14 DAY TRIAL // O2 is the first UK-based carrier to debut a smartphone leasing program that allows customers to lease any smartphone from the operator’s portfolio for a whole year without making any upfront payments.
New and existing O2 UK customers can now grab any smartphone for free for £55 (85 USD or 65 EUR) per month including insurance, 750 minutes, unlimited text and 500 MB of data.
Business customers who want to lease smartphones via O2 UK will be able to take advantage of special business tariffs.
The new lease program is available at all O2 retail stores, but O2 UK existing customers can also call over the phone in order to lease a new smartphone with no upfront payment and a 12 month contract at only £55 per month including insurance and 500 MB of data.
Given the fact that the customer does not own the phone they will have to return it at the end of their contract, but they will be able to get a new one with a new lease if they wish.
As mentioned above the carrier includes insurance as part of the monthly payments in order to protect customers in case the smartphone is damaged beyond repair or lost.
When the phone is lost or damaged the customer needs to claim on O2 insurance and replace it before the plan ends. Furthermore, in case the smartphone is not returned or is not working when received, the carrier will raise a charge.
“This is the first time a UK mobile operator has adopted a leasing model. We know that customers and small businesses are used to leasing everyday items from cars and washing machines to photocopiers and office space. They understand how it works and what the advantages of a leasing are. We have simply taken this idea and applied it to the smartphone market,” said Sally Cowdry, marketing and consumer director for O2 UK.