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crich76's profile

Tutor

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4 Messages

Fri, Sep 12, 2014 12:52 PM

Do I really have to pay more per month if I upgrade with a 2 year contract?

I've been with ATT for over 5 years. I've NEVER upgraded during that time and still have an old iphone 3GS. I've been waiting for the iphone 6 to come out so I can finally get a new phone, but a few months ago we switched from our old plan which was $125 a month to the mobile sharing for $97 a month because we just weren't using that much data (we still had unlimited). When I went to order the new iphone, it says I won't be eligible for the mobile sharing discount anymore which is $15/line if I get the new contract instead of ATT Next. I'm obviously not a person that upgrades often, so that option isn't really for me, but I feel totally swindled having to pay more for my current plan if I sign a new contract. I could have upgraded two other times during the last 5 years and not paid a dime more for my old plan! And it doesn't even look like changing to our old plan is an option. I knew I couldn't go back to unlimited data, but where are all the other plans?? Is it all just mobile sharing now? Totally frustrated with ATT.

GLIMMERMAN76

ACE - Expert

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22.3K Messages

7 y ago

next is going to be cheaper because you can just get a new phone every year or 18 months your choice.  just give them your old phone and get a new one.

Tutor

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4 Messages

7 y ago

I don't feel the need to upgrade every year or two. I've had my phone for 5 years and if it weren't for the crappy camera I'd be perfectly happy with it.

GLIMMERMAN76

ACE - Expert

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22.3K Messages

7 y ago

well then yes you lose the discount till the contract is up.  Atleast with next your saving yourself the upgrade fee and the 200 xtra your going to pay for the phone over the life of the contract.  Next is not for everyone.

 

There not swindling you when that discout is taken off.  That is how you pay for the phone for getting the discounted price.

 

The fact is with apple you need to upgrade atleast every 3 years to get new os upgrades.  The 4 cant get iOS 8

 

 

here is the math

 

199.99 plus upgrade fee 40.00  brings ya to 239.99

 

25 a month for 24 month = 600.00

 

thats 839.99 you paying over 2 years for your phone

 

Att next is 32.50 xtra a month but at 20 month the phone is yours.  you payed 649.99 for the phone over that 20 months which is still cheaper than on contract.

 

Tutor

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4 Messages

7 y ago

OK, that makes more sense now. The discount will be there as long as I'm not under contract, but if I am, I don't get it. It's almost the same then either way then, but with Next I'm not locked into a contract? I contacted customer service and they at least offered to let me go back to my old plan (inlcuding unlimited data) if I wanted to, so I don't feel quite as duped. Just wish I had used my previous upgrades! 

GLIMMERMAN76

ACE - Expert

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22.3K Messages

7 y ago

next is contract free.

 

If you want to leave just payoff the balance of the phone and you can leave.  No ETF.

 

Hope this helps you out.

T-Boy

Scholar

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105 Messages

7 y ago

What Att is trying to tell you is that you will just be screwed instead of royally screwed. Att did not explain the Mobile Share upgrade option when this program came out.

 

If they did they would not have half the people switch that did.

 

All Att customers were use to signing a new 2 year contract and buying a subsidized phone and keeping the same rate. This new plan is totally different. If they didn't do it on purpose why do they still offer a 2 year contract that cost more than the other options.

 

Tell me one reason a person would obligate themselves for 2 years to pay more. They left the two year deal in place so people would just assume it was the same as they were use to.

 

I'm up in Dec for my 3 phones and I will be looking. Not to mention I have internet, landlines and 5 TV's in the house. After this mess I would never go with UVerse so stop sending me the special offers for loyal customers.

Tutor

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10 Messages

7 y ago

Yes

Contributor

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1 Message

7 y ago

I feel the same way. I've been with At&T since they were Cingular in 2001. I've always just upgraded and my bill didn't change except the ONE time upgrade fee. I feel like I'm getting forced to go with the NEXT program.

Contributor

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2 Messages

7 y ago

I would go back to the Unlimited plan in a heartbeat.  I was one that switched to the family share plan too and was not told about this $25 per line.  Shady practices ATT!!!

