43 Comments
- darkmaninperth, on 10/12/2007, -5/+33Everyone has the right to demand penalties from someone if they break a contract. Unfortunately, people seem to display the following today:
1. People refuse to take responsibility for thier own actions.
2. Its always someone else's foult.
3. 'You mean that I actually have to pay my bills?'
If you enter into a mobile phone contract - expect penalties for brwaking it early, I'm sure you would also seek the same if someone broke a contract with you. - netade, on 10/12/2007, -0/+23I worked at Cingular for a while. I found out a few things.
1. Cingular offers 1 yr contracts. The reps don't push it because the commission is low. But if you ask, you shall receive. Normally your phone "deal" will be only $50 more expensive or so.
2. If you bring your own phone (off eBay for example), Cingular can activate it without ANY contract.
3. If you open a 2nd line with your own phone, there is no contract needed.
4. Check your bill carefully before you walk out. Reps WILL sneak ***** in. - KillerJ59J, on 10/12/2007, -2/+20I agree. You know you are getting a two-year contract and they tell you the penalties before you sign. Companies have every right to charge you for breaking their contract because usually at the being of the contract they gave you an outrageous deal on some flashy phone you wanted because 'it's the cool thing to have.'
- mooninite, on 10/12/2007, -0/+9You know what? People will get out of their 2 year contract, a new phone will come out, and they will enter a *new* 2 year contract to get it. It's a vicious cycle...
The solution? If you can't buy the phone without a 2 year contract (usually $100 discount per year contract) then you don't deserve the phone. Most people gripe "I want a phone that is just a phone" but they end up in 2 year contracts with a smart phone with a camera and a bunch of stuff they'll never use. They simply got it because it was "cool." *cough* idiot RAZR owners *cough* - MicheBel, on 10/12/2007, -1/+9Great story. I loved the links at the end especially. Very useful!
@D3koy
It has nothing to do with "indecisive"--these companies are adding two years to your phone at the drop of a hat, just like the story says. It's ridiculous. I mean, I understand the logic of it right when you sign up with a company. What's egregious is when you've been with a company for a long time, and they add two years when you upgrade your phone, or change to "family plan" like the story says. Then you're locked into something endlessly. It's unfair. - ryancecilsmith, on 10/12/2007, -0/+7Cingular reps are terrible! I'm sure its the same everywhere else. (Not including you, netade, of course). At my local store I've seen the reps play out little dramas. "How much is that Steve? 100?" "No, it's 65." "65, are you serious? ARE YOU SERIOUS? Oh my gosh, that's amazing, that's SUCH a deal..."
And on and on. Sheesh! - ReubADoob, on 10/12/2007, -1/+7@netade:
Not to poke holes in your information, but how much of that has changed since AT&T is the new Cingular? (thankfully they keep reminding us 24/7) - Tippis, on 10/12/2007, -3/+8@ klawz
"So, by your logic, when the contract is broken on the other end (e.g. credit card companies changing the interest rate, just because they want to, or the cell phone provider upping the rates you signed up with (e.g. txt msg rates, 411, etc.) I can charge them a penalty right?"
Actually, yes. You can... IF -- and that's a huge if -- they haven't reserved for themselves the right to change the rates. Unfortunately, the have, most of the time, and you agreed to giving them those rights when you signed up. - seether166, on 10/12/2007, -1/+6@klawz
Credit card companies TELL you the rates are subject to change. It's your choice as to whether or not you want to carry some stupidly high balance. I take particular issue with that point, I suppose, because I think Americans are unbelievably stupid with credit card debt. And, as far as cell phone companies changing the rates, I don't think that occurs too frequently, or with any serious significance, at least in my experience, so I think that's a non-issue. - moisture, on 10/12/2007, -3/+6you saved me the trouble of commenting on this article (and said it more clearly than i could have).
- Jonsey, on 10/12/2007, -0/+3You CAN get service without a contract.... the price for the phone is usually just higher and you may not qualify for promotional pricing... but you can still get full service. So I don't think you analogy is proper.
