# Changes in how you buy your phones--two year contracts a thing of the past?



## Betsy the Quilter (Oct 27, 2008)

Thought some would find this interesting:

http://appadvice.com/appnn/2015/06/att-and-verizon-are-changing-how-iphones-will-be-sold-at-your-local-apple-store


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## Pickett (Jan 6, 2011)

From the article:  "AT&T is now only allowing Apple to sell iPhones at its retail stores and online site with the carrier’s Next pricing structure"

Thanks for this article link.  I am switching to my daughter's plan, from Verizon to AT&T and yesterday tried to see what price an iPhone would be at the Apple site.  It would not give me a price or option to buy except as Next. I couldn't figure it out until I read this article.
I can buy unlocked though, which should be the same thing-I think we just go to AT&T and get the sim card.


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## Rick Gualtieri (Oct 31, 2011)

AT&T screwed me and my wife over with this when the iphone 6 came out.  We bought it on the normal subsidy, then a few weeks later they came out with some new plans that looked like a better deal than the one we're currently on.  I tried to switch, only to find them charging me the exactly same amount.  I called to complain and their excuse was "Sorry, but that pricing is only available to non-subsidy customers".  Bottom line (and I say this as someone who has worked at the major telecoms) is: most of the "do this and save!" deals out there come with gotchas that mean you end up paying for the same crap, just wrapped up in a different bow.


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## Pickett (Jan 6, 2011)

IMHO all the phone companies are crooked.  AT&T told my SIL that he should get his iphone on the NEXT plan bc he had already earned the subsidized phone and might as well take advantage of it; then he could switch to the non-subsidized plan.  NOPE.  He is now trapped for another two years on NEXT paying more per month and unable to take advantage of the $10 month per line saving.
  
But Verizon is no better.  I am still trapped with them because I have three family members left but on our family plan where we pay big bucks for not much. I have told my two adult children on that plan that next March they are on their own.

Another daughter sent me an article that said the best "plan" is a no contract plan and unlocked phone.  Not only is it cheaper in the long run, but you can switch as better  options open up. Since I will probably hold on to this iphone for a long time I may end up jumping ship at some point.


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## Betsy the Quilter (Oct 27, 2008)

I will say that I've had TMobile for a number of years; I was renewing my plan a few years ago and they had a promotion for new customers.  I asked if I could have that rate and they gave it to me.  Never hurts to ask.  Don't know if they would still do that, but it's one reason I'm still a customer even though I'm on a pay-as-you-go plan now.

Betsy


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## ChadMck (Feb 25, 2011)

A little insider perspective. I worked for one of the companies doing these plans for a period of time. Each of them has their own version of NEXT. Depending on your data they aren't bad deals. The reason companies are moving to this are two-fold. 

1.) Customers always complain about not being able to get a new phone whenever they want one. With these programs you can trade your phone in every year/18 months without "paying" for your next phone. You are essentially leasing the phone for the short term because you want to get the "latest and greatest" the moment it comes out. 

2.) It costs more to leave. Companies will tell you there is "no early termination fee." This is true. What they aren't telling you upfront is that instead of paying a $350 early termination fee you are on the hook for a $600-$1,000 smartphone if you decide to leave. 

So which plan is better for you? If your data cap qualifies you for the larger discount go with the payment plan every time. The math works in your favor. Example. My iiPhone 6 would have cost me $340 under a two year contract. With the plan that I'm on I pay $31 per month and get a $25 discount. $31-$25 = $6. Now take $6 and multiple by a 24 month contract. $6 x 24 = $144. I have now paid $200 less on a NEXT type plan than I would have for a two year contract. 

THIS PART IS IMPORTANT SO I AM TYPING IN CAPITAL LETTERS!

After 24 months the phone payments stop but I MAINTAIN THE DISCOUNT. So my cell phone bill goes down by $25 per month, making it far more manageable. 

Another thing, and I'm going to start sounding bitter so bear with me. We are not entitled to cell phones. They are incredible pieces of technology that we pay for. They can be expensive, but no one is forcing you to buy a new phone every two years. YOU DONT HAVE TO. You can get discounts when you're out of contract. DON'T SELL YOUR OLD PHONE BACK TO THEM. Keep it as a back up. Life happens, and if you aren't carrying insurance on your phone it's going to be expensive to replace. TAKE CARE OF YOUR PHONE. It's just about the only thing you take everywhere with you. Why wouldn't you treat it with a little respect and reverence considering it's your lifeline to the outside world? 

Do research before you go buy your phone. if you walk into the store without any idea what you want then they will sell you the phone they can make the most money off of. DO NOT GO TO "AUTHORIZED RETAILERS. ASK IF THEY ARE A CORPORATE LOCATION." Authorized retailers will take advantage of you every single time. They will lie through their teeth. 

Other than that I have no thoughts on the subject.


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## Atunah (Nov 20, 2008)

I never had a contract. I always had pre-paid. My first cell phone was a dumb one on gophone ATT plan and last year I got a Moto G and jumped on Cricket. Cricket is now owned by ATT so covers the same areas. I got the phone from Cricket for a discount, but I could have bought the unlocked GSM version from amazon. There are some great phones out now, the Zen2 and the idol3 by alcatel. $199 and 299. Use on any GSM service. 

