Another dial-a-phone/O2 deal can be exploited to deliver a massively discounted smartphone, the Sony Xperia Arc S, for as little as £97.
The contract costs £25.50 per month but you can remove the bundled 1GB data before you use the phone for the first time and save £10 per month for the remaining 23 months.
On month 10, downgrade to the lower tariff at £10.50 for the rest of the contract. There are a number of pitfalls and hurdles that could derail the process and, as a customer, you need to be aware of those.
Ultimately, you could end up with a 75 per cent discount on the Arc S and get the phone on an interest free loan (which is what a contract essentially is) and unlocked (as most, if not all, Dial-a-phone handsets are).
The phone runs a single core Qualcomm Snapdragon MSM8255T processor clocked at 1.4GHz, with 512MB RAM, a 4.2-inch WVGA capacitive touchscreen, 720p recording, official Ice Cream Sandwich update, the ability to take 3D panoramic photos and HDMI output. The deal entails going through dial-a-phone's and Quidco's automatic cashback process which in a swoop allows the user to get £200 within the first few months.