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Posted Sep 6, 2013
5:02:23 PM
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Upgrade by canceling?

ok obviously the new iphone is coming soon.....

 

I have multiple phones on my plan.

 

AT&T has discontinued the "early upgrade" IE: when your phone is less than 2 years old, where you would pay $450 for a new iphone (instead of $200). now you have to wait the full 2 years for the $200 upgrade.

 

HOWEVER.. i notice on my iphone 5, i have had it for 12 months.

 

If i terminate the line (pay the termination fee of $325 - (12 months X $10) = $205), can i then get a new iphone for $200 on a new 2 year contract and keep that old number?

 

 so my cost would be $200 for new phone, plus $205 for cancellation = $405). and then signon for another 2 year contract?

 

in effect, its the same as the old early termination (in fact better, its alittle cheaper).

 

This would also appear to be a better deal than their "Next" plan, just upgrade/cancel every year.

 

 

 

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Sep 10, 2013 12:03:15 PM
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ACE - Professor

Aybara wrote:

Those plans are all horribly horribly thought out.  T-Mobile's is the least offensive of them all, and it is still a bad deal.


Why is T-Mobile's the least offensive of them all?  It's the most costly.  Full disclosure:  I think that they are all bad, but if I can join Next and pay it off the same day, I may do that since it is cheaper than paying full price for some of the phones.


Aybara wrote:

Those plans are all horribly horribly thought out.  T-Mobile's is the least offensive of them all, and it is still a bad deal.


Why is T-Mobile's the least offensive of them all?  It's the most costly.  Full disclosure:  I think that they are all bad, but if I can join Next and pay it off the same day, I may do that since it is cheaper than paying full price for some of the phones.

*The views and opinions expressed on this forum are purely my own. Any product claim, statistic, quote, or other representation about a product or service should be verified with the manufacturer, provider, or party.

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Sep 10, 2013 12:18:15 PM
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Teacher

T-Mobile's monthly service fees are cheaper for one, so adding the 'subsidy fee' brings it up.

 

However, with AT&T you are technically ALREADY paying your handset subsidy fee.  As after two-years your monthly bill doesn't go down if you don't upgrade.  Then they are slapping another $25/mo on top of your monthly fee.

 

Various sites have already done the cost to user breakdown, and T-Mobile's came in as the cheapest.

 

But again, as you said, they are all bad.  You are actually paying more out-of-pocket.  Granted it is in small chunks, so if you can't eat the whole fee upfront it MIGHT be good.  But overall, you are better off paying the full price later and selling your old phone to a 3rd party rather than losing it.

T-Mobile's monthly service fees are cheaper for one, so adding the 'subsidy fee' brings it up.

 

However, with AT&T you are technically ALREADY paying your handset subsidy fee.  As after two-years your monthly bill doesn't go down if you don't upgrade.  Then they are slapping another $25/mo on top of your monthly fee.

 

Various sites have already done the cost to user breakdown, and T-Mobile's came in as the cheapest.

 

But again, as you said, they are all bad.  You are actually paying more out-of-pocket.  Granted it is in small chunks, so if you can't eat the whole fee upfront it MIGHT be good.  But overall, you are better off paying the full price later and selling your old phone to a 3rd party rather than losing it.

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Sep 10, 2013 7:16:34 PM
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ACE - Professor

The breakdowns try to compare like plans/feature offerings to make the case, which is valid for comparison purposes.  However, real customers can choose features and come out with different pricing to suit their needs.  For example, T-Mobile's JUMP program is only available with the Simple Choice plans.  Those plans include unlimited text messaging.  An AT&T customer can choose to forego text messaging and get a voice plan for $40 and a data plan for $20 for a total plan cost of $60.  T-Mobile's cheapest Simple Choice plan is $50, so that would be a $10 savings.  But the JUMP program requires a $10 monthly fee, so those savings are eliminated.  Factor in the device price for both carriers and it comes close to even.

 

Add in the coverage differences for AT&T and T-Mobile, a real customer may decide that any additional dollars would be worth the additional coverage offered by AT&T.

The breakdowns try to compare like plans/feature offerings to make the case, which is valid for comparison purposes.  However, real customers can choose features and come out with different pricing to suit their needs.  For example, T-Mobile's JUMP program is only available with the Simple Choice plans.  Those plans include unlimited text messaging.  An AT&T customer can choose to forego text messaging and get a voice plan for $40 and a data plan for $20 for a total plan cost of $60.  T-Mobile's cheapest Simple Choice plan is $50, so that would be a $10 savings.  But the JUMP program requires a $10 monthly fee, so those savings are eliminated.  Factor in the device price for both carriers and it comes close to even.

