What is fidelização and can I get out of a 24 month internet contract?

Almost every attractive telecom price in Portugal is attached to a fidelizacao, a loyalty period. Understanding it before you sign is the single most useful thing you can do about your internet bill.

How the lock in works

MEO, NOS and Vodafone put their standard fibre and bundle offers on 24 month terms. In exchange you get the promotional price, a free installation, and often free equipment. Free installation is worth 60 to 100 euros, which is what you pay in activation if you refuse the lock in. Digi is the exception in the market with a three month minimum.

What leaving early costs

The penalty is proportional to what is left of the term: around 50 percent of the remaining monthly fees if you leave during the first year, and around 30 percent during the second. On a 39.99 euro plan with 14 months left in year two, that is roughly 168 euros. Providers also reclaim subsidised equipment or unamortised installation costs.

The exits that work

1. Moving abroad. Leaving Portugal permanently, evidenced with documents, is the exit providers accept most readily. Send the cancellation in writing with proof of the move.
2. A move within Portugal to an address with no coverage. If the provider cannot deliver the service at your new home, the contract should end without penalty. Ask for the coverage refusal in writing.
3. A change in contract terms. When a provider raises prices or changes conditions during the term, you generally get a window to cancel without penalty. Watch for the annual price update notice, usually in January or February.

Practical advice

Send every cancellation in writing, keep the reference number, and check the final invoice. Portability rules mean you can switch provider and keep your number, but switching does not cancel the old fidelizacao on its own. If you are unsure how long you will stay in Portugal, a no lock in plan at a slightly higher monthly price is usually cheaper than the exit penalty you would pay later.

Detail and current prices in our coworking and internet guide.