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$1000 deposit to restart service?
- Thread starter Martyimac
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Keep in mind one other thing too. Starting a new account with something like AT&T, especially with a subsidy will cause a credit check. While soft checks (like what the carriers use) won't affect your score, a large number of inquiries in a short period of time can be a red flag. For soft checks, it will mostly show up in AT&T's system, and nobody else's... and their system will throw a fit because of the number of checks performed.
Someone I know started getting into problems while looking for a home loan because they were in a weird situation financially. As each creditor kept turning them down, it became even harder for the next one to approve a loan, as the checks themselves were gumming up the automated systems and saying "don't lend to this person".
Yes, so now I seem to be locked to VZW since ATT no longer wants me as a customer. No big deal, everywhere I have live seemed to have better VZW service than ATT anyway. Just the luck of the draw I guess, I just wanted to check out ATT coverage in S. Arizona, around the Tucson area. Guess it doesn't matter now.
It really is no big deal, just thought the forum might be interested in what a carrier can do even if you own your own iPhone 4. Which I do.
AT&T loses money every time you quit, even after paying all fees. Frankly, you are an unreliable customer and I actually agree with AT&T on this.
There's absolutely no reason to keep trying the service again on each different phone.
Well there was a reason, at least I thought so. The 3 was horrible where I live. So waited a little and tried the 3GS which was no better and then right after I went in and tried the 3GS, Apple announced the 4. The 4 just wowed me so I ported back out of the 3GS and waited until I could get the 4. The first IP4 I tried had horrible reception and the "deathgrip" issue and the first weekend I tried it, I dropped 7 of 10 calls. So ported out again. About a month after that, ATT released their femtocell which made a huge difference at the house. Went back AGAIN and got a 4, with the understanding, from the local ATT office that 3G was due within the month. That was August. Then in was due in Sep., then OCT., and on and on. In late November I finally gave up and went back to VZW with a BB Bold. And VZW does have 3G in this area. Finally, 2 days ago ATT turned on 3G in this area, though not completely, they are still in the testing and adjusting phase. At this point, I decided that I wanted to re-activate my IP4 to test out the 3G and take it with me on a trip out west to check out the area in AZ we are thinking of moving to when we finally leave here.
The rest is, as they say, history. And I do agree with you as to me being an unreliable customer. Again in hindsight, it just caught me by surprise and wanted to let the other members know.
Well think of it like this. You'll eventually get the $1000 back in a check from ATT in about a year. This insures them that you won't leave any time sooner, which I don't blame them.
When AT&T or any carrier conducts a credit check (which they clearly did) and then requires you to put up a high deposit, then they are required to send you, in writing, a reason for their decision. Look for it in the mail. It will explain why they came up with such a high deposit amount, and will list the credit reporting agency they used to base their decision.
Your next move should be to contact that agency and get a copy of your report, which they should offer for you for free.
That doesn't always mean your credit is good.
Most people will actually score higher if they have a mortgage with a good history of on time payments, than having no mortgage at all. The same is true having no outstanding debt: most will score higher if they have a small amount (10-20% of their credit limits or so) a history of paying those balances off, than they would by constantly having no balances at all.
Moral of the story, I guess ATT thinks you have to pay to play.
No, there's definitely something more to this, it would benefit you to find out what that is. If AT&T is giving you a hard time with deposits, there could be something you're not aware of that you need to correct on your credit report.
EDIT: One other thing. When carriers check your credit, they're not just using the typical credit reporting companies. In addition, they also using a "Telecom Decisioning Tool" that is meant to detect possible fraud. Companies like LightBridge, Equinox IS, Vesta, Neustar and IBM offer these types of tools. And I'll bet that rapidly opening and closing wireless accounts in a short time period has put you on their radar as a possible risk of fraud.
If your credit is spotless and AT&T wants 1 large to let you sign up, then I bet you have a fraud file with one of these companies after they've seen your Social Security pop up in their inquiry system one too many times. And it WILL affect you at other carriers, too.
Bottom line is, you need to find out form AT&T exactly why they put the brakes on your activation.
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Sure, but the ETF probably doesn't cover everything AT&T had to pay to Apple. Or if it does, it left no profit.
Supposedly AT&T pays at least $300 subsidy. Perhaps more. ETF starts at $325 and goes down $10 a month.
You are not a loyal customer, therefore they are making you pay such a large deposit to make you think twice about leaving. Maybe next time you will stop being a jerk. Not only that but so many credit checks in a short space of time will most likely harm your credit rating ( it does in the UK )
To the OP, if I read you correctly, in 2010, you try out 1 3g, 1 3gs, 2 ip4 and when you want to try out the ip4 for the 3rd time in 2011, you are ask for a $1,000 deposit.
They won't offer it for free. But they are legally obliged to provide it to you for free if you've received such a letter recently. I don't remember exactly what 'recently' is, but is like 30 or 60 days or some such.
The important distinction is that you should specifically request your free report due to a recent credit decision.
Yes, you may get lucky and get a person who will offer it, but I wouldn't doubt most of them are well trained to not offer unless you specifically request it.
I believe it is also required for details about getting your free report to be in the letter you receive.
Also note this free report is separate from the one you are entitled to once per calendar year from all 3 companies.
