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Jul 12, 2018  

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Mobile Roulette  Getting the best value for your device, before and after

Mobile Roulette – Getting the best value for your device, before and after Once they are comfortable with their choice and number, most people will just stick to the same network and simply roll over their plan every couple of years. But due to the regular one-year release cycles of modern smartphones, most want the latest and greatest weeks after they are announced. In this vein, telcos used to let customers “upgrade” their plans after 18 months – effectively resetting their contracts early in return for waived handset repayments and a new phone. But 18 months is practically an ice age in modern technology, with most new Galaxies, iPhones, and Pixels on 12-month release schedules. So, why bother owning your phone if you’re only going to hang onto it for a year? Leasing offers the same benefits to phones that previously had been afforded to vehicles – customers sign up to a 24-month contract, but pay less per month for the phone, since they don’t own it. After 12 months, customers pay a fee to swap their phone for a new one, while the old is refurbished and sold on by the carrier. In many cases, not really. While there is a $120 discount over 12 months, you do not own the phone, meaning you can’t sell it at all within that first year, when new phones are at their peak value. You’ll also lose most of that discount when you swap, since the fee for a new device is around $100 with most carriers. In terms of ease, however, sacrificing cash for simplicity is key in this arrangement – you walk into the store, hand over the phone, and walk out with a new one.

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