paying termination fee and upgrading phone
michael1000
Newbie

My wife has an old nondata phone with a contract expiring in a few months and is willing to pay the termination fee and enter into a new 2-year contract on an IPhone 5s.  Two questions.

1.  The manager of the Verizon store looked on his computer and insisted the termination fee would be $175.  I think it should be $175 minus $5 for each completed month of the contract, which is much less.  I know from the web site that this is the rule for a "post pay" contract, but I'm not sure what that means.  The contract is a normal two year unlimited calling contract with each month's fee paid in advance.  When I questioned the $175 termination fee, the manager said that this was what his computer said and he was not willing to discuss the issue.  Who is right?

2.  Aside from the termination fee, when we told the manager we wanted to terminate the old contract and enter into a new one on a new phone, the manager started muttering something about how this could be prohibited "churning".  He couldn't explain what that meant, especially after I pointed out that we could just pay the termination fee and then go over to AT&T and enter into a new contract with them.  This is not desirable because we would lose the benefits of our share everything plan.  Is there a rule against terminating and upgrading in this way?  The web site does not let you do it online.

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Re: paying termination fee and upgrading phone
vzw_customer_support
Customer Service Rep

Hey there michael1000,

The iPhone 5s is a great phone so I absolutely understand your eagerness to get your hands on one.

When you upgrade at the discounted pricing you are agreeing to a new two year agreement. If you disconnect before the agreement end date you are billed a early termination fee. The Early Termination Fee for a basic phone starts at $175 and decreases $5 for each month completed. The Early Termination Fee for a smartphone starts at $350 and decreases $10 for each month completed.

We wouldn't want you to disconnect your line, lose your number and have to start all over. Let's take a look at available options to make this as easy as possible.

When is your wife's upgrade date exactly? Dial #UPG from her cellphone to find out.

NicholasB_VZW
Follow us on Twitter @VZWSupport

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Re: paying termination fee and upgrading phone
vzw_customer_support
Customer Service Rep

Hey there michael1000,

The iPhone 5s is a great phone so I absolutely understand your eagerness to get your hands on one.

When you upgrade at the discounted pricing you are agreeing to a new two year agreement. If you disconnect before the agreement end date you are billed a early termination fee. The Early Termination Fee for a basic phone starts at $175 and decreases $5 for each month completed. The Early Termination Fee for a smartphone starts at $350 and decreases $10 for each month completed.

We wouldn't want you to disconnect your line, lose your number and have to start all over. Let's take a look at available options to make this as easy as possible.

When is your wife's upgrade date exactly? Dial #UPG from her cellphone to find out.

NicholasB_VZW
Follow us on Twitter @VZWSupport

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Re: paying termination fee and upgrading phone
michael1000
Newbie

Contract termination is March 9, 2014. She has a Samsung Convoy 2. thanks

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Re: paying termination fee and upgrading phone
Ann154
Community Leader
Community Leader

You can't cancel the line contract and expect to return immediately to p open a new account/line. She will lose her number if she doesn't port it to another carrier. You also have to wait 60-90 days after cancelling the line or otherwise Verizon Wireless will reinstate your previous contract and its remaining completion date.

I'm most definitely NOT a VZW employee. If a post answered your question, please mark it as the answer.

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Re: paying termination fee and upgrading phone
michael1000
Newbie

Assuming that is true, what is the logic of that?  Verizon is getting paid its cost for the old phone with the termination fee, just as for any terminating subscriber.  It is also getting paid its cost for the new phone with the payments under the new two year contract, just like for any new subscriber.  You would think they would like this type of upgrade.

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Re: paying termination fee and upgrading phone
Ann154
Community Leader
Community Leader

The logic is that is their policy. You return within the 60-90 day of cancellation they refund the ETF and restart the old contract. So no they won't get paid for the old phone.

Your choices are add additional line or purchase the phone at full retail price.

I'm most definitely NOT a VZW employee. If a post answered your question, please mark it as the answer.

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Re: paying termination fee and upgrading phone
michael1000
Newbie

Well, if that is the rule, that is the rule. I still don't see the logic,

though, of their insisting on reinstating the old contract and reimbursing

the ETF for someone who is happy to enter into a new contract and letting

them keep the ETF. Thanks very much for the help.

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Re: paying termination fee and upgrading phone
ttipgem
Master - Level 1

It's called "False Churn".

It is in place mostly to prevent representatives who get a commission on new contracts from having you cancel your contract and start a new one immediately.

But it's also in place to prevent exactly what you are trying to do.

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Re: paying termination fee and upgrading phone
KMAPleeze
Enthusiast - Level 2

Leave Verizon, run, get away - get out while you still have a soul worth keeping!

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Re: paying termination fee and upgrading phone
KMAPleeze
Enthusiast - Level 2

As I keep telling people, they have no ethics. Run, get away from them as soon as you possibly can.

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