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pmac3522

New Retail Installment plans

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I spoke to a sales rep that said around the middle of November the retail installment payments would be divided into 24 payments instead of 20, making the monthly payments lower. Has anyone else heard anything about this?

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I spoke to a sales rep that said around the middle of November the retail installment payments would be divided into 24 payments instead of 20, making the monthly payments lower. Has anyone else heard anything about this?

I thought they already were?

 

It really doesn't matter how much the monthly payments are though.  Spreading it to 24 months only accomplishes two things:

 

  1. Shaves a couple of dollars (varies with phone) off your monthly bill
  2. Makes upgrading via trade-in (when you have paid half of the device cost) take two extra months, which is BS because if you want to go this route you aren't allowed to pay it off early.  You have to wait until the retail installment payments have covered half of the MSRP of the phone at the time you sign up for it.  So if you liked the retail installment plan for trading in and getting a new phone much more quickly than the old 2-year contract paradigm allowed, now you have to wait 20% longer than the 20 months.

I think this has been implemented for some time now though, like a year or so.  I'll have to check my account info, but I'm pretty sure when I signed up for my Moto X 2014 in mid to late October last year it was for a 24-month payment plan.

 

 

I'm so glad that manufacturers are moving away from the carrier-branded phones and recently have begun financing.  Now you can get phones from the source, they work on any carrier you choose, updates are much more frequent due to not having to pass each carrier's verification process (because there is a unified hardware and software model), and you don't have the major up-front investment to make.  It's the future!

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They're also changing the amount that you can finance on an account from what it is currently, where you can only have X (I think 5 or 6) active installment plans active at one time, to a max dollar amount outstanding based on your credit.

 

Edit: Current limit is 6. http://www.uscellular.com/uscellular/support/faq/faqDetails.jsp?topic=device-financing.html&parent=phones

Edited by GoPackGo

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Lol so for example you can spread the payments on a 64g Nexus 6 @ $730 over 24 months instead of saving yourself $300 and buying one elsewhere, real good dealzzzz

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I just went ahead and signed a new two year contract. ETF is $350, I paid $99 up front. After 12 months, if I choose to leave, I pay the prorated etf of $150ish, and I'm still way ahead of those who took the installment plan.

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I just went ahead and signed a new two year contract. ETF is $350, I paid $99 up front. After 12 months, if I choose to leave, I pay the prorated etf of $150ish, and I'm still way ahead of those who took the installment plan.

Did you forget the extra $300 per year extra you pay for connection fees by purchasing a subsidized phone? 

your not that far ahead if at all. 

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I just went ahead and signed a new two year contract. ETF is $350, I paid $99 up front. After 12 months, if I choose to leave, I pay the prorated etf of $150ish, and I'm still way ahead of those who took the installment plan.

Did you forget the extra $300 per year extra you pay for connection fees by purchasing a subsidized phone?

your not that far ahead if at all.

Yeah, I was comparing some phones doing a retail installment vs subsidized over 2 years a few months ago. In my experience, depending on the phone it gets close, but the retail installment was always cheaper. This may have changed with the new pricing though.

 

Edit: So for example if you got an S6 for $99.

 

If you leave after 12 months using subsidized pricing, you would have paid the $40 activation fee, and 12 months of the $40 connection and the $99 phone, and $150 ETF, so $40 + (12 * $40) + $99 + $150 = $769.

 

Assuming current pricing, if you leave after 12 months on < 10GB on retail installment (RIC) data you pay $25 activation fee, 12 months of the $20 connection fee, and full price for the phone, so $25 + (12 * $20) + $499.20 = $764.20.

 

If you have >= 10GB data, the connection fee is $15, so $25 + (12 * $15) + $499.20 = $704.20.

 

If you do the full 2 years:

Subsidized: $40 + (24 * $40) + $99 = $1,099.

RIC < 10GB: $25 + (24 * $20) + $499.20 = $1004.20

RIC >= 10GB: $25 + (24 * $15) + $499.20 = $884.20.

 

So in summary, it's pretty close in all cases, but subsidized costs a little more.

Edited by GoPackGo

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I just went ahead and signed a new two year contract. ETF is $350, I paid $99 up front. After 12 months, if I choose to leave, I pay the prorated etf of $150ish, and I'm still way ahead of those who took the installment plan.

Did you forget the extra $300 per year extra you pay for connection fees by purchasing a subsidized phone?

your not that far ahead if at all.

Yeah, I was comparing some phones doing a retail installment vs subsidized over 2 years a few months ago. In my experience, depending on the phone it gets close, but the retail installment was always cheaper. This may have changed with the new pricing though.

 

Edit: So for example if you got an S6 for $99.

 

If you leave after 12 months using subsidized pricing, you would have paid the $40 activation fee, and 12 months of the $40 connection and the $99 phone, and $150 ETF, so $40 + (12 * $40) + $99 + $150 = $769.

 

Assuming current pricing, if you leave after 12 months on < 10GB on retail installment (RIC) data you pay $25 activation fee, 12 months of the $20 connection fee, and full price for the phone, so $25 + (12 * $20) + $499.20 = $764.20.

 

If you have >= 10GB data, the connection fee is $15, so $25 + (12 * $15) + $499.20 = $704.20.

 

If you do the full 2 years:

Subsidized: $40 + (24 * $40) + $99 = $1,099.

RIC < 10GB: $25 + (24 * $20) + $499.20 = $1004.20

RIC >= 10GB: $25 + (24 * $15) + $499.20 = $884.20.

 

So in summary, it's pretty close in all cases, but subsidized costs a little more.

 

Add $25 to ETF for subsidized.12 month ETF is $175

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They are in fact allowing variable installment periods starting the 8th. This update also allows you to pay more than the monthly amount towards your phone. This comes at a price because early upgrades are now being extended to 18 months!

Sent from my SM-G920R4 using Tapatalk

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Is the 18 month upgrade still in effect if I upgrade before the 8th? Can I get a new phone on an installment plan today and upgrade next November, or will I have to wait 18 months regardless?

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Sorry, the clarification is that I was able to keep my unlimited data at the same promotional rate ($40, and $50 for the calling plan). My monthly bill before taxes is $90. Over 12 months, I'll pay $1080 + $175 etf + $99 up front, = $1354.

With a 10gb plan and a 32gb S6, $110 * 12 = $1320 + buyout ($300) = $1619.

In my particular case, I'm ahead. The disadvantage, of course, is that I can't get a new phone in 12 months unless I pay full price.

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Sorry, the clarification is that I was able to keep my unlimited data at the same promotional rate ($40, and $50 for the calling plan). My monthly bill before taxes is $90. Over 12 months, I'll pay $1080 + $175 etf + $99 up front, = $1354.

With a 10gb plan and a 32gb S6, $110 * 12 = $1320 + buyout ($300) = $1619.

In my particular case, I'm ahead. The disadvantage, of course, is that I can't get a new phone in 12 months unless I pay full price.

 

Oh god, don't let iRub1Out know. =-P

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Unlimited data? I thought that was over with did I miss something?

They never took mine away, and I just resigned a two year contract and got to keep it.

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