Carrier Life without 2 year contracts...

[Steve686]

Well for me on I'm on a family plan with my parents. I'm in my mid 20's so I could probably handle it on my own but they haven't made a big deal about it... yet. And so I've always just sold my phone and bought a new one with the contract and everything stays the same. This time around it's not as simple. Yes people are saying you're paying the same about but from this month to next month it won't be like that. Instead it will be $30 added to their bill.

Although I just called them and just said... I'm going to send you a years worth of payments upfront from selling this phone. Of course I don't think they believe me that I can sell my phone for as much as it essentially costs to get a new one. They never have. I don't know what they are thinking I'm doing instead.

Find out how much your specific line costs for access. It would probably be $40. If you elect NEXT payments for a phone with AT&T, your access cost usually drops to $15 for that line saving you $25 monthly.

I have 4 lines. 3 phones on NEXT. One iPad Pro. All on NEXT payments. My bill comes to $338 per month for 20gb data family plan. Without NEXT I would be paying around $430.

 

[ray737]

Yeah, AT&T still does this I believe, and Verizon at least used to do it but have announced some time ago that they will stop doing that for any new lines/devices coming off a contract or financing or basically that just use owned equipment--which is rather shady if that's the case since they are just charging more for nothing.

Yup. It was explained to me by AT&T the only way to get that $25 discount was to switch to a mobile share plan.

 

[Small White Car]

It doesn't penalize customers that don't upgrade every two years:

This is the big one. My mother is fine to upgrade her phone every 5 years.

In the old days she was basically forced to partially pay for a phone she didn't need or want for 3 of those 5 years. Because of this I made her upgrade every 2 years. She was throwing money away otherwise.

Now, she paid off her iPhone 5 a while back and, since she doesn't want a new phone, her bill went down. Fancy that.

The new way is so much better.

 

[M. Gustave]

Do you have the grandfathered Unlimited Data plan??

No, I have a family mobile share plan. Did you call them about it?

 

[ray737]

No, I have a family share plan, but why does that matter? Did you call them about it?

Exactly. My post is in regards to customers that still have the grandfathered unlimited data. Yup I spoke to them. It's basically a way for them to get people off the unlimited plan.

 

[C DM]

Yup. It was explained to me by AT&T the only way to get that $25 discount was to switch to a mobile share plan.

That's correct, those types of discounts only apply to recent/current plans.
[doublepost=1473185586][/doublepost]

Exactly. My post is in regards to customers that still have the grandfathered unlimited data. Yup I spoke to them. It's basically a way for them to get people off the unlimited plan.

Well, they basically didn't add discounts or anything like that to plans that they no longer offer. When the whole thing with financing and NEXT and all that came out and the discounts related to that (and to owning equipment) came into play plans like the unlimited plan and many other older ones were no longer things that the carriers offered, so accordingly they didn't add discounts or anything like that to those.

 

[geoff5093]

Exactly. My post is in regards to customers that still have the grandfathered unlimited data. Yup I spoke to them. It's basically a way for them to get people off the unlimited plan.

Verizon users haven't had this ability for years. It's their way to force you off old unlimited plans. For most people, they would see a discount on their plan.

 

[aristobrat]

It's basically a way for them to get people off the unlimited plan.

That, or for folks that still want the keep the unlimited data, the monthly cost of adding a new phone brings the total monthly cost up to where current plan levels are.

 

[Newtons Apple]

You can bet that Apple knows all to well that many will pass on this upgrade. I will likely upgrade but there is little excitement except a family member would shoot me if I did not give them my 6S+ when my 7+ arrived.

 

[mBlomkvist]

You can bet that Apple knows all to well that many will pass on this upgrade. I will likely upgrade but there is little excitement except a family member would shoot me if I did not give them my 6S+ when my 7+ arrived.

Yeah I'm really hoping they have something up their sleeve but it's not looking likely. I miss the days of the iPhone 4. Retina, front facing camera, new design, gyro thing lol, it was great.

I'm really upgrading because I want something new. I'm on the 6 and it's starting to get a little damaged and the camera is less impressive than it initially was.

 

[akash.nu]

Many of us feel your pain, and what used to be a no brainier every two years is now a real decision.

Based on what I know about the 7, I am going to stick with the 6. The new features aren't worth the money.

