Sprint Brings Back Two-Year Contracts - With A Catch
Feb 26, 2016, 2:57 PM by Eric M. Zeman
updated Feb 26, 2016, 4:40 PM
Sprint has reversed its position on contracts and starting today began offering them again as an option to customers purchasing new equipment. Sprint customers can pay full price for phones, lease them, break payments up over time, or sign a two-year contract to purchase phones at subsidized prices. The company nixed the contract offering only a month ago. "We listened to our customers and are giving them more choices to get their new device," said a Sprint spokesperson to FierceWireless. "Sprint is the only carrier to offer the most choices to obtain a new device — lease, installment bill, two-year contract or pay full retail price." AT&T, T-Mobile, and Verizon Wireless have largely given up the idea of using contract pricing to lure in customers. There is, however, a big catch for customers who choose to sign a contract with Sprint. The cost of the service plan and device payments will be approximately $150 more than if the device is financed (without a contract) or purchased outright. For example, the 16 GB iPhone 6s costs $649. If paid for in full and then added to a 3GB monthly plan, the total of payments over two years at $50 per month comes to $1,849 before taxes and fees. If customers purchase the same phone with a two-year contract, they'll have to pay $199.99 up front followed by $75/mo for 24 months for the same 3 GB plan. The total in payments through the contract route totals $1,999 before taxes and fees. The total dollar amount by which contract purchasing exceeds paying in full or financing varies by handset and contract terms — but is generally at least $110 more expensive over two years.
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Comments
Oh my god.
Don't get me wrong, I'm glad that people are finally doing the math and explaining it to people, but holy crap it took long enough. Maybe now if people pay any attention, they won't beat up customer service over the "increased price" of the monthly payments (aka loan).
Then again, I bet that instead they'll beat people up over how they were "being ripped off" for years...
There were a number of reasons. One is with the subsidy, you are only paying tax on the subsidized price, not ful...
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Rep are giving away the lease or installment to customers
Later after getting the bill, customers are calling the CS
They can see the reports months after months that the new plans are the top of their complain list....
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Whoa! Hold The Phone Hot Rod!!!
ALL FIVE subscriptions are up for the NFYHUP does this mean that I will have to change my service plan to get the subsidy pricing?!?!?!?
I know that devices are not "free" and Sprint depends on subscriber commitments to an ongoing MRC to keep this business model sustainable. I just want to make sure that I can do what I have always done and keep what I have maintained as far as my plan..
I'M TOTALLY PISSED
It worked well out the gate and also on my first upgrade 2 years later. However, this past Cyber Monday I found an awesome deal on BestBuy.com (of all places) for 2 devices with contract renewal from Sprint. But something surrounding Sprint's magical math from the previous contract renewal had my contract being up 2 days later. So, I couldn't get the deal.
I called Sprint to see if...
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I was in the same boat but I insisted that my plan required 2 years contract and I am not doing installments, lease (stupid) or full price. They had to call and get some kind of approvals and gave m...
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