AT&T to Raise Early Termination Fee for iPhone and Other Smartphones to $325

[Xtremehkr]

Getting really tired of saying this...

READ THE ORIGINAL ARTICLE!



NEW contracts. NOT the one you already signed.

I knew how cell phone contracts work, I wanted an iPhone.

It's about time that contracts with cell phone and credit card companies started resembling actual contracts though.

I retain but rarely use the credit cards I have these days. I can do that much.

There's little that I can do to get an iPhone, without getting into an unfair arrangement with AT&T, legally.

That sucks.

Does Apple or the iPhone need exclusivity with AT&T that badly?

I like Apple for addressing problems with Adobe and Flash.

Right now I dislike Apple for their iPhone arrangement, and the fact that they're still charging for .mac. Moble-ego, whatever they're calling it these days.

 

[iphones4evry1]

Now we know what he meant by "we don't think people will leave."

Hmmm. Interesting.

I don't know if you've heard, but there has since been an investigation by the Fed govt since AT&T's announcement into whether this is legal to raise the rates after people are already in a "contract." Legal text may say "we reserve the right to modify this agreement at any time," but the truth is, they just say that as a deterrent, and it can still be debated in the court of law.

 

[125037]

What? I Get my fan discount thru my employer (AT&T Wireline) and a FAN does not exempt you from an ETF.

Well at least mine does... all I know is I get a 24% discount... called to cancel a few weeks ago (never ended up doing it) but she said since I'm a business customer my fee is waived... and I know I didn't mis0understand her. Maybe it's only certain people? That makes no sense but idk.

 

[izdotcom]

Makes you wish you could swear or macrumors

 

[Matt-M]

I knew how cell phone contracts work, I wanted an iPhone.

It's about time that contracts with cell phone and credit card companies started resembling actual contracts though.

...

There's little that I can do to get an iPhone, without getting into an unfair arrangement with AT&T, legally.

That sucks.

You originally said:

I signed a contract that agreed to a $175 termination fee, not a $325 one.

Which is it? If you have an iPhone with an existing contract, then you still have a $175 ETF. If you don't yet then you may have a $325 ETF on your next contract.

In either case, it only affects you if you plan to break the contract before it is up. If that's your plan, and you don't want to pay an ETF, then don't get a phone.

 

[brendon2020]

yeah i'm sure they're worried about people leaving

 

[bella92108]

Well at least mine does... all I know is I get a 24% discount... called to cancel a few weeks ago (never ended up doing it) but she said since I'm a business customer my fee is waived... and I know I didn't mis0understand her. Maybe it's only certain people? That makes no sense but idk.

ATT's individual liable lines on a GSA contract are exempt from the ETF... but I'm not aware of ANY government entity who allows their GSA terms into their FAN agreement with ATT or any other carrier. It's either a mistake on this user, or the user is lying. Since the GSA contracts have no term in most cases, the iPhone on the GSA schedule is $677.01 ... so if this user claims she paid that for the phone then I'll give her some credit and believe what she says. Additionally, business care won't give a GSA line the time of day... so I say horse sh#$t

 

[louis Fashion]

Everybody SUCKS!

Do you honestly think you should be able to get a discounted phone and not have any penalty if you just decide to cancel?

JZM: How about this? I buy a phone, say I keep it for 3 years not 2.

Will ATT or Verizon drop the cost of my monthly payment for the 3RD year? I have paid for the phone right? I don't think so, because they SUCK!

I want HD Cable, I do not watch ESPN, can I order the HD package without ESPN and save over 5$ on my cable bill? No, I don't think so, because they SUCK.

 

[JediZenMaster]

Hmmm. Interesting.
I don't know if you've heard, but there has since been an investigation by the Fed govt since AT&T's announcement into whether this is legal to raise the rates after people are already in a "contract." Legal text may say "we reserve the right to modify this agreement at any time," but the truth is, they just say that as a deterrent, and it can still be debated in the court of law.

Have you read any of this thread at all? The 325 ETF does not effect you if your an existing customer. Only new customers as of June 1st. So there is no FCC investigation. I really wish people wouldn't troll on here and try to instigate things

 

[theelysium]

Not really - I'd bet the percentage of US iPhone users who are world travelers is no different than that for any other smartphone used for business. Even for those do, I would not be surprised if they had a second unlocked phone that they can just drop a SIM in overseas. For the US market, compatibility world wide is not a big deal for most users, so CDMA vs GSM is basically a non issue.