BJ

Completely off topic, but whenever I see you sign BJ, the only thing comes to my is...

 

[mtcowdog]

Two of us in our household. We are coming to the end of a Verizon 2-year contract with iPhone 6's. I did the math, and we can upgrade to iP7 from Apple via their monthly plan and choose a similar phone/text/data plan from Verizon for about the same monthly over two years as we have paid previously. New is about a wash for us from what we have paid previously. It doesn't really matter if we buy phones outright -- not an issue -- or pay monthly. It's all about up-front cost versus cost over time, but over 2 years the total cost is a wash.

I haven't looked at other carrier options. We live in a rural area where it would be hard to choose other than Verizon for geographic coverage locally.

 

[boltjames]

Completely off topic, but whenever I see you sign BJ, the only thing comes to my is...

No worries, I am quite handsome.

BJ

 

[mazdamiata210]

So for years now I have basically sold my old iPhone to pay for the two-year contract price of the new phone. Usually $200. For the 6 though I got the $300 64gb. It was perfect. People who didn't want contracts got a used phone and I got a new one.

But, and I can't be the only one in this situation, I'm learning that now I have to pay a monthly upgrade price. I had heard about this a couple months ago and just assumed that the price at the end of it would be somewhere between the retail price and what it was with the two-year contract. But apparently it's just straight retail. I looked up how much it would be for a 6s with 64gb and if I dropped $300 (what it used to be with two-year contract) upfront I would still be paying like $15 a month for 30 months. This has to be a joke...

Apparently it isn't.

So this sucks. I'm sort of curious how apple is going to announce the prices on Wednesday when for years now people have been hearing the two year contract prices and now we are going to hear prices that are almost equal to a laptop.

But more importantly... I'm wondering if there is some positive side to this. Somewhere. Anywhere. Like for example I'm curious about the "upgrade every year" plan. First off I find this hilarious. I'm paying retail and you're going to tell me when I can upgrade? **** off. But also the upgrade every year plan has a 24-month payment plan. So when I upgrade in a year am I going to be paying for 2 phones? Then the year after that... Still two phones?

How are people handling this? Is the new "work-around" that you sell your phone on eBay when you upgrade and pay off the rest of whatever you owe on the phone... Then start a new payment plan? Or do you turn in your phone when you upgrade and they cancel the payments left for that phone?

If you're turning in your phone then it seems like putting money down on said phone upfront is like throwing that money away. For example you have a $600 phone. You put $576 down upfront and pay a $1 a month for a year. When you upgrade your phone you turn it in and start a new payment on a new phone and they cancel that $12 out. But then the guy next to you pays nothing down. And for a year he pays what amounts to $300 down. He turns it in and they remove the other $300 he owes. This can't be right.......

Also are you better off paying upfront each year and selling it on eBay each year? Like does an iPhone depreciate more or less than 50%? Because if after a year you pay for half.... You should probably just pay the rest off then sell it. You'll probably sell it for more than half right?

Anyway I know this is a long post so I appreciate everyone who stayed with me through all this... And anyone who replies... Thank you!

For this reason it will be the first year I do not upgrade. I always sold my old phone to pay for the new one on a 2 year contract. Last year you could only do AT&T from AT&T, now it's gone completely. I blame the consumers for accepting this shaft rather than saying no, we're not buying it. People see no money down and think nothing of it. They don't think about the long term of paying $900+ for a phone

 

[HickDead]

I'm on VZW and I just got the iPhone SE on a 2-year contract through Best Buy for only $1. Plus Big Red waived the $40 activation fee.

 

[Menel]

So for years now I have basically sold my old iPhone to pay for the two-year contract price of the new phone. Usually $200. For the 6 though I got the $300 64gb. It was perfect. People who didn't want contracts got a used phone and I got a new one.

But, and I can't be the only one in this situation, I'm learning that now I have to pay a monthly upgrade price. I had heard about this a couple months ago and just assumed that the price at the end of it would be somewhere between the retail price and what it was with the two-year contract. But apparently it's just straight retail. I looked up how much it would be for a 6s with 64gb and if I dropped $300 (what it used to be with two-year contract) upfront I would still be paying like $15 a month for 30 months. This has to be a joke...

Apparently it isn't.

