AT&T to Stop Offering Two-Year Phone Contracts Starting January 8

[Chupa Chupa]

I feel sorry for these people since they are way overpaying for their plan.

Really? Please show me where I can get nationwide reliable Unlimited LTE data for significantly less than $80/mo after taxes. I'm not being facetious, I just haven't come across any data bucket from ATT or VZW offering more than 6GB/ mo for what I pay for unlimited. (I've never been throttled).

 

[AndreaCristiano]

That's the last straw for me… I'm dropping AT&T after my current contract.

So we're do you propose on switching too? No one has two year contracts anymore for new customers. It's the same at all four carriers and MVNO's. You act like its the end of the world. Europe has been doing this forever. Man up

 

[KPOM]

I hope I'm wrong but will the iPhone still be locked into ATT after cancellation? Or will they unlock it so that I can move over to TMobile?

I think since they changed the terms they have to unlock it as if you paid the ETF.

 

[rdlink]

I did the math. under the "non contract" prices that Verizon was offering, I'd save between $12 and $16 per month. Over 24 months, that doesn't come CLOSE to the $900 in subsidies I receive ($450 per phone x 2 phones) under contract. I'd rather stay under contract than have to buy my own phone.

Sure, under those plans, I'd get a gig or 2 more data but I don't even use that much so it's still not worth it to me. If I worked away from home and used more data, then maybe... but not as of now.

You're bad at math.

 

[DEMinSoCAL]

On a slightly unrelated topic, I've been checking my AT&T data usage the past few days as we've been traveling and noticed in the last 24 hours, I have received a BONUS 10GB data from AT&T! I had 14.52GB of my plan + rollover data to use this month, and this morning, I have 24.52GB "Bonus & Rollover Data".

Anyone else get a year-end bonus from AT&T?

I sure wish I had the bonus a week ago...our daughter was on YouTube restriction while traveling as it was sucking my data too fast. With this extra 10GB, she could have used all she wanted!!

 

[paul3000]

I don't understand why people are complaining about this. You guys seriously expect to pay only $200 for a $750 and expect the carrier to eat up the remaining cost of the phone?

What they're doing are shifting the cost of the phone to where it actually should be: the consumer.

To all of you complaining: can you buy me a $30,000 car and I only chip in $5,000? And every number of years I also expect you to do it over for me.

I don't think people realize that with a contract you pay more monthly (at least with mobile share). IF you bring your own phone or do next you pay 15 a month for that line. If you do a contract it's 40. 25 extra bucks a month through two years is 600 bucks. You're paying for the full price phone either way (or more).

 

[Ukyank1]

Forgive my ignorance on all if this, but to be clear, if I want to stay with AT&T, I would actually be better off continuing to pay my current contract price with the baked in subsidy cost after said contract expires (& losing said subsidy benefit) then I would be moving to a new plan that supposedly separates the service & device cost.

 

[aristobrat]

When did the $25/mo discount for NEXT or BYOP options move to 15GB or higher plans? When I signed up, it was 10GB or higher.

IIRC, the $25/month Next/BYOD discount happened at the $100 plan level. Originally $100 = 10GB, but now $100 = 15GB. If you're paying $100 = 10GB, call them up and see if they'll update your plan to match the current one.

Forgive my ignorance on all if this, but to be clear, if I want to stay with AT&T, I would actually be better off continuing to pay my current contract price with the baked in subsidy cost after said contract expires (& losing said subsidy benefit) then I would be moving to a new plan that supposedly separates the service & device cost.View attachment 608087

Looks like it. I'd guess you'd continue to pay $89.99/month (for just service), and when you want a new phone, you pay for that additionally. Either pay the full-price yourself, or use AT&T's Next plan and have the cost of the phone added monthly (on top of the $89.99/month you're paying for service) until the phone is paid off (then that cost drops and your bill goes back to $89.99/month).

 

[tigres]

iPhone is never free. You end up paying the subsidy over the contract term and likely even more than buying device outright! So, iPhone costs a minimum $650 and up.

This subsidy pricing discussion is mute with the current plan comparisons for most on old grandfathered plans. Call it what you wish, but there is no way possible today (subsidy or not), that my plan would be remotely cheaper by changing to Next, and shared voice/data... period.

So, I will re-up my 299 contract for two phones and look at my options in 2 years time. Or, I will do same and bounce from ATT in Feb/March with no ETF.

