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Verizon cancellation fee - waiving?

Discussion in 'Northeastern US Wireless Forum' started by pfp, Oct 13, 2002.

  1. WirelessBeachBum

    WirelessBeachBum Soylent Green is People
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    REPLY to jmccrane



    If you consider phone subsidies (about 100.00 per phone NOT INCLUDING REBATES), someone other than the customer is paying this subsidy for the customer unless you actually believe that Kyocera can design, produce, and ship those phones for a penny a unit.

    "commissions for the sales channel that sold you the service"...$200 dollars to a Radio Shack or more or less to a verizon employee (not counting salaries for Verizon employees.)


    200 commission + 100 equipment subsidy= 300.00
    40.00 rate plan (Average ARPU in the US) x 12= 480.00

    480-300=180

    that 180 dollars "so-called-profit" per year is what is left over for the carrier to maintain and improve your cellular signal, train their call center staff to accept your abuses, and move to next generation services, not to mention pay all the other bills.

    On average across the US the average cellular call is about three minutes and the average usage per user per month is right around 400 minutes.

    Companies base their rates on averages, trust me that when a company comes out with an unlimited plan, or an unlimited N&W plans as Sprint just did, they are basing their ability to do these plans by average usage across the board.

    There are many factors that contribute to the actual cost of airtime.

    1. Infrastructure (Cell towers, and Equipment, Multi-million dollar switches)
    2. Wireless Spectrum (FCC licensing)
    3. Back end cost (T-1 or microwave links to the MTSO or switch)
    4. Long Distance cost
    5. Interconnect cost (each time a cellular phone dials another network interconnect fees are charged by that network to the cellular operator connecting the call.)
    6. and so on and so on....


    I have been a Sales Manager in Wireless for many years, and understand that you have to spend a buck to make a buck, but if you sign a contract to get a phone at a reduced cost, and service for a set amount of time, hold up your end and just pay the disconect fee when you decide to leave early.
     
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  2. Guest

    Guest Guest

    Here is how you get out of paying an early term fee.

    1. Send a certified letter to the carrier your wishing to dispute with, and request a copy of the agreement. In your letter, you want to basicly write that you did not agree to a term agreement and would like proof or a copy of any agreement that you signed or agreed too.
    2. Give them 10 working days to reply. If they fail to reply go to step 3. If the replied and have the copy enclosed your sol.
    3. Send a certified letter to the Attorney Generals office in the state the Company is based from. In your letter, you'll want to state that "carrier" is charging you a cancellation fee that you did not agree to, and when you tried to contact them and requested proof of the agreement you didn't get a response. Be sure to enclose a copy of the letter you sent to the carrier.

    note*** If you recieved a service credit for a "free phone" for your agreement you are sol. The reason for this, is many carriers have a bill dispute period that is outlined on there invoices and in there terms and conditions. If you recieved an invoice with a credit or a free phone on it, and didn't dispute that, then you'll more or likely have to repay back that credit or cost of the phone. Many are labeled "agreement credit" so by accepting this credit and not disputing it, you more or less are agreeing to the "agreement"

    good luck
     
  3. jmccrane

    jmccrane Bronze Senior Member
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    Wirelessbeachbum: RadioShack pays the full wholesale cost of the phone, and then sets its price based on the $200 Verizon will pay the. So, in that respect you are wrong...Verizon only shells out $200 for that.
     
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    Guest Guest

  5. WirelessBeachBum

    WirelessBeachBum Soylent Green is People
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    I'm very sure that the retail store's and outside sales reps do not get paid 200.00 on any rate plan they sell...so in essence Verizon is paying the subsidy on that phone, by paying a higher commission.

    It's also possible that Radio Shack will continue to get residuals on their customers service...which increases the carriers cost for that customer.
     
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  6. Guest

    Guest Guest

    If the phone was bought at radio shack the contract would have been signed at the location
    Good luck
     
  7. Guest

    Guest Guest

    I work for Verizon and you are wrong. Radio shack gets more for a 2yr agreement
     
  8. jmccrane

    jmccrane Bronze Senior Member
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    RS gets an automatic $200 "kickback" on a Verizon phone sold w/commission (this is why teh same phoen would cost $200 more without activation). You are correct about residuals, RS gets a small residual as well. The sale sassociate also gets a Verizon-sponsored $15 bonus. That is it for the sales level, regardless of the 1 or 2 year contract. If corporate RS gets something else, it is kept under wraps.
     