So this sucks. I'm sort of curious how apple is going to announce the prices on Wednesday when for years now people have been hearing the two year contract prices and now we are going to hear prices that are almost equal to a laptop.

But more importantly... I'm wondering if there is some positive side to this. Somewhere. Anywhere. Like for example I'm curious about the "upgrade every year" plan. First off I find this hilarious. I'm paying retail and you're going to tell me when I can upgrade? **** off. But also the upgrade every year plan has a 24-month payment plan. So when I upgrade in a year am I going to be paying for 2 phones? Then the year after that... Still two phones?

How are people handling this? Is the new "work-around" that you sell your phone on eBay when you upgrade and pay off the rest of whatever you owe on the phone... Then start a new payment plan? Or do you turn in your phone when you upgrade and they cancel the payments left for that phone?

If you're turning in your phone then it seems like putting money down on said phone upfront is like throwing that money away. For example you have a $600 phone. You put $576 down upfront and pay a $1 a month for a year. When you upgrade your phone you turn it in and start a new payment on a new phone and they cancel that $12 out. But then the guy next to you pays nothing down. And for a year he pays what amounts to $300 down. He turns it in and they remove the other $300 he owes. This can't be right.......

Also are you better off paying upfront each year and selling it on eBay each year? Like does an iPhone depreciate more or less than 50%? Because if after a year you pay for half.... You should probably just pay the rest off then sell it. You'll probably sell it for more than half right?

Anyway I know this is a long post so I appreciate everyone who stayed with me through all this... And anyone who replies... Thank you!

It's been almost 4 years since I dumped financing phones and contracts. Started with back with the iPhone 5. Far less complicated and less expensive.

You'll have far less headache and confusion if you don't play the sketchy payday lender games. Phones are not pricy enough to warrant financing and payment plans.

 

[aristobrat]

For this reason it will be the first year I do not upgrade. I always sold my old phone to pay for the new one on a 2 year contract. Last year you could only do AT&T from AT&T, now it's gone completely. I blame the consumers for accepting this shaft rather than saying no, we're not buying it. People see no money down and think nothing of it. They don't think about the long term of paying $900+ for a phone

What is the long term of paying full-price for a phone?

What I paid on my old (2010 rates) AT&T plan, when a $649 iPhone "only cost $199":
$40.00 = 450 anytime minutes / 5000 night and weekends
$25.00 = 2GB of data
$20.00 = unlimited text messages
----------
$85.00/month + $199 up-front for the phone

$2,239 = total 2-year cost

Here's the corresponding new AT&T Mobile Share plan, where a $649 iPhone costs $649:
$40.00 = unlimited minutes, unlimited texting, 3GB of data
$20.00 = access fee
$27.04 = phone (AT&T Next or Apple plan where $649 phone cost is spread over 24 months)
-------------
$87.04/month

$2,089 = total 2-year cost

 

[mattopotamus]

I'm not sure why this is so confusing to people. Phones never cost $99 or $299 or whatever, they were subsidized and the actual price of the phone was hidden in the monthly plan, that's why you signed a 2 year contract.

AT&T NEXT and Apple Upgrade plan are just 0% financing with the option to trade the phone in after a year or so.

my biggest issue with the apple plan is that you have to activate the phone on one of the major carriers.

 

[aristobrat]

You'll have far less headache and confusion if you don't play the sketchy payday lender games.

IMO, the headache and confusion comes from the realization that the phones are now priced separately from the plans.

Doesn't matter how you pay for your phone (monthly payments vs pay it all at once), you pay the exact same amount.

$649 paid in one lump, up front = $649.
$649 paid $27/month for 24 months = $649.

 

[Menel]

IMO, the headache and confusion comes from the realization that the phones are now priced separately from the plans.

Doesn't matter how you pay for your phone (monthly payments vs pay it all at once), you pay the exact same amount.

$649 paid in one lump, up front = $649.
$649 paid $27/month for 24 months = $649.

The later comes with the caveat of fine print. Some lender is giving Apple the money on your behalf because you can't/choose not to pay it up front. What those terms/penalties/complications are. Worth extra time investment for review.

 

[alvaroe16]

I think this is one of those cases that is very personal to each account... for some accounts the new plans make sense while for others it does not.

