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We discussed the Samsung Galaxy S7 before as beiing a very…

We discussed the Samsung Galaxy...
We discussed the Samsung Galaxy S7 before as beiing a very good choice for my wife.Would you buy a phone without seeing it first? So much is Internet-only or has to be ordered.So confused about contracts. We have always paid $50-100 at time of getting phone and then locked into service agreement. We keep a phone for 4 years.Now is see Next and Every Year plans with AT&T. and those tied in with BOGO. It all seems like a rip off. LOL I guess you are paying for "easy" trendy phones all the time.What does "No contract" mean. Is that when you buy phone outright and then just pay monthly service charges?We want to get two new phones. But I am not really convinced getting the second one free or half price is such a bargain.Thanks
Jeff
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Customer reply replied 6 months ago
The fine print usually does not talk about buying the phone outright. If I plan to keep the phone 4 years and stay with AT&T (current carrier) does it make more sense just to buy it at the beginning?
Answered in 6 hours by:
11/22/2017
Samuel White
Samuel White, Cell Phone Technician
Category: Cell Phones
Satisfied Customers: 473
Experience: Verizon Tech Manager multi-unit
Verified
You have a lot listed in that question so I'll try to pick it apart piece by piece. The first thing is that a phonelisted as not in contract would mean that you are buying the phone for whatever price is quoted it does not extend your obligation with your current carrier. However that only is sensible if the phones are cheap enough or if you need the flexibility of being able to move from company to company with freedom. Phones used to only cost 50 to $100 when you are extending your contract because years ago the phones only cost 2 or $300. Now most newer phones from Samsung and Apple are $700 all the way up to $1,000. Therefore the amount of money that the company will subsidize now is far less in comparison with the past only because of the increased cost of the phone. What they have done however is instead of giving you a subsidy on a new phone they have you make installment payments for 24 months on the device. This is where they take the full retail price of the phone or sometimes special limited-time price and split it up evenly over 24 months. Most people say well that doesn't make sense because I am paying full retail but typically what the carrier will do is when you are on installment payments they lower your monthly bill so if you're not going with a phone that was just released typically your bill stays the same even in some cases the bill can go down when you're paying a subsidy on the phone. The nice part about this plan is typically once you're done paying for the phone your bill is cheaper or you can go ahead and start a new installment plan on a different device. That flexibility means that if you are not on top of Technology you end up saving money if you are on top of Technology you have the ability to upgrade your phone either when you're done paying it off or you can pay it off early and upgrade at any time. Does that help answer the question at all?
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Customer reply replied 6 months ago
That helps immensely. You said, "What they have done however is instead of giving you a subsidy on a new phone they have you make installment payments for 24 months on the device." That is what concerns me. The fine print will say 0% APR first month and then 24% APR thereafter. It isn't' free financing. You are paying for it through the nose even if you wanted to avoid paying interest. (If I understand correctly, which isn't guaranteed. ha)
For the most part it is like a payment on a vehicle the difference is it is not interest-based. The only thing that you will pay is the standard taxes that are indicative of a cell phone provider. Other than that you are paying only for the cost of the phone. If you go with a phone that is not the newest and the best you won't be paying the same full retail as you would have if you purchased it when it first came out. The full retail goes down over time as the phone depreciates due to newer technology being available.
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Customer reply replied 6 months ago
I just found out some people who will be at Thanksgiving dinner tomorrow have Galaxy S7's. So if my wife plays with their phones to see if she can type on them comfortably, that will clear the way to buying online (without having seen a phone at a store.)Now that I have talked with you, I should be able to scrutinize the offers more realistically.If someone offers an older phone as a second phone in a package, that would probably work for me. I take pictures, text, and make calls. I don't do anything web-based. And if there is no second-phone-free offer, maybe i will just get me an older phone separate from her purchase. Something will work out now that you have given me things to look for! Thank you for your help.
I'm pretty sure she will like the S7 there is very little not to like if typing is an issue she may want to opt for the plus size as opposed to the standard size. As for you you could probably go back a couple Generations even to the Samsung S5 or S6 if they still offer it.
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When you get a chance if you don't mind please rate this request so I may close it out thank you
Samuel
Samuel White
Samuel White, Cell Phone Technician
Category: Cell Phones
Satisfied Customers: 473
Experience: Verizon Tech Manager multi-unit
Verified
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Samuel White, Cell Phone Technician
Category: Cell Phones
Satisfied Customers: 473
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Experience: Verizon Tech Manager multi-unit

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