What forces you guys into contracts for mobiles?

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Feb 19, 2001
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Originally posted by: WelshBloke
Originally posted by: TheWart
I understand how the idea of a contract locking you in to X company for 2 years rubs people the wrong way, but for the life of me I cannot understand how people make the "well you are really paying contract price+50 month for the phone!!!?!?"

**you STILL HAVE TO PAY THE MONTHLY FEE if you buy an unlocked phone without a contract**

Why can't people get this through their heads?? The contract makes it CHEAPER because you are paying less up front. The only benefit to not having a contract, is that you can hop from carrier to carrier, which is great, especially if you travel. Now would I prefer to have an unlocked phone and no contract for the same price? Sure, but that isnt the case.

sigh, it is just that this argument gets trotted out every time and it defies logic.


:confused: Wat? No contract=no monthly fee.

Contract = save money on phone. I understand that. However you get crappy branded phones. Wooohooo. Authorized Asian resellers FTW.
 

Farang

Lifer
Jul 7, 2003
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I just got a $350 Motorola ZN5 for free for signing a two year contract at $29.99/mo with T-Mobile. If I sold the phone on ebay I'd be getting over 5 months of free cell service (incl tax), but I think I will keep it because it is awesome.
 

WelshBloke

Lifer
Jan 12, 2005
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Originally posted by: Farang
I just got a $350 Motorola ZN5 for free for signing a two year contract at $29.99/mo with T-Mobile. If I sold the phone on ebay I'd be getting over 5 months of free cell service (incl tax), but I think I will keep it because it is awesome.

29.99 * 24 = $719.76

Motorola ZN5 on ebay BIN $300

your paying $419.76 ($17.49 pm) for your phone line, so where is this free 5 months coming from?

And your locked into that contract and phone for 2 years.

That may or may not be a good deal depending on, how much you use your phone , if you had a decent phone to start with and if you wanted a Motorola ZN5.

Personally I still prefer PAYG and an unlocked phone but then I'm in the UK and Tmob have a decent PAYG data rate.
 

gorcorps

aka Brandon
Jul 18, 2004
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Originally posted by: WelshBloke
Originally posted by: Farang
I just got a $350 Motorola ZN5 for free for signing a two year contract at $29.99/mo with T-Mobile. If I sold the phone on ebay I'd be getting over 5 months of free cell service (incl tax), but I think I will keep it because it is awesome.

29.99 * 24 = $719.76

Motorola ZN5 on ebay BIN $300

your paying $419.76 ($17.49 pm) for your phone line, so where is this free 5 months coming from?

And your locked into that contract and phone for 2 years.

That may or may not be a good deal depending on, how much you use your phone , if you had a decent phone to start with and if you wanted a Motorola ZN5.

Personally I still prefer PAYG and an unlocked phone but then I'm in the UK and Tmob have a decent PAYG data rate.

Because he'd have to pay for a plan anyway regardless of contract, why do you not understand that? You can't include the plan in one calculation and not the other. He's saying he got the equivalent of $300 for free (through the phone) so if he sold it it's like a free $300 just for promising Tmobile he'll stay with them for 2 years which he probably would anyway.
 

Farang

Lifer
Jul 7, 2003
10,913
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Originally posted by: WelshBloke
Originally posted by: Farang
I just got a $350 Motorola ZN5 for free for signing a two year contract at $29.99/mo with T-Mobile. If I sold the phone on ebay I'd be getting over 5 months of free cell service (incl tax), but I think I will keep it because it is awesome.

29.99 * 24 = $719.76

Motorola ZN5 on ebay BIN $300

your paying $419.76 ($17.49 pm) for your phone line, so where is this free 5 months coming from?

And your locked into that contract and phone for 2 years.

That may or may not be a good deal depending on, how much you use your phone , if you had a decent phone to start with and if you wanted a Motorola ZN5.

Personally I still prefer PAYG and an unlocked phone but then I'm in the UK and Tmob have a decent PAYG data rate.

Because my average usage makes it, using your calculations, 11.4 cents per minute to use the phone (tax incl, I use about 200 minutes/month). Pay as you go is 10 cents per minute (before tax) plus $1 every day you use the phone. This is bad not only money wise but mentally, I want the freedom to use my phone whenever and not be pissed on the days I have to spent $1 to make a 1 minute call

I love pay as you go and most countries I've been to have it so you just buy cards and don't have to pay that $1 fee, but in the U.S. it is not like that.


edit: I guess I didn't respond to your actual question, but the reply above does that. I'm simply applying that $300 "credit" in a different way than you.

edit 2: Actually they have it where you don't pay the access fee but it is $.25/minute. More than twice what I pay with the contract, so as long a I stay for one year I am coming out ahead of prepaid.
 