- Jonsey, on 10/12/2007, -0/+3In Canada 90% of the new activations done are on 3yr contracts.... and you guys thought 2 years was bad?
Most carriers here have a penalty of $20 per month in contract with a $400 max and $100 minimum. However the customer signs on the dotted line fully aware its a 3yr contract so they can get their new phone for cheap... then comes whining when they want to cancel and have to pay an ECF.... - KMehthas, on 10/12/2007, -0/+3Here's a tip: Ask your employer for the "FAN" discount number and call Cingular to get it added to your account. many companies have employee discount codes you can add to get a percentage off your monthly service plan, handset discounts that do not extend your contract, accessory discounts, and you get forwarded to Business Care representatives instead of regular Customer Care when you call. You get a lot better service in my experience and the reps seem to know what they're talking about (at least more than the CC reps). That way you don't ever really need to visit a store at all.
- ReubADoob, on 10/12/2007, -0/+2For those that don't read to the bottom of the last page:
"FOLLOW-UP TIP: A reader recently suggested a handy tool for bypassing automated call routing at call centers. Get Human (www.gethuman.com/us/) is a database of call center numbers and the secret codes needed to get to a human." - thcobbs, on 10/12/2007, -3/+5@andrewjc
Why in the hell would you enter into a contract without buying a phone? They have month-to-month agreements as well. Maybe you just got a salesman that could talk you into anything. - AndrewJC, on 10/12/2007, -4/+6@killerj59j:
I should point out that they lock you into a ridiculous contract even if you DON'T buy a super-flashy phone from them. If you go into a new contract and don't buy a new phone, you're still obligated to pay $175 early termination, which they claim is to recoup the costs of a phone under other circumstances. - PABeachBum, on 10/12/2007, -0/+2Or just, you know....don't sign a freakin 2yr contract.
- Kestral, on 10/12/2007, -1/+3I disagree with the whole "it's your fault you signed the contract" argument, mainly because there is no choice. It's basically sign it or have no phone service. Most markets, even in big cities, there are only 2-3 cell phone service players. In short it's an oligopoly. You can six of one, half a dozen of the other or two triples of another. That's it. Different *****, same stink. There are not enough options with differing terms and conditions out there to qualify as having true open market free choice.
A proper analogy would be like this: there are only 3 companies that supply water to your house. All 3 of them have in their contract, in order to have water, you have to let the CEO have their way with your signficant other twice a week. Your choice is that or no water (with collecting rainwater and other minority and inconvenient alternatives not being a viable option. That's not choice, that's a shotgun contract made under duress. - bightchee, on 10/12/2007, -0/+2I like the sound of #2 because I'm looking at Cingular for when my contract with Sprint expires in August and (hopefully) the Neo1973 will be available.
http://en.wikipedia.org/wiki/Neo1973 - fatdog789, on 10/12/2007, -0/+2Actually, you are quite incorrect about the changing rates bit.
The courts will not enforce any provision that allows one party to unilaterally alter the terms of a contract, especially where the term is material (like rates, prices, etc). When a company does this, the consumer has the option to opt-out of the contract once they receive the new terms.
New terms may only apply to *existing* bills, so you do not acquiesce by paying the bill that accompanies the notice (unless it's a forward-looking bill that you pay in advance of service, in which case you do acquiesce by paying the bill).
However, *material term* is key here. You can't get out of most cellphone contracts when the company raises the text messaging rate because that's not a key term of the contract. HOWEVER, if the company changed the monthly rate for your phone service, or started charging for voice mail, you could opt out, because both of those are essential parts of the contract. - froz3ntear, on 10/12/2007, -0/+1Yes, its true that this article has been posted before.
Anyways, I've read the article and the way that I was able to escape my 2 year contract was by looking for any change in the contract. I think that if they change anything within the 2 years of the contract than you able to cancel it without charge. I think I remember them changing the price of text messages. - KorakTarzan, on 10/12/2007, -0/+1Thanks Reubadoob for putting diggers on notice; I wish you were my big brother
- KorakTarzan, on 10/12/2007, -2/+3Netade, that's is also very useful tip you just gave....being a cingular customer with an expiring contract in 5 weeks, I think I now have weapon to secure a good deal or I jump ship....
