdry.


Via The Guardian