T-Mobile Doesn’t Want You To Pay Off Your Device Installment Plans Early
T-Mobile, as a way to attract users, has been offering a promotional 24-month bill credits program on some devices for a long time. Based on the offer, users are eligible to receive up to 100% of their monthly Equipment Installment Payment or EIP back as bill credits, making the device effectively free if one stays with the carrier for 24 months.
Currently, one can pay off their EIP early while still receiving bill credits for the entire 24-month period, allowing them to free their credit line and start a new EIP, while still benefiting from the offer. Unfortunately, this is about to change soon.
The folks at The Mobile Report have gotten access to a document from T-Mobile, revealing that the carrier will link the EIPs to bill credits (officially called Recurring Device Credits or RDCs) pretty soon. What this means is that users who pay off their EIP early will also stop receiving the remaining bill credits.
The document states that this new policy will be effective starting July 1 of this year for customers who bought their devices on or after that date. You don’t need to worry if you’ve taken advantage of the promotion before the said date.
Why is T-Mobile Bringing This Change?
This move is going to disappoint a lot of users, for sure. As to why T-Mobile is doing this, there’s no clear answer yet. Customers will stick to their service for 24 months, regardless of whether they pay off their EIP early or not. There are a few possible explanations, though.
T-Mobile might want to limit users from purchasing devices through this promo, paying off early, and selling them while they continue receiving credits.
Another reason could be related to T-Mobile’s recent acquisition of Mint Mobile and Ultra Mobile. The deal required the carrier to commit to a new unlock policy, allowing users who have been activated on the T-Mobile network for over 60 days to unlock their devices. By linking EIP to monthly credits, it would limit users from buying and selling their devices or switching to another carrier.
Or, T-Mobile may simply want users to consider their Go5G Next plan, which is also mentioned in the leaked document and allows users to upgrade their device every year.
These are probable reasons, and T-Mobile has yet to officially announce the upcoming change. Its website still says that you’ll continue to receive the monthly bill credits even if you pay off your EIP early, so there’s still time if you’re thinking of purchasing a device through this promotion.