No true - 80% of AT&T are business or family plans. I think the comment about more world travelers use ATT is pretty accurate. That's how ATT has branded themselves for the last 5 years.

Cingular/ATT has only had network issues since the introduction of the iPhone. It's a load issue they didn't properly prepare for; network bandwidth and the way the GSM signal communicates to the handset. I hope they setup the network correctly with LTE.

 

[DoNoHarm]

i've tried the iphone and the contract made me cancel during the 30 day period. I then went to the google nexus one, which is awesome and doesen't have a contract. however, even that, I decided that I didn't really need it. Now, I'm using a free phone on a 40/month unlimited plan. My phone lasts over a week on a single charge. awesomeness......

 

[theelysium]

Have you read any of this thread at all? The 325 ETF does not effect you if your an existing customer. Only new customers as of June 1st. So there is no FCC investigation. I really wish people wouldn't troll on here and try to instigate things

JediZenMaster... No they didn't read any of this thread! Just like they didn't read their freaking contractual agreement with their cell phone company!

We can't expect people to respond coherently about a topic on cell phone contracts when most of these people are the ones who are defaulting on the contract and incurring the ETF fees!

We're talking sense and they are replying in gibberish!

 

[zotes24]

i smell law suite, this is really some sht

(i didnt read past the 1st pg fyi lol)

 

[louis Fashion]

Now a word from the legal department

JediZenMaster... No they didn't read any of this thread! Just like they didn't read their freaking contractual agreement with their cell phone company!

We can't expect people to respond coherently about a topic on cell phone contracts when most of these people are the ones who are defaulting on the contract and incurring the ETF fees!

We're talking sense and they are replying in gibberish!

We own all you gibberish. We contract write. Ha Ha you.

 

[theelysium]

Let me break it down...


Contracts and termination fees that attack your credit is mafia-style extortion. Now don't give me any b.s. about "your all idiots, it's your fault" because I'm tired of everything being my fault. **** your 35 page contracts and your termination fees they're 100% completely unnecessary.

The device is a ****ing iPod and a Phone- it's not phenomenal, if fact, it's kind of slow. I would say it's a $150 device, BUT where it shines is in it's access to iTunes and the App store (which is an exclusive tea party with Steve) and if you want access, you have to play. As bad as they suck, this time it's not AT&T's fault. Apple is the one who says who get's an iPhone and who doesn't, Steve simply picked AT&T to host his tea party. Once you understand that, you're one step closer to the truth, which is that Apple doesn't give a **** about you and you love them for it.

Actually you should always read a contract before you sign it. And yes it is your fault if you want to break a contract for free before its duration is over.

Do you honestly think you should be able to get a discounted phone and not have any penalty if you just decide to cancel?

Wireless Companies are for Profit which means they are out to make money. You should always read your contract and that's whats wrong with america. People want to Sue or play victim because they didn't read something.

If you don't want a contract to effect your credit then get a Pay as you go or Cricket,Metro PCS or Virgin mobile. But don't expect for cell phone companies to just drop all fees because you dont want them.

Anyway the ETF doesn't even effect you because your a current customer. But i don't think thats really your issue. You seem to be on the bandwagon with the other AT&T haters. Well good luck with that because Verizon's ETF is 25 dollars higher and soon all of the ETFs in the industry will be this fee. So What will you do then?

This iPHONE guy is absolute rubbish! He should be stripped of that username!

Contracts and ETF don't attack your credit unless you don't pay them. The person who is really attacking your credit is you! Your doing it by not paying your bills! Your doing it to yourself, not the ETF contracts.

Same thing with your utilities at your house... you moron! If you don't pay it goes on your credit report, duh. So are you going to throw a fit that utilities companies can report on your credit as well? When you establish service you enter into a contract with gas and power companies. Maybe we should ban them from putting us in contracts too. What about cable tv and satellite??! Those bastards they also use ETF contracts!

Let's get too it, grab your pitch forks folks it's time to form a mob! ​

How dare the company explain things in plain English stating that we get a subsidized phone and we agree to stay for 2 years if not then we pay a fee which does not even cover the remaining cost of the phone. It's not like they put the iPhone to your head and threatened to pull the shotgun app's trigger!