Deeko

Lifer
Jun 16, 2000
30,213
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Originally posted by: WelshBloke
Originally posted by: Farang
I just got a $350 Motorola ZN5 for free for signing a two year contract at $29.99/mo with T-Mobile. If I sold the phone on ebay I'd be getting over 5 months of free cell service (incl tax), but I think I will keep it because it is awesome.

29.99 * 24 = $719.76

Motorola ZN5 on ebay BIN $300

your paying $419.76 ($17.49 pm) for your phone line, so where is this free 5 months coming from?

And your locked into that contract and phone for 2 years.

That may or may not be a good deal depending on, how much you use your phone , if you had a decent phone to start with and if you wanted a Motorola ZN5.

Personally I still prefer PAYG and an unlocked phone but then I'm in the UK and Tmob have a decent PAYG data rate.

What are you rambling about? For starters - no, you are NOT locked into a specific contract, I'm pretty sure all the carriers let you change your contract at any time - and depending on how you're changing it, you don't always have to resign a contract to change it, either. You are locked into A contract, but not any specific one. You also aren't necessarily locked into that phone - you can buy a phone WITHOUT a contract and swap it out at any time.

This is really, really, really not hard to understand. We do not have pay as you go/pre paid in America, not the way they have in Europe. If you use your phone any decent amount of time at all, or if you use data/text features, it is ALWAYS cheaper to have a monthly plan here.

In America, unless you use your phone very infrequently, it is better to have a monthly agreement with a carrier. Period. And those monthly agreements generally come with contracts + better deals on the phone, so why the hell wouldn't you?
 

boomhower

Diamond Member
Sep 13, 2007
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Man some people are hard headed. Over here if you use a phone with any regularity it is much cheaper to sign a contract than it is to use prepaid, there is no other option. We don't have post paid. It is prepaid or contract. After you complete your contract you can stay month to month without signing another one. Most companies will not give you a plan without a contract even if you bring the phone. So it is essentially getting a free or heavily subsidized phone. I don't see how that is hard to understand. If you weren't aware they lock you into the contract to make up for subsidizing the phone. They just can't give away phones and then let you leave the next month.
 

WelshBloke

Lifer
Jan 12, 2005
32,912
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:laugh: Wow you guys are touchy! Must be the crappy cell phone plans you have ;)

@gorcorps
Because he'd have to pay for a plan anyway regardless of contract, why do you not understand that?

So you cant get PAYG in the states?

@ Deeko

No need to be an ass about things.

The guy asking the question is from Belgium, I'm from the UK and you seem to think everones American or everthing works like it does there.

I suppose its really, really, really hard to understand that not every country does things the way yours does.

And about contracts, so you can change your contract at anytime or cancel it with no penalty? Whats the point of being on a contract and buying a phone?



 

gorcorps

aka Brandon
Jul 18, 2004
30,739
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Originally posted by: WelshBloke
:laugh: Wow you guys are touchy! Must be the crappy cell phone plans you have ;)

@gorcorps
Because he'd have to pay for a plan anyway regardless of contract, why do you not understand that?

So you cant get PAYG in the states?

@ Deeko

No need to be an ass about things.

The guy asking the question is from Belgium, I'm from the UK and you seem to think everones American or everthing works like it does there.

I suppose its really, really, really hard to understand that not every country does things the way yours does.

And about contracts, so you can change your contract at anytime or cancel it with no penalty? Whats the point of being on a contract and buying a phone?

I'm done, this is getting ridiculous. We've explained the point of them and you still don't get it. Things are done differently in other countries, but the OP came in here and asked why. We gave him reasons. He didn't ask why for the UK, or why for Belgium, just why. Don't be a pompous US hater and lump everybody into one group you son of a bitch. I sure as shit don't think all of the UK are idiots just because of you. You're speshul
 

Deeko

Lifer
Jun 16, 2000
30,213
12
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Originally posted by: WelshBloke
:laugh: Wow you guys are touchy! Must be the crappy cell phone plans you have ;)

@gorcorps
Because he'd have to pay for a plan anyway regardless of contract, why do you not understand that?