If I were a big wig at AT&T you got one more chance than I would have gave you. Saying that after the you tried out the 3GS you would have been burnt and I would of told you to kick rocks and or pay the 1g to stay and play. I understand you wanting the Iphone bad enough that you kept trying but they are running a business and for a business to succeed they need to make money and cut out anything that is unnecessary and is costing money which unfortunately = you. I personally would have told you to pound sand long ago.
True, there might be some loss in there for AT&T but again it would be perfectly legal to break your contract at any time as long as you pay the ETF.
Personally I think there's more into this than just the OP's side
No offense to the OP but there is more to this story that you're not telling OR AT&T is not telling you.
As for the credit checks and all that, it varies. I can attest to that. I went in to AT&T in 2008 knowing full well my credit was not good EXPECTING to be turned away. I left with a new account and an iPhone 3G with nothing but my signature. So, not sure what they base it off honestly.
As for the credit checks and all that, it varies. I can attest to that. I went in to AT&T in 2008 knowing full well my credit was not good EXPECTING to be turned away. I left with a new account and an iPhone 3G with nothing but my signature. So, not sure what they base it off honestly.
No, I think the moral of the story is don't think you can cancel/renew excessively and expect any company to welcome you back with open arms. This is not ATT's fault, no matter how much you want to blame them, or justify your reasons.Moral of the story, I guess ATT thinks you have to pay to play.
You cost them a lot money by your excessive canceling/renewing accounts. There was not economic reason for them to take a chance on you again.
In the states, you can get a copy of your credit report from the big 3 once, annually, from each. This is in addition to the one you can get after a denial from the company that turned you down (which, I would hope, would show what triggered their denial).
Just be careful. Many places advertise free reports, but they require you to sign up for service for a free. Like the one that has the guy singing. The free site is https://www.annualcreditreport.com/cra/index.jsp
ETF's are put in place to retain customers and discourage people from breaking contracts...you've basically proven to AT&T that ETF's don't mean squat to you...so the deposit is their way of keeping you for an entire contractual period...apartment complexes do this all the time, if your rental history is poor then your deposit will be higher if they rent to you at all...Be glad AT&T left the door open for you because once a cell carrier drops you and denies you service the others will follow suit based on your credit report
Same thing happened to me, except I sold the phones after paying the ETF. I tried Sprint, Verizon, Tmobile, whatever new phone came out. left within 30 days then moved to the next carrier. The first, second, third time I was transfered to the "special porting" office. They are the only office that can reverse this "Your a bad boy" charge. The last time I was flagged by Apple and AT&T as a "player". 90 days is the magic number to not have to pay this. Ask me how I know
Yes and no on the losing money. Yes before the iphone 4, ATT's ETF was only $175 even for smartphones. So it made sense to buying the subsidized iphone $199 and than pay the $175 ETF (plus taxes, activation etc). That was much cheaper than paying $599 ($699 for the 32GB).
Now with the ETF at $325, ATT loses very little if any money on a customer if they terminate their plan and pay that $325 ETF (minus $10/month). Because the customer would have to pay for at least one month's service also.
You already have an iPhone 4, so why not get a prepaid card w/ data (if they even sell them) and try it out that way?
Just wanted to add to this thread as this same thing happened to me today at my local AT&T Store. My history is over the last 5 years I've lived in a high-rise apartment and reliable cell service is tricky to find. I've switched between 4 carriers over the last 5 years, the last time I was with AT&T was January 2011.
Last month I moved to a new building and to a lower floor and I get much better reception, so naturally I'd like to switch back to AT&T because 99% of my family is with them as are my friends. Today I was going to switch and was told I'd need to do the $1000 deposit. The rep called customer service and was told 1) it has to do with payment history on prior accounts, and 2) it is due to response from credit bureau.
My credit score is over 800 and I also checked with TransUnion for my report and it is flawless. At the AT&T store the rep pulled up my old accounts, no balance on any of them and I've never had a late payment.
I always also pay full retail for my phones, since I know I am prone to switch and I hate contracts. So I consider myself to be different from folks who frequently switch and cancel contracts. I think the reason I'm hit with the $1000 is because I switch so often, which in my opinion is complete BS. AT&T has never lost a dime because of me, I'm paying retail for the phones and have never canceled any contract. If their mission is to deter me from being a customer they succeeded, I think this is so ridiculous.
Last month I moved to a new building and to a lower floor and I get much better reception, so naturally I'd like to switch back to AT&T because 99% of my family is with them as are my friends. Today I was going to switch and was told I'd need to do the $1000 deposit. The rep called customer service and was told 1) it has to do with payment history on prior accounts, and 2) it is due to response from credit bureau.
My credit score is over 800 and I also checked with TransUnion for my report and it is flawless. At the AT&T store the rep pulled up my old accounts, no balance on any of them and I've never had a late payment.
I always also pay full retail for my phones, since I know I am prone to switch and I hate contracts. So I consider myself to be different from folks who frequently switch and cancel contracts. I think the reason I'm hit with the $1000 is because I switch so often, which in my opinion is complete BS. AT&T has never lost a dime because of me, I'm paying retail for the phones and have never canceled any contract. If their mission is to deter me from being a customer they succeeded, I think this is so ridiculous.