You're thinking about switching wireless carriers, but you're concerned about breaking your contract. Some wireless charge huge fees to customers who switch while still under contract. In this article, I'll explain what an early termination fee is and teach you how to get reimbursed for them!
What Is An Early Termination Fee?
Early termination fees are fees you if you decide to break your contract with your wireless carrier. These fees exist to disincentivize you from switching wireless carriers.
Early Termination Fees By Carrier
Verizon
Verizon's early termination fees are prorated. This means that as more time passes, the less you'd have to pay should you break your contract. These fees can cost up to $350, but decrease $15 per month you honor the contract.
On the flip side, Verizon will reimburse you up to $650 if you're charged early termination fees from your current wireless carriers. Verizon may also cover fees associated with your cell phone.
AT&T
AT&T bases their early termination fees on your purchase of discounted phones and other devices. The device you purchase from AT&T will determine the amount you'll have to pay should you break your contract early. If you purchase a smartphone with a data plan, the early termination fee starts at $325 and gets reduced $10 for every month of the contract you honor.
If you leave your carrier and switch to AT&T, you can reimbursed up to $650 in credits. You must purchase a new device from AT&T and port your cell phone number over or get a new one. Afterwards, you can trade in your old phone for AT&T credits or receive a prepaid credit card.
T-Mobile
T-Mobile doesn't charge customers early termination fees. However, if you're paying monthly installments on a cell phone, then the cost of the phone will be due when you cancel your wireless plan.
T-Mobile, like Verizon and AT&T, will also reimburse you if you switch to their network. You can receive up to $350 of accrued early termination fees or $650 per line when you switch. This is paid you in the form of a virtual prepaid credit card or T-Mobile trade-in credits.
The Uncarrier's reimbursements are more generous if you switch your entire family over from Verizon or AT&T. You can receive up to $450 back per eligible device when you make the switch.
Early Termination Fees: Explained
You now know a little more about early termination fees and how much each wireless carrier charges. If you have a friend or family member who is considering cancelling their contract, please share this article with them. Leave a comment down below if you have any other questions about your contract!