- cliffzdude, on 10/12/2007, -2/+3We all want the best cell service, with the best customer service, with the newest handset for $50 or free, with no contract, no roaming fees, low monthly rate with unlimited minutes.
To date it doesn't exist, no Skype doesn't count.
So, what's gotta give? We are the consumers, we and our consumer brothers are buying the *****. Marketing has shown what is most important to us and what we'll put up with. To date we've accepted ok service, with customer-no-service in exchange for a new handset on the cheap to start and on contract resign. If we weren't so worried about the newest baddest handsets it'd change everything.
Sigh, I'd trade in my cool phone for better service at a better price in a minute. Alas it doesn't exist. - sylvanis, on 10/12/2007, -1/+2If you don't want a contract, don't expect a $400 phone (retail price) for free. Also, don't expect to get the "free nights and weekends" promotions.
Someone said "buy a phone off eBay and then sign up for Cingular"....make sure that you're getting a Cingular phone. A lot of US carriers won't activate a phone that doesn't have their "preferred software" loaded in it, even if it is a SIM card equipped phone.
We consumers want everything for cheap or free, so expect to sign a contract. It's the same as trying to buy a car and bargaining on the monthly payment, rather than the cost of the car. - IGotApluscom, on 10/12/2007, -0/+1im sorry but cellphone companies really don't care about there clients. My girlfriend just got her phone stolen so i call them to ask what i should do. And instead of helping me out they suggested that i cancel my account and get a new one. lol...im like why would i cancel my account i already have one..lol .. so then they wanted to charge me a activation fee..lol...so ya but i already have a contact. And then im like i spend 2400$ per year and you cant even offer a good services. So finally i had to pay the phone !!..lol..and they didnt even know wich one was cheaper to buy...i hate cellphone companies !!!
THere LIKE the Mafia But Legal !!!!
I think we should start a petition ! - d3c0yn4m3l355, on 10/12/2007, -0/+1Yes very useful, for once. And after that if you try to get back to this provider they will cut out your balls and hang them out to dry. This trick only works as long as you don't ever consider coming back to this certain provider. And don't forget that their computer data lasts longer then your memory so if you ever forget about it, and consider signing up again there you will be hanged again.
Don't be such a tosser that you want to get out of the contract. You wanted your cool telephone, they wanted your money its called a deal. And don't start crying after that its so expensive, and you can buy a telephone so much cheaper. Thats what you paid for and thats where their profit is. If you want to be cheap just buy the phone loose with just a contract. That way you can easily save 100 euro and more. - Comkeen, on 10/12/2007, -0/+1If you have multiple lines in one account (i.e. sharing with family) you can use one of their contracts to 'upgrade' for yourself. My folks were pretty happy with their phone, but I needed a new one badly because I had signed on a 2-year with a junk phone that was now dying out on me. Now I used their 'upgrade' to get my new phone, and best of all they can my 'upgrade' at the end of the year when my contract runs out.
- brodie7838, on 10/12/2007, -0/+1It seems to me that the person who wrote this article just combined all of the other recent article posts on Digg about 2 year contracts, and combined it into their own article.
- netade, on 10/12/2007, -0/+0I agree. I was only there for 3 months but I learned a lot. I'm not sure how much has changed since the merger, though.
Everyone needs to understand that the reps are NOT there to help you. They are there to earn a check. We had quotas we had to meet every month or we'll get fired. Literally. We also got extra commission on each contract we acquired and accessory we sold. The 2 yr contracts yield more money than the 1 yr.
Basically, it's a numbers game. If I can get you out the door asap or push you off to Cingular Phone support I will if I feel you're not gonna get me any closer to my quota.
Also, be nice. I used to bend over backwards for the nice people. The rude ones didn't get anywhere with me. - KorakTarzan, on 10/12/2007, -1/+1Mr or Mrs Selfdisplaced, I think you're truly selfcentered & selfdisplaced as your name portrays. Who cares if this info has been shown before. At least, not via the NY Times. If some guys are reading this now that means for every billion times you exageratedly said of this story, there millions out there who did not have the info....So, your comment makes you look like you work for one of these phone companies or simply being anti-consumers advocate.....please.