 

GeekBoy

Master

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4.1K Messages

7 y ago


@GLIMMERMAN76 wrote:

next is going to be cheaper because you can just get a new phone every year or 18 months your choice.  just give them your old phone and get a new one.


Actually, for teh original poster, since they have less than 10GB data on their plan, NEXT *might* be a little more expensive than paying the slightly higher contract rates and losing the $15/month discount.  If they had a 10GB or higher data plan where tehy were getting the $25/month discount, then NEXT would most likely save them money, but for the lower data plans with the lower discounts, it is more often more cost effective to get the contract subsidized phone.

 

Look at it as:

     $199 + (24 * $15) + $40 = $599 for a 2 year contract phone (plus your current monthly fees)

and

     $649 + (24 * $0) + $0 = $649 for a new 16GB iPhone 6 using NEXT (plus your current monthly fees)

You should note that these numbers are only for one phone, and if you want a different priced phone, then in general, the end result is still the same, you just have a larger first number in teh equations.

 

In this case, you see that the contract will save teh customer about $50 over the 2 year period.  Now, if they have a 10GB data plan, then the difference would be:

     $199 + (24 * $25) + $40 = $839 for a 2 year contract phone (plus their current monthly fees)

so here, you can see where NEXT would actually save them almost $200 over the 2 year period.

 

The one last thing to look at here is that if they currently have the 6GB data plan, then they might save money going to a 10GB data plan just because the discount goes up from $15 to $25 per phone each month.  Since the original poster indicated that they don't use that much data, they probably only have a 2 or 4GB data plan, so this wouldn't really be an option for them, but as long as you have 2 smartphones on your account, then the cost would be the same for 6GB ($80 + $25 + $25) or for 10GB ($100 + $15 + $15).  The more phones you have the more you could start to save with the higher data plan.  That is one many people thend to over-look when looking at which plan to choose.  WIth 3 smartphones, the rates come out the same for 4GB ($70 + 3*$25) and 10GB ($100 + 3*$15).  You really need to take a deep & serious look at the costs, but then upgrading phones becomes much more complex too, because then if you sign a contract, the lost discount becomes significant, so you now either pay more for the phone, or you pay much more for the service...

Teacher

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14 Messages

7 y ago

It seems if I don't go with NEXT I'll be paying way more than I do now.  I've been a customer since 2001 as well.  I ALWAYS got an early upgrade discount of some kind with the new iPhones out every year.  This year I'm being told I either switch to the NEXT plan which will end my granfathered in unlimited data plan or buy the phone outright.  That's it.  I've heard some conflicting things from other members about maybe getting an early upgrade discount as I did in the past.  As much as it pains me because I've been with ATT for basically 14 years, if I don't get some kind of discount on the new phone I'm leaving for T Mobile.  They'll give me 350 for my 5s and pay all my ETF.  Plus their comperable data plan is 40 dollars cheaper than ATT.  I don't have a family plan I'm one person shopping for one line.  Seems all the ATT promo is geared to more than one line.  Someone PM me if I'm wrong about what I'm sayig.   The NEXT program makes zero sense to me.  I can pay an extra 37 dollars for 12 months and not own the phone.  That's 450 dollars over a year to then return the phone to ATT to get the next one? none of which I own?  Where exactly is the upside for the customer?  I'm not seeing the cost savings on the plans either?  I have a 2 yr contract I'll be 1 year into this month.  According to the Next plan with the new phone I'm at 140 a month for 4 gb of data  T Mobil is 97 for the same plan.  

GeekBoy

Master

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4.1K Messages

7 y ago


@T-Boy wrote:

...

All Att customers were use to signing a new 2 year contract and buying a subsidized phone and keeping the same rate. This new plan is totally different. If they didn't do it on purpose why do they still offer a 2 year contract that cost more than the other options.

 

Tell me one reason a person would obligate themselves for 2 years to pay more. They left the two year deal in place so people would just assume it was the same as they were use to.

 ...