Don't come on here an whine, because your too irresponsible to pay your bills on time. Maybe you should act like a savvy adult and try to resolve your issues instead of being petty and blaming everyone else for your inability to manage your ETF contract.

 

[dba7dba]

We own all you gibberish. We contract write. Ha Ha you.

Verizonwireless to ATT

All your base are belong to us

once VW gets iphones.

 

[Mike2128]

There's little that I can do to get an iPhone, without getting into an unfair arrangement with AT&T, legally.

That sucks.

In what way is it unfair? When you purchase a new 32GB 3Gs, the device retails at $699 and sells for $299 on contract. By entering into said agreement, you're accepting an upfront discount of $400. If you leave, you're only expected to repay $325 of that.

I guess in that sense it's unfair to at&t, really.

The discount you're given is in exchange for continued business with the company. You can't expect to not repay your discount if you bail beforehand.

 

[theelysium]

We own all you gibberish. We contract write. Ha Ha you.

WHAT? See that's what I mean all Gibberish, MAN! ALL GiBbErIsH!!!​

 

[theelysium]

i smell law suite, this is really some sht

(i didnt read past the 1st pg fyi lol)

Then you really should not comment.

 

[Xtremehkr]

You originally said:



Which is it? If you have an iPhone with an existing contract, then you still have a $175 ETF. If you don't yet then you may have a $325 ETF on your next contract.

In either case, it only affects you if you plan to break the contract before it is up. If that's your plan, and you don't want to pay an ETF, then don't get a phone.

I have an iPhone with the existing contract.

 

[dodgerbluetx]

JZM: How about this? I buy a phone, say I keep it for 3 years not 2.

Will ATT or Verizon drop the cost of my monthly payment for the 3RD year? I have paid for the phone right? I don't think so, because they SUCK!

I want HD Cable, I do not watch ESPN, can I order the HD package without ESPN and save over 5$ on my cable bill? No, I don't think so, because they SUCK.

You're a ****ing idiot. Unintelligent people like you are the problem with this country. Please educate yourself.

 

[dodgerbluetx]

Verizonwireless to ATT

All your base are belong to us

once VW gets iphones.

Really? Had you read the article you'd have known that verizon did this same exact increase BEFORE AT&T.

 

[dodgerbluetx]

i've tried the iphone and the contract made me cancel during the 30 day period. I then went to the google nexus one, which is awesome and doesen't have a contract. however, even that, I decided that I didn't really need it. Now, I'm using a free phone on a 40/month unlimited plan. My phone lasts over a week on a single charge. awesomeness......

Wow, great story.

 

[macrazee]

Not really - I'd bet the percentage of US iPhone users who are world travelers is no different than that for any other smartphone used for business. Even for those do, I would not be surprised if they had a second unlocked phone that they can just drop a SIM in overseas. For the US market, compatibility world wide is not a big deal for most users, so CDMA vs GSM is basically a non issue.

I'd disagree and say AT&T has a (far) higher percentage of customers who travel with their phone (and pay the exorbitant international roaming fees) because they NEED calls to reach them directly. Additionally, many have unlocked their phones one way or another and are using local SIMs to save money.

Sure some of the CDMA carriers have various methods for international roaming as well, but none of them are as seamless as AT&T.

How many stories do you see around the 'net of Blackberry owners, for example, being hit with $10,000 roaming data bills? All the stories are iPhone users on AT&T...anecdotal and perhaps circumstantial but failing any hard figures (which AT&T isn't famous for divulging) I'd bet, as I said earlier, that AT&T has a far larger percentage of customers who ARE traveling internationally and using their phones.

 

[macrazee]

In what way is it unfair? When you purchase a new 32GB 3Gs, the device retails at $699 and sells for $299 on contract. By entering into said agreement, you're accepting an upfront discount of $400. If you leave, you're only expected to repay $325 of that.

I guess in that sense it's unfair to at&t, really.

The discount you're given is in exchange for continued business with the company. You can't expect to not repay your discount if you bail beforehand.

Ding Ding Ding

No different than a trucking company who pays for your training and courses but requires you to continue working for said company for X length of time or repay some (or all) of the costs of your education.