an ordinary life in an extraordinary city... or, navigating the every day, whatever that brings
Tuesday, July 14, 2015
buyer beware: AT&T's deceptive advertising
How do I make something interesting and still communicate what I consider to be important news?
Not sure I can, so I'll err on the side of communicating what I just learned.
I'm guessing that most people think that the benefit of buying into a 2-year contract with AT&T is a discount on the phone. So if you are like me, and think that, you would be wrong.
Alexander lost his iPhone and replaced it with an iPhone 6 in early June. He paid $300 for the phone, which would have been $750 otherwise.
Today I get my first bill with the new phone. And guess what? My service fees increased $25/month plus associated taxes. That's not even including the ridiculous one-time charge of $40 that AT&T adds for the phone "upgrade."
So basically, Alexander's new phone costs $1,000. The $300 he paid plus the increased service charge of about $30/mo. for 24 months, or roughly $700. If he had bought the phone outright for $750, the service charge would not have increased.
So I call AT&T. And here's the deal.
There is none.
I can pay $300 for the phone and then an increase in the service charges, OR I can pay for the phone via an installment plan (no interest) and no increase in service costs. The installment plan also allows you to get a new contract in under two years.
After hours on the phone with surprisingly helpful people from both At&T and Apple, Alexander is returning his phone, buying a new one, and AT&T says they will retroactively credit our account for the installment plan option.
So buyers are not getting a discount on a new phone just because they are getting a new contract. In fact, they end up paying more.
This might not be a clever little post; nonetheless, I think it's a story worth telling.
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