Update, Verizon has confirmed that:
-Existing customers will still be able to sign new contracts and obtain subsidized phones as long as they keep their old plans.
-If an existing customer switches to the new plans, they will no longer be eligible to switch back to the old plans with subsidized phones.
-If an existing customers wants to switch to the new plans while in middle of a contract there will be $20/month surcharge until your contract is complete.
Originally posted on 08/10:
Effective 08/13 Verizon will be ditching contracts and subsidized phones on consumer plans and will move to a simplified plan structure.
More info from CNN and Verizon.
All plans will have unlimited minutes and texting. The differences will just be in the data:
-Small: 1 GB/month for $30
-Medium: 3 GB/month for $45
-Large: 6 GB/month for $60
-XL: 12 GB/month for $80
You can additional phones for $20/month, tablets and hotspots for $10/month, and smart watches for $5/month. Additional data will be $15/GB.
The days of subsidized $199 smartphones are coming to an end. Expect to pay $650-$750 now, though you’ll be able to break up that cost over time.
If you’re on an old plan you can keep the plan, but what’s unknown at this point is whether you’ll still be able to upgrade your phone at a subsidized rate after Wednesday.
I’ve called several stores and reached out to a few Verizon reps, but have gotten conflicting information. If you are sitting on a phone upgrade it may be a good idea to take advantage of that now.
Of course if you’re on an unlimited data plan you can’t upgrade anyway as upgrading causes the unlimited data to be lost. Though there are workarounds for that if you have additional phone lines on that account that don’t have unlimited data.
Note that these changes only affect consumer accounts, business accounts won’t be affected.
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48 Comments On "2 Days Left For Subsidized Verizon Phone Upgrades?"
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What are the workarounds to get the upgrade and not loose your unlimited data ?
I had an update on a week. Is there any way to fight this?
I have an unlimited data plan. Will I be getting unlimited minutes as well?
Whoa this is big news. Tmobile ditching contracts? not surprising. Verizon on the other hand…
I was in Verizon in Brick NJ 1 hour ago, they CLAIM this is only for new customers & upgrades will still be allowed under the contract method.
Please explain more… What should I expect to pay per month. If I were to upgrade to the new iPhone in the fall ? Anybody have an answer ?
Is this change good or bad for the average consumer
My understanding is that they subsidize the phone, but you pay 40 per month for service
If you Are out of contract you pay 15 per month so you are paying 25 more per month
For the phone that is 600 per year toward the phone
@Alex: Read the post
@R:
You can transfer the upgrade from an unlimited line to a regular phone line.
@Ben:
It’s possible that these changes are only for new customers, but nothing is confirmed at this point.
@Alex:
No.
@david:
I’ve called several stores and they have conflicting info.
VZW reps themselves won’t speculate on “future changes.”
It seems like VZW corp is keeping existing customers in the dark.
@Anonymous:
You would pay full price for the phone.
@Gerry E:
Those plans are being phased out.
Is this any different than the current Verizon Edge program?
I am a Verizon representative in Brooklyn and no changes will be about the “upgrades”
yes the plans will change you will still be able to do upgrades no problem new customers and old customers
@DF:
Yes.
@Tessler:
How will new customers be able to “do upgrades?”
@Dan: Verizon will offer upgrades for every customer eligible even after August 13th
Any idea what would be the best phone to upgrade to and then sell?
@Tessler:
How would a new customer be eligible?
I recently dropped Verizon for T-Mobile and have been so happy. I’ve actually had faster speeds that I had with Verizon in my area, used the free data roaming and texting. T-Mobile is better for 99% of people who don’t travel to rural areas where Verizon will have 1G coverage and T-Mobile won’t have any coverage. The prices are so much cheaper.
Will the Edge program still be available?
Thanks for the heads up- was planning on upgrading a few phones in the next couple of weeks, but will be doing it now.
For someone who keeps good care of their hardware, doesn’t want to follow a 2 year upgrade cycle and is solely concerned with lowest cost this could be a good thing.
Who doesn’t sell their upgrade that is.
For the lest year each line is $40,
if you do not sign a contract and you bring your own device you got a $15 or $25 month 2 month credit
From 8/13/15 new lines will b $20 and you pay full price of the phone if you sign a new 2 year contract and you guess the phone for cheap you will pay $40 monthly
@DF: yes
@Dan: spoke to a rep and they said that current customers will be able to get future upgrades, but like u said, probably better to upgrade now then wait and have them change it
@foseph:
They also said that unlimited data phones wouldn’t change, but then they stripped away our upgrades because they want us to change to a newer plan…
Just chatted with rep. They said it only applies to new customers, not existing, even when signing up for new two year contract.
@A Neuman: new customers will have the option of
2 year contract with discount price phones
@Dan: “Effective 08/13 Verizon will be ditching contracts and subsidized phones on consumer plans and will move to a simplified plan structure.” How about business plans?