The new plans are not for everyone.  Under the new plans, if you sign up for less than 10GB of data per month, then it is cheaper for you to get a contract phone, the difference is that if you are like the original poster, and you keep the same phone for many years, you don't continue to pay the subsidy back to AT&T once you have completed your contract.  The original plans had a fixed rate for evryone, whether you were under a contract or not.  This meant that if you had completed your contract and not upgraded your phone, you were paying AT&T for a phone subsidy you weren't using/geting.  The new plans make is such that you don't keep paying them for that subsidy when you aren't getting a contract discounted phone (or when your contract is over and you don't get a new phone right away).

 

The old plans are still in place because some people don't like to change, or want to keep their grandfathered features.  In AT&T's eyes, they make more profit off those old plans because as soon as your contract is over, they are still getting that extra money from you and you aren't getting anything more in return from them.  They would be foolish to completely cancel the old plans, but you will also notice that they stopped offering to sell them to new customers about 10 months ago, so the only people who have them have had them for a while.

 

Yes, it's a bit of a shock to you when you don't expect your bill to go up when you get a new phone, but the plan details have been available to everyone since the new plans were released back in Feb.  Anyone who switched has been getting the benefit of that discount, even if they were inder contract prior to Feb, 2014, so those people can't really complain because they had a contract subsidized phone but they weren't paying AT&T for that subsidy any more.  Also taking a look at things, you will see that in most cases, taking the discount away from a customer just puts there bill back to about where it was before they switched plans.  Take a look at the original poster.  They were paying about $125/month before but switched to the new plan and started apyign about $97/month.  Now, add the $20 extra to their bill each month and you wil see tha they are now paying about $117/month for their service under the new plan, so it is still cheaper than their original $125, but just not as low as it was with the discount.  For me, we were paying about $180/month for my wife & I before we switched, and we are paying about $130 now.  If I remove the discount from our phones, our bill goes back up to about $180/month, so it is a break-even for me, except that I can save more money by paying full price for my phone and getting the $600 discount on my service over the 2 year period I would have been in a contract.  For the original poster, they wouldn't save money by paying the full price for their phone and keeping their discount that only adds up to $360 over the 2 years.

 

AT&T offers multiple plan types because each customer has a different situation, and one plan isn't a perfect fit for everyone.  The older plans have been grandfathered, which means if you still have one, you can keep it, but if you don't have it now, you can't get it.  Those older plans may actually not be such a great deal for so many customers in the long run.  It is just up to each of them to determine which available plan best fits their needs. 

T-Boy

Scholar

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105 Messages

7 y ago

All Att had to do when the came out with the Mobile Family plan was to say" this new plan does not include the cost of the phone"  They did not do this.

 

. If it was so clear why are there multitudes of loyal Att customers that did not understand it. Why was the Att Customer Service line swamped with complaints.

 

When I called to change back to my old plan 1 week after I changed I was told " You can't change back"  Why would Att not let me change back unless it was better for them in the long run.

 

The Att Customer Service reps did not understand the plan as well. I was given so much bad info and was given bad info again yesterday on a Chat Session.

 

The dumbest move yet was when I asked if I lowered my data plan from 10g to 6g how much would my bill go down. I was told my bill would go up if I lowered my usage.  Duh???

 

Everyone that switched to the Mobile Share Plan saved money in the short term and I agre with this. However, when they need new phones they will pay more unless the cost of phones goes down.

 

 

Tutor

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4 Messages

7 y ago

Well, I ended up doing a spreadsheet that compared all 3 options (new contract vs Next vs pay full price for phone) over 2 years and 4 years for one upgrade and then for two...the end result was that there was no more than $100 difference in every scenario. With only a 2G plan and two phones, I'm still saving a little over our old plan. ATT did offer to give us the old plan back, including unlimited data, but we obviously don't need that much data.

Question...someone said with a Next that you don't own the phone once it's paid off? Is that really true? I thought you did and if you want to leave before you've paid it off, you just pay the remaining balance and you can take the phone with you?


GLIMMERMAN76

ACE - Expert

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22.3K Messages

7 y ago

You do own the phone. You are just on the hook for the balance left on the phone. It just like a credit card you cancel it your are on the hook for the balance.

The new plans are a deal if you don't need iphones. Moto G is 219 unlocked with LTE. The moto E is only 125 out right.

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