I have been fortunate enough to have my primary cell phone provided by my company for fifteen years. When I have had to pay for my device, it’s usually heavily subsidized. For instance, today I could buy a brand new iPhone 13 Pro MAX for $400. I simply provide my credit card information and the phone arrives in a couple of days.
Because of this, I have no idea what cell phone plans cost. I don’t know what is “unlimited” these days or what costs extra. I don’t generally pay attention to carriers as long as I get service in the places I tend to go. For the record, I have had Verizon for about 21 years regardless of employer or where I lived, and it’s worked out fairly well.
Also through work, my wife gets T-Mobile through a reseller for $29/month. Everything seems to be unlimited and she hasn’t had an issue in years. The only downside is that she needs to provide her own device.
Recently we needed to upgrade her iPhone 6+ to something more modern (I’m writing this in 2021, so it was very old in phone years), and we went to a T-Mobile store to buy a new iPhone. After looking at all the phones she made her selection and we attempted to buy the phone. The salesperson asked for her social security number so she could run her credit. Nope. Not happening.
When I asked why they needed to run a credit check for a routine electronics purchase, she was surprised that we weren’t going to pay for the phone in installments on our bill. I explained that we expected to buy the phone and leave the store having paid for it in full, and for that, we needed a manager. Although this seemed strange we met with the manager, who again asked if he could check our credit. I again offered my credit card and the chance to simply charge me for the full $699+tax but the credit check was a sticking point.
This should be embarrassing to anyone who goes through this process. In comparison, last year I walked into a PC Richard and after working with a salesman for about an hour plunked down my brand new Delta American Express card to pay for over $8,000 worth of appliances on the spot. No credit check needed. Just credit. A charge I immediately paid in full when I returned home.
So why the credit check? And why the push to pay for a sub-thousand dollar purchase over multiple years? The credit check was explained to me by the manager, and it was…you guessed it…embarrassing. He said it was company policy to run a credit check on any phone purchase over a certain dollar amount because T-Mobile discovered they get a whole lot of people in the store who can’t actually afford to pay for the new iPhone they are trying to buy. That’s great, and I understand, but it’s not my problem.
I can only assume that the monthly payment structure is to make it easier for people to afford ever more expensive cell phones. It must also keep people locked to carriers, since you can’t switch carriers without having a paid off or “unlocked” phone. Something I never really understood until that day.
Now I understand that in today’s world everyone from 5 to 100 has to have a phone. I also understand that having an iPhone is important to some people, or even having a “flagship” phone from another carrier. Only, if you can’t afford a thing, you shouldn’t buy a thing. And if that thing is only $700 and you absolutely need to pay for it over two or more years, you definitely shouldn’t be buying it. There are a lot of good phones out there that are much more affordable, or even free, and don’t require a monthly payment plan.
I know how this sounds. I know $700 isn’t an “only” to a lot of people. And I reiterate, if $700 is a lot of money for someone, they should not be buying a $700 phone. They don’t need it.
The entire experience made me feel dirty. Just reviewing cell phone plans while writing this has me thinking that instead of cute, perky spokespeople, cell phone companies should really have greasy, mustachioed, used car salesman in brown tweed jackets selling you on their companies. You wouldn’t go into a Best Buy expecting to buy a TV over two years, why do you accept this from your cell phone company?
Freed by 50 