A lot of panic going on around the inter webs but it’s not as bad ays think. In fact, many will pay less per month. When Verizon “subsidized” your phone, all they did was build the rest of the price into your monthly bill by way of an “access fee” (currently $40). With the new plans rolling out this Thursday (as well as in the current “More Everything Plan), this “access fee” is only $20, i.e. about the same amount you’ll pay if you pay for the full price of a new, non-“subsidized” phone. Personally, my bill will be $40 less per month than on my current, grandfathered Nationwide Family Plan.
Source: Been researching all day… Hope this quells the worry!
For those wanting to learn more about this in detail, there’s a great forum on Reddit in their “verizon” subreddit with a lot more explanations, examples and charts.
Link: https://www.reddit.com/r/verizon/
http://i.imgur.com/6EaWlt0.jpg
I pay $40 for a smart phone now +30 for a basic for access.
Under the new program it will only be $20 for a smart phone but how much for a basic phone?
@mh: Good question I had the same one. I contacted Customer Service earlier about this (since theres no clear indication anywhere) and they answered that Basic phones would also be $20 for access like smartphones, the same amount they are now under the More Everything Plan.
If they do like att they will jack up the prices then Drop them and claim you get cheaper rates if you go with unsubsidized plans – as for me I’m moving from att to cricket and saving $70/month vs my current plan with same data,talk,text – the subsidies were the only thing keeping me there
@mh: $20
@Shmulie
That is so easy….iPhones hold their value better than any other brand.
for a new customer (coming from sprint).
anybody knows if i should wait for the new plan or first grab my free phones? an
Went to Verizon last night to use my upgrade. The rep said that as of Wednesday, Verizon will no longer be offering a discounted phone for a 2 year contract. Full price or full price amortized over 24 months. To incentivize you to leave your old plans, the new plans give you a $15-25 monthly discount when you are paying off your new phone (depending on how much data you pay for.)
anyone know the verdict?
can upgrades after thursday still pay the subsidized price?
It’s important to understand that a “subsidized” price isn’t really subsidized. The rest of the price of the phone is built into your monthly statement. For example, with the current More Everything plan, the monthly “access fee” for a smartphone on a 2 year contract is $40, whereas without the contract/subsidy, it’s only $15. That $25 difference is the same or more what you’d pay if you were to pay for the phone at its full retail price and paid for over 24 months, depending on what the price is. The iPhone for example retails at $650 or $27 per month. But if you were to get a less expensive phone it’d be less. Plus, you can put money down at the beginning to offset the monthly payment on the phone.
http://mobile.nytimes.com/aponline/2015/08/11/technology/ap-us-tec-verizon-new-phone-plans.html?_r=2&referrer=
Oy vey
@jonny:is incorrect. You’re confusing subsidized with the Verizon edge plan. If you sign a 2 year contract, the phone will be subsidized, ie an iPhone will be $200 upfront, and that’s all. The caveat is now you’re locked in a 2 year contract. And for 2 years, you’d pay whatever minutes + data package you want. For example, it’s $75 a month for unlimited minute and texts and 2 gigs of data. That’s what a subsidized phone plan is, and it’s your best bet, based on your need. The end.
What if I use all my upgrades today and change plan today? Will I still get hit with that $20 fee?
I don’t understand the appeal of the subsidized phones. Currently 1gb of data is $30 a month on both the old and new plan. The old plan had a $40 a month access fee and it’s only $20 a month for the new plan. So you’re saving $20 a month on the new phone. If you factor in the payments of a new iphone, thats $27 a month the new plan, with a new Iphone runs you an extra $7 a month. However, if you factor in the fact that on the old plan you need to lay out $200 a month for a phone, which equals to $8.33 a month you are actually saving over a $1 month. This doesn’t include the savings associated with the time value of money.
I have been using unlocked smartphones with prepaid plans for almost 4 years (T-Mobile, AT&T MVNOs, Verizon) because it’s a lot cheaper. I currently pay $45.50 for 2gb on Verizon which includes all taxes – this is more in-line with their new scheme.
Note: prepaid phones are cheaper – a “Virgin Mobile” Sprint iPhone 6 is $549, a Sprint iPhone 6 is $649, a Sprint iPhone 6 at Best Buy is $699 unlocked, used phones can be a great deal as well.
verizon website doesnt have option for 2 yr upgrade at subsidized price anymore.
If you log into myverizon and look at your account the 2 yr upgrade is still available. Although when you do some simple math it is easy to see that over the course of 24 months the new plans with unsubsidized phones are a little less than the previous subsidized phone plans. Old plan = less for phones up front more for service over 24 months. New plan = more phones monthly less for service over 24 months. New plan for a 3 phone share plan with 3GB is $312 cheaper over 24 months ($13/mo cheaper) than the current plan is with 2GB. This assumes all 3 phones are Samsung S6 for simplicity.
Seems like its a winner the new plan:
Old plan = $32 a month for the 2GB plan %20% employee discount) + $40 FOR Smart Phone access + 20 for basic + 20 for another basic
Total = $112.
New Plan = 3GB for $36 (after employee discount) + $20 each phone + $20 surcharge = $116 but I am getting an extra 1GB
When we renew after 2 years the $20 Surcharge goes away but the new Phone lets say is $649 so $27 a month but the same subsidized phone was $199 upfront so that is a wash.