IPhone 5 from CPW LOCKED : HELP?

Question

I purchased an iPhone 5 from Carphone Warehouse on the second day of its release in the UK, as it was advertised as "SIM-free". I thought this meant that the phone was unlocked, because I paid £529 for the 16GB iPhone 5, which is the same price at which Apple sells its iPhone. Subsequent to this, I purchased an Orange 12-month contract for my iPhone, and everything was fine, until I started encountering problems with my Orange SIM card. I decided to purchase a Three SIM to use, at least until the problems with Orange were sorted out. When I inserted it into the phone, however, I was met with absolute horror - my iPhone did not accept this new SIM, saying something along the lines of it needing to be activated by the "original carrier".
Upon further inspection, I discovered Carphone Warehouse had a hidden caveat - SIM-free simply meant it did not come with a SIM when sold. However, it did not mean the phone was unlocked, as it would lock itself to the first UK SIM placed inside it. Furthermore, the phone would cease to function with a non-UK SIM.
This was absolutely ridiculous, and the aforementioned have caused me many problems of late. How should I go about unlocking my phone, so that I will be able to use it with any carriers, as well as outside the UK?
Kind regards.

Answer 1

Carphonewarehouse can't do anything about it.  Orange is the carrier that your phone is locked to and they are the only ones that can unlock your phone for you, so you'll have to wait 3 months and then pay them £20 to unlock it for you.
The only thing that you can do is return the phone to Carephonewarehouse for a full refund if you are within the return period?  This would also mean that you would have to cancel your contract with Orange, but if you cancel a contract, you end up having to pay because effectively, if you cancel before your 12 months is up, you are buying yourself out of the contract.
Carphonewarehouse can't really do anything to help you in this instance because they can't unlock the phone for you either, only Orange can do that.  They have not mis-sold you a phone either because they will say that you purchased the phone SIM free which is not the same as unlocked.
You have 2 choices here:-
1.  Keep the phone and keep your contract with Orange and stay with them for the required 3 month period and then pay them £20 to unlock the phone for you and then you can use it however you want.
2.  Go back to Carphonwarehouse and if your phone is still within the return period, return it to them for a full refund and cancel your contract with Orange.  Then start again and purchase a new and fully unlocked iPhone 5 from Apple directly and away you go.
Of those 2 options though, number 1. would probably be the most sensible now.