vacunajr

    Hello,

     

    I have a question about the EIP program and the Free iphone 7 promotion. I ordered the iphone 7 through tmobile.com. I got it, and sent my old Iphone for Trade-in. Today I got a credit of $265 applied to my account for the trade-in

     

    The way I understood the promotion is that I will get 24 credits for the amount paid, not including sales tax/downpayment for the iphone 7, minus the trade-in value. So in my case, $650 - $265 = $385 / 24 = $16.04

     

    A credit of $16.04 will be applied to my account for the next 24 months, which it isn't enough to cover the EIP monthly payment, since the trade-in credit was applied to the account, and not the EIP plan, meaning the full $650 / 24 = $27.09.

     

    I called Tmobile customer service, and ask them why the credit was applied to the account, and not the EIP plan for the Iphone 7. I was told that the trade-in credit could be applied to the EIP plan if I wanted to instead, so I agreed.

     

    Now the balance for the Iphone 7 shows up as $385 on the EIP, and not the full $650, which it is correct. However, it seems that instead of the monthly payments getting adjusted to the new balance divided by 24, meaning $16.04; they remain $27.09, and just the payments remaining were reduced from 24 to 15, which you could say great, I am going to finish paying the phone sooner.

     

    My problem is that the free iphone promotion states that you will get a free iphone, but you get so during a 24-month period. Well, my EIP balance is now 15 payments, because of the trade-in credit, so how is that going to work now? Am I still going to get the EIP credits for months 16 - 24, since technically there won't be a balance on that EIP account anymore?

     

    Your comments are appreciated.

     

    Victor

      All replies

      • tmo_marissa

        Re: EIP and Free Iphone 7 promotion

        Hey vacunajr!  Thanks for reaching out - this is a great question!  I'm sorry if we weren't more clear when we discussed the promotion with you initially!

         

        The Trade-Up offer gets your net cost to $0, but in any situation where the trade-in is "deferred" (mailed in), customers will still have monthly payments for their phone.  Because the max value given depends on an inspection, only an in-store "instant" trade-in can be used as an additional down-payment to the overall EIP balance, which lowers the monthly payments.  With this additional down payment, the amount that you're financing is lower from the beginning.  When you make an EIP payment after the agreement has been signed, it's considered an early pay-down, and it works differently: the payment comes off of the back end of the EIP, so rather than lowering the monthly charge, you're paid off sooner.  You will still continue to get your monthly Trade-Up credits as long as the line is open, though - you will not miss out on credits just because your EIP is completed sooner.  <3

         

        - Marissa