I tried T-Mobile on the launch, but had spotty service in a location I frequent that does not have the 700 spectrum; so I am not sure which way I will end up right now.

 

[pooleman]

Seems you don't know that the difference is stuck inside the monthly price of the plan. Or did you think the contract monthly pricing we pay is higher than the month to month plans just because we like paying more. Do the math and see for yourself who pays more at the end of 24 months.

-------------


So i guess I will have to seriously consider changing from att after my 6s contract ends.

So if the subsidies end and I stay on contract with my old phone will my monthly bill go down? After all, I am no longer paying to subsidize the phone.

 

[ssl0408]

So if the subsidies end and I stay on contract with my old phone will my monthly bill go down? After all, I am no longer paying to subsidize the phone.

So if the subsidies end and I stay on contract with my old phone will my monthly bill go down? After all, I am no longer paying to subsidize the phone.

 

[rdlink]

Lease your living space!
Lease your car!
Lease your music!
Lease your phone!

Anyway I'm on VZW and it at least looks like I'll still be able to get a subsidized device since I have that now, unless VZW announces tomorrow to kill that.

But if it gets to the point where I have to shell out close to $2,000 for two mid-storage tier phones to buy outright every two years for my wife and I, I don't think I'll be buying phones every other year as that's an obscene expense to have every other year.

I'm blown away that people can't seem to do the math.

You get a new 64GB iPhone under contract, "subsidized." You pay $200 down. Then you pay an extra $25 per month for service. So, over the course of two years you pay $800 for the $750 phone.

You get that same iPhone, non contract, with the service being $25 less per month. You pay no down, and $31.25 a month. Totals out to $750 for the $750 phone.

"Subsidies" from carriers are not true subsidies. They're bundled finance plans.

 

[tigres]

I'm blown away that people can't seem to do the math.

You get a new 64GB iPhone under contract, "subsidized." You pay $200 down. Then you pay an extra $25 per month for service. So, over the course of two years you pay $800 for the $750 phone.

No $25 extra per month on my bill, ever.
I can add too.

 

[DEMinSoCAL]

IIRC, the $25/month Next/BYOD discount happened at the $100 plan level. Originally $100 = 10GB, but now $100 = 15GB. If you're paying $100 = 10GB, call them up and see if they'll update your plan to match the current one.

Actually, the last time I called them, I was on 15GB/mo and they mention they could save me $20/mo if I dropped to 10GB, as I rarely use more than 6GB. I said "sure", so I'm paying $80/mo for 10GB.

I thought of calling them again to see if they'll give me 15GB for $80 under the "15GB for the price of 10GB deal", but I doubt it.

 

[apple_iBoy]

Did you renew your 2-year contract in-store or online? I thought I read (a few months ago) where some folks could only renew them online.

In store.

 

[Bananas Ananas]

I pay 260 a month for 5 lines. I get 2.5 free iPhones a year. (2 one year, 3 next year) So a value of value of 135 a month. Net cost is then $125.

260*24 = 11,040

11,040/5 = 2,208 (the amount you pay your carrier per phone/line)

On the other hand, I buy my iPhone unlocked out of contract, and pay $20/month for my service.

750 + (20*24) = 1,230

Thus, I don't really see the point in your contract. I could get a maxed out iPhone and still be better off economically in the end.

 

[DEMinSoCAL]

No $25 extra per month on my bill, ever.
I can add too.

Maybe you can add, but you can't read. rdlink said a NEW 64GB iPhone. NEW. That means being on a current plan which IS $25/mo more on a contract. You've said you're on an old grandfathered plan so why you are making the point is unclear.

 

[tthere5]

I think there's a 99 percent chance of that happening. Verizon is next at bat.

They just sent out a letter this week: grandfathered UDP's will now be $5 more per month...

 

[DEMinSoCAL]

260*24 = 11,040

11,040/5 = 2,208 (the amount you pay your carrier per phone/line)

On the other hand, I buy my iPhone unlocked out of contract, and pay $20/month for my service.

750 + (20*24) = 1,230

Thus, I don't really see the point in your contract. I could get a maxed out iPhone and still be better off economically in the end.

Did you forget to factor in your data plan? There's no way you're getting talk, text and data for $20/mo. TZ's $260/mo does include data plan cost.

 

[puma1552]

I'm blown away that people can't seem to do the math.

