Why a third of Brits sign up to long term contracts - which they later regret

The barrister-turned-barista was on hand to help Brits navigate tricky contracts and avoid signing up for something they may later regret.

Located outside London’s Kings Cross train station, the quirky coffee cart saw the top legal eagle serve up real coffee and top licit advice.

It follows a poll of 2,000 adults which revealed a third (33 per cent) have regretted getting into a long-term contract.

With gym memberships, mobile phone and internet service provider contracts the top agreements people have signed up to and found it hard to escape.

While charity direct debits, fitness or weight loss programmes and personal loans also feature in the top 20 list.

The top moments for contract regrets are seeing a better deal available after committing to another that’s hard to get out of (35 per cent), realising there are still 12 months left to go, (16 per cent) and for one in 10 it’s the first painful payment that brings remorse.

The research and coffee cart was commissioned by SMARTY mobile which offers flexibility to change plans if you need to.

Contractual disputes barrister, Sandy Joseph, who was tending the brand’s pop-up, said: “I know that some contracts can be tricky to navigate, with unnecessary jargon, confusing clauses and pages and pages of terms and conditions.

“Hopefully I can help people avoid contract regret, answering any questions they may have over a nice cup of coffee!”

Contracts are ‘tricky to navigate’

The study also showed 42 per cent get so excited by the shiny thing they’re buying in to, they forget to read the small print – with just one in 10 always reading the finer details.

While nearly half have signed up without fully understanding the terms of an agreement.

And nearly half (49 per cent) have been caught out by an old, forgotten – and unwanted - subscription renewing automatically.

And contract regret is not a one-off thing since nearly two-fifths (17 per cent) frequently find themselves wishing they hadn’t signed up for things.

While the same percentage were charged a penalty for cancelling subscriptions too early.

And when it comes to the importance of flexibility such as the ability to pause, cancel or change a contract, a decisive 84 per cent said this was important.

And 79 per cent reckon subscription contracts should be easier to exit without penalties.

What’s more, 33 per cent have found themselves locked into a contract that did not meet their expectations.

But a canny 42 per cent of those polled via OnePoll said they’d be likely to seek legal advice before signing a high-value contract in the future.

Sayed Hajamaideen, from SMARTY mobile, whose coffee bar, named ‘Contractually Grinding’, will be open until 4 pm today (13th November), added: “There’s nothing more annoying than contract regret.

“We know people want more flexibility, and with many finding themselves locked into contracts they want to get out of, we’re on a mission to educate the public that there are better options out there.

“That’s why we’ve set up a coffee ‘bar’ at King’s Cross Train Station, to help the public with any contract conundrums they may have, serving up free legal advice and free coffee to wash it down with.”

Top 20 contracts people regret signing: 

1. Gym
2. Mobile phone network provider contract
3. Internet service provider
4. Mobile phone handset
5. TV or streaming service bundles
6. Personal loan agreements
7. Extended warranty on a white good like a washing machine
8. Music streaming services
9. Energy supplier contracts
10. Fitness or weight loss programmes
11. Subscription boxes
12. Magazine or newspaper subscription
13. Mortgage
14. Charitable direct debit
15. Credit card promotional offers
16. Car lease  
17. Property lease/rent
18. Video game subscription like Xbox Live or PlayStation Plus
19. Health or life insurance policies
20. Extended car warranty