Returning phone and not upgrading cost

[jutokids]

I have 16 months left of payments on my device. It's currently valued at £184 by Sky with £432 left to pay.

I know they said after 24 months I can return the phone and upgrade for free.

That's in 4 months time. I guess the other option is I keep it and pay off the remaining contract at slightly lower monthly payments. 

My question is, although in 4 months time it says free upgrade, does that mean the difference between what's left to pay on the device and the value of it is only 0 if I upgrade?

Can I return the phone after 24 months and not upgrade? Will the value of it then be same as what's left or will I still have to pay the difference.

My daughter is giving me her phone in a couple months so I'm debating what the cheapest option to do is. Thanks 

[PandJ2020]

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@jutokids wrote:

I know they said after 24 months I can return the phone and upgrade for free.  My question is, although in 4 months time it says free upgrade, does that mean the difference between what's left to pay on the device and the value of it is only 0 if I upgrade?

Not 'free'.  The idea is the residual value of the phone should hopefully cover the remaining credit and you start a whole new contract.  (Not my definition of 'free')  If you choose a new contract at a similiar monthly price I guess some may consider that 'free'.  (But you start a whole new term, e.g. 2/3/4 years)

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Can I return the phone after 24 months and not upgrade? Will the value of it then be same as what's left or will I still have to pay the difference.

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I don't believe you can - but I have seen a post about someone doing this.  But regardless any difference between the residual value and the credit will become immediately payable.