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printed August 31, 2015
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The Phone You're Paying For But Not Getting

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It's amazing how hard it is to get people to understand this

Globhead

Mar 20, 2013, 11:14 AM
People actually think that $200+ phones are routinely given away, and that somehow doesn't come out of the monthly payment.
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adam2106

Mar 21, 2013, 1:44 AM
exactly.

1. CPGA
2. subsidies
3. monthly plan
4. ETF

all of these play into the price of the phone and plan.
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Rusty Shackleford

Mar 21, 2013, 2:42 AM
Unfortunately most Americans are highly ignorant on economic issues and proudly so. They'll whine about manufacturing going overseas and then whine for more of the very regulations that force business to leave. They whine about the cost of gas, and then whine to keep oil locked underground. They whine about high unemployment, and then whine for the government to punish those who are productive and might need employees. When election time comes around they whine about the sorry economy and then elect socialists who can hardly keep their contempt for free enterprise in check.

I can hardly blame carriers for exploiting the voluntary ignorance of the public. I was just looking at a magazine advertising used cars, and in most of the ads...
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Slammer

Mar 21, 2013, 8:06 AM
Rusty,

Please!

This is a numerous time you are defending the company for preying on consumer's ignorance.

This has nothing to do with ignorance as much as it has to do with a blantant misuse of conduct on part of the company. They are getting away with it because nothing is there to prevent it. What is so hard to understand about this?

I want the name of your loan bank. I want them to know that you have no problem with maintaining payments on your vehicle once it's paid off.
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Joshiwa

Mar 21, 2013, 10:25 AM
The bank loan example doesn't stack up very well. After you pay off your car loan to the bank you are no longer using that banks services, but you are with a cell phone company.

Also, how hard is it to understand that cell phone carriers are a "for profit" organization? They don't want to "break even" on phone and services they offer. For their shareholders, own financial security, and growth to provide you (the demanding and self-entitlement consumer) with new services like 4G, new cell towers, and rich device lineups they must make $.

This is a useless article and causes more problems than good. If Every major cell phone company was debt free and rolling in dough then maybe we should address this but the fact of the matter is most c...
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Overmann

Mar 24, 2013, 11:00 AM
It's all part of the credit economy, again, partly due to subsidies. That $249 smartphone you got on a 2 year plan? Costs the store that sold it to you $550. And if the great new device turns out to be a flop? That's a lot of money lost. If consumers and companies both stopped trying to subsidize and lock phones, and simply have phones and services sold at profit and not at subsidy, we may see phone retail and wholesale prices drop a little and carrier service prices drop some as well. Phone carriers could also stop running on borrowed money if they no longer have to foot the bill on customizing and buying all the phones for their network. We've seen technology crop up recently where a phone radio tuner can switch frequencies totally on soft...
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KOL4420

Mar 25, 2013, 4:52 PM
LOL. Actually its in the terms and conditions of the contract everyone signs. I too was part of the contract trap but got out of it once I figured out exactly what this post is saying many years ago.

Everyone wants to make a profit. They rape of Americans is in more things then just phone plans... Banks, credit cards, taxes, etc.

I can go on and on.
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FixandStyle

Apr 5, 2013, 12:49 PM
This is so true! One of the most frequent questions we get from customers who come into our mobile device repair center in Fairfax VA, is why is the repair cost almost the same as what they paid for the cell phone (for some repairs) and we have to explain, this entire dialog. BUT on the other hand this is insider industry knowledge, if you don't work in the telcom industry why would you know it? Really this is part of our job as a service provider is to educate consumers. Check out some of our FAQ's, these are great discussion points.

http://cellphonerepairfairfax.com/cell-phone-repair- ... »
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