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For Most People, Contract Upgrade is Bad, Next is good, Buy it: Why? (AT&T)

N

nostresshere

macrumors 68030
Original poster
Dec 30, 2010
2,730
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Okay, so here is the pricing over 24 months if I want to add an Iphone 5S, 32 gb today on my plan. Numbers are from the ATT site - seems to be same price for upgrade or add a new line. We are on 10gb data plan.


Buy it now unlocked : $1,110 ($750 + $15 Month Service)
Next Plan 24 month : $1,110 (24 x 31.25 per month = $750 + $15 Month Service)
Contract or Upgrade: $1,260 ($300 now + $40 a month service)

If you need unlocked and/or intl - then the choice is obvious. Other than that, why buy it outright and why do people say NEXT is a ripoff? One could expect pricing may be similar when the 6 comes out.

HELP ME UNDERSTAND WHY I SHOULD NOT GO WITH NEXT?
 
Last edited:
nostresshere said:
Okay, so here is the pricing over 24 months if I want to add an Iphone 5S, 32 gb today on my plan. Numbers are from the ATT site - seems to be same price for upgrade or add a new line. We are on 10gb data plan.


Buy it now unlocked : $1,110 ($750 + $15 Month Service)
Next Plan 24 month : $1,110 (24 x 31.25 per month = $750 + $15 Month Service)
Contract or Upgrade: $1,260 ($300 now + $40 a month service)

If you need unlocked and/or intl - then the choice is obvious. Other than that, why buy it outright and why do people say NEXT is a ripoff? One could expect pricing may be similar when the 6 comes out.
Click to expand...

The biggest problem with Next is it takes two years to pay off the phone/contact. Most here want a new phone every year.

I guess I am lucky as I have the resources to pay outright for my phones and do not wish to be under any contract with AT&T!
 
nostresshere said:
Okay, so here is the pricing over 24 months if I want to add an Iphone 5S, 32 gb today on my plan. Numbers are from the ATT site - seems to be same price for upgrade or add a new line. We are on 10gb data plan.


Buy it now unlocked : $1,110 ($750 + $15 Month Service)
Next Plan 24 month : $1,110 (24 x 31.25 per month = $750 + $15 Month Service)
Contract or Upgrade: $1,260 ($300 now + $40 a month service)

If you need unlocked and/or intl - then the choice is obvious. Other than that, why buy it outright and why do people say NEXT is a ripoff? One could expect pricing may be similar when the 6 comes out.
Click to expand...

Next is no longer a ripoff. It was when it was first announced because AT&T tried to offer it without discounting plans.
 
Newtons Apple said:
The biggest problem with Next is it takes two years to pay off the phone/contact. Most here want a new phone every year.

I guess I am lucky as I have the resources to pay outright for my phones and do not wish to be under any contract with AT&T!
Click to expand...

You can pay off the phone anytime you want 5 months, 12 months, whenever. Once it is paid off, you are no longer under any obligation with ATT - yes? At that point it is the same as if you paid it in full on day one. The price does not change. The "contract" is only a perception.
 
Newtons Apple said:
The biggest problem with Next is it takes two years to pay off the phone/contact. Most here want a new phone every year.

I guess I am lucky as I have the resources to pay outright for my phones and do not wish to be under any contract with AT&T!
Click to expand...

It takes 20 months if you make the minimum payment. You are welcomed to pay it off I believe after 2 months of service.

AT&T Next 12 lets you upgrade every 12 months if you trade in your own device (if it is not paid off) or pay off your device before 12 months and upgrade while keeping your old device. AT&T also offers Next 18 which lets you upgrade every 18 months with lower monthly payments and 26 months to fully pay it off (or pay it off as soon as you can).

AT&T Next is not a contract. Also, you pay $31 a month for your device and AT&T gives you a discount of $15 a month if you're on the Mobile Share data plan of less than 10GB, more than 10GB you get $25 off a month. So essentially your bill goes up by $6 or $11 than what you pay now.
 
nostresshere said:
You can pay off the phone anytime you want 5 months, 12 months, whenever. Once it is paid off, you are no longer under any obligation with ATT - yes? At that point it is the same as if you paid it in full on day one. The price does not change. The "contract" is only a perception.
Click to expand...