So you cant get PAYG in the states?

@ Deeko

No need to be an ass about things.

The guy asking the question is from Belgium, I'm from the UK and you seem to think everones American or everthing works like it does there.

I suppose its really, really, really hard to understand that not every country does things the way yours does.

And about contracts, so you can change your contract at anytime or cancel it with no penalty? Whats the point of being on a contract and buying a phone?

No - I, and others, have pointed out the correct answer already. It doesn't work like that over here. That is the answer to the question. Certain posters keep replying "but but but this way is better! You should do this!" Clearly we already pointed out why things are the way they are. If I'm being an ass its because you're forcing me to repeat myself when I already explained it, quite clearly.

You can change the contract. You can't cancel at any time without paying a fee - but generally that cancellation fee is LESS than what you're saving on the phone.
 

BassBomb

Diamond Member
Nov 25, 2005
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I am about to pick up a HTC Touch Diamond GSM for $250CDN..

That is better than the same phone on a 3 yr contract.

EDIT: the 3 yr price is 200$
 

WelshBloke

Lifer
Jan 12, 2005
32,912
11,049
136
Originally posted by: gorcorps
Originally posted by: WelshBloke
:laugh: Wow you guys are touchy! Must be the crappy cell phone plans you have ;)

@gorcorps
Because he'd have to pay for a plan anyway regardless of contract, why do you not understand that?

So you cant get PAYG in the states?

@ Deeko

No need to be an ass about things.

The guy asking the question is from Belgium, I'm from the UK and you seem to think everones American or everthing works like it does there.

I suppose its really, really, really hard to understand that not every country does things the way yours does.

And about contracts, so you can change your contract at anytime or cancel it with no penalty? Whats the point of being on a contract and buying a phone?

I'm done, this is getting ridiculous. We've explained the point of them and you still don't get it. Things are done differently in other countries, but the OP came in here and asked why. We gave him reasons. He didn't ask why for the UK, or why for Belgium, just why. Don't be a pompous US hater and lump everybody into one group you son of a bitch. I sure as shit don't think all of the UK are idiots just because of you. You're speshul


:confused: WTF. Have you just had your prescription changed or are you always this paranoid?

 

Cobalt

Diamond Member
Apr 3, 2000
4,642
1
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AT&T pays $575 and $675 for 8GB and 16GB iPhones. Hence the contract, they subsidize it pretty heavily (forget the exclusivity part for the sake of the arguement. The bill you pay every month for service isn't pure profit which some people here talk about it like it is.
 

DeviousTrap

Diamond Member
Jul 19, 2002
4,841
0
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Originally posted by: WelshBloke
:laugh: Wow you guys are touchy! Must be the crappy cell phone plans you have ;)

@gorcorps
Because he'd have to pay for a plan anyway regardless of contract, why do you not understand that?

So you cant get PAYG in the states?

@ Deeko

No need to be an ass about things.

The guy asking the question is from Belgium, I'm from the UK and you seem to think everones American or everthing works like it does there.

I suppose its really, really, really hard to understand that not every country does things the way yours does.

And about contracts, so you can change your contract at anytime or cancel it with no penalty? Whats the point of being on a contract and buying a phone?

As you've been told, of course we have "PAYG", but if you use your phone with any regularity it's much more expensive to pay per minute than to be on a monthly plan. Out of curiosity, how many minutes to you use per month and how much does that cost you? I'm paying something like $60 for 900 minutes w/ unlimited nights+weekends. Do you guys have prepaid plans for that many minutes that would come out cheaper than what I'm paying right now?
 

AstroManLuca

Lifer
Jun 24, 2004
15,628
5
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Summary of thread:

Eurofags: "You Americans sure are stupid for not buying this plan instead of that plan for your phone!"
Amerifags: "Actually, that's not how things work here."
Eurofags: "Boy, Americans sure are stupid..."
Amerifags: "..."
 

BassBomb

Diamond Member
Nov 25, 2005
8,390
1
81
Originally posted by: AstroManLuca
Summary of thread:

Eurofags: "You Americans sure are stupid for not buying this plan instead of that plan for your phone!"
Amerifags: "Actually, that's not how things work here."
Eurofags: "Boy, Americans sure are stupid..."
Amerifags: "..."

Canafag: I barely use my phone

:eek: