/ Technology

Jane Bradley: hang up on costly phone unlocking

Lock and key on phone

In this guest post, Jane Bradley of The Scotsman writes about the murky world of backstreet phone unlocking. Have you ever got your phone unlocked in an independent shop to avoid your network’s high fees?

Making my way down the dingy alley, I felt like I was heading to an illegal 1950s backstreet abortion clinic.

To suspicious stares from groups of unshaven men hanging around the streets, I’d been wandering, lost for hours. I eventually located what looked like it might be the correct door and pushed it. Nothing. It was locked. To the right was a bell. I rang it and waited. Nothing. After a few minutes, a dark-browed man pushed his head around the door.
‘What do you want?’

I muttered a few words, hoping they would magically grant me entry. He grunted and considered me for a few seconds. He finally stepped aside and let me in. I explained the service I required and handed over a fistful of grubby banknotes.

Thankfully, it wasn’t the residence of Vera Drake. It was a mobile phone shop, albeit a dodgy one. What was about to be butchered wasn’t a person, but a handset. In an attempt to save cash, I had decided to take my first step into the murky world of phone unlocking.

This, to be fair, took place in eastern Europe in 2002, when I wanted to open up my UK Nokia handset to use a foreign Sim card. But the experience in Britain – and I have tried it many times – is not dissimilar.

The cost of unlocking phones

For those who’ve never tried to dodge the exorbitant fees charged by mobile phone companies to use a phone which you have already paid for probably twice over through a contract, this is how it works:

A phone is usually locked to a certain network. If, when the contract is up, you want to swap to a different provider on a Sim-only basis – or, more likely, give your handset to a loved one whose own phone has conked out halfway through a thousand-year tied-in deal – you almost certainly can’t without a struggle.

Most companies will unlock a phone, but charge a high fee to do so – up to £20.99, depending on your provider – and some take up to 28 days to perform the process. By contrast, the backstreet practitioners do so pretty much on the spot for a few quid. Mobile phone companies have us over a barrel. A report from Ofcom found that Three is the only provider which does not routinely lock mobile phones, allowing the user to freely use it with another company’s Sim whenever they like.

The refusal by other telecoms companies to do this prevents customers from easily switching companies when contracts are up – a restrictive practice the likes of which has been lambasted in other industries in recent years. Bizarrely, mobile phone companies seem to have got away with it.

And few take the backstreet route. Telecoms expert Ernest Doku of uSwitch, commenting on the story, described the ‘stigma of [unlocking] being an illegal or shady practice’. He’s right.

Wherever you are in Europe, the shops which carry out this invasive process are always a bit dingy. Confusing. Daunting. With a distinct lack of corporate reassurance. You’re never quite sure that when you return a few hours later to pick up your beloved phone, that the entire establishment won’t have evaporated into thin air, doing a moonlight flit with your lifeline to the world.

So far, that’s never happened to me, but you never know.

Unlock mobiles phones for free

There is, of course, a problem with making phones easier to unlock. Box-breaking – when handsets are bought up in large quantities, unlocked and re-sold for profit – is a real problem for mobile operators, preventing them from making any cash from the Sim cards they come with. Apparently those friendly mobile phone providers often sell handsets at a loss and need the cash from the Sims to survive. So you can see why they’re not keen on the idea.

That aside, they cannot be the only industry immune to the need to open up to competition. It is already daunting enough to have to deal with the PAC codes or MAC codes or whatever they’re called to transfer an existing number, without having to jump through expensive hoops to unlock the handset too.

Consumer group Which? has launched a campaign to make unlocking free. I’m with them on that. I can see one group of people who won’t be so delighted, though. The independent traders.

Next, there’ll be a campaign to save the backstreet dodgy mobile phone shops. If we can find them.

Which? Conversation provides guest spots to external contributors. This is from Jane Bradley – consumer affairs columnist at The Scotsman. The piece originally appeared on The Scotsman. All opinions expressed here are Jane’s own, not necessarily those of Which?.

Comments
Guest

Bit over the top regarding dingy backstreet shops to unlock your phone.
Most of the ones I know and have used are very nice long standing phone shop business’s.

Guest
DerekP says:
21 August 2014

I agree entirely with this observation.

Guest
Tink says:
22 August 2014

Agree, this is a bit over the top and a recollection from 2002!!! It was different back then the market was no where near as developed as it is now and processes have got easier.

It’s hardly difficult to unlock a handset to be honest, so you have to pay it’s not much and to a point already made, yes sometimes handsets are subsidised. You only get a £400 handset with your contract because operators have to make the money back on the cost of buying the handset in the first place, so it’s not ridiculous to think they need to make that cost back, it’s business!

Guest

The best way to overcome the hassles of locked phones is to pay a reasonable cost for the phone and let people switch to which network they want to use at any time. What we have at the moment is as daft as it would be if car dealers insisted we use a particular brand of petrol.

Guest

The reason some phones are locked is that you are getting a handset that would usually cost hundreds of pounds for just a few pounds or sometimes for free. The phone supplier will make the money back in the contract fees , so if you unlock the phone and start using another suppliers sim card the original company will not get back the cost of the handset.

Guest
Nigel says:
23 August 2014

I don’t quite aree with this – the phone is not cheap or free – you are effectively buying it on credit. The price of the phone is built into your monthly contract price. If you look at what you pay per month and then compare it with a sim only deal, yo’ll probably be horrified at just how much you are really paying.

Guest

I agree with you. I bought a Nexus 5 SIM-free, then obtained a Three 3-2-1 PAYG SIM. As a low-user, I pay very little and am perfectly happy that, having bought my phone outright, I now pay only for what I want to use and, what is more, most of my downloading is via free Wi-Fi. Also, I can change suppliers as often as I want although, having said that, I am very happy with Three’s 3-2-1 deal and have yet to find anything remotely as good.

Guest
DerekP says:
21 August 2014

To avoid all this hassle:

1. Go to your phone vendor of choice (mine’s Argos)…

2. Get a nice cheap unlocked phone…

3. Get a nice cheap sim-free contract from your favourite company (mine’s Tesco Mobile)…

3. Keep the phone that you own and change contract as often as you want.

Simples.

Guest
John says:
23 August 2014