Verizon Introducing $20 Fee to Upgrade Your Smartphone

[MacRumors]

Verizon customers planning on upgrading to the iPhone SE or another new smartphone should do so sooner rather than later, as the U.S.'s largest carrier has outlined plans to introduce a new $20 upgrade fee starting next week.

Beginning next Monday, April 4, a new $20 flat rate charge will be applied to smartphones purchased on a Device Payment financing plan, or at full retail price, according to a leaked internal memo obtained by MacRumors.

The same $20 premium will also apply to customers taking advantage of Apple's new iPhone Upgrade Program. Verizon cites "increasing support costs associated with customers switching their devices" as a reason for the new fees.

The new upgrade fees will impact all consumer accounts, as well as business accounts without an ECPD profile. Verizon's existing $40 upgrade fee for customers renewing a two-year contract with a new device remains in place.

The new $20 upgrade fee will be charged at the point of sale through direct Verizon sales channels, while the fee will be added to the customer's next bill when the smartphone is purchased through an indirect reseller.

AT&T similarly charges $15 per smartphone added or upgraded with AT&T Next, and "bring your own" devices. Sprint also charges an upgrade or activation fee up to $36 per device. T-Mobile does not have upgrade fees.

Article Link: Verizon Introducing $20 Fee to Upgrade Your Smartphone

 

[exodiusprime]

And yet T-Mobile still remains at zero. Awesome

 

[preludeoflight]

Phew, I had almost gotten worried that Vzw had run out of ideas and ways to charge me for absolutely no reason!

 

[tdmd]

Verizon cites "increasing support costs associated with customers switching their devices" as a reason for the new fees.

Support costs? what support costs? these companies should be called out for robbing their customers.

 

[Norbs12]

I guess they still have not figured out how to disable using apps on the iphone and then charge to enable them.

 

[oneMadRssn]

This is such nonsense, and a shining example of why telecom needs regulation.

Take SIM card out of old phone, insert it into new phone. Go online, and update the IMEI numbers if needed. How does this warrant a $20 fee?

 

[hlfway2anywhere]

Yeah I'll stick with T-Mobile.

 

[godslabrat]

I thought I paid them almost $200 a month to support my phone... where's the extra $20, and what is it going to? Why, exactly, do they need to charge me $20 because I agreed to give them more money?

 

[Andres Cantu]

T-Mobile's the only one who cares about their customers. There's no doubt about that.

 

[dk001]

No. I change or upgrade my devices all the time on AT&T and I have yet to see a $15 anything.
If I have AT&T do the upgrade via a new line or I buy the device through AT&T there is a fee. Not if I bring my own and upgrade an existing line.

 

[freepomme]

T-Mobile is the best cellular provider.

 

[DHagan4755]

Verizon should get stuffed. What a bunch of money grubbing pricks.

 

[chsweb]

Does anyone know if this new fee applies to people who upgrade at an Apple Store? I've never been to a Verizon Store for any iPhone needs, I am assuming (hoping) that if you upgrade in an Apple Store, there is no additional fee.

Anyone know?

 

[kodos]

I don't understand. I buy a new phone, and swap my SIM card out. How does Verizon know or care? Is this if you go into the store and hand them a shiny new phone, or purchase it from them? If so - one less reason to go into the store. Just do it from home. Buy the phone from Apple or (whoever).

I just bought a Moto X Pure Edition, plugged in my old SIM card into it; AT&T didn't care.

 

[Mr. Buzzcut]

This is such nonsense, and a shining example of why telecom needs regulation.

Take SIM card out of old phone, insert it into new phone. Go online, and update the IMEI numbers if needed. How does this warrant a $20 fee?

So you'd rather have another monthly regulatory compliance recovery fee? I don't think we can win other than jumping between carriers.

 

[SoAnyway]

I'm glad I'm with T-Mobile who doesn't charge upgrade fees for changing a few numbers in the computer.

 

[GtrDude]

Excellent.

Just means that many more people are coming over to T-Mobile.

I've been with T-mobile for almost 20 years and I have no complaints.

 

[iSee]

Verizon customers planning on upgrading to the iPhone SE or another new smartphone should do so sooner rather than later, as the U.S.'s largest carrier has outlined plans to introduce a new $20 upgrade fee starting next week.

Beginning next Monday, April 4, a new $20 flat rate charge will be applied to smartphones purchased on a Device Payment financing plan, or at full retail price, according to a leaked internal memo obtained by MacRumors.

The same $20 premium will also apply to customers taking advantage of Apple's new iPhone Upgrade Program. Verizon cites "increasing support costs associated with customers switching their devices" as a reason for the new fees.

The new upgrade fees will impact all consumer accounts, as well as business accounts without an ECPD profile. Verizon's existing $40 upgrade fee for customers renewing a two-year contract with a new device remains in place.

The new $20 upgrade fee will be charged at the point of sale through direct Verizon sales channels, while the fee will be added to the customer's next bill when the smartphone is purchased through an indirect reseller.

AT&T similarly charges $15 per smartphone added or upgraded with AT&T Next, and "bring your own" devices. Sprint also charges an upgrade or activation fee up to $36 per device. T-Mobile does not have upgrade fees.

Article Link: Verizon Introducing $20 Fee to Upgrade Your Smartphone

Guys, it's just a regular loyalty program, no need to get all upset.

Well, *you* pay *them* for your loyalty, but I'm sure it all makes sense to the Verizon bean counters.

 

[SoAnyway]

So you'd rather have another monthly regulatory compliance recovery fee? I don't think we can win other than jumping between carriers.

What the hell is a monthly regulatory compliance recovery fee?

 

[cableguy84]

What the ****?

 

[JoshGlzBrk]

Does anyone know if this new fee applies to people who upgrade at an Apple Store? I've never been to a Verizon Store for any iPhone needs, I am assuming (hoping) that if you upgrade in an Apple Store, there is no additional fee.

Anyone know?

Buying from Verizon's online site or in their stores, if you buy your phone at full price, or use their device payment program you'll pay a $20 upgrade free. If you use a 2-year contract upgrade you'll pay $40. At the Apple store, if you use Apple's completely separate iPhone upgrade program, you will pay a $20 upgrade free. If you buy the phone at full price, you won't have an upgrade fee.

 

[hattonna928]

Honestly I'm ok with this because it used to be $30 for the activation fee

 

[godslabrat]

This sounds exactly, exactly like one of those fees that can be waived by a manager that wants to make an extra sale before the end of the month. Just sayin'.

 

[Plutonius]

T-Mobile's the only one who cares about their customers. There's no doubt about that.

If they really cared, they would spend money on new towers (not upgrading old towers) so I could actually use T-Mobile .

 

[Böhme417]

I don't understand. I buy a new phone, and swap my SIM card out. How does Verizon know or care? Is this if you go into the store and hand them a shiny new phone, or purchase it from them? If so - one less reason to go into the store. Just do it from home. Buy the phone from Apple or (whoever).

I just bought a Moto X Pure Edition, plugged in my old SIM card into it; AT&T didn't care.

If you're not buying it from them, I would assume it falls under the "customer provided equipment" with no fee. It's like they are charging you an additional $20 for the "privilege" of getting the phone from them.