NEVER accept your cell phone carrier's FREE phones!

Monday, September 3, 2007

Here's a nice story. I just canceled my Sprint PCS service and here is the story of how they managed to charge me TWO cancellation fees although I only really had one phone and one line!

Since about 2002, I had been a loyal Sprint customer. I loved the service and never had issues. I started with a Treo 300 and continued to upgrade my Treo to the 600, 650, then a 700P through the years. Because of their contract limitations, my only subsidized phone was the very first Treo 300. After that, I paid FULL RETAIL for every other phone - happily so, because I needed the technology - and was willing to pay for it. So far, happy story... happy customer.

By the way, EVERY TIME I upgraded phone, even though I was paying FULL RETAIL, Sprint stuck me with a new contract. I should have complained each time but did not.

About 2 months ago now, I fell in love with the iPhone (read my other post about why you want an iPhone). I knew I had an agreement with sprint and that I would pay a cancellation fee if I terminated. The fee was $150. I loved the iPhone... I had to do it. What's $150 on top of the already exorbitant $599 for the iphone, right?

Month 1 after termination, I received what I expected. It was a bill with a cancellation fee of $150. I paid it, case closed, right?

No... not quite! It turns out that during the relationship with Sprint, at one point, I vaguely recall getting an offer for a "free phone" to be added to my account. It was a phone that would have NO COST, either initially nor monthly. It was a CRAP phone, not worth much to me, not useful to me (really) other than for an emergency phone. I asked repeatedly if there were charges, any charges. I was assured there were none. So, I grudgingly accepted the free phone, thinking "what harm is there". Received it, confirmed it was CRAP and threw it in a drawer where it STILL collects dust.

Little did I know that I had just been a victim to Sprint's predatory and abusive customer practices. Two things happened when I accepted that stupid phone, both unknown to me:
  1. The contract on my EXISTING phone (not the free one) was now reset to 24 months from the time I accepted the "free" phone.
  2. The "free" phone had a contract of ITS OWN... so that in essence, if I wanted to cancel service with Sprint, I would now be charged $300 ($150 per phone).
Outrageous and all done in the veil of a "free phone for our valued Sprint customers".

So, despite the fact that I spent over $2,000 in unsubsidized phones with Sprint (at their FULL RETAIL) and gave them 5 years of a loyal, timely paid customer (at a whopping $120 per month plan with ALL the bells and whistles), Sprint felt the need to SCREW ME out of an additional $300 when I decided to leave them for no other reason than I wanted a different phone (one they do not offer).

The moral of the story: NOTHING IS FREE.

Here's how I will deal with the cell phone carriers from now on:
  1. DO NOT ACCEPT FREE OFFERS FOR PHONES FROM YOUR CARRIER - no matter how "free" it sounds, there is a hook and they will get you.
  2. DO NOT BUY ANY ACCESSORIES FROM THE CELL CARRIERS - they RIP you off. You can get the same accessories cheaper elsewhere. Just walk out of the store with the phone and then go to your mall, office supply store or electronics store - they'll have the same accessories cheaper. Better yet, buy them on eBay or ONLINE.
  3. DO NOT BUY SUBSIDIZED PHONES (THOSE WITH A DISCOUNT IF YOU SIGN A CONTRACT) - again, the discount you get is FAR less than the possible penalties you'll have if you EVER have to switch (and you will switch at one point or other). Save some money LATER and simply buy the phone and take the plan you REALLY need, not the one they want to lock you into. If you can, take a plan with NO contract.
Of course, AT&T, who I switched to for the iPhone is probably worse. Even though I spent $599 on an iPhone (with ZERO subsidy from AT&T) they STILL ONLY signed me up for a 2 year contract!

Oh well, I guess I better really LOVE this iPhone, because I am going to be loving it for 2 years!

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