And that’s that for the webchat this lunchtime. Thanks to everyone who took part - we hope our responses were useful to you.
A question from Cindy2014: “My husband and I both pre-ordered our iPhone 6 on Friday through Phones 4 u, both paying a handset charge of £99 each. I understand they are going to refund all customers, any idea when we can expect our refunds? We have since pre-ordered these again through someone else but have now had to fork out another £109 each for the handset- so we would like our money sooner rather than later! Thanks.”
Guardian staff Hi Cindy2014 - There's no word yet on the timing of refunds, unfortunately - we'll doubtless be talking to PwC again soon, and will try to provide an update on issues such as this...
michaelbhaskar asks: “Hi - I am on a two year contract through Phones4U but was due an upgrade after 18 months. As my phone is completely bust, I really need that upgrade. Is there any chance I would still get an upgrade or able to renew through EE/Orange?”
Guardian staff Hi - You need to talk to EE/Orange, as that's presumably who the contract will be with - see what deals they are prepared to offer...
Myke Johnston asks: “I bought an iphone 6 on Friday night, I haven’t been sent any notice via email or call that my order is now cancelled. Do I need to phone Phones 4 u and cancel or will this be automatically done?”
Guardian staff Hi Myke - Assuming you haven't paid anything, the whole thing should be cancelled - you should probably contact your bank and cancel any direct debit that was set up as a result. If you actually handed over any money with a debit/credit card, again talk to your bank - you should be entitled to get your money back now that the company is in administration...
Greg Roberts: “I purchased an upgrade at Phones4u on saturday! and happy with the phone, as part of the upgrade i was told i would receive a free gift in the post? - without it - other deals elsewhere are enticing, what are the chances of receiving the free gift? - and i assume i can still cancel and return the new phone within 14 days if not delivered? (Assuming, to the retailer?)“
Guardian staff
A question from Jonny Clementson: “My phone is currently being repaired by Phones4U. If the stores are no longer open how and when will I get my phone back?”
Guardian staff Hi Jonny - We talked to the administrator at PwC about this issue last night - he raised this issue with us first, which suggests it's something that's definitely on their radar and that they want to sort out.
He said it was quite possible that stores will have phones that have been taken in for repair/are in the process of being repaired, and he told us: “What we will try and do is get those phones back to people.” So the noises being made are good. Hopefully, now PwC are in the saddle, the Phones 4u website will soon be updated to give more information about things like this...
kazsmith asks: “I have a contract which ends in April 2015 I receive £40 every three months redemption. The full redemption amount was for £240 and I am still owed £160. Will I still get this and if not, can I cancel my contract without penalty due to not getting what I signed up for? It was a redemption contract payable every three months after I had had the phone for a period of time. I send my latest bill to phones 4u and they send a cheque for £40 by return. The full amount was for £240 and there is still £160 owed to me.”
Guardian staff This could be very problematic, and will depend on what PwC decides to do.
In the past, lots of consumers signed up for cashback deals with a number of small online retailers, only to find that they later went bust, and they were left locked into the higher-priced contract signed with the network, with no prospect of receiving their promised cashback.
You might want to talk to EE/Orange and see what they say. As we sit here today, the prospect of you getting all your money looks slim. Technically, you could become a creditor, though as we all know, the chances of seeing a full payout would be remote.
A question from intercityhippy: “This summer I started a two year pay monthly contract with LIFE mobile, will this continue? Who would I contact for billing queries or problems moving forward?”
Guardian staff Hi intercityhippy - Yes, many people probably weren't aware that Phones 4u launched its own network last year (it basically buys airtime from EE and sells it under its own brand, Life Mobile).
Life Mobile is also in administration, with PwC now in charge. However, customers who have already signed up to it were yesterday being advised that they are unaffected and will continue to receive a service. The administrator told us: “I don’t see any reason why that would not continue on [as usual].”
That said, there are still lots of unanswered questions - and bizarrely, when we looked just now, the Life Mobile website was still up and running and making absolutely no mention of the fact that it is in administration...
John Yeatman asks: “I got a new phone through Phones4U a couple of weeks ago with £60 cashback via Quidco. This has been tracked but not confirmed yet. Will I get my cashback?”
Guardian staff We have asked Quidco about this and they are coming back to us. We suspect this will depend on whether the payment to Quidco was made before the administrators were appointed - or not.
