AT&T has announced that starting next week, it will sell the iPhone 3G to current AT&T customers sans 2-year contract, possibly in an attempt to move inventory. Unfortunately, the conditions of the sale are such that it’s not worth it unless you’re determined to own a brand new, out-of-warranty (i.e. jailbroken) iPhone 3G that you intend to use on another network. (Note: our readers point out that even that route is far cheaper if you buy with contract and pay the ETF.) Otherwise, you’ll still be locked to AT&T and you’ll still have to buy the more expensive smartphone data plan, which doesn’t include text messaging. For no-contract bragging rights, you’ll have to pay $600 or $700 depending on the model.
contracts
Consumers Don't Read Contracts, Even Ones That Scream "Danger: Do Not Sign!"
By 3.7.09
Almost nobody reads consumer contracts before signing, according to two separate academic studies. One study from NYU included a sample contract that bound the signer to stay until dismissed, do push-ups on command, and shock other participants, even if they “screamed, cried, and asked for medical assistance.” 95.6% considered the contract for an average of two seconds and then gladly signed.
Sprint Helps You Deal With Your Deadbeat Brother
By 2.11.09
Reader B. probably shouldn’t have used her credit to help her less-than-creditworthy brother get a cellphone, but this story has a happy ending thanks to some helpful customer service from Sprint.
Court Strikes Arbitration Clause In Case Against Nursing Home That Let Resident Freeze To Death
By 1.16.09
A Michigan court has struck an arbitration clause in a wrongful death case against a nursing home that allegedly allowed one of its senile residents to wander outside and freeze to death.
What Happens To The Baggage After A Plane Crash?
By 1.16.09
Though it probably couldn’t be farther from their minds, at some point after many hugs and hot chocolates, the passengers of U.S. Airways flight 1549 are going to wonder what happens next to their baggage.
Pre-Paid Cellphones Aren't Just For Losers Anymore!
By 1.7.09
Hey, did you know that people who don’t use their cellphone very often can save money by switching to a pre-paid cellphone plan? They’re not just for people who can’t get regular cellphones anymore! In fact, many smart, frugal people avoid contact hassles and save money by getting a pre-paid phone.
Don't Worry About AMEX's Bank Yank Clause
By 11.26.08
CreditMattersBlog explains why that new AMEX contract language we wrung our hands over this morning is nothing to fret about.
Reader Escapes Sprint With No ETF Thanks To Admin Fee Increase
By 11.24.08
Reader Kenneth says he escaped Sprint without paying an ETF because of our post “Escape Sprint ETF-Free Over Administrative Fee Increase.” He sent us the transcript of his chat with Sprint so you can see how he did it.
Escape Sprint ETF-Free Over Administrative Fee Increase
By 11.17.08
Want to break your Sprint cellphone contract without paying an early termination fee? On January 1, 2009, Sprint will increase the Administrative fee to $.99 per line. Because this is what is known as a “materially adverse change of contract,” and because of the basic contractual principle that you can’t change someone’s contract without their explicit permission (not the tacit, “opt-out” kind), you can use it to argue that the fee renders your contract void and you can end service without a termination fee. You do have to be willing to argue without giving up with a number of different Sprint employees first, like Matt did…
Powerful People Want To Hear Your Arbitration Horror Stories
By 10.30.08
If you’ve been screwed by arbitration, our consumer and public interest friends in DC would like to hear your story for something special they’re cooking up. Arbitration agreements are clauses inside many contracts between companies and yourself that, in the event of a dispute, prohibit you from suing the company in a court of law. Instead, you have to take your case to a special arbitration firm. Arbitration bills itself as a speedy and fair way to resolve legal disputes, but it’s come under heavy fire recently for being heavily weighted in favor of companies. If you’ve gotten the short end of the stick, send your story to arbitration.stories@gmail.com.
ATT Filters Own ToS Changes As Spam
By 10.23.08
Red Tape Chronicles reports on how AT&T internet decided to announce a change of its Terms of Service (ToS) via email. Some of the policies were contentious enough for some, but then many customers didn’t even receive the email, because AT&T’s own filters marked it as spam. Its questionable whether you can announce you’re changing someone’s contract by email fiat, especially if your own system prevents them from even receiving the message in the first place.
Verizon Announces Monthly Plans With No Early Termination Fees
By 9.24.08
Facing increased pressure from consumers and lawmakers alike, Verizon has announced that they will begin offering monthly cellphone plans with no early termination fees. Consumers wishing to take advantage of the plans will be required to pay full price for a phone, or provide their own phone, as Verizon will not be subsidizing the cost of handsets.
Verizon Wireless Going Contract-Free Next Week?
By 9.18.08
If the website Boy Genius Report is correct, next week Verizon Wireless will start offering contract-free, month-to-month service. Pretty much everyone will be eligible for it, but of course you’ll have to pay full price for a phone or bring your own, there’ll be an activation fee that can’t be waived, and if you take advantage of any special offers that require a contract, you’ll have to switch over to a contract agreement. It’s supposed to start on September 21st.
Bally Total Fitness Scams College Student By Swapping Contracts
By 9.16.08
Chanda signed up for a month-to-month membership at a Bally Total Fitness in Montclair, California, but when things went wrong—as they frequently do with this company—Chanda found himself signed up for a 3-year agreement. Their proof? An unsigned contract that doesn’t look like the one he was given.
Join The Verizon ETF Class Action
By 9.12.08
Wanna get in on the Verizon Early Termination Fee class action settlement? I did and went to verizonETFsettlement.com just like the postcard told me. Basically, if you were a Verizon Wireless customer from July 23, 1999 to August 10, 2008, and you were either charged an ETF, whether you paid it or not, you could be eligible for a piece of a $21 million pie (after the attorneys get their fees first), just file a claim form by October 14. In typical fashion, I tried filing a claim but the site keeps timing out. Something to bookmark and check in on later and hope they fixed it. Even when you think you’re giving Verizon its comeuppance, somehow you get screwed over. UPDATE: The website seems to be fixed now. By the way, at the end you will have to print out and mail in forms. They want you to attach documentation of your ETF. If you don’t have documentation, you can still make a claim but you will get a lesser amount.
AT&T: Being Robbed At Knifepoint Will Not Help You Qualify For The Cheaper iPhone
By 9.2.08
Reader Anthony was robbed at knifepoint by a jerk with a 10″ blade, but his real complaint is that he feels that AT&T is robbing him again. After he filed a police report and told AT&T that his new iPhone had been stolen, they told him that since he already bought an iPhone he no longer qualified for the subsidized price of $199.
