$20.00 activation fee WHY?

I am currently shopping for a Google Pixel XL 128GB. I am off contract, don't plan on going back to contract, and every phone will slowly be phased to a phone that can move to any carrier.

That being said, I can buy a Pixel XL from Google (same price, cheaper insurance) under the same financing option as Verizon. When I get the phone from Google I can take the SIM out of N6 and pop it in the Pixel Xl and no one is any wiser.

But if I want to buy the phone from Verizon via financing 9 or 2 year contract or just buy the phone) I have to pay a $20.00 upgrade/activation because they are allowing me to take part in a promo if I want ( literally from the sales persons mouth). I would have just ordered a phone if that fee would have been waived. Instead I will wait for my invitation from Google.

Why is that $20.00 necessary and why can't it be waived?

Accepted answers

Momma23dogs

This coming weekend is an activation, upgrade fee, free weekend. Wait and buy between the 17-23 of November.

The fee is $20. It was $40. It covers paperwork involved in upgrading or activating a new line. Unless you have an employee discount that includes waived fees, you should be very scepticle a rep offers to get them waived because you're a loyal customer. They almost never waive them anymore.

All comments

Ann154

Verizon Wireless added activation/upgrade fee a couple of years ago. It is for full retail price phones too.

Xyvis

Most carriers do this now. However, if you have an account in good standing and make on time payments, odds are you can get them to waive it.

Even when I can't get the store reps to waive it, I just call customer support and they give me an account credit for the fee. I have only paid the "upgrade fee" one time, and that one time likely was because I didn't ask them to waive it. I have not paid an upgrade fee in years though.

Just give them a call and ask nicely if they would be willing waive the fee for you. They have never told me no. Granted, I have been a customer since 2009, have 6 devices on my account and haven't ever really had an issue paying my bill every month, so that may contribute something towards their willingness to waive the fees.

Momma23dogs

This coming weekend is an activation, upgrade fee, free weekend. Wait and buy between the 17-23 of November.

lewisr13

mama23dogs wrote:
They almost never waive them anymore.

I just got the fee waived on 7 of my lines that I upgraded.

Momma23dogs

I did write ALMOST. Verizon had a fee free weekend 2 - 3 weeks ago also. Often it is online only. I always time my moves on fee free weeks.

lewisr13

This is the first time I've heard of a fee free weekend. I called ordered and requested they waive it. This was back in September during the week.

veryfrustrated0118

This is the ONE fee I completely disagree with.

Everything is done through the computer. There is no paperwork to process. It is not like people are going through the papers to make sure it is all in order. There is no man power involved. The computers and the tablets used for processing transactions is a cost of doing business. VZW makes enough of a profit to cover these devices. Plus, I am sure they get a discounted, if not free, product from Apple.

I am sure that the profit margin on the devices has decreased and this is the REAL reason why they are charging this fee. Let's call it what it is.

reb0957

I understand that if I am going go back on contract....But to buy or finance the phone, that is just dumb.

Will they waive the fee on the 17th even if the phone I order isn't in stock and backordered to at least 12-26-16?

Momma23dogs

reb0957 wrote:
I understand that if I am going go back on contract....But to buy or finance the phone, that is just dumb.
Will they waive the fee on the 17th even if the phone I order isn't in stock and backordered to at least 12-26-16?

That I can't answer. The ad was an 'early black friday' special. And it may require upgrade with the installment plan as almost all promotions do theses days. It may also be online or in stores only. I suggest checking on the 17th.

Momma23dogs

sprmankalel wrote:
This is the ONE fee I completely disagree with.
Everything is done through the computer. There is no paperwork to process. It is not like people are going through the papers to make sure it is all in order. There is no man power involved. The computers and the tablets used for processing transactions is a cost of doing business. VZW makes enough of a profit to cover these devices. Plus, I am sure they get a discounted, if not free, product from Apple.
I am sure that the profit margin on the devices has decreased and this is the REAL reason why they are charging this fee. Let's call it what it is.