Another issue that will become clearer in the next few days
A question from Redross: “If I purchased my phone and contract via Phones 4U, can I cancel the contract before it reaches the end?”
Guardian staff Hi Redross - Unlikely. With the company and the administrators saying that the networks will continue to provide people with the service they are paying for, as set out in their contract, it doesn't look like there will be an opportunity to get out of the contract before it finishes.
borknight asks: “Hello. I signed up with Phones4U on Thursday for a pay monthly contract with Orange, and received my phone yesterday. I’m on a cashback contract, which I don’t expect to receive from P4U. I’ve not opened the phone or inserted the SIM card, as I understand the contract with Orange only starts when the SIM is inserted. Can I cancel this contract with P4U? Can I cancel directly with Orange? I understand I have 14 days due to the new sales of goods act or similar under normal circumstances, but want to understand my options now P4U are in administration.”
Guardian staff Hi borknight - The first thing I'd do is talk to EE/Orange. Ask them what contract you've signed, and how the Phones 4u collapse changes things. If the cashback was to be paid by Phones 4u, then we would try to use the cooling-off period to end that deal, or to renegotiate with EE. If there's a lot of customers on cashback deals, this could be a big issue going forward.
Charlie Mason asks: “Out of interest, what happens with existing stock? Furthermore what happens to the iPhone 6 stock which was allocated and pre-ordered by Phones4u?”
Guardian staff Hi Charlie - Given that the iPhone 6 only goes on sale on Friday, Phones 4u won't have any in their stores. The rest of the stock is taken over by the administrators, PwC, who'll be talking to potential buyers etc as we speak, although most of the stock will presumably be going back to the networks which supplied them to Phones 4u for sale.
mfirr85 asks: “I bought a PAYG handset from Phones 4U around 4 weeks ago, if the phone develops a fault will I need to send the handset to the manufacturer? (Motorola)?”
Guardian staff Hi mfirr85 - Technically, the Sale of Goods Act makes the retailer responsible - however, most phones come with a one-year manufacturer's warranty, which is over and above your statutory rights. We are still waiting to see whether Phones 4u will exist in any form in the future - if it ceases to exist, you would have to approach Motorola directly if a fault developed inside the year. For what's it worth, there are phone numbers up on the Phones 4u website (technical Support 0844 8712233, Handset Repairs 0844 8712269) though whether you'll get any sense out of anyone is another matter...
Our webchat is now underway. Any questions? Post them in the comments section below.
A question from Ed Ward: “Both my contract and insurance was purchased through Phones 4U. Am I still covered?”
Guardian staff Hi Ed - Both Phones 4u and the administrators have made clear that any mobile contracts bought in the past will be unaffected and carry on as normal - ie the networks will continue to provide people with the service they are paying for, as set out in their contract. So it should be no change for them.
On the insurance front, things are less clear. The separate company that underwrites the insurance, the Warranty Group, told Money this morning that it's currently in talks with the administrators, and nothing will happen until they have ironed out how they will take the matter forward.
It's our reading of the situation that claims aren't being handled at the moment - and to complicate matters, the Phones 4u insurance arm that administers the policies will probably go into administration today, at which point PwC effectively takes over the reins. If the premiums were handed over to the Warranty Group, they would be expected to honour the policy. If they weren't, and the Warranty Group merely handled the claims on behalf of Phones 4u, then cover going forward looks unlikely. Maybe hold fire for another 24 hours before cancelling your direct debit...
Updated
Are you a Phones 4u customer who is unsure what the collapse of the change means for you? Our money and consumer experts, Miles Brignall and Rupert Jones, will be online from 12pm BST to answer your questions on customer rights now that the phone chain has been put into administration.
“People may want to know whether their phone contract will still work as normal,” says Rupert Jones, deputy editor of the Guardian’s money section. Will people who paid money in advance lose their cash? What happens with the Phones 4u insurance that many people will have taken out - are they still going to be covered? What about people on Phones 4u’s own network? And what happens if you took your phone into a Phones 4u shop last week to be repaired?”
Whatever questions you may have, post them in the comments section below, and our writers will do their best to answer them.
That's it for now - thanks for all your questions. We'll be continuing to monitor developments... Rupert and Miles