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According to Family Mobile, partner to IKEA FAMILY, over a third of contract phone customers would switch to Pay As You Go phone tariffs to control costs if they weren’t tied in, following research that shows that contract customers use just half of their monthly usage on average.

www.FamilyMobile.co.uk, an IKEA FAMILY partner, declare that contract phone service providers are knowingly marketing deals that are leaving consumers short-changed, after research has shown that 1 in 4 contract customers fail to use even half of their monthly usage.

The Credit Crunch has caused many families to cut back on ‘unnecessary spend’, something Family Mobile believe contract phone service providers encourage.

The research has found that 36% of people currently tied into mobile phone contracts would like to switch to a Pay As You Go tariff to prevent budget-busting bills, but are unable to due to being tied in to a long-term contract. The ‘Automatic Top-up’ service, that Family Mobile provides ensures that customers never run out of credit in the middle of a phone call, similarly to those on contract. This online service will automatically top-up the user’s account, with any amount the user has chosen, whenever the balance falls below the minimum threshold of £3.

Whereas many British mobile contract providers tie customers in for 18 months, other European countries such as Denmark and Finland have laws that prevent contracts binding consumers in for longer than six months.

Teddy Pedersen, the UK Managing Director of Family Mobile says,

“In today’s financial hardships, the responsibility is with the contract phone networks to market their products sensibly and ensure that British consumers, in particular families, are not paying over the odds. The amount of consumers switching, or wanting to switch to Pay As You Go tariffs demonstrates the failure of the bigger contract brands to consider the economic crisis.

“All I can say to customers stuck in contracts is; use as many of your minutes and texts as you can in order to prevent the contract service providers from making more money from you whilst still tying you in to a contract. If you are one of the many people not using their contract minutes, switch to Pay As You Go as soon as the contract expires, to save more money.

“The fact that so many customers are tied in to such long contracts just to receive a free or discounted handset is unfair, particularly when many people simply cannot afford to waste their incomes on packages they are not using.”

Family Mobile is a Pay As You Go service in conjunction with IKEA FAMILY and mobile phone network T-Mobile, with no minimum spend and no minimum contract.

The IKEA FAMILY brand is synonymous with affordability and quality, and the Family Mobile service is no exception - all calls cost 9p per minute and text messages are 6p. Credit can be shared across different members of the family through the use of multiple SIM cards.

Credit is managed online, and through the ‘Family Budget’ service, parents can set up several individual mobile accounts for their children or other family members, and manage the spending from their own account, ensuring that there are no surprises at the end of the month.

ENDS

For further information/to receive the survey results, or to speak to International telecoms expert Teddy Pedersen, MD of IKEA Family Mobile, please contact Rich Leigh, 10 Yetis Public Relations Agency on 01452 348 211 or rich@10yetis.co.uk.

EDITORS NOTES:

People can sign up by visiting www.FamilyMobile.co.uk and register to receive a free sim card or purchase a handset.

There is no minimum monthly spend, and no minimum contract

Registrants can keep their current mobile phone number

Calls cost 9p per minute, texts cost 6p each

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