T-Mobile Introduces Monthly Payment Plan for Phones

I think this is a great idea. It's interest free, so I'm looking forward to using it in a few months when I upgrade.

 

That's really cool!

I'd consider doing a payment plan for a phone if there was little or no interest for doing so.

Too bad I'll be switching back to Sprint when they get Android...

Perhaps this is just another way to get people to buy the more expensive phones which require the expensive data plans...

 

I doubt Verizon or AT&T would do something similar. That strategy might boost sales, but will also attract low profit or risky customers.

 

I don't think this will catch on, but I hope it does. If this catches on, then it may lead to the end of the handset subsidy. With LTE a few years down the road, and an end to handset subsidies, it may lead to the unbundling of carriers and handsets. At least I can dream.

 

I'll be honest - that's what I thought at first. But I believe that many of the low profit / risky customers are weeded out by the credit checks... especially on VZW & AT&T

I'm thinking this is a move to see how customers engage this option... For two reasons:

1. To see if this is a way to raise sales and encourage people to go for the more advanced devices (that generally cost a bit more) and raise ARPU for the carriers (through data packages).

2. To see how people react to the option of "paying off" a phone.

Personally, if given the option, I would much rather "pay off" a phone every month at a set rate if it meant that I would get cheaper service and pay no term fees as soon as the phone is "paid off". In reality, this is how the system (generally) works with subsidies... but the average consumer has no idea what's involved.

 

I agree, especially with smartphones becoming more and more popular! (And the more SMARTPHONES T-Mobile sells, the more DATA PLANS they'll sell as well!) :thumb: