I'm trying to figure out what the advantages are of switching to the device payment plan. I still do 2 yrs contracts so my line access fee is $40. If I upgrade and go to a device payment plan, the $20 for the line access and $40 for the monthly phone charge would put me at $60. I know I could see savings after I pay off the phone, but I'm always going to upgrade when the time comes so there's not going to be a point where I have an upgrade but don't use it, so I'll never see those savings. Is there something I'm missing when it comes to pros of doing the device payment plan?
Only one or two phone models cost $40 per month for device payment agreement. The iPhone 256 GB would likely be $500-600 on contract and it is $969.99 for full retail price.
Two year contract
$500 or 600 upfront
$40 x 24 = $960
Total =$1460 or 1560
$969.99 ÷ 24 = $40.41 per month
$20 x 24 = $480
Total = $1450
Either it is a wash or more expensive to purchase as a contract.
I'm most definitely NOT a VZW employee. If a post answered your question, please mark it as the answer.
Verizon ended contracts for existing customers in January. If you try to upgrade, you will see your options. Unless you have a special account (corporate or business relationship ) you will not have a contract option.
An important factor to know which plan is best for you is which More Everything plan you are on. As upgrading with 2 year agreements is no longer an option, if you have the 6GB or higher More Everything plan, you get a better discount on your line access charge with it, $25. On a smaller plan the discount is only $15.
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I know this is an old post but you also want to keep in mind of the monthly promotional discounts. Example:
Line access on old plan: 40
Line access on new plan: 20
Random device payment on new plan: 25
Random promotional device credit at the time: 20