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Indirect reps and chargebacks...

PhoneyName

Mar 7, 2011, 6:47 PM
A question for all my fellow indirects...
Does your store have a policy where you charge a customer for the retail value of their equipment if they cancel service and you get a chargeback? If so, how do your customers react when you tell them this at the point of sale?
My boss and I disagree on how common this policy is among stores, so I'm trying to get a feel for what other stores are doing. Thanks!
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thecleaner62

Mar 7, 2011, 7:06 PM
we have the same policy, if the device leaves the account within six months they either need to return the equipment or be assessed the remainder of the full retail amount. i have never run into a customer actually being billed for it though
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Joby Dick

Mar 8, 2011, 2:12 PM
We do have a similar policy, and we explain it in full to the customer when they purchase a phone and they sign for it. So far, we've had no issues, considering that only those doing fraud would object (and that's only if they're using their info). Honestly, though, I've never come across a customer that's been charged for it.
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Mikey C

Mar 8, 2011, 2:46 PM
"If my service agreement is terminated for any reason after my 14th day of service, I will be charged a disconnect fee of $175.00 per line for basic feature phones or $350.00 per line for 3G Multimedia by Verizon. In addition, if my service agreement is terminated for any reason after my 14th day of service and prior to my 180th day of service, I agree to pay [company] an additional $200 per line to assist in recovering the cost of my discounted equipment. If I do not adhere to these terms, I understand that [company] will attempt to collect this debt in writing."

That is our policy verbatim. That being said, no issue with a customer coming back complaining.
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olderthandirt

Mar 8, 2011, 2:53 PM
No wonder they can give phones away.

Makes Sprint look like a bargin because they charge 200 etf and prorate it down after 5 months.

Either way I would never be under contract for any provider when with good money management the prepay out there is the best deal.
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Mikey C

Mar 8, 2011, 3:05 PM
Just for clarification, and I'm not defending their policy by any means, Verizon does prorate down 5 dollars each month for a 175 etf and 10 each month for a 350 etf.

Every carrier is terrible, Verizon just pays my light bill.
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