I phone unlock woes

Its a 3g... just borrowed neighbours 02 sim ,and just updating stuff, I'll have a look at the firmware etc when its done and post :thumb

AH! that makes a huge difference... sorry should have asked about that at the beginning!

with a 3G (not 3GS) the redsn0w can be used to unlock.

I am familiar with the 3GS but looks like Bowser has it covered.
 
For anyone remotely interested.

The reason for these problems is that currently you cannot unlock the lastest basband for the iphone 3/3gs, when you do a restore not only does it load the 4.1 software on the phone it upgrades the base band, and this is what causes the problems.

the reason for the procedure above is to restore the phone, insert a sim card for the orginal carrier and connect to Itunes and the phone is activated, the rest can be done from a computer of wifi.

You then unlock the phone and install cydia this is the is basicaly the apps store for none approved apps which you can install now the phone is jailbroken.
Fuzzy band is a non approved app that will downgrade the basband of the phone to the previous version, and then Redsnow/ultrasnow or similar will unlock now it has the older baseband. Job done.
 
Thanks for all the help and comments chaps :)

I've gone into the o2 shop an hour ago, explained that my phone is now back with 02 and I need my orange sim to work in it...

They sold me a pay as you go with £20 credit, said make a couple of calls, and meanwhile have unlimited internet on the sim.... then in a couple of days fill in an unlock form on the o2 website, they'll charge £15 off the credit, and text me to say its officially unlocked .....

So that way I should be able to update the iphone without worrying next time :thumb
 
Just over 24 hours after filling in the form on the o2 website asking for the phone to be unlocked, got a text saying that it is now done...

So popped in the Orange sim, did a sync on itunes and sure enough the phone now works with the Orange sim.... so result ... and quicker than the 14 days they were quoting :thumb
 

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