How is AT&T Next a Good Deal? You End Up Paying More

Discussion in 'iPhone' started by VideoNewbie, Sep 15, 2014.

  1. VideoNewbie macrumors 6502

    Joined:
    Feb 6, 2009
    #1
    maybe im missing something here but can someone explain how at&t next is a good deal?

    http://www.att.com/shop/wireless/next.html#fbid=7_yiJiUpdXu

    the 2 yr contract subsidized price of an iphone 6 16gb for example is $199.

    on "at&t next 12" you would be paying $32.45 per month over the course of 20 months which = $649

    So basically you are paying about $450 more with the next plan.
     
  2. Deguello macrumors 6502

    Joined:
    Jun 29, 2008
    #2
    On contract you pay more for service to make up the difference.
     
  3. VideoNewbie thread starter macrumors 6502

    Joined:
    Feb 6, 2009
    #3
    how so?
     
  4. Steve686 macrumors 68030

    Steve686

    Joined:
    Nov 13, 2007
    Location:
    US>FL>Miami/Dade>Sunny Isles Beach>Condo
    #4
    $15 per line versus $40. Monthly.
     
  5. hbenitez09 macrumors regular

    Joined:
    Jun 16, 2009
    #5
    Maybe give context into your personal service offerings so we could better assist.


     
  6. jlake02 macrumors 68020

    jlake02

    Joined:
    Nov 2, 2008
    Location:
    L.A.
    #6
    Sweet, a AT&T NEXT thread. First one I've ever seen on MR. :rolleyes:
     
  7. ominx macrumors 6502

    Joined:
    Jun 23, 2010
    #7
    Your monthly service will cost $15-25 more per month with a subsidized phone on a 2 year contract.
     
  8. Deguello macrumors 6502

    Joined:
    Jun 29, 2008
    #8
    Discounts to service for BYOD or Next. $15-$25 per line.
     
  9. pdxmatts macrumors 65816

    pdxmatts

    Joined:
    Jan 12, 2013
    Location:
    Portland, OR
    #9
    There is already threads about this but I will give you a link to look at that explains it. http://www.cnet.com/news/contract-or-no-contract-for-iphone-6-which-is-the-better-deal/
     
  10. oneMadRssn macrumors 68040

    oneMadRssn

    Joined:
    Sep 8, 2011
    Location:
    Boston, MA
    #10
    With att next, they charge you $25 less per month for each line on the next plan. This saving continues even after the phone has been paid off. I like the next 18 more, because it makes more sense.

    With att next 18, an iphone 6 16gb is $27.09/month, no activation fee ($36 one time fee, but divided into 24 months its $1.50/month), and saving $25/month on the line. Therefore, the difference is you're paying $0.59/month more on ATT next than a 2 year contract. However, on month 25 the $27.09 fee ends, and now you're saving $25/month as compared to a 2 year conract plan. Thus, it makes sense to get this plan if you intend on keeping the phone for 25 months or more.

    The plan is even better with a cheaper iphone: with the 5C you save $7.75/month right away, and then save $25 per month after 24 months; with the 5S you save $3.58/month, and then save $25 per month after 24 months.

    With the regular 2 year contract, the phone initially costs $199, plus $36 activation fee, there is no line discount, and you are subject to an early termination fee for 24 months.

    It's worth pointing out that if you intend to use the plan like they want you to, by getting a new phone after 18 months, it is definitely a bad deal.

    The in real life scenario is this: For those that intend on keeping their phones the full 24 month payment period, and then passing it down to a less techie family member, it is a good deal.
     
  11. webbuzz macrumors 65816

    webbuzz

    Joined:
    Jul 24, 2010
    #11
    Good entertainment from both sides though.
     
  12. lulla01 macrumors 68020

    lulla01

    Joined:
    Jul 13, 2007
    Location:
    U.S
    #12
    Obviously AT&T isn't doing things to save people money, they are in it to make money. Anything that seems good for consumers that these companies come out with, usually have negative Impact later on.
     
  13. nikhsub1 macrumors 68000

    nikhsub1

    Joined:
    Jun 19, 2007
    Location:
    mmmm... jessica.'s beer...
    #13
    If you only read one paragraph from the article, here it is:

    "What should you do?

    The short answer is that it doesn't really matter unless you are subscribed to a 10GB or higher data plan. This means that the Next finance plan is ideal for people on a family plan. But if you're an individual, the difference between a contract and the Next plan are slight. That said, since AT&T isn't charging interest to finance new devices under the Next plan and since there doesn't appear to be a finance fee bundled into the contract pricing, you might as well stretch out your device payments rather than paying for the device up front. So I would recommend either taking the Next plan or a contract plan."

    However, keep in mind that IF YOU DO CONTRACT, you can NOT upgrade your phone in 1 year. With the Next 12 you can. With the Next plan you can payoff the phone whenever you want, under contract YOU CAN NOT.
     
  14. rmhop81 macrumors 68020

    rmhop81

    Joined:
    Apr 4, 2005
    Location:
    Dallas, TX
    #14
    Depends on which plan you are on but...here's a break down.

    If you get a subsidized iPhone on the value plan it's now $40/line. If you BYOD or Next it's only $15/line.

