Hello and welcome to our comprehensive guide on everything you need to know about Verizon pay early termination fees. If you are a Verizon customer and are considering leaving their services before the end of your contract, this article is for you. In this guide, we will cover everything from how much you can expect to pay in early termination fees, to ways to avoid them altogether. So let’s get started!
What are Early Termination Fees (ETFs)?
Early termination fees, or ETFs, are charged by most mobile service providers when customers decide to end their contract before the agreed-upon end date. These fees are designed to compensate the provider for the cost of the equipment they provided to the customer at a discounted rate, as well as to cover any loss of revenue from the cancelled contract.
In the case of Verizon, early termination fees can be significant, with some customers required to pay hundreds of dollars to end their contract early. In the following sections, we will take a closer look at how these fees are calculated, why they are charged, and what options you have as a Verizon customer to avoid them.
How are Early Termination Fees Calculated?
The amount of your early termination fee with Verizon will depend on several factors, including the type of service plan you have, how long is left on your contract, and what type of device you have. Here’s a breakdown of how Verizon calculates ETFs:
|Smartphones / Tablets / Basic Phones
|19 months or more
As you can see from the table above, the amount of your ETF decreases as you get closer to the end of your contract. Additionally, if you have an advanced device such as an iPhone or Samsung Galaxy, your ETF will be the same as if you had a basic phone, even if you paid more for the device upfront.
Why are Early Termination Fees Charged?
As we mentioned earlier, early termination fees are designed to compensate the service provider for the costs associated with providing you with a discounted device and for any lost revenue due to the cancellation of your contract.
When you sign up for a new contract with Verizon, you are often given a discounted or free device as part of the deal. This device is not actually free, however; it is subsidized by Verizon as part of your agreement to remain a customer for a set period of time. If you decide to leave before the end of your contract, Verizon will charge you an ETF to recoup the costs associated with providing you with that device.
In addition to the cost of the device, Verizon also loses money when customers cancel their contracts early. This is because they have already planned to receive a certain amount of revenue from your account over the course of your contract, and when you cancel early, they lose out on that revenue. ETFs help to offset this loss of revenue and ensure that Verizon is able to remain profitable even when customers cancel their contracts early.
How to Avoid Early Termination Fees with Verizon
While ETFs can be a significant financial burden for Verizon customers who wish to cancel their contracts early, there are several ways to avoid them altogether. Here are a few of the most common methods:
Transfer Your Contract
One option to avoid paying an ETF is to transfer your contract to someone else. Verizon allows customers to transfer their contracts to another person, as long as that person qualifies for the same plan and device. You will need to call Verizon customer service to initiate the transfer process, and there may be a fee involved, but it will likely be less than your ETF.
Wait Until Your Contract Expires
Of course, one surefire way to avoid an ETF is simply to wait until your contract expires before cancelling your service. This will allow you to avoid any ETFs altogether, although you will need to continue paying your monthly bill until the end of your contract.
Enroll in Verizon’s Device Payment Program
If you are looking for a way to upgrade your device without having to pay an ETF, Verizon’s device payment program may be a good option for you. This program allows you to purchase a new device without signing a new contract, and instead pay for it in monthly installments. This way, if you decide to upgrade before your current contract expires, you will not be subject to an ETF, since you will not be cancelling your contract.
File a Complaint
If you feel that you have been unfairly charged an ETF by Verizon, you can file a complaint with the Federal Communications Commission (FCC). The FCC regulates the communications industry in the United States and can investigate complaints of unfair practices or violations of consumer protections.
What happens if I don’t pay my early termination fee?
If you do not pay your early termination fee, Verizon may send your account to collections or take legal action against you to recover the amount owed. Additionally, failing to pay your ETF may negatively impact your credit score and make it harder for you to obtain credit in the future.
Can I negotiate my early termination fee with Verizon?
While it is possible to negotiate an early termination fee with Verizon, it is generally difficult to do so. Verizon sets their ETFs according to a standardized formula, and they are unlikely to deviate from this formula unless there are extenuating circumstances involved.
What happens if I cancel my contract within the first 14 days?
Verizon offers a 14-day window during which customers can cancel their contracts without penalty. This period is known as the “buyer’s remorse” period, and it allows customers to try out the service and ensure that it meets their needs before committing to a long-term contract. If you cancel within this period, you will not be subject to an ETF.
Can I switch to a different carrier without paying an early termination fee?
If you are considering switching to a different carrier but do not want to pay an ETF, you may be able to take advantage of Verizon’s “open enrollment” period. This is a limited-time window during which customers can switch to another carrier without incurring an ETF. However, the specifics of this program can vary depending on your contract and other factors, so it is best to check with Verizon customer service for more information.
Can I get a discount on my early termination fee?
While it is unlikely that Verizon will offer you a discount on your ETF, there are several third-party services that may be able to help you reduce or even eliminate the fee altogether. These services work by negotiating with Verizon on your behalf to reduce the amount of your ETF, or even get it waived entirely. However, these services often charge a fee for their services, so be sure to weigh the costs and benefits before signing up.
Verizon pay early termination fees can be a costly and frustrating aspect of mobile service contracts. However, by understanding how these fees are calculated and what options you have for avoiding them, you can make informed decisions about your mobile service and avoid unnecessary expenses. Remember to always read the fine print when signing up for a new contract, and to explore all of your options before deciding to cancel your service. We hope that this guide has been helpful in answering your questions about Verizon pay early termination fees, and wish you the best of luck in managing your mobile service account!