I have no interest in iphones so maybe that makes it an easier decision. Never crossed my mind to have a contract as I couldn't find a plan that was affordable. I pay $35 a month for unlimited calls and text and unlimited data with the first 2.5 GB at LTE speed, after that it is throttled, but still works for a lot of stuff.


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## Betsy the Quilter (Oct 27, 2008)

More or less the same here, Atunah.  I have pre paid or pay as you go--$35 a month for unlimited calls and text and I can't remember how much data--it's not unlimited but I've never hit my cap since I'm at home on WiFi most of the time anyway.

Betsy


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## ChadMck (Feb 25, 2011)

Prepaid plans are the best way to go if you don't need the latest hotness at all times. Most people overpay for their phones, mostly to keep up with the Joneses. I just recently stopped using my iPhone 4 because it was only 3G and the iPhone 6 was a major leap, but I doubt I will be upgrading my iPhone 6 until it gets to the point where it's almost unusable.


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## Upwardz (Jun 15, 2015)

Just as well.  It seems many of the new phones are not lasting 2 years anyway, so why should the contract.  My last phone seems to ready to be scrapped, and I have only had it 7 months.


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## ChadMck (Feb 25, 2011)

Upwardz said:


> Just as well. It seems many of the new phones are not lasting 2 years anyway, so why should the contract. My last phone seems to ready to be scrapped, and I have only had it 7 months.


This is true in a lot of cases. Phones are like cars. For the most part they run great but every once in awhile you get a lemon. With that being said I highly suggest researching the phones and going with dependable brands. I'm not a fan of Samsung because I saw so many of those phones returned. I use Apple because they have never given me any trouble.

With that being said I never do software updates on a phone unless I'm forced to. Often when they roll out software updates they glitch and make the phone unusable. I always wait a few weeks or a month before I update so the kinks are ironed out.

Also, don't go "cheap" if you can avoid it. Free phones are free for a reason. Spend a little more on the product you're using every single day.


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## corkyb (Apr 25, 2009)

I have an iphone 5 with a not so gret plan.  450 minutes, I pay fo r 200 texts and they screwed me out of free nights and weekends when I took my mom off who wasn't on in the beginning anyway.  I lost that battle so I hve a certain number of night and weekend with AT&T.  The thing I do have is unlimited data and I don't want to give that up for $29.99.  I also have unlimited data on my ipad for another $29.99.

Are you saying I will lose the unlimited data and have to go to a NEXT plan? Or that might be cheaper?  I don't use my phoe a lot but am thinking of getting rid of my home phone.  Also might be moving to Texas in a year or so and AT&T isn't the greatest down there.  But even though I don't use the data, I want to keep it unlimited on an iphone 6+ and thereby bypass buying an iipad mini or a newer ipad air. I have the Ipad 4.  

Paula

thanks,


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## AltMe (May 18, 2015)

I have the contract I want, now well and truly out of it contract time.

Last time I upgraded my phone, I simply ordered on over the net, at the best price I could find. Swap the sim over, reload the last backup, no problems.

The lock in plans are for people with no spare cash to buy a phone with. If you have the cash, or can pay off the credit card quickly, ignore the lock in contracts.


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## Ann in Arlington (Oct 27, 2008)

We've been with Verizon since we first got cell phones -- around 2004 I think.  Have always gotten a discount as retired military.  End of June we got an email that effectively said, "thanks for sticking with us, here's a discount."  It was $10 reduction on Ed's flip phone and $15 on my smart phone.  So our monthly rate went down by $25 a month.  We just had to go to the site and accept the offer. Cool beans!

And last year sometime there was an unadvertised data increase . . . . . if you logged on to your account, there was a link to click to increase your monthly data for no extra cost. Heard about it on the local TV news: totally did that. 

ALSO, they have some kind of rewards points plan, too . . . . mostly it's discounts on other stuff.  But once it was, "hey, use your points to buy extra data." Came at exactly the right time 'cause we knew we'd be traveling -- when we tend to use more -- so I jumped on that. Worked out well. I'd been planning to add some data for a couple of months anyway -- normally would cost $10 per month, or $15 if you don't pre-pay and go over -- but with this promo it was free. 

Overall, we've been very happy with Verizon -- phones work most everywhere 'round here and where my son lives, and have been happy with price and service in their stores.


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## cork_dork_mom (Mar 24, 2011)

We're in Texas and Verizon works great here. They also a monthly discount to teachers and military. Worth asking about.


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## The Hooded Claw (Oct 12, 2009)

I've been on Verizon for almost four years. The rural coverage is incredibly good most everywhere in the US I have traveled. Once out in the Nevada desert where there were less than 1000 people in a fifty mile radius, I not only had cell coverage, I had data! I get a discount as a government employee,  but it only applies to part of my plan, the data portion I think. They are not the cheapest, but I value the good coverage more than shaving a few bucks off my bill.


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