You get a new 64GB iPhone under contract, "subsidized." You pay $200 down. Then you pay an extra $25 per month for service. So, over the course of two years you pay $800 for the $750 phone.

You get that same iPhone, non contract, with the service being $25 less per month. You pay no down, and $31.25 a month. Totals out to $750 for the $750 phone.

"Subsidies" from carriers are not true subsidies. They're bundled finance plans.

You probably should've read my post that followed that one - the one where I said there's nowhere in my bill (VZW but they are all gonna do the same crap) that lists any type of device installment. In other words, there's no "installment" to be reduced/eliminated from my bill if I start paying full price for my phones up front.

I'm also not sure where you are getting math of buying a phone with nothing down. Are you talking about AT&T NEXT? I'm not.

Right now with Verizon I pay $66 out the door including tax and fees for unlimited talk/text and 2GB data. I'm on a 2 year contract with a subsidized device. Nowhere in that bill breakout is there a section for "device installment" that can be reduced or eliminated if I were to have bought the device full price. Also, after two years on contract, I don't believe the price of my monthly bill gets reduced whatsoever, which is why you traditionally are ripping yourself off by keeping a device longer than two years, because to my knowledge nobody's bill ever gets cheaper once their contract is up (it would be suspicious for the "service" portion to just decrease as well), when the supposed "installments" are done and the phone is supposedly "paid off". Nor do I think it's going to be reduced if I start buying the phone full price outright.

I highly, highly, highly doubt that if I buy a device full price, I'm going to have a Verizon plan that is around $40 out the door including tax and fees. This would be the major carrier plan of the century, and I've never seen anyone have that.

Pretty sure whether I buy my device outright or on a two year contract, my service will be $66 a month regardless.

 

[aristobrat]

Did you forget to factor in your data plan? There's no way you're getting talk, text and data for $20/mo. TZ's $260/mo does include data plan cost.

Yeah, I was thinking the same thing.

That and I don't see how $260*24=$11,040.

 

[tbill1]

"So if the subsidies end and I stay on contract with my old phone will my monthly bill go down? After all, I am no longer paying to subsidize the phone."

I already called and asked that question--The answer is no reduction.

 

[DEMinSoCAL]

You probably should've read my post that followed that one - the one where I said there's nowhere in my bill (VZW but they are all gonna do the same crap) that lists any type of device installment. In other words, there's no "installment" to be reduced/eliminated from my bill if I start paying full price for my phones up front.

I'm also not sure where you are getting math of buying a phone with nothing down. Are you talking about AT&T NEXT? I'm not.

Right now with Verizon I pay $66 out the door including tax and fees for unlimited talk/text and 2GB data. I'm on a 2 year contract with a subsidized device. Nowhere in that bill breakout is there a section for "device installment" that can be reduced or eliminated if I were to have bought the device full price. Also, after two years, I don't believe the price of my monthly bill gets reduced whatsoever, which is why you traditionally are ripping yourself off by keeping a device longer than two years, because to my knowledge nobody's bill ever gets cheaper once their contract is up (it would be suspicious for the "service" portion to just decrease as well), when the supposed "installments" are done and the phone is supposedly "paid off". Nor do I think it's going to be reduced if I start buying the phone full price outright.

I highly, highly, highly doubt that if I buy a device full price, I'm going to have a Verizon plan that is around $40 out the door including tax and fees. This would be the major carrier plan of the century, and I've never seen anyone have that.

Pretty sure whether I buy my device outright or on a two year contract, my service will be $66 a month regardless.

Did you realize this thread is about AT&T and not Verizon? Not sure why you are comparing your Verizon deal on an AT&T thread.

 

[DEMinSoCAL]

"So if the subsidies end and I stay on contract with my old phone will my monthly bill go down? After all, I am no longer paying to subsidize the phone."

I already called and asked that question--The answer is no reduction.

You're probably better off, at the end of two years, calling and changing to a BYOP plan and paying $15/mo service + choose a data plan.

 

[tigres]

Maybe you can add, but you can't read. rdlink said a NEW 64GB iPhone. NEW. That means being on a current plan which IS $25/mo more on a contract. You've said you're on an old grandfathered plan so why you are making the point is unclear.

Mix on words, I suppose more folks like me are going to go and get a new iPhone within the next few days and save some coin.

Either way, yes the new plans are indeed more.