  9. Guest

    Guest Guest

    What a crock! My friend got out of his cancellation fee without all of these random things. He had a battery issue and went to the store. They didn't look at the battery or the charger and told him the only solution was to buy a new phone. He said forget it and then called headquarters and told them he was going to sue them for trying to make money off him when all that was actually needed was to replace the battery if they didn't let him cancel and waive the fee. Also, I use Verizon and they suck. Two weeks after I changed my rate plan, I needed to move down to lower minutes and they told me it had been discontinued. Also, when I changed they FORGOT to mention my minutes were prorated and tried to charge me the difference--which they ended up crediting me because their salesperson didn't tell me that. I was also told by their salesperson yesterday that my new every two plan is from the date of the latest rate plan and not from the date I got my phone--another thing the conveniently FORGOT to mention to me when I switched plans.
     
  10. Dennis

    Dennis Junior Member
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    I know that to be in error. My New Every 2 date came up in June of this year. Two years since I got on the NE2. I have changed rate plans probably 3 times in the 2 years and most recently in June or July of this year. When the T720 phones came out, I went in and said that I wanted one and I wanted my NE2 credit and had no problem. I also had previously verified that this would work at another VZW store.
     
  11. matt8205

    matt8205 Junior Member
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    Given my recent experience, the word "noble" doesn't belong in the same sentence with some of these cell providers. AT&T swore I had a two-year deal, could not produce a contract (because I never signed one), threatened to reneg on its one-year deal unless I relented, etc. But they eventually had to give in.

    So be persistent. If you don't have a contract on file, maybe they don't either. If they do, ask them for a copy. If they refuse, it doesn't exist -- to collect a termination fee they would have to produce this alleged contract anyway!

    By all means, be accountable if you really made this deal. But don't be naive either. Verizon isn't likely to be any more "noble" than any other wireless provider.

    (Even as I write this, I chuckle every time I read the word "noble" in connection with cell providers...)
    [​IMG]
     
  12. matt8205

    matt8205 Junior Member
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    Rit,

    Godspeed to you, and I hope your family business ends happily! I, for one, am not on great terms with my family and I wish you the best...
    [​IMG]
     
  13. pfp

    pfp Senior Member
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    Still have to call Verizon about that family business....Just putting off telling them until I possibly come up with a better idea.

    In all realism, I did just move.

    Now tell me everyone: I got the phone local to South NJ so that friends could call me w/o dialing long distance, I got a regional plan so I wasn't roaming in upstate NY. Now, I just moved to another suburb of Rochester, and if I tell them I didn't get the phone to use as a cell but instead as a scope from NJ for my friends, and that it's not working as that b/c I don't have service in my house, therefore not fulfilling the purpose for which i bought it, that they MAY let me out?

    P

    If they tell me they can relocate it to a Rochester local, I can always tell them that I really DON'T WANT a cell and just want my friends to be able to call me locally from South NJ. Think it'll work, or will they say "well, you gotta pay cancellation!"
     
  14. hlavender

    hlavender New Member

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    I had upgraded my phone and Verizon gave me this bit about how my existing plan did not support the new phone (a Voyager). However, I returned the phone (within 3 days and in accordance with their policy( as I just hated it. Subsequently, I switched my service. However, now they are saying that because they changed my contract as part of the initial purchase, I will have to pay the termination fee if I go to another carrier. I have argued and argued this point but to no avail. Any suggestions on how and to whom I should complain to
     
  15. WirelessBeachBum

    WirelessBeachBum Soylent Green is People
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    I would suggest filing for arbitration (read your terms and conditions.) with the limited details you have given, it sounds as if you may get the arbitor to side with you...
     
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  16. Eric47

    Eric47 Bronze Senior Member
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    if your inside your 30 days you can leave w/o a ETF...that is to say if you previously had no contract before you signed a new agreement. however if you had time left on your agreement before you renewed and you returned the equipment inside your 30 days they should at the very least reset your contract back to its previous state.

    so say for instance you were at 4 months left, then you got a new phone and wento 2 years again, returned the phone inside 30 days, they should reverse it back to 4months for you. and if they do that, just pay the prorated ETF, it will only be like 80 bucks for 4 months and is cheaper than their monthly bills.
     

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