I realise that but I feel that people who could not afford to buy their phone outright will likely not be paying it off early.
 
For Most People, Contract Upgrade is BAD, Next is good, Buy it: Why? (ATT)

Newtons Apple said:
I realise that but I feel that people who could not afford to buy their phone outright will likely not be paying it off early.
Click to expand...


Why would you want to pay it off early? Same out pocket cost today or two years from now.

----------

By the way, I entirely agree with the original post. Contract prices are not better if you have a data package greater than 10GB. And Next is the exact same cost as buying outright, so I see no reason not to buy next unless you need to use it in another country.

If you have less than 10GB then a contract is cheaper than buying outright.

However, you'll actually notice that a 10GB plan on Next is almost the exact same out of pocket cost as a 6GB plan on contract or full price. So you would be foolish to choose a 6GB plan over a 10GB plan. Just a heads up.
 
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saving107 said:
It takes 20 months if you make the minimum payment. You are welcomed to pay it off I believe after 2 months of service.

AT&T Next 12 lets you upgrade every 12 months if you trade in your own device (if it is not paid off) or pay off your device before 12 months and upgrade while keeping your old device. AT&T also offers Next 18 which lets you upgrade every 18 months with lower monthly payments and 26 months to fully pay it off (or pay it off as soon as you can).

AT&T Next is not a contract. Also, you pay $31 a month for your device and AT&T gives you a discount of $15 a month if you're on the Mobile Share data plan of less than 10GB, more than 10GB you get $25 off a month. So essentially your bill goes up by $6 or $11 than what you pay now.
Click to expand...


Yes and at month 12 you can see if the phones are selling for more than your final payments... Most likely they will be... You can decide what you want to do. Hand it back or keep and sell.
 
afurry13 said:
Why would you want to pay it off early? Same out pocket cost today or two years from now.

----------

By the way, I entirely agree with the original post. Contract prices are not better if you have a data package greater than 10GB. And Next is the exact same cost as buying outright, so I see no reason not to buy next unless you need to use it in another country.

If you have less than 10GB then a contract is cheaper than buying outright.

However, you'll actually notice that a 10GB plan on Next is almost the exact same out of pocket cost as a 6GB plan on contract or full price. So you would be foolish to choose a 6GB plan over a 10GB plan. Just a heads up.
Click to expand...

I AM NOT SUGGESTING YOU PAY IT OFF EARLY!!!:mad:
 
The reason I'm not doing it is because I have unlimited data and AT&T won't allow me to keep that plan and be on NEXT. I'm not sure if I'll get an old fashioned contract or buy the phone outright.
 
barkomatic said:
The reason I'm not doing it is because I have unlimited data and AT&T won't allow me to keep that plan and be on NEXT. I'm not sure if I'll get an old fashioned contract or buy the phone outright.
Click to expand...

^^^THIS^^^

Best reason NOT to use Next!

Not giving up my Unlimited Data Plan so I could pay my phone off with installments! Talk about not making any sense!
 
I don't like these programs for a variety of reasons:

1. The phone is not yours until you pay it off.
2. When you decide to turn in your phone for these programs, they must be in good condition. At that point it is carriers (not apple, who are known to be more lenient) who decide what exactly is good condition.
3. You cannot reuse+recycle these devices until you pay carriers the remaining balance.
4. You cannot sell these devices to another person until you pay carriers the remaining balance.
5. If you lose the phone, you must pay off the remaining balance to get a new phone.
6. If you break your phone, you must get it repaired/replaced before wanting to get a new phone with an early upgrade.

The contract + sell your phone every year sounds like a better deal. Life happens... people drop, break and lose their phones at times and these programs are very unforgiving for it.

All the scenarios above are concerning wanting to get a early upgrade prior to paying off the full balance of the phone - which is the whole reason for doing it.
 
