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Iphone 4 T Mobile

Hi just bought a second hand iphone 4 locked to t mobile. So have bought a t mobile PAYG Sim to use in it.
But it keep saying "no sim card" or just keeps searching 4 a signal.
spoke to the seller they are adamant the phone was fine when they sold it on to me.
They said they just moved the number away from t mobile to an O2 iphone 5 with the PAK number, and reset the phone to factory resetting. I'm hoping its just a silly glitch and that someone on here can help?
Thanks guys
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