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I am going to assume this was a prepay plan?
Verizon may have flagged your attempt at service as fraud. Did you previously have service from verizon?
Did you leave another cell service in that it was not paid off?
It is quite possible they want to run a check on you in person. Could be someone else already opened an account with your name or social security number.
However on pre pay I could not fathom why they need you to buy the device from them. You could try getting the device from Walmart and see if the same thing happens there.
Remember all the cell companies offer prepaid so if you get a hassle from Verizon you can always go elsewhere.
Good Luck