    If you go the subsidized route:
    $199 iphone upgrade price
    $40 upgrade fee
    $25 extra per month ($40 instead of $15, see above) x 24 months=$600
    TOTAL $839 plus i'm sure there is some taxes in there as well to make it little more.

    If you go the Next route:
    $27.09 per month x 24 months=$650.16
    no upgrade fee
    no additional monthly cost per line
    TOTAL $651 plus i'm sure there is some taxes in there as well to make it a little more.

    $188 difference...give or take depending on all taxes
     
  15. nikhsub1 macrumors 68000

    nikhsub1

    Joined:
    Jun 19, 2007
    Location:
    mmmm... jessica.'s beer...
    #15
    You are assuming he is on a Family share plan with 10GB or more, if it is LESS THAN 10GB the contract price increase per line is only $15 per month. It makes a huge difference when running the numbers.

    Anyone on a family share plan with 10GB or more shared will benefit from Next over contract subsidy - every single time.
     
  16. RyanG macrumors 6502

    Joined:
    Sep 18, 2007
  17. rmhop81 macrumors 68020

    rmhop81

    Joined:
    Apr 4, 2005
    Location:
    Dallas, TX
    #17
    that's why i said it depends on the plan you are on. Can't do clear comparison if we don't know the plan the person is on.
     
  18. nepalisherpa, Sep 15, 2014
    Last edited: Sep 15, 2014

    nepalisherpa macrumors 68020

    nepalisherpa

    Joined:
    Aug 15, 2011
    Location:
    USA
    #18
    Here's a simple math, OP!

    Let's say you are buying an iPhone 6 16GB. The retail price of that phone is $649.99 + tax. Let's assume the tax is 8.25%, which means the total cost of the phone is $649.99 + $53.62 = $703.61.

    With AT&T Next 18, you would pay the tax upfront plus $27.09 for 24 months. This equals to $53.62 + $650.16 (total of $703.78).

    With 2-year contract, you would pay $199.99 + tax up front, which means you pay $216.48. Plus, you pay an upgrade fee of $40. Now, with 2-year contract, your per line cost goes up to $40 (an additional $25 per month if you are currently on mobile share value plan). So, $25 x 24 months = $600. Your overall cost would be $600 + $216.48 + $40. This totals to $856.48. With 2-year contract, you end up paying $152.70 more for the phone.
     
  19. nikhsub1 macrumors 68000

    nikhsub1

    Joined:
    Jun 19, 2007
    Location:
    mmmm... jessica.'s beer...
    #19
    Wow. People just post and don't read. If the OP is on a less than 10GB shared data plan, YOUR NUMBERS DON'T APPLY TO HIM.
     
  20. rmhop81, Sep 15, 2014
    Last edited: Sep 15, 2014

    rmhop81 macrumors 68020

    rmhop81

    Joined:
    Apr 4, 2005
    Location:
    Dallas, TX
    #20
    *Discounted smartphone access charges of $25 on plans lower than 10GB, or $15 on 10GB or higher plans are available with no-annual-service-contract options and for some customers with existing 2-year wireless agreements. If you upgrade to a phone with a 2-year wireless contract, you are no longer eligible for this monthly discount. To receive the discount, upgrade with AT&T NextSM, bring your own smartphone, or pay full price for your smartphone.

    we DON'T know what plan he is on....
     
  21. nepalisherpa macrumors 68020

    nepalisherpa

    Joined:
    Aug 15, 2011
    Location:
    USA
    #21
    I am giving him ideas on what the plan is about. I'm sure OP is smart enough to use this math for whatever plan he has. Plus, OP has not posted yet on what plan he has. So, you are assuming things as well.
     
  22. lordofthereef macrumors G5

    lordofthereef

    Joined:
    Nov 29, 2011
    Location:
    Boston, MA
    #22
    The thing that is baffling to me is that AT&T supplies these comparison charts for you. Unless you have a really old plan (thinking unlimited data or some of the older 2GB plans) you don't even need to crunch numbers. AT&T gives you that info.
     
  23. nikhsub1 macrumors 68000

    nikhsub1

    Joined:
    Jun 19, 2007
    Location:
    mmmm... jessica.'s beer...
    #23
    Please never assume that ;)
     
  24. potaco macrumors regular

    Joined:
    Mar 12, 2010
    #24
    Yup... The better option will depend on what plan you have, how often you want to upgrade, whether you want to resell a phone, whether you want to be stuck in a contract, etc.

    In general, assuming you'll keep the phone for 2 years:

    1) If your rate plan doesn't change in monthly cost when you're on- or off-contract, the 2-year contract is cheaper (since AT&T is giving you a "free" $450 subsidy).

    2) If your monthly plan cost does change when you're on-contract (i.e. Mobile Share Value Plan):
    2a) If your data plan is under 10GB, a 2-year contract is cheaper ($200 phone + $40 activation + [$15 * 24 month commitment] = $600 + tax)
    2b) If your data plan is 10GB or more, AT&T Next is cheaper ($650 + tax... AKA full price).
     
  25. webbuzz macrumors 65816

    webbuzz

    Joined:
    Jul 24, 2010
    #25
    Even if that confuses people, there is this calculator.
     

Share This Page