According to media reports citing informed sources, the financial installment phone purchase services under the three major telecom operators have completely stopped accepting new applications starting recently, with frontline employees in many regions having received relevant notifications.
It is understood that the three major telecom operators had previously launched their respective installment products: China Mobile Hebao Credit Purchase, China Telecom Orange Installment, and China Unicom Wo Installment.
Under this business model, users can purchase mobile phones or terminal devices on installment when signing up for communication plans. Offline stores often package these as "0-yuan phone purchase" or "free phone" promotions. The essence of the business is a loan contract, with monthly phone bills including installment repayment amounts.
For a long time, such installment services have been a high-complaint area. Some offline business halls, in their rush to meet performance targets, have engaged in misleading marketing practices, resulting in many users being signed up for installment loans without their knowledge. Overdue repayments can also affect personal credit records.
In light of this, the current adjustment specifies that starting from September 24, installment phone purchase services such as Orange Installment, Wo Installment, and Hebao Credit Purchase will no longer accept new applications. Existing users who have already signed up are not affected by the policy change; their original installment contracts remain valid and will continue to be fulfilled according to the previous agreements.
Notably, this suspension of services is expected to impact the performance of offline business halls of the operators. Meanwhile, customer service representatives from the three major operators have provided official explanations.
China Telecom customer service stated that Orange Installment has suspended new business applications, with follow-up arrangements to be announced through official channels; China Mobile customer service indicated that Hebao Credit Purchase has completely suspended new applications, while existing contracts continue to be executed normally; China Unicom customer service revealed that Wo Installment is undergoing an experience upgrade, making it unavailable for processing at present, with no clear timeline for resumption.