Millions of UK mobile users may be paying too much for their phone contracts, with many unknowingly out of contract and still being charged full price. As reported by Express.co.uk, financial expert Martin Lewis has urged people to check their mobile contract status immediately by sending a simple text message that could save them hundreds of pounds a year.
With inflation-linked price hikes set to push mobile costs up by 6% in April, Lewis warned that many users are paying for handsets they have already finished paying off, meaning they are unnecessarily overpaying.
Why Millions Are Being Overcharged on Their Mobile Bills
When a customer buys a new phone on contract, the total price typically includes both the cost of the handset and the monthly airtime charges for calls, texts, and data. However, once the contract period ends—usually after 24 months—the cost of the handset should be removed from the bill.
According to Martin Lewis, mobile providers do not automatically lower these bills, meaning many customers continue paying full price even though they should only be charged for their airtime. He described this as a widespread issue affecting millions of people, adding:
“My big message is that 14 million of you out of contract are free to ditch, switch or move.”
Despite calls for stricter regulations, mobile companies are not required to automatically adjust customer bills when contracts end, meaning many users remain stuck on higher monthly payments without realising it.
How to Check If You’re Overpaying
To find out whether they are out of contract and eligible for a cheaper deal, Lewis advised mobile users to send a free text message using this simple method:
- Text INFO to 85075 – This will tell users whether they are still in contract or if they are free to switch.
- If on Three, iD Mobile, or Smarty, users must confirm their date of birth in a reply.
The reply will indicate whether there are any early termination or cancellation fees. If the fee is £0, it means the customer is out of contract and can switch providers freely without any penalties.
How to Find the Best Mobile Deals
For those who discover they are overpaying, Lewis strongly advises against renewing contracts directly with mobile providers, stating that better deals are always available through comparison websites.
“Don’t go directly to the companies, they’ll always charge you more. The best deals are always on comparison sites where they offer short-term promotions. Some have vouchers or bill credit.”
Among the best SIM-only deals, Lewis highlighted offers such as:
- Lebara – 10GB of data for as little as £2 to £5 per month.
- Smarty – Unlimited data for £10 to £15 per month.
Mobile customers who switch to these low-cost SIM deals could potentially save hundreds of pounds each year compared to staying on a full-price contract with a major provider.
Keeping Your Number When Switching
One concern for customers considering a switch to a cheaper provider is whether they can keep their existing phone number. Lewis reassured viewers that switching is quick and simple, advising users to:
- Text PAC to 65075 – This generates a unique porting authorisation code that allows customers to transfer their number to a new network.
By providing this PAC code to their new provider, customers can ensure a seamless transition without losing their number.
