O2 eliminates surcharge for monthly cancellable mobile plans

O2 has long offered cell phone rates with either 24-month or one-month terms. Until now, the provider charged a surcharge for the flexible version, but this will change as of December.

The reason for this positive adjustment for customers is the amendment to the Telecommunications Act (TKG), which will come into force in December 2021. It stipulates that fixed-network or mobile communications offers must be cancellable on a monthly basis after the two-year minimum contract term has expired. O2 is implementing this change at the same time and also abolishing the surcharge for the Flex versions in its Free rates. This was previously EUR 5 per month.

Elimination of the Flex option initially as a promotion by O2

However, the elimination of the EUR 5 for the Flex option is a promotion that O2 is granting until May 31, 2022. Almost all Flex contracts concluded by then will receive the price advantage permanently. According to the footnote, tariffs with combination advantage, with segment advantage 60Plus or SoHo customers are an exception. O2 reserves the right to extend the promotion if necessary.

According to O2, a Flex contract with a one-month term can still be coupled with a smartphone (O2 my Handy). The provider invoices the hardware via a separate hardware installment plan with a term of 24, 36 or 48 months. In addition, customers receive a saving on the monthly basic fee, which is, however, waived in the event of early termination.

No more long contract extensions

As of December, several changes will come into effect at O2. The provider will implement them automatically for both new and existing customers. In addition to the change in the Flex option, O2 is reducing the notice period for contracts from three months to just one month. Customers who have already had a contract for longer than 24 months can now also terminate it within one month. Automatic renewal for one year is no longer permitted.

To cancel a contract with O2, customers do not have to use the cancellation pre-announcement or phone the provider. It is sufficient if they notify the provider in writing one month before the end of the contract.