Verizon Wireless may begin offering 12-month smartphone finance plans

April 12, 2013
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A short while back we learned that Verizon Wireless would consider dropping the two-year agreements. This comment came by way of Verizon CEO Lowell McAdam. While this initially sounded like good news, it was really nothing more than the carrier saying this was something they would consider -- should it become something the customers began asking for. Well, flashing forward till today and it looks like we have a bit of follow up.

The latest is coming by way of a leaked memo and while it doesn't specifically address the contracts, it does address the item that would be the biggest side effect of not having a two-year agreement. By that we mean you will be losing the device subsidy and have to pay the full retail pricing. Anyway, as you can see from the image below, this memo is talking about a device payment plan.

verizon-payment-plan

Basically, this would mean you will be able to split the cost of the device out over twelve months. We have yet to hear anything official from Verizon, however the memo does have it noted as "launching soon." Time will tell how soon, or for that matter, if it comes. In the meantime, this could make for a nice way to stop the two-year cycle.

While device prices vary, lets use the Galaxy Note II as an example. Verizon has this handset priced at $299.99 on a two-year agreement with the full retail sitting at $699.99. Based on a twelve month payment option, you would be looking at monthly payments of roughly $58. While close to $60 extra per month is a big jump in addition to your regular monthly service bill, at least you would be done after a year. Then from here you would be free to keep using the device or sell it and use the cash towards something new.

[via Droid-Life]


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  • http://www.facebook.com/jt.tapia1 Jelacio Tapia

    hopefully Verizon does do this I don’t want to give up my unlimited plan that’s the only reason I don’t have the latest Verizon device like the galaxy note2 . let us know if this happens.

    • barnassey thomas

      If you really dont want to give up your plan then go to places like swappa.com or craigslist to get new phones. Personally i wouldnt stick with a company that is actively shafting its customers like verizon.

  • Alan

    299 on a 699 phone is $400/12 = $33 per month… $35 with tax.. .how do you get $58?