I'm with you. I have always resented the upgrade fees, especially when they were $40.

Thats why I dont upgrade through carriers anymore. I buy full price and swap my SIM card.

I should amend that...I buy phones at a lower price. When they are on sale, or mint, used off eBay.

Im pretty much denying anyone much of a profit off me.

Yes, the whole sale phone prices are much higher, profits slim, which is why contracts are going, going, almost gone and good riddance. But that doesn't explain the fee, which was higher not that long ago. Although it went up with the smartphone craze in 2011? To $30 and again to $40 not long afterwards. But that's hardly a profit on a $700 phone. Maybe fees aren't income?

Ann154

The upgrade fee was intended to help support the services provided by the sales reps such as the classes and the transfer and setup help.

Upgrade Fee

While I could understand someone who isn't familiar with the setting up these smartphones needing help that could justify the fee. It is the rest of the population who doesn't need help like myself where I don't understand the need to pay for the upgrade fee.

Xyvis

Well Verizon does have to pay the manufacturer for the device and they make small profits on them I heard from one employee about $50 from the base model of the newest iPhone (this was years ago).

That said Verizon makes its money from service not being a retailer. The fee is a "because we can fee". I refuse to pay them and simply ask customer service to credit me the fee and they always have.

Keep in mind though most consumers purchase devices with a payment plan, so they don't see that small profit from the device sale for 2 years.

alicias_vzw

reb0957,

We can understand that an extra fee can be cumbersome at times. The $20 charge helps cover our increased support costs associated with customers switching their devices. Remember, the latest and greatest devices are only as good as the network they run on, and Verizon offers America’s largest and most reliable 4G LTE Network. The upgrade fee applies when any device is upgraded.

You can see if your old or current device qualifies for our Device Trade-in Program to help offset a portion, or the entire fee by clicking here http://vz.to/2cctjj5. Our Device Trade-in Program offers VZW gift cards for trading in your old device, which can be used later toward your bill if you choose to do so. We also partner with a lot of employers to give you the opportunity to get a discount off of your bill. Please click here http://vz.to/2cjnJd9 to sign up or to see if your employer has a discount with us.

Whenever we do have a promotion for waived upgrade fees, as long as you order the device in that promotional time frame, you will receive this deal. It does not matter if the phone is on back order.

AliciaS_VZW

If my response answered your question please click the _Correct Answer_ button under my response. This ensures others can benefit from our conversation. Thanks in advance for your help with this!!

Momma23dogs

I guess the reason why it galls some customers is because many of us are "self service".

It's become a socialist thing....while one customer needs full service and 2 hours of set up in a store, using like $100 of upgrade fee time, then there's me. So basically 4 of me are paying for their service.

I realize customers would have a fit if they were suddenly charged a hefty fee for "full service phone set up."

LOL. But I would be okay with it.

Ive found my own way around it. But my way denies my carrier of a profit on phones.

When more customers become self service, the fees might go away.

pherson

It will never go away. The majority of people want their hands held, don't wanna do their own work. The upgrade fee is understandable. A sales rep is spending two hours with you on a phone because you don't understand, and is losing commission, which it's a sales based retail transaction. Even if you buy online you may need to come in. People spend 20 bucks on worse things.....4 lattes a week, a meal, a bottle of booze, a shirt but won't spend it on making sure they are properly taken care of on an 800 dollar phone. Mind boggling.

Momma23dogs

I get it, I just won't pay it. Which is fine. I'm a low maintenance customer.

I believe customers need to be taught to set up on their own - for their own security.

The number of passwords and personal information on our cell phones is tremendous. I personally wouldn't want a stranger to have access to that Information.

For those that do want the personal service, call it "concierge set up", give them a nice chair, and charge them an appropriate service fee.

veryfrustrated0118

This fee does not go to the reps. It goes to VZW and the reps still have to do the work.