- ReubADoob, on 10/12/2007, -2/+2Of course it was already posted on digg so don't try to dupe it ladies & gents:
http://digg.com/space/GET_A_HUMAN - middayshaddow, on 10/10/2007, -0/+0After getting bitten by Iphone fever and already being locked into a new 2 year contract with a brand new chocolate I just called my carrier found out the deactivation fee was $175 went on craigslist sold my new chocolate to some 19 year old kid who had a crappy phone for $150.(they are about$250) without signing a new contract. with that money i paid my deactivation fee, the chocolate would have been just sitting in my draw anyways.It was a lot less work then selling the rest of my contract.
- MrSteamTank, on 10/12/2007, -0/+0Remember the saying "there is no free lunch"
If they are giving you a cell phone for free with a contract they are recouping their costs through other means which definitely isn't going to be free for you in any case. - roentgen, on 10/12/2007, -0/+0AT&T is not the new Cingular - *that* AT&T is dead and digested by CIngular. Cingular is now just *changing its name* to AT&T. So its business practices shouldn't change a jot.
- ponosocheg, on 10/11/2007, -0/+0Unbelievable! I can't open the link.
- lisafordeg, on 10/12/2007, -0/+0Dugg. I swear i saw it on freshmeat or somewhere else.
- crocodilexp, on 10/12/2007, -0/+0I cannot see why people have a problem here. Even in the USA, there are alternatives to long contracts, for anyone bothering to search for them. If you want the $400 phone without paying for it upfront... it's your greed, not the phone company that causes the problem.
I have a simple prepaid plan that I pay at 10c/minute, no extra for roaming/long distance (with the limitation that I can't make int'l calls -- there's Skype and calling cards for that). I bought a simple and functional Nokia phone for $50, but it came with 300 free mintues, so it was effectively $20. Minutes do expire after 60 days, so the minimum charge is $15 (my average monthly bill is $20).
This is with NET10, but other similar plans are on offer. Additional benefit is privacy -- the company doesn't even need to know your name or address (let alone SS#). - imagorilla, on 10/12/2007, -1/+0FIDO sucks
- klawz, on 10/12/2007, -4/+3@seether166
They sure do, and so does almost everything else. When Credit card companies change my rate, especially when there is no good cause (e.g. I pay off my balance in full, and do it on time), I'll switch companies, I'll close it out and open a new account, w/o any balances at all. To me, it's the principle. If it's say 1-3% that's fine, but when it doubles for no good reason? No deal. Yes, I agree, they stipulate up front that the rates can change, but most of them stipulate that the rates change with the market. This is acceptable, e.g. prime+xx% - but that's not what I'm talking about, and you know it. Shifting the piss poor decisions that the credit card companies make, onto the consumer who may have a high balance, like you did, may get you into politics and a favorable person to represent the big companies, but it sure in the hell won't win my vote when someone needs to put a balance on their credit card for legit purposes (e.g. medical expenses they can't afford, but must have, or something to that nature) then all of a sudden the payment they were making (2x the minimum for instance) becomes 100% interest, and they need to now double that payment (in essence paying 4x the minimum from when they started). Not everyone carries a balance because they bought a new plasma every 6 months. - selfdisplaced, on 10/12/2007, -4/+2Hey, Look! Another one of these articles that say the same information that has been posted a billion times on digg. Thanks for the no-news.
- klawz, on 10/12/2007, -11/+6@darkmaninperth
So, by your logic, when the contract is broken on the other end (e.g. credit card companies changing the interest rate, just because they want to, or the cell phone provider upping the rates you signed up with (e.g. txt msg rates, 411, etc.) I can charge them a penalty right? See, that's the problem, it doesn't work BOTH ways, it's one sided. Closed minded folks like yourself, will never see it this way. - D3koy, on 10/12/2007, -21/+13If you're so indecisive that you can't stick with a contract for 2 years you should have to pay an arm and a leg to get out....


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