For example, for me, its a way for ATT to push me off their unlimited grandfathered plan. I'll explain:

For the last couple of years, I have been paying the following:

• $80 for 1400 minutes (pretty much unlimited for us)
• $30 for unlimited messages
• $35 for Grandfather UNLIMITED
• $35 for Grandfather UNLIMITED
  
• $19.42 in fees
• TOTAL: $199.42 for unlimited DATA.
• This also includes a subsidy for 2 phones - SO i have only paid $199 for each phone (instead of the retail of $649) hence (199/24 months = $8)
• REAL TOTAL for 24 months with 2 new phones: $5184.08 with unlimited data

IF I chose to stay in unlimited, I would keep all the prices the SAME... instead my phone would now cost $649 instead of $199 (regardless of which way I finance it). So my total for 24 months goes up by at least $900 to $6084.08. THIS ALREADY PUSHES YOU OFF UNLIMITED - MY PLAN GOT $900 MORE EXPENSIVE THIS TIME AROUND.

IF I instead choose to change to a shared plan, I will need at least a 16GB plan to maintain the same amount of data access I have (we use about 14GB of data a month)

• $90 for unlimited minutes, messages and 16GB
• $20 for first line access
• $40 for second line access
• $19.42 in fees
• TOTAL: $150.00 for 16GB DATA.
• This seems like it would be less but we need to add the phones now. Under these programs I have to retail for the phones so add $649 per line.
• REAL TOTAL for 24 months with 2 new phones: $4898.00 with 16GB data.

Here is the $300 savings over 24 months for giving up my unlimited plan and going to a limited 16GB data plan.

I think this is very specific to each account.. but either way... it comes down to ATT removed the subsidy but did not lower the grandfather prices... hence I am paying more now if I upgrade.

 

[ray737]

I think this is one of those cases that is very personal to each account... for some accounts the new plans make sense while for others it does not.

For example, for me, its a way for ATT to push me off their unlimited grandfathered plan. I'll explain:

For the last couple of years, I have been paying the following:

• $80 for 1400 minutes (pretty much unlimited for us)
• $30 for unlimited messages
• $35 for Grandfather UNLIMITED
• $35 for Grandfather UNLIMITED
  
• $19.42 in fees
• TOTAL: $199.42 for unlimited DATA.
• This also includes a subsidy for 2 phones - SO i have only paid $199 for each phone (instead of the retail of $649) hence (199/24 months = $8)
• REAL TOTAL for 24 months with 2 new phones: $5184.08 with unlimited data

IF I chose to stay in unlimited, I would keep all the prices the SAME... instead my phone would now cost $649 instead of $199 (regardless of which way I finance it). So my total for 24 months goes up by at least $900 to $6084.08. THIS ALREADY PUSHES YOU OFF UNLIMITED - MY PLAN GOT $900 MORE EXPENSIVE THIS TIME AROUND.

IF I instead choose to change to a shared plan, I will need at least a 16GB plan to maintain the same amount of data access I have (we use about 14GB of data a month)

• $90 for unlimited minutes, messages and 16GB
• $20 for first line access
• $40 for second line access
• $19.42 in fees
• TOTAL: $150.00 for 16GB DATA.
• This seems like it would be less but we need to add the phones now. Under these programs I have to retail for the phones so add $649 per line.
• REAL TOTAL for 24 months with 2 new phones: $4898.00 with 16GB data.

Here is the $300 savings over 24 months for giving up my unlimited plan and going to a limited 16GB data plan.

I think this is very specific to each account.. but either way... it comes down to ATT removed the subsidy but did not lower the grandfather prices... hence I am paying more now if I upgrade.

Someone who finally gets it. That's exactly what I have been saying.

 

[slippery-pete]

Miss the subsidy days. Will be buying phone outright.

 

[ray737]

Miss the subsidy days. We be using phone outright.

I hear ya but you do realize the true cost of the phone was built into your monthly bill. That's why those customers than are NOT on the grandfathered plan get a $25 discount once their phones are fully paid off.

 

[slippery-pete]

I hear ya but you do realize the true cost of the phone was built into your monthly bill. That's why those customers than are NOT on the grandfathered plan get a $25 discount once their phones are fully paid off.

Yes, fully aware of how the process worked.