For Most People, Contract Upgrade is BAD, Next is good, Buy it: Why? (ATT)

IndoX said:
I don't like these programs for a variety of reasons:

1. The phone is not yours until you pay it off.
2. When you decide to turn in your phone for these programs, they must be in good condition. At that point it is carriers (not apple, who are known to be more lenient) who decide what exactly is good condition.
3. You cannot reuse+recycle these devices until you pay carriers the remaining balance.
4. You cannot sell these devices to another person until you pay carriers the remaining balance.
5. If you lose the phone, you must pay off the remaining balance to get a new phone.
6. If you break your phone, you must get it repaired/replaced before wanting to get a new phone with an early upgrade.

The contract + sell your phone every year sounds like a better deal. Life happens, people drop, break and lose their phones at times and these programs are very unforgiving for it.
Click to expand...


If you lose your contract device, you are out of a bundle of money as well. You'll be paying an extra $25/line (essentially a full Next payment) for the remainder of the contract and you'll have to find about $500-$600 for a new iPhone in addition to the increased rate. Losing your phone is a huge no no regardless if you buy outright, Next, or contract.

If you damage it, at least Apple will give you a new one for about $300
 
barkomatic said:
The reason I'm not doing it is because I have unlimited data and AT&T won't allow me to keep that plan and be on NEXT. I'm not sure if I'll get an old fashioned contract or buy the phone outright.
Click to expand...

I think I am going to pay for the iPhone 6 in full, I will be getting $270 from my iPhone 5S so that will offset the costs. This will not effect my contract upgrade eligibility which is 9/21/2015 so next year I can get a full upgrade!
 
afurry13 said:
If you lose your contract device, you are out of a bundle of money as well. You'll be paying an extra $25/line for the remainder of the contract and you'll have to find the money for a new phone.
Click to expand...
Losing the contract device is different. You can easily purchase a cheap phone on craigslist and activate it or do a cross upgrade from someone else on your account.

On Next, you MUST pay off the remaining balance of the device before considering ever going on the program again for an early upgrade.
 
For Most People, Contract Upgrade is BAD, Next is good, Buy it: Why? (ATT)

IndoX said:
Losing the contract device is different. You can easily purchase a cheap phone on craigslist and activate it on your account or do a cross upgrade from someone else on your account.



On Next, you MUST pay off the remaining balance of the device before considering ever going on the program again for an early upgrade.
Click to expand...


So what, you're still paying $25/month plus taxes and fees because you're on a contract versus about $31 (no taxes or fees) on Next. It's a virtual wash in my opinion given that Next didn't have you put any money down.
 
afurry13 said:
So what, you're still paying $25/month plus taxes and fees because you're on a contract versus about $31 (no taxes or fees) on Next. It's a virtual wash in my opinion given that Next didn't have you put any money down.
Click to expand...
All of the programs have a possibility of money down depending on your credit worthiness. Same as contracts.
 
For Most People, Contract Upgrade is BAD, Next is good, Buy it: Why? (ATT)

IndoX said:
All of the programs have a possibility of money down depending on your credit worthiness. Same as contracts.
Click to expand...


Irrelevant. We're assuming terms as advertised by AT&T, which most people can get.

The $200 down on contract is $8.33/month for 24 months. Plus the $25 contract line price is $33.33.

Next is $27/month for the same phone. Next wins.
 
Wait until they announce the contract upgrade is $299 for a 16GB.:cool:

If you are on a 10GB plus plan then NEXT or Cash is the bet way to go.. If you aren't... then you will need to look at your situation.
 
IndoX said:
All of the programs have a possibility of money down depending on your credit worthiness. Same as contracts.
Click to expand...

If your credit is so ****** that you can't get a phone on Next/Edge/Jump or whatever programs other carriers have, you probably shouldn't be buying a $700 phone.
 
Can I get the $25 off per line on the 10GB plan and still use my 25% off FAN? If someone is nice enough to do the numbers for me lol. I plan on buying outright (32GB) so no need to add NEXT payments. All this is making my head spin.
 
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