He raced to the Carphone Warehouse shop with his cash, and in two separate spending sprees, handed it over in return for four mobiles.
Danny's dad Mark told The Sun newspaper that he went to the shop to get the money back, and at first they refused.
Fact File
What Danny bought
Nokia 3650 camera phone
Motorola V66i
Two other Nokias
A Bluetooth headset
Later, accompanied by a policeman and a teacher, Danny's dad got them to give back the money, although they only got £500 because one phone had been stolen.
Carphone Warehouse staff told the paper that they were so worried about Danny's spending that they called the police twice themselves.
They added that Danny told them he'd been saving up, and said they cannot refuse to sell young people phones.