 

Add in the coverage differences for AT&T and T-Mobile, a real customer may decide that any additional dollars would be worth the additional coverage offered by AT&T.

*The views and opinions expressed on this forum are purely my own. Any product claim, statistic, quote, or other representation about a product or service should be verified with the manufacturer, provider, or party.

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Sep 10, 2013 7:22:53 PM
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Expert

Aybara wrote:

T-Mobile's monthly service fees are cheaper for one, so adding the 'subsidy fee' brings it up.

 

However, with AT&T you are technically ALREADY paying your handset subsidy fee.  As after two-years your monthly bill doesn't go down if you don't upgrade.  Then they are slapping another $25/mo on top of your monthly fee.

 

Various sites have already done the cost to user breakdown, and T-Mobile's came in as the cheapest.

 

But again, as you said, they are all bad.  You are actually paying more out-of-pocket.  Granted it is in small chunks, so if you can't eat the whole fee upfront it MIGHT be good.  But overall, you are better off paying the full price later and selling your old phone to a 3rd party rather than losing it.


by the time you add in all their surcharges it really does not matter ther difference in cost in minor. Besides the reason that the carriers brought this out was not to save money for the end user, it was to play to the desire of wanting the newest and greatest toy, the only winner here is the carrier when they get to refurb your phone that was turned in and sell it again.

 

can you explain this statement "Then they are slapping another $25/mo on top of your monthly fee" I never have seen a 25.00 fee slapped onto my monthly fee, in contract or out of contract, what exactly is this fee?


Aybara wrote:

T-Mobile's monthly service fees are cheaper for one, so adding the 'subsidy fee' brings it up.

 

However, with AT&T you are technically ALREADY paying your handset subsidy fee.  As after two-years your monthly bill doesn't go down if you don't upgrade.  Then they are slapping another $25/mo on top of your monthly fee.

 

Various sites have already done the cost to user breakdown, and T-Mobile's came in as the cheapest.

 

But again, as you said, they are all bad.  You are actually paying more out-of-pocket.  Granted it is in small chunks, so if you can't eat the whole fee upfront it MIGHT be good.  But overall, you are better off paying the full price later and selling your old phone to a 3rd party rather than losing it.


by the time you add in all their surcharges it really does not matter ther difference in cost in minor. Besides the reason that the carriers brought this out was not to save money for the end user, it was to play to the desire of wanting the newest and greatest toy, the only winner here is the carrier when they get to refurb your phone that was turned in and sell it again.

 

can you explain this statement "Then they are slapping another $25/mo on top of your monthly fee" I never have seen a 25.00 fee slapped onto my monthly fee, in contract or out of contract, what exactly is this fee?

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Sep 11, 2013 9:51:33 AM
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ACE - Professor

Aybara was referring to the Next device payments being added on to the existing MRC.  The thought is that the existing MRC includes a payment toward the subsidy of the phone.  While there is no line-item charge that states this, Randall Stephenson described the phone-buying process this way in a testimony to the Senate Judicial Committee two years ago.  So Aybara's claim is that you are paying twice for your phone on the Next plan, versus paying for it only once on T-Mobile's JUMP plan.

Aybara was referring to the Next device payments being added on to the existing MRC.  The thought is that the existing MRC includes a payment toward the subsidy of the phone.  While there is no line-item charge that states this, Randall Stephenson described the phone-buying process this way in a testimony to the Senate Judicial Committee two years ago.  So Aybara's claim is that you are paying twice for your phone on the Next plan, versus paying for it only once on T-Mobile's JUMP plan.

*The views and opinions expressed on this forum are purely my own. Any product claim, statistic, quote, or other representation about a product or service should be verified with the manufacturer, provider, or party.

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Sep 11, 2013 10:58:22 AM
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21stNow wrote:

Aybara was referring to the Next device payments being added on to the existing MRC.  The thought is that the existing MRC includes a payment toward the subsidy of the phone.  While there is no line-item charge that states this, Randall Stephenson described the phone-buying process this way in a testimony to the Senate Judicial Committee two years ago.  So Aybara's claim is that you are paying twice for your phone on the Next plan, versus paying for it only once on T-Mobile's JUMP plan.


ahh goverment financial reasoning


21stNow wrote:

Aybara was referring to the Next device payments being added on to the existing MRC.  The thought is that the existing MRC includes a payment toward the subsidy of the phone.  While there is no line-item charge that states this, Randall Stephenson described the phone-buying process this way in a testimony to the Senate Judicial Committee two years ago.  So Aybara's claim is that you are paying twice for your phone on the Next plan, versus paying for it only once on T-Mobile's JUMP plan.


ahh goverment financial reasoning

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